HB3082 101ST GENERAL ASSEMBLY

LRB101 10487 RPS 55593 b

101ST GENERAL ASSEMBLY
State of Illinois
2019 and 2020
HB3082

Introduced , by Rep. Robert Martwick

SYNOPSIS AS INTRODUCED:

40 ILCS 5/24-105.2 new

Amends the Deferred Compensation Article of the Illinois Pension Code. Provides that the Department of Central Management Services shall automatically enroll in the deferred compensation plan any employee who, on or after 6 months after the effective date of the amendatory Act, first becomes a member or participant under the General Assembly, State Employees, or Judges Article. Provides that an employee automatically enrolled shall have 3% of his or her gross compensation for each compensation period deferred into his or her deferred compensation account. Provides that an employee automatically enrolled in the deferred compensation plan shall have 6 months from the date of enrollment to elect to not participate in the deferred compensation plan or to elect to increase or reduce the amount of gross compensation deferred. Provides that an automatically enrolled employee who elects not to participate shall receive a refund of the compensation deferred.

FISCAL NOTE ACT MAY APPLY

PENSION IMPACT NOTE ACT 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 adding Section 24-105.2 as follows:

(40 ILCS 5/24-105.2 new)

Sec. 24-105.2. Automatic enrollment for certain members. The Department of Central Management Services shall automatically enroll in the State Employees Deferred Compensation Plan any employee who, on or after 6 months after the effective date of this amendatory Act of the 101st General Assembly, first becomes a member or participant of a retirement system created under Article 2, 14, or 18. An employee automatically enrolled under this Section shall have 3% of his or her gross compensation for each compensation period deferred into his or her deferred compensation account.

An employee automatically enrolled under this Section shall have 6 months from the date of enrollment to elect to not participate in the deferred compensation plan or to elect to increase or reduce the amount of gross compensation deferred. An employee automatically enrolled under this Section who elects to not participate in the deferred compensation plan within 6 months of his or her initial enrollment shall receive a refund equal to the total amount of his or her compensation deferred into the deferred compensation plan within 90 days of the employee's election to not participate.