Illinois Administrative Code

Section 4404.60 Current Fund Notification Requirement Within 30 days after receipt of the police officer's request, the current pension fund shall provide written notification to both the requesting officer and the prior pension funds verifying receipt of the request. The current…

Section 4404.70 Prior Fund Notification Requirement Within 30 days after receipt of the current pension fund's notification, the prior pension funds shall provide written notification, to both the requesting officer and the current pension fund, verifying receipt of the notificat…

Section 4404.73 Calculation of the Amount to be Transferred from the Prior Pension Fund to the Current Pension Fund Upon receiving the notification from the current pension fund, as set forth in Section 4404.60 of this Part, the prior pension fund must notify the current pension …

Section 4404.76 Calculation of the Amount Required to Reinstate Creditable Service if a Refund was Received If the officer received a refund from the prior pension fund upon leaving that pension fund, the officer must pay the prior pension fund the amount of the refund plus inter…

Section 4404.80 Current Fund Payment Schedule, Determination of Creditable Service Time to be Credited and Notification to the Police Officer Within 14 days after receipt of the prior pension funds notification, the current pension fund shall notify the requesting officer of: a) …

Section 4404.90 Final Authorization to Transfer or Withdraw a) Within 14 days after receiving notification from the current pension fund, which must include a payment schedule deemed acceptable to meet the additional amount due, if applicable, the officer must either: 1) Provide …

Section 4404.ILLUSTRATION B DOI Information Request for a Chief of Police's Creditable Service Transfer (Repealed) (Source: Repealed at 24 Ill. Reg. 7287, effective April 26, 2000)

Section 4405.10 Authority This Part is promulgated by the Director of Insurance of the State of Illinois to implement Section 1A-109 which requires all pension funds to file an annual statement with the Department of Insurance. Section 1A-103 of the Illinois Pension Code empowers…

Section 4405.20 Purpose and Scope The purpose of this Part is to prescribe the format in which the Department of Insurance will accept the filing of annual statements from all pension funds. All pension funds required to file an annual statement under Section 1A-109 of the Illino…

Section 4405.30 Electronic Filing All pension, annuity or retirement funds or systems within the scope of this Part shall file their annual statement electronically with the Pension Division of the Illinois Department of Insurance. For purposes of this Part, electronic filing sha…

Section 4405.40 Procedure a) Each fund shall be responsible for ensuring effective delivery of its annual report through the electronic filing system. b) The perimeters and the substance of the annual statement report shall be furnished to each pension annuity and retirement fund…

Section 4415.10 Purpose This Part sets forth the procedural requirements for the submission of the annual compliance fee by pension funds to the Department of Insurance as required by Section 1A-112 of the Illinois Pension Code [40 ILCS 5/1A-112]. Additionally, this Part will fur…

Section 4415.20 Applicability This Part applies to every pension fund that is required to file an annual statement with the Department of Insurance pursuant to Section 1A-109 of the Code [40 ILCS 5/1A-109] . (Source: Amended at 30 Ill. Reg. 13176, effective July 24, 2006)

Section 4415.30 Definitions Automated Clearing House, or ACH, means a central distribution and settlement point for the electronic clearing of debts between the financial institutions rather than the physical movement of paper items. The term includes any Federal reserve bank, or…

Section 4415.40 Annual Compliance Fee Amount Every pension fund that is required to file an annual statement under Section 1A-109 of the Code shall pay an annual compliance fee pursuant to the following schedule: a) In the case of a pension fund under Article 3 or 4 of the Code, …

Section 4415.50 Notification of Annual Compliance Fee Amount The Public Pension Division shall notify by mail each pension fund of the amount of its annual compliance fee, calculated pursuant to Section 4415.40 of this Part, at least 45 days prior to the payment due date set fort…

Section 4415.60 Annual Compliance Fee Payment Date The annual compliance fee shall be due on June 30 for the following State fiscal year. [40 ILCS 5/1A-112(b)] (Source: Amended at 30 Ill. Reg. 13176, effective July 24, 2006)

