PEN CD-REFORM STATE SYSTEMS

Amends the Budget Stabilization Act. Provides for the transfer of $1 billion from the General Revenue Fund to the Pension Stabilization Fund in 2020 and each fiscal year thereafter. Provides for the termination of those transfers in State fiscal year 2057 or when each of the designated retirement systems has achieved the funding ratio prescribed by law for that retirement system, whichever occurs first. Specifies that the transferred amounts do not reduce and do not constitute payment of any portion of the required State contribution. Amends the Illinois Income Tax Act. Includes annual retirement income above $125,000 in the calculation of adjusted gross income. Amends the General Assembly, State Employee, State Universities, Downstate Teacher, and Judges Articles of the Illinois Pension Code. Provides a new funding formula, designed to bring the total assets of the System up to 80% of the total actuarial liabilities of the System by the end of State fiscal year 2057. Contains a funding guarantee that obligates the State to make certain contributions. Provides for the recalculation of the required State contribution to each of the Systems for State fiscal year 2014. Effective immediately.