120-RICR-00-00-1
120-RICR-00-00-1. Employees’ Retirement System of Rhode Island and Municipal Employees’ Retirement System Regulations (version Amendment, 09/29/2013 to 11/25/2013)
Employees’ Retirement System of
Rhode Island
and
Municipal Employees’ Retirement System
REGULATIONS
September 6, 2013
Page | 2
TABLE OF CONTENTS
1. GENERAL ADMINISTRATIVE RULES OF THE RETIREMENT BOARD ........................ 4
2. RULES CONCERNING THE PROCUREMENT OF SUPPLIES ......................................... 23
3. RULES CONCERNING THE SELECTION OF CONSULTANTS ....................................... 40
4. RULES OF PRACTICE AND PROCEDURE FOR HEARINGS IN CONTESTED
CASES ..................................................................................................................................... 48
5. RULES OF ELECTIONS TO EMPLOYEES RETIREMENT BOARD ................................ 55
6. SERVICE CREDIT PURCHASE REGULATIONS ............................................................... 63
7. RULES REGARDING THE USE OF R.I.G.L. 36-10-18 MULTIPLE
BENEFICIARIES .................................................................................................................... 99
8. RULES REGARDING THE OPERATION AND ADMINISTRATION OF RHODE
ISLAND GENERAL LAWS 36-10-18, 36-10-19, 45-21-30 AND 45-21-51
CONCERNING THE RIGHT TO REVOKE OR MODIFY A RETIREMENT
OPTION AFTER RETIREMENT ......................................................................................... 103
9. RULES PERTAINING TO THE APPLICATION TO RECEIVE AN ORDINARY
OR ACCIDENTAL DISABILITY PENSION....................................................................... 107
10. RULES REGARDING THE OPERATION AND ADMINISTRATION OF RHODE
ISLAND GENERAL LAWS 16-16-1(12) AND 16-16-5 REGARDING
CREDITABLE SERVICE AS A TEACHER MEMBER OF THE EMPLOYEES
RETIREMENT SYSTEM OF RHODE ISLAND ................................................................. 116
11. RULES REGARDING THE OPERATION AND ADMINISTRATION OF RHODE
ISLAND GENERAL LAWS 16-16-8.1, 36-9-41 AND 45-21-64 REGARDING
PURCHASE OF SERVICE CREDITS PAYABLE BY INSTALLMENT ........................... 119
12. RULES REGARDING RHODE ISLAND GENERAL LAWS §36-10-14 AND §16-
16-16 CONCERNING RETIREMENT FOR ACCIDENTAL DISABILITY AND
THE DEFINITION OF THE TERMS OF “AGGRAVATION” AND “REINJURY”. ......... 124
13. DEFINITIONS FOR USE IN ADMINISTRATION OF THE EMPLOYEES’
RETIREMENT SYSTEM OF THE STATE OF RHODE ISLAND AND THE
MUNICIPAL EMPLOYEES’ RETIREMENT SYSTEM OF THE STATE OF
RHODE ISLAND, REGARDING RHODE ISLAND GENERAL LAWS TITLE 45,
CHAPTER 21.2, AND THE DEFINITIONS OF POLICE OFFICIAL, POLICE
OFFICER AND FIREFIGHTER. .......................................................................................... 126
14. RHODE ISLAND RETIREMENT SECURITY ACT OF 2011 REGULATIONS ............... 130
15. ACCESS TO PUBLIC RECORDS ........................................................................................ 133
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The rules and regulations published herein have been adopted by the Employees Retirement
Board pursuant to statutory authority found in R.I.G.L. 36-8-3. This manual is not a substitute for
the General Laws nor will its rules prevail should a conflict arise between this manual and
Chapters 16, 36 and 45 of the Rhode Island General Laws. Finally, rules governing retirement
are subject to change periodically either by statute of the Rhode Island Legislature or by
regulation of the Employees’ Retirement Board of Rhode Island.
Employees’ Retirement System of the State of Rhode Island
And
Municipal Employees’ Retirement System of the State of Rhode Island
Regulation No. 1
General Administrative Rules of the Retirement Board
Revised: May12, 2010
Effective: August 26, 2010
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TABLE OF CONTENTS
SECTION (1) BOARD ADMINISTRATION ................................................................................ 6
(A)
GENERAL ..................................................................................................................... 6
(1)
DEFINITIONS .......................................................................................................... 6
(2)
CREATION AND PURPOSE ................................................................................... 6
(3)
MEMBERSHIP ......................................................................................................... 6
(4)
BOARD TERMS ....................................................................................................... 7
(5)
BOARD AUTHORITY AND DUTIES .................................................................... 7
(6)
RETIREMENT BOARD ATTENDANCE ............................................................... 8
(7)
REIMBURSEMENT OF BOARD EXPENSES ....................................................... 9
(8)
BOARD EDUCATION AND PROFESSIONAL DEVELOPMENT ....................... 9
(9)
DUTIES OF THE EXECUTIVE DIRECTOR ........................................................ 10
(10)
OFFICERS ............................................................................................................... 10
(11)
COMMITTEES ....................................................................................................... 10
(12)
SPECIAL COMMITTEES ...................................................................................... 12
(13)
CODE OF ETHICS FOR FIDUCIARIES .............................................................. 12
(14)
STANDARD OF CONDUCT FOR FIDUCIARIES ............................................... 12
(B)
MEETINGS ................................................................................................................. 13
(1)
MEETING CONDUCT ........................................................................................... 13
(2)
ANNUAL MEETING ............................................................................................. 13
(3)
REGULAR MEETINGS ......................................................................................... 13
(4)
SPECIAL MEETINGS ............................................................................................ 13
(5)
MEETING NOTICE, MINUTES AND AGENDA ................................................ 13
(6)
QUORUM AND DECISION .................................................................................. 14
(7)
TIE VOTES ............................................................................................................. 14
(C)
ADDENDUM I - BOARD EDUCATION POLICY ................................................... 15
(D)
ADDENDUM II – AUDIT SUBCOMMITTEE CHARTER ...................................... 20
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Section (1) Board Administration
(A) General
(1) Definitions
(a)
the word “board “ means the independent Retirement Board created by
Chapter 8 of Title 36 of the Rhode Island General Laws;
(b)
the word “member” means a member of the independent Retirement
Board created by Chapter 8 of Title 36 of the Rhode Island General Laws;
(c)
the word “fiduciary” means any person who exercises any discretionary
authority or discretionary control respecting management of the funds of
any retirement system managed or administered by the Retirement Board,
or who exercises any authority or control respecting management or
disposition of its assets, including, without limitation: any retirement
board member, or any retirement board staff member who exercises such
authority or control.
(2) Creation and Purpose
There is created an Employees’ Retirement System of the State of Rhode Island, and a
Municipal Employees’ Retirement System of the State of Rhode Island, for the purpose
of providing retirement, survivor and disability benefits for state employees, public
school teachers and participating municipal employees. The systems are governed and
administered by the Retirement Board, which is chaired by the General Treasurer.
Statutory References: R.I.G.L. §§36-8-2, 36-8-3; 36-8-4, 36-8-4.1, 45-21-32, 45-21.2-1
et seq., and 16-16-1 et seq.
(3) Membership
The Board is authorized, created and established in the office of the general treasurer as
an independent retirement board which shall hold and administer, in trust, the funds of
the retirement systems in accordance with, and as authorized by law.
The board is composed of fifteen members in accordance with state law who by virtue of
their duties are to be considered fiduciaries of the system. The membership of the
retirement board shall consist of:
(a)
the general treasurer or his or her designee who shall be a subordinate
within the general treasurer's office:
(b)
the director of administration or his or her designee who shall be a
subordinate within the department of administration;
(c)
a representative of the budget office or his or her designee from within the
budget office, who shall be appointed by the director of administration;
(d)
the president of the league of cities and towns or his or her designee;
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(e)
two (2) active state employee members of the retirement system or
officials from state employee unions to be elected by active state
employees;
(f)
two (2) active teacher members of the retirement system or officials from
a teachers union to be elected by active teachers;
(g)
one active municipal employee member of the retirement system or an
official from a municipal employees union to be elected by active
municipal employees;
(h)
two (2) retired members of the retirement system to be elected by retired
members of the system;
(i)
four (4) public members, all of whom shall be competent by training or
experience in the field of finance, accounting or pensions.
Statutory References: 36-8-4.
(4) Board Terms
(a)
Two (2) of the public members shall be appointed by the governor, one of
whom shall serve an initial term of three (3) years and one of whom shall
serve an initial term of four (4) years and until his or her successor is
appointed and qualified.
(b)
Two (2) of the public members shall be appointed by the general treasurer,
one of whom shall serve an initial term of three (3) years and one of whom
shall serve an initial term of four (4) years and until his or her successor is
appointed and qualified.
(c)
Thereafter, the term of these four (4) public members shall be for four (4)
years or until their successors are appointed and qualified.
(d)
Ex-officio members serve until such time as their successors are appointed
and qualified. Subject to sections 4(a) and 4(b) above, all appointed
members serve a term of 4 years or until such time as their successors are
appointed and qualified. The term of office for elected members shall be
for four (4) years, and election of their successors shall be administered by
the board prior to the expiration of the terms of the incumbent elected
members.
Statutory Reference: R.I.G.L. §36-8-4
(5) Board Authority and Duties
The board shall:
(a)
be responsible for the proper operation of the Retirement System;
(b)
establish all rules and regulations for the administration of the system;
(c)
appoint an Executive Director and Assistant Executive Director, who shall
serve at its pleasure, and make recommendations as to the compensation
levels of such positions;
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(d)
subscribe to the code of Fiduciary Responsibility as outlined in these
rules;
(e)
approve all applications for ordinary and accidental disability retirement;
(f)
rule on administrative decisions as provided for in Regulation No. 4 of the
promulgated rules of the Employees’ Retirement System;
(g)
submit to the governor on or before December 1st of each year, an annual
financial report for the prior fiscal year;
(h)
rule on any negotiated agreement entered into after June 1, 1992, between
any state or municipal agency or department and an employee or
employees, whose conditions are contrary to the general laws or the rules,
regulations, and policies as adopted and promulgated by the retirement
board and shall be null and void unless and until approved by formal
action of the retirement board for good cause shown.;
(i)
secure the services of an actuary and physicians;
(j)
approve the assumptions for the yearly preparation of an actuarial
valuation;
(k)
approve a yearly budget of the retirement system, excluding those monies
allocated for Treasury personnel assigned to the retirement system;
(l)
review yearly audits of the retirement system;
(m)
designate such Subcommittees as may be necessary to carry out the duties
and obligations of the Board.
Statutory Reference: R.I.G.L. §§36-8-2, 36-8-3, 36-8-4, 36-8-4.1, 36-8-8, 36-8-9, 36-8-
10, 36-8-19.
(6) Retirement Board Attendance
Board members, elected or appointed, shall be required to attend a minimum of 2/3rds of
regularly scheduled meetings on a calendar basis, to be evaluated at the annual meeting in
March. Excused absences shall be granted under the following conditions:
(1.)
The member has notified the Executive Director at least 10 business days
before the scheduled meeting.
(2.)
The member is involved in an emergency beyond their control.
(3.)
The member contracts an illness the day of the meeting and notifies the
Executive Director before the start of the meeting.
The member count of absences will not be on a cumulative basis. The attendance
requirement shall separately apply to the meetings of the Retirement Board, and to the
meetings of any subcommittee that the member serves on, e.g., members are expected to
attend a minimum of 2/3rds of regularly scheduled monthly Retirement Board meetings,
and 2/3rds of the regularly scheduled meetings of any subcommittee the member may
serve on.
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If a Board member does not meet the attendance standard, either with respect to
attendance at Board meetings or attendance at subcommittee meetings, the Board shall
direct the Executive Director to put the member on official notice of the excessive
absenteeism, and will take the following actions for a first offense:
(1.)
The Executive Director shall furnish the Board with a schedule of
attendance of the affected member at the annual meeting, as of the annual
meeting.
(2.)
Upon review, the Board will officially notify the member in writing of the
excessive absenteeism. The official notification shall state the members’
deficient attendance record, and shall direct the member to comply with
the attendance standard for the following year.
(3.)
The official notification shall also state that if the member does not
comply with the attendance standard during the next year, the Board will
seek to notify either the appointing authority or constituent body,
whichever is applicable, of the deficiency in attendance.
If a member has a second offense, the Board shall again officially notify the member in
writing of the excessive absenteeism. The official notification shall state the members’
deficient attendance record and shall direct the member to comply with the attendance
standard. Additionally, the Board shall direct the Executive Director to notify either the
appointing authority or constituent body, whichever is applicable, of the continuing
deficiency in attendance.
With respect to public members, continued unexcused excessive absenteeism shall be
considered cause for removal by the chair under R.I.G.L. §36-8-4(d).
Statutory reference: R.I.G.L. §§36-8-2; 36-8-3 and 36-8-4.
(7) Reimbursement of Board Expenses
Board members may be reimbursed for special expenses incurred as a result of his/her
membership on the board, but may not be reimbursed for travel to and from all regular
meetings of the Board or its Subcommittees.
Statutory Reference: 36-8-7.
(8) Board Education and Professional Development
The Retirement Board’s education and professional development policy shall be
established and updated from time to time, as deemed necessary and appropriate by the
Retirement Board Education Subcommittee with approval of the Retirement Board. The
Executive Director shall implement the policy and develop a budget as directed by the
Subcommittee, with approval of the Retirement Board.
The policy is outlined in Addendum I
The Executive Director shall notify all Retirement Board members of selected
conferences and workshops that will increase understanding of public pension
administration and the Board members’ roles as fiduciaries of the Retirement System.
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Board members shall be reimbursed for necessary expenses incurred as a result of
attendance at such approved conferences or workshops, but in no event shall expenses in
excess of $1,500 per fiscal year per member be considered necessary, unless advance
approval is obtained from the General Treasurer.
Statutory Reference: R.I.G.L. §36-8-2, 36-8-3, 36-8-4.1 and 36-8-7.
(9) Duties of the Executive Director
The Executive Director shall:
(a)
be in charge of administration of the Retirement System, and shall serve as
secretary to the Retirement Board;
(b)
be responsible for the formulation of a monthly agenda and board minutes;
(c)
be responsible for the day-to-day administration of the retirement system
including the promulgation of administrative decisions;
(d)
submit to the Board for its approval an annual budget for the
administrative operation of the retirement system;
(e)
provide an organizational chart of the retirement system to the board;
(f)
make available to the Board the findings of all external and internal audits
of the Retirement System;
(g)
secure the services of a medical advisor and such physicians, as required,
to conduct medical examinations as required by law or as requested by the
Retirement Board or the Disability Subcommittee;
(h)
secure the services of lawyers, as necessary, to serve as hearing officers in
conjunction with Regulation No. 4 of the promulgated rules of the
Employees’ Retirement System;
(i)
represent the system as necessary before the Legislature and the State
Investment Commission (SIC);
(j)
represent the system and the State of Rhode Island within the National
Association of State Retirement Administrators and other national public
retirement organizations.
Statutory Reference: R.I.G.L. §36-8-9.
(10)
Officers
There shall be a Vice-Chairperson of the board who shall be elected by the Board
membership no later than July of the year following the Board elections. The Vice-
Chairperson shall serve a four-year term.
Statutory Reference: R.I.G.L. §§36-8-2, 36-8-3, 36-8-4, 36-8-9.
(11)
Committees
The chairperson will appoint five board members to each of the standing committees and
special committees, and shall serve on all committees ex-officio. Each committee shall
select a chairperson and vice chairperson. The chairperson shall preside at all meetings.
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In the absence of the chairperson, the vice chairperson shall preside. All board members
except the public representatives will be allowed to send a designee to represent him/her
on such standing committees and to vote provided a written proxy statement has been
entered. In the case of all elected members, the designee must be a member of the
membership group of the elected member. At any time the Board may increase or
decrease the number of members to standing or special committees.
Committee assignments shall be made no later than July following an election of elected
retirement board members. Committee assignments may be made every two years or at
other times as deemed necessary by the Chairperson.
To facilitate the operation of the Board, the following standing committees are
established:
(1.)
Disabilities Subcommittee: the Subcommittee on Disabilities shall
review all applications for ordinary and accidental disability allowances,
and make recommendations for the disposition of claims, and shall
conduct hearings as required.
(2.)
Rules and Regulations Subcommittee: the Subcommittee on Rules and
Regulations formulates rules and regulations that govern the policy,
practices, and procedures of the Retirement System, and periodically
reviews such.
(3.)
Legislative Subcommittee: the Legislative Subcommittee shall review
all such recommendations and suggestions regarding amendments to the
retirement laws and shall make such recommendations as it deems
appropriate, with approval of the Retirement Board, to interested
legislators for consideration by the General Assembly.
(4.)
Procurement Subcommittee: The Procurement Subcommittee shall have
those responsibilities as set forth in the Retirement System’s Regulations
Nos. 2 and 3.
(5.)
Board Education Subcommittee: the Board Education Subcommittee
provides policies and requirements for training for the Board members so
that each member can develop and maintain an adequate level of
knowledge and understanding of the relevant issues pertaining to the
administration of the retirement system throughout their terms on the
Board as required by law.
(6.)
Audit Subcommittee: the primary purpose of the Audit Subcommittee is
to assist the Board in fulfilling its oversight responsibilities with respect to
the financial reporting processes; the system of internal controls; and the
internal and external audit processes.
i. The Audit Subcommittee’s responsibility is one of oversight,
recognizing that the System is responsible for preparing the
financial statements and that the Auditor General is statutorily
responsible for compliance auditing consistent with RIGL §36-8-
19. The Committee’s charter is outlined in Addendum II
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Statutory Reference: R.I.G.L. §§36-8-2, 36-8-3, 36-8-4, 36-8-9, 36-8-10.
(12)
Special Committees
The chair may establish special committees to deal with particular issues as they arise.
Any such special committee established by the chair will be discharged once its tasks
have been completed.
Statutory Reference: R.I.G.L. §§36-8-2, 36-8-3, 36-8-4, 36-8-9, 36-8-10.
(13)
Code of Ethics for Fiduciaries
Anyone deemed to be a fiduciary shall subscribe and conform to the following code of
ethics:
(a)
Fiduciaries should conduct themselves with integrity and act in an ethical
manner in their dealings with the public, retirement board, employers,
employees, and fellow fiduciaries.
(b)
Fiduciaries should conduct themselves and should encourage other
fiduciaries to perform their functions in a professional and ethical manner
that will reflect credit on themselves and the other fiduciaries.
(c)
Fiduciaries should act with competence and should strive to maintain and
improve their competence and that of other fiduciaries.
(d)
Fiduciaries should use proper care and exercise independent professional
judgment.
Statutory Reference: R.I.G.L. §§36-8-2, 36-8-3, 36-8-4, 36-8-4.1, 36-8-17.
(14)
Standard of Conduct for Fiduciaries
Every fiduciary shall:
(1.)
Discharge his or her duties for the exclusive purpose of providing benefits
to retirement system members and their beneficiaries;
(2.)
Act with the care, skill, prudence and diligence under the circumstances
then prevailing that a prudent person acting in a like capacity and familiar
with such matters would use in the conduct of an enterprise of like
character and with like aims;
(3.)
Operate in accordance with the Rhode Island General Laws on retirement
as well as promulgated regulations by the Retirement Board.
No fiduciary shall:
(4.)
Deal with retirement system assets for his or her own account or in his or
her own interest.
(5.)
Act in any manner affecting the retirement systems on behalf of any
person or organization whose interests are adverse to the interests of the
systems, their members or beneficiaries;
(6.)
Receive anything of value for his or her own personal account from any
person or organization in connection with a transaction involving
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retirement system assets. A fiduciary who is a member of a retirement
system shall not be deemed to have dealt with retirement system assets for
his or her own account, or in his or her own interest or to have received
anything of value for his or own personal account, to the extent that the
fiduciary derives a benefit as a result of his/her membership which is not
unique and is no greater than the benefit derived by other similarly
situated members of the retirement systems.
Statutory Reference: R.I.G.L. §§36-8-2, 36-8-3, 36-8-4, 36-8-4.1, 36-8-17.
(B) Meetings
(1) Meeting Conduct
The Chairperson will preside at all meetings, unless he/she chooses to relinquish the chair
to the Vice-Chairperson. In the absence of the Chairperson, the Vice-Chair shall assume
all of the duties and responsibilities of the Chair. The Chairperson may speak in
discussion without relinquishing the chair and may make motions and vote on all
questions put to the members.
All meetings of the Board shall be conducted in accordance with R.I.G.L. §42-46-1, et
seq.
Statutory Reference: R.I.G.L. §§36-8-2, 36-8-3, 36-8-3.1, 36-8-4, 36-8-6.
(2) Annual Meeting
The meeting on the second Wednesday of the month of March shall be known as the
annual meeting of the Board.
Statutory Reference: R.I.G.L. §§36-8-2, 36-8-3, 36-8-4.
