Appellate court: Village shouldn't include holiday pay when calculating officers' pensions

An appellate court has ruled against five former Hanover Park police officers who claimed the village incorrectly omitted holiday pay when calculating their pensionable earnings for three years.

The ruling overturns a circuit court decision in the officers' favor.

The Hanover Park Police Pension Fund Board argued that under the police union contract in place from May 1, 2013, to April 30, 2016, holiday pay was pensionable because it could be treated as "fixed" income.

The three-judge appellate court panel unanimously ruled against that assertion. The ruling, written by Judge Joe Birkett, stated the pension board's determination that holiday pay was fixed income was "clearly erroneous" and "lacks factual and legal support in the administrative record."

The ruling was announced late last month.

The officers can appeal to the Illinois Supreme Court. Village officials said until the case was finalized they could not comment. Lawyers for the pension board could not be reached for comment.

The legal saga began several years ago but culminated with a 2019 lawsuit.

DuPage County Circuit Judge Bonnie Wheaton ruled in favor of the pension board at a June 2020 hearing, citing Illinois Department of Insurance rulings in the past.