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| 4 | 4 | | |
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| 5 | 5 | | 2025 -- H 5737 |
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| 6 | 6 | | ======== |
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| 7 | 7 | | LC001483 |
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| 8 | 8 | | ======== |
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| 9 | 9 | | S T A T E O F R H O D E I S L A N D |
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| 10 | 10 | | IN GENERAL ASSEMBLY |
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| 11 | 11 | | JANUARY SESSION, A.D. 2025 |
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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 LABOR AND LABOR RELATIONS -- WORKERS' COMPENSATIO N |
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| 16 | 16 | | COURT |
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| 17 | 17 | | Introduced By: Representatives Shanley, Dawson, and Batista |
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| 18 | 18 | | Date Introduced: February 26, 2025 |
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| 19 | 19 | | Referred To: House Finance |
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| 20 | 20 | | (Judiciary) |
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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 28-30-18 of the General Laws in Chapter 28-30 entitled "Workers’ 1 |
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| 24 | 24 | | Compensation Court" is hereby amended to read as follows: 2 |
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| 25 | 25 | | 28-30-18. Additional benefits payable to retired judges and their surviving spouses or 3 |
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| 26 | 26 | | domestic partners. 4 |
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| 27 | 27 | | (a) All judges of the workers’ compensation court, or their surviving spouses or domestic 5 |
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| 28 | 28 | | partners, who retire after January 1, 1970, and who receive a retirement allowance pursuant to the 6 |
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| 29 | 29 | | provisions of this title, shall, on the first day of January next following the third anniversary date 7 |
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| 30 | 30 | | of their retirement, receive a cost-of-living retirement adjustment in addition to his or her retirement 8 |
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| 31 | 31 | | allowance in an amount equal to three percent (3%) of the original retirement allowance. In each 9 |
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| 32 | 32 | | succeeding subsequent year during the month of January the retirement allowance shall be 10 |
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| 33 | 33 | | increased an additional three percent (3%) of the original allowance, compounded annually from 11 |
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| 34 | 34 | | the year the cost-of-living adjustment was first payable to be continued during the lifetime of that 12 |
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| 35 | 35 | | judge or his or her surviving spouse or domestic partner. For the purpose of that computation, credit 13 |
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| 36 | 36 | | shall be given for a full calendar year regardless of the effective date of the retirement allowance. 14 |
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| 37 | 37 | | (b) Any judge who retired prior to January 31, 1980, shall be deemed for the purpose of 15 |
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| 38 | 38 | | this section to have retired on January 1, 1980. 16 |
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| 39 | 39 | | (c) For judges not eligible to retire as of September 30, 2009, and not eligible upon passage 17 |
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| 40 | 40 | | of this article, and for their beneficiaries, the cost-of-living adjustment described in subsection (a) 18 |
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| 41 | 41 | | |
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| 42 | 42 | | |
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| 43 | 43 | | LC001483 - Page 2 of 6 |
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| 44 | 44 | | above shall only apply to the first thirty-five thousand dollars ($35,000) of retirement allowance, 1 |
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| 45 | 45 | | indexed annually, and shall commence upon the third (3rd) anniversary of the date of retirement or 2 |
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| 46 | 46 | | when the retiree reaches age sixty-five (65), whichever is later. The thirty-five thousand dollar 3 |
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| 47 | 47 | | ($35,000) limit shall increase annually by the percentage increase in the Consumer Price Index for 4 |
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| 48 | 48 | | all Urban Consumers (CPI-U) as published by the United States Department of Labor Statistics 5 |
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| 49 | 49 | | determined as of September 30 of the prior calendar year or three percent (3%), whichever is less. 6 |
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| 50 | 50 | | The first thirty-five thousand dollars ($35,000), as indexed, of retirement allowance shall be 7 |
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| 51 | 51 | | multiplied by the percentage of increase in the Consumer Price Index for all Urban Consumers 8 |
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| 52 | 52 | | (CPI-U) as published by the United States Department of Labor Statistics determined as of 9 |
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| 53 | 53 | | September 30 of the prior calendar year or three percent (3%), whichever is less on the month 10 |
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| 54 | 54 | | following the anniversary date of each succeeding year. For judges eligible to retire as of September 11 |
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| 55 | 55 | | 30, 2009, or eligible upon passage of this article, and for their beneficiaries, the provisions of this 12 |
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| 56 | 56 | | subsection (c) shall not apply. 13 |
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| 57 | 57 | | (d) This subsection (d) shall be effective for the period July 1, 2012, through June 30, 2015. 14 |
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| 58 | 58 | | (1) Notwithstanding the prior paragraphs of this section, and subject to subsection (d)(2) 15 |
