Full Text of SB3309 98th General Assembly
SB3309ham002 98TH GENERAL ASSEMBLY | Rep. Lawrence M. Walsh, Jr. Filed: 5/13/2014
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| 1 | | AMENDMENT TO SENATE BILL 3309
| 2 | | AMENDMENT NO. ______. Amend Senate Bill 3309 by replacing | 3 | | everything after the enacting clause with the following:
| 4 | | "Section 5. The Illinois Pension Code is amended by | 5 | | changing Sections 2-114, 3-144.2, 3-148, 4-139, 14-103.19, | 6 | | 18-116, and 21-105.1 and by adding Sections 2-155.1, 2-163, | 7 | | 4-138.10, 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 |
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| 1 | | amount of all benefits under this Article, including any | 2 | | optional forms of benefits. Optional forms of benefits must be | 3 | | the actuarial equivalent of the normal benefit payable under | 4 | | this Article. | 5 | | (Source: Laws 1963, p. 161.)
| 6 | | (40 ILCS 5/2-155.1 new) | 7 | | Sec. 2-155.1. Mistake in benefit. If the System mistakenly | 8 | | sets any benefit at an incorrect amount, it shall recalculate | 9 | | the benefit as soon as may be practicable after the mistake is | 10 | | discovered. | 11 | | If the benefit was mistakenly set too low, the System shall | 12 | | make a lump sum payment to the recipient of an amount equal to | 13 | | the difference between the benefits that should have been paid | 14 | | and those actually paid. | 15 | | If the benefit was mistakenly set too high, the System may | 16 | | recover the amount overpaid from the recipient thereof, either | 17 | | directly or by deducting such amount from the remaining | 18 | | benefits payable to the recipient. However, if (1) the amount | 19 | | of the benefit was mistakenly set too high, and (2) the error | 20 | | was undiscovered for 3 years or longer, and (3) the error was | 21 | | not the result of incorrect information supplied by the | 22 | | affected member or beneficiary, then upon discovery of the | 23 | | mistake the benefit shall be adjusted to the correct level, but | 24 | | the recipient of the benefit need not repay to the System the | 25 | | excess amounts received in error. |
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| 1 | | This Section applies to all mistakes in benefit | 2 | | calculations that occur before, on, or after the effective date | 3 | | of this amendatory Act of the 98th General Assembly. | 4 | | (40 ILCS 5/2-163 new) | 5 | | Sec. 2-163. Termination of plan. Upon plan termination, a | 6 | | participant's interest in the pension fund will be | 7 | | nonforfeitable.
| 8 | | (40 ILCS 5/3-144.2) (from Ch. 108 1/2, par. 3-144.2)
| 9 | | Sec. 3-144.2. Mistake in benefit. | 10 | | (a) If the Fund commits a mistake by setting any benefit at | 11 | | an incorrect amount, it shall adjust the benefit to the correct | 12 | | level as soon as may be practicable after the mistake is | 13 | | discovered. The term "mistake" includes a clerical or | 14 | | administrative error executed by the Fund or participant as it | 15 | | relates to a benefit under this Article; however, in no case | 16 | | shall "mistake" include any benefit as it relates to the | 17 | | reasonable calculation of the benefit or aspects of the benefit | 18 | | based on salary, service credit, calculation or determination | 19 | | of a disability, date of retirement, or other factors | 20 | | significant to the calculation of the benefit that were | 21 | | reasonably understood or agreed to by the Fund at the time of | 22 | | retirement. | 23 | | (b) If the benefit was mistakenly set too low, the Fund | 24 | | shall make a lump sum payment to the recipient of an amount |
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| 1 | | equal to the difference between the benefits that should have | 2 | | been paid and those actually paid, plus interest at the rate | 3 | | prescribed by the Public Pension Division of the Department of | 4 | | Insurance from the date the unpaid amounts accrued to the date | 5 | | of payment. | 6 | | (c) If the benefit was mistakenly set too high, the Fund | 7 | | may recover the amount overpaid from the recipient thereof, | 8 | | either directly or by deducting such amount from the remaining | 9 | | benefits payable to the recipient as is indicated by the | 10 | | recipient. If the overpayment is recovered by deductions from | 11 | | the remaining benefits payable to the recipient, the monthly | 12 | | deduction shall not exceed 10% of the corrected monthly benefit | 13 | | unless otherwise indicated by the recipient. | 14 | | However, if (i) the amount of the benefit was mistakenly | 15 | | set too high, and (ii) the error was undiscovered for 3 years | 16 | | or longer, and (iii) the error was not the result of fraud | 17 | | committed by the affected participant or beneficiary, then upon | 18 | | discovery of the mistake the benefit shall be adjusted to the | 19 | | correct level, but the recipient of the benefit need not repay | 20 | | to the Fund the excess amounts received in error. | 21 | | The amount of any overpayment, due to fraud, | 22 | | misrepresentation
or error, of any pension or benefit granted | 23 | | under this Article may be deducted
from future payments to the | 24 | | recipient of such pension or benefit.
| 25 | | (Source: P.A. 82-623.)