(3) Regular Meetings
Regular meetings of the Board shall be held on the second Wednesday of each month
unless re-scheduled by the Chairperson.
Statutory Reference: R.I.G.L. §§36-8-2, 36-8-3, 36-8-4.
(4) Special Meetings
Special meetings of the Board may be called upon affirmative vote by a majority of the
Board or by the Chairperson by written notice to the Board. The date, time, place, and
purpose of any special meeting shall be given to every board member at least three (3)
days prior to the meeting whenever practicable.
R.I.G.L. §§36-8-2, 36-8-3, 36-8-4
(5) Meeting Notice, Minutes and Agenda
The executive director shall cause a notice of each regular or annual meeting along with
the previous month's minutes and agenda to be mailed to each member at least (7) days
prior to such meeting.
Statutory Reference: R.I.G.L. §§36-8-2, 36-8-3, 36-8-4.
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(6) Quorum and Decision
Each member of the board shall be entitled to one vote. A majority of the board shall
constitute a quorum and all actions of the board shall be by a majority vote of the
members present and voting at which a quorum is present. The board shall keep a record
of all the proceedings which shall be open to public inspection.
Statutory Reference: 36-8-6
(7) Tie Votes
In the event of a tie vote of a quorum present and voting on a contested matter, the matter
will automatically be placed on the agenda of the next Retirement Board meeting.
In the event of a tie vote of a quorum present and voting on a contested matter
rescheduled from a prior meeting, the Retirement Board may vote to postpone and re-
consider the matter at a subsequent hearing, when a larger number of voting members
may be present. If no such vote to postpone and re-consider is taken, or if a vote to
postpone and re-consider the matter at a later date fails, the underlying action appealed
from will be deemed affirmed.
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(C) Addendum I - Board Education Policy
Employees’ Retirement System of Rhode Island
BOARD EDUCATION POLICY
To ensure that all Board Members are provided with adequate opportunity and
assistance to acquire the knowledge they need to carry out their duties.
POLICY GUIDELINES
General Provisions
1. Board Members agree to develop and maintain an adequate level of knowledge
and understanding of relevant issues pertaining to the administration of the
System throughout their terms on the Board.
2. Board Members agree to pursue appropriate education across a range of pension-
related areas, rather than limiting their education to particular areas. The
Executive Director shall annually prepare and submit to the Retirement Board
Member, an education and conference plan tied to the System’s budget. The
general topic areas to be pursued include:
a. Governance and fiduciary duty;
b. Investment policy and asset allocation;
c. Benefits administration;
d. Actuarial policies and funding;
e. Technology; and
f. Regulatory and legal issues.
Specific topics within these general areas are identified in Appendix 1, for reference
purposes.
3. Board Members will use all reasonable efforts to meet the following minimum
goals:
a. To secure, over time, a meaningful level of understanding in each of the
topic areas listed in paragraph 2 above by attending conferences that
contain at least five (5) hours of educational content.
b. To annually participate in at least eight (8) hours of investment and
fiduciary training, including training on fiduciary conduct and Board
governance, at the Employees’ Retirement System of Rhode Island,
conducted by an entity not affiliated with any external investment manager
for the System
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c. Consistent with § 36-8-4, newly appointed and qualified public members
shall, within six (6) months of their appointment, attend a training course
that shall include instruction in the following areas:
(i)
The provisions of chapters 42-46 (Open Meetings), 36-14
(Code of Ethics) and 38-2 (Access to Public Records) of the
Rhode Island general laws, the retirement statutes, and the
Board's rules and regulations.
(ii)
The Executive Director shall monitor changes to the statutes
outlined above and apprise all Board members as required to
attend or provide training on the updates.
Orientation Program
4. A formal orientation program, covering the general topic areas outlined in
paragraph 2 above, will be developed by the Executive Director for the benefit of
new Board Member.
5. Prior to attending their first meeting of the Board as a Board Member, new Board
Members will be invited by the Chair or Executive Director to attend a meeting of
the Board or a standing committee as an observer.
6. New Board Member will, as soon as possible, and under the direction of the
Executive Director:
a. Be briefed on the history and background of the ERSRI;
b. Be briefed on current issues before the Board;
c. Be introduced to members of the System’s senior management;
d. Be provided a tour of the System offices;
e. Be briefed on their fiduciary duties, conflict of interest guidelines, and
other pertinent laws and regulations;
f. Be provided with:
(i)
A Board Member Reference Manual (listed in Appendix 2).
(ii)
A
listing
of
upcoming
recommended
educational
opportunities.
(iii)
Other relevant information and documentation deemed
appropriate by the Executive Director or the Chair.
7. The Executive Director will provide, as appropriate, a series of in-house
orientation seminars for the benefit of new Board Members, within six months of
the first day of the Board Member’s term. Seminars may immediately precede or
follow Board meetings. Although intended for new Board Members, any Board
Member may attend.
8. The Executive Director will review and, if necessary, update all orientation
material and supply each Board Member with those updates. A master copy of
the Board Member Reference Manual will be available for use by Board Members
at the System’s offices.
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In-house educational retreats
9. At least once per year, the Executive Director will use all reasonable efforts to
arrange an educational retreat for the benefit of all Board Members. The
Executive Director will canvass the Board to identify topics of interest. The
seminar may be appended to a regular Board meeting or organized as a standalone
session.
Attendance at Conferences, Association Meetings & Courses
10. The Executive Director will maintain a list of recommended conferences and
association meetings, based on the feedback of Board Members and staff who
have attended specific conferences.
11. The Executive Director will prepare an annual education budget designed to
ensure equitable availability of conferences to all Board Members.
12. A Board Member, who wants to attend a conference or association meeting that is
not on the recommended list of conferences and association meetings or take a
related education course and wishes to be reimbursed by ERSRI for the tuition
and related expenses of the meeting or course, must file a written request with the
Executive Director. If the request is approved, reimbursement for tuition and
related expenses will be paid in accordance with ERSRI polices.
a. The request must be submitted within a reasonable time before the
scheduled conference, meeting or course for a decision to be made,
preferably 30 days in advance, and should include a copy of the program
or syllabus, justification, duration and associated costs as well as the
benefits to Board participation.
b. On receipt of each request, the Executive Director will review the request
to determine whether there are sufficient funds to support the request. If
the request enables the Board Member to better conduct the business of
the Retirement Board, better enables the Board Member to perform his/her
fiduciary duties and funds are available, the request will be approved.
c. If the Executive Director denies a request for training submitted by a
Board Member, the Executive Director shall submit a report to the
Training Committee that includes information on the basis for his/her
denial of the request.
Reporting
13. Attendees will complete a brief assessment on the quality and relevance of each
conference attended. On an annual basis, the Executive Director will review these
assessments and update the list of recommended conferences as appropriate.
14. On an annual basis, the Executive Director will submit a report to the Board on
the educational activities of the Board.
POLICY HISTORY The Board adopted this policy on March 21, 2008.
Page | 18
APPENDIX 1
SPECIFIC PENSION-RELATED TRAINING TOPICS
The following is a list of pension-related education topics that relate to each of the
general topic areas listed in paragraph 2 of this policy. The list is intended to provide
guidance to Board Members in identifying appropriate topics for the development of their
knowledge and understanding of pension matters. The list is intended as a guideline
only, and is not exhaustive:
Governance and Fiduciary Duty
Fiduciary duty
Roles of the sponsor, administrator,
management and service providers
Basics of trust law
Effective decision-making
Roberts Rules of Order
Benefits Administration
Defined benefit plan features
Risks inherent in Benefits
Administration
Basic administrative operations and
processes
Disability issues
Actuarial Policies and Funding
Role of the actuary
Actuarial process
Funding policy
Asset/liability management
Technology
Management Information Systems
Technology risk
Investment Policy and Asset
Allocation
Type of investments
Asset classes and their characteristics
Historical risk and returns investment
risk tolerance
Diversification and asset allocation
Efficient frontier and optimal portfolios
Active versus passive management
Performance measurement
Regulatory and Legal Issues
System Governing Legislation
State Ethics Laws
State Open Meetings Law
Tax policy and plan qualification
features
Non-tax legal requirements
Page | 19
Appendix 2
BOARD MEMBER REFERENCE MANUAL
A Board Member Reference Manual will include the following materials:
a. Relevant sections of the System’s governing legislation
b. Relevant sections of the State Ethics Laws and the Open Meetings Law
c. Copies of Board governance policies, regulations and charters
d. Organizational chart
e. Names, phone numbers, and email addresses of Board Members, the
Executive Director, and senior executives
f. Listing of current committee assignments
g. Listing of current service providers
h. Glossary of key pension administration terms and definitions
i. Most recent Annual Report
It is the responsibility of the ERSRI staff to maintain Board Members Reference
Manuals, by ensuring that they contain the most up to date materials. A master copy of
the Board Member Reference Manual will be available for use by Board Members at the
Agency’s offices.
Page | 20
(D) Addendum II – Audit Subcommittee Charter
EMPLOYEES’ RETIREMENT SYSTEM OF RHODE ISLAND
CHARTER FOR THE AUDIT COMMITTEE
INTRODUCTION
1) The primary purpose of the Committee is to assist the Board in fulfilling its
oversight responsibilities with respect to:
a) The financial reporting process;
b) The system of internal controls; and
c) The internal and external audit processes.
2) The Audit Committee’s responsibility is one of oversight, recognizing that the
System is responsible for preparing the financial statements and that the Auditor General
is statutorily responsible for compliance auditing consistent with RIGL §36-8-19.
COMPOSITION & MEETINGS
3) The Audit Committee shall consist of at least five members of the Board of
Board Members, at least one of whom shall be an ex officio member, and at least one of
whom shall be an elected member. The majority of the members of the Audit Committee
shall have financial or management expertise.
4) The Audit Committee shall meet four (4) times per year, but may meet more or
less frequently as required, and is subject to the Open Meetings Law RIGL § 42-46.
DUTIES AND RESPONSIBILITIES
Internal Controls
5) With respect to internal controls, the Audit Committee shall:
a) Review the effectiveness of the internal controls;
b) Understand the scope of internal and external auditors’ review of internal
control; and
c) Ensure the internal control function includes monitoring compliance with laws
and regulations and the results of staff’s investigation and follow-up of any instances of
noncompliance.
Internal Audit
6) With respect to the internal audit function, the Audit Committee shall:
Page | 21
a) Meet at least annually with the Executive Director and the Internal Auditor to
review and approve the Internal Audit Charter, plans, objectives, coordination, scope of
audits, and the organizational structure of the internal audit division;
b) Ensure there are no unjustified restrictions or limitations on the internal
auditor;
c) Review and consult with the Executive Director in the appointment or
dismissal of the Chief Internal Auditor;
d) Review the effectiveness of the internal audit activity; and
e) Periodically review and discuss with staff the System’s major risk exposures
(whether financial, operating or otherwise) and the measures the System has taken to
monitor, measure and control such exposures, including the guidelines and policies that
govern the process by which risk assessment and management is undertaken and elicit
recommendations for the improvement of the System’s risk assessment and mitigation
procedures.
External Audit
7) With respect to the external financial audit function, the Audit Committee
shall:
a) Review the external auditor’s proposed audit scope and approach, including
coordination of audit effort with internal audit;
b) Review and confirm the independence of the external auditor.
8) With respect to the System’s statutorily mandated compliance audit, the Audit
Committee shall review the findings and the System’s responses.
Financial Statements
9) With respect to the published financial statements, the Audit Committee shall:
a) Review significant accounting and reporting issues;
b) Review with staff and the external auditors the results of the annual financial
audit, including any difficulties encountered; and
c) Review the annual financial statements, and consider whether they are
complete, consistent with information known to Committee members, and reflect
appropriate accounting principles.
Compliance
10) With respect to compliance, the Audit Committee shall:
a) Review the findings of any examination by regulatory agencies, and any
auditor observations;
b) Ensure the existence of a process for communicating the State Ethics Laws and
code of conduct to staff and the Board; and
c) During at least one scheduled meeting per year, review, modify or affirm the
existing Charter.
Page | 22
Reporting
11) With respect to reporting, the Audit Committee shall:
a) Regularly report to the Board about Committee activities, issues, and related
recommendations; and
b) Provide an open avenue of communication between internal audit, the external
auditors, staff, committees of the Board and the Board.
HISTORY
10) This Charter was adopted by the Board on March 1, 2007.
Page | 23
Employees’ Retirement System of Rhode Island
and
Municipal Employees’ Retirement System
Regulation No. 2
Rules Concerning the Procurement of Supplies
Page | 24
TABLE OF CONTENTS
ARTICLE I - GENERAL PROVISIONS……….……………………………………………….25
SECTION 1.1
INTRODUCTION. ........................................................................................ 25
SECTION 1.2
DEFINITIONS. ............................................................................................. 25
SECTION 1.3
APPLICATION OF RULES. ........................................................................ 27
SECTION 1.4
PROCUREMENT RESPONSIBILITIES OF THE SYSTEM. ..................... 28
SECTION 1.5
PUBLIC ACCESS TO PROCUREMENT RECORDS. ............................... 28
SECTION 1.6
PROCUREMENT DECISIONS OF THE SYSTEM. ................................... 28
ARTICLE II - SOURCE SELECTION AND CONTRACT FORMATION ................................ 28
SECTION 2.1
SOURCE SELECTION. ................................................................................ 28
SECTION 2.2
CANCELLATION OF INVITATION FOR BIDS AND REQUESTS FOR
PROPOSALS. 32
SECTION 2.3
RESPONSIBILITY OF BIDDERS AND OFFERORS. ............................... 33
SECTION 2.4
CONTRACTS. .............................................................................................. 34
SECTION 2.5
INSPECTION OF FACILITIES AND AUDITS OF RECORDS. ................ 35
SECTION 2.6
REPORTING OF ANTI-COMPETITIVE PRACTICES. ............................. 35
ARTICLE III - SPECIFICATIONS .............................................................................................. 35
SECTION 3.1
ISSUANCE OF SPECIFICATIONS. ............................................................ 35
ARTICLE IV - MODIFICATION AND TERMINATION OF CONTRACTS ........................... 36
SECTION 4.1
MODIFICATION OF CONTRACTS. .......................................................... 36
SECTION 4.2
TERMINATION OF CONTRACT - DEFAULT OF VENDOR. ................. 36
SECTION 4.3
TERMINATION OF CONTRACT - CONVENIENCE. .............................. 36
ARTICLE V - COST PRINCIPLES ............................................................................................. 36
SECTION 5.1
COST AND PRICING PRINCIPLE. ............................................................ 36
ARTICLE VI - DISPUTE RESOLUTION AND DEBARMENT ................................................ 36
SECTION 6.1
RESOLUTION OF PROTESTED SOLICITATION AND AWARD. ......... 36
SECTION 6.2
DEBARMENT AND SUSPENSION. .......................................................... 37
SECTION 6.3
RESOLUTION OF CONTRACT DISPUTES. ............................................. 38
ARTICLE VII - ADDITIONAL MATTERS ................................................................................ 38
SECTION 7.1
EQUAL EMPLOYMENT OPPORTUNITY. ............................................... 38
SECTION 7.2
CONFLICT OF INTEREST. ......................................................................... 38
SECTION 7.3
LEGAL COUNSEL. ...................................................................................... 38
ARTICLE VIII - EFFECTIVE DATE .......................................................................................... 38
SECTION 8.1
EFFECTIVE DATE. ..................................................................................... 38
SECTION 8.2
CONTRACTS IN EFFECT ON EFFECTIVE DATE. ................................. 39
Page | 25
ARTICLE I - GENERAL PROVISIONS
Section 1.1
Introduction.
The Employees’ Retirement System of the State of Rhode Island and the Municipal
Employees’ Retirement System of the State of Rhode Island (the “System”) is
authorized to enter into contracts for the procurement of supplies and services. The
purpose of these Rules is to create an equitable and efficient procurement system.
Section 1.2
Definitions.
The words defined in this subsection shall have the following meanings wherever they
appear in these Rules, unless the context in which they are used clearly requires a
different meaning.
(1)
“Business” shall mean any corporation, partnership, individual, sole
proprietorship, joint stock company, joint venture, or any other legal entity through
which business is conducted.
(2)
“Change order” shall mean a written order of the System or a
vendor directing or allowing the vendor to make changes authorized by the contract
without the consent of the vendor or the System.
(3)
“Contract” shall mean all types of agreements, including orders, for
the purchase or disposal of supplies, services, construction or any other items. It shall
include awards; contracts of a fixed-price, cost, cost-plus-a-fixed fee, or incentive type
but shall not mean a cost plus a percentage of cost, contracts providing for the issuance
of job or task orders, leases; letter contracts and purchase orders. “Contract” shall
include supplemental agreements with respect to any of the foregoing. “Contract” does
not include any labor contract with employees of the System or employees of any state
agency.
(4)
“Contract modification” shall mean any written alteration in the
specifications, delivery point, rate of delivery, contract period, price, quantity, or other
contract provisions of any existing contract, whether accomplished by unilateral action
in accordance with a contract provision, or by mutual action of the parties to the
contract. It shall include bilateral actions such as change orders, such as supplemental
agreements, and unilateral actions, administrative changes, notices of termination, and
notices of the exercise of a contract option.
Page | 26
(5)
“Established catalog price” shall mean the price included in the most
current catalog, price list, schedule, or other form that is regularly maintained by the
manufacturer or vendor of an item, is either published or otherwise available for
inspection by customers, states prices at which sales are currently or were last made to
a significant number of buyers constituting the general buying public for that item and
states prices which are obtained from the most recent industry wide publications and
informational journals if any.
(6)
“Executive Director” shall mean the person appointed by the
Retirement Board as executive director pursuant to Section 36-8-9 of the Rhode Island
General Laws.
(7)
“Evaluated bid price” shall mean the dollar amount of a bid after
bid price adjustments are made pursuant to objective measurable criteria, set forth in
the invitation for bids, which affect the economy and effectiveness in the operation or
use of the product, such as reliability, maintainability, useful life and residual value.
(8)
“Invitation for bids” shall mean all documents, whether attached or
incorporated by reference, utilized for soliciting bids in accordance with the procedures
set forth in Section 2.1.2 of these Rules.
(9)
“Negotiation” shall mean contracting by either the method set forth
in Sections 2.1.3, 2.1.4, or 2.1.5.
(10)
“Person” shall mean any business, individual, organization or group
of individuals.
(11)
“Procurement” shall mean the purchasing, buying, renting, leasing
or otherwise obtaining of any supplies or services, and all functions that pertain to the
obtaining of any supply or service item, including all phases of contract administration.
(12)
“Procurement Committee” means a committee composed of five
(5) members of the Retirement Board who shall be appointed by the Chair of the
Retirement Board for terms of one (1) year in January of each year, provided, however,
that the members of such committee first appointed after the adoption of these
regulations shall serve until December 31st of the year next following the year of their
appointment. Any vacancies in the committee shall be filled by the Chair. The
committee shall act by majority vote and a majority shall constitute a quorum.
(13)
“Request for proposals” shall mean all documents, whether
attached or incorporated by reference, utilized for soliciting proposals in accordance
with the procedures set forth in Sections 2.1.3, 2.1.4, and 2.1.5 of these Rules.
(14)
“Responsible bidder or offeror” shall mean a qualified bidder who
has the capability in all respects including financial responsibility to perform fully the
contract requirements, and the integrity and reliability which will assure good faith
performance.
Page | 27
(15)
“Responsive bidder” shall mean a person who has submitted a bid
or proposal which conforms in all material respects to the invitation for bids, so that all
bidders may stand on equal footing with respect to the method and timeliness of
submission and as the substance of any resulting contract. A bidder who submits a bid
based on alternative specifications to those contained in the invitation to bid will be
responsive only if, in the judgment of the System, the alternative specifications meet
the performance objectives of the System with respect to the item or service to be
purchased and the invitation to bid states that alternative specifications will be
considered.
(16)
“Retirement Board” or “Board” means the board established
pursuant to Section 36-8-3 of the Rhode Island General Laws to administer the System.
(17)
“Services” shall mean the rendering, by a vendor, of its time and
effort rather than the furnishing of a specific-end product, other than reports which are
merely incidental to the required performance of services. “Services” does not include
labor contracts with employees of state agencies.
(18)
“Small business” shall mean a person, partnership, corporation or
other form of business entity independently owned and operated, not dominant in its
field and which employs 500 or fewer employees and has its principal place of
business in the State.
(19)
“State” shall mean the State of Rhode Island and any of its
departments or agencies and public agencies.
(20)
“Supplemental agreement” shall mean any contract modification
which is accomplished by the mutual action of the parties.
(21)
“Supplies” shall mean all property, excluding real property or
leases thereof.
(22)
“Vendor” shall mean any person who provides supplies, services,
or construction under a contract.
Section 1.3
Application of Rules.
