The bill amends the General Laws concerning retirement benefits for teachers and state employees, introducing changes to enhance financial support for retirees and their beneficiaries. Key provisions include increased monthly benefits for spouses, former spouses, and domestic partners of deceased members, with the minimum benefit rising from $825 to $1,025 for those earning $17,000 or less, and the maximum benefit increasing from $1,375 to $1,725 for those earning over $40,000.

The bill also establishes a one-time cost-of-living adjustment (COLA) of two and eighty-nine one hundredths percent (2.89%) for eligible retirees who retired after July 1, 2012. Additionally, it modifies the Rhode Island tax code to allow taxpayers to subtract the amount received from public pension benefits administered by the Employees Retirement System of Rhode Island from their federal adjusted gross income.

The legislation further includes provisions for automatic COLAs for municipal employees based on different plans, ensuring that retirement allowances are adjusted annually. The act takes effect upon passage.

Statutes affected:
7161: 36-10-35, 44-30-12, 45-21-52