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| 1 | | (40 ILCS 5/3-148) (from Ch. 108 1/2, par. 3-148)
| 2 | | Sec. 3-148. Administrative review. Except as it relates to | 3 | | any time limitation to correct a mistake as provided in Section | 4 | | 3-144.2, the The provisions of the Administrative Review Law,
| 5 | | and all amendments and modifications thereof and the rules | 6 | | adopted
pursuant thereto, shall apply to and govern all | 7 | | proceedings for the
judicial review of final administrative | 8 | | decisions of the retirement board
provided for under this | 9 | | Article. The term "administrative decision" is as
defined in | 10 | | Section 3-101 of the Code of Civil Procedure.
| 11 | | (Source: P.A. 82-783.)
| 12 | | (40 ILCS 5/4-138.10 new) | 13 | | Sec. 4-138.10. Mistake in benefit. | 14 | | (a) If the Fund commits a mistake by setting any benefit at | 15 | | an incorrect amount, it shall adjust the benefit to the correct | 16 | | level as soon as may be practicable after the mistake is | 17 | | discovered. The term "mistake" includes a clerical or | 18 | | administrative error executed by the Fund or participant as it | 19 | | relates to a benefit under this Article; however, in no case | 20 | | shall "mistake" include any benefit as it relates to the | 21 | | reasonable calculation of the benefit or aspects of the benefit | 22 | | based on salary, service credit, calculation or determination | 23 | | of a disability, date of retirement, or other factors | 24 | | significant to the calculation of the benefit that were | 25 | | reasonably understood or agreed to by the Fund at the time of |
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| 1 | | retirement. | 2 | | (b) If the benefit was mistakenly set too low, the Fund | 3 | | shall make a lump sum payment to the recipient of an amount | 4 | | equal to the difference between the benefits that should have | 5 | | been paid and those actually paid, plus interest at the rate | 6 | | prescribed by the Public Pension Division of the Department of | 7 | | Insurance from the date the unpaid amounts accrued to the date | 8 | | of payment. | 9 | | (c) If the benefit was mistakenly set too high, the Fund | 10 | | may recover the amount overpaid from the recipient thereof, | 11 | | either directly or by deducting such amount from the remaining | 12 | | benefits payable to the recipient as is indicated by the | 13 | | recipient. If the overpayment is recovered by deductions from | 14 | | the remaining benefits payable to the recipient, the monthly | 15 | | deduction shall not exceed 10% of the corrected monthly benefit | 16 | | unless otherwise indicated by the recipient. | 17 | | However, if (i) the amount of the benefit was mistakenly | 18 | | set too high, and (ii) the error was undiscovered for 3 years | 19 | | or longer, and (iii) the error was not the result of fraud | 20 | | committed by the affected participant or beneficiary, then upon | 21 | | discovery of the mistake the benefit shall be adjusted to the | 22 | | correct level, but the recipient of the benefit need not repay | 23 | | to the Fund the excess amounts received in error.
| 24 | | (40 ILCS 5/4-139) (from Ch. 108 1/2, par. 4-139)
| 25 | | Sec. 4-139. Administrative review. Except as it relates to |
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| 1 | | any time limitation to correct a mistake as provided in Section | 2 | | 4-138.10 , the The provisions of the Administrative Review Law,
| 3 | | and all amendments and modifications thereof and the rules | 4 | | adopted
pursuant thereto, shall apply to and govern all | 5 | | proceedings for the
judicial review of final administrative | 6 | | decisions of the retirement board
provided for under this | 7 | | Article. The term "administrative decision" is as
defined in | 8 | | Section 3-101 of the Code of Civil Procedure.
| 9 | | (Source: P.A. 82-783.)
| 10 | | (40 ILCS 5/14-103.19) (from Ch. 108 1/2, par. 14-103.19)
| 11 | | Sec. 14-103.19. Actuarial tables. "Actuarial tables": | 12 | | Tables of mathematical functions derived from
mortality, | 13 | | disability and turn-over rates, combined with interest
| 14 | | discount factors as adopted by the board on recommendation of | 15 | | the
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: P.A. 80-841.)
