HB5919 Summary

• Establishes procedures for correcting mistakes in pension benefit calculations in the Illinois Pension Code, applying to both Article 3 and Article 4 pension funds.

• Requires funds to recalculate benefits as soon as practicable after discovering a mistake and make lump sum payments with interest at the prescribed rate when benefits were set too low.

• Allows funds to recover overpaid amounts either directly or through monthly deductions not exceeding 10% of the corrected benefit, unless the recipient agrees otherwise.

• Exempts recipients from repayment of overpaid amounts if the error was undiscovered for 3 years or longer and was not caused by incorrect information supplied by the participant or beneficiary.

• Specifies that Section 3-144.2 and Section 4-138.10 take precedence over the Administrative Review Law regarding the time period for correcting benefit mistakes.