These Rules shall apply to all expenditures of funds by the System under a contract,
except labor contracts between the System and employees of the System or employees
of the State, or other contracts between the System and the State or other governments.
The provisions of these Rules shall be considered to be incorporated in all contracts of
the System to which they apply.
Notwithstanding anything contained in this Section 1.3, the “Rules of the Employees’
Retirement System of the State of Rhode Island and the Municipal Employees’
Retirement System of the State of Rhode Island for the Selection of Consultants” shall
govern the selection of consultants by the System.
Page | 28
Section 1.4
Procurement Responsibilities of the System.
For purchases equal to or in excess of 50 thousand dollars ($50,000), the Retirement
Board shall have all of the authority of the “chief purchasing officer” of the System
under Chapter 2 of Title 37 of the General Laws of Rhode Island and shall retain
ultimate decision-making authority over procurements. For purchases equal to or in
excess of twenty thousand dollars ($20,000), but not more than fifty thousand dollars
($50,000), a majority of the Procurement Committee shall have all of the authority of
the “chief purchasing officer” of the System under Chapter 2 of Title 37 of the General
Laws of Rhode Island and shall retain ultimate decision-making authority over
procurements. For purchases of twenty thousand dollars ($20,000) or less, the
Executive Director shall have all of the authority of the Chief Purchasing Officer.
Accordingly, the term “System” shall be used in these Rules to designate: (a) the
Executive Director for purchases of twenty thousand dollars ($20,000) or less, or (b)
the Procurement Committee or the Retirement Board acting in the capacity of chief
purchasing officer of the System.
Section 1.5
Public Access to Procurement Records.
Except as otherwise provided for herein, all procurement information of the System
shall be a public record to the extent provided in Chapter 2 of Title 38 (Access to
Public Records) of the General Laws of Rhode Island and shall be available to the
public as provided in such Act.
Section 1.6
Procurement Decisions of the System.
Every determination required by these Rules shall be in writing and based upon written
findings of fact by the System. These determinations and written findings shall be
retained in an official contract file in the offices of the System.
ARTICLE II - SOURCE SELECTION AND CONTRACT FORMATION
Section 2.1
Source Selection.
2.1.1
Methods of Source Selection. Except as otherwise authorized by
law or by Rule of the System, all contracts of the System shall be awarded by:
(a)
competitive-sealed bidding (Section 2.1.2);
(b)
competitive negotiation (Sections 2.1.3 and 2.1.4);
(c)
noncompetitive negotiation (Section 2.1.5);
(d)
small purchase procedures (Section 2.1.6); or
(e)
master price agreements (Section 2.1.7);
2.1.2
Competitive-Sealed Bidding.
Page | 29
(a)
Contracts exceeding the amount provided by Section 2.1.6 of these
Rules shall be awarded by competitive-sealed bidding unless the System determines in
writing that this method is not practicable. Factors to be considered in determining
whether competitive-sealed bidding is practicable shall include whether:
(i)
specifications can be prepared that permit an award on the
basis of either the lowest bid price or the lowest responsible evaluated bid
price; and
(ii)
the available sources, the time and place of performance,
and other relevant circumstances as are appropriate for the use of
competitive-sealed bidding.
(b)
The invitation for bids shall state whether an award shall be made
on the basis of the lowest responsible bid price or the lowest responsible evaluated or
responsive bid price. If the latter basis is used, the objective measurable criteria to be
utilized shall be set forth in the invitation for bids, if available.
(c)
Public notice of the invitation for bids shall be given by publication
in a newspaper of general circulation in the State or a consortium of newspapers, which
publish their newspapers at least once each week and have a circulation in one or more
communities, not less than seven (7) days nor more than twenty-one (21) days before
the date set for the opening of the bids. The System may make a written determination
that the twenty-one (21) day limitation needs to be waived. The written determination
shall state the reason why the twenty-one (21) day limitation is being waived and shall
state the number of days, giving a minimum and maximum, before the date set for the
opening of bids when public notice is to be given.
(d)
Bids shall be opened publicly at the time and place designated in
the invitation for bids. Each bid, together with the name of the bidder, shall be
recorded and an abstract made available for public inspection. Subsequent to the
awarding of the bid, all documents pertinent to the awarding of the bid shall be made
available and open to public inspection and retained in the bid file.
(e)
The contract shall be awarded with reasonable promptness by
written notice to the responsive and responsible bidder whose bid is either the lowest
bid price or lowest evaluated bid price.
(f)
Correction or withdrawal of bids will be allowed only in the
following circumstances:
(i)
a bidder will not be permitted to correct a bid mistake after
bid opening that would cause such bidder to have the low bid unless the
mistake is clearly evident from examining the bid document, for example,
errors in addition.
(ii)
an otherwise low bidder may be permitted to correct a
material mistake of fact in its bid, including price, when the intended bid
Page | 30
is obvious from the bid document or is otherwise supported by proof that
has evidentiary value. A low bidder will not be permitted to correct a bid
for mistakes or errors in judgment.
(iii)
in lieu of bid correction, a low bidder alleging a material
mistake of fact will be permitted to withdraw its bid when there is
reasonable proof that a mistake was made and the intended bid cannot be
ascertained with reasonable certainty.
(iv)
after bid opening, an otherwise low bidder shall not be
permitted to make exceptions to the bid conditions or specifications which
affect price or substantive obligations; however, such bidder shall be
permitted the opportunity to furnish other information called for by the
invitation for bids and not supplied due to oversight, so long as it does not
affect responsiveness.
2.1.3
Competitive Negotiation.
(a)
When the System determines in writing that the use of competitive-
sealed bidding is not practicable, and except as provided in Sections 2.1.5, 2.1.6 and
2.1.7 of these Rules, a contract may be awarded by competitive negotiation.
(b)
Adequate public notice of the request for proposals shall be given
in the same manner as provided in Section 2.1.2(c) of these Rules.
(c)
The request for proposals shall indicate the relative importance of
price and other evaluation factors.
(d)
Award shall be made to the responsible offeror whose proposal is
determined in writing to be the most advantageous to the System taking into
consideration price and the evaluation factors set forth in the request for proposals.
(e)
Written or oral discussions shall be conducted with all responsible
offerors who submit proposals determined in writing by the System to be reasonably
susceptible of being selected for award. Discussions shall not disclose any information
derived from proposals submitted by competing offerors. Discussions need not be
conducted:
(i)
with respect to prices, where such prices are fixed by law
or regulation, except that consideration shall be given to competitive
terms and conditions; or
(ii)
where time of delivery or performance will not permit
discussions; or
(iii)
where it can be clearly demonstrated and documented from
the existence of adequate competition or accurate prior cost experience
Page | 31
with the particular supply, service, or construction item, that acceptance
of an initial offer without discussion would result in fair and reasonable
prices, and the request for proposals notifies all offerors of the possibility
that award may be made on the basis of the initial offers.
2.1.4
Negotiations After Unsuccessful Competitive-Sealed Bidding.
(a)
Contracts may be competitively negotiated when it is determined in
writing by the System that the bid prices received by competitive-sealed bidding under
Section 2.1.2 of these Rules either are unreasonable as to all or part of the
requirements, or were not independently reached in open competition, and for which:
(i)
each competitive bidder has been notified of the intention
to negotiate and is given reasonable opportunity to negotiate; and
(ii)
the negotiated price is lower than the lowest rejected bid by
any competitive bidder; and
(iii)
the negotiated price is the lowest negotiated price offered
by a competitive offeror.
(b)
In the event that all bids submitted pursuant to competitive-sealed
bidding under Section 2.1.2 of these Rules result in bid prices in excess of the funds
available for the purchase, and the System determines in writing:
(i)
that there are no additional funds available from any source
so as to permit an award to the lowest responsive and responsible bidder,
and
(ii)
the best interest of the System will not permit the delay
attendant to a resolicitation under revised specifications, or for revised
quantities, under competitive-sealed bidding as provided in Section 2.1.2
of these Rules, then a negotiated award may be made as set forth in
subsection (c) or (d) of this Section 2.1.4.
(c)
Where there is more than one bidder, competitive negotiations
pursuant to Section 2.1.3 of these Rules shall be conducted with the three (two if there
are only two) bidders determined in writing to be the lowest responsive and responsible
bidders to the competitive-sealed bid invitation. Such competitive negotiations shall be
conducted under the following restrictions:
(i)
if
discussions
pertaining
to
the
revision
of
the
specifications or quantities are held with any potential offeror, all other
potential offerors shall be afforded an opportunity to take part in such
discussions; and
(ii)
a request for proposals, based upon revised specifications
or guaranties, shall be issued as promptly as possible, shall provide for an
Page | 32
expeditious response to the revised requirements, and shall be awarded
upon the basis of the lowest bid price or lowest evaluated bid price
submitted by any responsive and responsible offeror.
(d)
When after competitive-sealed bidding it is determined in writing
that there is only one responsive and responsible bidder, a noncompetitive negotiated
award may be made with such bidder in accordance with Section 2.1.5 of these Rules.
2.1.5
Sole Source Procurement and Emergency Procurements.
(a)
A contract may be awarded for a supply or service item without
competition when the System determines, in writing, that there is only one source for
the required supply or service item.
(b)
Notwithstanding any other provision of these Rules, the System
may make emergency procurements when there exists a threat to public health, welfare
or safety under emergency conditions, provided that such emergency procurements
shall be made with such competition as is practicable under the circumstances. A
written determination of the basis for the emergency and for the selection of the
particular vendor shall be included in the contract file.
2.1.6
Small Purchases. Procurements, not to exceed an aggregate
amount of seventy-five hundred dollars ($7,500) for all purchases other than
construction may be made at the established catalogue or market price of commercial
items sold in substantial quantities to the general public. In the case of all other small
purchases as defined in this section, the System shall procure items in any manner it
believes reasonable. Where practicable, the System shall make inquiries from at least
three sources to determine what is a reasonable price. The inquiries may be made by
telephone. No such inquiries are required when the price of the item or service is not
expected to exceed one hundred dollars ($100). Procurement requirements shall not be
artificially divided by the System so as to constitute a small purchase under this
section.
2.1.7
Master Price Agreements. Anything in these Rules to the contrary
notwithstanding where any supplies to be purchased by the System are covered by a
Master Price Agreement between a vendor and the Division of Purchasing of the
Department of Administration of the State, such supplies may be purchased by the
System without notice or otherwise following the procedures set forth in Sections 2.1.2
to 2.1.6, inclusive, hereof.
2.1.8
Waiver of Information in Bids and Offers. The System may waive
informalities in any bid or offer.
Section 2.2
Cancellation of Invitation for Bids and Requests for Proposals.
The System may cancel an invitation for bids, a request for proposal, or negotiations in
connection with the procurement of any item or service, or may reject all bids or
proposals if the System determines that such action is in the best interests of the
System. No such cancellation or rejection shall prevent the System from resoliciting
supplies and services for the same project on the same or different terms.
Page | 33
Section 2.3
Responsibility of Bidders and Offerors.
2.3.1
Determination of Responsibility. A
written
determination
of
responsibility of a bidder or offeror shall be made by the Executive Director in
connection with the award of any contract. The Executive Director may make
reasonable inquiries to determine responsibility. The failure of any bidder or offeror to
promptly supply information in connection with such inquiries may be grounds for
determining that such person is not responsible. Except as otherwise provided by law,
information furnished by any bidder or offeror pursuant to this Section 2.3.1 may not
be disclosed by the System to any other person without the prior written consent of
such person.
2.3.2
Annual Statement of Qualifications. Persons
interested
in
contracting with the System shall be encouraged by the Executive Director to submit to
the System annually a statement of qualifications. Solicitation mailing lists of potential
vendors shall include but need not be limited to vendors who have submitted annual
statements of qualifications.
2.3.3
Cost or Pricing Data.
(a)
A vendor shall submit to the System cost or pricing data and shall
certify that, to the best of its knowledge and belief, any cost or pricing data required to
be submitted was accurate, complete, and current as of a mutually determined specified
date prior to the date of the pricing of any negotiated contract where the total contract
price is expected to exceed fifty thousand dollars ($50,000), or the pricing of any
change order or contract modification which is expected to exceed twenty-five
thousand dollars ($25,000).
(b)
The System may require vendor certified cost or pricing data in
connection with any bid, proposal or contract without regard to the price ceilings set
forth above if the System determines that such cost or price data is necessary to ensure
a fair and reasonable contract price to the System.
(c)
Where certified cost or pricing data must be submitted in
connection with any contract, change, or modification thereto, the price to the System,
including profit or fee, shall be adjusted to exclude any significant sums by which the
System finds that such price was increased because the vendor furnished cost or pricing
data, as of the date agreed upon between the parties, that was inaccurate, incomplete, or
not current.
(d)
The System may elect not to require certified cost or pricing data
where the price negotiated is based on adequate price competition, established catalog
or market prices of commercial items sold in substantial quantities to the general
public, prices set by law or regulation, or in exceptional cases where the System
determines that the requirements of this section may be waived by the System, and the
reasons for such waiver are stated in writing.
Page | 34
Section 2.4
Contracts.
2.4.1
Types of Contracts. The System may enter into any type of
contract which will promote the best interests of the System subject to the following
rules:
(1)
Cost plus percentage of cost-type contracts shall not be awarded to
any person.
(2)
No contract providing for the reimbursement of the vendor’s cost
plus a fixed fee (herein referred to as a cost-reimbursement-type contract) shall be
awarded to any person unless the System determines that this type of contract is likely
to be less costly to the System than any other type of contract or that it is impracticable
to obtain supplies or services of the kind or quality required except under such a
contract. Each vendor under a cost-reimbursement-type contract shall obtain the
consent of the System, as provided for in the contract, before entering into:
(i)
a cost-reimbursement type subcontract; or
(ii)
any other type of subcontract involving more than
ten thousand dollars ($10,000) or ten percent (10%) of the
estimated cost of the prime contract. All cost-reimbursement-type
contracts shall permit reimbursement only of allowable costs as
determined in accordance with cost principles set forth in Article V
of these Rules.
2.4.2
Approval of Accounting System. Except with respect to firm-
fixed-price-type contracts, no contract type shall be used by the System unless the
System has determined that the proposed vendor’s accounting system will permit
timely development of all necessary cost data in the form required by the specific
contract type contemplated and that the vendor’s accounting system is adequate to
allocate costs in accordance with generally accepted accounting principles.
2.4.3
Partial, Progressive and Multiple Awards.
(a)
A contract may provide for payments as work progresses under the
contract, upon the basis of costs incurred, percentage of completion accomplished or of
a particular stage of completion.
(b)
A contract may provide for payments upon submission of proper
invoices or vouchers for supplies delivered and accepted or services rendered and
accepted where such supplies and services are only part of total contract requirements.
(c)
The System may reserve the right to split a contract between two or
more responsive and responsible bidders and to make an award for all or only part of
the items, services or construction specified in the solicitation, if so stated in the
invitation to bid or the request for proposal.
Page | 35
2.4.4
Annual Appropriations. All contracts awarded by the System shall
be subject to the availability of annual appropriations by the General Assembly unless
prior to the award an amount equal to the contract price has been administratively set
aside by the System from then available appropriated funds.
Section 2.5
Inspection of Facilities and Audits of Records.
(a)
The System may inspect the plant or place of business of the
vendor or any subcontractor under any contract awarded or to be awarded by the
System.
(b)
The System shall be entitled to audit the books and records of a
vendor or any subvendor under any negotiated contract other than a firm-fixed-price-
type contract, at any time until the period of retention provided for herein expires.
Such books and records shall be maintained by the vendor for a period of three (3)
years from the date of final payment under the prime contract and by the subcontractor
for a period of three (3) years from the date of final payment under the subcontract.
Section 2.6
Reporting of Anti-Competitive Practices.
(a)
If for any reason the System suspects collusion among bidders or
offerors, the System shall transmit a written notice of the facts giving rise to such
suspicion to the Attorney General of the State (the “Attorney General”).
(b)
All documents involved in any procurement in which collusion is
suspected shall be retained by the System until the Attorney General notifies the
System that they may be released. All such documents shall be made available to the
Attorney General or his or her designee upon request, notwithstanding any other
provision of this Rule.
ARTICLE III - SPECIFICATIONS
Section 3.1
Issuance of Specifications.
(a)
The Executive Director shall establish and maintain to the extent
practicable standards and specifications approved by the Department of Administration
of the State, the U.S. Government, and industry and professional associations, relating
to the development and use of purchasing specifications and for the inspection, testing
and acceptance of supplies and services not inconsistent with the Rules of the System.
(b)
The System shall develop to the extent practicable “General
Conditions” to be used in various types of contracts entered into by the System.
(c)
The System shall from time to time, review those standards and
specifications and “General Conditions” which it utilizes, with a view to conforming
such standards, specifications and “General Conditions” to all technical and scientific
advances and to reflect changes in the System’s requirements and to the extent
practicable to maximize competition in the fulfillment of the System’s requirements.
Page | 36
ARTICLE IV - MODIFICATION AND TERMINATION OF CONTRACTS
Section 4.1
Modification of Contracts.
The System may require clauses in its contracts to which it is a party permitting
changes or modifications by the System.
Section 4.2
Termination of Contract - Default of Vendor.
The System may provide that a contract may be terminated for default of the vendor
and may provide for liquidated damages.
Section 4.3
Termination of Contract - Convenience.
The System may provide that contracts may be terminated for the convenience of the
System or the vendor and in such cases shall provide for appropriate adjustments in
price including, where applicable, reimbursement for the reasonable value of any
nonrecurring costs incurred but not amortized in the price of any item or service
delivered under the contract.
ARTICLE V - COST PRINCIPLES
Section 5.1
Cost and Pricing Principle.
Except as otherwise provided by contract, the System shall use generally accepted
accounting principles:
(1)
as guidelines in the negotiation of estimated costs for contracts
when the absence of open-market competition precludes the use of competitive-sealed
bidding, as adjustments for changes or modifications in contract performance requested
by the System, and as settlements of contracts which have been terminated;
(2)
to determine the allowability of incurred costs for the purposes of
reimbursing costs under contract provisions which provide for the reimbursement of
costs; and
(3)
as appropriate in any other situation where determinations of
estimated or incurred costs of performing a contract may be required.
ARTICLE VI - DISPUTE RESOLUTION AND DEBARMENT
Section 6.1
Resolution of Protested Solicitation and Award.
(a)
Any actual or prospective bidder, offeror, or vendor who is
aggrieved in connection with the solicitation or award of any contract may file a protest
with the System. A protest must be filed in writing not later than two (2) calendar
weeks after such aggrieved person knows or should have known of the facts giving rise
thereto.
Page | 37
(b)
The System shall promptly issue a decision in writing regarding
such protest. A copy of that decision shall be furnished to the aggrieved party and shall
state the reasons for the action taken.
(c)
In the event a protest is filed in a timely manner under this Section,
the System shall not proceed further with the solicitation or award which is the subject
of the protest until it has issued a decision on the protest, or determined that
continuation of the procurement is necessary to protect a substantial interest of the
System.
Section 6.2
Debarment and Suspension.
(a)
After reasonable notice to the person involved and reasonable
opportunity for that person to be heard, the System may debar a person for cause from
consideration for award of contracts contemplated by these Rules. The debarment shall
not be for a period of more than three years. The System may suspend a person from
consideration for award of contracts if there is probable cause for debarment. The
suspension shall be for a period of not less than three months.
(b)
Causes for debarment or suspension include the following:
(1)
conviction of a criminal offense in connection with
obtaining or attempting to obtain a public or private contract or subcontract,
or in the performance of such contract or subcontract;
(2)
conviction under state or federal statutes of embezzlement,
theft, forgery, bribery, falsification or destruction of records, stolen
property, or any other offense indicating a lack of business integrity or
business honesty which currently, seriously, and directly affects
responsibility as a vendor with the System;
(3)
conviction under state or federal antitrust statutes arising
from the submission of bids or proposals;
(4)
violation of contract provisions, as set forth below, of a
character which is regarded by the System to be so serious as to justify
debarment action:
(i)
deliberate failure without good cause to perform in
accordance with the specifications or within the time limit provided
in a contract with the System; or
(ii)
recent record of failure to perform or of
unsatisfactory performance in accordance with the terms of one or
more contracts with the System or the State; provided that failure to
perform or unsatisfactory performance caused by acts beyond the
control of the vendor shall not be considered to be a basis for
debarment;
Page | 38
(5)
any other cause the System determines to be so serious and
compelling as to affect responsibility as a vendor, including debarment by
a governmental entity.
(c)
The System shall issue a written decision to debar or suspend. The
decision shall state the reasons for the action taken and inform the
debarred or suspended person of its rights to judicial review.
(d)
A copy of the decision under Subsection (c) of this Section shall be
furnished promptly to the debarred or suspended person.
Section 6.3
Resolution of Contract Disputes.
