Illinois HB 4396: PEN CD-CTPF-HEALTH INS COSTS

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104TH GENERAL ASSEMBLY 
State of Illinois 
2025 and 2026
HB4396

Introduced 1/14/2026, by Rep. Stephanie A. Kifowit 

SYNOPSIS AS INTRODUCED:

40 ILCS 5/17-142.1 from Ch. 108 1/2, par. 17-142.1

 Amends the Chicago Teacher Article of Illinois Pension Code. Provides that the total payments under a provision concerning the Board providing partial reimbursement of health insurance costs may not exceed $100,000,000 (instead of $65,000,000) in any year. Provides that the amount shall annually thereafter be increased by the annual unadjusted percentage increase (but not less than zero) in the consumer price index for the 12 months ending with the September preceding each November 1, including all previous adjustments. Defines "consumer price index".

LRB104 18083 RPS 31522 b

A BILL FOR

HB4396LRB104 18083 RPS 31522 b

1 AN ACT concerning public employee benefits.

2 Be it enacted by the People of the State of Illinois, 

3represented in the General Assembly:

4 Section 5. The Illinois Pension Code is amended by 

5changing Section 17-142.1 as follows:

6 (40 ILCS 5/17-142.1) (from Ch. 108 1/2, par. 17-142.1)

7 Sec. 17-142.1. To defray health insurance costs. To 

8provide for the partial reimbursement of health insurance 

9costs. 

10 (1) On the first day of September of each year, beginning 

11in 1988, the Board may, by separate warrant, pay to each 

12recipient of a service retirement, disability retirement or 

13survivor's pension an amount to be determined by the Board, 

14which shall represent partial reimbursement for the cost of 

15the recipient's health insurance coverage. 

16 (2) In lieu of the annual payment authorized in 

17subdivision (1), for pensioners enrolled in the Fund's regular 

18health care deduction plans,