Public Act 103-0523
HB2035 EnrolledLRB103 25367 RPS 51712 b HB2035 Enrolled LRB103 25367 RPS 51712 b
HB2035 Enrolled LRB103 25367 RPS 51712 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 13-309, 13-310, 13-314, and 13-706 and by
adding Section 13-209.5 as follows:
(40 ILCS 5/13-209.5 new)
Sec. 13-209.5. Licensed health care professional.
"Licensed health care professional" means any individual who
has obtained a license through the Department of Financial and
Professional Regulation under the Medical Practice Act of 1987
or under the Physician Assistant Practice Act of 1987 or an
advanced practice registered nurse licensed under the Nurse
Practice Act.
(40 ILCS 5/13-309) (from Ch. 108 1/2, par. 13-309)
Sec. 13-309. Duty disability benefit.
(a) Any employee who becomes disabled, which disability is
the result of an injury or illness compensable under the
Illinois Workers' Compensation Act or the Illinois Workers'
Occupational Diseases Act, is entitled to a duty disability
benefit during the period of disability for which the employee
does not receive any part of salary, or any part of a
HB2035 Enrolled LRB103 25367 RPS 51712 b
retirement annuity under this Article; except that in the case
of an employee who first enters service on or after June 13,
1997 and becomes disabled before August 18, 2005 (the
effective date of Public Act 94-621), a duty disability
benefit is not payable for the first 3 days of disability that
would otherwise be payable under this Section if the
disability does not continue for at least 11 additional days.
The changes made to this Section by Public Act 94-621 are
prospective only and do not entitle an employee to a duty
disability benefit for the first 3 days of any disability that
occurred before that effective date and did not continue for
at least 11 additional days. This benefit shall be 75% of
salary at the date disability begins. However, if the
disability in any measure resulted from any physical defect or
disease which existed at the time such injury was sustained or
such illness commenced, the duty disability benefit shall be
50% of salary.
Unless the employer acknowledges that the disability is a
result of injury or illness compensable under the Workers'
Compensation Act or the Workers' Occupational Diseases Act,
the duty disability benefit shall not be payable until the
issue of compensability under those Acts is finally
adjudicated. The period of disability shall be as determined
by the Illinois Workers' Compensation Commission or
acknowledged by the employer.
An employee in service before June 13, 1997 shall also
receive a child's disability benefit during the period of
disability of $10 per month for each unmarried natural or
adopted child of the employee under 18 years of age.
The first payment shall be made not later than one month
after the benefit is granted, and subsequent payments shall be
made at least monthly. The Board shall by rule prescribe for
the payment of such benefits on the basis of the amount of
salary lost during the period of disability.
(b) The benefit shall be allowed only if all of the
following requirements are met by the employee:
(1) Application is made to the Board.
(2) A medical report is submitted by at least one
licensed health care professional and practicing physician
as part of the employee's application.
(3) The employee is examined by at least one licensed
health care professional and practicing physician
appointed by the Board and found to be in a disabled
physical condition, and shall be re-examined at least
annually thereafter during the continuance of disability.
The employee need not be examined by a licensed health
care professional and practicing physician appointed by
the Board if the attorney for the district certifies in
writing that the employee is entitled to receive
compensation under the Workers' Compensation Act or the
Workers' Occupational Diseases Act. The Board may require
other evidence of disability.
(c) The benefit shall terminate when:
(1) The employee returns to work or receives a
retirement annuity paid wholly or in part under this
Article;
(2) The disability ceases;
(3) The employee attains age 65, but if the employee
becomes disabled at age 60 or later, benefits may be
extended for a period of no more than 5 years after
disablement;
(4) The employee (i) refuses to submit to reasonable
examinations by licensed health care physicians or other
health professionals appointed by the Board, (ii) fails or
refuses to consent to and sign an authorization allowing
the Board to receive copies of or to examine the
employee's medical and hospital records, or (iii) fails or
refuses to provide complete information regarding any
other employment for compensation he or she has received
since becoming disabled; or
(5) The employee willfully and continuously refuses to
follow medical advice and treatment to enable the employee
to return to work. However this provision does not apply
to an employee who relies in good faith on treatment by
prayer through spiritual means alone in accordance with
the tenets and practice of a recognized church or
religious denomination, by a duly accredited practitioner
thereof.
