Bill Text: IL SB1115 | 2023-2024 | 103rd General Assembly | Engrossed

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

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Bill Title: Amends the State Universities Article of the Illinois Pension Code. Provides that, in lieu of the amount of a disability benefit otherwise provided, for a participant who is employed as a police officer and who incurs a line of duty disability, the disability benefit shall be the greater of: (1) 65% of the basic compensation that would have been paid had the participant continued in employment for the entire period during which disability benefits are payable, excluding wage or salary increases subsequent to the date of disability; or (2) 65% of the participant's average earnings during the 24 months immediately preceding the month in which disability occurs. Provides for a disability retirement annuity for a participant who is employed as a police officer and who incurs a line of duty disability equal to 65% of the basic compensation which was payable to the participant at the time that disability began, provided that the board determines that the participant has a medically determinable physical or mental impairment that prevents him or her from engaging in any substantial gainful activity and can be expected to result in death or has lasted or can be expected to last for a continuous period of not less than 12 months. Provides that any benefit increase that results from the amendatory Act is excluded from the definition of "new benefit increase".

Spectrum: Slight Partisan Bill (Republican 12-6)

Status: (Passed) 2023-06-09 - Public Act . . . . . . . . . 103-0080 [SB1115 Detail]

Download: Illinois-2023-SB1115-Engrossed.html

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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 15-150, 15-153, 15-153.2, and 15-198 as
follows:
(40 ILCS 5/15-150) (from Ch. 108 1/2, par. 15-150)
Sec. 15-150. Disability benefits; eligibility benefits -
Eligibility. A participant may be granted a disability benefit
if: (1) while a participating employee, he or she becomes
physically or mentally incapacitated and unable to perform the
duties of his or her assigned position for any period
exceeding 60 days; and (2) the employee had completed 2 years
of service at the time of disability, unless the disability is
a result of an accident or the employee is a police officer who
qualifies for the calculation under subsection (b) of Section
15-153.
An employee shall be considered disabled only during the
period for which the board determines, based upon the evidence
listed below, that the employee is unable to reasonably
perform the duties of his or her assigned position as a result
of a physical or mental disability. This determination shall
be based upon:

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(i) a written certificate from one or more licensed
and practicing physicians appointed by or acceptable to
the board, stating that the employee is disabled and
unable to reasonably perform the duties of his or her
assigned position;
(ii) a written certificate from the employer stating
that the employee is unable to perform the duties of his or
her assigned position and, if the employee is a police
officer, the employer's position on whether the disability
qualifies as a line of duty disability; and
(iii) any other medical examinations, hospital
records, laboratory results, or other information
necessary for determining the employment capacity and
condition of the employee; and .
(iv) if the employee is a police officer applying for
a line of duty disability, a written certification from
one or more licensed and practicing physicians appointed
by or acceptable to the board, stating that the disability
qualifies as a line of duty disability under subsection
(b) of Section 15-153.
The board shall prescribe rules governing the filing,
investigation, control, and supervision of disability claims.
Costs incurred by a claimant in connection with completing a
claim for disability benefits shall be paid (A) by the
claimant, in the case of the one required medical examination,
medical certificate, and employer's certificate and any other

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requirements generally imposed by the board on all disability
benefit claimants; and (B) by the System, in the case of any
additional medical examination or other additional requirement
imposed on a particular claimant that is not imposed generally
on all disability benefit claimants.
Pregnancy and childbirth shall be considered a disability.
The same application shall be used to determine
eligibility for the calculation of disability benefits under
subsection (a) or subsection (b) of Section 15-153.
(Source: P.A. 90-766, eff. 8-14-98.)
(40 ILCS 5/15-153) (from Ch. 108 1/2, par. 15-153)
Sec. 15-153. Disability benefits; amount benefits -
Amount.
(a) Except as provided in subsection (b), the The
disability benefit shall be the greater of (1) 50% of the basic
compensation which would have been paid had the participant
continued in service for the entire period during which
disability benefits are payable, excluding wage or salary
increases subsequent to the date of disability or extra
prospective earnings on a summer teaching contract or other
extra service not yet entered upon or (2) 50% of the
participant's average earnings during the 24 months
immediately preceding the month in which disability occurs. In
determining the disability benefit, the basic compensation of
a participating employee on leave of absence or on lay-off

