40 ILCS 5/7-132
2021 Illinois Compiled Statutes|Chapter 40 - PENSIONS|40 ILCS 5/ - Illinois Pension Code.|Article 7 - Illinois Municipal Retirement Fund

   (from Ch. 108 1/2, par. 7-132)Sec. 7-132. Municipalities, instrumentalities and participating  instrumentalities included and effective dates.(A) Municipalities and their instrumentalities.(a) The following described municipalities, but not including any with  more than 1,000,000 inhabitants, and the instrumentalities thereof,  shall be included within and be subject to this Article beginning upon the  effective dates specified by the Board:(1) Except as to the municipalities and     instrumentalities thereof specifically excluded under this Article, every county shall be subject to this Article, and all cities, villages and incorporated towns having a population in excess of 5,000 inhabitants as determined by the last preceding decennial or subsequent federal census, shall be subject to this Article following publication of the census by the Bureau of the Census. Within 90 days after publication of the census, the Board shall notify any municipality that has become subject to this Article as a result of that census, and shall provide information to the corporate authorities of the municipality explaining the duties and consequences of participation. The notification shall also include a proposed date upon which participation by the municipality will commence.However, for any city, village or incorporated town     that attains a population over 5,000 inhabitants after having provided social security coverage for its employees under the Social Security Enabling Act, participation under this Article shall not be mandatory but may be elected in accordance with subparagraph (3) or (4) of this paragraph (a), whichever is applicable.(2) School districts, other than those specifically     excluded under this Article, shall be subject to this Article, without election, with respect to all employees thereof.(3) Towns and all other bodies politic and corporate     which are formed by vote of, or are subject to control by, the electors in towns and are located in towns which are not participating municipalities on the effective date of this Act, may become subject to this Article by election pursuant to Section 7-132.1.(4) Any other municipality (together with its     instrumentalities), other than those specifically excluded from participation and those described in paragraph (3) above, may elect to be included either by referendum under Section 7-134 or by the adoption of a resolution or ordinance by its governing body.  A copy of such resolution or ordinance duly authenticated and certified by the clerk of the municipality or other appropriate official of its governing body shall constitute the required notice to the board of such action.(b) A municipality that is about to begin participation shall submit to  the Board an application to participate, in a form acceptable to the Board,  not later than 90 days prior to the proposed effective date of  participation.  The Board shall act upon the application within 90 days,  and if it finds that the application is in conformity with its requirements  and the requirements of this Article, participation by the applicant shall  commence on a date acceptable to the municipality and specified by the  Board, but in no event more than one year from the date of application.(c) A participating municipality which succeeds to the functions  of a participating municipality which is dissolved or terminates its  existence shall assume and be transferred the net accumulation balance  in the municipality reserve and the municipality account receivable  balance of the terminated municipality.(d) In the case of a Veterans Assistance Commission whose employees  were being treated by the Fund on January 1, 1990 as employees of the  county served by the Commission, the Fund may continue to treat the  employees of the Veterans Assistance Commission as county employees for  the purposes of this Article, unless the Commission becomes a participating  instrumentality in accordance with subsection (B) of this Section.  (B) Participating instrumentalities.(a) The participating instrumentalities designated in  paragraph (b) of this subsection shall be included within  and be subject to this Article if:(1) an application to participate, in a form     acceptable to the Board and adopted by a two-thirds vote of the governing body, is presented to the Board not later than 90 days prior to the proposed effective date; and(2) the Board finds that the application is in     conformity with its requirements, that the applicant has reasonable expectation to continue as a political entity for a period of at least 10 years and has the prospective financial capacity to meet its current and future obligations to the Fund, and that the actuarial soundness of the Fund may be reasonably expected to be unimpaired by approval of participation by the applicant.The Board shall notify the applicant of its findings within 90 days  after receiving the application, and if the  Board approves the application, participation by the applicant shall  commence on the effective date specified by the Board.(b) The following participating instrumentalities, so long as  they meet the requirements of Section 7-108 and the area served by them  or within their jurisdiction is not located entirely within a municipality  having more than one million inhabitants, may be included hereunder:i. Township School District Trustees.ii. Multiple County and Consolidated Health     Departments created under Division 5-25 of the Counties Code or its predecessor law.iii. Public Building Commissions created under the     Public Building Commission Act, and located in counties of less than 1,000,000 inhabitants.iv. A multitype, consolidated or cooperative library     system created under the Illinois Library System Act.  Any library system created under the Illinois Library System Act that has one or more predecessors that participated in the Fund may participate in the Fund upon application.  