Illinois General Assembly - Full Text of HB0275
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Full Text of HB0275  102nd General Assembly

HB0275eng 102ND GENERAL ASSEMBLY

  
  
  

 


 
HB0275 EngrossedLRB102 10029 RPS 15349 b

1    AN ACT concerning public employee benefits.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The Illinois Pension Code is amended by
5changing Sections 17-140 and 17-151.1 as follows:
 
6    (40 ILCS 5/17-140)  (from Ch. 108 1/2, par. 17-140)
7    Sec. 17-140. Board officers. The president, recording
8secretary and other officers of the Board shall be elected by
9and from the members of the Board board at the first meeting of
10the Board after the election of trustees.
11    In case any officer whose signature appears upon any check
12or draft, issued pursuant to this Article, ceases (after
13attaching his signature) to hold his office, the before the
14delivery thereof to the payee, his signature nevertheless
15shall be valid and sufficient for all purposes with the same
16effect as if he had remained in office until delivery thereof.
17(Source: P.A. 90-566, eff. 1-2-98.)
 
18    (40 ILCS 5/17-151.1)
19    Sec. 17-151.1. Recovery of amount paid in error.
20    (a) The Board may retain out of any annuity or benefit
21payable to any person any amount that the Board determines is
22owing to the Fund because (i) required employee contributions

 

 

HB0275 Engrossed- 2 -LRB102 10029 RPS 15349 b

1were not made in whole or in part, (ii) employee or member
2obligations to return refunds were not met, or (iii) money was
3paid to any employee, member, or annuitant through
4misrepresentation, fraud, or error.
5    If the Fund mistakenly sets any benefit at an incorrect
6amount, the Fund shall recalculate the benefit as soon as may
7be practicable after the mistake is discovered. The Fund shall
8provide the recipient, or the survivor or beneficiary of the
9recipient, as the case may be, with at least 60 days' notice of
10the corrected amount.
11    If the benefit was mistakenly set too low, the Fund shall
12make a lump sum payment to the recipient, or the survivor or
13beneficiary of the recipient, as the case may be, of an amount
14equal to the difference between the benefits that should have
15been paid and those actually paid, plus interest at the rate of
163% from the date the unpaid amounts accrued to the date of
17payment.
18    If the benefit was mistakenly set too high, the Fund may
19recover the amount overpaid from the recipient, or the
20survivor or beneficiary of the recipient, as the case may be,
21plus interest at 3% from the date of overpayment to the date of
22recovery. The recipient, or the survivor or beneficiary of the
23recipient, as the case may be, may elect to repay the sum owed
24either directly by a lump sum payment, in agreed-upon monthly
25payments over a period not to exceed 5 years, or through an
26actuarial equivalent reduction of the corrected benefit.

 

 

HB0275 Engrossed- 3 -LRB102 10029 RPS 15349 b

1However, if (1) the amount of the benefit was mistakenly set
2too high, (2) the error was undiscovered for 3 years or longer
3from the date of the first mistaken benefit payment, and (3)
4the error was not the result of incorrect information supplied
5by the affected member, then upon discovery of the mistake the
6benefit shall be adjusted to the correct level, but the
7recipient of the benefit shall not be required to repay to the
8Fund the excess amounts received in error.
9    (b) The Board and the Fund shall be held free from any
10liability for any money retained or paid in accordance with
11this Section, and the employee, member, or pensioner shall be
12assumed to have assented and agreed to the disposition of
13money due.
14    (c) The changes made by this amendatory Act of the 94th
15General Assembly are not limited to persons in service on or
16after the effective date of this amendatory Act.
17(Source: P.A. 94-425, eff. 8-2-05.)