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status shall be assumed to be equal to his or her basic
compensation on the date the leave of absence or lay-off
begins.
(b) In lieu of the amount of the disability benefit
otherwise provided for in subsection (a) of this Section, for
a participant who is employed as a police officer and who
incurs a line of duty disability, the disability benefit under
this Section shall be the greater of: (1) 65% of the basic
compensation that would have been paid had the participant
continued in employment for the entire period during which
disability benefits are payable, excluding wage or salary
increases subsequent to the date of disability; or (2) 65% of
the participant's average earnings during the 24 months
immediately preceding the month in which disability occurs. In
determining the disability benefit, the basic compensation of
a participating employee on leave of absence or on lay-off
status shall be assumed to be equal to his or her basic
compensation on the date the leave of absence or lay-off
begins.
Any police officer who suffers a heart attack or stroke as
a result of the performance and discharge of police duty shall
be considered to have been injured in the performance of an act
of duty and shall be eligible for the calculation of benefits
provided for under this subsection (b).
A police officer shall be considered to be in the
performance of an act of duty while on any assignment approved

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by the police officer's chief, whether the assignment is on or
off the employer's property.
The changes made to this Section shall apply to
participants whose line of duty disability occurred on or
after January 1, 2022.
For the purposes of this Section, "line of duty
disability" means that, as the result of sickness, accident,
or injury incurred in or resulting from the performance of an
act of duty, the police officer is found to be physically or
mentally disabled for employment as a police officer so as to
render necessary his or her suspension or retirement from
employment as a police officer or is found to be unable to
perform his or her duties as a police officer by reason of
heart disease, stroke, tuberculosis, or any disease of the
lungs or respiratory tract, resulting from employment as a
police officer.
If the disability benefit is 50% of basic compensation
under subsection (a) or 65% of basic compensation under
subsection (b), payments during the academic year shall accrue
over the period that the basic compensation would have been
paid had the participant continued in service. If the
disability benefit is 50% under subsection (a) or 65% under
subsection (b) of the average earnings of the participant
during the 24 months immediately preceding the month in which
disability occurs, payments during the year shall accrue over
a period of 12 months. Disability benefits shall be paid as of

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the end of each calendar month during which payments accrue.
Payments for fractional parts of a month shall be determined
by prorating the total amount payable for the full month on the
basis of days elapsing during the month. Any disability
benefit accrued but unpaid on the death of a participant shall
be paid to the participant's beneficiary.
(Source: P.A. 93-347, eff. 7-24-03.)
(40 ILCS 5/15-153.2) (from Ch. 108 1/2, par. 15-153.2)
Sec. 15-153.2. Disability retirement annuity.
(a) This subsection (a) applies to a participant receiving
benefits calculated under subsection (a) of Section 15-153. A
participant whose disability benefits are discontinued under
the provisions of clause (6) of Section 15-152 and who is not a
participant in the optional retirement plan established under
Section 15-158.2 is entitled to a disability retirement
annuity of 35% of the basic compensation which was payable to
the participant at the time that disability began, provided
that the board determines that the participant has a medically
determinable physical or mental impairment that prevents him
or her from engaging in any substantial gainful activity, and
which can be expected to result in death or which has lasted or
can be expected to last for a continuous period of not less
than 12 months.
(b) This subsection (b) applies to a participant receiving
benefits calculated under subsection (b) of Section 15-153. A

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participant whose disability benefits are discontinued under
clause (6) of Section 15-152 and who is not a participant in
the optional retirement plan established under Section
15-158.2 is entitled to a disability retirement annuity of 65%
of the basic compensation that was payable to the participant
at the time that disability began, provided that the board
determines that the participant has a medically determinable
physical or mental impairment that prevents him or her from
engaging in any substantial gainful activity and can be
expected to result in death or has lasted or can be expected to
last for a continuous period of not less than 12 months.
(c) The board's determination of whether a participant is
disabled shall be based upon:
(i) a written certificate from one or more licensed
and practicing physicians appointed by or acceptable to
the board, stating that the participant is unable to
engage in any substantial gainful activity; and
(ii) any other medical examinations, hospital records,
laboratory results, or other information necessary for
determining the employment capacity and condition of the
participant.
The terms "medically determinable physical or mental
impairment" and "substantial gainful activity" shall have the
meanings ascribed to them in the federal Social Security Act,
as now or hereafter amended, and the regulations issued
thereunder.

