The proposed bill, titled "The Commuter Transportation Benefits Act," aims to amend Title 28 of the General Laws concerning labor relations by introducing a new chapter, Chapter 61. This chapter mandates that all covered employers—defined as those with 500 or more employees—must offer a pre-tax transportation fringe benefit program that provides commuter transit benefits in accordance with federal law. The bill outlines specific definitions, including "covered employer," "employee," and "pre-tax transportation fringe benefit," and establishes the maximum benefit levels allowable under the Internal Revenue Code.

Additionally, the bill specifies exemptions from this requirement for certain entities, such as the federal government, the State of Rhode Island, local governments, and employees covered by existing collective bargaining agreements until their expiration. It also allows employers to demonstrate financial hardship to the director of the Department of Labor and Training to avoid compliance. The legislation includes provisions for civil penalties for non-compliance, a public awareness campaign to promote commuter benefits, and is set to take effect on January 1, 2026.