SB3309 EngrossedLRB098 17036 RPM 55472 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 changing
5Sections 2-114, 14-103.19, 18-116, and 21-105.1 and by adding
6Sections 2-155.1, 2-163, 14-148.1, 14-153.3, 18-162.1, and
718-170 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
11death, disability, retirement and withdrawal from service and
12mathematical functions derived from such rates combined with an
13assumed rate of interest based upon the experience of the
14system as adopted by the board upon recommendation of the
15actuary.
16    The adopted actuarial tables shall be used to determine the
17amount of all benefits under this Article, including any
18optional forms of benefits. Optional forms of benefits must be
19the actuarial equivalent of the normal benefit payable under
20this Article.
21(Source: Laws 1963, p. 161.)
 
22    (40 ILCS 5/2-155.1 new)

 

 

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1    Sec. 2-155.1. Mistake in benefit. If the System mistakenly
2sets any benefit at an incorrect amount, it shall recalculate
3the benefit as soon as may be practicable after the mistake is
4discovered.
5    If the benefit was mistakenly set too low, the System shall
6make a lump sum payment to the recipient of an amount equal to
7the difference between the benefits that should have been paid
8and those actually paid.
9    If the benefit was mistakenly set too high, the System may
10recover the amount overpaid from the recipient thereof, either
11directly or by deducting such amount from the remaining
12benefits payable to the recipient. However, if (1) the amount
13of the benefit was mistakenly set too high, and (2) the error
14was undiscovered for 3 years or longer, and (3) the error was
15not the result of incorrect information supplied by the
16affected member or beneficiary, then upon discovery of the
17mistake the benefit shall be adjusted to the correct level, but
18the recipient of the benefit need not repay to the System the
19excess amounts received in error.
 
20    (40 ILCS 5/2-163 new)
21    Sec. 2-163. Termination of plan. Upon plan termination, a
22participant's interest in the pension fund will be
23nonforfeitable.
 
24    (40 ILCS 5/14-103.19)  (from Ch. 108 1/2, par. 14-103.19)

 

 

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1    Sec. 14-103.19. Actuarial tables. "Actuarial tables":
2Tables of mathematical functions derived from mortality,
3disability and turn-over rates, combined with interest
4discount factors as adopted by the board on recommendation of
5the actuary.
6    The adopted actuarial tables shall be used to determine the
7amount of all benefits under this Article, including any
8optional forms of benefits. Optional forms of benefits must be
9the actuarial equivalent of the normal benefit payable under
10this Article.
11(Source: P.A. 80-841.)
 
12    (40 ILCS 5/14-148.1 new)
13    Sec. 14-148.1. Mistake in benefit. If the System mistakenly
14sets any benefit at an incorrect amount, it shall recalculate
15the benefit as soon as may be practicable after the mistake is
16discovered.
17    If the benefit was mistakenly set too low, the System shall
18make a lump sum payment to the recipient of an amount equal to
19the difference between the benefits that should have been paid
20and those actually paid.
21    If the benefit was mistakenly set too high, the System may
22recover the amount overpaid from the recipient thereof, either
23directly or by deducting such amount from the remaining
24benefits payable to the recipient. However, if (1) the amount
25of the benefit was mistakenly set too high, and (2) the error

 

 

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1was undiscovered for 3 years or longer, and (3) the error was
2not the result of incorrect information supplied by the
3affected member or beneficiary, then upon discovery of the
4mistake the benefit shall be adjusted to the correct level, but
5the recipient of the benefit need not repay to the System the
6excess amounts received in error.
 
7    (40 ILCS 5/14-153.3 new)
8    Sec. 14-153.3. Termination of plan. Upon plan termination,
9a member's interest in the pension fund will be nonforfeitable.
 
10    (40 ILCS 5/18-116)  (from Ch. 108 1/2, par. 18-116)
11    Sec. 18-116. Actuarial tables.
12    "Actuarial tables": Such tabular listings of assumed rates
13of death, disability, retirement and withdrawal from service
14and mathematical functions derived from such rates combined
15with an assumed rate of interest, based upon the experience of
16the system, as adopted by the board upon recommendation by the
17actuary.
18    The adopted actuarial tables shall be used to determine the
19amount of all benefits under this Article, including any
20optional forms of benefits. Optional forms of benefits must be
21the actuarial equivalent of the normal benefit payable under
22this Article.
23(Source: Laws 1963, p. 161.)
 

 

 

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1    (40 ILCS 5/18-162.1 new)
2    Sec. 18-162.1. Mistake in benefit. If the System mistakenly
3sets any benefit at an incorrect amount, it shall recalculate
4the benefit as soon as may be practicable after the mistake is
5discovered.
6    If the benefit was mistakenly set too low, the System shall
7make a lump sum payment to the recipient of an amount equal to
8the difference between the benefits that should have been paid
9and those actually paid.
10    If the benefit was mistakenly set too high, the System may
11recover the amount overpaid from the recipient thereof, either
12directly or by deducting such amount from the remaining
13benefits payable to the recipient. However, if (1) the amount
14of the benefit was mistakenly set too high, and (2) the error
15was undiscovered for 3 years or longer, and (3) the error was
16not the result of incorrect information supplied by the
17affected member or beneficiary, then upon discovery of the
18mistake the benefit shall be adjusted to the correct level, but
19the recipient of the benefit need not repay to the System the
20excess amounts received in error.
 
21    (40 ILCS 5/18-170 new)
22    Sec. 18-170. Termination of plan. Upon plan termination, a
23participant's interest in the pension fund will be
24nonforfeitable.
 

 

 

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1    (40 ILCS 5/21-105.1)  (from Ch. 108 1/2, par. 21-105.1)
2    Sec. 21-105.1. Election of optional medicare coverage. The
3State or any political subdivision or noncorporate public
4entity may elect to provide optional medicare coverage for its
5personnel in the same manner and subject to the same conditions
6as are set forth in Sections 21-103, 21-104 and 21-105 for the
7election of Social Security coverage, including a retirement
8system established under Article 3, 4, 5, or 6 of this Code,
9notwithstanding the provisions contained in Section 21-105 of
10this Article.
11(Source: P.A. 84-1472.)
 
12    Section 99. Effective date. This Act takes effect upon
13becoming law.