There is hereby established a Police Pension Fund under and in accordance with the provisions of Chapter 40, Act 5, Article 3 of the Illinois Compiled Statutes entitled, "Police officer’s Pension Fund - Municipalities 500,000 and Under" (40 ILCS 5/3-101 et seq); said fund is created for the purpose of providing pensions for members of the Police Department of the Village under the terms and regulations hereinafter set forth, and not to be in conflict with the provisions set forth in said chapter.