Chapter 547

2004 -- H 7493 AS AMENDED

Enacted 07/09/04

A N A C T

RELATING TO EDUCATION - TEACHERS' RETIREMENT

Introduced By: Representatives Lewiss, Gallison, Anguilla, Crowley, and Mumford

Date Introduced: February 04, 2004

It is enacted by the General Assembly as follows:

     SECTION 1. Sections 16-16-26, 16-16-35 and 16-16-37 of the General Laws in Chapter

16-16 entitled "Teachers' Retirement" are hereby amended to read as follows:

16-16-26. Spouse's benefits. -- (a) Spouse's benefits are payable following the decease of

a member as provided in sections 16-16-25 through 16-16-38. (b) The spouse shall be entitled to

benefits upon attaining the age of sixty (60) years. (c) The spouse was living with the deceased

member at the time of the member's death. A spouse is deemed to have been living with the

deceased member if they were both members of the same household on the date of the deceased

member's death, or the spouse was receiving regular contributions from the deceased member

toward support on that date, or the deceased member had been ordered by a court to contribute to

the spouse's support. (d) Remarriage of the spouse shall render him or her ineligible to receive

current or future benefits under this section. (e) The spouse of a member, as defined in this

section, shall be entitled to monthly benefits payable in accordance with the following table:

     Highest Spouse's

     Annual Monthly

     Salary Minimum

     Benefit

     $17,000 or less $600 $750

     $17,001 to $25,000 700 875

     $25,001 to $33,000 800 1,000

      $33,001 to $40,000 900 1,125

     $40,001 and over 1,000 1,250

(f) A yearly cost-of-living adjustment for spouse’s benefits shall be based on the annual

social security adjustment.

16-16-35. Contributions. -- The cost of the benefits provided in sections 16-16-25

through 16-16-38 shall be two percent (2%) of the member's annual salary up to but not

exceeding an annual salary of ninety-six hundred dollars ($9,600); one-half (1/2) of the cost shall

be contributed by the member by deductions from his or her salary, and the other half (1/2) shall

be contributed and paid by the respective city, town, or school district by which the member is

employed. These contributions shall be in addition to the contributions provided in section 16-16-

22 and shall be paid into the teachers' survivors benefit fund created by sections 16-16-25 through

16-16-38 in the same manner as contributions are made under the provisions of section 16-16-22.

In the event the market value of the Teachers' Survivor Benefit Plan assets shall decrease

below one hundred and twenty (120%) percent of the Teachers' Survivor Benefit Plan liabilities

as reported by a qualified actuary pursuant to section 16-16-37, the retirement board shall

determine and fix the amount of contributions necessary to maintain a funding level of not less

than one hundred and twenty (120%) percent of assets to liabilities ratio. Any adjusted cost of the

benefits provided in section 16-16-25 through 16-16-38 shall be paid for by the member by

deduction from his or her salary. These contributions shall be in addition to the contributions

provided in section 16-16-22 and shall be paid into the teachers' survivors benefit fund created by

section 16-16-25 through 16-16-38 in the same manner as contributions are made under the

provisions of section 16-16-22.

16-16-37. Administration. -- (a) The retirement board shall administer and carry out the

provisions of sections 16-16-25 through 16-16-38, and shall fix the rate of regular interest

payable under sections 16-16-25 through 16-16-38 to be changed from time to time, based upon

the amount of interest earned by the teachers' survivors benefit fund. The retirement board shall

also cause a study and review to be made of the financial condition of the teachers' survivors

benefit fund at least once every five (5) two (2) years by a qualified actuary who shall report his

or her findings and make recommendations to the board.

      (b) Any negotiated agreement entered into between any state or municipal agency or

department and an employee or employees, whose conditions are contrary to the general laws or

the rules and regulations and policies as adopted and promulgated by the retirement board, shall

be null and void unless and until approved by formal action of the retirement board, for good

cause shown.

     SECTION 2. This act shall take effect upon passage.

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LC01398

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