Bill Text: IL HB1580 | 2019-2020 | 101st General Assembly | Introduced

NOTE: There are more recent revisions of this legislation. Read Latest Draft

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Bill Title: Amends the State Employee Article of the Illinois Pension Code. Allows licensed health care professionals (rather than just physicians) to make certain disability determinations. Defines "licensed health care professional". Requires a licensed health care professional to submit his or her registration number on all reports submitted to the System. Eliminates the 12-month application deadline for certain disability benefits. Makes changes to provisions concerning when a nonoccupational disability benefit begins to accrue. In a provision concerning temporary disability benefits, provides that in the case of a terminated employer-paid temporary total disability benefit, the temporary disability benefit under the Article shall not become payable until the expiration of 30 days (instead of 150 days) from the termination of the employer-paid benefit or until other requirements are met. Also makes changes relating to Social Security full retirement age and to hearings under certain provisions of the Workers' Compensation Act and the Workers' Occupational Diseases Act. Makes other changes. Effective immediately.

Spectrum: Partisan Bill (Democrat 2-0)

Status: (Passed) 2019-07-12 - Public Act . . . . . . . . . 101-0054 [HB1580 Detail]

Download: Illinois-2019-HB1580-Introduced.html

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101ST GENERAL ASSEMBLY State of Illinois 2019 and 2020 HB1580 Introduced , by Rep. Robert Martwick SYNOPSIS AS INTRODUCED:
40 ILCS 5/14-103.42 new
40 ILCS 5/14-123 from Ch. 108 1/2, par. 14-123
40 ILCS 5/14-123.1 from Ch. 108 1/2, par. 14-123.1
40 ILCS 5/14-124 from Ch. 108 1/2, par. 14-124
40 ILCS 5/14-124.5 new
40 ILCS 5/14-125 from Ch. 108 1/2, par. 14-125
40 ILCS 5/14-127 from Ch. 108 1/2, par. 14-127
Amends the State Employee Article of the Illinois Pension Code. Allows licensed health care professionals (rather than just physicians) to make certain disability determinations. Defines "licensed health care professional". Requires a licensed health care professional to submit his or her registration number on all reports submitted to the System. Eliminates the 12-month application deadline for certain disability benefits. Makes changes to provisions concerning when a nonoccupational disability benefit begins to accrue. In a provision concerning temporary disability benefits, provides that in the case of a terminated employer-paid temporary total disability benefit, the temporary disability benefit under the Article shall not become payable until the expiration of 30 days (instead of 150 days) from the termination of the employer-paid benefit or until other requirements are met. Also makes changes relating to Social Security full retirement age and to hearings under certain provisions of the Workers' Compensation Act and the Workers' Occupational Diseases Act. Makes other changes. Effective immediately.
LRB101 06623 RPS 51650 b
FISCAL NOTE ACT MAY APPLY PENSION IMPACT NOTE ACT MAY APPLY
A BILL FOR
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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 14-123, 14-123.1, 14-124, 14-125, and 14-127 and by
adding Sections 14-103.42 and 14-124.5 as follows:
(40 ILCS 5/14-103.42 new)
Sec. 14-103.42. Licensed health care professional.
"Licensed health care professional": Any individual who has
obtained a license through the Department of Financial and
Professional Regulation under the Medical Practice Act of 1987,
under the Physician Assistant Practice Act of 1987, or under
the Clinical Psychologist Licensing Act or an advanced practice
nurse licensed under the Nurse Practice Act.
(40 ILCS 5/14-123) (from Ch. 108 1/2, par. 14-123)
Sec. 14-123. Occupational disability benefits. A member
who becomes incapacitated to perform the duties of his position
as the proximate result of bodily injuries sustained or a
hazard undergone while in the performance and within the scope
of the member's duties, shall receive an occupational
disability benefit; provided:
(a) application is made within 12 months after the date

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that such disability results in the loss of pay, or 12 months
after the date that the Illinois Workers' Compensation
Commission rules on the application for an occupational
disability, or 12 months after the occurrence of disablement if
an occupational disease; and
(b) proper proof is received from one or more licensed
health care professionals physicians designated by the Board
certifying that the member is mentally or physically
incapacitated.
The benefit shall be 75% of the member's final average
compensation at date of disability and shall be payable until
the first of the following dates occurs:
(1) the date on which disability ceases;
(2) the date on which the member engages in gainful
employment;
(3) the end of the month in which the member attains
age 65, in the case of benefits commencing prior to
attainment of age 60;
(4) the end of the month following the fifth
anniversary of the effective date of the benefit, or of the
temporary disability benefit if one was received, in the
case of benefits commencing on or after attainment of age
60; or
(5) the end of the month in which the death of the
member occurs.
At the end of the month in which the benefits cease as