Section 4415.70 Payment Method a) Payment of the annual compliance fee may be made by any of the following methods: 1) By check or money order in U.S. funds, made payable to the Illinois State Treasurer and mailed to: Illinois Department of Insurance, Attn: Tax and Audit Unit 320…

Section 4415.80 Hearing on Annual Compliance Fee Amount A pension fund that wants to challenge the annual compliance fee as calculated by the Public Pension Division pursuant to Section 4415.40 of this Part, and as stated in the notification pursuant to Section 4415.50 of this Pa…

Section 4415.90 Penalties Every pension fund required to pay an annual compliance fee pursuant to Section 4415.20 will also be subject to a penalty as set forth in Section 1A-113(c) of the Illinois Pension Code [40 ILCS 5] and may also be subject to a civil penalty as set forth i…

Section 4415.ILLUSTRATION A Designation for Fund Transfer for State Pension Fund for Payment of Annual Compliance Fee Illinois Department of Insurance Public Pension Division Designation for Automated Clearing House Payment of Annual Compliance Fees State Pension Fund Name: City:…

Section 4425.10 Purpose The purpose of this Part is to provide verification that dealers maintaining custody and possession of, or control over, the securities of a pension fund are in compliance with the requirements of Section 1-113.7 of the Illinois Pension Code [40 ILCS 5/1-1…

Section 4425.20 Applicability This Part shall apply to all pension funds established under Article 3 or 4 of the Illinois Pension Code [40 ILCS 5/3-101 through 3-152 and 4-01 through 4-144].

Section 4425.30 Definitions Accountant means an independent certified public accountant or accounting firm who is in good standing with the American Institute of CPAs and all states in which the accountant is licensed to practice. Dealer means a person, other than a natural perso…

Section 4425.40 Notarized Affidavit When a pension fund has entered into a custodial arrangement with a dealer, for the safekeeping of the pension fund's securities investments, on or before the dealer takes possession of or control of the securities, the pension fund shall obtai…

Section 4425.50 Pension Funds Bookkeeping and Records Requirement Each pension fund engaged in a custodial arrangement with a dealer shall maintain a copy of the affidavit required by Section 4425.40 of this Part as a part of the pension fund's books and records.

Section 4425.60 Penalties If a pension fund fails to meet the requirements of this Part, such pension fund shall be subject to the penalty provisions set forth in 50 Ill. Adm. Code 4435.

Section 4430.10 Scope This Part is applicable to all police and firefighter pension funds and pension fund boards which are subject to the provisions of Sections 1-113.1 through 113.10 of the Illinois Pension Code [40 ILCS 5/1-113.1 through 1-113.10].

Section 4430.20 Required Disclosures No pension fund shall engage an investment advisor, registered broker-dealer, bank, insurer or any other person for the purpose of providing investment services unless the following written disclosure requirements are met: a) A description, ex…

Section 4430.30 Recordkeeping When authorizing any investment transaction, every pension fund subject to the provisions of Sections 1-113.1 through 1-113.10 of the Illinois Pension Code shall: a) Establish, maintain and file with the Pension Division of the Department of Insuranc…

Section 4430.40 Penalties If any party fails to comply with the requirements of this Part, including either the substance or filing requirements contained herein, such party shall be subject to the penalty provisions of the Illinois Pension Code [40 ILCS 5/1A-113(d)] and 50 Ill. …

Section 4435.10 Purpose This Part sets forth the procedural requirements and penalty fee schedules for pension funds, governmental units or elected or appointed officials of a governmental unit that fail to comply with the requirements of the Illinois Pension Code and the Departm…

Section 4435.20 Applicability This Part applies to any pension fund, governmental unit or elected or appointed officials of a governmental unit that is subject to any law establishing a pension fund or retirement system for the benefit of employees of the governmental unit [40 IL…