In the case of a duty disability recipient who returns to
work, the employee must make application to the Retirement
Board within 2 years from the date the employee last received
duty disability benefits in order to become again entitled to
duty disability benefits based on the injury for which a duty
disability benefit was theretofore paid.
(Source: P.A. 95-586, eff. 8-31-07; 96-251, eff. 8-11-09.)
(40 ILCS 5/13-310) (from Ch. 108 1/2, par. 13-310)
Sec. 13-310. Ordinary disability benefit.
(a) Any employee who becomes disabled as the result of any
cause other than injury or illness incurred in the performance
of duty for the employer or any other employer, or while
engaged in self-employment activities, shall be entitled to an
ordinary disability benefit. The eligible period for this
benefit shall be 25% of the employee's total actual service
prior to the date of disability with a cumulative maximum
period of 5 years.
(b) The benefit shall be allowed only if the employee
files an application in writing with the Board, and a medical
report is submitted by at least one licensed health care
professional and practicing physician as part of the
employee's application.
The benefit is not payable for any disability which begins
during any period of unpaid leave of absence. No benefit shall
be allowed for any period of disability prior to 30 days before
application is made, unless the Board finds good cause for the
delay in filing the application. The benefit shall not be paid
during any period for which the employee receives or is
entitled to receive any part of salary.
The benefit is not payable for any disability which begins
during any period of absence from duty other than allowable
vacation time in any calendar year. An employee whose
disability begins during any such ineligible period of absence
from service may not receive benefits until the employee
recovers from the disability and is in service for at least 15
consecutive working days after such recovery.
In the case of an employee who first enters service on or
after June 13, 1997, an ordinary disability benefit is not
payable for the first 3 days of disability that would
otherwise be payable under this Section if the disability does
not continue for at least 11 additional days.
Beginning on the effective date of this amendatory Act of
the 94th General Assembly, an employee who first entered
service on or after June 13, 1997 is also eligible for ordinary
disability benefits on the 31st day after the last day worked,
provided all sick leave is exhausted.
(c) The benefit shall be 50% of the employee's salary at
the date of disability, and shall terminate when the earliest
of the following occurs:
(1) The employee returns to work or receives a
retirement annuity paid wholly or in part under this
Article;
(2) The disability ceases;
(3) The employee willfully and continuously refuses to
follow medical advice and treatment to enable the employee
to return to work. However this provision does not apply
to an employee who relies in good faith on treatment by
prayer through spiritual means alone in accordance with
the tenets and practice of a recognized church or
religious denomination, by a duly accredited practitioner
thereof;
(4) The employee (i) refuses to submit to a reasonable
physical examination within 30 days of application by a
licensed health care professional physician appointed by
the Board, (ii) in the case of chronic alcoholism, the
employee refuses to join a rehabilitation program licensed
by the Department of Public Health of the State of
Illinois and certified by the Joint Commission on the
Accreditation of Hospitals, (iii) fails or refuses to
consent to and sign an authorization allowing the Board to
receive copies of or to examine the employee's medical and
hospital records, or (iv) fails or refuses to provide
complete information regarding any other employment for
compensation he or she has received since becoming
disabled; or
(5) The eligible period for this benefit has been
exhausted.
The first payment of the benefit shall be made not later
than one month after the same has been granted, and subsequent
payments shall be made at least monthly.
(Source: P.A. 102-210, eff. 7-30-21.)
(40 ILCS 5/13-314) (from Ch. 108 1/2, par. 13-314)
Sec. 13-314. Alternative provisions for Water Reclamation
District commissioners.
