SPRINGFIELD, Ill. – Continuing his work to eliminate government waste, state Rep. Mike Smiddy, D-Hillsdale, is sponsoring legislation to end pension payments for deceased workers that sometimes continues after their death.
"Illinois’ pension funds can't afford to waste taxpayer dollars after the state's commitment had ended,” Smiddy said. “All of the pension funds in Illinois should have a method for tracking when workers pass away and pension payments should stop.”
Between 2010 and 2014, Illinois paid out $2.2 million in pension payments to workers who have passed away, according to a report from the Illinois Policy Institute. Currently, Illinois' pension funds often rely on a loved one to report a retiree’s death to end payments. This obligation is often overlooked by families in the multitude of decisions that accompany a death in the family. The result is pension payments that continue after the retiree has passed away. The Smiddy-backed bill requires each pension fund to develop a way to track the death of retirees so payments can cease. The bill, House Bill 6030, makes no changes to the structure, payment levels or benefits plans of living retirees.
"The fact that payments have been issued to deceased workers shows just how common oversight and waste is in Illinois, and we have to continue to work to ensure each taxpayer dollar is used responsibly," Smiddy said. "In a time where Illinois’ pension debt continues to grow, we have to be extra careful that each payment is spent properly.”
For more information, contact Smiddy’s full-time constituent service office at 309-848-9098 or email RepSmiddy@gmail.com.
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