IL SB1268

Increases the death benefit for Illinois Municipal Retirement Fund (IMRF) members from $3,000 to $8,000, effective January 1, 2026

The increased $8,000 death benefit applies only to deaths occurring on or after January 1, 2025, and only to persons who first retire on or after the effective date of the act

Persons who first retired before the effective date remain eligible for the $3,000 death benefit

Amends the State Mandates Act to require local governments to implement the changes without reimbursement from the state

Modifies multiple sections of the Illinois Pension Code governing surviving spouse annuity options, death benefit amounts, municipal contribution calculations, and reserve fund provisions