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| 59 | 59 | | below, for all present and former justices, active and retired justices, and beneficiaries receiving 16 |
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| 60 | 60 | | any retirement, disability or death allowance or benefit of any kind, whether provided for or on 17 |
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| 61 | 61 | | behalf of justices engaged on or prior to December 31, 1989, as a noncontributory justice or 18 |
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| 62 | 62 | | engaged after December 31, 1989, as a contributory justice, the annual benefit adjustment provided 19 |
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| 63 | 63 | | in any calendar year under this section shall be equal to (A) multiplied by (B) where (A) is equal 20 |
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| 64 | 64 | | to the percentage determined by subtracting five and one-half percent (5.5%) (the “subtrahend”) 21 |
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| 65 | 65 | | from the five-year average investment return of the retirement system determined as of the last day 22 |
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| 66 | 66 | | of the plan year preceding the calendar year in which the adjustment is granted, said percentage not 23 |
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| 67 | 67 | | to exceed four percent (4%) and not to be less than zero percent (0%), and (B) is equal to the lesser 24 |
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| 68 | 68 | | of the justice’s retirement allowance or the first twenty-five thousand dollars ($25,000) of 25 |
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| 69 | 69 | | retirement allowance, such twenty-five thousand dollars ($25,000) amount to be indexed annually 26 |
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| 70 | 70 | | in the same percentage as determined under (d)(1)(A) above. The “five-year average investment 27 |
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| 71 | 71 | | return” shall mean the average of the investment return of the most recent five (5) plan years as 28 |
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| 72 | 72 | | determined by the retirement board. Subject to subsection (d)(2) below, the benefit adjustment 29 |
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| 73 | 73 | | provided by this paragraph shall commence upon the third (3rd) anniversary of the date of 30 |
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| 74 | 74 | | retirement or the date on which the retiree reaches his or her Social Security retirement age, 31 |
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| 75 | 75 | | whichever is later. In the event the retirement board adjusts the actuarially assumed rate of return 32 |
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| 76 | 76 | | for the system, either upward or downward, the subtrahend shall be adjusted either upward or 33 |
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| 77 | 77 | | downward in the same amount. 34 |
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| 78 | 78 | | |
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| 79 | 79 | | |
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| 80 | 80 | | LC001483 - Page 3 of 6 |
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| 81 | 81 | | (2) Except as provided in subsection (d)(3), the benefit adjustments under this section for 1 |
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| 82 | 82 | | any plan year shall be suspended in their entirely unless the funded ratio of the employees’ 2 |
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| 83 | 83 | | retirement system of Rhode Island, the judicial retirement benefits trust, and the state police 3 |
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| 84 | 84 | | retirement benefits trust, calculated by the system’s actuary on an aggregate basis, exceeds eighty 4 |
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| 85 | 85 | | percent (80%) in which event the benefit adjustment will be reinstated for all justices for such plan 5 |
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| 86 | 86 | | year. 6 |
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| 87 | 87 | | In determining whether a funding level under this subsection (d)(2) has been achieved, the 7 |
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| 88 | 88 | | actuary shall calculate the funding percentage after taking into account the reinstatement of any 8 |
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| 89 | 89 | | current or future benefit adjustment provided under this section. 9 |
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| 90 | 90 | | (3) Notwithstanding subsection (d)(2), in each fifth plan year commencing after June 30, 10 |
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| 91 | 91 | | 2012, commencing with the plan year ending June 30, 2017, and subsequently at intervals of five 11 |
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| 92 | 92 | | (5) plan years, a benefit adjustment shall be calculated and made in accordance with subsection 12 |
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| 93 | 93 | | (d)(1) above until the funded ratio of the employees’ retirement system of Rhode Island, the judicial 13 |
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| 94 | 94 | | retirement benefits trust, and the state police retirement benefits trust, calculated by the system’s 14 |
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| 95 | 95 | | actuary on an aggregate basis, exceeds eighty percent (80%). 15 |
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| 96 | 96 | | (4) Notwithstanding any other provision of this chapter, the provisions of this subsection 16 |
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| 97 | 97 | | (d) shall become effective July 1, 2012, and shall apply to any benefit adjustment not granted on or 17 |
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| 98 | 98 | | prior to June 30, 2012. 18 |
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| 99 | 99 | | (e) This subsection (e) shall become effective July 1, 2015. 19 |
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| 100 | 100 | | (1)(i) As soon as administratively reasonable following the enactment into law of this 20 |
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| 101 | 101 | | subsection (e)(1)(i), a one-time benefit adjustment shall be provided to justices and/or beneficiaries 21 |
