SB2650 Summary

• Requires the State Employees' Retirement System (SERS) to establish a defined contribution plan for employees of the Illinois State Board of Elections who are not covered by collective bargaining agreements, effective by July 1, 2019.

• Eligible employees may voluntarily elect to participate in the defined contribution plan instead of the defined benefit plan, with both State and employee contributions at 3% of compensation.

• State contributions and earnings vest immediately upon payment to participant accounts; employees may also elect to terminate defined benefit plan participation and receive a transfer of their contribution refund balance.

• The defined contribution plan provides investment options through the Illinois State Board of Investment and private sector providers, with various payout options for retirees and survivors.

• Modifies the Retirement Systems Reciprocal Act (Article 20) to allow service credits under the defined contribution plan to count toward defined benefit plan eligibility and to establish the Illinois State Board of Investment as the plan sponsor.