Chapter 40 — PENSIONS

(40 ILCS 5/1-113.4) Sec. 1-113.4. List of additional permitted investments for pension funds with net assets of $5,000,000 or more. (a) In addition to the items in Sections 1-113.2 and 1-113.3, a pension fund established under Article 3 or 4 that has net assets of at least $5,000…

(40 ILCS 5/1-113.4a) Sec. 1-113.4a. List of additional permitted investments for Article 3 and 4 pension funds with net assets of $10,000,000 or more. (a) In addition to the items in Sections 1-113.2 and 1-113.3, a pension fund established under Article 3 or 4 that has net assets…

(40 ILCS 5/1-113.5) Sec. 1-113.5. Investment advisers and investment services for all Article 3 or 4 pension funds. (a) The board of trustees of a pension fund may appoint investment advisers as defined in Section 1-101.4. The board of any pension fund investing in common or pref…

(40 ILCS 5/1-113.6) Sec. 1-113.6. Investment policies. Every board of trustees of a pension fund shall adopt a written investment policy and file a copy of that policy with the Department of Insurance within 30 days after its adoption. Whenever a board changes its investment poli…

(40 ILCS 5/1-113.7) Sec. 1-113.7. Registration of investments; custody and safekeeping. The board of trustees may register the investments of its pension fund in the name of the pension fund, in the nominee name of a bank or trust company authorized to conduct a trust business in…

(40 ILCS 5/1-113.8) Sec. 1-113.8. Limitations on banks and savings and loan associations. A bank or savings and loan association shall not receive investment funds from a pension fund established under Article 3 or 4 of this Code, unless it has complied with the requirements esta…

(40 ILCS 5/1-113.9) Sec. 1-113.9. Illegal investments. A person registered as a dealer, salesperson, or investment adviser under the Illinois Securities Law of 1953 who sells a pension fund a security, or engages in a transaction with a pension fund, that is not authorized by thi…

(40 ILCS 5/1-114) (from Ch. 108 1/2, par. 1-114) Sec. 1-114. Liability for Breach of Fiduciary Duty. (a) Any person who is a fiduciary with respect to a retirement system or pension fund established under this Code who breaches any duty imposed upon fiduciaries by this Code, incl…

(40 ILCS 5/1-115) (from Ch. 108 1/2, par. 1-115) Sec. 1-115. Civil enforcement. A civil action may be brought by the Attorney General or by a participant, beneficiary or fiduciary in order to: (a) Obtain appropriate relief under Section 1-114 of this Code; (b) Enjoin any act or p…

(40 ILCS 5/1-116) (from Ch. 108 1/2, par. 1-116) Sec. 1-116. Federal contribution and benefit limitations. (a) This Section applies to all pension funds and retirement systems established under this Code. (a-5) All pension funds and retirement systems established under this Code …

(40 ILCS 5/1-116.1) Sec. 1-116.1. Required distributions. Notwithstanding any other provision of this Code, all pension funds and retirement systems established under Articles 2 through 18 of this Code have the authority to make any involuntary distributions that are required by …

(40 ILCS 5/1-117) Sec. 1-117. Annual earnings limitation. (a) Notwithstanding any other provision of this Code, except as provided in subsection (b), beginning on the first day of the plan year beginning in 1996, the annual earnings of a person that may be taken into account in a…

(40 ILCS 5/1-118) Sec. 1-118. Veterans' rights. (a) All pension funds and retirement systems subject to this Code shall comply with the requirements imposed on them by the federal Uniformed Services Employment and Reemployment Rights Act (P.L. 103-353). (b) All pension funds and …

(40 ILCS 5/1-119) Sec. 1-119. Qualified Illinois Domestic Relations Orders. (a) For the purposes of this Section: (1) "Alternate payee" means the spouse, former spouse, child, or other dependent of a member, as designated in a QILDRO. (2) "Death benefit" means any nonperiodic ben…

(40 ILCS 5/1-120) Sec. 1-120. Payment to trust. (a) If a person is a minor or has been determined by a court to be under a legal disability, any benefits payable to that person under this Code may be paid to the trustee of a trust created for the sole benefit of that person while…

(40 ILCS 5/1-122) Sec. 1-122. Service with the Legislative Ethics Commission or Office of the Legislative Inspector General. Notwithstanding any provision in this Code to the contrary, if a person serves as a part-time employee in any of the following positions: Legislative Inspe…

