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2006 -- S 2367 | |
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LC01249 | |
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STATE OF RHODE ISLAND | |
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IN GENERAL ASSEMBLY | |
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JANUARY SESSION, A.D. 2006 | |
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____________ | |
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A N A C T | |
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RELATING TO PUBLIC OFFICERS AND EMPLOYEES -- RETIREMENT SYSTEM | |
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Introduced By: Senators Felag, Polisena, and Ciccone | |
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Date Introduced: February 07, 2006 | |
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Referred To: Senate Finance | |
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It is enacted by the General Assembly as follows: | |
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SECTION 1. Sections 16-16-12, 16-16-13 and 16-16-40 of the General Laws in Chapter |
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16-16 entitled "Teachers' Retirement" are hereby amended to read as follows: |
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16-16-12. Procedure for service retirement. -- Retirement of a member on a service |
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retirement allowance shall be made by the retirement board as follows: |
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(1) (a) Any member may retire upon his or her written application to the retirement |
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board as of the first day of the calendar month in which the application was filed, provided the |
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member was separated from service prior to filing the application, and further provided however, |
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that if separation from service occurs during the month in which the application is filed, the |
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effective date shall be the first day following the separation from service, and provided further |
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that the member on retirement date has attained the age of sixty (60) years and has completed at |
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least ten (10) years of contributory service on or before July 1, 2005, or regardless of age has |
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completed twenty-eight (28) years of total service, including any military time purchased, and has |
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completed at least ten (10) years of contributory service, including any military time purchased, |
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on or before July 1, 2005. |
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(b) Any member, who has not completed at least ten (10) years of contributory service, |
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including any military time purchased, on or before July 1, 2005, may retire upon his or her |
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written application to the retirement board as of the first day of the calendar month in which the |
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application was filed; provided, the member was separated from service prior thereto; and further |
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provided, however, that if separation from service occurs during the month in which application |
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is filed, the effective date shall be the first day following that separation from service; provided, |
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the member on his or her retirement date had attained the age of fifty-nine (59) and had |
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completed at least twenty-nine (29) years of total service; or provided, that the member on his or |
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her retirement date had attained the age of sixty-five (65) and had completed at least ten (10) |
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years of contributory service; or provided, that the member on his or her retirement date had |
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attained the age of fifty-five (55) and had completed twenty (20) years of total service and |
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provided, that the retirement allowance, as determined according to the formula in section 16-16- |
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13 is reduced actuarially for each month that the age of the member is less than sixty-five (65) |
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years. |
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(2) Any member also paying into the retirement system under the provisions of chapter 9 |
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of title 36 shall not be disqualified from receiving benefits provided by that chapter and the |
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provisions of this chapter simultaneously. |
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(3) (i) Except as specifically provided in sections 36-10-9.1, 36-10-12 through 36-10-15, |
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and 45-21-19 through 45-21-22, no member shall be eligible for pension benefits under this |
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chapter unless the member shall have been a contributing member of the employees' retirement |
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2-16 |
system for at least ten (10) years. |
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(ii) Provided, however, a person who has ten (10) years service credit shall be vested. |
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(iii) Furthermore, any past service credits purchased in accordance with section 36-9-38 |