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| 102 | 102 | | of justices who retired on or before June 30, 2012, in the amount of two percent (2%) of the lesser 22 |
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| 103 | 103 | | of either the justice’s retirement allowance or the first twenty-five thousand dollars ($25,000) of 23 |
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| 104 | 104 | | the justice’s retirement allowance. This one-time benefit adjustment shall be provided without 24 |
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| 105 | 105 | | regard to the retiree’s age or number of years since retirement. 25 |
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| 106 | 106 | | (ii) Notwithstanding the prior subsections of this section, for all present and former justices, 26 |
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| 107 | 107 | | active and retired justices, and beneficiaries receiving any retirement, disability or death allowance 27 |
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| 108 | 108 | | or benefit of any kind, whether provided for or on behalf of justices engaged on or prior to 28 |
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| 109 | 109 | | December 31, 1989, as a noncontributory justice or engaged after December 31, 1989, as a 29 |
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| 110 | 110 | | contributory justice, the annual benefit adjustment provided in any calendar year under this section 30 |
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| 111 | 111 | | for adjustments on and after January 1, 2016, and subject to subsection (e)(2) below, shall be equal 31 |
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| 112 | 112 | | to (A) multiplied by (B): 32 |
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| 113 | 113 | | (A) Shall equal the sum of fifty percent (50%) of (I) plus fifty percent (50%) of (II) where: 33 |
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| 114 | 114 | | (I) Is equal to the percentage determined by subtracting five and one-half percent (5.5%) 34 |
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| 115 | 115 | | |
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| 116 | 116 | | |
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| 117 | 117 | | LC001483 - Page 4 of 6 |
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| 118 | 118 | | (the “subtrahend”) from the five-year average investment return of the retirement system 1 |
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| 119 | 119 | | determined as of the last day of the plan year preceding the calendar year in which the adjustment 2 |
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| 120 | 120 | | is granted, said percentage not to exceed four percent (4%) and not to be less than zero percent 3 |
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| 121 | 121 | | (0%). The “five-year average investment return” shall mean the average of the investment returns 4 |
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| 122 | 122 | | of the most recent five (5) plan years as determined by the retirement board. In the event the 5 |
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| 123 | 123 | | retirement board adjusts the actuarially assumed rate of return for the system, either upward or 6 |
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| 124 | 124 | | downward, the subtrahend shall be adjusted either upward or downward in the same amount. 7 |
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| 125 | 125 | | (II) Is equal to the lesser of three percent (3%) or the percentage increase in the Consumer 8 |
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| 126 | 126 | | Price Index for all Urban Consumers (CPI-U) as published by the United States Department of 9 |
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| 127 | 127 | | Labor Statistics determined as of September 30 of the prior calendar year. In no event shall the sum 10 |
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| 128 | 128 | | of (I) plus (II) exceed three and one-half percent (3.5%) or be less than zero percent (0%). 11 |
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| 129 | 129 | | (B) Is equal to the lesser of either the justice’s retirement allowance or the first twenty-five 12 |
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| 130 | 130 | | thousand eight hundred and fifty-five dollars ($25,855) of retirement allowance, such amount to be 13 |
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| 131 | 131 | | indexed annually in the same percentage as determined under subsection (e)(1)(ii)(A) above. 14 |
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| 132 | 132 | | The benefit adjustments provided by this subsection (e)(1)(ii) shall be provided to all 15 |
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| 133 | 133 | | retirees entitled to receive a benefit adjustment as of June 30, 2012, under the law then in effect, 16 |
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| 134 | 134 | | and for all other retirees the benefit adjustments shall commence upon the third anniversary of the 17 |
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| 135 | 135 | | date of retirement or the date on which the retiree reaches his or her Social Security retirement age, 18 |
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| 136 | 136 | | whichever is later. 19 |
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| 137 | 137 | | (2) Except as provided in subsection (e)(3), the benefit adjustments under subsection 20 |
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| 138 | 138 | | (e)(1)(ii) for any plan year shall be suspended in their entirety unless the funded ratio of the 21 |
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| 139 | 139 | | employees’ retirement system of Rhode Island, the judicial retirement benefits trust, and the state 22 |
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| 140 | 140 | | police retirement benefits trust, calculated by the system’s actuary on an aggregate basis, exceeds 23 |
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| 141 | 141 | | eighty percent (80%) in which event the benefit adjustment will be reinstated for all justices for 24 |
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| 142 | 142 | | such plan year. Effective July 1, 2024, the funded ratio of the employees’ retirement system of 25 |
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| 143 | 143 | | Rhode Island, the judicial retirement benefits trust, and the state police retirement benefits trust, 26 |
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| 144 | 144 | | calculated by the system’s actuary on an aggregate basis, of exceeding eighty percent (80%) for the 27 |
