IL HB2978

Allows Chicago firefighters who have applied for retirement to elect an accelerated pension benefit payment option if the City of Chicago issues bonds for this purpose.

Eligible firefighters can reduce their retirement annuity by 25% in exchange for an accelerated payment equal to 75% of the present value of that reduction.

Accelerated payments must be transferred into a tax-qualified retirement plan or account and cannot be repaid to the Fund.

Total accelerated pension benefit payments are capped at $500,000,000 and can only be funded through bond proceeds issued by the City of Chicago.

Exempts the mandate from State reimbursement requirements under the State Mandates Act and takes effect immediately upon becoming law.