Chapter 40, PENSIONS

(40 ILCS 5/7-101) (from Ch. 108 1/2, par. 7-101) Sec. 7-101. Creation of fund. A retirement and benefit fund to be known as the "Illinois Municipal Retirement Fund" is hereby created. (Source: Laws 1963, p. 161.)

(40 ILCS 5/7-102) (from Ch. 108 1/2, par. 7-102) Sec. 7-102. Purpose. The purpose of this fund is to provide a sound and efficient system for the payment of annuities and other benefits, in addition to the annuities and benefits available, as herein provided, under the Federal So…

(40 ILCS 5/7-103) (from Ch. 108 1/2, par. 7-103) Sec. 7-103. Terms defined. The terms used in this Article have the meanings ascribed to them in Sections 7-104 to 7-131, inclusive, except when the context otherwise requires. (Source: Laws 1963, p. 161.)

(40 ILCS 5/7-104) (from Ch. 108 1/2, par. 7-104) Sec. 7-104. Fund. "Fund": The Illinois Municipal Retirement Fund. (Source: Laws 1963, p. 161.)

(40 ILCS 5/7-105) (from Ch. 108 1/2, par. 7-105) Sec. 7-105. "Municipality": A city, village, incorporated town, county, township; a Financial Oversight Panel established pursuant to Article 1H of the School Code; and any school, park, sanitary, road, forest preserve, water, fire…

(40 ILCS 5/7-106) (from Ch. 108 1/2, par. 7-106) Sec. 7-106. Participating municipality. "Participating municipality": Any municipality included within this fund in accordance with Section 7-132. (Source: Laws 1963, p. 161.)

(40 ILCS 5/7-107) (from Ch. 108 1/2, par. 7-107) Sec. 7-107. Instrumentality. "Instrumentality": Any body, corporate or politic, or any legal entity, other than a municipality, having power to appropriate for, or to authorize expenditures for, payment of earnings to employees fro…

(40 ILCS 5/7-108) (from Ch. 108 1/2, par. 7-108) Sec. 7-108. "Participating Instrumentality". (a) A political entity created under the laws of the State of Illinois, without general continuous power to levy taxes, and which is legally separate and distinct from the State of Illin…

(40 ILCS 5/7-109) (from Ch. 108 1/2, par. 7-109) Sec. 7-109. Employee. (1) "Employee" means any person who: (a) 1. Receives earnings as payment for the performance of personal services or official duties out of the general fund of a municipality, or out of any special fund or fun…

(40 ILCS 5/7-109.1) (from Ch. 108 1/2, par. 7-109.1) Sec. 7-109.1. "Seasonal Employee": An employee whose position normally requires regular service during a period of at least 6 consecutive months, but less than 12 months, in a 12 month period. (Source: Laws 1967, p. 2091.)…

(40 ILCS 5/7-109.2) (from Ch. 108 1/2, par. 7-109.2) Sec. 7-109.2. "Intermittent Employee": An employee, whose position normally requires service intermittently, rather than regularly, and a person whose position normally requires regular service for a period of less than 6 conse…

(40 ILCS 5/7-109.3) (from Ch. 108 1/2, par. 7-109.3) Sec. 7-109.3. "Sheriff's Law Enforcement Employees". (a) "Sheriff's law enforcement employee" or "SLEP" means: (1) A county sheriff and all deputies, other than special deputies, employed on a full time basis in the office of t…

(40 ILCS 5/7-109.4) Sec. 7-109.4. Tier 1 regular employee. "Tier 1 regular employee" means a participant or an annuitant under this Article who first became a participant or member before January 1, 2011 under any retirement system or pension fund under this Code, other than a re…

(40 ILCS 5/7-109.5) Sec. 7-109.5. Tier 2 regular employee. "Tier 2 regular employee" means a person who first becomes a participant under this Article on or after January 1, 2011 and is not a Tier 1 regular employee. Notwithstanding anything contrary in this Section, "Tier 2 regu…

(40 ILCS 5/7-110) (from Ch. 108 1/2, par. 7-110) Sec. 7-110. Participating employee. "Participating employee": Any person included within this fund, and eligible to benefits therefrom, as provided in Section 7-137. (Source: Laws 1963, p. 161.)

(40 ILCS 5/7-111) (from Ch. 108 1/2, par. 7-111) Sec. 7-111. "Prior Service": The period beginning on the day a participating employee first became an employee of a municipality, or of an instrumentality thereof, or of a municipality or instrumentality that was superseded by the …

(40 ILCS 5/7-111.5) Sec. 7-111.5. "Omitted service": The period of service with a participating municipality or participating instrumentality during which an employee was required to participate in the Fund, but was not actually enrolled. (Source: P.A. 98-932, eff. 8-15-14.)

