Public Act 099-0578
SB2817 EnrolledLRB099 19804 RPS 44203 b

    AN ACT concerning 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
Sections 9-158, 9-166, and 9-179.2 and by adding Sections
9-108.3 and 9-241 as follows:
    (40 ILCS 5/9-108.3 new)
    Sec. 9-108.3. In service.
    "In service": Any period during which contributions are
being made to the Fund on behalf of an employee.
    (40 ILCS 5/9-158)  (from Ch. 108 1/2, par. 9-158)
    Sec. 9-158. Proof of disability, duty and ordinary. Proof
of duty or ordinary disability shall be furnished to the board
by at least one licensed and practicing physician appointed by
the board, except that this requirement may be waived by the
board for proof of duty disability if the employee has been
compensated by the county for such disability or specific loss
under the Workers' Compensation Act or Workers' Occupational
Diseases Act. The physician requirement may also be waived by
the board for ordinary disability maternity claims of up to 8
weeks. With respect to duty disability, satisfactory proof must
be provided to the board that the final adjudication of the
claim required under subsection (d) of Section 9-159
established that the disability or death resulted from an
injury incurred in the performance of an act or acts of duty.
The board may require other evidence of disability. Each
disabled employee who receives duty or ordinary disability
benefit shall be examined at least once a year by one or more
licensed and practicing physicians appointed by the board. When
the disability ceases, the board shall discontinue payment of
the benefit and the employee shall be returned to active
(Source: P.A. 95-1036, eff. 2-17-09.)
    (40 ILCS 5/9-166)  (from Ch. 108 1/2, par. 9-166)
    Sec. 9-166. Refunds - When paid to beneficiary, children or
estate. Whenever the total amount accumulated to the account of
a deceased employee from employee contributions for annuity
purposes, and from employee contributions applied to any county
pension fund superseded by this fund, have not been paid to
him, and in the case of a married male employee to the employee
and his widow together, in form of annuity or refund before the
death of the last of such persons, a refund shall be payable as
    An amount equal to the excess of such amounts over the
amounts paid on any annuity or annuities or refund, without
interest upon either of such amounts, shall be refunded to a
beneficiary theretofore designated by the employee in writing,
signed by him before an officer authorized to administer oaths,
and filed with the board before the employee's death.
    If there is no designated beneficiary or the beneficiary
does not survive the employee, the amount shall be refunded to
the employee's children, in equal parts with the children of a
deceased child taking the share of their parent. If there is no
designated beneficiary or children, the refund shall be paid to
the administrator or executor of the employee's estate.
    If an administrator or executor of the estate has not been
appointed within 90 days from the date the refund became
payable the refund may be applied in the discretion of the
board toward the payment of the employee's burial expenses. Any
remaining balance shall be paid to the heirs of the employee
according to the law of descent and distribution of this state
but assuming for the purpose of such payment of refund and
determination of heirs that the deceased male employee left no
widow surviving in those cases where a widow eligible for
widow's annuity as his widow survived him and subsequently
died; provided,
        (a) that if any child or children of the employee are
    less than age 18, such part or all of any such amount
    necessary to pay annuities to them shall not be refunded as
    hereinbefore stated; and provided further,
        (b) that if a reversionary annuity becomes payable as
    provided in Section 9-135 such refund shall not be paid
    until the death of the reversionary annuitant, and the
    refund otherwise payable under this section shall then
    first further be reduced by the total amount of the
    reversionary annuity paid.
(Source: P.A. 95-369, eff. 8-23-07.)
    (40 ILCS 5/9-179.2)  (from Ch. 108 1/2, par. 9-179.2)
    Sec. 9-179.2. Other governmental service-Former County
Service. Any employee who first becomes a contributor before
the effective date of this amendatory Act of the 99th General
Assembly, who has rendered service to any "governmental unit"
as such term is defined in the "Retirement Systems Reciprocal
Act" under Article 20 of the Illinois Pension Code, who did not
contribute to the retirement system of such "governmental
unit", including the retirement system created by this Article
9 of the Illinois Pension code, for such service because of
ineligibility for participation and has no equity or rights in
such retirement system because of such service shall be given
credit for such service in this fund, provided:
    (a) The employee shall pay to this fund, while in the
service of such county, or while in the service of a
governmental unit whose retirement system has adopted the
"Retirement Systems Reciprocal Act", such amounts, including
interest at the effective rate, as he would have paid to this
fund, on the basis of his salary in effect during the service
rendered to such other "governmental unit" at the rates
prescribed in this Article 9 for the periods of such service to
the end that such service shall be considered as service
rendered to such county, with all the rights and conditions
attaching to such service and payments; and (b) this Section
shall not be applicable to any period of such service for which
the employee retains credit in any other public annuity and
benefit fund established by Act of the Legislature of this
State and in operation for employees of such other
"governmental unit" from which such employee was transferred.
(Source: P.A. 90-655, eff. 7-30-98.)
    (40 ILCS 5/9-241 new)
    Sec. 9-241. Mistake in benefit. If the Fund mistakenly sets
any benefit at an incorrect amount, it shall recalculate the
benefit as soon as may be practicable after the mistake is
    If the benefit was mistakenly set too low, the Fund shall
make a lump sum payment to the recipient of an amount equal to
the difference between the benefits that should have been paid
and those actually paid, without interest.
    If the benefit was mistakenly set too high, the Fund may
recover the amount overpaid from the recipient thereof, either
directly or by deducting such amount from the remaining
benefits payable to the recipient, without interest. If the
overpayment is recovered by deductions from the remaining
benefits payable to the recipient, the monthly deduction shall
not exceed 10% of the corrected monthly benefit unless
otherwise indicated by the recipient. However, if (1) the
amount of the benefit was mistakenly set too high, and (2) the
error was undiscovered for 3 years or longer, and (3) the error
was not the result of incorrect information supplied by the
employer, the affected participant, or any beneficiary, then
upon discovery of the mistake the benefit shall be adjusted to
the correct level, but the recipient of the benefit need not
repay to the Fund the excess amounts received in error.
    This Section applies to all mistakes in benefit
calculations that occur before, on, or after the effective date
of this amendatory Act of the 99th General Assembly.
    Section 99. Effective date. This Act takes effect upon
becoming law.

Effective Date: 7/15/2016