House Sponsors: BOLAND. Short description: PEN CD-IMRF-COMPOUND 3% INCR Synopsis of Bill as introduced: Amends the IMRF Article of the Illinois Pension Code to compound the automatic annual increase in retirement, incremental, disability, and survivor annuities. Amends the State Mandates Act to require implementation without reimbursement. Effective immediately. PENSION IMPACT NOTE (Illinois Pension Laws Commission) According to IMRF, providing compounded annual increases to all current and future beneficiaries would increase the accrued liabilities of the Fund by $780.9 million ($724.7 million for regular employees and $56.2 million for SLEP employees). The corresponding increase in average annual cost (including nor- moral cost) is estimated to be 1.49% of payroll for regular IMRF employers and 2.77% of payroll for SLEP employers, assum- ing amortization of the increase in accrued liabilities over 30 years. This cost would be reduced by a savings of 0.62% of payroll from discontinuing the supplemental benefit payment. Therefore, the total annual cost associated with HB 1035 is 0.87% of payroll for regular IMRF employers and 2.15% of payroll for SLEP employers. The required contributions (as percent of payroll) may vary widely among employers. Last action on Bill: SESSION SINE DIE Last action date: JAN-07-2003 Location: House Amendments to Bill: AMENDMENTS ADOPTED: HOUSE - 0 SENATE - 0 END OF INQUIRY Full Text Bill Status