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 cutoff date, the average compensation will be calculated as the average of the highest three consecutive years of compensation within their total service when their average compensation was at its highest.

The bill also 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 bill is set to take effect upon passage, indicating an immediate implementation of these changes to the retirement system administration.

Statutes affected:
257: 36-8-1, 45-21-2