|
| | SB3309 Enrolled | | LRB098 17036 RPM 55472 b |
|
|
1 | | AN ACT concerning public employee benefits.
|
2 | | Be it enacted by the People of the State of Illinois,
|
3 | | represented in the General Assembly:
|
4 | | Section 5. The Illinois Pension Code is amended by changing |
5 | | Sections 2-114, 3-144.2, 3-148, 4-139, 14-103.19, 18-116, and |
6 | | 21-105.1 and by adding Sections 2-155.1, 2-163, 4-138.10, |
7 | | 14-148.1, 14-153.3, 18-162.1, and 18-170 as follows:
|
8 | | (40 ILCS 5/2-114) (from Ch. 108 1/2, par. 2-114)
|
9 | | Sec. 2-114. Actuarial tables.
|
10 | | "Actuarial tables": Tabular listings of assumed rates of |
11 | | death,
disability, retirement and withdrawal from service and |
12 | | mathematical
functions derived from such rates combined with an |
13 | | assumed rate of interest
based upon the experience of the |
14 | | system as adopted by the board upon
recommendation of the |
15 | | actuary.
|
16 | | The adopted actuarial tables shall be used to determine the |
17 | | amount of all benefits under this Article, including any |
18 | | optional forms of benefits. Optional forms of benefits must be |
19 | | the actuarial equivalent of the normal benefit payable under |
20 | | this Article. |
21 | | (Source: Laws 1963, p. 161.)
|
22 | | (40 ILCS 5/2-155.1 new) |
|
| | SB3309 Enrolled | - 2 - | LRB098 17036 RPM 55472 b |
|
|
1 | | Sec. 2-155.1. Mistake in benefit. If the System mistakenly |
2 | | sets any benefit at an incorrect amount, it shall recalculate |
3 | | the benefit as soon as may be practicable after the mistake is |
4 | | discovered. |
5 | | If the benefit was mistakenly set too low, the System shall |
6 | | make a lump sum payment to the recipient of an amount equal to |
7 | | the difference between the benefits that should have been paid |
8 | | and those actually paid. |
9 | | If the benefit was mistakenly set too high, the System may |
10 | | recover the amount overpaid from the recipient thereof, either |
11 | | directly or by deducting such amount from the remaining |
12 | | benefits payable to the recipient. However, if (1) the amount |
13 | | of the benefit was mistakenly set too high, and (2) the error |
14 | | was undiscovered for 3 years or longer, and (3) the error was |
15 | | not the result of incorrect information supplied by the |
16 | | affected member or beneficiary, then upon discovery of the |
17 | | mistake the benefit shall be adjusted to the correct level, but |
18 | | the recipient of the benefit need not repay to the System the |
19 | | excess amounts received in error. |
20 | | This Section applies to all mistakes in benefit |
21 | | calculations that occur before, on, or after the effective date |
22 | | of this amendatory Act of the 98th General Assembly. |
23 | | (40 ILCS 5/2-163 new) |
24 | | Sec. 2-163. Termination of plan. Upon plan termination, a |
25 | | participant's interest in the pension fund will be |
|
| | SB3309 Enrolled | - 3 - | LRB098 17036 RPM 55472 b |
|
|
1 | | nonforfeitable.
|
2 | | (40 ILCS 5/3-144.2) (from Ch. 108 1/2, par. 3-144.2)
|
3 | | Sec. 3-144.2. Mistake in benefit. |
4 | | (a) If the Fund commits a mistake by setting any benefit at |
5 | | an incorrect amount, it shall adjust the benefit to the correct |
6 | | level as soon as may be practicable after the mistake is |
7 | | discovered. The term "mistake" includes a clerical or |
8 | | administrative error executed by the Fund or participant as it |
9 | | relates to a benefit under this Article; however, in no case |
10 | | shall "mistake" include any benefit as it relates to the |
11 | | reasonable calculation of the benefit or aspects of the benefit |
12 | | based on salary, service credit, calculation or determination |
13 | | of a disability, date of retirement, or other factors |
14 | | significant to the calculation of the benefit that were |
15 | | reasonably understood or agreed to by the Fund at the time of |
16 | | retirement. |
17 | | (b) If the benefit was mistakenly set too low, the Fund |
18 | | shall make a lump sum payment to the recipient of an amount |
19 | | equal to the difference between the benefits that should have |
20 | | been paid and those actually paid, plus interest at the rate |
21 | | prescribed by the Public Pension Division of the Department of |
22 | | Insurance from the date the unpaid amounts accrued to the date |
23 | | of payment. |
24 | | (c) If the benefit was mistakenly set too high, the Fund |
25 | | may recover the amount overpaid from the recipient thereof, |
|
| | SB3309 Enrolled | - 4 - | LRB098 17036 RPM 55472 b |
|
|
1 | | either directly or by deducting such amount from the remaining |
2 | | benefits payable to the recipient as is indicated by the |
3 | | recipient. If the overpayment is recovered by deductions from |
4 | | the remaining benefits payable to the recipient, the monthly |
5 | | deduction shall not exceed 10% of the corrected monthly benefit |
6 | | unless otherwise indicated by the recipient. |
7 | | However, if (i) the amount of the benefit was mistakenly |
8 | | set too high, and (ii) the error was undiscovered for 3 years |
9 | | or longer, and (iii) the error was not the result of fraud |
10 | | committed by the affected participant or beneficiary, then upon |
11 | | discovery of the mistake the benefit shall be adjusted to the |
12 | | correct level, but the recipient of the benefit need not repay |
13 | | to the Fund the excess amounts received in error. |
14 | | The amount of any overpayment, due to fraud, |
15 | | misrepresentation
or error, of any pension or benefit granted |
16 | | under this Article may be deducted
from future payments to the |
17 | | recipient of such pension or benefit.