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shall be counted towards vesting. |
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(iv) Any person who becomes a member of the employees' retirement system pursuant to |
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section 45-21-8 shall be considered a contributing member for the purpose of chapter 21 of title |
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45 and this chapter. |
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(v) Notwithstanding any other provision of law, no more than five (5) years of service |
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credit may be purchased by a member of the system. The five (5) year limit shall not apply to any |
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purchases made prior to January 1, 1995. A member who has purchased more than five (5) years |
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of service credit before January 1, 1995, shall be permitted to apply the purchases towards the |
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member's service retirement. However, no further purchase will be permitted. Repayment, in |
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accordance with applicable law and regulation, of any contribution previously withdrawn from |
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the system shall not be deemed a purchase of service credit. |
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(4) No member of the teachers' retirement system shall be permitted to purchase service |
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credits for casual or seasonal employment, for employment as a page in the general assembly, or |
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for employment at any state college or university while the employee is a student or graduate of |
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the college or university. |
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(5) Except as specifically provided in sections 16-16-6.2 and 16-16-6.4, a member shall |
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not receive service credit in this retirement system for any year or portion of a year which counts |
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as service credit in any other retirement system in which the member is vested or from which the |
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member is receiving a pension and/or any annual payment for life. This subsection shall not apply |
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to any payments received pursuant to the federal Social Security Act, 42 U.S.C. section 301 et |
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seq. |
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(6) A member who seeks to purchase or receive service credit in this retirement system |
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shall have the affirmative duty to disclose to the retirement board whether or not he or she is a |
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vested member in any other retirement system and/or is receiving a pension, retirement |
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allowance, or any annual payment for life. The retirement board shall have the right to investigate |
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as to whether or not the member has utilized the same time of service for credit in any other |
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retirement system. The member has an affirmative duty to cooperate with the retirement board |
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including, by way of illustration and not by way of limitation, the duty to furnish or have |
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furnished to the retirement board any relevant information that is protected by any privacy act. |
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(7) A member who fails to cooperate with the retirement board shall not have the time of |
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service credit counted toward total service credit until the time the member cooperates with the |
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retirement board and until the time the retirement board determines the validity of the service |
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credit. |
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(8) A member who knowingly makes a false statement to the retirement board regarding |
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service time or credit shall not be entitled to a retirement allowance and is entitled only to the |
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return of his or her contributions without interest. |
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16-16-13. Amount of service retirement allowance. -- (a) (1) Upon retirement from |
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service under section 16-16-12 a teacher whose membership commenced before July 1, 2005 and |
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who has completed at least ten (10) years of contributory service, including any military time |
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purchased, on or before July 1, 2005, shall, receive a retirement allowance which shall be |
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determined in accordance with schedule A: |
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SCHEDULE A |
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YEARS OF SERVICE PERCENTAGE ALLOWANCE |
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1st through 10th inclusive 1.7% |
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11th through 20th inclusive 1.9% |
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21st through 34th inclusive 3.0% |
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35th 2.0% |
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(2) Upon retirement from service under section 16-16-12 a teacher whose membership |
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commenced after July 1, 2005 or who has not completed at least ten (10) years of contributory |
