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1 | AN ACT concerning public employee benefits.
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2 | Be it enacted by the People of the State of Illinois,
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3 | represented in the General Assembly:
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4 | Section 5. The Illinois Pension Code is amended by adding | ||||||||||||||||||||||||||||||||
5 | Sections 2-155.1, 4-138.10, 10-110, 14-148.1, and 18-162.1 as | ||||||||||||||||||||||||||||||||
6 | follows: | ||||||||||||||||||||||||||||||||
7 | (40 ILCS 5/2-155.1 new) | ||||||||||||||||||||||||||||||||
8 | Sec. 2-155.1. Mistake in benefit. If the System mistakenly | ||||||||||||||||||||||||||||||||
9 | sets any
benefit at an incorrect amount, it shall recalculate | ||||||||||||||||||||||||||||||||
10 | the benefit as soon as
may be practicable after the mistake is | ||||||||||||||||||||||||||||||||
11 | discovered. | ||||||||||||||||||||||||||||||||
12 | If the benefit was mistakenly set too low, the System shall | ||||||||||||||||||||||||||||||||
13 | make a lump
sum payment to the recipient of an amount equal to | ||||||||||||||||||||||||||||||||
14 | the difference between
the benefits that should have been paid | ||||||||||||||||||||||||||||||||
15 | and those actually paid, plus
interest at the prescribed rate | ||||||||||||||||||||||||||||||||
16 | of interest from the date the unpaid amounts accrued to
the | ||||||||||||||||||||||||||||||||
17 | date of payment. | ||||||||||||||||||||||||||||||||
18 | If the benefit was mistakenly set too high, the System may | ||||||||||||||||||||||||||||||||
19 | recover the
amount overpaid from the recipient thereof, plus | ||||||||||||||||||||||||||||||||
20 | interest at the prescribed rate of interest from the date of | ||||||||||||||||||||||||||||||||
21 | overpayment to the date of recovery, either directly
or by | ||||||||||||||||||||||||||||||||
22 | deducting
such amount from the remaining benefits payable to | ||||||||||||||||||||||||||||||||
23 | the recipient. However,
if (1) the amount of the benefit was |
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1 | mistakenly set too high, and (2) the
error was undiscovered for | ||||||
2 | 3 years or longer, and (3) the error was not the
result of | ||||||
3 | incorrect information supplied by the affected participant or
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4 | beneficiary, then upon discovery of the mistake the benefit | ||||||
5 | shall be
adjusted to the correct level, but the recipient of | ||||||
6 | the benefit need not
repay to the System the excess amounts | ||||||
7 | received in error. | ||||||
8 | (40 ILCS 5/4-138.10 new) | ||||||
9 | Sec. 4-138.10. Overpayment; deduction. The amount of any | ||||||
10 | overpayment, due to fraud, misrepresentation or error, of any | ||||||
11 | pension or benefit granted under this Article may be deducted | ||||||
12 | from future payments to the recipient of such pension or | ||||||
13 | benefit. | ||||||
14 | (40 ILCS 5/10-110 new) | ||||||
15 | Sec. 10-110. Overpayment; deduction. The amount of any | ||||||
16 | overpayment, of any pension or benefit granted under this | ||||||
17 | Article, due to fraud, misrepresentation or error, may be | ||||||
18 | deducted from future payments or refunds made to the recipient | ||||||
19 | of the overpayment. Any such action of the board shall relieve | ||||||
20 | and release the board and the fund from any liability for any | ||||||
21 | moneys deducted or withheld. | ||||||
22 | (40 ILCS 5/14-148.1 new) | ||||||
23 | Sec. 14-148.1. Mistake in benefit. If the System mistakenly |
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1 | sets any
benefit at an incorrect amount, it shall recalculate | ||||||
2 | the benefit as soon as
may be practicable after the mistake is | ||||||
3 | discovered. | ||||||
4 | If the benefit was mistakenly set too low, the System shall | ||||||
5 | make a lump
sum payment to the recipient of an amount equal to | ||||||
6 | the difference between
the benefits that should have been paid | ||||||
7 | and those actually paid, plus
regular interest from the date | ||||||
8 | the unpaid amounts accrued to
the date of payment. | ||||||
9 | If the benefit was mistakenly set too high, the System may | ||||||
10 | recover the
amount overpaid from the recipient thereof, plus | ||||||
11 | regular interest from the date of overpayment to the date of | ||||||
12 | recovery, either directly
or by deducting
such amount from the | ||||||
13 | remaining benefits payable to the recipient. However,
if (1) | ||||||
14 | the amount of the benefit was mistakenly set too high, and (2) | ||||||
15 | the
error was undiscovered for 3 years or longer, and (3) the | ||||||
16 | error was not the
result of incorrect information supplied by | ||||||
17 | the affected member or
beneficiary, then upon discovery of the | ||||||
18 | mistake the benefit shall be
adjusted to the correct level, but | ||||||
19 | the recipient of the benefit need not
repay to the System the | ||||||
20 | excess amounts received in error. | ||||||
21 | (40 ILCS 5/18-162.1 new) | ||||||
22 | Sec. 18-162.1. Mistake in benefit. If the System mistakenly | ||||||
23 | sets any
benefit at an incorrect amount, it shall recalculate | ||||||
24 | the benefit as soon as
may be practicable after the mistake is | ||||||
25 | discovered. |
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1 | If the benefit was mistakenly set too low, the System shall | ||||||
2 | make a lump
sum payment to the recipient of an amount equal to | ||||||
3 | the difference between
the benefits that should have been paid | ||||||
4 | and those actually paid, plus
interest at the prescribed rate | ||||||
5 | of interest from the date the unpaid amounts accrued to
the | ||||||
6 | date of payment. | ||||||
7 | If the benefit was mistakenly set too high, the System may | ||||||
8 | recover the
amount overpaid from the recipient thereof, plus | ||||||
9 | interest at the prescribed rate of interest from the date of | ||||||
10 | overpayment to the date of recovery, either directly
or by | ||||||
11 | deducting
such amount from the remaining benefits payable to | ||||||
12 | the recipient. However,
if (1) the amount of the benefit was | ||||||
13 | mistakenly set too high, and (2) the
error was undiscovered for | ||||||
14 | 3 years or longer, and (3) the error was not the
result of | ||||||
15 | incorrect information supplied by the affected participant or
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16 | beneficiary, then upon discovery of the mistake the benefit | ||||||
17 | shall be
adjusted to the correct level, but the recipient of | ||||||
18 | the benefit need not
repay to the System the excess amounts | ||||||
19 | received in error.
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