SB3045 94TH GENERAL ASSEMBLY

LRB094 18787 AMC 54192 b

94TH GENERAL ASSEMBLY
State of Illinois
2005 and 2006
SB3045

Introduced 1/20/2006, by Sen. Dave Syverson - John O. Jones - Gary G. Dahl - Carole Pankau - Larry K. Bomke, et al.

SYNOPSIS AS INTRODUCED:

New Act
40 ILCS 5/1-124 new
30 ILCS 805/8.30 new

Creates the Pension Funding and Investments Act. Requires pension plan providers to provide statements to members of a plan that include (1) the actuarial value of the assets and liabilities of the plan, (2) the extent to which the plan is funded, (3) the plan's funding policy, and (4) asset allocations based on the percentage of overall plan assets. Provides that, if a request is made by a contributing employer or labor organization, then a pension plan provider must make available (1) copies of all actuary reports received by the pension plan provider for a plan year and (2) copies of all financial reports prepared by fiduciaries of the pension plan provider. Amends the Illinois Pension Code. Requires a retirement system or pension fund established under the Code to provide a statement to each member and annuitant that includes (1) the actuarial value of the assets and liabilities of the system or fund, (2) the extent to which the system or fund is funded, (3) the extent to which funding is required under this Code, and (4) asset allocations based on the percentage of overall assets of the system or fund. Provides that, if a request is made by a contributing employer or labor organization, then a retirement system or pension fund must make available (1) copies of all actuary reports received by the system or fund for the State fiscal year and (2) copies of all financial reports prepared by fiduciaries of the retirement system or pension fund. Effective immediately.

FISCAL NOTE ACT MAY APPLY

PENSION IMPACT NOTE ACT MAY APPLY

STATE MANDATES ACT MAY REQUIRE REIMBURSEMENT

A BILL FOR

AN ACT concerning pensions.

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

Section 1. Short title. This Act may be cited as the Pension Funding and Investments Act.

Section 5. Definition. For the purposes of this Act:

"Pension plan provider" means a person who administers pension plans, transacts business within the State of Illinois, and has enrolled at least one member in the plan who is domiciled within the State of Illinois.

"Person" means any natural individual, firm, partnership, association, joint stock company, joint venture, limited liability company, or public or private corporation.

Section 10. Disclosures required.

(a) Within 90 days after the close of a plan year, a pension plan provider must provide a statement to each member of a plan that includes (1) the actuarial value of the assets and liabilities of the plan, (2) the extent to which the plan is funded, (3) the plan's funding policy, and (4) asset allocations based on the percentage of overall plan assets.

(b) If a request is made by a contributing employer or labor organization, then, within 30 days after receipt of the request, a pension plan provider must make available (1) copies of all actuary reports received by the pension plan provider for a plan year and (2) copies of all financial reports prepared by fiduciaries of the pension plan provider, including investment managers and advisors and plan service providers.

Section 80. The Illinois Pension Code is amended by adding Section 1-124 as follows:

(40 ILCS 5/1-124 new)

Sec. 1-124. Additional statements required.

(a) Within 90 days after the close of the State fiscal year, a retirement system or pension fund established under this Code must provide a statement to each member and annuitant that includes (1) the actuarial value of the assets and liabilities of the system or fund, (2) the extent to which the system or fund is funded, (3) the extent to which funding is required under this Code, and (4) asset allocations based on the percentage of overall assets of the system or fund.

(b) If a request is made by a contributing employer or labor organization, then, within 30 days after receipt of the request, a retirement system or pension fund must make available (1) copies of all actuary reports received by the system or fund for the State fiscal year and (2) copies of all financial reports prepared by fiduciaries of the retirement system or pension fund, including investment managers and investment advisors and plan service providers.

Section 90. The State Mandates Act is amended by adding Section 8.30 as follows:

(30 ILCS 805/8.30 new)

Sec. 8.30. 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 94th General Assembly.

Section 99. Effective date. This Act takes effect upon becoming law.