SB2520 95TH GENERAL ASSEMBLY

LRB095 17536 AMC 43610 b

95TH GENERAL ASSEMBLY
State of Illinois
2007 and 2008
SB2520

Introduced 2/15/2008, by Sen. Kwame Raoul

SYNOPSIS AS INTRODUCED:

40 ILCS 5/11-158	from Ch. 108 1/2, par. 11-158
30 ILCS 805/8.32 new

Amends the Chicago Laborers Article of the Illinois Pension Code. With respect to certain duty and ordinary disability benefits and widow's compensation and supplemental benefits payable by the Fund, replaces existing provisions relating to the offset of amounts received under the Workers' Compensation Act or Workers' Occupational Diseases Act or related settlements with new provisions applying to those offsets and the administration, commencement, and amount of those benefits. Amends the State Mandates Act to require implementation without reimbursement. Effective immediately.

FISCAL NOTE ACT MAY APPLY

PENSION IMPACT NOTE ACT MAY APPLY

STATE MANDATES ACT MAY REQUIRE REIMBURSEMENT

A BILL FOR

AN ACT in relation to public employee benefits.

Be it enacted by the People of the State of Illinois, represented in the General Assembly:

Section 5. The Illinois Pension Code is amended by changing Section 11-158 as follows:

(40 ILCS 5/11-158) (from Ch. 108 1/2, par. 11-158)

Sec. 11-158. When disability benefit not payable.

(a) If an employee receiving duty or ordinary disability benefit refuses to submit to examination by a physician appointed by the board, or fails or refuses to consent to and sign an authorization allowing the board to receive copies of or examine the employee's medical and hospital records, or fails or refuses to provide complete information regarding any other employment for compensation he has received since he has become disabled, he shall have no further right to receive the benefit.

(b) Disability benefit shall not be paid for any time for which the employee receives any part of his salary or while employed by any public body supported in whole or in part by taxation.

(c) Before any action is taken by the Board on an application for a duty disability benefit or a widow's compensation or supplemental benefit, the employee or widow shall file a claim with the employer to establish that the disability or death occurred while the employee was acting within the scope of and in the course of his duties.

Any amounts provided to the employee or surviving spouse either as temporary total disability payments, permanent total disability payments, a lump sum settlement, award, or other payment under the Workers' Compensation Act or Workers' Occupational Diseases Act shall be applied as an offset to the disability benefit paid by the Fund, whether duty or ordinary, or any widow compensation or supplemental benefit payable hereunder until a period of time has elapsed when the benefit payable equals the amount of such compensation, payment, or award. The duty disability benefit will be offset at the rate of the amount of temporary total disability payments or permanent disability payments made under the Workers' Compensation Act or Workers' Occupational Diseases Act.

If such amounts are not readily determinable or if an employee has not received temporary total disability payments or permanent weekly or monthly payments for the entire period of disability up to the time of the compensation, payment, or award under the Workers' Compensation Act or Workers' Occupational Diseases Act, the disability benefit paid by the Fund will be offset by 66 2/3% of the employee's salary on the date of disablement. The offset will not be greater than the amount of disability benefits due from the Fund. The offset will be applied until a period of time has elapsed when the benefit payable equals the amount of such compensation, payment, or award. This offset will not apply to the initial days of disability when workers' compensation would not ordinarily be payable.

The amount of compensation or supplemental annuity payable to a widow will be offset by any compensation, payment, or award until a period of time has elapsed when the benefit payable equals the amount of such compensation, payment, or award.

If an employee who has been disabled has received ordinary disability from the fund and also receives any compensation or payment for specific loss, disability, or death under the Workers' Compensation Act or Workers' Occupational Diseases Act, the ordinary disability benefit must be repaid to the fund before any other benefit under this Article can be granted or paid. If no other benefit is applied for, the ordinary disability would be offset according to the provisions of this Section.

The employee and the employer shall provide the Fund on a timely basis, with the entry of the settlement contract lump sum petition and order settlement of any such lawsuit, including all details of the settlement.

If an employee who shall be disabled or his widow receives any compensation or payment from the city for specific loss, disability or death under the Workers' Compensation Act, or Workers' Occupational Diseases Act, and the disability or injury or loss which forms the basis for any compensation, award, pension or payment for a specific loss is also a condition which renders such employee incapable of performing his duties in the service, the disability benefit shall be reduced by any amount so received if such amount is less than the benefit or, subject to adjustment when final determination of the amount received can be made, the amount estimated to be received under the provisions of the Workers' Compensation Act or Workers' Occupational Diseases Act. If the amount received as compensation, payment or award under the aforesaid Acts exceeds the disability benefit, no payment of benefit shall be made until a period of time has elapsed when the benefit payable at the rate herein stated equals the amount of such compensation, payment or award. In calculating any such period of time, interest upon the amounts involved shall not be considered.

(d) An employee who enters service after December 31, 1987, or an employee who makes application for a disability benefit or applies for a disability benefit for a recurrence of a previous disability, and who, while in receipt of an ordinary or duty disability benefit, assumes any employment for compensation, shall not be entitled to receive any amount of such disability benefit which, when added to his compensation for such employment during disability, plus any amount payable under the provisions of the Workers' Compensation Act or Workers' Occupational Diseases Act, would exceed the rate of salary on which his disability benefit is based.

(Source: P.A. 85-964.)

Section 90. The State Mandates Act is amended by adding Section 8.32 as follows:

(30 ILCS 805/8.32 new)

Sec. 8.32. Exempt mandate. Notwithstanding Sections 6 and 8 of this Act, no reimbursement by the State is required for the implementation of any mandate created by this amendatory Act of the 95th General Assembly.

Section 99. Effective date. This Act takes effect upon becoming law.