* 12:12 pm - As I already told subscribers this morning, Speaker Michael Madigan has moved a pension reform plan that is hotly opposed by the unions. The bill passed the House Personnel and Pensions Committee by an 8-2 vote. The two “No” votes were both Springfield-area Republicans, Raymond Poe and Rich Brauer.

Madigan is expected to run a floor vote today and the Senate is expected to take up the bill as early as tomorrow.

The legislation creates a two-tiered pension system. It raises the retirement age, gets rid of double-dipping by a retiree if that person gets another public job, limits pensionable salaries to $106,800, etc…

Proposed by House Speaker Michael Madigan, D-Chicago, the changes raise the retirement age to 67 in order to qualify for full benefits, restrict annual cost of living increases for retirees, limit the salary that can be used to determine retirement benefits and restrict those who qualify to earn enhanced benefits under the “alternative formula” set aside for high risk jobs.

If eventually enacted into law, the changes would go into effect Jan. 1 and affect future members of the State Employees Retirement System, State Universities Retirement System and Teachers Retirement System. Senate Bill 1946 also incorporates changes to lawmaker and judges retirement systems that were approved by the House last week. […]

A precise savings from the changes has not been determined, but a top Madigan aide said it should save “well over $100 billion” over several decades.

David Vaught, budget director for Gov. Pat Quinn, said lawmakers need to act quickly before an upcoming bond sale to pay for public works projects. Vaught said bond rating agencies will be looking at whether Illinois is taking steps to address its budget problems and could downgrade Illinois’ bond rating if nothing is done.

Speaker Madigan talked to reporters afterward. Among other things, he wasn’t optimistic that Republicans would support the pension bill. Watch the avail…

Madigan’s opening testimony…

We’ll have budget director David Vaught’s comments in a bit as well as committee testimony by at least one opponent.

* 12:17 pm - From an IFT spokesperson…

Our estimate is this bill would reduce the state’s cost for a new teacher to 1 percent of payroll. Basically, new teachers will pay the entire cost, while the state pays over 8 percent for a new legislator.

* 12:25 pm - Budget director David Vaught testifies…

* 12:58 pm - Rep. Raymond Poe (R-Springfield) asked Speaker Madigan a whole lot of questions. Here’s part one…

*** 1:54 pm *** The House Republicans asked for a one-hour conference as soon as Madigan’s bill was brought up on the floor. They need to figure out what they’re gonna do. Back at 3ish.

*** 2:34 pm *** The IFT has issued a fact sheet on the bill. Click here.

And here’s IFT’s pension testimony.

*** 3:48 pm *** The House is now bebating the bill on Third Reading.

*** 5:05 pm *** The House approved the pension bill 92-17-7. Speaking to reporters minutes after the vote, Speaker Madigan said he expects the Senate to call the bill either tonight or tomorrow morning.

*** 8:20 pm *** Senators sent the pension reform bill that began movement in a House committee this morning to Gov. Pat Quinn by a 48-6-3 vote. From the committee hearing where Speaker Madigan read the amendments to SB1946 to the final Senate vote, it took the Legislature roughly 10 and a half hours to approve the bill.