Section 4435.30 Definitions Actuarial Statement means the informational filing as required by Section 1A-110 or 1A-111 of the Illinois Pension Code [40 ILCS 5/1A-110 and 1A-111] (see P.A. 90-507, effective August 22, 1997), which is filed in conjunction with the annual statement.…

Section 4435.40 Notification of Noncompliance The Division shall provide written notification to each pension fund, governmental unit or elected or appointed official of a governmental unit of the specific provision(s) of the Code and/or the Department's regulation(s) with which …

Section 4435.50 Reasonable Compliance Period for Notification a) Upon receipt of the noncompliance notification described in Section 4435.40, other than a notification for failure to timely file pursuant to Section 1A-113(a), (b) and (c) of the Code, the pension fund, governmenta…

Section 4435.60 Director's Determination of Noncompliance a) If the Director, upon hearing held pursuant to Section 4435.80 of this Part, determines that good and sufficient cause for noncompliance has not been shown, the Director may order the pension fund, governmental unit or …

Section 4435.70 Director's Determination of Failure to Timely File a) If the Director determines that any pension fund has failed, without good and sufficient cause, to file its annual statement within the time prescribed by Section 1A-109 of the Code, the Director may order the …

Section 4435.80 Hearing to Show Good and Sufficient Cause a) If the Director determines that a hearing should be held to allow a demonstration of good and sufficient cause pursuant to either Section 4435.50 or Section 4435.70, or if a pension fund subject to penalties under Secti…

Section 4439.10 Purpose The purpose of this Part is to set forth the processes, procedures and requirements necessary for the dissolution of an inactive Article 3 police pension fund or an inactive Article 4 firefighters’ pension fund, and the processes, procedures and requiremen…

Section 4439.20 Applicability This Part shall apply to the pension funds established under either Article 3 or Article 4 of the Code for which Section 3-144.6 or 4-106.1 applies.

Section 4439.30 Definitions "Active member" means a police officer or firefighter who is in active service and a participant of a pension fund established pursuant to Article 3 or Article 4 of the Code, respectively. "Beneficiary" means a person eligible for or receiving benefits…

Section 4439.40 Dissolution of Pension Fund a) The corporate authorities of a municipality in which an Article 3 or Article 4 pension fund has been established may choose to dissolve the pension fund by resolution or ordinance if an independent auditor has certified to the author…

Section 4439.50 Requirements of Independent Auditor Certification a) Prior to the corporate authorities of a municipality dissolving the pension fund by resolution or ordinance, an independent auditor must certify to the authorities that the pension fund has no liabilities, no pa…

Section 4439.60 Resolution or Ordinance to Dissolve the Pension Fund a) The corporate authorities of a municipality in which an Article 3 or Article 4 pension fund has been established may dissolve the pension fund by resolution or ordinance after completion of the requirements i…

Section 4439.70 Re-establishment of Dissolved Pension Fund – New Hires The corporate authorities of a municipality in which an Article 3 police pension fund or Article 4 firefighters' pension fund has been dissolved in accordance with Section 3-144.6 or 4-106.1 of the Code, respe…

Section 4439.80 Re-establishment of Dissolved Pension Fund – Reinstate Service in an Article 3 Police Pension Fund a) The corporate authorities of a municipality in which an Article 3 police pension fund has been dissolved in accordance with Section 3-144.6 shall temporarily re-e…

Section 4439.90 Re-establishment of Dissolved Pension Fund – Reinstate Service in an Article 4 Firefighters Pension Fund a) The corporate authorities of a municipality in which an Article 4 firefighters' pension fund has been dissolved in accordance with Section 4-106.1 of the Co…

Section 4450.10 Purpose This Part prescribes the annual interest rate payable by a pension fund when a benefit was mistakenly set too low and the process to be followed in rectifying the underpayment of benefits.

Section 4450.20 Prescribed Interest Rate This prescribed interest rate shall only apply to a benefit (and all subsequent benefits) that was mistakenly set too low if the first benefit is or was set on or after August 26, 2014. The annual interest rate payable by an Article 3 or A…