(a) Transfer of credits. Any Water Reclamation District
commissioner elected by vote of the people and who has elected
to participate in this Fund may transfer to this Fund credits
and creditable service accumulated under any other pension
fund or retirement system established under Articles 2 through
18 of this Code, upon payment to the Fund of (1) the amount by
which the employer and employee contributions that would have
been required if he had participated in this Fund during the
period for which credit is being transferred, plus interest,
exceeds the amounts actually transferred from such other fund
or system to this Fund, plus (2) interest thereon at 6% per
year compounded annually from the date of transfer to the date
of payment.
(b) Alternative annuity. Any participant commissioner may
elect to establish alternative credits for an alternative
annuity by electing in writing to make additional optional
contributions in accordance with this Section and procedures
established by the Board. Unless and until such time as the
U.S. Internal Revenue Service or the federal courts provide a
favorable ruling as described in Section 13-502(f), a
commissioner may discontinue making the additional optional
contributions by notifying the Fund in writing in accordance
with this Section and procedures established by the Board.
Additional optional contributions for the alternative
annuity shall be as follows:
(1) For service after the option is elected, an
additional contribution of 3% of salary shall be
contributed to the Fund on the same basis and under the
same conditions as contributions required under Section
13-502.
(2) For contributions on past service, the additional
contribution shall be 3% of the salary for the applicable
period of service, plus interest at the annual rate from
time to time as determined by the Board, compounded
annually from the date of service to the date of payment.
Contributions for service before the option is elected may
be made in a lump sum payment to the Fund or by
contributing to the Fund on the same basis and under the
same conditions as contributions required under Section
13-502. All payments for past service must be paid in full
before credit is given. No additional optional
contributions may be made for any period of service for
which credit has been previously forfeited by acceptance
of a refund, unless the refund is repaid in full with
interest at the rate specified in Section 13-603, from the
date of refund to the date of repayment.
In lieu of the retirement annuity otherwise payable under
this Article, any commissioner who has elected to participate
in the Fund and make additional optional contributions in
accordance with this Section, has attained age 55, and has at
least 6 years of service credit, may elect to have the
retirement annuity computed as follows: 3% of the
participant's average final salary as a commissioner for each
of the first 8 years of service credit, plus 4% of such salary
for each of the next 4 years of service credit, plus 5% of such
salary for each year of service credit in excess of 12 years,
subject to a maximum of 80% of such salary. To the extent such
commissioner has made additional optional contributions with
respect to only a portion of years of service credit, the
retirement annuity will first be determined in accordance with
this Section to the extent such additional optional
contributions were made, and then in accordance with the
remaining Sections of this Article to the extent of years of
service credit with respect to which additional optional
contributions were not made. The change in minimum retirement
age (from 60 to 55) made by Public Act 87-1265 applies to
persons who begin receiving a retirement annuity under this
Section on or after January 25, 1993 (the effective date of
Public Act 87-1265), without regard to whether they are in
service on or after that date.
(c) Disability benefits. In lieu of the disability
benefits otherwise payable under this Article, any
commissioner who (1) has elected to participate in the Fund,
and (2) has become permanently disabled and as a consequence
is unable to perform the duties of office, and (3) was making
optional contributions in accordance with this Section at the
time the disability was incurred, may elect to receive a
disability annuity calculated in accordance with the formula
in subsection (b). For the purposes of this subsection, such
commissioner shall be considered permanently disabled only if:
(i) disability occurs while in service as a commissioner and
is of such a nature as to prevent the reasonable performance of
the duties of office at the time; and (ii) the Board has
received a written certification by at least 2 licensed health
care professionals physicians appointed by it stating that
such commissioner is disabled and that the disability is
likely to be permanent.
(d) Alternative survivor's benefits. In lieu of the
survivor's benefits otherwise payable under this Article, the
spouse or eligible child of any deceased commissioner who (1)
had elected to participate in the Fund, and (2) was either
making (or had already made) additional optional contributions
on the date of death, or was receiving an annuity calculated
under this Section at the time of death, may elect to receive
an annuity beginning on the date of the commissioner's death,
provided that the spouse and commissioner must have been
married on the date of the last termination of a service as
commissioner and for a continuous period of at least one year
immediately preceding death.
