Illinois Pension Consolidation Act

January 21, 2020

On December 18th, 2019, Governor Pritzker officially signed Public Act 101-0610 into law, which then took effect on January 1st, 2020. A large portion of this new law (the “Pension Consolidation Act”) requires all 649 Illinois suburban and downstate police and firefighters pension funds — previously established as prescribed by Articles 3 and 4, respectively, of the Illinois Pension Code — to consolidate their assets into two new statewide funds: one for all police pension funds and one for all firefighter pension funds.

This legislative update covers the background and reasoning for consolidating these public safety pension funds, lays out the established timeline for the consolidation process, and details the ongoing responsibilities, requirements, and structure of both current local boards and the transition and permanent boards for the newly established funds.

Download PDF > Illinois Pension Consolidation Act Legislative Update

While there is still some uncertainty regarding the implementation and timing of the transition, Marquette will continue to monitor new announcements closely and provide regular updates to our Article 3 and 4 pension fund clients as details emerge. Also included in this update are several key points we consider of utmost importance as the transition boards begin implementing the Act, including governance, infrastructure, personnel, a transition plan, and implementation. We are prepared to work with the consolidated funds, auditors, and any other necessary service providers to ensure our clients experience a transition that is as seamless as possible.

For further information or questions, please contact your consultant.

 

The opinions expressed herein are those of Marquette Associates, Inc. (“Marquette”), and are subject to change without notice. This material is not financial advice or an offer to purchase or sell any product. Marquette reserves the right to modify its current investment strategies and techniques based on changing market dynamics or client needs. Information contained herein should not be construed as legal advice.

Related Content

02.19.2020

The Future of Investing: Sustainability and ESG Integration

With 2020 underway, sustainable investing continues to be a trending topic, although the concept of incorporating environmental, social, and governance…

01.28.2020

Will the Spread of Coronavirus Drive a Risk-Off Market?

Global markets have come under pressure as the number of coronavirus cases grows. Through January 27th, the S&P 500 is…

01.23.2020

2020 Market Preview

2019 was certainly a profitable year for investors as traditional and alternative asset classes delivered positive returns.  As we enter…

01.13.2020

2020 Market Preview Video

This video coincides with our annual Market Preview newsletters and includes a recap of 2019’s performance and…

01.14.2020

Institutional Retirement Plans Legislative Update — SECURE Act

As speculated in Marquette’s recent  4Q 2019 DC Legislative Update, Congress passed sweeping retirement savings reform by tacking…

01.14.2020

Individual Retirement Plans Legislative Update — SECURE Act

In June of 2019, we published our first paper on the SECURE Act, “Securing Retirement through the…

More articles

Subscribe to Research Email Alerts

Research Email Alert Subscription

Research alerts keep you updated on our latest research publications. Simply enter your contact information, choose the research alerts you would like to receive and click Subscribe. Alerts will be sent as research is published.

We respect your privacy. We will never share or sell your information.

Thank You

We appreciate your interest in Marquette Associates.

If you have questions or need further information, please contact us directly and we will respond to your inquiry within 24 hours.

Contact Us >