This bill amends existing laws regarding cost-of-living adjustments for retirees of the teachers' retirement system and the public employees' retirement system in Washington State. Specifically, it establishes a series of incremental increases to monthly benefits for beneficiaries of both systems based on their retirement date. For instance, beneficiaries receiving benefits on July 1, 2025, will see an increase of three percent effective July 1, 2026, with a cap of $110.00 on the increase. The bill also clarifies that these adjustments do not apply to certain beneficiaries under specific RCWs.

Additionally, the bill introduces new provisions that ensure beneficiaries from both retirement systems will receive consistent cost-of-living adjustments over the coming years, with specific percentages and maximum amounts outlined for each year. The effective date for these changes is set for July 1, 2026. Overall, the bill aims to enhance the financial stability of retirees by providing regular adjustments to their benefits in line with inflation and cost-of-living changes.

Statutes affected:
Original bill: 41.32.4992, 41.32.489
Substitute bill: 41.32.4992, 41.32.489
Bill as passed Legislature: 41.32.4992, 41.32.489
Session law: 41.32.4992, 41.32.489