PROVIDENCE, R.I. – Treasurer Gina M. Raimondo today applauded the General Assembly membership, under the leadership of Speaker Gordon Fox and Senate President Teresa Paiva Weed, for passing a comprehensive bill that begins to move the state's struggling pension system onto firmer ground.
"Today we saw what can happen when a thoughtful process and leaders come together for the people of Rhode Island," Raimondo said. "The Rhode Island Retirement Security Act passed because Rhode Islanders called for action and change. Passage of this bill is a great step forward as we continue to work to put our state on a secure path toward growth and prosperity."
This legislation represents the culmination of 11 months of thoughtful analysis and input from all stakeholders. It is affordable, sustainable and secure.
The legislation will: • Save taxpayers approximately $4 billion over the next 24 years
• Keep costs steady and predictable for taxpayers for decades to come, while sharing the risk fairly among all groups – state employees, teachers, municipal employees and taxpayers
• Provide retirement security to all of our public employees
• Immediately reduce the unfunded liability by about $3 billion
• Bring the funding status of the state-administered pension system from 48 percent funded to over 60 percent funded and put it on a healthy path
"From the beginning, this process has worked to fix the fundamentals of the state-administered pension system in a fair, reasonable and fiscally responsible way," continued Raimondo. "In the coming months, I look forward to implementing this reform."