This bill aims to reinstate automatic cost-of-living adjustments (COLAs) for retirement benefits for certain retired members of the Teachers Pension and Annuity Fund (TPAF) who accepted early retirement incentives prior to January 1, 2011. The legislation modifies existing law by inserting provisions that allow the Board of Trustees of the TPAF, in consultation with the fund's actuary and the State Treasurer, to implement these automatic adjustments. The adjustments will apply only to future pension benefit payments and will not be retroactive, meaning no member will receive a payment based on the difference between what they would have received had the adjustment been in effect at the time of entitlement and what they have received up to the effective date of the bill.

Additionally, the bill includes deletions from current law that previously canceled automatic annual adjustments for retirees and beneficiaries of State-administered retirement systems, including TPAF, as established by P.L.2011, c.78. The reinstatement of COLAs is intended to provide financial relief to eligible retirees, ensuring that their benefits keep pace with inflation. The bill is set to take effect immediately upon passage.

Statutes affected:
Introduced: 43:3B-2