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prescribed in paragraphs (3) or (4) above, if the member is
still disabled, he shall become entitled to a retirement
annuity and the minimum period of service prescribed for the
receipt of such annuity shall be waived.
In the event that a temporary disability benefit has been
received, the benefit paid under this Section shall be subject
to adjustment by the Board under Section 14-123.1.
The Board shall prescribe rules and regulations governing
the filing of claims for occupational disability benefits, and
the investigation, control and supervision of such claims.
(Source: P.A. 93-721, eff. 1-1-05.)
(40 ILCS 5/14-123.1) (from Ch. 108 1/2, par. 14-123.1)
Sec. 14-123.1. Temporary disability benefit.
(a) A member who has at least 18 months of creditable
service and who becomes physically or mentally incapacitated to
perform the duties of his position shall receive a temporary
disability benefit, provided that:
(1) the agency responsible for determining the
liability of the State (i) has formally denied all
employer-paid temporary total disability benefits under
the Workers' Compensation Act or the Workers' Occupational
Diseases Act and an appeal of that denial is pending before
the Illinois Workers' Compensation Commission, or (ii) has
granted and then terminated for any reason an employer-paid
temporary total disability benefit and the member has filed

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a petition for a emergency hearing under Section 19(b) or
Section 19(b-1) of the Workers' Compensation Act or Section
19(b) or Section 19(b-1) of the Workers' Occupational
Diseases Act; and
(2) application is made not later than (i) 12 months
after the date that the disability results in loss of pay,
and (ii) 12 months after the date the agency responsible
for determining the liability of the State under the
Workers' Compensation Act or Workers' Occupational
Diseases Act has formally denied or terminated the
employer-paid temporary total disability benefit; and , or
(iii) in the case of termination of an employer-paid
temporary total disability benefit, 12 months after the
effective date of this amendatory Act of 1995, whichever
occurs last; and
(3) proper proof is received from one or more licensed
health care professionals physicians designated by the
Board certifying that the member is mentally or physically
incapacitated.
(b) In the case of a denial of benefits, the temporary
disability benefit shall begin to accrue on the 31st day of
absence from work on account of disability, but the benefit
shall not become actually payable to the member until the
expiration of 31 days from the day upon which the member last
received or had a right to receive any compensation.
In the case of termination of an employer-paid temporary

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total disability benefit, the temporary disability benefit
under this Section shall be calculated from the day following
the date of termination of the employer-paid benefit or the
31st day of absence from work on account of disability,
whichever is later, but shall not become payable to the member
until (i) the member's right to an employer-paid temporary
total disability benefit is denied as a result of the emergency
hearing held under Section 19(b) or Section 19(b-1) of the
Workers' Compensation Act or Section 19(b) or Section 19(b-1)
of the Workers' Occupational Diseases Act or (ii) the
expiration of 30 150 days from the date of termination of the
employer-paid benefit, whichever occurs first. If a terminated
employer-paid temporary total disability benefit is resumed or
replaced with another employer-paid disability benefit and the
resumed or replacement benefit is later terminated and the
member again files a petition for a emergency hearing under
Section 19(b) or Section 19(b-1) of the Workers' Compensation
Act or Section 19(b) or Section 19(b-1) of the Workers'
Occupational Diseases Act, the member may again become eligible
to receive a temporary disability benefit under this Section.
The waiting period before the temporary disability benefit
under this Section becomes payable applies each time that the
benefit is reinstated.
The benefit shall continue to accrue until the first of the
following events occurs:
(1) the disability ceases;

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(2) the member engages in gainful employment;
(3) the end of the month in which the member attains
age 65, in the case of benefits commencing prior to
attainment of age 60;
(4) the end of the month following the fifth
anniversary of the effective date of the benefit in the
case of benefits commencing on or after attainment of age
60;
(5) the end of the month in which the death of the
member occurs;
(6) the end of the month in which the aggregate period
for which temporary disability payments have been made
becomes equal to 1/2 of the member's total period of
creditable service, not including the time for which he has
received a temporary disability benefit or nonoccupational
disability benefit; for purposes of this item (6) only, in
the case of a member to whom Section 14-108.2a or 14-108.2b
applies and who, at the time disability commences, is
performing services for the Illinois Department of Public
Health or the Department of State Police relating to the
transferred functions referred to in that Section and has
less than 10 years of creditable service under this
Article, the member's "total period of creditable service"
shall be augmented by an amount equal to (i) one half of
the member's period of creditable service in the Fund
established under Article 8 (excluding any creditable

