IL SB0178

Authorizes the issuance of an additional $120,015,000,000 in State Serial Long Term Pension Obligation Bonds, increasing the total authorized bond amount to $177,732,925,743.

Creates the State Serial Long Term Pension Obligation Bond Fund to receive bond proceeds, which shall be distributed to state pension systems on a pro-rata basis to bring each fund's actuarially accrued unfunded liability to a 90% level.

Requires each pension system under Articles 14, 15, or 16 of the Illinois Pension Code to establish a designated investment fund for 36% of bond proceeds received, to be used for interest arbitrage and debt service contributions related to the bonds.

Establishes a continuing appropriation for principal and interest payments on the State Serial Long Term Pension Obligation Bonds through the State Pension Funds Continuing Appropriation Act.

Permits State Serial Long Term Pension Obligation Bonds to have a term not exceeding 30 years and allows issuance with flexible terms regarding form, interest rates, and redemption options.