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| 4 | 4 | | |
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| 5 | 5 | | 2023 -- S 0223 |
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| 6 | 6 | | ======== |
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| 7 | 7 | | LC000698 |
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| 8 | 8 | | ======== |
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| 9 | 9 | | S TATE OF RHODE IS LAND |
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| 10 | 10 | | IN GENERAL ASSEMBLY |
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| 11 | 11 | | JANUARY SESSION, A.D. 2023 |
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| 12 | 12 | | ____________ |
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| 13 | 13 | | |
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| 14 | 14 | | A N A C T |
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| 15 | 15 | | RELATING TO EDUCATION -- TEACHERS' RETIREMENT |
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| 16 | 16 | | Introduced By: Senators DiMario, Euer, Lawson, Murray, F. Lombardi, Quezada, |
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| 17 | 17 | | Valverde, Ciccone, LaMountain, and Lauria |
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| 18 | 18 | | Date Introduced: February 16, 2023 |
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| 19 | 19 | | Referred To: Senate Finance |
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| 20 | 20 | | |
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| 21 | 21 | | |
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| 22 | 22 | | It is enacted by the General Assembly as follows: |
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| 23 | 23 | | SECTION 1. Section 16-16-8 of the General Laws in Chapter 16-16 entitled "Teachers’ 1 |
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| 24 | 24 | | Retirement [See Title 16 Chapter 97 — The Rhode Island Board of Education Act]" is hereby 2 |
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| 25 | 25 | | amended to read as follows: 3 |
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| 26 | 26 | | 16-16-8. Credit for service as a state or municipal employee. 4 |
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| 27 | 27 | | (a) Any member who shall have rendered service as a state employee as defined by the 5 |
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| 28 | 28 | | provisions of chapter 17 of this title and chapters 8 — 10 of title 36 or who shall have rendered 6 |
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| 29 | 29 | | service as an employee of a participating municipality, as defined by chapter 21 of title 45, shall be 7 |
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| 30 | 30 | | entitled to credit for his or her service for the various purposes of this system, provided the member 8 |
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| 31 | 31 | | shall have been a contributing member for that period. All contributions made by the member shall 9 |
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| 32 | 32 | | be transferred in toto to this system for the periods of service and the retirement system shall 10 |
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| 33 | 33 | | calculate the full actuarial value of the accrued benefit with the former employer. If the full actuarial 11 |
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| 34 | 34 | | value of the accrued benefit with the former employer is greater than the total employee 12 |
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| 35 | 35 | | contributions transferred, the retirement system shall also transfer the difference between full 13 |
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| 36 | 36 | | actuarial value of the accrued benefit with the former employer and the employee’s contributions 14 |
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| 37 | 37 | | from the account of the former employer to the account of the current employer. In any case in 15 |
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| 38 | 38 | | which a member shall have received a refund or refunds of contributions made to the system, the 16 |
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| 39 | 39 | | allowance of the credit for service shall be conditioned upon the repayment of the full actuarial cost 17 |
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| 40 | 40 | | as defined in § 36-8-1(10). Any service as defined in this section for which no contributions were 18 |
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| 41 | 41 | | made may be granted provided the member pays to the retirement system the full actuarial cost as 19 |
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| 42 | 42 | | |
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| 43 | 43 | | |
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| 44 | 44 | | LC000698 - Page 2 of 5 |
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| 45 | 45 | | defined in § 36-8-1(10). The retirement board shall fix and determine the rules and regulations 1 |
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| 46 | 46 | | needed to govern the provisions of this section. 2 |
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| 47 | 47 | | (b) Any member who shall have rendered service both as a teacher under §16-16-12, and 3 |
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| 48 | 48 | | service under § 36-10-9.2(a), shall be eligible to elect to combine the member’s service under § 16-4 |
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| 49 | 49 | | 16-12, and service under § 36-10-9.2(a), to determine the member’s retirement eligibility date 5 |
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| 50 | 50 | | under § 16-16-12. For any member making this election, the member will receive a single benefit 6 |
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| 51 | 51 | | equal to the accrued benefit computed under § 36-10-10.2, plus the accrued benefit computed under 7 |
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| 52 | 52 | | § 16-16-13. 8 |
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| 53 | 53 | | SECTION 2. Sections 36-10-9.2 and 36-10-10.2 of the General Laws in Chapter 36-10 9 |
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| 54 | 54 | | entitled "Retirement System — Contributions and Benefits" are hereby amended to read as follows: 10 |
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| 55 | 55 | | 36-10-9.2. Retirement on service allowance — Correctional officers. 11 |
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| 56 | 56 | | (a) This section shall apply to the retirement of members employed as assistant director 12 |
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| 57 | 57 | | (adult services), assistant deputy director, chief of inspection, and associate directors, correctional 13 |
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| 58 | 58 | | officer, chief of security, work rehabilitation program supervisor, supervisor of custodial records 14 |
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| 59 | 59 | | and reports, and classification counselor within the department of corrections. 15 |
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| 60 | 60 | | (b)(1) Any member who has attained the age of fifty (50) years may be retired subsequent 16 |