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service over 20 years), minus (ii) the amount of the
member's creditable service under this Article;
(7) a payment is made on the member's claim pursuant to
a determination made by the agency responsible for
determining the liability of the State under the Workers'
Compensation Act or the Workers' Occupational Diseases
Act;
(8) a final determination is made on the member's claim
by the Illinois Workers' Compensation Commission.
(c) The temporary disability benefit shall be 50% of the
member's final average compensation at the date of disability.
If a covered employee is eligible under the Social Security
Act for a disability benefit before attaining the Social
Security full retirement age 65, or a retirement benefit on or
after attaining the Social Security full retirement age 65,
then the amount of the member's temporary disability benefit
shall be reduced by the amount of primary benefit the member is
eligible to receive under the Social Security Act, whether or
not such eligibility came about as the result of service as a
covered employee under this Article. The Board may make such
reduction pending a determination of eligibility if it appears
that the employee may be so eligible, and shall make an
appropriate adjustment if necessary after such determination
has been made. The amount of temporary disability benefit
payable under this Article shall not be reduced by reason of
any increase in benefits payable under the Social Security Act

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which occurs after the reduction required by this paragraph has
been applied. As used in this subsection, "Social Security full
retirement age" means the age at which an individual is
eligible to receive full Social Security retirement benefits.
(d) The temporary disability benefit provided under this
Section is intended as a temporary payment of occupational or
nonoccupational disability benefit, whichever is appropriate,
in cases in which the occupational or nonoccupational character
of the disability has not been finally determined.
When an employer-paid disability benefit is paid or
resumed, the Board shall calculate the benefit that is payable
under Section 14-123 and shall deduct from the benefit payable
under Section 14-123 the amounts already paid under this
Section; those amounts shall then be treated as if they had
been paid under Section 14-123.
When a final determination of the character of the
disability has been made by the Illinois Workers' Compensation
Commission, or by settlement between the parties to the
disputed claim, the Board shall calculate the benefit that is
payable under Section 14-123 or 14-124, whichever is
applicable, and shall deduct from such benefit the amounts
already paid under this Section; such amounts shall then be
treated as if they had been paid under such Section 14-123 or
14-124.
(e) Any excess benefits paid under this Section shall be
subject to recovery by the System from benefits payable under

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the Workers' Compensation Act or the Workers' Occupational
Diseases Act or from third parties as provided in Section
14-129, or from any other benefits payable either to the member
or on his behalf under this Article. A member who accepts
benefits under this Section acknowledges and authorizes these
recovery rights of the System.
(f) Service credits under the State Universities
Retirement System and the Teachers' Retirement System of the
State of Illinois shall be considered for the purposes of
determining temporary disability benefit eligibility under
this Section, and for determining the total period of time for
which such benefits are payable.
(g) The Board shall prescribe rules and regulations
governing the filing of claims for temporary disability
benefits, and the investigation, control and supervision of
such claims.
(h) References in this Section to employer-paid benefits
include benefits paid for by the State, either directly or
through a program of insurance or self-insurance, whether paid
through the member's own department or through some other
department or entity; but the term does not include benefits
paid by the System under this Article.
(Source: P.A. 93-721, eff. 1-1-05.)
(40 ILCS 5/14-124) (from Ch. 108 1/2, par. 14-124)
Sec. 14-124. Nonoccupational disability benefit. A member

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with at least 1 1/2 years of creditable service may be granted
a nonoccupational disability benefit, if:
(1) application for the benefit is made to the system
by the member in writing after the commencement of
disability;
(2) the member is found upon medical examination to be
mentally or physically incapacitated to perform the duties
of the member's position;
(3) the disability resulted from a cause other than an
injury or illness sustained in connection with the member's
performance of duty as a State employee;
(4) the member has been granted a leave of absence for
disability at the time of commencement of disability.
Renewal of a disability leave of absence shall not be
required for the continued payment of benefits; and
(5) the member has used all accumulated sick leave
available at the beginning of the leave of absence for
disability.
The benefit shall begin to accrue on the latest of (i) the
31st day of absence from work on account of disability
(including any periods of such absence for which sick pay was
received); or (ii) the day following the day on which the
member last receives or has a right to receive any compensation
as an employee, including any sick pay. ; or (iii) if
application by the member is delayed more than 90 days after
the member's name is removed from the payroll, the date

