Illinois General Assembly - Full Text of SB1269

LRB104 08546 RPS 18598 b

104TH GENERAL ASSEMBLY
State of Illinois
2025 and 2026
SB1269

Introduced 1/28/2025, by Sen. Karina Villa

SYNOPSIS AS INTRODUCED:

40 ILCS 5/7-137.1	from Ch. 108 1/2, par. 7-137.1
30 ILCS 805/8.49 new

Amends the Illinois Municipal Retirement Fund (IMRF) Article of the Illinois Pension Code. In a provision concerning participation in the Fund by a person who holds an elective office, provides that a person who holds an elective office and has not elected to participate in the Fund with respect to that office shall not be disqualified from receiving service credit for service in that elected office as long as the member participated in a non-elected position with the employer for which the member is now an elected official; the employer has continued to make member contributions for that period of service; and there is no gap in service credit between the 2 positions. Amends the State Mandates Act to require implementation without reimbursement.

STATE MANDATES ACT MAY REQUIRE REIMBURSEMENT MAY APPLY

A BILL FOR

AN ACT concerning public employee benefits.

Be it enacted by the People of the State of Illinois, represented in the General Assembly:

Section 5. The Illinois Pension Code is amended by changing Section 7-137.1 as follows:

(40 ILCS 5/7-137.1) (from Ch. 108 1/2, par. 7-137.1)

Sec. 7-137.1. Elected officials.

(a) A person holding an elective office who has elected to participate in the Fund while in that office may revoke that election and cease participating in the Fund by notifying the Board in writing before January 1, 1992.

Upon such revocation, the person shall forfeit all creditable service earned while holding that office, and the Board shall refund to the person, without interest, all employee contributions paid for the forfeited creditable service. The Board shall also refund or credit to the employing municipality, without interest, the employer contributions relating to the forfeited service, except those for death and disability.

(b) Notwithstanding the provisions of Sections 7-141 and 7-144, beginning January 1, 1992, a person who holds an elective office and has not elected to participate in the Fund with respect to that office (or has revoked his election to participate with respect to that office under subsection (a) of this Section) shall not be disqualified from receiving a retirement annuity by reason of holding such office, provided that the annuity is not based on any credits received for participating while holding that office.

(c) Notwithstanding any other provision, a person who holds an elective office and has not elected to participate in the Fund with respect to that office shall not be disqualified from receiving service credit for service in that elected office as long as:

(1) the member participated in a non-elected position with the employer for which the member is now an elected official;

(2) the employer has continued to make member contributions for that period of service; and

(3) there is no gap in service credit between the 2 positions.

(Source: P.A. 87-740.)

Section 90. The State Mandates Act is amended by adding Section 8.49 as follows:

(30 ILCS 805/8.49 new)

Sec. 8.49. Exempt mandate. Notwithstanding Sections 6 and 8 of this Act, no reimbursement by the State is required for the implementation of any mandate created by this amendatory Act of the 104th General Assembly.