IL SB0043

Changes required distribution age from 70½ to age 72 in Illinois pension systems (IMRF, State Universities, Downstate Teachers, Chicago Teachers, State Employees, and Judges) to align with Internal Revenue Code Section 401(a)(9).

Modifies retirement annuity payment provisions to reference the required age of distribution under Section 401(a)(9) of the Internal Revenue Code instead of the fixed age of 70½.

Updates survivor benefit distribution requirements to become payable on December 1 of the calendar year in which the deceased member would have attained age 72 (instead of 70½), whichever occurs latest.

Requires annuity payment periods to begin automatically on the required distribution date if a participant is not employed by a participating employer on April 1 of the calendar year following the year they attain the required distribution age.

Exempts the State from reimbursement requirements under the State Mandates Act for implementation of these changes, effective immediately.