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service, including any military time purchased, as of July 1, 2005 shall receive a retirement |
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allowance which shall be determined in accordance with Schedule B. |
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SCHEDULE B |
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YEARS OF SERVICE PERCENTAGE ALLOWANCE |
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1st through 10th inclusive 1.60% |
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11th through 20th inclusive 1.80% |
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21st through 25th inclusive 2.0% |
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26th through 30th inclusive 2.25% 31st through 37th inclusive 2.50% 38th 2.25% |
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(b) The retirement allowance of any teacher whose membership commenced before July |
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1, 2005 and who has completed at least ten (10) years of contributory service, including any |
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military time purchased, on or before July 1, 2005 shall be in an amount equal to the percentage |
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allowance specified in schedule A of his or her average highest three (3) consecutive years of |
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compensation multiplied by the number of years of total service, but in no case to exceed eighty |
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percent (80%) of the compensation, payable at completion of thirty-five (35) years of service. The |
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retirement allowance of any teacher whose membership commenced after July 1, 2005 or who |
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has not completed at least ten (10) years of contributory service, including any military time |
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purchased, as of July 1, 2005 shall be in an amount equal to the percentage allowance specified in |
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Schedule B of his or her average highest three (3) consecutive years of compensation multiplied |
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by the number of years of total service, but in no case to exceed seventy-five percent (75%) of the |
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compensation, payable at completion of thirty-eight (38) years of service. Any teacher who has in |
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excess of thirty-five (35) years on or before June 2, 1985 shall not be entitled to any refund, and |
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any teacher with thirty-five (35) years or more on or after June 2, 1985 shall contribute from July |
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1, 1985 until his or her retirement. |
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16-16-40. Additional benefits payable to retired teachers. -- (a) All teachers and all |
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beneficiaries of teachers receiving any service retirement or ordinary disability retirement |
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allowance pursuant to the provisions of this chapter and chapter 17 of this title, on or before |
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December 31, 1967, shall receive a cost of living retirement adjustment equal to one and one-half |
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percent (1.5%) per year of the original retirement allowance, not compounded, for each year the |
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retirement allowance has been in effect. For purposes of computation credit shall be given for a |
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full calendar year regardless of the effective date of the retirement allowance. This cost of living |
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retirement adjustment shall be added to the amount of the service retirement allowance as of |
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January 1, 1970, and payment shall begin as of July 1, 1970. An additional cost of living |
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retirement adjustment shall be added to the original retirement allowance equal to three percent |
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(3%) of the original retirement allowance on the first day of January, 1971, and each year |
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thereafter through December 31, 1980. |
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(b) All teachers and beneficiaries of teachers receiving any service retirement or ordinary |
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disability retirement allowance pursuant to the provisions of this title who retired on or after |
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January 1, 1968, shall, on the first day of January, next following the third (3rd) year on |
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retirement, receive a cost of living adjustment, in addition to his or her retirement allowance, an |
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amount equal to three percent (3%) of the original retirement allowance. In each succeeding year |
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thereafter, on the first day of January, the retirement allowance shall be increased an additional |
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three percent (3%) of the original retirement allowance, not compounded, to be continued through |
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December 31, 1980. |
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(c) (1) Beginning on January 1, 1981, for all teachers and beneficiaries of teachers |
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receiving any service retirement and all teachers and all beneficiaries of teachers who have |
