IL HB5666

Allows persons who first become Illinois Municipal Retirement Fund (IMRF) participants on or after January 1, 2011 to elect a self-managed (defined contribution) retirement plan as an alternative to the reformed benefit package.

Self-managed plan participants accumulate retirement assets through employer and employee contributions invested in mutual funds, collective investment funds, or other investment products, and may purchase fixed or variable annuity contracts.

IMRF must make the self-managed plan available within 6 months of the act's effective date; eligible participants have one year to elect between the self-managed plan or reformed benefit package, with the reformed package as the default option.

Employer contributions to the self-managed plan equal employee contributions; participants become vested in employer contributions after 5 years of service, death while employed with 1.5+ years of service, or upon retirement election.

Amends the State Mandates Act to require implementation without state reimbursement to municipalities.