Illinois General Assembly - Bill Status for SB 2103

Amends the Illinois Pension Code. In the State Universities Article, provides that the optional defined contribution plan shall provide for one or more automatic contribution arrangements, at least one of which shall be an eligible automatic contribution arrangement that permits a withdrawal of default elective contributions in accordance with a specified provision of the Internal Revenue Code of 1986. In the Illinois Municipal Retirement Fund (IMRF) Article, 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. 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. Provides that employees may change such contributions to an amount not to exceed 10% of each payment of earnings at any time. 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 may charge an administrative fee. In the Deferred Compensation Article, provides for automatic enrollment of any employee who is a member under the State Employee, Downstate Teacher, or Chicago Teacher Article, regardless of when the employee first became a member under that Article. Amends the State Mandates Act to require implementation without reimbursement. Effective immediately, except that the changes to the IMRF and Deferred Compensation Articles of the Illinois Pension Code and to the State Mandates Act take effect January 1, 2022.

Replaces everything after the enacting clause. Amends the Illinois Pension Code. In the State Universities Article, provides that the System shall offer a deferred compensation plan that is eligible under a specified provision of the Internal Revenue Code of 1986 to participating employees of the System employed by employers that qualify as eligible employers under a specified provision of the Internal Revenue Code of 1986 (instead of offering a defined contribution benefit to active members of the System). Changes references from "defined contribution benefit" to "deferred compensation plan". Provides that the System shall automatically enroll in the eligible deferred compensation plan any employee of an eligible employer who first becomes a participating employee of the System on or after July 1, 2022 under an eligible automatic contribution arrangement. Provides that an employee who is automatically enrolled shall have 3% of his or her compensation for each pay period deferred on a pre-tax basis into his or her account. Provides that an employee may elect not to participate or to increase or reduce the amount of elective deferrals made to the plan. Provides that the System may provide that the default percentage for any employee automatically enrolled in the eligible deferred compensation plan be increased by a specified percentage each plan year after the plan year in which the employee is automatically enrolled in the plan. Provides that the changes are intended to be retroactive to August 10, 2018 (the effective date of Public Act 100-769, which established the defined contribution benefit). In the Downstate Teacher Article, provides that the System may use funds provided under a provision concerning State and employer contributions to defray any and all costs of creating and maintaining the defined contribution benefit and then shall reimburse those costs from funds received from the employee and employer contributions to the defined contribution benefit. Provides that as soon as is practicable on or after January 1, 2022, the System shall automatically enroll any employee in the optional defined contribution benefit who first becomes an active member or participant in the System, and the member shall have 3% of his or her pre-tax gross compensation for each compensation period deferred into his or her deferred compensation account, unless the member otherwise instructs the System. Provides that the System may elect to increase the contribution rate subject to certain restrictions. In the Deferred Compensation Article, provides that pamphlets describing the deferred compensation plan shall not be distributed to employees who are covered under the Illinois Municipal Retirement Fund (IMRF), State Universities, or Downstate Teacher Articles. Makes other changes. Amends the State Mandates Act to require implementation without reimbursement. Effective immediately.

In the State Universities Article of the Illinois Pension Code, provides that the System shall automatically enroll in the eligible deferred compensation plan any employee of an eligible employer who first becomes a participating employee of the System on or after July 1, 2023 (rather than July 1, 2022) under an eligible automatic contribution arrangement. In the Public Employees' Deferred Compensation Article of the Illinois Pension Code, provides that "employee", for the purposes of the State Employees Deferred Compensation Plan, does not include a person employed by a certain State university employer who first becomes a participant of the retirement system under the State Universities Article on or after July 1, 2023 unless the person has made an election to defer compensation into the State Employees Deferred Compensation Plan under a written agreement and the deferral election is in effect as of June 30, 2023. Removes language that provides that pamphlets describing the deferred compensation plan shall not be distributed to employees who are covered under the Illinois Municipal Retirement Fund (IMRF), State Universities, or Downstate Teacher Articles.