(40 ILCS 5/1-123) Sec. 1-123. Service as legal counsel. Notwithstanding any provision in this Code to the contrary, if a person is a participant under Article 18 and files a written election by July 1, 2005 with the Judges Retirement System of Illinois, then that person may serve…

(40 ILCS 5/1-125) Sec. 1-125. Prohibition on gifts. (a) For the purposes of this Section: "Gift" means a gift as defined in Section 1-5 of the State Officials and Employees Ethics Act. "Prohibited source" means a person or entity who: (i) is seeking official action (A) by the boa…

(40 ILCS 5/1-130) Sec. 1-130. No monetary gain on investments. No member or employee of the board of trustees of any retirement system, pension fund, or investment board created under this Code nor any spouse of such member or employee shall knowingly have any direct interest in …

(40 ILCS 5/1-135) Sec. 1-135. Fraud. Any person who knowingly makes any false statement or falsifies or permits to be falsified any record of a retirement system or pension fund created under this Code or the Illinois State Board of Investment in an attempt to defraud the retirem…

(40 ILCS 5/1-140) Sec. 1-140. Identification of deceased annuitants. Every pension fund or retirement system under this Code, except for a pension fund established under Article 3 or 4 of this Code, shall develop and implement, by no later than June 30, 2017, a process to identif…

(40 ILCS 5/1-145) Sec. 1-145. Contingent and placement fees prohibited. No person or entity shall retain a person or entity to attempt to influence the outcome of an investment decision of or the procurement of investment advice or services of a retirement system, pension fund, o…

(40 ILCS 5/1-150) Sec. 1-150. Approval of travel or educational mission. The expenses for travel or educational missions of a board member of a retirement system, pension fund, or investment board created under this Code, except those whose investments are restricted by Section 1…

(40 ILCS 5/1-160) (Text of Section from P.A. 102-719) Sec. 1-160. Provisions applicable to new hires. (a) The provisions of this Section apply to a person who, on or after January 1, 2011, first becomes a member or a participant under any reciprocal retirement system or pension f…

(40 ILCS 5/1-161) Sec. 1-161. Optional benefits for certain Tier 2 members under Articles 14, 15, and 16. (a) Notwithstanding any other provision of this Code to the contrary, the provisions of this Section apply to a person who first becomes a member or a participant under Artic…

(40 ILCS 5/1-162) Sec. 1-162. Optional benefits for certain Tier 2 members of pension funds under Articles 8, 9, 10, 11, 12, and 17. (a) As used in this Section: "Affected pension fund" means a pension fund established under Article 8, 9, 10, 11, 12, or 17 that the governing body…

(40 ILCS 5/1-165) Sec. 1-165. Commission on Government Forecasting and Accountability study. The Commission on Government Forecasting and Accountability shall conduct a study on the feasibility of: (1) the creation of an investment pool to supplement and enhance the investment op…

(40 ILCS 5/1-166) Sec. 1-166. Proportional annuity liability. (a) If a participant's final average salary in a participating system under the Retirement Systems Reciprocal Act, other than the General Assembly Retirement System, is used to calculate a proportional retirement annui…

(40 ILCS 5/1-167) Sec. 1-167. Prohibited disclosures. No pension fund or retirement system subject to this Code shall disclose the following information of any members or participants of any pension fund or retirement system: (1) the individual's home address (including ZIP code …

(40 ILCS 5/10-101) (from Ch. 108 1/2, par. 10-101) Sec. 10-101. Creation of fund. In forest preserve districts, the boundaries of which are coextensive with the boundaries of a county in which an annuity and benefit fund is created and set apart and is maintained and administered…

(40 ILCS 5/10-102) (from Ch. 108 1/2, par. 10-102) Sec. 10-102. Board created. The retirement board of the county employees' annuity and benefit fund constituted in Article 9 of this Code is ex officio the retirement board for the forest preserve district employees' annuity and b…

(40 ILCS 5/10-103) (from Ch. 108 1/2, par. 10-103) Sec. 10-103. Members, contributions and benefits. The board shall cause the same deductions to be made from salaries and, subject to Section 10-109, allow the same annuities, refunds and benefits for employees of the district as …

(40 ILCS 5/10-103.1) (from Ch. 108 1/2, par. 10-103.1) Sec. 10-103.1. This Article does not apply to any person who becomes an employee after June 30, 1979 as a public service employment program participant under the Federal Comprehensive Employment and Training Act and whose wag…

(40 ILCS 5/10-104) (from Ch. 108 1/2, par. 10-104) Sec. 10-104. Prior county service. Any person employed by the county prior to July 1, 1935, who on such date is an employee of the forest preserve district and becomes a contributor to the fund, shall receive prior service credit…