(40 ILCS 5/7-112) (from Ch. 108 1/2, par. 7-112) Sec. 7-112. "Current Service": The period beginning on the day an employee first becomes a participating employee and ending on the day of the latest separation from service of all participating municipalities, and instrumentalitie…

(40 ILCS 5/7-113) (from Ch. 108 1/2, par. 7-113) Sec. 7-113. "Creditable Service": All periods of prior service or current service for which credits are granted under the provisions of Section 7-139. (Source: P.A. 90-448, eff. 8-16-97.)

(40 ILCS 5/7-114) (from Ch. 108 1/2, par. 7-114) Sec. 7-114. Earnings. "Earnings": (a) An amount to be determined by the board, equal to the sum of: 1. The total amount of money paid to an employee for personal services or official duties as an employee (except those employed as …

(40 ILCS 5/7-115) (from Ch. 108 1/2, par. 7-115) Sec. 7-115. Rate of earnings. "Rate of earnings": The actual rate upon which the earnings of an employee are calculated at any time, as certified in a written notice, on file with the board, by the governing body of the municipalit…

(40 ILCS 5/7-116) (from Ch. 108 1/2, par. 7-116) Sec. 7-116. "Final rate of earnings": (a) For retirement and survivor annuities, the monthly earnings obtained by dividing the total earnings received by the employee during the period of either (1) for Tier 1 regular employees, th…

(40 ILCS 5/7-117) (from Ch. 108 1/2, par. 7-117) Sec. 7-117. Annuitant. "Annuitant": A person receiving an annuity from this fund. (Source: Laws 1963, p. 161.)

(40 ILCS 5/7-118) (from Ch. 108 1/2, par. 7-118) Sec. 7-118. "Beneficiary". (a) "Beneficiary" means: (1) Any person or persons, trust, or charity designated as a beneficiary by an employee, former employee who has not yet received a retirement annuity or separation benefit, or em…

(40 ILCS 5/7-119) (from Ch. 108 1/2, par. 7-119) Sec. 7-119. Annuity. "Annuity": A series of equal monthly payments, payable as of the first day of each calendar month during the life of an annuitant, the first payment to be made as of the first day of the calendar month coincide…

(40 ILCS 5/7-120) (from Ch. 108 1/2, par. 7-120) Sec. 7-120. Board. "Board": The board of trustees of the fund. (Source: Laws 1963, p. 161.)

(40 ILCS 5/7-121) (from Ch. 108 1/2, par. 7-121) Sec. 7-121. "Governing body": (a) the city council in cities; (b) the board of trustees in villages or in incorporated towns; (c) the county board in counties; (d) in townships, the electors for purposes of electing whether the tow…

(40 ILCS 5/7-122) (from Ch. 108 1/2, par. 7-122) Sec. 7-122. Effective date. "Effective date": The date the provisions of this fund become applicable to any participating municipality and to all instrumentalities thereof and to participating instrumentalities, as provided in Sect…

(40 ILCS 5/7-123) (from Ch. 108 1/2, par. 7-123) Sec. 7-123. Effective rate of interest. "Effective rate of interest": The interest rate determined by the Board for any calendar year which shall distribute, to the extent reasonably determinable prior to the year for which the rat…

(40 ILCS 5/7-124) (from Ch. 108 1/2, par. 7-124) Sec. 7-124. Prescribed rate of interest. "Prescribed rate of interest": The rate of interest to be used for calculation of the rates of municipality contributions and amounts of annuities and benefits as determined by the board on …

(40 ILCS 5/7-125) (from Ch. 108 1/2, par. 7-125) Sec. 7-125. Federal Social Security Act. "Federal Social Security Act": Title II of the Social Security Act of August 14, 1935, 74th Congress, Ch. 531, 49 Stat. 620, 42 U.S. Code, Ch. 7, Supp., as heretofore or hereafter amended. (…

(40 ILCS 5/7-126) (from Ch. 108 1/2, par. 7-126) Sec. 7-126. Federal Insurance Contributions Act. "Federal Insurance Contributions Act": Chapter 21 of Sub-title C of the Internal Revenue Code of 1954, 83rd Congress, Public Law 591, Chap. 736, approved August 16, 1954, as heretofo…

(40 ILCS 5/7-127) (from Ch. 108 1/2, par. 7-127) Sec. 7-127. Social Security Enabling Act. "Social Security Enabling Act": Article 21 of the Illinois Pension Code, as the same may from time to time be amended. (Source: Laws 1963, p. 161.)

