Mattoon Firefighters Pension Fund ranks 49th among Illinois police and fire funds for underfunding in 2024

In 2024, the Mattoon Firefighters Pension Fund was the 49th most underfunded police and fire pension fund in Illinois, according to the Illinois Department of Insurance (IDOI).

Operating under the structure for municipal pension systems in Illinois, the fund reported total pension liabilities of $51,067,176 and listed an actuarial funding value of $22,117,211.

This left the fund with a 43.3% funding ratio and a 56.7% shortfall in the actuarial assets required for its promised retirement coverage.

The resulting deficit amounted to an unfunded liability of approximately $28,949,965 for the pension system.

The Illinois Department of Insurance gathers and publishes records on local police and fire pensions, which are supported by their respective municipalities.

As of 2024, Illinois had 300 fire and 363 police pension funds. While some cities were responsible for both types of funds, others managed only one.

There are municipalities without unfunded pension liabilities. In 2024, 64 municipalities had no unpaid police or fire pension debts and were not included in the rankings.

Police and fire pension commitments, known as “pension benefits,” serve as deferred compensation. Municipal leadership agrees to provide retirement benefits to public safety employees, but may not always secure enough contributions from workers or taxpayers. This results in pension debt accumulation, shifting financial responsibilities to future residents. Annual contributions to these pension plans, primarily funded by property taxes, are detailed in data collected by the IDOI.

On average, Illinois police and fire pension funds had a funding ratio of 65.1% in 2024, reflecting significant gaps in local public safety retirement funding across the state.

The Glencoe Firefighters Pension Fund recorded the lowest funding ratio in Illinois, at only 0.9%.

The best funded pension fund in the state was Savoy Firefighters Pension Fund, reporting a 797.7% funding ratio with an actuarial funding level of $149,803, well above its total liabilities.

Illinois’ total statewide pension debt increased by $1.5 billion in 2024, rising to $143.7 billion, according to the Commission on Government Forecasting and Accountability. This marks the third year in a row that the debt has grown, leaving it just below the 20-year peak of $144.2 billion reached in 2020.

An analysis from the State Department of Insurance Public Pension Division indicates that suburban and downstate Illinois pension funds had $12.1 billion in unfunded actuarial liabilities as of 2024. Their combined funding ratio stood at 49.18%, with more than half the asset level needed to fully meet retirement benefit promises still lacking.

A 2024 study from the Equable Institute found that Illinois led all states in share of GDP tied up in unfunded pension liabilities, nearing 20%.

The Illinois Policy Institute, a nonpartisan research organization, contends this has put increasing pressure on taxpayers. State pension contributions from taxpayers grew from $614 million during fiscal 1996 to $11.2 billion projected for fiscal 2025.

Data in this article is sourced from the Illinois Department of Insurance (IDOI). The original data can be accessed here.