IL HB3592

Amends the Illinois Pension Code to allow local government employers to establish early retirement incentive programs for employees in the Illinois Municipal Retirement Fund (IMRF).

Eligible employees must be at least age 50 with 20 years of creditable service and can receive up to 5 additional years of service credit and equivalent age enhancement upon early retirement.

Employees must pay the full employee contribution rate for any credited service purchased under the program, calculated based on their highest annual salary.

Retirees who accept employment with any IMRF employer must forfeit the early retirement incentives, repay portions of annuity already received, and are ineligible for future early retirement programs.

Additional unfunded liability from early retirement programs must be amortized over 10 years (or shorter period of 5-10 years if employer chooses), and employers cannot offer multiple programs until previous program liabilities are fully paid.