If any claim or controversy arising under contracts to which these Rules apply is not
resolved by mutual agreement, the System shall promptly issue a decision in writing
regarding the subject matter of such claim or controversy. A copy of that decision
shall be furnished to the vendor. If the System does not issue a written decision within
thirty (30) days after written request for a final decision, or within such longer period
as might be established by the parties to the contract in writing, then the vendor may
proceed as if an adverse decision had been received from the System.
ARTICLE VII - ADDITIONAL MATTERS
Section 7.1
Equal Employment Opportunity.
For all contracts for supplies and services exceeding ten thousand dollars ($10,000),
vendors must comply with the requirements of federal executive order 11246, as
amended, and Section 28-5.1-10 of the General Laws of the State. Failure to comply
will be considered a substantial breach of the contract subject to penalties prescribed on
regulations administered by the Department of Administration of the State.
Section 7.2
Conflict of Interest.
No member or employee of the System shall have any interest, financial or otherwise,
direct or indirect, or engage in any activity which is in substantial conflict with the
proper discharge of his or her duties as a member or employee of the System.
Section 7.3
Legal Counsel.
Pursuant to the provisions of Section 36-8-9 and Section 45-21-35 of the General Laws
of Rhode Island, legal counsel to the System is chosen by the General Treasurer of the
State. Accordingly, nothing herein contained shall be deemed applicable to the
selection of legal counsel for the System.
ARTICLE VIII - EFFECTIVE DATE
Section 8.1
Effective Date.
These Rules shall become effective upon their adoption by the Board. Thereafter, the
Board shall file a copy of these Rules with the Secretary of State.
Page | 39
Section 8.2
Contracts in Effect on Effective Date.
These Rules shall not change in any way a contract commitment by the System or of a
vendor to the System which was in existence on the effective date of these Rules.
Page | 40
Employees’ Retirement System Of The
State Of Rhode Island
And
Municipal Employees’ Retirement System
Of The State Of Rhode Island
Regulation No. 3
Rules Concerning the Selection of Consultants
Page | 41
TABLE OF CONTENTS
ARTICLE I - GENERAL PROVISIONS .......................................................................... 42
SECTION 1.1
INTRODUCTION. .......................................................................... 42
SECTION 1.2
DEFINITIONS. ................................................................................ 42
SECTION 1.3
APPLICATION OF RULES. ........................................................... 42
SECTION 1.4
PROCUREMENT RESPONSIBILITIES OF THE SYSTEM. ....... 42
SECTION 1.5
PUBLIC ACCESS TO PROCUREMENT RECORDS. .................. 42
SECTION 1.6
PROCUREMENT DECISIONS OF THE SYSTEM. ..................... 43
ARTICLE II - SELECTION OF CONSULTANTS .......................................................... 43
SECTION 2.1
GENERAL POLICY. ...................................................................... 43
SECTION 2.2
ANNUAL STATEMENT OF QUALIFICATIONS AND
PERFORMANCE DATA. ................................................................................................. 43
SECTION 2.3
PUBLIC ANNOUNCEMENT OF NEEDED
CONSULTANT SERVICES. ............................................................................................ 43
SECTION 2.4
SOLICITATION. ............................................................................. 43
SECTION 2.5
EVALUATION OF STATEMENTS OF
QUALIFICATIONS AND PERFORMANCE DATA. ..................................................... 44
SECTION 2.6
FINAL SELECTION OF CONTRACTORS. .................................. 44
SECTION 2.7
CONTRACTS NOT EXCEEDING $10,000. .................................. 45
ARTICLE III - REMEDIES .............................................................................................. 45
SECTION 3.1
PROTEST OF SOLICITATION AND AWARD. ........................... 45
SECTION 3.2
DEBARMENT AND SUSPENSION. ............................................. 45
SECTION 3.3
RESOLUTION OF CONTRACT DISPUTES. ............................... 46
ARTICLE IV - ADDITIONAL MATTERS ...................................................................... 46
SECTION 4.1
EQUAL EMPLOYMENT OPPORTUNITY. ................................. 46
SECTION 4.2
CONFLICT OF INTEREST. ........................................................... 47
ARTICLE V - EFFECTIVE DATE ................................................................................... 47
SECTION 5.1
EFFECTIVE DATE. ........................................................................ 47
SECTION 5.2
CONTRACTS IN EFFECT ON EFFECTIVE DATE. .................... 47
Page | 42
ARTICLE I - GENERAL PROVISIONS
Section 1.1
Introduction.
The Employees’ Retirement System of the State of Rhode Island and the Municipal
Employees’ Retirement System of the State of Rhode Island (the “System”) are
authorized to employ consulting and other professional services. The purpose of these
rules is to adopt internal procedures consistent with the requirements of Chapter 2 of
Title 37 of the Rhode Island General Laws (State Purchases Act) in connection with
the procurement of consulting services by the System.
Section 1.2
Definitions.
All capitalized terms used herein shall have the same meaning as set forth in the “Rules
of the Employees’ Retirement System of the State of Rhode Island and the Municipal
Employees’ Retirement System of the State of Rhode Island for the Procurement of
Supplies and Services”. The words defined in this subsection shall have the following
meanings wherever they appear in these Rules, unless the context in which they are
used clearly requires a different meaning.
(1)
“Consultant” shall mean any person engaged to provide
information regarding a particular area of knowledge in which the person has expertise,
including, but not limited to, accountants, actuaries, financial consultants, data
processing consultants and physicians, excluding, however, legal services.
Section 1.3
Application of Rules.
These Rules apply to all expenditures of funds by the System under a contract for
consulting services, except contracts between the System and the State of its political
subdivisions, or between the System and other governments. The provisions of these
Rules shall be considered to be incorporated in all contracts of the System to which
they apply.
Notwithstanding anything contained in this Section 1.3, the “Rules of the
Employees’ Retirement System of the State of Rhode Island and the Municipal
Employees’ Retirement System of the State of Rhode Island for the Procurement of
Supplies and Services” shall govern the procurement of supplies and services.
Section 1.4
Procurement Responsibilities of the System.
The Procurement Committee shall select persons or firms to render consultant services
pursuant to these Rules. Accordingly, the term “System” shall be used in these Rules
to designate the Procurement Committee.
Section 1.5
Public Access to Procurement Records.
Except as otherwise provided for herein all procurement records of the System shall be
public record to the extent provided in Chapter 2 of Title 38 (Access to Public Records)
of the General laws of Rhode Island and shall be available to the public as provided in
such Act.
Page | 43
Section 1.6
Procurement Decisions of the System.
Every determination required by these Rules shall be in writing and based upon written
findings of fact by the System. These determinations and written findings shall be
retained in an official contract file in the offices of the System.
ARTICLE II - SELECTION OF CONSULTANTS
Section 2.1
General Policy.
It shall be the policy of the System to publicly announce its requirements for consulting
services, which are reasonably estimated to exceed ten thousand dollars ($10,000), and
to negotiate contracts for such professional services on the basis of demonstrated
competence and qualifications and at fair and reasonable prices.
Section 2.2
Annual Statement of Qualifications and Performance Data.
Consultants shall be encouraged by the Executive Director to submit to the System
annually a statement of qualifications and performance data which shall include, but
not be limited to the following:
1. The name of the firm and the location of its principal place of business and
all offices;
2. The age of the firm and its average number of employees over the past five
years;
3. The education, training, and qualifications of members of the firm and key
employees;
4. The experience of the firm, reflecting technical capabilities and project
experience; and
5. Such other pertinent information as requested by the Executive Director.
Section 2.3
Public Announcement of Needed Consultant Services.
The System shall give public notice in a newspaper of general circulation in the State
of the need for consultant services which are reasonably estimated to exceed ten
thousand dollars ($10,000). The System may publish such additional notice as it
deems necessary to assure response from qualified individuals or firms. Such public
notice shall be published sufficiently in advance of the date when responses must be
received in order that interested parties have an adequate opportunity to submit a
statement of qualifications and performance data. The notice shall contain a brief
statement of the services required, describe the project and specify how a solicitation
containing specific information on the project may be obtained.
Section 2.4
Solicitation.
(a)
A solicitation shall be prepared which describes the System’s
requirements and sets forth the evaluation criteria. It shall be distributed to interested
persons.
Page | 44
(b)
The solicitation shall describe the criteria to be used in evaluating
the statement of qualification and performance data and in the selection of firms.
Criteria shall include, but are not limited to:
(1)
competence to perform the services as reflected by
technical training and education; general experience;
experience in providing the required services; and the
qualifications and competence of persons who would be
assigned to perform the services;
(2)
ability to perform the services as reflected by workload
and the availability of adequate personnel, equipment, and
facilities to perform the services expeditiously;
(3)
past performance as reflected by the evaluation of private
persons and officials of other governmental entities that have
retained the services of the firm with respect to such factors
as control of costs, quality of work, and ability to meet
deadlines; and
(4)
the cost of such services.
(c)
For services reasonably estimated to exceed twenty thousand
dollars ($20,000), a bidder’s conference shall be held which describes the criteria to be
used in evaluating the statement of qualification and performance data and in the
selection of firms. The scope of work shall be discussed and further defined at such
conference, including on-site visits, if appropriate.
Section 2.5
Evaluation of Statements of Qualifications and Performance Data.
The consultant selection committee shall evaluate statements that may be submitted in
response to the solicitation of consultant services and statements of qualifications and
performance data, if required. All such statements shall be evaluated in light of the
criteria set forth in the solicitation for consulting services. The consultant selection
committee may waive informalities in any such statements.
Section 2.6
Final Selection of Contractors.
The consultant selection committee shall select no more than three (3) firms (or two (2)
if only two (2) apply) evaluated as being professionally and technically qualified. The
firms selected, if still interested in providing the services, shall make a representative
available to the consultant selection committee at such time and place as it shall
determine, to provide such further information as it may require.
The consultant selection committee shall negotiate with the highest qualified firm for a
contract for consulting services for the System at compensation which the consultant
selection committee determines to be fair and reasonable. In making such
determination, the consultant selection committee shall take into account the
professional competence and technical merits of the offerors, and the price for which
Page | 45
the services are to be rendered. The consultant selection committee shall be
responsible for the final selection of the providers of consulting services.
Section 2.7
Contracts Not Exceeding $10,000.
The Executive Director of the System shall be responsible for the final decision on
consulting contracts not expected to exceed ten thousand dollars ($10,000). The
Executive Director shall, however, notify the Department of Administration, the
Division of Purchases and the Division of Budget of the State of its selection. The
Executive Director shall use the criteria set forth in Section 2.4(b) in making such
determinations. Each determination shall be justified in writing.
ARTICLE III - REMEDIES
Section 3.1
Protest of Solicitation and Award.
(a)
Any actual or prospective contractor who is aggrieved in
connection with the solicitation or award of any contract under these Rules may file a
protest with the System. A protest must be filed in writing not later than two (2)
calendar weeks after such aggrieved person knows or should have known of the facts
giving rise thereto.
(b)
The System shall promptly issue a decision in writing regarding
such protest. A copy of that decision shall be furnished to the aggrieved party and shall
state the reasons for the action taken.
(c)
In the event a protest is filed in a timely manner under this
Section, the System shall not proceed further with the solicitation or award which is the
subject of the protest until it has issued a decision on the protest, or determined that
continuation of the procurement is necessary to protect a substantial interest of the
System.
Section 3.2
Debarment and Suspension.
(a)
After reasonable notice to the person involved and reasonable
opportunity for that person to be heard, the System may debar a person for cause from
consideration for award of contracts contemplated by these Rules. The debarment shall
not be for a period of more than three years. The System may suspend a person from
consideration for award of contracts if there is probably cause for debarment. The
suspension shall be for a period of not less than three months.
(b)
The causes for debarment or suspension include the following:
(1)
conviction of a criminal offense in connection with obtaining
or attempting to obtain a public or private contract or subcontract,
or in the performance of such contract or subcontract;
(2)
conviction under state or federal statutes of embezzlement,
theft, forgery, bribery, falsification or destruction of records,
stolen property, or any other offense indicating a lack of business
Page | 46
integrity or business honesty which currently, seriously, and
directly affects responsibility as a contractor with the System;
(3)
conviction under state or federal antitrust statutes arising out
of the submission of bids or proposals;
(4)
violation of contract provisions, as set forth below, of a
character which is regarded by the System to be so serious as to
justify debarment action, including,
(i)
deliberate failure without good cause to perform in
accordance with the specifications or within the time limit
provided in the contract; or
(ii)
a recent record of failure to perform or of
unsatisfactory performance in accordance with the terms of
one or more contracts; provided that failure to perform or
unsatisfactory performance caused by acts beyond the
control of the contractor shall not be considered to be a basis
for debarment;
(5)
any other cause the System determines to be so serious and
compelling as to affect responsibility as a contractor, including
debarment by a governmental entity.
(c)
The System shall issue a written decision to debar or suspend.
The decision shall state the reasons for the action taken; and inform the debarred or
suspended person of its rights to judicial review.
(d)
A copy of the decision under Subsection (c) of this Section shall
be furnished promptly to the debarred or suspended person.
Section 3.3
Resolution of Contract Disputes.
If any claim or controversy arising under contracts to which these Rules apply is not
resolved by mutual agreement, the System shall promptly issue a decision in writing
regarding the subject matter of such claim or controversy. A copy of that decision
shall be furnished to the contractor. If the System does not issue a written decision
within thirty 30) days after written request for a final decision, or within such longer
period as might be established by the parties to the contract in writing, then the
contractor may proceed as if an adverse decision had been received from the System.
ARTICLE IV - ADDITIONAL MATTERS
Section 4.1
Equal Employment Opportunity.
For all contracts for consultant services exceeding ten thousand dollars ($10,000),
contractors must comply with the requirements of federal executive order 11246, as
Page | 47
amended, and Section 28-5.1-10 of the General Laws. Failure to comply will be
considered a substantial breach of the contract subject to penalties prescribed in
regulations administered by the Department of Administration of the State.
Section 4.2
Conflict of Interest.
No member or employee of the System shall have any interest, financial or otherwise,
direct or indirect, or engage in any activity which is in substantial conflict with the
proper discharge of his or her duties as a member or employee of the System.
ARTICLE V - EFFECTIVE DATE
Section 5.1
Effective Date.
These Rules shall become effective upon adoption by the Board. Thereafter, the Board
shall file a copy of these Rules with the Secretary of State.
Section 5.2
Contracts in Effect on Effective Date.
These Rules shall not change in any way a contract commitment by the System or of a
contractor to the System which was in existence on the effective date of these Rules.
Page | 48
Employees’ Retirement System of the State of Rhode Island
And
Municipal Employees’ Retirement System
Of The State of Rhode Island
Regulation No. 4
Rules of Practice and Procedure for Hearings in Contested Cases
Revised: May 12, 2010
Effective: August 26, 2010
Page | 49
TABLE OF CONTENTS
SECTION 1
INTRODUCTION ................................................................................... 50
SECTION 2
DEFINITIONS ........................................................................................ 50
SECTION 3
REQUEST FOR HEARING AND APPEARANCE .............................. 50
SECTION 4
CONTESTED CASES – NOTICE OF HEARING ................................ 51
SECTION 5
CONTESTED CASES – HEARINGS IN GENERAL ........................... 51
SECTION 6
CONTESTED CASES - CONDUCT OF HEARINGS BEFORE
HEARING OFFICERS ........................................................................................................ 52
SECTION 7
CONTESTED CASES – RECORD OF PROCEEDINGS
BEFORE HEARING OFFICERS ........................................................................................ 53
SECTION 8
EX PARTE COMMUNICATIONS (COMMUNICATIONS BY
ONE PARTY)
................................................................................................................ 53
SECTION 9
RULES OF EVIDENCE IN CONTESTED CASES: ............................. 53
SECTION 10
FINAL DECISION AND MEMBER RIGHT OF APPEAL .................. 54
SECTION 11
REQUESTS FOR REHEARING ............................................................ 54
Page | 50
Section 1
Introduction
These Rules of Practice and Procedure are promulgated pursuant to R.I. General Laws
Section 36-8-3. The Rules shall be in effect during any hearing on a contested case
before the Retirement Board or its duly authorized representatives.
Section 2
Definitions
(1) The definitions set forth in R.I. General Laws Sections 36-8-1, 45-21-2, 45-21.2-2
and 16-16-1, and as further set forth in Regulations promulgated by the Retirement
Board, are specifically incorporated by reference herein.
(2) ”Contested case” means a matter for which a member requests a hearing because he
or she is aggrieved by an administrative action other than a Disability decision.
The term shall apply to hearings conducted before Hearing Officers, and thereafter
in proceedings before the full Retirement Board.
(3) “Party” means any member, beneficiary, Retirement System, or such other person
or organization deemed by the Hearing Officer to have standing.
(4) “Hearing Officer” means an individual appointed by the Retirement Board to hear
and decide a contested case.
Section 3
Request for Hearing and Appearance
(1) Any member aggrieved by an administrative action other than a Disability decision,
may request a hearing of such grievance. Upon such request, the matter will be
deemed a contested case. The procedure for Disability decisions and appeals
therefrom shall be governed by the procedures set forth in Regulation Number 9,
Rules Pertaining to the Application to Receive an Ordinary or Accidental Disability
Pension.
(2) Such request shall be in writing and shall be sent to the Retirement Board within
sixty (60) days of the date of a letter from the Executive Director or Assistant
Executive Director constituting a formal administrative denial.
(3) A request for hearing shall be signed by the member and shall contain the
following information:
i. Name of member;
ii. Date and nature of decision being contested;
iii. A clear statement of the objection to the decision which must include
the reasons the member feels he or she is entitled to relief; and
iv. A concise statement of the relief sought.
(4) Requests for hearing should be sent to the Retirement Board at 50 Service Avenue,
2nd Floor, Warwick, RI 02886-1021.
Page | 51
(5) Failure to strictly comply with the procedures outlined in this Section shall be
grounds to deny any request for a hearing.
Section 4
Contested Cases – Notice of Hearing
(1) Upon receipt of a request for hearing in matters other than Disability decisions and
appeals therefrom, the Retirement Board or its designee shall appoint a Hearing
Officer. The appointed Hearing Officer shall hear the matter, find facts and offer
conclusions of law to the Retirement Board. The decision of a Hearing Officer
shall be subject to approval by the full Retirement Board. The Retirement
System’s action shall not be deemed final until such time as the Hearing Officer’s
recommendation has been voted upon by the Retirement Board.
(2) Within forty-five (45) days after receipt by the Retirement Board of a request for
hearing, the Retirement Board shall give notice that the matter has been assigned to
a Hearing Officer for consideration.
(3) In any contested case, all parties shall be afforded an opportunity to be heard after
reasonable notice.
(4) The notice described in subsection (2), above, shall include:
i. A statement of the time, place, and nature of the hearing;
ii. A statement of the legal authority and jurisdiction under which the
hearing is to be held;
iii. A reference to the particular sections of the statutes and rules involved;
iv. The name, official title and mailing address of the Hearing Officer, if
any;
v. A statement of the issues involved and, to the extent known, of the
matters asserted by the parties; and
vi. A statement that a party who fails to attend or participate in the hearing
may be held to be in default and have his or her appeal dismissed.
(5) The notice may include any other matters the Hearing Officer or the Retirement
Board considers desirable to expedite the proceedings.
Section 5
Contested Cases – Hearings in General
(1) All parties shall be afforded an opportunity to respond and present evidence and
argument on all issues involved.
(2) Members must appear at hearings either personally, or by appearance of legal
counsel. Members may represent themselves or be represented by legal counsel at
their own expense. Consistent with RIGL §11-27-2 entitled, “Practice of law”, any
person accompanying the member who is not a lawyer (certified member of the bar
of the State of Rhode Island) cannot represent the member in the hearing.
Page | 52
(3) Continuances and postponements may be granted by the Hearing Officer or the
Retirement Board at their discretion.
(4) Disposition may be made of any contested case by stipulation, agreed settlement,
consent order or default.
(5) Should the Hearing Officer or Retirement Board determine that written memoranda
are required, the member will be notified by the Hearing Officer or the Retirement
Board of the need to file a written document which discusses the issues of the case.
Memoranda of law may always be offered in support of arguments offered by the
member or the representative of the retirement systems.
(6) The Executive Director may, when he or she deems appropriate, retain independent
legal counsel to prosecute any contested case.
(7) A recording of each hearing shall be made. Any party may request a transcript or
copy of the tape at their own expense.
Section 6
Contested Cases - Conduct of Hearings before Hearing Officers
(1) Hearings shall be conducted by the Hearing Officer who shall have authority to
examine witnesses, to rule on motions, and to rule upon the admissibility of
evidence.
(2) The Hearing shall be convened by the Hearing Officer. Appearances shall be noted
and any motions or preliminary matters shall be taken up. Each party shall have
the opportunity to present its case generally on an issue by issue basis, by calling
and examining witnesses and introducing written evidence.
(3) The Member shall first present his or her case followed by presentation of the
Retirement System’s case.
(4) The Hearing Officer shall have the authority to continue or recess any hearing and
to keep the record open for the submission of additional evidence.