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completed at least ten (10) years of contributory service, including any military time purchased, |
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on or before July 1, 2005, pursuant to the provisions of this chapter, and for all teachers and |
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beneficiaries of teachers who receive a disability retirement allowance pursuant to sections 16-16- |
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14 -- 16-16-17, the cost of living adjustment shall be computed and paid at the rate of three |
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percent (3%) of the original retirement allowance or the retirement allowance as computed in |
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accordance with section 16-16-40.1, compounded annually from the year for which the cost of |
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living adjustment was determined to be payable by the retirement board pursuant to the |
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provisions of subsection (a) or (b) of this section. |
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(2) The provisions of this subsection shall be deemed to apply prospectively only and no |
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retroactive payment shall be made. |
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(3) The retirement allowance of all teachers and all beneficiaries of teachers who have |
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not completed at least ten (10) years of contributory service, including any military time |
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purchased, on or before July 1, 2005, shall, on the month following the third anniversary date of |
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the retirement, and on the month following the anniversary date of each succeeding year be |
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adjusted and computed by multiplying the retirement allowance by three percent (3%) or the |
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percentage of increase in the Consumer Price Index for all Urban Consumers (CPI-U) as |
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published by the United States Department of Labor Statistics, determined as of September 30 of |
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the prior calendar year, whichever is less; the cost of living adjustment shall be compounded |
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annually from the year for which the cost of living adjustment was determined payable by the |
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retirement board; provided, that no adjustment shall cause any retirement allowance to be |
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decreased from the retirement allowance provided immediately before such adjustment. This |
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section shall not apply to all teachers and beneficiaries of teachers who receive a disability |
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retirement allowance pursuant to sections 16-16-14 -- 16-16-17. |
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(d) The provisions of sections 45-13-7 -- 45-13-10 shall not apply to this section. |
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SECTION 2. Sections 36-10-9, 36-10-10, 36-10-10.3, 36-10-11 and 36-10-35 of the |
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General Laws in Chapter 36-10 entitled "Retirement System-Contributions and Benefits" are |
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hereby amended to read as follows: |
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36-10-9. Retirement on service allowance -- In general. -- Retirement of a member on |
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a service retirement allowance shall be made by the retirement board as follows: |
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(1) (a) Any member may retire upon his or her written application to the retirement |
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board as of the first day of the calendar month in which the application was filed; provided, the |
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6-8 |
member was separated from service prior thereto; and further provided, however, that if |
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6-9 |
separation from service occurs during the month in which application is filed, the effective date |
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6-10 |
shall be the first day following that separation from service; and provided further that the member |
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6-11 |
on his or her retirement date attained the age of sixty (60) and completed at least ten (10) years of |
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6-12 |
contributory service, including any military time purchased, on or before July 1, 2005 or who, |
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regardless of age, has completed twenty-eight (28) years of total service and has completed at |
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6-14 |
least ten (10) years of contributory service, including any military time purchased, on or before |
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6-15 |
July 1, 2005. |
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6-16 |
(b) Any member, who has not completed at least ten (10) years of contributory service, |
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6-17 |
including any military time purchased, on or before July 1, 2005, may retire upon his or her |
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6-18 |
written application to the retirement board as of the first day of the calendar month in which the |
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6-19 |
application was filed; provided, the member was separated from service prior thereto; and further |
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provided, however, that if separation from service occurs during the month in which application |