|
18 | | (Source: P.A. 82-623.)
|
19 | | (40 ILCS 5/3-148) (from Ch. 108 1/2, par. 3-148)
|
20 | | Sec. 3-148. Administrative review. Except as it relates to |
21 | | any time limitation to correct a mistake as provided in Section |
22 | | 3-144.2, the The provisions of the Administrative Review Law,
|
23 | | and all amendments and modifications thereof and the rules |
24 | | adopted
pursuant thereto, shall apply to and govern all |
25 | | proceedings for the
judicial review of final administrative |
|
| | SB3309 Enrolled | - 5 - | LRB098 17036 RPM 55472 b |
|
|
1 | | decisions of the retirement board
provided for under this |
2 | | Article. The term "administrative decision" is as
defined in |
3 | | Section 3-101 of the Code of Civil Procedure.
|
4 | | (Source: P.A. 82-783.)
|
5 | | (40 ILCS 5/4-138.10 new) |
6 | | Sec. 4-138.10. Mistake in benefit. |
7 | | (a) If the Fund commits a mistake by setting any benefit at |
8 | | an incorrect amount, it shall adjust the benefit to the correct |
9 | | level as soon as may be practicable after the mistake is |
10 | | discovered. The term "mistake" includes a clerical or |
11 | | administrative error executed by the Fund or participant as it |
12 | | relates to a benefit under this Article; however, in no case |
13 | | shall "mistake" include any benefit as it relates to the |
14 | | reasonable calculation of the benefit or aspects of the benefit |
15 | | based on salary, service credit, calculation or determination |
16 | | of a disability, date of retirement, or other factors |
17 | | significant to the calculation of the benefit that were |
18 | | reasonably understood or agreed to by the Fund at the time of |
19 | | retirement. |
20 | | (b) If the benefit was mistakenly set too low, the Fund |
21 | | shall make a lump sum payment to the recipient of an amount |
22 | | equal to the difference between the benefits that should have |
23 | | been paid and those actually paid, plus interest at the rate |
24 | | prescribed by the Public Pension Division of the Department of |
25 | | Insurance from the date the unpaid amounts accrued to the date |
|
| | SB3309 Enrolled | - 6 - | LRB098 17036 RPM 55472 b |
|
|
1 | | of payment. |
2 | | (c) If the benefit was mistakenly set too high, the Fund |
3 | | may recover the amount overpaid from the recipient thereof, |
4 | | either directly or by deducting such amount from the remaining |
5 | | benefits payable to the recipient as is indicated by the |
6 | | recipient. If the overpayment is recovered by deductions from |
7 | | the remaining benefits payable to the recipient, the monthly |
8 | | deduction shall not exceed 10% of the corrected monthly benefit |
9 | | unless otherwise indicated by the recipient. |
10 | | However, if (i) the amount of the benefit was mistakenly |
11 | | set too high, and (ii) the error was undiscovered for 3 years |
12 | | or longer, and (iii) the error was not the result of fraud |
13 | | committed by the affected participant or beneficiary, then upon |
14 | | discovery of the mistake the benefit shall be adjusted to the |
15 | | correct level, but the recipient of the benefit need not repay |
16 | | to the Fund the excess amounts received in error.
|
17 | | (40 ILCS 5/4-139) (from Ch. 108 1/2, par. 4-139)
|
18 | | Sec. 4-139. Administrative review. Except as it relates to |
19 | | any time limitation to correct a mistake as provided in Section |
20 | | 4-138.10, the The provisions of the Administrative Review Law,
|
21 | | and all amendments and modifications thereof and the rules |
22 | | adopted
pursuant thereto, shall apply to and govern all |
23 | | proceedings for the
judicial review of final administrative |
24 | | decisions of the retirement board
provided for under this |
25 | | Article. The term "administrative decision" is as
defined in |
|
| | SB3309 Enrolled | - 7 - | LRB098 17036 RPM 55472 b |
|
|
1 | | Section 3-101 of the Code of Civil Procedure.
|
2 | | (Source: P.A. 82-783.)
|
3 | | (40 ILCS 5/14-103.19) (from Ch. 108 1/2, par. 14-103.19)
|
4 | | Sec. 14-103.19. Actuarial tables. "Actuarial tables": |
5 | | Tables of mathematical functions derived from
mortality, |
6 | | disability and turn-over rates, combined with interest
|
7 | | discount factors as adopted by the board on recommendation of |
8 | | the
actuary.
