IL HB2623

Amends the Illinois Pension Code to allow school districts to offer alternative qualifying defined contribution plans instead of automatic enrollment in the Downstate Teacher Retirement System's defined contribution benefit.

Alternative qualifying plans must meet specific criteria: single vendor for recordkeeping, no annuities or separate accounts, permit fee-free fund transfers at employee direction, and restrict recordkeepers from cross-selling non-plan products to participants.

School districts electing to use alternative qualifying plans must follow the same automatic enrollment procedures and automatic contribution increase provisions as the System's defined contribution benefit.

Requires school districts offering alternative qualifying plans to file a board-passed resolution certifying compliance with the established criteria and submit it to the System as soon as practicable.

Effective immediately upon enactment.