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91_HB4081
LRB9110545EGfg
1 AN ACT to amend the Illinois Pension Code by changing
2 Section 7-152 and to amend the State Mandates Act.
3 Be it enacted by the People of the State of Illinois,
4 represented in the General Assembly:
5 Section 5. The Illinois Pension Code is amended by
6 changing Section 7-152 as follows:
7 (40 ILCS 5/7-152) (from Ch. 108 1/2, par. 7-152)
8 Sec. 7-152. Disability benefits - Amount. The amount of
9 the monthly temporary and total and permanent disability
10 benefits shall be 50% of the participating employee's final
11 rate of earnings on the date disability was incurred, subject
12 to the following adjustments:
13 (a) If the participating employee has a reduced rate of
14 earnings at the time his employment ceases because of
15 disability, the rate of earnings shall be computed on the
16 basis of his last 12 month period of full-time employment.
17 (b) If the participating employee is eligible for a
18 disability benefit under the Federal Social Security Act, the
19 amount of monthly disability benefits shall be reduced, but
20 not to less than $10 a month, by the amount he would be
21 eligible to receive as a disability benefit under the Federal
22 Social Security Act, whether or not because of service as a
23 covered employee under this Article. The reduction shall be
24 effective as of the month the employee is eligible for Social
25 Security disability benefits. The Board may make such
26 reduction if it appears that the employee may be so eligible
27 pending determination of eligibility and make an appropriate
28 adjustment if necessary after such determination. If the
29 employee, because of his refusal to accept rehabilitation
30 services under the Federal Rehabilitation Act of 1973 or the
31 Federal Social Security Act, or because he is receiving
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1 workers' compensation benefits, has his Social Security
2 benefits reduced or terminated, the disability benefit shall
3 be reduced as if the employee were receiving his full Social
4 Security disability benefit.
5 (c) If the employee is over age 65, was not eligible for
6 a Social Security benefit immediately before reaching age 65
7 and is eligible for a Social Security old-age insurance
8 benefit, the amount of the monthly disability benefit shall
9 be reduced, but not to less than $10 a month, by the amount
10 of the old-age insurance benefit to which the employee is
11 entitled whether or not the employee applies for the Social
12 Security old-age insurance benefit. This reduction shall be
13 made in the month after the month in which the employee
14 attains age 65. However, if the employee was receiving a
15 Social Security disability benefit before reaching age 65,
16 the disability benefits after age 65 shall be determined
17 under subsection (b) of this Section.
18 (d) The amount of disability benefits shall not be
19 reduced by reason of any increase, other than one resulting
20 from a correction in the employee's wage records, in the
21 amount of disability or old-age insurance benefits under the
22 Federal Social Security Act which takes effect after the
23 month of the initial reduction under paragraph (b) or (c) of
24 this Section.
25 (e) If the employee in any month receives compensation
26 from gainful employment which is more than 25% of the final
27 rate of earnings on which his disability benefits are based,
28 the temporary disability benefit payable for that month shall
29 be reduced by an amount equal to such excess.
30 (f) An employee who has been disabled for at least 30
31 days may return to work for the employer on a part-time basis
32 for a trial work period of up to one year, during which the
33 disability shall be deemed to continue. Service credit shall
34 continue to accrue and the disability benefit shall continue
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1 to be paid during the trial work period, but the benefit
2 shall be reduced by the amount of earnings received by the
3 disabled employee. Return to service on a full-time basis
4 shall terminate the trial work period. The reduction under
5 this subsection (f) shall be in lieu of the reduction, if
6 any, required under subsection (e).
7 (g) Beginning January 1, 1988, every total and permanent
8 disability benefit shall be increased by 3% of the original
9 amount of the benefit, not compounded, on each January 1
10 following the later of (1) the date the total and permanent
11 disability benefit begins, or (2) the date the total and
12 permanent disability benefit would have begun if the employee
13 had been paid a temporary disability benefit for 30 months.
14 (h) Beginning January 1, 2001, the basic disability
15 benefit for sheriff's law enforcement employees shall be 65%
16 of the employee's final rate of earnings on the date the
17 disability was incurred, rather than the 50% otherwise
18 provided under this Section. Sheriff's law enforcement
19 employees who are receiving a disability benefit on that date
20 shall have the benefit increased accordingly.
21 (Source: P.A. 87-740.)
22 Section 90. The State Mandates Act is amended by adding
23 Section 8.24 as follows:
24 (30 ILCS 805/8.24 new)
25 Sec. 8.24. Exempt mandate. Notwithstanding Sections 6
26 and 8 of this Act, no reimbursement by the State is required
27 for the implementation of any mandate created by this
28 amendatory Act of the 91st General Assembly.
29 Section 99. Effective date. This Act takes effect upon
30 becoming law.