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Resolution to Adopt Early Retirement Incentive Program
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WHEREAS, Section 7-141.1 of the Illinois Pension Code provides that a participating employer may elect to adopt an Early Retirement Incentive (ERI) Program offered by Illinois Municipal Retirement Fund by adopting a resolution; and
WHEREAS, the goal of adopting an ERI program is to realize a substantial savings in personnel costs by offering early retirement incentives to employees who have accumulated many years of service credit; and
WHEREAS, IMRF has prepared an actuarial estimate of the cost of an ERI Program for the Village of Romeoville and the additional liability is estimated to be $6,287,956 and the repayment cost is to be $6,287,956.
WHEREAS, the Mayor and Board of Trustees have reviewed the cost estimated and determined that the adoption of an ERI Program is in the best interests of the Village of Romeoville; therefore, be it
NOW THEREFORE, BE IT RESOVLED by the Mayor and Board of Trustees of the Village of Romeoville that:
SECTION 1. The Village of Romeoville does hereby adopt the Illinois Municipal Fund Early Retirement Incentive Program as provided in Section 7-141.1 of the Illinois Pension Code. The Early Retirement Incentive Program will take effect on November 30, 2019.
SECTION 2. In order to help achieve a true cost savings, an employee who retires under the ERI Program shall lose those incentives if he or she later accepts employment with any IMRF employer in any position. (Exception: employee can hold an elected position if he/she chooses not to participate in IMRF and the pension is not based on any service earned in that position during any term in office.)
SECTION 3. In order to utilize an early retirement incentive as a budgeting tool, the Village of Romeoville will use its best efforts to limit the number of retiring employees replaced or to limit the salaries paid to replacement employees.
SECTION 4. The effective date of each employee’s retirement under this ERI Program shall be set by the Village of Romeoville and shall be no earlier than the effective date of the program and no later than one year from that effective date; except that the employee may require that the retirement date set by the employer be no later than the June 30 next occurring after the effective date of the program and no earlier than the date upon which the employee qualifies for retirement.
SECTION 5. To be eligible for the early retirement incentive under this Section, the employee must have attained age 50 and have at least 20 years of creditable service by his or her retirement date.
SECTION 6. As of the date of the adoption of the Resolution, the Mayor and Board of Trustees is not aware of the pending dissolution of the Village of Romeoville.
SECTION 7. The Village Clerk shall promptly file a certified copy of this resolution with the Board of Trustees of the Illinois Municipal Retirement Fund.