The bill amends Section 36-10-35 of the General Laws in Chapter 36-10, focusing on retirement system contributions and benefits. It introduces new cost of living adjustments (COLAs) for retired state employees and their beneficiaries. Specifically, retirees who retired on or before December 31, 1967, will receive a COLA of 1.5% per year, with a minimum increase of $200 annually for certain retirees. For those who retired after January 1, 1968, a 3% COLA will be applied starting from the third anniversary of their retirement until December 31, 1980. The bill also establishes different COLA provisions based on retirement dates and years of service, including a cap of $35,000 on the retirement allowance eligible for COLA adjustments for employees not eligible to retire by September 30, 2009.

Additionally, the bill proposes a one-time benefit adjustment of 2% for members who retired on or before June 30, 2012, and introduces a new formula for annual benefit adjustments starting January 1, 2016, based on a combination of the five-year average investment return and the Consumer Price Index. It stipulates that benefit adjustments will be suspended unless the retirement system's funded ratio exceeds 80%, with a gradual reduction to 75% starting July 1, 2024. The bill also reinstates yearly COLAs of 3% if the annual investment return exceeds 10% and provides two one-time stipends of $500 for retirees who retired on or before July 1, 2015. The effective date for these provisions is upon the passage of the act, aiming to enhance the financial security of retirees in line with investment performance and inflation.