HB 2784

Abstract

Amends the Employment of Teachers Article of the School Code. Provides that in fixing the salaries of employees, a school board or the governing board of a joint agreement shall pay to employees an hourly rate of not less than (i) $20 for the 2024-2025 school year, (ii) $21 for the 2025-2026 school year, and (iii) $22 for the 2026-2027 school year. Provides that the minimum hourly rate for each school year thereafter shall equal the minimum salary rate for the previous school year increased by a percentage equal to the percentage increase, if any, in the Consumer Price Index for All Urban Consumers for all items published by the United States Department of Labor for the previous school year. Provides that "employee" means any employee of a school district or joint agreement who provides educational support services to the district or joint agreement, including, but not limited to, custodial employees, transportation employees, food service providers, classroom assistants, administrative staff, or paraprofessional educators. Provides that an employee's salary shall include any amount paid by the school district or joint agreement on behalf of the employee, as employee contributions, to the Illinois Municipal Retirement Fund. Effective immediately. State Debt Impact Note (Government Forecasting & Accountability) HB 2784 would not change the amount of authorization for any type of State-issued bond, and, therefore, would not affect the level of State indebtedness. Pension Note (Government Forecasting & Accountability) The positions impacted by HB 2784 - custodians, bus drivers, cafeteria workers, etc., do not require teacher licensure, and thus are covered under IMRF. IMRF says they do not know what the fiscal impact of the bill will be inasmuch as they cannot say how many people earn less than the prescribed minimum salary rates set forth in this bill. There will be a fiscal impact to an IMRF employer to the extent that any salary increases that come about as a result of this bill impact a covered individual’s pensionable earnings. Balanced Budget Note (Office of Management and Budget) Please be advised that the Balanced Budget Note Act does not apply to House Bill 2784, as it is not a supplemental appropriation that increases or decreases appropriations. Under the Act, a balanced budget note must be prepared only for bills that change a general funds appropriation for the fiscal year in which the new bill is enacted. Fiscal Note (IL State Board of Education) HB 2784 increases the costs to school districts; however, that amount is not known. The State Board of Education recommends the sponsors consult with IMRF and TRS regarding fiscal impact to the State.