The Board shall establish procedures for implementing the transfer of rights and obligations from the predecessor system to the successor system.v. Regional Planning Commissions created under     Division 5-14 of the Counties Code or its predecessor law.vi. Local Public Housing Authorities created under     the Housing Authorities Act, located in counties of less than 1,000,000 inhabitants.vii. Illinois Municipal League.viii. Northeastern Illinois Metropolitan Area     Planning Commission.ix. Southwestern Illinois Metropolitan Area Planning     Commission.x. Illinois Association of Park Districts.xi. Illinois Supervisors, County Commissioners and     Superintendents of Highways Association.xii. Tri-City Regional Port District.xiii. An association, or not-for-profit corporation,     membership in which is authorized under Section 85-15 of the Township Code.xiv. Drainage Districts operating under the Illinois     Drainage Code.xv. Local mass transit districts created under the     Local Mass Transit District Act.xvi. Soil and water conservation districts created     under the Soil and Water Conservation Districts Law.xvii. Commissions created to provide water supply or     sewer services or both under Division 135 or Division 136 of Article 11 of the Illinois Municipal Code.xviii. Public water districts created under the     Public Water District Act.xix. Veterans Assistance Commissions established     under Section 9 of the Military Veterans Assistance Act that serve counties with a population of less than 1,000,000.xx. The governing body of an entity, other than a     vocational education cooperative, created under an intergovernmental cooperative agreement established between participating municipalities under the Intergovernmental Cooperation Act, which by the terms of the agreement is the employer of the persons performing services under the agreement under the usual common law rules determining the employer-employee relationship. The governing body of such an intergovernmental cooperative entity established prior to July 1, 1988 may make participation retroactive to the effective date of the agreement and, if so, the effective date of participation shall be the date the required application is filed with the fund.  If any such entity is unable to pay the required employer contributions to the fund, then the participating municipalities shall make payment of the required contributions and the payments shall be allocated as provided in the agreement or, if not so provided, equally among them.xxi. The Illinois Municipal Electric Agency.xxii. The Waukegan Port District.xxiii. The Fox Waterway Agency created under the Fox     Waterway Agency Act.xxiv. The Illinois Municipal Gas Agency.xxv. The Kaskaskia Regional Port District.xxvi. The Southwestern Illinois Development Authority.xxvii. The Cairo Public Utility Company.xxviii. Except with respect to employees who elect to     participate in the State Employees' Retirement System of Illinois under Section 14-104.13 of this Code, the Chicago Metropolitan Agency for Planning created under the Regional Planning Act, provided that, with respect to the benefits payable pursuant to Sections 7-146, 7-150, and 7-164 and the requirement that eligibility for such benefits is conditional upon satisfying a minimum period of service or a minimum contribution, any employee of the Chicago Metropolitan Agency for Planning that was immediately prior to such employment an employee of the Chicago Area Transportation Study or the Northeastern Illinois Planning Commission, such employee's service at the Chicago Area Transportation Study or the Northeastern Illinois Planning Commission and contributions to the State Employees' Retirement System of Illinois established under Article 14 and the Illinois Municipal Retirement Fund shall count towards the satisfaction of such requirements.xxix. United Counties Council (formerly the Urban     Counties Council), but only if the Council has a ruling from the United States Internal Revenue Service that it is a governmental entity.xxx. The Will County Governmental League, but only if     the League has a ruling from the United States Internal Revenue Service that it is a governmental entity.xxxi. The Firefighters' Pension Investment Fund.xxxii. The Police Officers' Pension Investment Fund.(c) The governing boards of special education joint agreements  created under Section 10-22.31 of the School Code without designation of an  administrative district shall be included within and be subject to this  Article as participating instrumentalities when the joint agreement becomes  effective.  However, the governing board of any such special education  joint agreement in effect before September 5, 1975 shall not be subject to this  Article unless the joint agreement is modified by the school districts to  provide that the governing board is subject to this Article, except as  otherwise provided by this Section.The governing board of the Special Education District of Lake County shall  become subject to this Article as a participating instrumentality on July 1,  1997.  Notwithstanding subdivision (a)1 of Section 7-139, on the effective date  of participation, employees of the governing board of the Special Education  District of Lake County shall receive creditable service for their prior  service with that employer, up to a maximum of 5 years, without any employee  contribution.  Employees may establish creditable service for the remainder  of their prior service with that employer, if any, by applying in writing and  paying an employee contribution in an amount determined by the Fund, based on  the employee contribution rates in effect at the time of application for the  creditable service and the employee's salary rate on the effective date of  participation for that employer, plus interest at the effective rate from the  date of the prior service to the date of payment.  Application for this  creditable service must be made before July 1, 1998; the payment may be made  at any time while the employee is still in service.  The employer may elect to  make the required contribution on behalf of the employee.The governing board of a special education joint agreement created  under Section 10-22.31 of the School Code for which an administrative  district has been designated, if there are employees of the cooperative  educational entity who are not employees of the administrative district,  may elect to participate in the Fund and be included within this Article as  a participating instrumentality, subject to such application procedures and  rules as the Board may prescribe.The Boards of Control of cooperative or joint educational programs or  projects created and administered under Section 3-15.14 of the School  Code, whether or not the Boards  act as their own administrative district,  shall be included within and be subject to this Article as participating  instrumentalities when the agreement establishing the cooperative or joint  educational program or project becomes effective.The governing board of a special education joint agreement entered into  after June 30, 1984 and prior to September 17, 1985 which provides for  representation on the governing board by less than all the participating  districts shall be included within and subject to this Article as a  participating instrumentality.  