(5) If for any reason a Hearing Officer cannot continue on a case, another Hearing
Officer will be appointed who will become familiar with the record and perform
any function remaining to be performed without the necessity of repeating any
previous proceedings in the case.
(6) Each party shall have the opportunity to examine witnesses and cross-examine
opposing witnesses on any matter relevant to the issues in the case.
(7) Any objections to testimony or evidence and the basis for the objection shall be
made at the time the testimony or evidence is offered.
(8) The Hearing Officer may question any party or any witness for the purpose of
clarifying their understanding or to clarify the record.
(9) The scope of hearing shall be limited to those matters specifically outlined in the
request for hearing.
Page | 53
(10)
Written evidence will be marked for identification. If the original is not readily
available, written evidence may be received in the form of copies or excerpts.
Upon request, parties shall be given an opportunity to compare the copy with the
original.
(11)
Findings of fact shall be based solely on the evidence and matters officially
noticed.
(12)
If a member fails to attend or participate in the hearing as requested, the
Hearing Officer may default such member and dismiss his or her appeal with
prejudice.
Section 7
Contested Cases – Record of Proceedings before Hearing Officers
The record in a contested case shall include:
(1) All pleadings, motions, intermediate rulings;
(2) Evidence received or considered;
(3) A statement of matters officially noticed;
(4) Questions and offers of proof and rulings thereon;
(5) Proposed findings and exceptions;
(6) Any decision, opinion, or report by the Hearing Officer at the hearing;
and
(7) All staff memoranda or data submitted to the Hearing Officer in
connection with their consideration of the case.
Section 8
Ex Parte Communications (Communications by one party)
There shall be no communications between the Hearing Officer and either a member,
the Retirement System or the Retirement Board, or any of their representatives
regarding any issue of fact or law in a case, without notice and opportunity for all
parties to participate. There shall be no written communications by any party that are
not transmitted at the same time to all parties.
Section 9
Rules of Evidence in Contested Cases:
Irrelevant, immaterial, or unduly repetitious evidence shall be excluded. The rules of
evidence as applied in civil cases in the superior courts of this state shall be followed.
Evidence not usually admitted under the rules of evidence for civil cases may be
admitted where it is shown that such evidence is necessary to ascertain facts not
capable of being proved otherwise. The Hearing Officer and the Retirement Board
shall give effect to the rules of privilege (such as attorney/client privilege) recognized
by law. Objections to evidence may be made and shall be noted in the record. Any
part of the evidence may be received in written form when a hearing needs to be
expedited and the interests of the parties will not be hurt substantially.
Page | 54
Section 10
Final Decision and Member Right of Appeal
(1) Within twenty-five (25) days after receipt of the Hearing Officer’s
recommendation, a copy thereof shall be served upon all parties to the proceeding
and each party shall be notified of the time and place when the matter shall be
considered by the Retirement Board. Each party to the proceeding shall be given
the right to make exceptions, to file briefs and to make oral arguments before the
Retirement Board. No additional evidence will be considered by the Retirement
Board once the Hearing Officer has issued a recommendation. A party wishing to
file a brief or make exceptions to the recommendation of the Hearing Officer shall
be required to submit the same to the Executive Director not later than ten (10)
days prior to the date when the Retirement Board is scheduled to hear and act upon
the recommendation of the Hearing Officer. The aggrieved party and his or her
representative shall have the right to appear before the Retirement Board and make
oral argument at the time of such hearing. No new testimony will be taken, or
evidence considered at this time. Consistent with RIGL §11-27-2 entitled,
“Practice of law” any person accompanying the member who is not a lawyer
(certified member of the bar of the State of Rhode Island), cannot represent the
member before the Retirement Board. After consideration of the decision of the
Hearing Officer and such other argument as shall be presented by any party to the
proceeding, the Retirement Board shall vote on the recommendation of the Hearing
Officer.
(2) In the event of a tie vote of a quorum present and voting on a contested matter, the
matter will automatically be placed on the agenda of the next Retirement Board
meeting.
In the event of a tie vote of a quorum present and voting on a contested matter
rescheduled from a prior meeting, the Retirement Board may vote to postpone and
re-consider the matter at a subsequent hearing, when a larger number of voting
members may be present. If no such vote to postpone and re-consider is taken, or if
a vote to postpone and re-consider the matter at a later date fails, the underlying
action appealed from will be deemed affirmed
Section 11
Requests for Rehearing
(1) A request for rehearing which is submitted prior to the issuance of the Hearing
Officer’s recommendation should be made in writing. The request must detail the
substance of any additional evidence to be offered, and the reason for the failure of
the party to offer it at the prior proceedings.
(2) A rehearing will be denied if the evidence does not bear on any issue in contest in
the original proceedings, will not likely affect the final recommendation, or if the
request appears to be merely for purposes of delaying a final decision. A second
request for rehearing after the granting or denial of a prior request for rehearing will
not be permitted.
Page | 55
Employees Retirement System of Rhode Island
And
Municipal Employees Retirement System
Regulation No. 5
Rules of Elections to Employees Retirement Board
Page | 56
TABLE OF CONTENTS
ARTICLE I - REGULAR ELECTIONS ................................................................................ 57
SECTION ONE. DATE OF ELECTION. .............................................................................. 57
SECTION TWO. NOTICE OF ELECTION. ........................................................................ 57
SECTION THREE. ELIGIBILITY TO VOTE AND CANDIDACY. .................................. 57
SECTION FOUR. NOMINATION PAPERS. ...................................................................... 57
SECTION FIVE. BALLOTS. ................................................................................................. 58
SECTION SIX. DISTRIBUTION AND CONTENTS OF BALLOTS. ............................... 58
SECTION SEVEN. TABULATION OF BALLOTS. ............................................................ 58
SECTION EIGHT. VOIDED BALLOTS. ............................................................................ 59
SECTION NINE. EXPLANATIONS, CHALLENGES, AND RECOUNTS. ...................... 59
SECTION TEN. RESULTS OF ELECTION AND CERTIFICATION. .............................. 59
SECTION ELEVEN. TIE VOTES. ....................................................................................... 59
SECTION TWELVE. DESTRUCTION OF BALLOTS. ..................................................... 60
ARTICLE II - SPECIAL ELECTIONS .................................................................................. 60
SECTION ONE. DATE OF ELECTION. .............................................................................. 60
SECTION TWO. NOTICE OF ELECTION. ........................................................................ 60
SECTION THREE. ELIGIBILITY TO VOTE AND CANDIDACY. .................................. 60
SECTION FOUR. NOMINATION PAPERS. ...................................................................... 60
SECTION FIVE. BALLOTS. ................................................................................................. 61
SECTION SIX. DISTRIBUTION AND CONTENTS OF BALLOTS. ............................... 61
SECTION SEVEN. TABULATION OF BALLOTS. ............................................................ 61
SECTION EIGHT. VOIDED BALLOTS. ............................................................................ 62
SECTION NINE. EXPLANATIONS, CHALLENGES, AND RECOUNTS. ...................... 62
SECTION TEN. RESULTS OF ELECTION AND CERTIFICATION. .............................. 62
SECTION ELEVEN. TIE VOTES. ....................................................................................... 62
SECTION TWELVE. DESTRUCTION OF BALLOTS. ..................................................... 62
Page | 57
ARTICLE I - Regular Elections
Section 1. Date of Election.
Regular elections will be held in the January preceding the expiration of the elected
members’ term of office.
Section 2. Notice of Election.
A notice of intent to hold elections to seat members of the state employees, teacher,
municipal employee and retiree groups shall be sent by regular mail to each member of
the system by September 15th of the year preceding the election. Additional notices
will be made available for posting in various state and municipal agencies, schools, and
related public offices. Each such mailing shall be made to the last known address of
the member, as provided by the member’s employer or the member’s data file at the
retirement system.
Section 3. Eligibility to Vote and Candidacy.
Each member, who is an active contributing member of the retirement system on the
date of the notice of election, or who has attained maximum service credit and no
longer contributes, or who is on a leave of absence status without pay for up to one
year, shall be eligible to vote for a candidate of his respective group or be a candidate.
An official of a state employee union, municipal employee union, or teacher employee
union may also be a candidate for election.
Each retired member who is receiving a retirement benefit as of the date of notice of
the election shall be eligible to vote for or be a candidate for the retirees’ representative
to the board.
Section 4. Nomination Papers.
Each member who wishes to be a candidate for the board from his/her respective group
must file his/her intent for such office and obtain nomination papers in person from the
retirement system.
Each candidate must secure at least 100 valid signatures on such nomination papers
and return them to the retirement office as of the date identified within the notice of
election. Such date must be between October 15th and October 30th of the year
preceding the election.
The Sub-Committee on Elections shall validate such signatures and certify to the
Retirement Board that the candidate has qualified for a place on the ballot.
Signatures of members appearing more than once on a set of nomination papers are
invalid as are signatures of non-members such as a candidate’s spouse, family member
or beneficiary.
Page | 58
In the event that only one retired or municipal candidate qualifies under this section,
he/she shall be deemed elected and no election shall be necessary for that group. If
only two active state employees or teachers qualify under this section, they shall be
deemed elected and no election shall be necessary.
Any candidate who does not qualify because of invalidated signatures will be accorded
a hearing by the Elections Sub-Committee prior to the printing of ballots.
Section 5. Ballots.
Upon certification of the qualifying candidates in each respective group, the Sub-
Committee on Elections or its agent shall have ballots and return envelopes printed in a
coded scheme, to differentiate between the respective voting groups.
Each ballot shall contain a printer’s trademark to prevent the reproduction of non-
official ballots, and shall contain a list of the candidates, identification of their
department, division, city, town, or school and instructions as to the method of
correctly marking the ballot.
The order of candidates’ names on the printed ballots within each respective group
shall be determined by a lottery held at the November board meeting prior to the
January election.
Section 6. Distribution and Contents of Ballots.
Ballots will be mailed to each eligible member to the address on record as of the date
of the election notice. Each mailing envelope will contain a ballot, instructions, and a
return envelope.
Duplicate ballots will be distributed only upon receipt of a written notarized affidavit
certifying that the member did not receive a ballot or wishes to exchange a mutilated or
erroneously marked ballot.
Section 7. Tabulation of Ballots.
On the day following the end of the election, the Sub-Committee on Elections or their
designated agent shall tabulate the results. Any interested person may attend the
tabulation of the ballots. The Sub-Committee on Elections shall cause the ballots to be
safeguarded in an appropriate place should the tabulation be suspended for any reason.
Page | 59
Section 8. Voided Ballots.
The following ballots shall be deemed void:
(a) Ballots received after deadline date;
(b) Ballots delivered in person to the retirement system;
(c) Ballots not in an official return envelope;
(d) Multiple ballots in single envelope;
(e) Ballots torn or mutilated in the ballot area;
(f) Ballots containing more than one selection when only one is
appropriate; or more than two selections when only two selections
are appropriate:
(g) Ballots crossed out or erased;
(h) Copies or facsimiles of ballots;
(i)Ballots with write-in candidates.
The Sub-Committee on Elections or their agent shall hold voided ballots to be
evaluated by the board in the event that they may change the outcome of the election.
Section 9. Explanations, Challenges, and Recounts.
Any candidate may request an explanation of voided ballots, challenge ballots, or seek
a recount of ballots by making such request to the Chairperson of the Retirement Board
in writing by certified mail within seventy-two (72) hours of legal notification of the
results of tabulation of ballots, excluding Saturday, Sundays, and holidays.
Section 10.
Results of Election and Certification.
Upon completion of the tabulation of ballots cast, the Sub-Committee on Elections or
its agent shall certify to the board the results and the names of the candidates elected.
The Board shall then certify and publish the results.
Section 11.
Tie Votes.
In the event of a tie vote in any election, the Sub-Committee on Elections or its agent
shall order an immediate recount of ballots and a review of all voided ballots in that
election. If a tie vote still results, the Sub-Committee on Elections or its agent shall
hold a run-off election between the tied candidates.
Page | 60
Section 12.
Destruction of Ballots.
The Retirement Board shall keep the ballots cast in each election in sealed cartons for
three months following the certification of election, and then destroy them.
ARTICLE II - Special Elections
Section 1. Date of Election.
A special election will be held within seventy (70) days of a Board vacancy.
Section 2. Notice of Election.
A notice of intent to hold an election to seat a vacancy on the Board shall be sent by
regular mail to each eligible member. Additional notices will be made available for
posting in various state and municipal agencies, schools, and related public offices
within ten (10) days of such vacancy. Each such mailing shall be made to the last
known address of the member, as provided by the member’s employer or the member’s
file at the retirement system.
Section 3. Eligibility to Vote and Candidacy.
Each member, who is an active contributing member of the retirement system on the
date of the notice of election, or who has attained maximum service credit and no
longer contributes, or who is on a leave of absence status without pay for up to one
year, shall be eligible to vote for a candidate of his/her respective group or be a
candidate for election. An official of a state employee union, municipal employee
union, or teacher employee union may also be a candidate for election.
Each retired member who is receiving a retirement benefit as of the date of notice of
the election shall be eligible to vote for or be a candidate for the retirees’ representative
to the Board.
Section 4. Nomination Papers.
Each member who wishes to be a candidate for the Board from his/her respective group
must file his/her intent for such office and obtain nomination papers in person from the
retirement system.
Each candidate must secure at least 100 valid signatures on such nomination papers
and return them to the retirement office as of the date identified within the notice of
election.
Page | 61
The Sub-Committee on Elections shall validate such signatures and certify to the
Retirement Board that the candidate has qualified for a place on the ballot.
Signatures of members appearing more than once on a set of nomination papers are
invalid as are signatures of non-members such as a candidate’s spouse, family member
or beneficiary.
In the event that only one retired or municipal candidate qualifies under this section,
he/she shall be deemed elected and no election shall be necessary.
Any candidate who does not qualify because of invalidated signatures
will be accorded a hearing by the Elections Sub-Committee prior to the printing of
ballots.
Section 5. Ballots.
Upon certification of the qualifying candidates in each respective group, the Sub-
Committee on Elections or its agent shall have ballots and return envelopes printed in a
coded scheme, to differentiate between the respective voting groups.
Each ballot shall contain a printer’s trademark to forestall reproduction of unofficial
ballots, and shall contain a list of the candidates, identification of their department,
division, city, town, or school and instructions as to the method of correctly marking
the ballot.
The order of candidates’ names on the printed ballots within each respective group
shall be determined by a lottery held at the next available Board meeting.
Section 6. Distribution and Contents of Ballots.
Ballots will be mailed to each eligible member to the address on record as of the date
of the election notice. Each mailing envelope will contain a ballot, instructions, and a
return envelope.
Duplicate ballots will be distributed only upon receipt of a written notarized affidavit
certifying that the member did not receive a ballot or wishes to exchange a mutilated or
erroneously marked ballot.
Section 7. Tabulation of Ballots.
On the day following the end of the election, the Sub-Committee on Elections or their
designated agent shall tabulate the results. Any interested person may attend the
tabulation of the ballots. The Sub-Committee on Elections shall cause the ballots to be
safeguarded should the tabulation be suspended for any reason.
Page | 62
Section 8. Voided Ballots.
The following ballots shall be deemed void:
(a) Ballots received after deadline date;
(b) Ballots delivered in person to the retirement system;
(c) Ballots not in an official return envelope;
(d) Multiple ballots in a single envelope;
(e) Ballots torn or mutilated in the ballot area;
(f) Ballots containing more than one selection when only one is
appropriate; or more than two selections when only two elections
are appropriate.
(g) Ballots crossed out or erased;
(h) Copies or facsimiles of ballots;
(i)Ballots with write-in candidates.
The Sub-Committee on Elections or their agent shall hold voided ballots to be
evaluated by the board in the event that they may change the outcome of the election.
Section 9. Explanations, Challenges, and Recounts.
Any candidate may request an explanation of voided ballots, challenge ballots, or seek
a recount of ballots by making such request to the
Chairperson of the Retirement Board in writing by certified mail within seventy-two
(72) hours of legal notification of the results of tabulation of ballots, excluding
Saturday, Sundays, and holidays.
Section 10.
Results of Election and Certification.
Upon completion of the tabulation of ballots cast, the Sub-Committee on Elections or
its agent shall certify to the board the results and the name of the candidates elected.
The Board shall then certify and publish the results.
Section 11.
Tie Votes.
In the event of a tie vote in any election, the Sub-Committee on Elections or its agent
shall order an immediate recount of ballots and a review of all voided ballots in that
election. If a tie vote still results, the Sub-Committee on Elections or its agent shall
hold a run-off election between the tied candidates.
Section 12.
Destruction of Ballots.
The Retirement Board shall keep the ballots cast in each election in sealed cartons for
three months following the certification of election, and then destroy them.
Page | 63
Employees’ Retirement System of the State of Rhode Island
and
Municipal Employees’ Retirement System of the State of Rhode Island
Regulation No. 6
Service Credit Purchase Regulations
Revised:
Effective: September 6, 2013
Page | 64
TABLE OF CONTENTS
REGULATION 6.1 – RIGL §16-16-6 CONCERNING THE PURCHASE OF CREDIT
FOR SERVICE IN PRIVATE SCHOOLS OR AS FEDERAL EMPLOYEE. ................................ 66
REGULATION 6.2 – RIGL §36-9-31.1 AND §16-16-7.2 CONCERNING THE
PURCHASE OF PEACE CORPS, TEACHER CORPS AND VISTA (VOLUNTEERS IN
SERVICE TO AMERICA) BY STATE EMPLOYEES AND TEACHERS. ................................... 68
REGULATION 6.3 – RIGL §16-17.1-2 CONCERNING THE PURCHASE OF TIME IN
ANOTHER RETIREMENT PROGRAM. ........................................................................................ 70
REGULATION 6.4 - RIGL §36-9-20 AND §45-21-56 CONCERNING THE PURCHASE
OF NON-PARTICIPATING MUNICIPAL SERVICE CREDIT..................................................... 72
REGULATION 6.5 - REGULATIONS REGARDING RHODE ISLAND GENERAL
LAWS (RIGL) §45-21.2-16, §45-21.2-18, §45-21.2-19 CONCERNING THE PURCHASE
OF CALL SYSTEM SERVICE CREDIT. ........................................................................................ 74
REGULATION 6.6 - REGULATIONS REGARDING RHODE ISLAND GENERAL
LAWS (RIGL) §16-16-6.4 CONCERNING THE PURCHASE OF CERTIFIED NURSE
TEACHER CREDIT. ........................................................................................................................ 76
REGULATION 6.7 - REGULATIONS REGARDING RHODE ISLAND GENERAL LAW
(RIGL) §16-16-6.2 CONCERNING THE PURCHASE OF SERVICE CREDIT FOR
APPROPRIATE WORK EXPERIENCE.......................................................................................... 78
REGULATION 6.8 - REGULATIONS REGARDING RHODE ISLAND GENERAL
LAWS (RIGL) §36-10-8 AND §45-21-29, CONCERNING THE RESTORATION OF
CREDITS. ......................................................................................................................................... 80
REGULATION 6.9 - REGULATIONS REGARDING RHODE ISLAND GENERAL LAW
(RIGL) §16-16-5 CONCERNING THE PURCHASE OF PART-TIME TEACHING. ................... 82
REGULATION 6.10 - REGULATIONS REGARDING RHODE ISLAND GENERAL
LAW (RIGL) §16-16-6.1 CONCERNING THE PURCHASE OF OUT OF STATE
TEACHING. ..................................................................................................................................... 84
Page | 65
REGULATION 6.11 - REGULATIONS REGARDING RHODE ISLAND GENERAL
LAW (RIGL) §16-16-5(C) CONCERNING THE PURCHASE BY A TEACHER OF
SUBSTITUTE TEACHING TIME. .................................................................................................. 86
REGULATION 6.12 - REGULATIONS REGARDING RHODE ISLAND GENERAL
LAWS (RIGL) §36-9-26 AND §45-21-58 CONCERNING THE PURCHASE OF
OFFICIAL LAYOFF. ....................................................................................................................... 89
REGULATION 6.13 – RHODE ISLAND GENERAL LAWS (RIGL) §36-9-20, §16-16-8,
AND §45-21-12.1 – REGULATIONS REGARDING THE PURCHASE OF PRIOR TIME. ........ 91
REGULATION 6.14 - REGULATIONS REGARDING RHODE ISLAND GENERAL
LAWS (RIGL) §36-9-31, §16-16-7.1, AND §45-21-53 CONCERNING THE PURCHASE
OF ARMED SERVICE CREDIT. .................................................................................................... 93
REGULATION 6.15 - RULES REGARDING RHODE ISLAND GENERAL LAWS
(RIGL) §36-9-25.1, §36-9-20.5, §16-16-5 AND §45-21-14.2 CONCERNING THE
PURCHASE OF LEAVE SERVICE CREDITS INCLUDING THE PURCHASE OF
SERVICE CREDIT WHILE ON INACTIVE STATUS – WORKERS’ COMPENSATION. ........ 96
Page | 66
REGULATION 6.1 – RIGL §16-16-6 CONCERNING THE
PURCHASE OF CREDIT FOR SERVICE IN PRIVATE SCHOOLS
OR AS FEDERAL EMPLOYEE.