The annuity shall be payable beginning on the date of the
commissioner's death if the spouse is then age 50 or over, or
beginning at age 50 if the age of the spouse is less than 50
years. If a minor unmarried child or children of the
commissioner, under age 18 (age 23 in the case of a full-time
student), also survive, and the child or children are under
the care of the eligible spouse, the annuity shall begin as of
the date of death of the commissioner without regard to the
spouse's age. Beginning on the first day of the month
following the month in which this amendatory Act of the 96th
General Assembly takes effect, benefits shall begin on the
first of the month following the commissioner's date of death
if the spouse is then age 50 or over or, if a minor unmarried
child or children of the commissioner, under age 18 (age 23 in
the case of a full time student), also survive, and the child
or children are under the care of the eligible spouse. The
benefit is payable for the full month if the annuitant was
alive on the first day of the month.
The annuity to a spouse shall be the greater of (i) 66 2/3%
of the amount of retirement annuity earned by the commissioner
on the date of death, subject to a minimum payment of 10% of
salary, provided that if an eligible spouse, regardless of
age, has in his or her care at the date of death of the
commissioner any unmarried child or children of the
commissioner under age 18, the minimum annuity shall be 30% of
the commissioner's salary, plus 10% of salary on account of
each minor child of the commissioner, subject to a combined
total payment on account of a spouse and minor children not to
exceed 50% of the deceased commissioner's salary or (ii) for
the spouse of a commissioner whose death occurs on or after
August 18, 2005 (the effective date of Public Act 94-621), the
surviving spouse annuity shall be computed in the same manner
as described in Section 13-306(a). The number of total service
years used to calculate the commissioner's annuity shall be
the number of service years used to calculate the annuity for
that commissioner's surviving spouse. In the event there shall
be no spouse of the commissioner surviving, or should a spouse
die while eligible minor children still survive the
commissioner, each such child shall be entitled to an annuity
equal to 20% of salary of the commissioner subject to a
combined total payment on account of all such children not to
exceed 50% of salary of the commissioner. The salary to be used
in the calculation of these benefits shall be the same as that
prescribed for determining a retirement annuity as provided in
subsection (b) of this Section.
Upon the death of a commissioner occurring after
termination of a service or while in receipt of a retirement
annuity, the combined total payment to a spouse and minor
children, or to minor children alone if no eligible spouse
survives, shall be limited to 85% of the amount of retirement
annuity earned by the commissioner.
Marriage of a child or attainment of age 18 (age 23 in the
case of a full-time student), whichever first occurs, shall
render the child ineligible for further consideration in the
payment of annuity to a spouse or in the increase in the amount
thereof. Upon attainment of ineligibility of the youngest
minor child of the commissioner, the annuity shall immediately
revert to the amount payable upon death of a commissioner
leaving no minor children surviving. If the spouse is under
age 50 at such time, the annuity as revised shall be deferred
until such age is attained.
(e) Refunds. Refunds of additional optional contributions
shall be made on the same basis and under the same conditions
as provided under Section 13-601. Interest shall be credited
on the same basis and under the same conditions as for other
contributions.
Optional contributions shall be accounted for in a
separate Commission's Optional Contribution Reserve. Optional
contributions under this Section shall be included in the
amount of employee contributions used to compute the tax levy
under Section 13-503.
(f) Effective date. The effective date of this plan of
optional alternative benefits and contributions shall be the
date upon which approval was received from the U.S. Internal
Revenue Service. The plan of optional alternative benefits and
contributions shall not be available to any former employee
receiving an annuity from the Fund on the effective date,
unless said former employee re-enters service and renders at
least 3 years of additional service after the date of re-entry
as a commissioner.
(Source: P.A. 95-279, eff. 1-1-08; 96-251, eff. 8-11-09.)