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| 61 | 61 | | to the proper execution and filing of a written application; provided, however, that the member 17 |
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| 62 | 62 | | shall have completed twenty (20) years of total service within the department of corrections and 18 |
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| 63 | 63 | | who retires before October 1, 2009, or is eligible to retire as of September 30, 2009. 19 |
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| 64 | 64 | | (2) For members who become eligible to retire on or after October 1, 2009, benefits are 20 |
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| 65 | 65 | | available to members who have attained the age of fifty-five (55) and have completed at least 21 |
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| 66 | 66 | | twenty-five (25) years of total contributory service within the department of corrections. For 22 |
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| 67 | 67 | | members in service as of October 1, 2009, who were not eligible to retire as of September 30, 2009, 23 |
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| 68 | 68 | | but who are eligible to retire on or prior to June 30, 2012, the minimum retirement age of fifty-five 24 |
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| 69 | 69 | | (55) will be adjusted downward in proportion to the amount of service the member has earned as 25 |
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| 70 | 70 | | of September 30, 2009. The proportional formula shall work as follows: 26 |
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| 71 | 71 | | (i) The formula shall determine the first age of retirement eligibility under the laws in effect 27 |
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| 72 | 72 | | on September 30, 2009, which shall then be subtracted from the minimum retirement age of fifty-28 |
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| 73 | 73 | | five (55). 29 |
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| 74 | 74 | | (ii) The formula shall then take the member’s total service credit as of September 30, 2009, 30 |
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| 75 | 75 | | as the numerator and the years of service credit determined under (b)(2)(i) as the denominator. 31 |
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| 76 | 76 | | (iii) The fraction determined in (b)(2)(ii) shall then be multiplied by the age difference 32 |
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| 77 | 77 | | determined in (b)(2)(i) to apply a reduction in years from age fifty-five (55). 33 |
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| 78 | 78 | | (c) Any member with contributory service on or after July 1, 2012, who has completed at 34 |
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| 79 | 79 | | |
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| 80 | 80 | | |
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| 81 | 81 | | LC000698 - Page 3 of 5 |
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| 82 | 82 | | least five (5) years of contributory service but who has not completed twenty-five (25) years of 1 |
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| 83 | 83 | | contributory service, shall be eligible to retire upon the attainment of the member’s Social Security 2 |
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| 84 | 84 | | retirement age or, notwithstanding any other provisions, effective July 1, 2015, members in active 3 |
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| 85 | 85 | | service shall be eligible to retire upon the earlier of: 4 |
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| 86 | 86 | | (1) The attainment of at least age sixty-five (65) and the completion of at least thirty (30) 5 |
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| 87 | 87 | | years of total service, or the attainment of at least age sixty-four (64) and the completion of at least 6 |
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| 88 | 88 | | thirty-one (31) years of total service, or the attainment of at least age sixty-three (63) and the 7 |
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| 89 | 89 | | completion of at least thirty-two (32) years of total service, or the attainment of at least age sixty-8 |
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| 90 | 90 | | two (62) and the completion of at least thirty-three (33) years of total service; or 9 |
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| 91 | 91 | | (2) The member’s retirement eligibility date under § 36-10-9(1)(c)(ii). 10 |
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| 92 | 92 | | (d) Any member who shall have rendered service both as a state employee under § 36-10-11 |
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| 93 | 93 | | 9 and/or as a teacher under § 16-16-12, and service under subsection (a) of this section, shall be 12 |
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| 94 | 94 | | eligible to elect to combine the member’s service under subsection (a) of this section and service 13 |
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| 95 | 95 | | under § 36-10-9 and/or § 16-16-12 to determine the member’s retirement eligibility date under § 14 |
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| 96 | 96 | | 36-10-9 or § 16-16-12. For any member making this election, the member will receive a single 15 |
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| 97 | 97 | | benefit equal to the accrued benefit computed under § 36-10-10.2, plus the accrued benefit 16 |
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| 98 | 98 | | computed under § 36-10-10 and/or § 16-16-13. 17 |
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| 99 | 99 | | (e) The provisions of subsection (d) shall also apply to members who have retired on a 18 |
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| 100 | 100 | | service retirement allowance on or after July 1, 2012. Any such request for adjustment shall be in 19 |
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| 101 | 101 | | writing to the retirement board and shall apply prospectively from the date the request is received 20 |
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| 102 | 102 | | by the retirement board. 21 |
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| 103 | 103 | | 36-10-10.2. Amount of service retirement allowance — Correctional officers. 22 |
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| 104 | 104 | | (a) Upon retirement for service under § 36-10-9.2, a member with twenty-five (25) or more 23 |
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| 105 | 105 | | years of service as of June 30, 2012, shall receive a retirement allowance of an amount determined 24 |
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| 106 | 106 | | under (1) below. All other members shall receive a retirement allowance of an amount equal to the 25 |
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| 107 | 107 | | sum of (1) below for service prior to July 1, 2012, plus (2) below for service on and after July 1, 26 |
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| 108 | 108 | | 2012. 27 |
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| 109 | 109 | | (1) Two percent (2%) of his or her average compensation multiplied by his or her first 28 |
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| 110 | 110 | | thirty (30) years of total service within the department of corrections; any and all years of remaining 29 |