| 22 | | (40 ILCS 5/14-148.1 new) | 23 | | Sec. 14-148.1. Mistake in benefit. If the System mistakenly | 24 | | sets any benefit at an incorrect amount, it shall recalculate |
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| 1 | | the benefit as soon as may be practicable after the mistake is | 2 | | discovered. | 3 | | If the benefit was mistakenly set too low, the System shall | 4 | | make a lump sum payment to the recipient of an amount equal to | 5 | | the difference between the benefits that should have been paid | 6 | | and those actually paid. | 7 | | If the benefit was mistakenly set too high, the System may | 8 | | recover the amount overpaid from the recipient thereof, either | 9 | | directly or by deducting such amount from the remaining | 10 | | benefits payable to the recipient. However, if (1) the amount | 11 | | of the benefit was mistakenly set too high, and (2) the error | 12 | | was undiscovered for 3 years or longer, and (3) the error was | 13 | | not the result of incorrect information supplied by the | 14 | | affected member or beneficiary, then upon discovery of the | 15 | | mistake the benefit shall be adjusted to the correct level, but | 16 | | the recipient of the benefit need not repay to the System the | 17 | | excess amounts received in error. | 18 | | This Section applies to all mistakes in benefit | 19 | | calculations that occur before, on, or after the effective date | 20 | | of this amendatory Act of the 98th General Assembly. | 21 | | (40 ILCS 5/14-153.3 new) | 22 | | Sec. 14-153.3. Termination of plan. Upon plan termination, | 23 | | a member's interest in the pension fund will be nonforfeitable.
| 24 | | (40 ILCS 5/18-116) (from Ch. 108 1/2, par. 18-116)
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| 1 | | Sec. 18-116. Actuarial tables.
| 2 | | "Actuarial tables": Such tabular listings of assumed rates | 3 | | of death,
disability, retirement and withdrawal from service | 4 | | and mathematical
functions derived from such rates combined | 5 | | with an assumed rate of
interest, based upon the experience of | 6 | | the system, as adopted by the board
upon recommendation by the | 7 | | actuary.
| 8 | | The adopted actuarial tables shall be used to determine the | 9 | | amount of all benefits under this Article, including any | 10 | | optional forms of benefits. Optional forms of benefits must be | 11 | | the actuarial equivalent of the normal benefit payable under | 12 | | this Article. | 13 | | (Source: Laws 1963, p. 161.)
| 14 | | (40 ILCS 5/18-162.1 new) | 15 | | Sec. 18-162.1. Mistake in benefit. If the System mistakenly | 16 | | sets any benefit at an incorrect amount, it shall recalculate | 17 | | the benefit as soon as may be practicable after the mistake is | 18 | | discovered. | 19 | | If the benefit was mistakenly set too low, the System shall | 20 | | make a lump sum payment to the recipient of an amount equal to | 21 | | the difference between the benefits that should have been paid | 22 | | and those actually paid. | 23 | | If the benefit was mistakenly set too high, the System may | 24 | | recover the amount overpaid from the recipient thereof, either | 25 | | directly or by deducting such amount from the remaining |
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| 1 | | benefits payable to the recipient. However, if (1) the amount | 2 | | of the benefit was mistakenly set too high, and (2) the error | 3 | | was undiscovered for 3 years or longer, and (3) the error was | 4 | | not the result of incorrect information supplied by the | 5 | | affected member or beneficiary, then upon discovery of the | 6 | | mistake the benefit shall be adjusted to the correct level, but | 7 | | the recipient of the benefit need not repay to the System the | 8 | | excess amounts received in error. | 9 | | This Section applies to all mistakes in benefit | 10 | | calculations that occur before, on, or after the effective date | 11 | | of this amendatory Act of the 98th General Assembly. | 12 | | (40 ILCS 5/18-170 new) | 13 | | Sec. 18-170. Termination of plan. Upon plan termination, a | 14 | | participant's interest in the pension fund will be | 15 | | nonforfeitable.
| 16 | | (40 ILCS 5/21-105.1) (from Ch. 108 1/2, par. 21-105.1)
| 17 | | Sec. 21-105.1. Election of optional medicare coverage. The | 18 | | State or
any political subdivision or noncorporate public | 19 | | entity may elect to
provide optional medicare coverage for its | 20 | | personnel in the same manner and
subject to the same conditions | 21 | | as are set forth in Sections 21-103, 21-104
and 21-105 for the | 22 | | election of Social Security coverage , including a retirement | 23 | | system established under Article 3, 4, 5, or 6 of this Code, | 24 | | notwithstanding the provisions contained in Section 21-105 of |
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| 1 | | this Article .
| 2 | | (Source: P.A. 84-1472.)
| 3 | | Section 99. Effective date. This Act takes effect upon | 4 | | becoming law.".
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