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is filed, the effective date shall be the first day following that separation from service; provided, |
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6-22 |
the member or his or her retirement date had attained the age of fifty-nine (59) and had completed |
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at least twenty-nine (29) years of total service or provided that the member on his or her |
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6-24 |
retirement date had attained the age of sixty-five (65) and had completed at least ten (10) years of |
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6-25 |
contributory service; or provided, that the member on his or her retirement date had attained the |
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age of fifty-five (55) and had completed twenty (20) years of total service provided, that the |
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retirement allowance, as determined according to the formula in section 36-10-10 is reduced |
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actuarially for each month that the age of the member is less than sixty-five (65) years. |
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(2) Any faculty employee at a public institution of higher education under the |
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jurisdiction of the board of governors for higher education shall not be involuntarily retired upon |
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attaining the age of seventy (70) years. |
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(3) (i) Except as specifically provided in section 36-10-9.1, sections 36-10-12 -- 36-10- |
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15, and sections 45-21-19 -- 45-21-22, no member shall be eligible for pension benefits under this |
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chapter unless the member shall have been a contributing member of the employee's retirement |
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system for at least ten (10) years |
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(ii) Provided, however, a person who has ten (10) years service credit on or before June |
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16, 1991, shall be vested. |
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(iii) Furthermore, any past service credits purchased in accordance with section 36-9-38 |
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shall be counted towards vesting. |
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(iv) Any person who becomes a member of the employees' retirement system pursuant to |
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section 45-21-4 shall be considered a contributing member for the purpose of chapter 21 of title |
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7-8 |
45 and this chapter. |
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(v) Notwithstanding any other provision of law, no more than five (5) years of service |
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7-10 |
credit may be purchased by a member of the system. The five (5) year limit shall not apply to any |
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7-11 |
purchases made prior to January 1, 1995. A member who has purchased more than five (5) years |
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7-12 |
of service credits before January 1, 1995, shall be permitted to apply those purchases towards the |
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7-13 |
member's service retirement. However, no further purchase will be permitted. Repayment in |
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7-14 |
accordance with applicable law and regulation of any contribution previously withdrawn from the |
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7-15 |
system shall not be deemed a purchase of service credit. |
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7-16 |
(4) No member of the employees' retirement system shall be permitted to purchase |
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7-17 |
service credits for casual or seasonal employment, for employment as a page in the general |
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7-18 |
assembly, or for employment at any state college or university while the employee is a student or |
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7-19 |
graduate assistant of the college or university. |
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7-20 |
(5) Except as specifically provided in sections 16-16-6.2 and 16-16-6.4, a member shall |
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7-21 |
not receive service credit in this retirement system for any year or portion of it, which counts as |
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7-22 |
service credit in any other retirement system in which the member is vested or from which the |
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7-23 |
member is receiving a pension and/or any annual payment for life. This subsection shall not apply |
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7-24 |
to any payments received pursuant to the federal Social Security Act or to payments from a |
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7-25 |
military pension earned prior to participation in state or municipal employment, or to military |
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7-26 |
service credits earned prior to participation in state or municipal employment. |
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7-27 |
(6) A member who seeks to purchase or receive service credit in this retirement system |
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7-28 |
shall have the affirmative duty to disclose to the retirement board whether or not he or she is a |
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7-29 |
vested member in any other retirement system and/or is receiving a pension, retirement |
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7-30 |
