Rhode Island SB 777: AN ACT RELATING TO PUBLIC OFFICERS AND EMPLOYEES -- RETIREMENT SYSTEM--CONTRIBUTIONS AND BENEFITS

Bill Text

2025 -- S 0777
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LC002378
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S T A T E O F R H O D E I S L A N D
IN GENERAL ASSEMBLY
JANUARY SESSION, A.D. 2025
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A N A C T
RELATING TO PUBLIC OFFICERS AND EMPLOYEES -- RETIREMENT SYSTEM--
CONTRIBUTIONS AND BENEFITS
Introduced By: Senators Ciccone, LaMountain, Dimitri, Burke, Appollonio, and Patalano
Date Introduced: March 14, 2025
Referred To: Senate Finance

It is enacted by the General Assembly as follows:
SECTION 1. Section 36-10-35 of the General Laws in Chapter 36-10 entitled "Retirement 1
System — Contributions and Benefits" is hereby amended to read as follows: 2
36-10-35. Additional benefits payable to retired employees. 3
(a) All state employees and all beneficiaries of state employees receiving any service 4
retirement or ordinary or accidental disability retirement allowance pursuant to the provisions of 5
this title on or before December 31, 1967, shall receive a cost of living retirement adjustment equal 6
to one and one-half percent (1.5%) per year of the original retirement allowance, not compounded, 7
for each calendar year the retirement allowance has been in effect. For the purposes of computation, 8
credit shall be given for a full calendar year regardless of the effective date of the retirement 9
allowance. This cost of living adjustment shall be added to the amount of the retirement allowance 10
as of January 1, 1968, and an additional one and one-half percent (1.5%) shall be added to the 11
original retirement allowance in each succeeding year during the month of January, and provided 12
further, that this additional cost of living increase shall be three percent (3%) for the year beginning 13
January 1, 1971, and each year thereafter, through December 31, 1980. Notwithstanding any of the 14
above provisions, no employee receiving any service retirement allowance pursuant to the 15
provisions of this title on or before December 31, 1967, or the employee’s beneficiary, shall receive 16
any additional benefit hereunder in an amount less than two hundred dollars ($200) per year over 17
the service retirement allowance where the employee retired prior to January 1, 1958. 18

LC002378 - Page 2 of 8
(b) All state employees and all beneficiaries of state employees retired on or after January 1
1, 1968, who are receiving any service retirement or ordinary or accidental disability retirement 2
allowance pursuant to the provisions of this title shall, on the first day of January next following 3
the third anniversary date of the retirement, receive a cost of living retirement adjustment, in 4
addition to their retirement allowance, in an amount equal to three percent (3%) of the original 5
retirement allowance. In each succeeding year thereafter through December 31, 1980, during the 6
month of January, the retirement allowance shall be increased an additional three percent (3%) of 7
the original retirement allowance, not compounded, to be continued during the lifetime of the 8
employee or beneficiary. For the purposes of computation, credit shall be given for a full calendar 9
year regardless of the effective date of the service retirement allowance. 10
(c)(1) Beginning on January 1, 1981, for all state employees and beneficiaries of the state 11
employees receiving any service retirement and all state employees, and all beneficiaries of state 12
employees, who have completed at least ten (10) years of contributory service on or before July 1, 13
2005, pursuant to the provisions of this chapter, and for all state employees, and all beneficiaries 14
of state employees who receive a disability retirement allowance pursuant to §§ 36-10-12 — 36-15
10-15, the cost of living adjustment shall be computed and paid at the rate of three percent (3%) of 16
the original retirement allowance or the retirement allowance as computed in accordance with § 17
36-10-35.1, compounded annually from the year for which the cost of living adjustment was 18
determined to be payable by the retirement board pursuant to the provisions of subsection (a) or (b) 19
of this section. Such cost of living adjustments are available to members who retire before October 20
1, 2009, or are eligible to retire as of September 30, 2009. 21
(2) The provisions of this subsection shall be deemed to apply prospectively only and no 22
retroactive payment shall be made. 23
(3) The retirement allowance of all state employees and all beneficiaries of state employees 24
who have not completed at least ten (10) years of contributory service on or before July 1, 2005, or 25
were not eligible to retire as of September 30, 2009, shall, on the month following the third 26
anniversary date of retirement, and on the month following the anniversary date of each succeeding 27
year be adjusted and computed by multiplying the retirement allowance by three percent (3%) or 28
the percentage of increase in the Consumer Price Index for All Urban Consumers (CPI-U) as 29
published by the United States Department of Labor Statistics dete