|
9 | | The adopted actuarial tables shall be used to determine the |
10 | | amount of all benefits under this Article, including any |
11 | | optional forms of benefits. Optional forms of benefits must be |
12 | | the actuarial equivalent of the normal benefit payable under |
13 | | this Article. |
14 | | (Source: P.A. 80-841.)
|
15 | | (40 ILCS 5/14-148.1 new) |
16 | | Sec. 14-148.1. Mistake in benefit. If the System mistakenly |
17 | | sets any benefit at an incorrect amount, it shall recalculate |
18 | | the benefit as soon as may be practicable after the mistake is |
19 | | discovered. |
20 | | If the benefit was mistakenly set too low, the System shall |
21 | | make a lump sum payment to the recipient of an amount equal to |
22 | | the difference between the benefits that should have been paid |
23 | | and those actually paid. |
24 | | If the benefit was mistakenly set too high, the System may |
|
| | SB3309 Enrolled | - 8 - | LRB098 17036 RPM 55472 b |
|
|
1 | | recover the amount overpaid from the recipient thereof, either |
2 | | directly or by deducting such amount from the remaining |
3 | | benefits payable to the recipient. However, if (1) the amount |
4 | | of the benefit was mistakenly set too high, and (2) the error |
5 | | was undiscovered for 3 years or longer, and (3) the error was |
6 | | not the result of incorrect information supplied by the |
7 | | affected member or beneficiary, then upon discovery of the |
8 | | mistake the benefit shall be adjusted to the correct level, but |
9 | | the recipient of the benefit need not repay to the System the |
10 | | excess amounts received in error. |
11 | | This Section applies to all mistakes in benefit |
12 | | calculations that occur before, on, or after the effective date |
13 | | of this amendatory Act of the 98th General Assembly. |
14 | | (40 ILCS 5/14-153.3 new) |
15 | | Sec. 14-153.3. Termination of plan. Upon plan termination, |
16 | | a member's interest in the pension fund will be nonforfeitable.
|
17 | | (40 ILCS 5/18-116) (from Ch. 108 1/2, par. 18-116)
|
18 | | Sec. 18-116. Actuarial tables.
|
19 | | "Actuarial tables": Such tabular listings of assumed rates |
20 | | of death,
disability, retirement and withdrawal from service |
21 | | and mathematical
functions derived from such rates combined |
22 | | with an assumed rate of
interest, based upon the experience of |
23 | | the system, as adopted by the board
upon recommendation by the |
24 | | actuary.
|
|
| | SB3309 Enrolled | - 9 - | LRB098 17036 RPM 55472 b |
|
|
1 | | The adopted actuarial tables shall be used to determine the |
2 | | amount of all benefits under this Article, including any |
3 | | optional forms of benefits. Optional forms of benefits must be |
4 | | the actuarial equivalent of the normal benefit payable under |
5 | | this Article. |
6 | | (Source: Laws 1963, p. 161.)
|
7 | | (40 ILCS 5/18-162.1 new) |
8 | | Sec. 18-162.1. 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. |
16 | | If the benefit was mistakenly set too high, the System may |
17 | | recover the amount overpaid from the recipient thereof, either |
18 | | directly or by deducting such amount from the remaining |
19 | | benefits payable to the recipient. However, if (1) the amount |
20 | | of the benefit was mistakenly set too high, and (2) the error |
21 | | was undiscovered for 3 years or longer, and (3) the error was |
22 | | not the result of incorrect information supplied by the |
23 | | affected member or beneficiary, then upon discovery of the |
24 | | mistake the benefit shall be adjusted to the correct level, but |
25 | | the recipient of the benefit need not repay to the System the |
|
| | SB3309 Enrolled | - 10 - | LRB098 17036 RPM 55472 b |
|
|
1 | | excess amounts received in error. |
2 | | This Section applies to all mistakes in benefit |
3 | | calculations that occur before, on, or after the effective date |
4 | | of this amendatory Act of the 98th General Assembly. |
5 | | (40 ILCS 5/18-170 new) |
6 | | Sec. 18-170. Termination of plan. Upon plan termination, a |
7 | | participant's interest in the pension fund will be |
8 | | nonforfeitable.
|
9 | | (40 ILCS 5/21-105.1) (from Ch. 108 1/2, par. 21-105.1)
|
10 | | Sec. 21-105.1. Election of optional medicare coverage. The |
11 | | State or
any political subdivision or noncorporate public |
12 | | entity may elect to
provide optional medicare coverage for its |
13 | | personnel in the same manner and
subject to the same conditions |
14 | | as are set forth in Sections 21-103, 21-104
and 21-105 for the |
15 | | election of Social Security coverage , including a retirement |
16 | | system established under Article 3, 4, 5, or 6 of this Code, |
17 | | notwithstanding the provisions contained in Section 21-105 of |
18 | | this Article .
|
19 | | (Source: P.A. 84-1472.)
|
20 | | Section 99. Effective date. This Act takes effect upon |
21 | | becoming law.
|