SECTION (1)
INTRODUCTION
This Administrative Regulation pertaining to the purchase of credit for service in
private schools or as federal employee is promulgated pursuant to RIGL §36-8-3.
The Regulation shall be applicable to all requests by teachers to purchase credits for
private teaching or teaching as a federal employee.
SECTION (2)
DEFINITIONS
(a)
Any non-profit private school or institution shall mean a school or
institution similar to a public school in Rhode Island.
(b)
Public school in Rhode Island shall mean those schools teaching
elementary and secondary education, i.e. Kindergarten through grade
twelve (12).
SECTION (3)
STATUTORY REQUIREMENTS
In order to purchase private teaching or teaching as a federal employee credit the
following provisions shall apply as required by RIGL:
(c)
The member must be a “teacher” as defined by RIGL §16-16-1(12), i.e.
holds a certificate of qualification , engaged in teaching as the principal
occupation and be regularly employed as a teacher in the public schools in
Rhode Island;
(d)
The teacher must be an “active” member pursuant to RIGL §16-16-1(1),
i.e. a teacher for whom the retirement system is currently receiving regular
contributions;
(e)
The teacher must be employed by a city or town in the State of Rhode
Island as a teacher;
(f)
The time sought to be purchased must be for service as a teacher or in a
capacity essentially similar or equivalent to that of a teacher as defined in
RIGL §16-16-1(12);
(g)
Service must have been rendered in any non-profit private school or
institution or in public schools paid by funds of the United States
government;
(h)
The amount of private teaching credit purchase is limited to a maximum of
five (5) years;
(i)
The purchase amount is at full actuarial cost based on the salary of the
member in effect at the date of application for the credit; Consistent with
RIGL §36-8-1(10), requests for the purchase of service credit for service
in private schools or as federal employee received and date stamped after
Page | 67
June 16, 2009 and prior to July 1, 2012 shall be at full actuarial value, and
requests to purchase received and date stamped after June 30, 2012 shall
be at full actuarial value which shall be determined using the system’s
assumed investment rate of return minus one percent (1%);
(j)
Consistent with RIGL 16-16-12(d)(6), requests for the purchase of service
credit for time before the member’s date of hire must be received and date
stamped within 3 years of the initial date of hire. For active members as
of June 30, 2012, the purchase of service credit request for time prior to
June 30, 2012 must be received and date stamped by June 30, 2015.
SECTION (4)
ADDITIONAL REQUIREMENTS AND RESTRICTIONS
REGARDING THE PURCHASE CREDIT FOR SERVICE IN
PRIVATE SCHOOLS OR AS FEDERAL EMPLOYEE
(k)
This Regulation does not apply to the purchase of service credit for out of
state teaching. Refer to Regulation 6.10 governing the purchase of out of
state teaching for the requirements.
(l)
Time worked in an institution devoted toward community service and
vocational education for adults shall not be purchasable;
(m)
Members electing to pay by installment shall pay consistent with
Regulation 11;
(n)
The purchase by a member who is currently in a part-time position will be
calculated using the member’s full annualized salary. A current part-time
salary shall not be used if the time prior to the application indicates the
member was regularly employed as a full time teacher; if the member was
regularly employed as a part-time teacher, the part-time salary will be
used;
(o)
The Private Teaching Credit Request form must be completed by the
member, current school official, and former employer and former
retirement system or pension plan and must be submitted to ERSRI;
(p)
It shall be the responsibility of the member to see that all parties complete
the required form and the form must be submitted to ERSRI in a timely
manner. Incomplete or inaccurate forms will be returned to the member
and will result in a delay in processing the purchase and additional interest
being added to the cost of the purchase.
Page | 68
REGULATION
6.2
–
RIGL
§36-9-31.1
AND
§16-16-7.2
CONCERNING THE PURCHASE OF PEACE CORPS, TEACHER
CORPS
AND
VISTA
(VOLUNTEERS
IN
SERVICE
TO
AMERICA) BY STATE EMPLOYEES AND TEACHERS.
SECTION (1)
INTRODUCTION
This Administrative Regulation pertaining to the purchase of credit for Peace Corps,
Teacher Corps and VISTA is promulgated pursuant to RIGL §36-8-3. The Rule shall
be applicable to all requests to purchase credit for Peace Corps, Teacher Corps and
VISTA.
SECTION (2)
STATUTORY REQUIREMENTS
In order to purchase Peace Corps, Teacher Corps or VISTA, the following provisions
shall apply as required by RIGL:
(a)
The employee must be an active member pursuant to RIGL §36-8-1(2) or
§16-16-1(1), i.e. an employee for whom the retirement system is currently
receiving regular contributions;
(b)
Members on official leave of absence for illness or injury are also eligible
to purchase the time;
(c)
The amount of Peace Corps, Teacher Corps and VISTA credits purchased
is limited to four years in the aggregate, i.e. no more than four (4) years
total for combined time in the Corps and/or VISTA;
(d)
Requests to purchase Peace Corps, Teacher Corps and/or VISTA credits
which are received and date stamped on or before June 16, 2009 will be
calculated at 10% of the first year’s wages plus interest assessed from the
date of enrollment into the system to the date of the request to purchase.
No interest will be assessed if the purchase is made within the first five (5)
years of membership or if purchased by a member who was an active
member of the system prior to July 1, 1980. Consistent with RIGL §36-8-
1(10), purchase requests received and date stamped after June 16, 2009
and prior to July 1, 2012 shall be at full actuarial value, and requests
received and date stamped after June 30, 2012 shall be at full actuarial
value which shall be determined using the system’s assumed investment
rate of return minus one percent (1%);
(e)
Consistent with RIGL §36-10-9 (1)(c)(iv) and 16-16-12(d)(6), requests for
the purchase of service credit for time before the member’s date of hire
must be received and date stamped within 3 years of the initial date of
hire. For active members as of June 30, 2012, the purchase of service
credit for time prior to June 30, 2012 must be received and date stamped
by June 30, 2015.
Page | 69
SECTION (3)
ADDITIONAL REQUIREMENTS AND RESTRICTIONS
REGARDING THE PURCHASE OF PEACE CORPS, TEACHER
CORPS, VISTA
(a)
Members shall request the purchase by completing in full, signing and
submitting the appropriate Peace Corps, Teacher Corps, and/or VISTA
form along with a letter on the employer’s/agency’s official letterhead to
ERSRI stating the time the member served;
(b)
It shall be the responsibility of the member to submit the required form
and letter to ERSRI in a timely manner. Incomplete forms will be
returned to the member and will result in a delay in processing the
purchase and additional interest being added to the cost of the purchase;
(c)
Members electing to pay by installment shall pay consistent with
Regulation 11.
Page | 70
REGULATION 6.3 – RIGL §16-17.1-2 CONCERNING THE
PURCHASE OF TIME IN ANOTHER RETIREMENT PROGRAM.
SECTION (1)
INTRODUCTION
This Administrative Regulation pertaining to the purchase of credit for time in
another retirement program is promulgated pursuant to RIGL §36-8-3. The Rule
shall apply to all requests to purchase credit for time in another retirement program as
defined by RIGL §16-17.1-1(4).
SECTION (2)
DEFINITIONS
(a)
Pursuant to RIGL §16-17.1-1(4), “Retirement program” and “program”
means any retirement program adopted by the board of regents for higher
education or its successor for any of its employees as defined in this
section.
(b)
Pursuant to RIGL §16-17.1-1(3), “Employees” means presidents,
professors, instructors, or other employees of the board who are eligible to
participate in any retirement program by virtue of the terms of the program
and who are exempt from the merit system; If an employee of the board
who participates in the program shall change classifications, he or she
shall have the option to remain with the program.
(c)
Pursuant to RIGL §16-17.1-1(2), “Board” means the board of regents for
higher education or its successor.
(d)
As defined in RIGL 36-8-1(14), “Regular interest” means interest at the
assumed investment rate of return, compounded annually, as may be
prescribed from time to time by the board.
SECTION (3)
STATUTORY REQUIREMENTS
In order to purchase time in another retirement program the following provisions shall
apply as required by RIGL:
(a)
The employee must be an “active member” pursuant to RIGL §36-8-1(2)
§16-16-1(1), or §45-21-2(2) i.e. a state employee, teacher, or municipal
employee for whom the retirement system is currently receiving regular
contributions;
(b)
The employee must have participated in the program as defined in Section
(2) above;
(c)
Employees of the board who were members of the program, and who
subsequently enter the employees’ retirement system by virtue of
employment, shall be allowed to purchase credit for any prior service with
the board under the program;
(d)
Consistent with RIGL §36-8-1(10) purchase requests received and date
stamped after June 16, 2009 and prior to July 1, 2012 shall be at full
actuarial value, and requests received and date stamped after June 30,
Page | 71
2012 shall be at full actuarial value which shall be determined using the
systems assumed investment rate of return minus one percent (1%);
(e)
The payment shall be made in a lump sum within the employee’s first year
of membership in the retirement system.
SECTION (4)
ADDITIONAL REQUIREMENTS AND RESTRICTIONS
REGARDING THE PURCHASE OF TIME IN ANOTHER
RETIREMENT PROGRAM
(a)
The request to purchase time in another program must be made in writing
to ERSRI;
(b)
The purchase of time in another program is limited to five (5) years.
Page | 72
REGULATION 6.4 - RIGL §36-9-20 AND §45-21-56 CONCERNING
THE
PURCHASE
OF
NON-PARTICIPATING
MUNICIPAL
SERVICE CREDIT.
SECTION (1)
INTRODUCTION
This Administrative Regulation pertaining to the purchase of credit for non-
participating municipal service is promulgated pursuant to RIGL §36-8-3. The Rule
shall be applicable to all requests to purchase non-participating municipal service
credit.
SECTION (2)
STATUTORY REQUIREMENTS
In order to purchase non-participating municipal service credit, the following
provisions shall apply as required by RIGL:
(a)
This purchase is available to current state employees, teachers or
municipal employees as defined by RIGL §36-8-1(9), §16-16-1(12), or
§45-21-2(7) who were previously employed by a municipality that did not
elect to accept the provisions of Chapter 21 of Title 45;
(b)
The employee must be an “active” member of ERSRI or MERS pursuant
to RIGL §36-8-1(2), §16-16-1(1), or §45-21-2(2), i.e. an employee for
whom the Retirement System, as defined in Title 36 chapters 8-10 and
Title 45 chapter 21-21.2, is currently receiving regular contributions;
(c)
The employee while working for the non-participating municipality must
have met the definitional requirements of RIGL §45-21-2(7) while
working for the non-participating municipality, i.e. the employee must
have been regularly and permanently employed devoting a minimum of
twenty (20) hours per week every week on an annual basis throughout the
year to the service of the municipality. Those working an average of 20
hours per week and/or participating in casual and seasonal employment
are considered not to have met the definition of §45-21-2(5) and will be
ineligible to purchase service credits;
(d)
The amount of non-participating municipal service credit purchase is
limited to a maximum of four (4) years for state employees and teachers
and five (5) years for municipal employees;
(e)
Purchase amounts shall be calculated at full actuarial cost as defined in
§36-8-1(10) and 45-21-2(10). Purchase requests received and date
stamped after June 16, 2009 and prior to July 1, 2012 shall be at full
actuarial value, and requests received and date stamped after June 30,
2012 shall be at full actuarial value which shall be determined using the
system’s assumed investment rate of return minus one percent (1%);
Page | 73
(f)
Consistent with RIGL §36-10-9 (1)(c)(iv), 16-16-12(d)(6), and 45-21-16
(2)(v)(I) and (II) requests for the purchase of service credit for time before
the member’s date of hire must be received and date stamped within 3
years of the initial date of hire. For active members as of June 30, 2012,
the purchase of service credit for time prior to June 30, 2012 must be
received and date stamped by June 30, 2015. The purchase of non-
participating municipal service can include more than one municipality.
SECTION (3)
ADDITIONAL REQUIREMENTS AND RESTRICTIONS
REGARDING THE PURCHASE OF NON-PARTICIPATING
MUNICIPAL SERVICE CREDIT
(a)
Pursuant to RIGLs §36-9-47, §16-16-8.1 and §45-21-64 members electing
to pay by installment will have additional interest added to the cost of the
purchase;
(b)
A member is prohibited from purchasing non-participating municipal
service credit which is being credited towards retirement benefits in
another system where there is an employer contribution or match. The
other system may consist of either a defined benefit and/or a defined
contribution (e.g. 457, 403(b) etc.);
(c)
Employment which was rendered on a substitute, temporary, casual or
seasonal basis is not purchasable;
(d)
The Non-Participating Municipality Credit Request form must be
completed by the member, current employer, and former employer and
former retirement system or pension plan and must be submitted to
ERSRI;
(e)
It shall be the responsibility of the member to see that all parties complete
the required form and the form must be submitted to ERSRI in a timely
manner. Incomplete or inaccurate forms will be returned to the member
and will result in a delay in processing the purchase and additional interest
being added to the cost of the purchase.
Page | 74
REGULATION 6.5 - REGULATIONS REGARDING RHODE
ISLAND GENERAL LAWS (RIGL) §45-21.2-16, §45-21.2-18, §45-
21.2-19 CONCERNING THE PURCHASE OF CALL SYSTEM
SERVICE CREDIT.
SECTION (1)
INTRODUCTION
This Administrative Regulation pertaining to the purchase of credit for Call System
service is promulgated pursuant to RIGL §36-8-3. The Regulation shall apply to all
requests to purchase Call System service credit.
SECTION (2)
DEFINITIONS
(a)
For the purposes of this rule, “any person” shall mean a municipal
employee including police and firefighter who is an “active member” of
the retirement system as defined by RIGL § §45-21-2(2) or §45-21.2-2,
i.e. an employee for whom the retirement system is currently receiving
regular contributions.
(b)
For the purposes of this Regulation, “three (3) years served” shall mean
thirty-six (36) consecutive months which do not contain any other time in
which contributions were being made.
SECTION (3)
STATUTORY REQUIREMENTS
In order to purchase Call System service credit the following provisions shall apply as
required by RIGL:
(a)
The person must have been a member of the Call System of North
Providence fire department as of January 1, 1960 and thereafter, a member
of the Call System of North Kingstown fire department as of January 1,
1950 and thereafter or a volunteer member and/or member of the Call
System of the East Greenwich fire district as of January 1, 1943 and
thereafter;
(b)
The person shall be credited with one year of service credit for every three
years served;
(c)
In order to receive service credit, the person must pay into the system an
amount based on compensation received by that person in the last year of
each three year period at the time of the purchase. Minimum
compensation on which the purchase is calculated shall be three-hundred
dollars ($300.00) annually;
(d)
Purchase costs shall include regular interest as defined in RIGL §36-8-
1(14) which states that regular interest shall mean interest at the assumed
investment rate of return, compounded annually, as may be prescribed
from time to time by the retirement board. Purchase requests received and
date stamped on or after July 1, 2012 shall be at full actuarial value which
Page | 75
shall be determined using the system’s assumed investment rate of return
minus one percent (1%);
(e)
Consistent with 45-21-16 (2)(v)(I) and (II) requests for the purchase of
service credit for time before the member’s date of hire must be received
and date stamped within 3 years of the initial date of hire. For active
members as of June 30, 2012, the purchase of service credit for time prior
to June 30, 2012 must be received and date stamped by June 30, 2015.
SECTION (4)
ADDITIONAL REQUIREMENTS AND RESTRICTIONS
REGARDING THE PURCHASE OF CALL SYSTEM SERVICE
CREDIT
(a)
Members electing to pay by installment shall pay consistent with
Regulation 11;
(b)
The purchase of Call System service credit is limited to a total of five (5)
years;
(c)
The Call Firefighter Credit Request form must be completed and
submitted to ERSRI by the Employer;
(d)
It shall be the responsibility of the member to see that the Employer
complete and submit the required form to ERSRI in a timely manner.
Incomplete or inaccurate forms will be returned to the member and will
result in a delay in processing the purchase and additional interest being
added to the cost of the purchase.
Page | 76
REGULATION 6.6 - REGULATIONS REGARDING RHODE
ISLAND GENERAL LAWS (RIGL) §16-16-6.4 CONCERNING
THE PURCHASE OF CERTIFIED NURSE TEACHER CREDIT.
SECTION (1)
INTRODUCTION
This Administrative Regulation pertaining to the purchase of credit for certified nurse
teacher service is promulgated pursuant to RIGL §36-8-3. The Regulation shall be
applicable to all requests to purchase certified nurse teacher credit.
SECTION (2)
STATUTORY REQUIREMENTS
In order to purchase certified nurse teacher credit the following provisions shall apply
as required by RIGL:
(a)
The employee must be an “active” member of ERSRI pursuant to RIGL
§36-8-1(2), or §16-16-1(1), i.e. a state employee or teacher for whom the
retirement system is currently receiving regular contributions;
(b)
The member must have worked as a Registered Nurse (R.N.);
(c)
The employee must be a certified nurse teacher employed by the State or
the public schools of the cities and towns in Rhode Island;
(d)
The amount of certified nurse teacher credit is limited to a maximum of
four (4) years;
(e)
Consistent with RIGL §36-8-1(10), purchase requests received and date
stamped after June 16, 2009 and prior to July 1, 2012 shall be at full
actuarial value, and requests received and date stamped after June 30,
2012 shall be at full actuarial value which shall be determined using the
system’s assumed investment rate of return minus one percent (1%).
(f)
Consistent with RIGL §36-10-9 (1)(c)(iv) and 16-16-12(d)(6), requests for
the purchase of service credit for time before the member’s date of hire
must be received and date stamped within 3 years of the initial date of
hire. For active members as of June 30, 2012, the purchase of service
credit for time prior to June 30, 2012 must be received and date stamped
by June 30, 2015.
(g)
Credit for time served as a certified nurse teacher may be purchased and
used toward the pension for the ordinary disability retirement only if the
certified nurse teacher has at least ten (10) years of creditable service
before the purchase;
(h)
A member is prohibited from purchasing nurse teacher credit which is
being credited towards retirement benefits in another system;
(i)
Appropriate work experience includes, but is not limited to, work as a
Registered Nurse in a hospital setting.
Page | 77
SECTION (3)
ADDITIONAL REQUIREMENTS AND RESTRICTIONS
REGARDING
THE
PURCHASE
OF
CERTIFIED
NURSE
TEACHER SERVICE CREDIT
(a)
When calculating the purchase cost, the cost will be based on the salary of
the member in effect at the date of application for credit;
(b)
The purchase by a member who is currently in a part-time position will be
calculated using the member’s full annualized salary. A current part-time
salary shall not be used if the time prior to the application indicates the
member was regularly employed as a full time teacher; if the member was
regularly employed as a part-time teacher, the part-time salary will be
used;
(c)
Members electing to pay by installment shall pay consistent with
Regulation 11;
(d)
Members shall request the purchase by completing in full and signing the
Nurse Teaching Credit Request form and providing ERSRI with a copy of
their Department of Education Nurse Teacher Certificate;
(e)
The form must also be completed by the member’s current employer and
former employer of registered nursing employment and be submitted to
ERSRI;
(f)
It shall be the responsibility of the member to complete the required form,
see that the employers complete their sections of the form and to submit
the completed form and Department of Education Nurse Teacher
certificate to ERSRI in a timely manner. Incomplete or inaccurate forms
will be returned to the member and will result in a delay in processing the
purchase and additional interest being added to the cost of the purchase.
Page | 78
REGULATION 6.7 - REGULATIONS REGARDING RHODE
ISLAND GENERAL LAW (RIGL) §16-16-6.2 CONCERNING THE
PURCHASE OF SERVICE CREDIT FOR APPROPRIATE WORK
EXPERIENCE.
SECTION (1)
INTRODUCTION
This Administrative Regulation pertaining to the purchase of credit for appropriate
work experience is promulgated pursuant to RIGL §36-8-3. The Regulation shall be
applicable to all requests by public school vocational education teachers to purchase
service credit for appropriate work experience.