allowance, or any annual payment for life. The retirement board shall have the right to investigate |
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7-31 |
as to whether or not the member has utilized the same time of service for credit in any other |
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7-32 |
retirement system. The member has an affirmative duty to cooperate with the retirement board |
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7-33 |
including, by way of illustration and not by way of limitations the duty to furnish or have |
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7-34 |
furnished to the retirement board any relevant information which is protected by any privacy act. |
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8-1 |
(7) A member who fails to cooperate with the retirement board shall not have the time of |
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8-2 |
service counted toward total service credit until such time as the member cooperates with the |
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8-3 |
retirement board and until such time as the retirement board determines the validity of the service |
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8-4 |
credit. |
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8-5 |
(8) A member who knowingly makes a false statement to the retirement board regarding |
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8-6 |
service time or credit shall not be entitled to a retirement allowance and is entitled only to the |
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8-7 |
return of his or her contributions without interest. |
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8-8 |
36-10-10. Amount of service retirement allowance. -- (a) (1) Upon retirement for |
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8-9 |
service under section 36-10-9, a member whose membership commenced before July 1, 2005 and |
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8-10 |
who has completed at least ten (10) years of contributory service, including any military time |
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8-11 |
purchased, on or before July 1, 2005 shall receive a retirement allowance which shall be |
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8-12 |
determined in accordance with schedule A below: |
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8-13 |
Schedule A |
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8-14 |
Years of Service Percentage Allowance |
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8-15 |
1st through 10th inclusive 1.7% |
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8-16 |
11th through 20th inclusive 1.9% |
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8-17 |
21st through 34th inclusive 3.0% |
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8-18 |
35th 2.0% |
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8-19 |
(2) (a) Upon retirement for service under section 36-10-9, a member whose membership |
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8-20 |
commenced after July 1, 2005, or who has not completed at least ten (10) years of contributory |
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8-21 |
service, including any military time purchased, as of July 1, 2005, shall, receive a retirement |
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8-22 |
allowance which shall be determined in accordance with Schedule B below: |
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8-23 |
Schedule B |
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8-24 |
Years of Service Percentage Allowance |
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8-25 |
1st through 10th inclusive 1.60% |
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8-26 |
11th through 20th inclusive 1.80% |
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8-27 |
21st through 25th inclusive 2.0% |
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8-28 |
26th through 30th inclusive 2.25% |
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8-29 |
31st through 37th inclusive 2.50% |
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8-30 |
38th 2.25% |
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8-31 |
(b) The retirement allowance of any member whose membership commenced before July |
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8-32 |
1, 2005 and who has completed at least ten (10) years of contributory service, including any |
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8-33 |
military time purchased, on or before July 1, 2005 shall be in an amount equal to the percentage |
|
8-34 |
allowance specified in schedule A of his or her average highest three (3) consecutive years of |
|
9-1 |
compensation multiplied by the number of years of total service, but in no case to exceed eighty |
|
9-2 |
percent (80%) of the compensation payable at completion of thirty-five (35) years of service. Any |
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9-3 |
member who has in excess of thirty-five (35) years on or before June 2, 1985, shall not be entitled |
|
9-4 |
to any refund, and any member with thirty-five (35) years or more on or after June 2, 1985, shall |
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9-5 |
contribute from July 1, 1985, until his or her retirement. |
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9-6 |
The retirement allowance of any member whose membership commenced after July 1, |
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9-7 |
2005 or who had not completed at least ten (10) years of contributory service, including any |
|
9-8 |
military time purchased, as of July 1, 2005, shall, be in an amount equal to the percentage |
|
9-9 |
allowance specified in Schedule B of his or her average highest three (3) consecutive years of |
|
9-10 |
compensation multiplied by the number of years of total service, but in no case to exceed |
|
9-11 |
seventy-five percent (75%) of the compensation payable at the completion of thirty-eight (38) |
|
9-12 |
years of service. |
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9-13 |
(c) Any member with thirty-eight (38) years or more of service prior to December 31, |
