This bill reinstates automatic cost-of-living adjustments (COLAs) for retirement benefits of certain members of the State Police Retirement System (SPRS), specifically targeting those who have been retired for a minimum of ten years. It establishes that members hired more than 30 days after the bill's effective date will not qualify for these adjustments. The COLAs will be calculated based on a retiree's annual pension benefit, with a threshold set at $75,000 for the first year, and future adjustments tied to the Consumer Price Index (CPI), capped at a maximum of one percent for those exceeding the threshold.

Additionally, the bill modifies existing legal language regarding the authority of the Board of Trustees and the committee overseeing the retirement system. It grants the committee discretionary authority to adjust member contribution rates, retirement eligibility, and benefits, and to activate the Pension Adjustment Act when the system reaches a target funded ratio. The bill also includes provisions to ensure that decisions made by the committee will not allow the system's funded ratio to fall below the target in the following 30 years. Furthermore, if the Board of Trustees fails to comply with the provisions within six months, the State Treasurer is mandated to implement the necessary adjustments, with the Legislature required to appropriate funds from the General Fund to support these COLAs.

Statutes affected:
Introduced: 53:5A-30, 43:3B-2