Date	Chamber	Action
8/20/2021	Senate	Public Act . . . . . . . . . 102-0540

Date	Chamber	Action
2/26/2021	Senate	Filed with Secretary by Sen. Robert F. Martwick
2/26/2021	Senate	First Reading
2/26/2021	Senate	Referred to Assignments
3/16/2021	Senate	Assigned to Pensions
3/23/2021	Senate	Senate Committee Amendment No. 1 Filed with Secretary by Sen. Robert F. Martwick
3/23/2021	Senate	Senate Committee Amendment No. 1 Referred to Assignments
3/24/2021	Senate	Do Pass Pensions; 008-000-000
3/24/2021	Senate	Placed on Calendar Order of 2nd Reading March 25, 2021
4/12/2021	Senate	Senate Floor Amendment No. 2 Filed with Secretary by Sen. Robert F. Martwick
4/12/2021	Senate	Senate Floor Amendment No. 2 Referred to Assignments
4/13/2021	Senate	Senate Floor Amendment No. 2 Assignments Refers to Pensions
4/14/2021	Senate	Senate Floor Amendment No. 2 Postponed - Pensions
4/16/2021	Senate	Senate Floor Amendment No. 3 Filed with Secretary by Sen. Robert F. Martwick
4/16/2021	Senate	Senate Floor Amendment No. 3 Referred to Assignments
4/20/2021	Senate	Senate Floor Amendment No. 3 Assignments Refers to Pensions
4/21/2021	Senate	Senate Floor Amendment No. 2 Postponed - Pensions
4/21/2021	Senate	Senate Floor Amendment No. 3 Recommend Do Adopt Pensions; 005-002-000
4/21/2021	Senate	Second Reading
4/21/2021	Senate	Senate Floor Amendment No. 3 Adopted; Martwick
4/21/2021	Senate	Placed on Calendar Order of 3rd Reading April 22, 2021
4/22/2021	Senate	Added as Chief Co-Sponsor Sen. Karina Villa
4/22/2021	Senate	Added as Chief Co-Sponsor Sen. Sara Feigenholtz
4/22/2021	Senate	Added as Chief Co-Sponsor Sen. John Connor
4/23/2021	Senate	Rule 2-10 Third Reading Deadline Established As April 30, 2021
4/30/2021	Senate	Rule 2-10 Third Reading Deadline Established As May 7, 2021
5/4/2021	Senate	Senate Floor Amendment No. 4 Filed with Secretary by Sen. Robert F. Martwick
5/4/2021	Senate	Senate Floor Amendment No. 4 Referred to Assignments
5/5/2021	Senate	Senate Floor Amendment No. 4 Assignments Refers to Pensions
5/6/2021	Senate	Senate Floor Amendment No. 4 Recommend Do Adopt Pensions; 008-000-000
5/6/2021	Senate	Recalled to Second Reading
5/6/2021	Senate	Senate Floor Amendment No. 4 Adopted; Martwick
5/6/2021	Senate	Third Reading - Passed; 056-002-000
5/6/2021	Senate	Senate Committee Amendment No. 1 Tabled Pursuant to Rule 5-4(a)
5/6/2021	Senate	Senate Floor Amendment No. 2 Tabled Pursuant to Rule 5-4(a)
5/7/2021	House	Arrived in House
5/11/2021	House	Chief House Sponsor Rep. Michael Halpin
5/12/2021	House	First Reading
5/12/2021	House	Referred to Rules Committee
5/13/2021	House	Assigned to Personnel & Pensions Committee
5/13/2021	House	Committee/Final Action Deadline Extended-9(b) May 28, 2021
5/20/2021	House	Do Pass / Consent Calendar Personnel & Pensions Committee; 007-000-000
5/20/2021	House	Placed on Calendar 2nd Reading - Consent Calendar
5/24/2021	House	Second Reading - Consent Calendar
5/24/2021	House	Held on Calendar Order of Second Reading - Consent Calendar
5/25/2021	House	Placed on Calendar Order of 3rd Reading - Consent Calendar
5/26/2021	House	Third Reading - Consent Calendar - First Day
5/27/2021	House	Third Reading - Consent Calendar - Passed 116-000-000
5/27/2021	Senate	Passed Both Houses
6/25/2021	Senate	Sent to the Governor
8/20/2021	Senate	Governor Approved
8/20/2021	Senate	Effective Date August 20, 2021
8/20/2021	Senate	Public Act . . . . . . . . . 102-0540

	Adds reference to:
	40 ILCS 5/24-102	from Ch. 108 1/2, par. 24-102