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9-14 |
1985, shall not be required to make additional contributions. Contributions made between |
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9-15 |
December 31, 1985, and July 1, 1987, by members with thirty-eight (38) or more years of service |
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9-16 |
prior to December 31, 1985, shall be refunded by the retirement board to the persons, their heirs, |
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9-17 |
administrators, or legal representatives. |
|
9-18 |
36-10-10.3. Social security supplemental option. -- (a) In lieu of the lifetime service |
|
9-19 |
retirement allowance, a vested member who has completed at least ten (10) years of contributory |
|
9-20 |
service, including any military time purchased, on or before July 1, 2005 who retires in |
|
9-21 |
accordance with sections 16-16-12, 36-10-9 and 36-10-9.2 may choose an optional form of |
|
9-22 |
retirement benefit known as the social security supplemental option. |
|
9-23 |
(b) This option provides for the payment of a larger benefit before the attainment of age |
|
9-24 |
sixty-two (62) and a reduced amount thereafter. The reduced amount shall be equal to the benefit |
|
9-25 |
before age sixty-two (62), including cost of living increases, minus the member's estimated social |
|
9-26 |
security benefit payable at age sixty-two (62). Under this option the benefits payable before and |
|
9-27 |
after the attainment of age sixty-two (62) will be actuarially determined to be equivalent to the |
|
9-28 |
lifetime service retirement allowance as determined in section 36-10-10. |
|
9-29 |
(c) Election of this supplemental option shall be applicable only to those who elect the |
|
9-30 |
service retirement allowance determined in accordance with Schedule A as provided by section |
|
9-31 |
36-10-10. |
|
9-32 |
36-10-11. Service allowance to member withdrawing from service before retirement |
|
9-33 |
age. -- (a) The right of a service retirement allowance under the provisions of this chapter shall |
|
9-34 |
vest in a member who shall withdraw from service prior to his or her attainment of the minimum |
|
10-1 |
age of retirement specified in sections 36-10-9 -- 36-10-9.3 who shall not have received a refund, |
|
10-2 |
provided the member shall have completed at least ten (10) years of contributory service, |
|
10-3 |
including any military time purchased, on or before July 1, 2005. The member shall become |
|
10-4 |
entitled to a service retirement allowance upon his or her attainment of the age of sixty (60) years |
|
10-5 |
or at his or her option at any date subsequent thereto. The rate of service retirement allowance |
|
10-6 |
payable in the case of any member shall be that provided in section 36-10-10, Schedule A, for the |
|
10-7 |
period of total service earned and accrued at the date of withdrawal from service of the member. |
|
10-8 |
(b) For a member who shall not have completed at least ten (10) years of contributory |
|
10-9 |
service on or before July 1, 2005, the right of a service retirement allowance under the provisions |
|
10-10 |
of this chapter shall vest in a member who shall withdraw from service prior to his or her |
|
10-11 |
attainment of the minimum age of retirement specified in sections 36-10-9 -- 36-10-9.3 who shall |
|
10-12 |
not have received a refund, provided, the member shall have completed at least ten (10) years of |
|
10-13 |
contributory service. The member shall become entitled to a service retirement allowance upon |
|
10-14 |
his or her attainment of the age of sixty-five (65) years or at his or her option at any date |
|
10-15 |
subsequent thereto. The rate of service retirement allowance payable in the case of any member |
|
10-16 |
shall be that provided in section 36-10-10, Schedule B, for the period of total service earned and |
|
10-17 |
accrued at the date of withdrawal from service of the member. |
|
10-18 |
36-10-35. Additional benefits payable to retired employees. -- (a) All state employees |
|
10-19 |
and all beneficiaries of state employees receiving any service retirement or ordinary or accidental |
|
10-20 |
disability retirement allowance pursuant to the provisions of this title on or before December 31, |
|
10-21 |
1967, shall receive a cost of living retirement adjustment equal to one and one-half percent |
|
10-22 |
(1.5%) per year of the original retirement allowance, not compounded, for each calendar year the |
|
10-23 |
retirement allowance has been in effect. For the purposes of computation, credit shall be given for |
|
10-24 |
a full calendar year regardless of the effective date of the retirement allowance. This cost of living |
|
10-25 |
adjustment shall be added to the amount of the retirement allowance as of January 1, 1968, and an |
|
10-26 |
additional one and one-half percent (1.5%) shall be added to the original retirement allowance in |
|
10-27 |
each succeeding year during the month of January, and provided further, that this additional cost |
|
10-28 |
of living increase shall be three percent (3%) for the year beginning January 1, 1971, and each |
|
10-29 |
year thereafter, through December 31, 1980. Notwithstanding any of the above provisions, no |
|
10-30 |
employee receiving any service retirement allowance pursuant to the provisions of this title on or |
|
10-31 |
before December 31, 1967, or the employee's beneficiary, shall receive any additional benefit |
|
10-32 |
hereunder in an amount less than two hundred dollars ($200) per year over the service retirement |
|
10-33 |
allowance where the employee retired prior to January 1, 1958. |
|
10-34 |
(b) All state employees and all beneficiaries of state employees retired on or after |
|
11-1 |
January 1, 1968, who are receiving any service retirement or ordinary or accidental disability |
|
11-2 |
retirement allowance pursuant to the provisions of this title shall, on the first day of January next |
|
11-3 |
following the third anniversary date of the retirement, receive a cost of living retirement |
|
11-4 |
adjustment, in addition to his or her retirement allowance, in an amount equal to three percent |
|
11-5 |
