All Article 3 and Article 4 Pension Funds established under the Illinois Pension Code

On March 9, 2020, Governor JB Pritzker proclaimed a statewide disaster due to the Coronavirus Disease 2019 (COVID-19) outbreak within the State of Illinois, and again on April 1, 2020 declared a statewide disaster in response to the exponential spread of COVID-19 (the “Gubernatorial Disaster Proclamations”). On March 20, 2020, the Governor issued Executive Order 2020-10 ordering Illinois residents to stay at home unless otherwise permitted under the order and that all non-essential business and operations within the State cease for the remainder of the Gubernatorial Disaster Proclamations. On April 1, 2020, the Governor issued Executive Order 2020-18 continuing and extending Executive Order 2020-10 in its entirety for the duration of the Gubernatorial Disaster Proclamations.

The State of Illinois, Department of Insurance, Public Pension Division (Division), has the following information and suggestions for downstate police and fire, Articles 3 and 4 of the Illinois Pension Code (Code), pension funds and pension funds boards of trustees for the duration of any proclaimed disaster or stay at home Executive Order and for a reasonable time thereafter. Any and all good faith efforts by the pension funds and the pension funds boards of trustees to comply with any statutory or fiduciary duties during the above identified times shall not be considered by the Division as an examination finding. Most importantly, each pension fund, as expeditiously as possible, should remotely conduct an annual, special or emergency
meeting to adopt its policies and procedures to be applied during the above identified times. All actions taken by the pension boards should be by resolution and documented as per its regular practices. The pensions boards should utilize all correspondence, internet and social media to keep its interested parties informed.

OPEN MEETINGS AND FREEDOM OF INFORMATION ACT
The above-mentioned Executive Orders should be reviewed for their applicability to the pension boards and trustees. Additionally, the Attorney General has issued the following guide as to the Open Meetings Act and the Freedom of Information Act. It is set forth in full in a separate Siren and can also accessed by this following link: http://foia.ilattorneygeneral.net/pdf/OMA_FOIA_Guide.pdf

TRUSTEES’ TERMS AND ELECTIONS
Any currently serving board members may voluntarily continue their term for up to 6 (six) months. Any such volunteers should execute a new oath of office or the prior oath should be extended. Insurance carriers or bond issuers should be notified of the extensions. Any currently serving board members may also serve until their term is expired and not voluntarily continue their term. If trustee elections are held as statutorily required on the third Monday in April (40 ILCS 5/3-128 and 4-121) or the election will occur during the above identified times, the elections should be done in a remote manner, such as through the mail, and in compliance with all local, state and federal health and safety mandates. Alternatively, any statutorily required election can be suspended, delayed or stayed for a period of time until
a special election can be held, as allowed in the statutes. (40 ILCS 5/3-128 and 4-121.) The above guide from the Attorney General on the Open Meetings Act should be considered as well in conducting any such elections.

TRUSTEE TRAINING
Any statutorily required initial, annual, ethics or consolidation training should be done remotely. (40 ILCS 5/1-109.3 and 113.18.) Each pension fund board of trustees may, as provided by statute (40 ILCS 5/1-109.3), extend the deadlines for completion of the training for up to 6 (six) months. Those training providers should
be contacted to determine the time, date and manner in which the respective training will be offered.

ANNUAL OR OTHER MEETINGS

All annual (40 ILCS 5/3-130 (July, October, January and April) and 4-121), special or emergency meetings of pension boards of trustees, if scheduled for or occurring during the above identified times, should be done
remotely and in compliance with the guide on the Open Meetings Act and all local, state and federal health and safety mandates. Alternatively, those meetings may be scheduled after the above identified times. Certainly, non-essential meetings or agenda items should be avoided. If you have any questions, please contact the Public Pension Division of the Department of Insurance at (800) 207-6958 or by emailing DOI.Pensions@illinois.gov

Full Siren: 4-10-2020