Such participation shall be effective as of  the date the joint agreement becomes effective.The governing boards of educational service centers established under  Section 2-3.62 of the School Code shall be included within and subject to  this Article as participating instrumentalities.  The governing boards of  vocational education cooperative agreements created under the  Intergovernmental Cooperation Act and approved by the State Board of  Education shall be included within and be subject to this  Article as participating instrumentalities.  If any such governing boards  or boards of control are unable to pay the required employer contributions  to the fund, then the school districts served by such boards shall make  payment of required contributions as provided in Section 7-172.  The  payments shall be allocated among the several school districts in  proportion to the number of students in average daily attendance for the  last full school year for each district in relation to the total number of  students in average attendance for such period for all districts served.  If such educational service centers, vocational education cooperatives or  cooperative or joint educational programs or projects created and  administered under Section 3-15.14 of the School Code are dissolved, the  assets and obligations shall be distributed among the districts in the  same proportions unless otherwise provided.The governing board of Paris Cooperative High School shall be included within and be subject to this  Article as a participating instrumentality on the effective date of this amendatory Act of the 96th General Assembly. If the governing board of Paris Cooperative High School is unable to pay the required employer contributions  to the fund, then the school districts served shall make  payment of required contributions as provided in Section 7-172.  The  payments shall be allocated among the several school districts in  proportion to the number of students in average daily attendance for the  last full school year for each district in relation to the total number of  students in average attendance for such period for all districts served.  If Paris Cooperative High School is dissolved, then the  assets and obligations shall be distributed among the districts in the  same proportions unless otherwise provided.The Philip J. Rock Center and School shall be included within and be subject to this Article as a participating instrumentality on the effective date of this amendatory Act of the 97th General Assembly. The Philip J. Rock Center and School shall certify to the Fund the dates of service of all employees within 90 days of the effective date of this amendatory Act of the 97th General Assembly. The Fund shall transfer to the IMRF account of the Philip J. Rock Center and School all creditable service and all employer contributions made on behalf of the employees for service at the Philip J. Rock Center and School that were reported and paid to IMRF by another employer prior to this date. If the Philip J. Rock Center and School is unable to pay the required employer contributions to the Fund, then the amount due will be paid by all employers as defined in item (2) of paragraph (a) of subsection (A) of this Section. The payments shall be allocated among these employers in proportion to the number of students in average daily attendance for the last full school year for each district in relation to the total number of students in average attendance for such period for all districts. If the Philip J. Rock Center and School is dissolved, then its IMRF assets and obligations shall be distributed in the same proportions unless otherwise provided.Financial Oversight Panels established under Article 1H of the School Code shall be included within and be subject to this Article as a participating instrumentality on the effective date of this amendatory Act of the 97th General Assembly. If the Financial Oversight Panel is unable to pay the required employer contributions to the fund, then the school districts served shall make payment of required contributions as provided in Section 7-172.  If the Financial Oversight Panel is dissolved, then the assets and obligations shall be distributed to the district served.(d) The governing boards of special recreation joint agreements  created under Section 8-10b of the Park District Code, operating  without  designation of an administrative district or an administrative  municipality appointed to administer the program operating under the  authority of such joint agreement shall be included within and be  subject to this Article as participating instrumentalities when the  joint agreement becomes effective.  However, the governing board of any  such special recreation joint agreement in effect before January 1,  1980 shall not be subject to this Article unless the joint agreement is  modified, by the districts and municipalities which are parties to the  agreement, to provide that the governing board is subject to this Article.If the Board returns any employer and employee contributions to any  employer which erroneously submitted such contributions on behalf of a  special recreation joint agreement, the Board shall include interest  computed from the end of each year to the date of payment, not compounded,  at the rate of 7% per annum.(e) Each multi-township assessment district, the board of  trustees of which has adopted this Article by ordinance prior to April 1,  1982, shall be a participating instrumentality included within and subject  to this Article effective December 1, 1981. The contributions required  under Section 7-172 shall be included in the budget prepared under and  allocated in accordance with Section 2-30 of the Property Tax Code.(f) The Illinois Medical District Commission created under the Illinois Medical District Act may be included within and subject to  this Article as a participating instrumentality, notwithstanding that the location of the District is entirely within the City of Chicago. To become a participating instrumentality, the Commission must apply to the Board in the manner set forth in paragraph (a) of this subsection (B). If the  Board approves the application, under the criteria and procedures set forth in paragraph (a) and any other applicable rules, criteria, and procedures of the Board, participation by the Commission shall  commence on the effective date specified by the Board.  (C) Prospective participants.Beginning January 1, 1992, each prospective participating  municipality or participating instrumentality shall pay to the Fund the  cost, as determined by the Board, of a study prepared by the Fund or its  actuary, detailing the prospective costs of participation in the Fund to be  expected by the municipality or instrumentality.  (Source: P.A. 102-637, eff. 8-27-21.)