HB1372 Summary

• Delays by one year the implementation of a State Comptroller diversion procedure for delinquent pension fund contributions from municipalities, shifting the start date from fiscal year 2016 to fiscal year 2017.

• Changes the phased implementation schedule for diverting State grant payments: one-third diversion begins in FY 2017, two-thirds in FY 2018, and full diversion in FY 2019 and thereafter (previously 2016-2018).

• Applies to four pension systems: Downstate Police (Section 3-125), Chicago Police (Section 5-168), Downstate Firefighters (Section 4-118), and Chicago Firefighters (Section 6-165).

• Maintains the requirement that municipalities must be more than 90 days overdue in pension fund contributions before the State Comptroller can intercept and redirect their State grants to the pension fund.

• Takes effect immediately upon becoming law.