The bill amends various sections of the General Laws concerning retirement benefits for teachers and state employees. It introduces new provisions that enhance benefits for spouses, former spouses, and domestic partners of deceased members, with significant increases in monthly benefits across different income brackets. For instance, the minimum benefit for those earning $17,000 or less rises from $825 to $1,025, while the maximum benefit for those earning over $40,000 increases from $1,375 to $1,725.

Additionally, the bill establishes a yearly adjustment of the base benefit and a cost-of-living adjustment (COLA) for retirees. Specifically, it provides a one-time full COLA of two and eighty-nine one hundredths percent (2.89%) for eligible retirees who retired after July 1, 2012.

The bill also modifies the Rhode Island tax code to allow for a subtraction from federal adjusted gross income for the amount received from public pension benefits administered by the Employees Retirement System of Rhode Island.

The act is set to take effect upon passage.

Statutes affected:
249: 36-10-35, 44-30-12, 45-21-52