The bill amends the definitions and calculations related to retirement benefits for state and municipal employees in Rhode Island. Specifically, it changes the cutoff date for retirement benefit calculations from July 1, 2024, to July 1, 2012, for members eligible to retire on or after this new date. The average compensation for these members will now be based on the highest three consecutive years of compensation within their total service when their average compensation was at its peak.

Additionally, the bill introduces new definitions related to the retirement system, including "final compensation," which is defined as the average of the highest three consecutive years of compensation for members eligible to retire on or after July 1, 2012. The act is set to take effect upon passage, ensuring that the new provisions are implemented promptly.

Statutes affected:
5318: 36-8-1, 45-21-2