(40 ILCS 5/13-706) (from Ch. 108 1/2, par. 13-706)
Sec. 13-706. Board powers and duties. The Board shall have
the powers and duties set forth in this Section, in addition to
such other powers and duties as may be provided in this Article
and in this Code:
(a) To supervise collections. To see that all amounts
specified in this Article to be applied to the Fund, from
any source, are collected and applied.
(b) To notify of deductions. To notify the Clerk of
the Water Reclamation District of the deductions to be
made from the salaries of employees.
(c) To accept gifts. To accept by gift, grant, bequest
or otherwise any money or property of any kind and use the
same for the purposes of the Fund.
(d) To invest the reserves. To invest the reserves of
the Fund in accordance with the provisions set forth in
Section 1-109, 1-109.1, 1-109.2, 1-110, 1-111, 1-114, and
1-115 of this Code. Investments made in accordance with
Section 1-113 of Article 1 of this Code shall be deemed
prudent. The Board is also authorized to transfer
securities to the Illinois State Board of Investment for
the purpose of participation in any commingled investment
fund as provided in Article 22A of this Code.
(e) To authorize payments. To consider and pass upon
all applications for annuities and benefits; to authorize
or suspend the payment of any annuity or benefit; to
inquire into the validity and legality of any grant of
annuity or benefit paid from or payable out of the Fund; to
increase, reduce, or suspend any such annuity or benefit
whenever the annuity or benefit, or any part thereof, was
secured or granted, or the amount thereof fixed, as the
result of misrepresentation, fraud, or error. No such
annuity or benefit shall be permanently reduced or
suspended until the affected annuitant or beneficiary is
first notified of the proposed action and given an
opportunity to be heard. No trustee of the Board shall
vote upon that trustee's own personal claim for annuity,
benefit or refund, or participate in the deliberations of
the Board as to the validity of any such claim. The Board
shall have exclusive original jurisdiction in all matters
of claims for annuities, benefits and refunds.
(f) To submit an annual report. To submit a report in
July of each year to the Board of Commissioners of the
Water Reclamation District as of the close of business on
December 31st of the preceding year. The report shall
include the following:
(1) A balance sheet, showing the financial and
actuarial condition of the Fund as of the end of the
calendar year;
(2) A statement of receipts and disbursements
during such year;
(3) A statement showing changes in the asset,
liability, reserve and surplus accounts during such
year;
(4) A detailed statement of investments as of the
end of the year; and
(5) Any additional information as is deemed
necessary for proper interpretation of the condition
of the Fund.
(g) To subpoena witnesses. To compel witnesses to
attend and testify before it upon any matter concerning
the Fund and allow witness fees not in excess of $6 for
attendance upon any one day. The President and other
members of the Board may administer oaths to witnesses.
(h) To appoint employees and consultants. To appoint
such actuarial, medical, legal, investigational, clerical
or financial employees and consultants as are necessary,
and fix their compensation.
(i) To make rules. To make rules and regulations
necessary for the administration of the affairs of the
Fund.
(j) To waive guardianship. To waive the requirement of
legal guardianship of a person under legal disability or
any minor unmarried beneficiary of the Fund for a
representative living with a parent or grandparent, and
legal guardianship of any beneficiary under legal
disability whose husband, wife, or parent is managing such
person or beneficiary's affairs, whenever the Board deems
such waiver to be in the best interest of the person or
beneficiary.
(k) To collect amounts due. To collect any amounts due
to the Fund from any participant or beneficiary prior to
payment of any annuity, benefit or refund.
(l) To invoke rule of offset. To offset against any
amount payable to an employee or to any other person such
sums as may be due to the Fund or may have been paid by the
Fund due to misrepresentation, fraud or error.
(m) To assess and collect interest on amounts due to
the Fund using the annual rate as shall from time to time
be determined by the Board, compounded annually from the
date of notification to the date of payment.
(Source: P.A. 94-621, eff. 8-18-05; 95-586, eff. 8-31-07.)