HB3069 Summary

• Authorizes local government units including municipalities, counties, cities, school districts, and community colleges to establish alternative retirement plans for new employees, either in addition to or replacing existing pension plans.

• Alternative retirement plans may include defined-benefit components, defined-contribution components, or both, with no requirement to provide any minimum level of benefits except mandatory Social Security coverage if applicable.

• Service credit earned under alternative retirement plans cannot be transferred to other pension funds or used under the Retirement Systems Reciprocal Act.

• Existing pension plan participants retain all current rights and benefits; local governments must continue contributing to existing plans regardless of establishing alternative plans.

• Employers are exempt from mandatory collective bargaining requirements regarding the adoption or implementation of alternative retirement plans under the Illinois Public Labor Relations Act and Illinois Educational Labor Relations Act.