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| 145 | 145 | | benefit adjustment to be reinstated for all members for such plan year shall be replaced with 28 |
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| 146 | 146 | | seventy-five percent (75%). 29 |
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| 147 | 147 | | In determining whether a funding level under this subsection (e)(2) has been achieved, the 30 |
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| 148 | 148 | | actuary shall calculate the funding percentage after taking into account the reinstatement of any 31 |
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| 149 | 149 | | current or future benefit adjustment provided under this section. 32 |
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| 150 | 150 | | (3) Notwithstanding subsection (e)(2), in each fourth plan year commencing after June 30, 33 |
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| 151 | 151 | | 2012, commencing with the plan year ending June 30, 2016, and subsequently at intervals of four 34 |
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| 152 | 152 | | |
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| 153 | 153 | | |
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| 154 | 154 | | LC001483 - Page 5 of 6 |
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| 155 | 155 | | plan years: (i) A benefit adjustment shall be calculated and made in accordance with subsection 1 |
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| 156 | 156 | | (e)(1)(ii) above; and (ii) Effective for members and/or beneficiaries of members who retired on or 2 |
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| 157 | 157 | | before June 30, 2015, the dollar amount in subsection (e)(1)(ii)(B) of twenty-five thousand eight 3 |
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| 158 | 158 | | hundred and fifty-five dollars ($25,855) shall be replaced with thirty-one thousand and twenty-six 4 |
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| 159 | 159 | | dollars ($31,026) until the funded ratio of the employees’ retirement system of Rhode Island, the 5 |
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| 160 | 160 | | judicial retirement benefits trust, and the state police retirement benefits trust, calculated by the 6 |
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| 161 | 161 | | system’s actuary on an aggregate basis, exceeds eighty percent (80%). Effective July 1, 2024, the 7 |
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| 162 | 162 | | funded ratio of the employees’ retirement system of Rhode Island, the judicial retirement benefits 8 |
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| 163 | 163 | | trust, and the state police retirement benefits trust, calculated by the system’s actuary on an 9 |
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| 164 | 164 | | aggregate basis, of exceeding eighty percent (80%) shall be replaced with seventy-five percent 10 |
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| 165 | 165 | | (75%). 11 |
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| 166 | 166 | | (4) Effective for members and/or beneficiaries of members who have retired on or before 12 |
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| 167 | 167 | | July 1, 2015, a one-time stipend of five hundred dollars ($500) shall be payable within sixty (60) 13 |
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| 168 | 168 | | days following the enactment of the legislation implementing this provision, and a second one-time 14 |
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| 169 | 169 | | stipend of five hundred dollars ($500) in the same month of the following year. These stipends 15 |
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| 170 | 170 | | shall be payable to all retired members or beneficiaries receiving a benefit as of the applicable 16 |
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| 171 | 171 | | payment date and shall not be considered cost of living adjustments under the prior provisions of 17 |
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| 172 | 172 | | this section. 18 |
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| 173 | 173 | | SECTION 2. This act shall take effect upon passage. 19 |
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| 174 | 174 | | ======== |
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| 175 | 175 | | LC001483 |
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| 176 | 176 | | ======== |
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| 177 | 177 | | |
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| 178 | 178 | | |
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| 179 | 179 | | LC001483 - Page 6 of 6 |
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| 180 | 180 | | EXPLANATION |
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| 181 | 181 | | BY THE LEGISLATIVE COUNCIL |
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| 182 | 182 | | OF |
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| 183 | 183 | | A N A C T |
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| 184 | 184 | | RELATING TO LABOR AND LABOR RELATIONS -- WORKERS' COMPENSATI ON |
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| 185 | 185 | | COURT |
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| 186 | 186 | | *** |
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| 187 | 187 | | This act would amend a provision in the general laws relative to additional benefits payable 1 |
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| 188 | 188 | | to retired judges and their surviving spouses to add judges of the Rhode Island workers’ 2 |
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| 189 | 189 | | compensation court to the current list of judicial officers in the supreme, superior, family and 3 |
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| 190 | 190 | | district courts, who will receive a cost-of-living allowance when the funded ratio of the employees' 4 |
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| 191 | 191 | | retirement system, the judicial retirement benefits trust, and the state police retirement benefits trust 5 |
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| 192 | 192 | | reaches seventy-five percent (75%). 6 |
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| 193 | 193 | | This act would take effect upon passage. 7 |
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| 194 | 194 | | ======== |
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| 195 | 195 | | LC001483 |
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| 196 | 196 | | ======== |
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