2018 -- H 7484

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LC004505

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     STATE OF RHODE ISLAND

IN GENERAL ASSEMBLY

JANUARY SESSION, A.D. 2018

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A N   A C T

RELATING TO TOWNS AND CITIES - CENTRAL FALLS RETIREE PENSION BENEFITS

     Introduced By: Representatives McLaughlin, Johnston, Hull, Messier, and Diaz

     Date Introduced: February 07, 2018

     Referred To: House Finance

     It is enacted by the General Assembly as follows:

     SECTION 1. Chapter 45-21 of the General Laws entitled "Retirement of Municipal

Employees" is hereby amended by adding thereto the following section:

     45-21-67.1. Gradual increase of pension benefits for Central Falls retirees.

     (a) Notwithstanding the provisions of § 45-21-67:

     (1) Effective September 1, 2018, each Central Falls retiree covered by the terms of the

settlement agreement enacted pursuant to § 45-21-67 shall receive seventy-seven and one half

percent (77.5%) of their base pension benefit (as such term is defined in § 45-21-67(a)(1)), after

taking into account all applicable cost-of-living adjustments for their lifetime, and to the extent

applicable, after taking into account all applicable cost-of-living adjustments to their beneficiaries

for their lifetime;

     (2) Effective September 1, 2019, each Central Falls retiree covered by the terms of the

settlement agreement enacted pursuant to § 45-21-67 shall receive eighty percent (80%) of their

base pension benefit (as such term is defined in § 45-21-67(a)(1)), after taking into account all

applicable cost-of-living adjustments for their lifetime, and to the extent applicable, after taking

into account all applicable cost-of-living adjustments to their beneficiaries for their lifetime;

     (3) Effective September 1, 2020, each Central Falls retiree covered by the terms of the

settlement agreement enacted pursuant to § 45-21-67 shall receive eighty-two and one half

percent (82.5%) of their base pension benefit (as such term is defined in § 45-21-67(a)(1)), after

taking into account all applicable cost-of-living adjustments for their lifetime, and to the extent

applicable, after taking into account all applicable cost-of-living adjustments to their beneficiaries

for their lifetime;

     (4) Effective September 1, 2021, each Central Falls retiree covered by the terms of the

settlement agreement enacted pursuant to § 45-21-67 shall receive eighty-five percent (85%) of

their base pension benefit (as such term is defined in § 45-21-67(a)(1)), after taking into account

all applicable cost-of-living adjustments for their lifetime, and to the extent applicable, after

taking into account all applicable cost-of-living adjustments to their beneficiaries for their

lifetime; and

     (5) Effective September 1, 2022 and continuing each year thereafter, each Central Falls

retiree covered by the terms of the settlement agreement enacted pursuant to § 45-21-67 shall

receive eighty-seven and one half percent (87.5%) of their base pension benefit (as such term is

defined in § 45-21-67(a)(1)), after taking into account all applicable cost-of-living adjustments

for their lifetime, and to the extent applicable, after taking into account all applicable cost-of-

living adjustments to their beneficiaries for their lifetime.

     SECTION 2. This act shall take effect upon passage.

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EXPLANATION

BY THE LEGISLATIVE COUNCIL

OF

A N   A C T

RELATING TO TOWNS AND CITIES - CENTRAL FALLS RETIREE PENSION BENEFITS

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     This act would provide that, effective September 1, 2018, all Central Falls retirees

covered by the Central Falls retirees' settlement agreement would have their pension benefits

gradually increased during a five (5) year period from seventy-five percent (75%) to eighty-seven

and one half percent (87.5%) of their base pension benefit amount as of July 31, 2011, after

taking into account all applicable cost-of-living adjustments for their lifetimes, and to the extent

applicable, for the lives of their beneficiaries.

     This act would take effect upon passage.

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