(40 ILCS 5/10-104.1) (from Ch. 108 1/2, par. 10-104.1) Sec. 10-104.1. (a) Any active member of the General Assembly Retirement System may apply for transfer of his credits and creditable service accumulated under this fund to the General Assembly System. Such credits and creditab…

(40 ILCS 5/10-104.2) (from Ch. 108 1/2, par. 10-104.2) Sec. 10-104.2. Validation of service credits. An active member of the General Assembly having no service credits or creditable service in the Fund, may establish service credit and creditable service for periods during which …

(40 ILCS 5/10-104.3) (from Ch. 108 1/2, par. 10-104.3) Sec. 10-104.3. (a) Persons otherwise required or eligible to participate in the Fund who elect to continue participation in the General Assembly System under Section 2-117.1 may not participate in the Fund for the duration of…

(40 ILCS 5/10-104.4) (from Ch. 108 1/2, par. 10-104.4) Sec. 10-104.4. Transfer of creditable service to Article 8, 9 or 13 Fund. (a) Any city officer as defined in Section 8-243.2 of this Code, any county officer elected by vote of the people who is a participant in the pension f…

(40 ILCS 5/10-104.5) Sec. 10-104.5. Alternative retirement cancellation payment. (a) To be eligible for the alternative retirement cancellation payment provided in this Section, a person must: (1) be a member of this Fund who, on December 31, 2006, was (i) in active payroll statu…

(40 ILCS 5/10-105) (from Ch. 108 1/2, par. 10-105) Sec. 10-105. Employment of former county employees. A contributor to and participant in the annuity and benefit fund provided for employees of such county, who resigns or is discharged from the county service, and thereafter is e…

(40 ILCS 5/10-106) (from Ch. 108 1/2, par. 10-106) Sec. 10-106. Employees with county while on leave from district. If an employee on leave of absence from the service of the district is employed by the county, the board shall cause deductions to be made from his salary on the sa…

(40 ILCS 5/10-107) (from Ch. 108 1/2, par. 10-107) Sec. 10-107. Financing; tax levy. (a) The forest preserve district may levy an annual tax on the value, as equalized or assessed by the Department of Revenue, of all taxable property in the district for the purpose of providing r…

(40 ILCS 5/10-107.5) Sec. 10-107.5. Delinquent contributions; deduction from payments of State funds to the district. If the district fails to transmit to the Fund contributions required of it under this Article by December 31st of the year in which such contributions are due, th…

(40 ILCS 5/10-108) (from Ch. 108 1/2, par. 10-108) Sec. 10-108. Retirement Systems Reciprocal Act. The "Retirement Systems Reciprocal Act", being Article 20 of this Code, as now enacted or hereafter amended, is hereby adopted and made a part of this Article; provided, that where …

(40 ILCS 5/10-109) Sec. 10-109. Felony conviction. None of the benefits provided in this Article shall be paid to any person who is convicted of any felony relating to or arising out of or in connection with his service as an employee. None of the benefits provided for in this Ar…

(40 ILCS 5/11-101) (from Ch. 108 1/2, par. 11-101) Sec. 11-101. Creation of fund. In each city of more than 500,000 inhabitants a Laborers' and Retirement Board Employees' Annuity and Benefit Fund shall be created, set apart, maintained and administered, in the manner prescribed …

(40 ILCS 5/11-102) (from Ch. 108 1/2, par. 11-102) Sec. 11-102. Terms defined. The terms used in this Article have the meanings ascribed to them in Sections 11-103 to 11-124, inclusive, except when the context otherwise requires. (Source: Laws 1963, p. 161.)

(40 ILCS 5/11-103) (from Ch. 108 1/2, par. 11-103) Sec. 11-103. Fund. "Fund": The Laborers' and Retirement Board Employees' Annuity and Benefit Fund herein created. (Source: Laws 1963, p. 161.)

(40 ILCS 5/11-104) (from Ch. 108 1/2, par. 11-104) Sec. 11-104. The 1935 Act. "The 1935 Act": "An Act to provide for the creation, setting apart, maintenance, and administration of a laborers' and retirement board employees' annuity and benefit fund in cities having a population …

(40 ILCS 5/11-105) (from Ch. 108 1/2, par. 11-105) Sec. 11-105. Exchange of Functions Act of 1957. "Exchange of Functions Act of 1957": "An Act in relation to an exchange of certain functions, property and personnel among cities and park districts having coextensive geographic ar…