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(d) The disability retirement annuity payment period shall
begin immediately following the expiration of the disability
benefit payments under clause (6) of Section 15-152 and shall
be discontinued for a recipient of a disability retirement
annuity when (1) the physical or mental impairment no longer
prevents the recipient from engaging in any substantial
gainful activity, (2) the recipient dies, (3) the recipient
elects to receive a retirement annuity under Sections 15-135
and 15-136, (4) the recipient refuses to submit to a
reasonable physical examination by a physician approved by the
board, or (5) the recipient fails to provide an earnings
verification necessary to determine continuance of benefits.
If a person's disability retirement annuity is discontinued
under clause (1), all rights and credits accrued in the system
on the date that the disability retirement annuity began shall
be restored, and the disability retirement annuity paid shall
be considered as disability payments under clause (6) of
Section 15-152.
(e) The board shall adopt rules governing the filing,
investigation, control, and supervision of disability
retirement annuity claims. Costs incurred by a claimant in
connection with completing a claim for a disability retirement
annuity shall be paid: (A) by the claimant in the case of the
one required medical examination, medical certificate, and any
other requirements generally imposed by the board on all
disability retirement annuity claimants; and (B) by the System

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in the case of any additional medical examination or other
additional requirement imposed on a particular claimant that
is not imposed generally on all disability retirement annuity
claimants.
(Source: P.A. 100-556, eff. 12-8-17.)
(40 ILCS 5/15-198)
Sec. 15-198. Application and expiration of new benefit
increases.
(a) As used in this Section, "new benefit increase" means
an increase in the amount of any benefit provided under this
Article, or an expansion of the conditions of eligibility for
any benefit under this Article, that results from an amendment
to this Code that takes effect after June 1, 2005 (the
effective date of Public Act 94-4). "New benefit increase",
however, does not include any benefit increase resulting from
the changes made to Article 1 or this Article by Public Act
100-23, Public Act 100-587, Public Act 100-769, Public Act
101-10, Public Act 101-610, Public Act 102-16, or this
amendatory Act of the 103rd General Assembly this amendatory
Act of the 102nd General Assembly.
(b) Notwithstanding any other provision of this Code or
any subsequent amendment to this Code, every new benefit
increase is subject to this Section and shall be deemed to be
granted only in conformance with and contingent upon
compliance with the provisions of this Section.

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(c) The Public Act enacting a new benefit increase must
identify and provide for payment to the System of additional
funding at least sufficient to fund the resulting annual
increase in cost to the System as it accrues.
Every new benefit increase is contingent upon the General
Assembly providing the additional funding required under this
subsection. The Commission on Government Forecasting and
Accountability shall analyze whether adequate additional
funding has been provided for the new benefit increase and
shall report its analysis to the Public Pension Division of
the Department of Insurance. A new benefit increase created by
a Public Act that does not include the additional funding
required under this subsection is null and void. If the Public
Pension Division determines that the additional funding
provided for a new benefit increase under this subsection is
or has become inadequate, it may so certify to the Governor and
the State Comptroller and, in the absence of corrective action
by the General Assembly, the new benefit increase shall expire
at the end of the fiscal year in which the certification is
made.
(d) Every new benefit increase shall expire 5 years after
its effective date or on such earlier date as may be specified
in the language enacting the new benefit increase or provided
under subsection (c). This does not prevent the General
Assembly from extending or re-creating a new benefit increase
by law.

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(e) Except as otherwise provided in the language creating
the new benefit increase, a new benefit increase that expires
under this Section continues to apply to persons who applied
and qualified for the affected benefit while the new benefit
increase was in effect and to the affected beneficiaries and
alternate payees of such persons, but does not apply to any
other person, including, without limitation, a person who
continues in service after the expiration date and did not
apply and qualify for the affected benefit while the new
benefit increase was in effect.
(Source: P.A. 101-10, eff. 6-5-19; 101-81, eff. 7-12-19;
101-610, eff. 1-1-20; 102-16, eff. 6-17-21.)
Section 99. Effective date. This Act takes effect upon
becoming law.