SB 3807

Abstract

Amends the Illinois Municipal Retirement Fund (IMRF) Article of the Illinois Pension Code. Provides that the amount of the separation benefit shall include interest credited to the end of the preceding calendar year for contributions made under provisions authorizing employees to make additional contributions for retirement annuity purposes, to the extent permitted by the Internal Revenue Code of 1986. Provides that employees who first participate in the Fund on or after 6 months after the effective date of the amendatory Act shall automatically contribute 3% of each payment of earnings as additional contributions for retirement annuity purposes beginning immediately upon enrollment in the Fund as a participating employee. Provides that employees may change such contributions to an amount not to exceed 10% of each payment of earnings at any time by written notice to the Board. Provides that the Board may limit the number of withdrawals of those additional contributions to an amount not less than once per calendar year and to charge an administrative fee to cover the costs of processing such withdrawals. Amends the State Mandates Act to require implementation without reimbursement. Effective January 1, 2021.