Bill > SB1668

This bill amends the Illinois Pension Code to establish a more structured approach for calculating state contributions to various state pension systems. Specifically, the bill introduces a new framework for determining the state's annual contribution rate after the pension systems reach 90% funding. Once a system achieves this funding milestone, the contribution will be calculated using an "actuarially determined contribution rate" that must be: (1) calculated by the Board with a competent actuary's consultation, (2) determined in accordance with the Governmental Accounting Research System and officially adopted actuarial assumptions, (3) reported to key state officials by January 1 each year, and (4) subject to two key constraints - the rate cannot be less than the previous year's rate if the system is below 90% funded, and cannot be less than the system's normal cost for that fiscal year. The bill applies to multiple state pension systems, including the General Assembly, State Employees, State Universities, Downstate Teachers, and Judges Systems, and aims to provide a more transparent, consistent method for calculating ongoing state pension contributions that helps ensure the long-term financial stability of these retirement systems.

https://www.ilga.gov/legislation/BillStatus.asp?DocNum=1668&GAID=18&DocTypeID=SB&SessionID=114&GA=104