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application is received by the system. The benefit shall
continue to accrue until the first of the following to occur:
(a) the date on which disability ceases;
(b) the end of the month in which the member attains
age 65 in the case of benefits commencing prior to
attainment of age 60;
(c) the end of the month following the fifth
anniversary of the effective date of the benefit, or of the
temporary disability benefit if one was received, in the
case of benefits commencing on or after attainment of age
60;
(d) the end of the month in which the aggregate period
for which non-occupational disability and temporary
disability benefit payments have been made becomes equal to
1/2 of the member's total period of creditable service, not
including the time during which he has received a temporary
disability benefit or nonoccupational disability benefit;
for purposes of this item (d) only, in the case of a member
to whom Section 14-108.2a or 14-108.2b applies and who, at
the time disability commences, is performing services for
the Illinois Department of Public Health or the Department
of State Police relating to the transferred functions
referred to in that Section and has less than 10 years of
creditable service under this Article, the member's "total
period of creditable service" shall be augmented by an
amount equal to (i) one half of the member's period of

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creditable service in the Fund established under Article 8
(excluding any creditable service over 20 years), minus
(ii) the amount of the member's creditable service under
this Article;
(e) the date on which the member engages in gainful
employment;
(f) the end of the month in which the death of the
member occurs.
If disability has ceased and the member again becomes
disabled within 60 days from date of resumption of State
employment, and if the disability is due to the same cause for
which he received nonoccupational disability benefit
immediately preceding such reentry into service, the 30 days
waiting period prescribed for the receipt of benefits is waived
as to such new period of disability.
A member shall be considered disabled only when the board
has received:
(a) a written certificate by one or more licensed
health care professionals and practicing physicians
designated by the board, certifying that the member is
disabled and unable properly to perform the duties of his
position at the time of disability; and
(b) the employee certifies that he is not and has not
been engaged in gainful employment.
The board shall prescribe rules and regulations governing
the filing of claims for nonoccupational disability benefits,

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and the investigation, control and supervision of such claims.
Service credits under the State Universities Retirement
System and the Teachers' Retirement System of the State of
Illinois shall be considered for the purposes of
nonoccupational disability benefit eligibility under this
Article and for the total period of time for which such
benefits are payable.
(Source: P.A. 88-535; 89-246, eff. 8-4-95.)
(40 ILCS 5/14-124.5 new)
Sec. 14-124.5. Reports submitted to the System by licensed
health care professionals. A licensed health care professional
must submit his or her registration number on all reports
submitted to the System.
(40 ILCS 5/14-125) (from Ch. 108 1/2, par. 14-125)
Sec. 14-125. Nonoccupational disability benefit - Amount
of. The nonoccupational disability benefit shall be 50% of the
member's final average compensation at the time disability
occurred. In the case of a member whose benefit was resumed due
to the same disability, the amount of the benefit shall be the
same as that last paid before resumption of State employment.
In the event that a temporary disability benefit has been
received, the nonoccupational disability benefit shall be
subject to adjustment by the Board under Section 14-123.1.
If a covered employee is eligible for a disability benefit

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before attaining the Social Security full retirement age 65 or
a retirement benefit on or after attaining the Social Security
full retirement age 65 under the Federal Social Security Act,
the amount of the member's nonoccupational disability benefit
shall be reduced by the amount of primary benefit the member
would be eligible to receive under such Act, whether or not
entitlement thereto came about as the result of service as a
covered employee under this Article. The Board may make such
reduction if it appears that the employee may be so eligible
pending determination of eligibility and make an appropriate
adjustment if necessary after such determination. The amount of
any nonoccupational disability benefit payable under this
Article shall not be reduced by reason of any increase under
the Federal Social Security Act which occurs after the offset
required by this Section is first applied to that benefit.
As used in this subsection, "Social Security full
retirement age" means the age at which an individual is
eligible to receive full Social Security retirement benefits.
(Source: P.A. 84-1028.)
(40 ILCS 5/14-127) (from Ch. 108 1/2, par. 14-127)
Sec. 14-127. Credit during disability. During any period of
disability for which nonoccupational, occupational or
temporary disability benefits are paid, there shall be credited
to the account of the disabled member amounts representing the
contributions the member would have made had he or she remained

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in active employment in the same position and at the rate of
compensation in effect at the time disability occurred. Service
credit shall also be granted him during any such periods of
disability for all purposes of this Article except for
measuring the duration of nonoccupational and temporary
disability benefits. The resolution of a temporary disability
benefit into an occupational or nonoccupational disability
benefit shall not entitle the disabled member to receive
duplicate contribution and service credit under this Section
for the period during which the temporary disability benefit
was paid.
(Source: P.A. 84-1028.)
Section 99. Effective date. This Act takes effect upon
becoming law.