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| 111 | 111 | | service shall be issued to the member at a retirement allowance of an amount equal to his or her 30 |
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| 112 | 112 | | average compensation multiplied by the percentage allowance determined in accordance with 31 |
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| 113 | 113 | | Schedule A below: 32 |
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| 114 | 114 | | Schedule A 33 |
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| 115 | 115 | | Years of Service Percentage Allowance 34 |
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| 116 | 116 | | |
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| 117 | 117 | | |
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| 118 | 118 | | LC000698 - Page 4 of 5 |
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| 119 | 119 | | 1 through 30 inclusive 2% 1 |
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| 120 | 120 | | 31 |
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| 121 | 121 | | st |
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| 122 | 122 | | 6% 2 |
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| 123 | 123 | | 32 |
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| 124 | 124 | | nd |
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| 125 | 125 | | 5% 3 |
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| 126 | 126 | | 33 |
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| 127 | 127 | | rd |
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| 128 | 128 | | 4% 4 |
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| 129 | 129 | | 34 |
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| 130 | 130 | | th |
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| 131 | 131 | | 3% 5 |
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| 132 | 132 | | 35 |
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| 133 | 133 | | th |
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| 134 | 134 | | 2% 6 |
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| 135 | 135 | | (2) On and after July 1, 2012, two percent (2%) of his or her average compensation 7 |
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| 136 | 136 | | multiplied by his or her first thirty (30) years of total service within the department of corrections, 8 |
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| 137 | 137 | | and three percent (3%) of his or her average compensation multiplied by the member’s thirty-first 9 |
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| 138 | 138 | | (31st) through thirty-fifth (35th) years of service. 10 |
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| 139 | 139 | | (b) A member who has rendered service as a state employee under § 36-10-9 and/or as a 11 |
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| 140 | 140 | | teacher under § 16-16-12 shall be eligible to combine the accrued benefit under § 36-10-10 as a 12 |
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| 141 | 141 | | state employee and/or § 16-16-13 as a teacher with the accrued benefit under this section, provided 13 |
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| 142 | 142 | | the member has first obtained eligibility under § 36-10-9.2(a), (b)(1), or (b)(2). The accrual under 14 |
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| 143 | 143 | | § 36-10-10 or § 16-16-13 will be added in the year in which service was rendered consistent with 15 |
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| 144 | 144 | | the schedules provided under § 36-10-10 and/or § 16-16-13. 16 |
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| 145 | 145 | | (c) The provisions of subsection (b) shall also apply to members who have retired on a 17 |
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| 146 | 146 | | service retirement allowance on or after July 1, 2012. Any such request for adjustment shall be in 18 |
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| 147 | 147 | | writing to the retirement board and will only apply prospectively from the date the request is 19 |
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| 148 | 148 | | received by the retirement board. 20 |
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| 149 | 149 | | (d) In no case shall a retirement percentage allowance exceed the greater of the member’s 21 |
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| 150 | 150 | | retirement percentage allowance on June 30, 2012, or seventy-five percent (75%). Any member 22 |
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| 151 | 151 | | who has in excess of thirty-five (35) years on or before July 1, 1987, shall not be entitled to any 23 |
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| 152 | 152 | | refund. Any member with thirty-five (35) years or more on or after July 1, 1987, shall contribute 24 |
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| 153 | 153 | | from July 1, 1987, until his or her retirement, provided, however, that any member with thirty-eight 25 |
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| 154 | 154 | | (38) years of service prior to July 1, 1987, shall not be required to contribute. 26 |
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| 155 | 155 | | SECTION 3. This act shall take effect upon passage. 27 |
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| 156 | 156 | | ======== |
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| 157 | 157 | | LC000698 |
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| 158 | 158 | | ======== |
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| 159 | 159 | | |
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| 160 | 160 | | |
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| 161 | 161 | | LC000698 - Page 5 of 5 |
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| 162 | 162 | | EXPLANATION |
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| 163 | 163 | | BY THE LEGISLATIVE COUNCIL |
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| 164 | 164 | | OF |
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| 165 | 165 | | A N A C T |
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| 166 | 166 | | RELATING TO EDUCATION -- TEACHERS' RETIREMENT |
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| 167 | 167 | | *** |
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| 168 | 168 | | This act would allow any member who has rendered service both as a teacher under § 16-1 |
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| 169 | 169 | | 16-12, and service as a correctional officer under § 36-10-9.2(a), would be eligible to elect to 2 |
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| 170 | 170 | | combine the member’s service under § 16-16-12 to determine the member’s retirement eligibility 3 |
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| 171 | 171 | | date under § 16-16-12. 4 |
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| 172 | 172 | | This act would take effect upon passage. 5 |
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| 173 | 173 | | ======== |
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| 174 | 174 | | LC000698 |
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| 175 | 175 | | ======== |
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| 176 | 176 | | |
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