(3%) of the original retirement allowance. In each succeeding year thereafter through December |
|
11-6 |
31, 1980, during the month of January, the retirement allowance shall be increased an additional |
|
11-7 |
three percent (3%) of the original retirement allowance, not compounded, to be continued during |
|
11-8 |
the lifetime of the employee or beneficiary. For the purposes of computation, credit shall be given |
|
11-9 |
for a full calendar year regardless of the effective date of the service retirement allowance. |
|
11-10 |
(c) (1) Beginning on January 1, 1981, for all state employees and beneficiaries of the |
|
11-11 |
state employees receiving any service retirement and all state employees, and all beneficiaries of |
|
11-12 |
state employees, who have completed at least ten (10) years of contributory service, including any |
|
11-13 |
military time purchased, on or before July 1, 2005 pursuant to the provisions of this chapter, and |
|
11-14 |
for all state employees, and all beneficiaries of state employees who receive a disability |
|
11-15 |
retirement allowance pursuant to sections 36-10-12 -- 36-10-15, the cost of living adjustment |
|
11-16 |
shall be computed and paid at the rate of three percent (3%) of the original retirement allowance |
|
11-17 |
or the retirement allowance as computed in accordance with section 36-10-35.1, compounded |
|
11-18 |
annually from the year for which the cost of living adjustment was determined to be payable by |
|
11-19 |
the retirement board pursuant to the provisions of subsection (a) or (b) of this section. |
|
11-20 |
(2) The provisions of this subsection shall be deemed to apply prospectively only and no |
|
11-21 |
retroactive payment shall be made. |
|
11-22 |
(3) The retirement allowance of all state employees and all beneficiaries of state |
|
11-23 |
employees who have not completed at least ten (10) years of contributory service, including any |
|
11-24 |
military time purchased, on or before July 1, 2005, shall, on the month following the third |
|
11-25 |
anniversary date of retirement, and on the month following the anniversary date of each |
|
11-26 |
succeeding year be adjusted and computed by multiplying the retirement allowance by three |
|
11-27 |
percent (3%) or the percentage of increase in the Consumer Price Index for all Urban Consumers |
|
11-28 |
(CPI-U) as published by the United States Department of Labor Statistics determined as of |
|
11-29 |
September 30 of the prior calendar year, whichever is less; the cost of living adjustment shall be |
|
11-30 |
compounded annually from the year for which the cost of living adjustment was determined |
|
11-31 |
payable by the retirement board; provided, that no adjustment shall cause any retirement |
|
11-32 |
allowance to be decreased from the retirement allowance provided immediately before such |
|
11-33 |
adjustment. This section shall not apply to all state employees and all beneficiaries of state |
|
11-34 |
employees, who receive a disability retirement allowance pursuant to sections 36-10-12 -- 36-10- |
|
12-1 |
15. |
|
12-2 |
(d) (1) All legislators and all beneficiaries of legislators who are receiving a retirement |
|
12-3 |
allowance pursuant to the provisions of section 36-10-9.1 for a period of three (3) or more years, |
|
12-4 |
shall, commencing January 1, 1982, receive a cost of living retirement adjustment, in addition to |
|
12-5 |
a retirement allowance, in an amount equal to three percent (3%) of the original retirement |
|
12-6 |
allowance. In each succeeding year thereafter during the month of January, the retirement |
|
12-7 |
allowance shall be increased an additional three percent (3%) of the original retirement |
|
12-8 |
allowance, compounded annually, to be continued during the lifetime of the legislator or |
|
12-9 |
beneficiary. For the purposes of computation, credit shall be given for a full calendar year |
|
12-10 |
regardless of the effective date of the service retirement allowance. |
|
12-11 |
(e) The provisions of sections 45-13-7 -- 45-13-10 shall not apply to this section. |
|
12-12 |
SECTION 3. Joint Legislative Oversight Commission on employee retirement benefits. |
|
12-13 |
RESOLVED, That a special joint legislative oversight commission be and the same is |
|
12-14 |
hereby created consisting of eight (8) members: four (4) of whom shall be from the house of |
|
12-15 |
representatives, not more than three (3) from the same political party to be appointed by the |
|
12-16 |
speaker; four (4) of whom shall be from the senate, not more than three (3) from the same |
|
12-17 |
political party to be appointed by the senate president. |
|
12-18 |
The purpose of the joint commission shall be to study employee retirement benefits, |
|
12-19 |
including, but not limited to, quasi-public agencies, the judiciary, Rhode Island state police and |
|
12-20 |
the Rhode Island department of corrections. |
|
12-21 |
The members of the commission shall meet at the call of the speaker and the president |
|
12-22 |
and shall select from among its members co-chairpersons. Vacancies in the commission shall be |
|
12-23 |
filled in a like manner as the original appointment. |
|
12-24 |
The membership of the commission shall receive no compensation for their services. All |
|
12-25 |
departments and agencies of the state shall furnish such advice and information documentary and |
|
12-26 |
otherwise, to the commission and its agents as is deemed necessary or desirable by the |
|
12-27 |
commission to facilitate the purposes of this resolution. |
|
12-28 |
The speaker of the house is hereby authorized and directed to provide suitable quarters |
|
12-29 |
for the commission. |
|
12-30 |
SECTION 4. This act shall take effect upon passage. |
|
| |
|
======= | |
|
LC01249 | |
|
======== | |
|
EXPLANATION | |
|
BY THE LEGISLATIVE COUNCIL | |
|
OF | |
|
A N A C T | |
|
RELATING TO PUBLIC OFFICERS AND EMPLOYEES -- RETIREMENT SYSTEM | |
|
*** | |
|
13-1 |
This act would allow individuals in the state retirement system to include military time |
|
13-2 |
purchased prior to July 1, 2005 for purposes of retirement. |
|
13-3 |
This act would take effect upon passage. |
|
| |
|
======= | |
|
LC01249 | |
|
======= |