(40 ILCS 5/7-128) (from Ch. 108 1/2, par. 7-128) Sec. 7-128. State agency. "State agency": The Social Security Unit of the State Employees' Retirement System of Illinois as defined in the Social Security Enabling Act or any agency succeeding to the duties thereof. (Source: Laws 1…

(40 ILCS 5/7-129) (from Ch. 108 1/2, par. 7-129) Sec. 7-129. Covered municipalities and participating instrumentalities. "Covered municipalities and participating instrumentalities": Municipalities and participating instrumentalities covered under the Federal Social Security Act …

(40 ILCS 5/7-130) (from Ch. 108 1/2, par. 7-130) Sec. 7-130. Covered employee. "Covered employee": An employee covered under the Federal Social Security Act as provided in Section 7-138 hereof. (Source: Laws 1963, p. 161.)

(40 ILCS 5/7-132) (from Ch. 108 1/2, par. 7-132) Sec. 7-132. Municipalities, instrumentalities and participating instrumentalities included and effective dates. (A) Municipalities and their instrumentalities. (a) The following described municipalities, but not including any with …

(40 ILCS 5/7-132.1) (from Ch. 108 1/2, par. 7-132.1) Sec. 7-132.1. Towns - Election to participate. For purposes of this Article, a town which is not a participating municipality on the effective date of this Act, shall be considered to include the town itself and all other bodie…

(40 ILCS 5/7-132.2) (from Ch. 108 1/2, par. 7-132.2) Sec. 7-132.2. Regional office of education. (a) A regional office of education serving 2 or more counties, except those serving a county of 1,000,000 inhabitants or more, formed pursuant to Article 3A of the School Code shall b…

(40 ILCS 5/7-132.3) (from Ch. 108 1/2, par. 7-132.3) Sec. 7-132.3. The EDC Foundation of Chicago. The EDC Foundation of Chicago, an Illinois not-for-profit corporation, may participate in the Fund and become subject to this Article as follows: (1) By October 1 of the year precedi…

(40 ILCS 5/7-134) (from Ch. 108 1/2, par. 7-134) Sec. 7-134. Municipality referendum and notice of election to participate. (a) A municipality electing to be included within this Article by referendum shall hold such referendum within the territory of the municipality following t…

(40 ILCS 5/7-135) (from Ch. 108 1/2, par. 7-135) Sec. 7-135. Authorized agents. (a) Each participating municipality and participating instrumentality shall appoint an authorized agent who shall have the powers and duties set forth in this section. In absence of such appointment, …

(40 ILCS 5/7-135.5) Sec. 7-135.5. Required public posting of information by the Fund. (a) The Fund shall post on its publicly available website the following information regarding municipalities that participate in the Fund that the Fund has in its possession: (1) copies of all r…

(40 ILCS 5/7-136) (from Ch. 108 1/2, par. 7-136) Sec. 7-136. Municipalities and participating instrumentalities covered under the Federal Social Security Act and effective dates. Subject to the provisions of the Agreement with the State Agency as provided in Section 7-170, the fo…

(40 ILCS 5/7-137) (from Ch. 108 1/2, par. 7-137) Sec. 7-137. Participating and covered employees. (a) The persons described in this paragraph (a) shall be included within and be subject to this Article and eligible to benefits from this fund, beginning upon the dates hereinafter …

(40 ILCS 5/7-137.1) (from Ch. 108 1/2, par. 7-137.1) Sec. 7-137.1. Elected officials. (a) A person holding an elective office who has elected to participate in the Fund while in that office may revoke that election and cease participating in the Fund by notifying the Board in wri…

(40 ILCS 5/7-137.2) Sec. 7-137.2. Participation by elected members of county boards. (a) An elected member of a county board is not eligible to participate in the Fund with respect to that position unless the county board has adopted a resolution, after public debate and in a for…

(40 ILCS 5/7-138) (from Ch. 108 1/2, par. 7-138) Sec. 7-138. Employees covered under the Federal Social Security Act and effective dates. Subject to the Agreement with the State Agency as described in Section 7-170, the following described employees of covered municipalities and …

(40 ILCS 5/7-139) (from Ch. 108 1/2, par. 7-139) Sec. 7-139. Credits and creditable service to employees. (a) Each participating employee shall be granted credits and creditable service, for purposes of determining the amount of any annuity or benefit to which he or a beneficiary…

(40 ILCS 5/7-139.1) (from Ch. 108 1/2, par. 7-139.1) Sec. 7-139.1. General Assembly transfers and credits. (a) Any active member of the General Assembly Retirement System (and until February 1, 1993, any former member of that System who has not yet retired) may apply for transfer…