House Bill No. by Representative Bacala proposes a cost-of-living adjustment (COLA) for eligible retirees and beneficiaries of the Louisiana State Employees' Retirement System (LASERS), effective July 1, 2026. The bill outlines specific eligibility criteria for the COLA, which includes retirees who are at least 60 years old and have received benefits for at least one year, nonretiree beneficiaries of deceased members who would have reached age 60, and disability retirees or their beneficiaries who have also received benefits for at least one year. The funding for this adjustment will come exclusively from LASERS's experience account.

The COLA will be calculated based on an amount determined by the system's actuary, in agreement with the legislative auditor's actuary, and will be capped at 2% of the first $80,000 of the eligible benefit amount. Additionally, any costs associated with this adjustment will be funded through increased employer contributions, in accordance with the Louisiana Constitution. The bill aims to provide financial relief to eligible retirees and beneficiaries, ensuring that their benefits keep pace with inflation.