Full Text of HB5919 98th General Assembly
HB5919ham002 98TH GENERAL ASSEMBLY | Rep. Jeanne M Ives Filed: 4/2/2014
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| 1 | | AMENDMENT TO HOUSE BILL 5919
| 2 | | AMENDMENT NO. ______. Amend House Bill 5919 by replacing | 3 | | everything after the enacting clause with the following:
| 4 | | "Section 5. The Illinois Pension Code is amended by | 5 | | changing Sections 3-144.2, 3-148, and 4-139 and by adding | 6 | | Section 4-138.10 as follows:
| 7 | | (40 ILCS 5/3-144.2) (from Ch. 108 1/2, par. 3-144.2)
| 8 | | Sec. 3-144.2. Mistake in benefit. | 9 | | (a) If the Fund mistakenly sets any
benefit at an incorrect | 10 | | amount, it shall recalculate the benefit as soon as
may be | 11 | | practicable after the mistake is discovered. | 12 | | (b) If the benefit was mistakenly set too low, the Fund | 13 | | shall make a lump
sum payment to the recipient of an amount | 14 | | equal to the difference between
the benefits that should have | 15 | | been paid and those actually paid, plus
interest at the | 16 | | prescribed rate from the date the unpaid amounts accrued to
the |
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| 1 | | date 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 | | including interest at the prescribed rate from the date of | 5 | | overpayment to the date of recovery, either directly
or by | 6 | | deducting
such amount from the remaining benefits payable to | 7 | | the recipient. If the overpayment is recovered by deductions | 8 | | from the remaining benefits payable to the recipient, the | 9 | | monthly deduction shall not exceed 10% of the corrected monthly | 10 | | benefit amount, unless otherwise agreed to by the recipient of | 11 | | the benefit. | 12 | | However,
if (i) the amount of the benefit was mistakenly | 13 | | set too high, and (ii) the
error was undiscovered for 3 years | 14 | | or longer, and (iii) the error was not the
result of incorrect | 15 | | information supplied by the affected participant or
| 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 Fund the excess amounts | 19 | | received in error. | 20 | | (d) In the event of any conflict between this Section and | 21 | | the Administrative Review Law, including but not limited to any | 22 | | period established under that Law having the effect of limiting | 23 | | the time in which a mistake in benefit may be corrected, this | 24 | | Section is intended to control. | 25 | | The amount of any overpayment, due to fraud, | 26 | | misrepresentation
or error, of any pension or benefit granted |
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| 1 | | under this Article may be deducted
from future payments to the | 2 | | recipient of such pension or benefit.
| 3 | | (Source: P.A. 82-623.)
| 4 | | (40 ILCS 5/3-148) (from Ch. 108 1/2, par. 3-148)
| 5 | | Sec. 3-148. Administrative review. Except as provided in | 6 | | Section 3-144.2, pertaining to the correction of mistakes in | 7 | | benefits, the The provisions of the Administrative Review Law,
| 8 | | and all amendments and modifications thereof and the rules | 9 | | adopted
pursuant thereto, shall apply to and govern all | 10 | | proceedings for the
judicial review of final administrative | 11 | | decisions of the retirement board
provided for under this | 12 | | Article. The term "administrative decision" is as
defined in | 13 | | Section 3-101 of the Code of Civil Procedure.
| 14 | | (Source: P.A. 82-783.)
| 15 | | (40 ILCS 5/4-138.10 new) | 16 | | Sec. 4-138.10. Mistake in benefit. | 17 | | (a) If the Fund mistakenly sets any
benefit at an incorrect | 18 | | amount, it shall recalculate the benefit as soon as
may be | 19 | | practicable after the mistake is discovered. | 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 | 24 | | prescribed rate from the date the unpaid amounts accrued to
the |
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| 1 | | date 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 | | including interest at the prescribed rate from the date of | 5 | | overpayment to the date of recovery, either directly
or by | 6 | | deducting
such amount from the remaining benefits payable to | 7 | | the recipient. If the overpayment is recovered by deductions | 8 | | from the remaining benefits payable to the recipient, the | 9 | | monthly deduction shall not exceed 10% of the corrected monthly | 10 | | benefit amount, unless otherwise agreed to by the recipient of | 11 | | the benefit. | 12 | | However,
if (i) the amount of the benefit was mistakenly | 13 | | set too high, and (ii) the
error was undiscovered for 3 years | 14 | | or longer, and (iii) the error was not the
result of incorrect | 15 | | information supplied by the affected participant or
| 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 Fund the excess amounts | 19 | | received in error. | 20 | | (d) In the event of any conflict between this Section and | 21 | | the Administrative Review Law, including but not limited to any | 22 | | period established under that Law having the effect of limiting | 23 | | the time in which a mistake in benefit may be corrected, this | 24 | | Section is intended to control.
| 25 | | (40 ILCS 5/4-139) (from Ch. 108 1/2, par. 4-139)
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| 1 | | Sec. 4-139. Administrative review. Except as provided in | 2 | | Section 4-138.10, pertaining to the correction of mistakes in | 3 | | benefits, the The provisions of the Administrative Review Law,
| 4 | | and all amendments and modifications thereof and the rules | 5 | | adopted
pursuant thereto, shall apply to and govern all | 6 | | proceedings for the
judicial review of final administrative | 7 | | decisions of the retirement board
provided for under this | 8 | | Article. The term "administrative decision" is as
defined in | 9 | | Section 3-101 of the Code of Civil Procedure.
| 10 | | (Source: P.A. 82-783.)
| 11 | | Section 99. Effective date. This Act takes effect upon | 12 | | becoming law.".
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