SECTION (2)
STATUTORY REQUIREMENTS
In order to purchase service credit for appropriate work experience, the following
provisions shall apply as required by RIGL:
(a)
The employee must be an “active” member pursuant to RIGL §36-8-1(2)
or §16-16-1(1), i.e. a state employee or teacher for whom the retirement
system is currently receiving regular contributions;
(b)
The vocational education teacher must currently be employed as a
vocational education teacher by the State of Rhode Island or a city or town
in the State of Rhode Island;
(c)
The amount of vocational education purchase is limited to a maximum of
five (5) years;
(d)
Credit for appropriate work experience may be purchased and used toward
the pension for the ordinary disability retirement only if the vocational
education teacher has at least ten (10) years of creditable service before
the purchase;
(e)
The purchase amount is based on the salary of the member in effect at the
date of application for the credit. Consistent with RIGL §36-8-1(10),
purchase requests received and date stamped after June 16, 2009 and prior
to July 1, 2012 shall be at full actuarial value, and requests received and
date stamped after June 30, 2012 shall be at full actuarial value which
shall be determined using the system’s assumed investment rate of return
minus one percent (1%);
(f)
Consistent with RIGL §36-10-9 (1)(c)(iv)and 16-16-12(d)(6) requests for
the purchase of service credit for time before the member’s date of hire
must be received and date stamped within 3 years of the initial date of
hire. For active members as of June 30, 2012, the purchase of service
credit for time prior to June 30, 2012 must be received and date stamped
by June 30, 2015.
Page | 79
SECTION (3)
ADDITIONAL REQUIREMENTS AND RESTRICTIONS
REGARDING
THE
PURCHASE
SERVICE
CREDIT
FOR
APPROPRIATE WORK EXPERIENCE.
(a)
The vocational education teacher must currently be teaching the subject
for which he or she is certified on his or her vocational education
certificate;
(b)
The purchase by a member who is currently in a part-time position will be
calculated using the member’s full annualized salary. A current part-time
salary shall not be used if the time prior to the application indicates the
member was regularly employed as a full time teacher;
(c)
Members electing to pay by installment shall pay consistent with
Regulation 11.The Vocational Education Credit Request form must be
completed by the member and the current employer and must be submitted
to ERSRI. In addition to the form, the vocational education certificate for
the vocational education teachers current position and a letter on the past
employer’s official letterhead verifying the dates the member served shall
be submitted to ERSRI;
(d)
It shall be the responsibility of the member to see that all parties complete
the required form, and the form and all documentation must be submitted
to ERSRI in a timely manner. Incomplete or inaccurate forms and
insufficient documentation will be returned to the member as well as
failure to provide all requested documentation will result in a delay in
processing the purchase and additional interest being added to the cost of
the purchase.
Page | 80
REGULATION 6.8 - REGULATIONS REGARDING RHODE
ISLAND GENERAL LAWS (RIGL) §36-10-8 AND §45-21-29,
CONCERNING THE RESTORATION OF CREDITS.
SECTION (1)
INTRODUCTION
This Administrative Regulation pertaining to the purchase of a refund of
contributions is promulgated pursuant to RIGL §36-8-3. The Regulation shall be
applicable to all requests to purchase a refund of contributions.
SECTION (2)
STATUTORY REQUIREMENTS
In order to purchase a refund of contributions the following provisions shall apply as
required by RIGL:
(a)
Member shall refer to “member” as defined in §36-8-1(12): any person
included in the membership of the retirement system as provided in §§36-
9-1 – 36-9-7;
(b)
The member must subsequently reenter service and again become a
member of the system for at least one (1) year of continuous service and
must make contributions for that one (1) year of continuous service.
Consistent with RIGL §36-10-9(1)(c)(iv), 16-16-12(d)(6), and 45-21-16
(2)(v)(I) and (II) requests for the restoration of service credit must be
received and date stamped within 3 years of the initial date of re-hire. For
active members as of June 30, 1012, the restoration of service credit for
time prior to June 30, 2012 must be received and date stamped by June
30, 2015;
(c)
The entire amount of years of service previously withdrawn must be
purchased in its entirety;
(d)
Regular interest as defined in RIGL 36-8-1(14) and RIGL §45-21-2(16),
which states that regular interest shall mean interest at the assumed
investment rate of return, compounded annually, as may be prescribed
from time to time by the retirement board, which accrued from the date of
refund to the date of purchase request will be calculated and added to the
purchase cost;
(e)
Upon the repayment of such a refund including accrued interest the
member shall again receive credit for the amount of total service.
Page | 81
SECTION (3)
ADDITIONAL REQUIREMENTS AND RESTRICTIONS
REGARDING THE PURCHASE OF THE RESTORATION OF
CREDITS
(a)
There is no restriction as to the number of years to be purchased as a
refund payback;
(b)
The purchase of a refund payback does not count toward the five (5) year
limit on purchases;
(c)
If purchasing a restoration of service credit and any of the service credits
are other than contributory service, those service credits will be subject to
the five (5) year maximum purchase limit;
(d)
Members may request the purchase by completing the Payback Request
form or may call, write, or email the request to the retirement system;
(e)
Members with more than one (1) refund may purchase each refund
separately, provided however that the refund must be made consistent with
Section 2(b) above;
(f)
A refund payback resulting in a member being credited with years of
service which exceed the maximum benefit shall not be required to
purchase years of service in excess of the maximum benefit.
(g)
Members electing to pay by installment shall pay consistent with
Regulation 11.
.
Page | 82
REGULATION 6.9 - REGULATIONS REGARDING RHODE
ISLAND GENERAL LAW (RIGL) §16-16-5 CONCERNING THE
PURCHASE OF PART-TIME TEACHING.
SECTION (1)
INTRODUCTION
This Administrative Regulation pertaining to the purchase by a teacher of credit for
part-time teaching is promulgated pursuant to RIGL §36-8-3. The Regulation shall
apply to all requests by a teacher to purchase credit for part-time teaching.
SECTION (2)
STATUTORY REQUIREMENTS
In order to purchase part-time teaching the following provisions shall apply as
required by RIGL:
(a)
The member must be a “teacher” within the meaning of RIGL §16-16-
1(12), i.e. hold a certificate of qualification, engaged in teaching as the
principal occupation and be regularly employed as a teacher in the public
school system;
(b)
The teacher must be an “active member” RIGL §16-16-1(1), i.e. a teacher
for whom the retirement system is currently receiving regular
contributions;
(c)
A teacher employed in a half-time program including a job-share shall
receive credit for that part-time service only. For example, a teacher
identified as a 0.60 teacher will only receive 0.60 X 180 (the required
number of school days every city or town shall establish and maintain
pursuant to RIGL §16-2-2) =108 days. No additional service credit will
be awarded or be eligible for purchase for the remaining portion of the
school year for which the member did not receive service credit.
SECTION (3)
ADDITIONAL REQUIREMENTS AND RESTRICTIONS
REGARDING THE PURCHASE OF PART-TIME TEACHING
(a)
In order to purchase part-time teaching, a teacher must have worked a
minimum of two-fifths (2/5’s) of a school year and must not have been
considered an “active member” pursuant to RIGL §16-16-1(1), i.e. no
regular contributions were made to the retirement system;
(b)
The Part-Time Teacher Verification form must be completed and
submitted to ERSRI by the Employer;
(c)
It shall be the responsibility of the member to see that the Employer
complete and submit the required form to ERSRI in a timely manner.
Incomplete or inaccurate forms will be returned to the member and will
result in a delay in processing the purchase and additional interest being
added to the cost of the purchase;
(d)
The purchase of part-time teaching is limited to a total of five (5) years;
Page | 83
(e)
Part-time teaching among school systems in the same school year may be
combined for purchase;
(f)
The cost to purchase part time teaching service credit will be calculated at
regular interest as defined in RIGL 36-8-1(14), which states that regular
interest shall mean interest at the assumed investment rate of return,
compounded annually, as may be prescribed from time to time by the
retirement board, assessed from the date employment commenced to the
date of the request to purchase. Consistent with RIGL §36-8-1(10),
purchase requests received and date stamped after June 16, 2009 and prior
to July 1, 2012 shall be at full actuarial value, and requests received and
date stamped after June 30, 2012 shall be at full actuarial value which
shall be determined using the system’s assumed investment rate of return
minus one percent (1%);
(g)
Consistent with RIGL §16-16-12(d)(6) requests for the purchase of service
credit for time before the member’s date of hire must be received and date
stamped within 3 years of the initial date of hire. For active members as of
June 30, 2012, the purchase of service credit for time prior to June 30,
2012 must be received and date stamped by June 30, 2015;
(h)
Members electing to pay by installment shall pay consistent with
Regulation 11.
Page | 84
REGULATION 6.10 - REGULATIONS REGARDING RHODE
ISLAND GENERAL LAW (RIGL) §16-16-6.1 CONCERNING THE
PURCHASE OF OUT OF STATE TEACHING.
SECTION (1)
INTRODUCTION
This Administrative Regulation pertaining to the purchase of credit for out of state
teaching is promulgated pursuant to RIGL §36-8-3. The Regulation shall be
applicable to all requests by public school teachers to purchase out of state teaching
credit.
SECTION (2)
STATUTORY REQUIREMENTS
In order to purchase out of state teaching credit, the following provisions shall apply
as required by RIGL:
(a)
The member must be a “teacher” as defined by RIGL §16-16-1(12), i.e.
holds a certificate of qualification, engaged in teaching as the principal
occupation and be regularly employed as a teacher in the public schools in
Rhode Island;
(b)
The teacher must be an “active” member pursuant to RIGL §16-16-1(1),
i.e. a teacher for whom the retirement system is currently receiving regular
contributions;
(c)
The teacher must be employed as a teacher by a city or town in the State
of Rhode Island;
(d)
The amount of out of state teaching purchase is limited to a maximum of
five (5) years;
(e)
The time purchased must be for employment in any state college, state
university, state school or public school outside the State of Rhode Island
or in any territory or possession of the United States including the
Philippines or any school under the jurisdiction of the United States
government;
(f)
Credit for out of state teaching may be purchased and used toward the
pension for the ordinary disability retirement only if the teacher has at
least ten (10) years of creditable service before the purchase;
(g)
The purchase amount is at full actuarial cost based on the salary of the
member in effect at the date of application for the credit. Consistent with
RIGL §36-8-1(10), purchase requests received and date stamped after June
16, 2009 and prior to July 1, 2012 shall be at full actuarial value, and
requests received and date stamped after June 30, 2012 shall be at full
actuarial value which shall be determined using the system’s assumed
investment rate of return minus one percent (1%);
Page | 85
(h)
Consistent with RIGL §16-16-12(d)(6) requests for the purchase of service
credit for time before the member’s date of hire must be received and date
stamped within 3 years of the initial date of hire. For active members as of
June 30, 2012, the purchase of service credit for time prior to June 30,
2012 must be received and date stamped by June 30, 2015.
SECTION (3)
ADDITIONAL REQUIREMENTS AND RESTRICTIONS
REGARDING THE PURCHASE OF OUT OF STATE TEACHING
CREDIT
(a)
This Regulation does not apply to the purchase of service credit for private
teaching. Refer to the section under this Regulation governing the
purchase of private teaching;
(b)
The purchase by a member who is currently in a part-time position will be
calculated using the member’s full annualized salary. A current part-time
salary shall not be used if the time prior to the application indicates the
member was regularly employed as a full time teacher; if the member was
regularly employed as a part-time teacher, the part-time salary will be
used;
(c)
Members electing to pay by installment shall pay consistent with
Regulation 11. A member is prohibited from purchasing out of state
teaching credit which is being credited towards retirement benefits in
another system where there is an employer contribution or match. The
other system may consist of either a defined benefit and/or a defined
contribution (e.g. 457, 403(b) etc.);
Employment which was rendered on a substitute, temporary, casual,
seasonal or emergency basis is not eligible for purchase;
The Out of State Teaching Credit Request form must be completed by the
member, current school official, and former employer and former
retirement system or pension plan and must be submitted to ERSRI.
It shall be the responsibility of the member to see that all parties complete
the required form and the form must be submitted to ERSRI in a timely
manner. Incomplete or inaccurate forms will be returned to the member
and will result in a delay in processing the purchase and additional interest
being added to the cost of the purchase.
Page | 86
REGULATION 6.11 - REGULATIONS REGARDING RHODE
ISLAND GENERAL LAW (RIGL) §16-16-5(C) CONCERNING
THE PURCHASE BY A TEACHER OF SUBSTITUTE TEACHING
TIME.
SECTION (1)
INTRODUCTION
This Administrative Regulation pertaining to the purchase by a teacher of credit for
substitute teaching time is promulgated pursuant to RIGL §36-8-3. The Regulation
shall apply to all requests to purchase credit for substitute teaching time.
SECTION (2)
STATUTORY REQUIREMENTS
In order to purchase substitute teaching time the following provisions shall apply as
required by RIGL:
(a)
The member must be a “teacher” within the meaning of RIGL §16-16-
1(12);
(b)
The teacher must be an “active member” RIGL §16-16-1(1), i.e. an
employee for whom the retirement system is currently receiving regular
contributions;
(c)
The number of days served by a substitute teacher in any public school of
any city or town in the state may only be combined for the same school
year to reach required total number of days;
(d)
Service credit will only be given to a teacher once the amount the teacher
would have contributed to the Plan plus interest has been paid to the
retirement system;
(e)
Consistent with RIGL §36-8-1(10), purchase requests received and date
stamped after June 16, 2009 and prior to July 1, 2012 shall be at full
actuarial value, and requests received and date stamped after June 30,
2012 shall be at full actuarial value which shall be determined using the
system’s assumed investment rate of return minus one percent (1%);
(f)
Consistent with RIGL §16-16-12(d)(6) requests for the purchase of service
credit for time before the member’s date of hire must be received and date
stamped within 3 years of the initial date of hire. For active members as
of June 30, 2012, the purchase of service credit for time prior to June 30,
2012 must be received and date stamped by June 30, 2015.
Page | 87
SECTION (3)
ADDITIONAL REQUIREMENTS AND RESTRICTIONS
REGARDING THE PURCHASE OF SUBSTITUTE TEACHING
TIME
(a)
The substitute teaching time does not count toward contributory service.
Teachers must have ten (10) years of contributing service to be vested. A
teacher with contributory service on or after July 1, 2012 must have 5
years of contributing service to be vested;
(b)
The teacher must have substituted a minimum of forty-five (45) days in
one (1) school year in order to purchase the time. The substituting can be
in more than one (1) public school in more than one (1) city or town in the
state but must be in the same school year. The only exception to the forty-
five (45) day minimum requirement is in such cases where the teacher has
contributing time in the same school year in which they substituted. In
this instance, days substituted will be added to contributing service to
determine service credit;
(c)
Service credit will be calculated as follows:
For service credits accrued prior to November 17, 2011, the following
schedule shall apply:
45 days
= 3 months service credit
67 days
= 6 months service credit
91 days
= 9 months service credit
135 days
= 1 year service credit
For service credits accrued on and after November 18, 2011, the
following schedule shall apply:
45
= 3 months service credit
90 days
= 6 months service credit
135days
= 9 months service credit
180 days
= 1 year service credit
(d)
The purchase of substitute teaching time is limited by statute to public
schools in Rhode Island. State schools in Rhode Island, private school and
out of state school requests will be denied;
(e)
The Substitute Teaching form must be completed and submitted to ERSRI
by the Employer;
(f)
It shall be the responsibility of the member to see that the Employer
complete and submit the required form and letter to ERSRI in a timely
manner. Incomplete or inaccurate forms will be returned to the member
Page | 88
and will result in a delay in processing the purchase and additional interest
being added to the cost of the purchase;
(g)
The purchase of substitute teaching time is limited to a total of five (5)
years;
(h)
Members electing to pay by installment shall pay consistent with
Regulation 11.
Page | 89
REGULATION 6.12 - REGULATIONS REGARDING RHODE
ISLAND GENERAL LAWS (RIGL) §36-9-26 AND §45-21-58
CONCERNING THE PURCHASE OF OFFICIAL LAYOFF.
SECTION (1)
INTRODUCTION
This Administrative Regulation pertaining to the purchase of credit for official layoff
is promulgated pursuant to RIGL §36-8-3. The Regulation shall be applicable to all
requests to purchase credit for official layoff.
SECTION (2)
STATUTORY REQUIREMENTS
In order to purchase credit for official layoff the following provisions shall apply as
required by RIGL:
(a)
The employee must be an “active” member of ERSRI pursuant to RIGL
§36-8-1(2), §36-8-1(12) or MERS pursuant to RIGL §45-21-2(2), §45-21-
2(12), i.e. an employee for whom the retirement system is currently
receiving regular contributions;
(b)
The purchase of official layoff can only be made when the member returns
to active membership. Consistent with RIGL §36-10-9(1)(c)(iv), §16-16-
12(d)(6), and 45-21-16 (2)(v)(I) and (II) requests for the purchase of
service credit for time before the member’s date of hire must be received
and date stamped within 3 years of the initial date of hire. For active
members as of June 30, 2012, the purchase of service credit for time prior
to June 30, 2012 must be received and date stamped by June 30, 2015;
(c)
Leave without pay does not qualify as official layoff;
(d)
The member shall not have withdrawn his or her retirement contributions
during the official layoff;
(e)
The amount of service credit for official layoff is limited to a maximum of
one (1) year;
(f)
Consistent with RIGL §36-8-1(10) purchase requests received and date
stamped after June 16, 2009 and prior to July 1, 2012 shall be at full
actuarial value, and requests received and date stamped after June 30,
2012 shall be at full actuarial value which shall be determined using the
system’s assumed investment rate of return minus one percent (1%).
Page | 90
(g)
For members of MERS, the cost to purchase official layoff is calculated at
regular interest as defined in Chapter 45-21-2(16) which states that regular
interest shall mean interest at the assumed investment rate of return,
compounded annually, as may be prescribed from time to time by the
retirement board. All requests received and date stamped after June 30,
2012 shall be at full actuarial value which shall be determined using the
system’s assumed investment rate of return minus one percent (1%).
SECTION (3)
ADDITIONAL REQUIREMENTS AND RESTRICTIONS
REGARDING THE PURCHASE OF CREDIT FOR OFFICIAL
LAYOFF
(a)
Members shall request the purchase by having the Employer complete and
sign the Official Layoff Verification form and submitting the form along
with the official documentation of the official layoff to ERSRI;
(b)
Acceptable documentation includes official documentation from the
employer completed at the time that separation from service occurred
which clearly states the member was on “layoff”;
(c)
It shall be the responsibility of the member to see that the Employer
complete the required form and submit the form to ERSRI in a timely
manner. Incomplete or inaccurate forms will be returned to the member
and will result in a delay in processing the purchase and additional interest
being added to the cost of the purchase;
(d)
Members electing to pay by installment shall pay consistent with
Regulation 11.
Page | 91
REGULATION 6.13 – RHODE ISLAND GENERAL LAWS (RIGL)
§36-9-20,
§16-16-8,
AND
§45-21-12.1
–
REGULATIONS
REGARDING THE PURCHASE OF PRIOR TIME.
SECTION (1)
INTRODUCTION
This Administrative Regulation pertaining to the purchase of credit for prior time is
promulgated pursuant to Rhode Island General Law §36-8-3. The Regulation shall be
applicable to all requests to purchase credit for prior time.
SECTION (2)
DEFINITIONS
(a)
Probationary time shall mean time when a person was considered an
employee pursuant to §36-8-1(9) or §45-21-2(7) but for which the
employees’ retirement system was not receiving regular contributions and
which time period does not exceed six (6) months.
(b)
The definition of “employee” for State Employees and Municipal
Employees is governed by RIGLs §36-8-1(9) and §45-21-2(7) which
require a person to devote twenty (20) business hours per week annually to
the service of the state or municipality to be an employee within the
meaning of the retirement statutes. “Annually” shall mean twenty (20)
standard hours, every week on an annual basis, throughout the year
devoted to the service of the state or municipality.
(c)
Pursuant to RIGL §36-8-1(9) and §45-21-2(7) employment cannot be of a
casual, seasonal or emergency nature and cannot have earned less than the
equivalent of minimum wage compensation on an hourly basis for his or
her services.
SECTION (3)
STATUTORY REQUIREMENTS
With respect to the purchase of prior time, the following provisions shall apply as
required by RIGL:
(a)
The employee must be an “active member” of ERSRI pursuant to RIGL
36-8-1(2), MERS pursuant to RIGL 45-21-2(2), i.e. an employee for
whom the retirement system is currently receiving regular contributions,
or RIGL §16-16-1(1), i.e. a teacher for whom the retirement system is
currently receiving regular contributions;
(b)
For State Employees and Teachers who are members of ERSRI as of June
30, 2012, and Municipal Employees who are members of MERS as of
June 30, 2012 and who are requesting to purchase prior time under Title
36, consistent with RIGL §36-8-1(10) purchase requests received and date
stamped after June 16, 2009 and prior to July 1, 2012 shall be at full
actuarial value, and requests received and date stamped after June 30,
2012 shall be at full actuarial value which shall be determined using the
system’s assumed investment rate of return minus one percent (1%);
Page | 92
(c)
For Municipal Employees in MERS as of June 30, 2012 and State
Employees and Teachers in ERSRI as of June 30, 2012 who are requesting
to purchase prior time under Title 45, the calculation will be at regular
interest as defined in RIGL 36-8-1(14) and RIGL §45-21-2(16), which
states that regular interest shall mean interest at the assumed investment
rate of return, compounded annually, as may be prescribed from time to
time by the retirement board. All requests received and date stamped after
June 30, 2012 shall be at full actuarial value which shall be determined
using the system’s assumed investment rate of return minus one percent
(1%).
(d)
Consistent with RIGL §36-10-9 (1)(c)(iv)§16-16-12(d)(6), and 45-21-16
(2)(v)(I) and (II) requests for the purchase of service credit for time before
the member’s date of hire must be received and date stamped within 3
years of the initial date of hire. For active members as of June 30, 2012,
the purchase of service credit for time prior to June 30, 2012 must be
received and date stamped by June 30, 2015.
(e)
Pursuant to RIGLs §36-10-9(3) (v), §16-16-12 (3) (v), and §45-21-16(2)
(IV) no more than five (5) years of service credit may be purchased by a
member of the System.
SECTION (4)
ADDITIONAL REQUIREMENTS AND RESTRICTIONS
REGARDING THE PURCHASE OF PRIOR TIME
(a)
For the purchase of Probationary Time, the following additional
Regulations shall apply:
(1) The six (6) month period or less must be the period immediately preceding
becoming a contributing member;
(2) The amount of probationary time purchasable is limited to six (6) months
or less for each position held that required a probationary period;
(3) The purchased time shall be counted as contributing service;
(4) The purchase of probationary time does not count toward the five (5) year
limit on purchases;
(b)
The Probationary Time Verification form or the Prior Time Verification
form must be completed in full, signed and submitted to ERSRI by the
Employer;
(c)
The Employer must provide information regarding why the member did
not contribute during the time requested to be purchased and must be
prepared to provide ERSRI with official documentation supporting the
information provided by the Employer on the form;
(d)
It shall be the responsibility of the member to see that the Employer
complete and submit the required form to ERSRI in a timely manner.
Incomplete or inaccurate forms will be returned to the member and will
result in a delay in processing the purchase and additional interest being
added to the cost of the purchase;
(e)
Members electing to pay by installment shall pay consistent with
Regulation 11.
Page | 93
REGULATION 6.14 - REGULATIONS REGARDING RHODE
ISLAND GENERAL LAWS (RIGL) §36-9-31, §16-16-7.1, AND §45-
21-53 CONCERNING THE PURCHASE OF ARMED SERVICE
CREDIT.
SECTION (1)
INTRODUCTION
This Administrative Regulation pertaining to the purchase of armed service credit is
promulgated pursuant to RIGL §36-8-3. The Regulation shall be applicable to all
requests to purchase armed service credit.
SECTION (2)
DEFINITION OF ARMED SERVICE
(a)
Members with active duty in the following branches of the armed services
shall be allowed to purchase armed service credit:
(1) United States Army, United States Army Reserve and the National Guard
of the United States;
(2) United States Navy and United States Navy Reserve;
(3) United States Marine Corps and United States Marine Corps Reserve;
(4) United States Coast Guard and United States Coast Guard Reserve;
(5) United States Air Force, United States Air Force Reserve and Air National
Guard of the United States;
(6) United States Public Health Service;
(7) Those merchant marine seamen manning army transports of merchant
ships operated for the United States War Shipping Administration in war
zone areas.
(b)
For purposes of determining allowable National Guard time, only time
spent on active duty in the National Guard of the United States shall be
considered. Service in the full time National Guard or the National Guard
of a State, Territory, Commonwealth of Puerto Rico or District of
Columbia shall not be considered as service in the National Guard of the
United States.
SECTION (3)
STATUTORY REQUIREMENTS
In order to purchase armed service credit the following provisions shall apply as
required by law:
(a)
The employee must be an “active” member of ERSRI pursuant to RIGL
§36-8-1(2), §16-16-1(1) or MERS pursuant to RIGL §45-21-2(2), i.e. an
employee for whom the retirement system is currently receiving regular
contributions;
(b)
Only military time served prior to ERSRI or MERS membership is
eligible for purchase;
Page | 94
(c)
The member must have been on active military duty;
(d)
The amount of armed service credit is limited to a maximum of four (4)
years. Any purchase made after January 1, 1995 cannot bring the
member’s total purchased time above five years. Armed service credit
purchases completed prior to January 1, 1995 may bring the member’s
purchased time over five years;
(e)
The member must have received an “honorable discharge”;
(f)
Members on official leave of absence for illness or injury are also eligible
to purchase the time;
(g)
The purchase cost shall be calculated at ten percent (10%) of the
member’s first year’s earnings as a state employee as defined in Chapter 9
of Title 36, as a teacher as defined in §16-16-1 of Title 16, and as a
municipal employee as defined in Chapter 21 of Title 45. First year’s
earnings shall mean the first full, complete year’s earnings. For Teachers,
first year’s earnings shall mean contractual salary based on a minimum of
one-hundred eighty days (180). Interest shall accrue from the date of
enrollment into the system to the date of purchase if purchased after
completing five (5) years of membership, i.e. if you had a withdrawal as a
state employee your first year’s earnings as a state employee will be used
to calculate the purchase, but if you are presently a teacher and had a
withdrawal as a state employee your first year’s earnings as a teacher will
be used to calculate the purchase;
(h)
No interest will be assessed if the purchase is made within the first five (5)
years of membership in the retirement system or if purchased by a member
who was in the system prior to 7/1/80.
SECTION (4)
ADDITIONAL REQUIREMENTS AND RESTRICTIONS
REGARDING THE PURCHASE OF ARMED SERVICE CREDIT
(a)
When calculating allowable purchase time, no member shall be allowed to
purchase credit which, when totaled, pursuant to RIGL §36-9-25 provides
the member with more than one (1) year of service credit in any one (1)
calendar year;
(b)
As of July 3, 1997, any active member shall only be allowed to purchase
armed service credit for the actual time he or she was on active duty. For
example, if a member was on active duty for ten (10) months and fifteen
(15) days, the member shall only be permitted to purchase ten (10) months
and fifteen (15) days. If a member served two (2) weeks summer duty in
the National Guard, the member shall only be permitted to purchase two
(2) weeks of armed service credit;
(c)
Members shall request the purchase by completing in full and signing the
Military Credit Request form and submitting the form and the
documentation to ERSRI;
Page | 95
(d)
Acceptable documentation includes a DD214, NGB 23, or other official
documentation from the military branch served in stating actual dates of
active duty service. Mere statements or affirmations by the individual
member as proof of active duty are not acceptable;
(e)
Proof of honorable discharge must also be submitted;
(f)
A member is prohibited from purchasing armed service credit which is
being credited towards retirement benefits in another system. Members
who are receiving a military pension or who are eligible to receive a
military pension based on this time shall be allowed to purchase the armed
service credit;
(g)
It shall be the responsibility of the member to submit the required form
and letter to ERSRI in a timely manner. Incomplete or inaccurate forms
will be returned to the member and will result in a delay in processing the
purchase and additional interest being added to the cost of the purchase;
(h)
Members electing to pay by installment shall pay consistent with
Regulation 11.
Page | 96
REGULATION 6.15 - RULES REGARDING RHODE
ISLAND GENERAL LAWS (RIGL) §36-9-25.1, §36-9-20.5,
§16-16-5 AND §45-21-14.2 CONCERNING THE PURCHASE
OF
LEAVE
SERVICE
CREDITS
INCLUDING
THE
PURCHASE OF SERVICE CREDIT WHILE ON INACTIVE
STATUS – WORKERS’ COMPENSATION.
SECTION (1)
INTRODUCTION
This Administrative Rule pertaining to the purchase of leave service credits is
promulgated pursuant to Rhode Island General Law (RIGL) §36-8-3. The Rule shall
be applicable to all requests to purchase under RIGL §36-9-25.1, §36-9-20.5, §16-16-
5 and §45-21-14.2.
SECTION (2)
DEFINITIONS
References to the words “return to service” shall have the following meanings:
For purposes of this regulation relating to State Employees, consistent with RIGL
§36-8-1(18) “service” shall mean service as an employee of the State of Rhode Island
as described in §36-8-1((9) .For purposes of this regulation relating to Teachers,
consistent with RIGL §16-16-1(a)(10) “service” shall mean service as a teacher as
described in §16-16-1(a) (12).
For purposes of this regulation relating to Municipal Employees including Police and
Firefighters, consistent with RIGL §45-21-2(20) “service” means service as an
employee of a municipality of the state of Rhode Island as described in §45-21-2(7)
and §45-21.2-2.
SECTION (3)
STATUTORY REQUIREMENTS
In order to purchase official leave the following conditions apply as required by
RIGL:
a.)
For purchases consistent with §36-9-25.1(a), §36-9-20.5 and §45-21-14.2.,
members must have at least one year of service;
b.)
The member must have been granted an official leave of absence without
pay by their appointing authority;
c.)
Subject to section (h) below: For state employees, before making the
purchase under §36-9-25.1 or §36-9-20.5, the member, upon completion
of his or her official leave, must return to state service for at least one
year. For teachers, the purchase pursuant to §16-16-5 may be made once
he or she returns to active service as a teacher as defined in RIGL §16-16-
1(12). Municipal employees must immediately return to municipal service
for at least one year upon completion of the official leave to be eligible to
make the purchase under §45-21-14.2. All employees must make
contributions to the retirement system upon return from official leave;
Page | 97
d.)
State employees or teachers who are in an inactive status on workers'
compensation may purchase official leave credits, provided the state
employee or teacher has not terminated employment. State employees and
teachers may make the purchase while on official leave. Municipal
employees on official leave /workers compensation must immediately
return to municipal service for at least one year upon completion of the
leave pursuant to RIGL §45-21-14.2;
e.)
The member must complete the purchase by making payment in full on or
before the date of retirement;
f.)
For municipal employees, the purchase amount for requests for official
leave service credits, date stamped by ERSRI on or before June 30, 2012,
shall be equal to the contribution the employee would have made to the
retirement system based on his or her expected compensation, as defined
by RIGL §36-8-1(8), plus regular interest compounded annually to the
date of invoice by ERSRI.
g.)
For state employees and teachers, purchase requests received and date
stamped after June 16, 2009 and prior to July 1, 2012 shall be at full
actuarial value consistent with RIGL §36-8-1(10). For state employees,
teachers and municipal employees, purchase requests received and date
stamped after June 30, 2012, shall be at full actuarial value which shall be
determined using the system’s assumed investment rate of return minus
one percent (1%) as defined in RIGL §36-8-1(10)(ii).
h.)
Consistent with RIGL §36-10-9(3)(vi), §16-16-12(d)(6), and §45-21-
16(2)(II)(v) effective July 1, 2012, the purchase must be made within three
(3) years of the time the official leave was concluded by the member.
Requests for service purchases from time periods prior to June 30, 2012
may be made on or prior to June 30, 2015;
i.)
Credit for official leaves of absence, including time spent out of work on
workers compensation shall be limited in the aggregate during the total
service of an employee to a period of four (4) years.
SECTION (4)
ADDITIONAL REQUIREMENTS AND RESTRICTIONS ON
THE PURCHASE OF LEAVE SERVICE CREDIT
a.)
This rule is applicable to all applications for the purchase of official leave
which are received and date stamped by ERSRI on or after the effective
date of this regulation.
b.)
For Municipal employees, the return to service must occur immediately
following completion of the leave. Lapses of time between the end of the
leave and subsequent service for the state or another municipality or
teaching in any of the public schools as well as termination of employment
upon completion of or prior to completion of the official leave and
subsequent reemployment shall indicate that the employee does not meet
the requirements of this Regulation;
Page | 98
c.)
The Official Leave Verification form must be completed by the employer,
current school official or former employer and must be submitted to
ERSRI. No request to purchase leave service credit will be granted
without this required documentation. No other documentation will be
accepted.
d.)
It shall be the responsibility of the member to see that all parties complete
the required form and the form must be submitted to ERSRI in a timely
manner. Incomplete or inaccurate forms will be returned to the member
and will result in a delay in processing the purchase and additional interest
being added to the cost of the purchase;
e.)
Pursuant to RIGLs §36-9-47, §16-16-8.1, and §45-21-64 members
electing to pay by installment will have additional interest added to the
cost of the purchase in accordance with these statutes and Regulation 11;
f.)
Leave without pay involving a reduction in scheduled work days or a
reduction in scheduled work hours shall not be considered an official leave
within the meaning of this Rule or RIGLs §36-9-25.1, §16-16-5 and §45-
21-14.2 and is not eligible for purchase unless the following additional
requirements and conditions are met:
i.
State and municipal employees, and teachers, who are on reduced
schedule work days or reduced schedule work hours from their regular
full or part time employment must provide documentation of the
official leave from their regular full or part time employment, and will
be eligible to make the purchase upon return to service. The pre-leave
position must be a contributing position; i.e. not an emergency,
seasonal or casual employment position.
ii.
For the purpose of calculating the four (4) year maximum allowance
for official leave purchases, a calendar year will be used for state and
municipal employees and a school year will be used for teachers.
REGULATION EFFECTIVE DATE
These Regulations shall become effective upon adoption by the Board. Thereafter, the
Board shall file a copy of this Rule with the Secretary of State.
Page | 99
Employees’ Retirement System of Rhode Island
And
Municipal Employees’ Retirement System
Regulation No. 7
Rules Regarding the Use of R.I.G.L. 36-10-18 Multiple Beneficiaries
Page | 100
TABLE OF CONTENTS
SECTION ONE: REGULATION SUMMARY ..................................................................... 101
SECTION TWO: ERSRI METHODOLOGY ON MULTIPLE BENEFICIARIES
OPTIONAL ANNUITY .......................................................................................................... 101
SECTION THREE: ERSRI METHODOLOGY ON MULTIPLE BENEFICIARIES /
JOINT AND SURVIVOR OPTION ONE .............................................................................. 101
SECTION FOUR: ERSRI METHODOLOGY ON MULTIPLE BENEFICIARIES /
JOINT AND SURVIVOR OPTION TWO ............................................................................. 102
SECTION FIVE: RESTRICTIONS ON THE USE OF MULTIPLE BENEFICIARIES
AS PROVIDED UNDER R.I.G.L 36-10-18 ........................................................................... 102
Page | 101
Section (1) Regulation Summary
In 1994, the Rhode Island General Assembly amended R.I.G.L. 36-10-18 to allow
members of the Employees Retirement System of Rhode Island (public school teachers
and state employees only) to elect more than one beneficiary to be the recipient of a
survivor option under Rhode Island retirement law. The option to elect multiple
beneficiaries is not available to state police, judicial, general municipal, or police & fire
members of retirement plans administered by ERSRI.
This regulation explains the procedure to be utilized by ERSRI in determining the
amount due each qualified beneficiary.
Section (2) ERSRI Methodology on Multiple Beneficiaries Optional Annuity
ERSRI Regulation No. 7 and all applicable R.I.G.L. statutory rules shall be used in
determining a member’s optional annuity.
Optional Annuity Multiple Beneficiary benefits will be determined as follows:
(a) The amount of the ex-member’s contributions shall be divided by the
number of multiple beneficiaries identified on the Optional Annuity Form
in order to calculate an equal amount of ‘return of contributions’ to be due
each multiple beneficiary.
(b) The ex-member’s retirement benefit shall be calculated according to the
standard method for service retirement annuity (SRA or maximum plan). If
the member on the date of his/her death was not eligible for retirement, the
optional annuity shall be calculated using an actuarial adjustment
determined by the number of years the member was below age or service
requirements.
(c) The resulting SRA retirement benefit due the deceased member shall be
divided in equal shares between the multiple beneficiaries.
(d) The multiple beneficiaries shall have the choice of selecting either: (1)
return of contributions; or (2) an Optional Annuity benefit that has been
split evenly amongst the named multiple beneficiaries.
(e) It is not necessary that all multiple beneficiaries make the same selection
(i.e. One beneficiary may choose a return of contributions while the others
may choose the optional annuity.)
Section (3) ERSRI Methodology on Multiple Beneficiaries / Joint and Survivor
Option One
ERSRI Regulation No. 7 and all applicable R.I.G.L. statutory rules shall be used in
determining a member’s survivor retirement benefit.
Page | 102
Option One Multiple Beneficiary benefits will be determined as follows:
(a) The retiring member’s retirement benefit shall be calculated according to
standard method for service retirement annuity (SRA or maximum plan);
(b) The SRA retirement benefit is then divided into equal shares according to
the number of named multiple beneficiaries;
(c) For a non-spouse beneficiary who is ten years (or more) younger than the
retiring member, Internal Revenue Service rules require an actuarial reduction
for retiring members utilizing Option One; See IRS proposed regulation
1.401(a)(9)—2.
(d) Option One factors based on the multiple beneficiaries ages are then applied
to the equal shares;
(e) The sum of the actuarially reduced benefits shall be the retiring member’s
benefit during his/her lifetime.
Section (4) ERSRI Methodology on Multiple Beneficiaries / Joint and Survivor
Option Two
ERSRI Regulation No. 7 and all applicable R.I.G.L. statutory rules shall be used in
determining a member’s survivor retirement benefit.
Option Two Multiple Beneficiary benefits will be determined as follows:
(a)The retiring member’s retirement benefit shall be calculated according to
standard method for service retirement annuity (SRA or maximum plan);
(b) The SRA retirement benefit is then divided into equal shares according to
the number of named multiple beneficiaries;
(c) Option Two factors will be applied to multiple amounts;
(d) The sum of the actuarially reduced benefits shall be the retiring member’s
benefit during his/her lifetime.
Section (5) Restrictions on the use of Multiple Beneficiaries as provided under
R.I.G.L 36-10-18
(a)
Beneficiaries must be natural or adopted children or stepchildren and/or a
spouse or domestic partner of the ERSRI member. There is no restriction as to
the number of multiple beneficiaries.
(b)
In the case of the death of a multiple beneficiary, the benefit of remaining
beneficiaries shall not be increased nor decreased.
(c)
A multiple beneficiary’s benefit shall cease upon his/her death. There is no
additional benefit due the survivor or beneficiary of a multiple beneficiary.
(d)
The multiple beneficiary option is not available to state police, judicial, general
municipal, or police & fire members of the retirement system.
Page | 103
Employees’ Retirement System of Rhode Island
And
Municipal Employees’ Retirement System
Regulation No. 8
Rules Regarding the Operation and Administration of Rhode Island
General Laws 36-10-18, 36-10-19, 45-21-30 and 45-21-51 concerning
the right to revoke or modify a retirement option after retirement
Page | 104
TABLE OF CONTENTS
Section 1: INTRODUCTION ...................................................................................... 105
Section 2: DEFINITIONS .......................................................................................... 105
Section 3: REVOCATION/MODIFICATION OF RETIREMENT OPTION
SELECTION ............................................................................................................... 105
Section 4: PROCESS OF REVOCATION/MODIFICATION .................................. 105
Page | 105
Section 1: INTRODUCTION
These Administrative Rules pertaining to the right of a retired member to revoke or
modify their retirement option after retirement are promulgated pursuant to R.I. General
Laws Section 36-8-3. The Rules shall be applicable to all changes requested pursuant to
RIGL §36-10-19 and 45-21-30.
This Regulation does not apply to retired members who selected to receive retirement
benefits per the Maximum Plan or the Social Security Option provisions or to members
of either the Judicial Retirement Plan or the State Police Retirement Plan.
Section 2: DEFINITIONS
Retired Member
A member of the Employees Retirement System
of Rhode Island or the Municipal Employees Retirement
System whose application for retirement benefits has
been approved by the Retirement Board.
Section 3: REVOCATION/MODIFICATION OF RETIREMENT OPTION
SELECTION
A.
Only retired members who have selected to receive retirement benefits pursuant
to Option One or Option Two shall be entitled to revoke or modify their retirement
option.
B.
A retired member may exercise his/her right to revoke or modify his/her
retirement option selection only one time. Additional requests to revoke or modify an
individual’s retirement selection are not permitted.
C.
Retired members who are receiving retirement benefits per the Maximum Plan or
the Social Security Option are not entitled to change their retirement option selection.
D.
A retired member may revoke his/her selection of Option One or Option Two and
select the Maximum Plan.
E.
A retired member may modify his selection from Option One to Option Two or
from Option Two to Option One.
F.
Notice of modification or revocation must be filed with and approved by the
Retirement System prior to the commencement of divorce proceedings against or by the
named beneficiary being filed in the Rhode Island Family Court or in a foreign court of
equal jurisdiction.
Section 4: PROCESS OF REVOCATION/MODIFICATION
Page | 106
A.
A retired member seeking revocation or modification of his/her retirement
benefits must complete and return the form prescribed by the Retirement System. No
action will be taken on an oral request to revoke or modify a retired member’s benefits.
B.
Revocation or modification will become effective in the month following receipt
of the signed form by the Retirement System.
C.
Any request for modification or revocation of benefits described in Section 3:00
above must be received prior to the death of the retired member or if sent by mail, post
marked prior to the death of the retired member.
Page | 107
Employees’ Retirement System of the State of Rhode Island
And
Municipal Employees’ Retirement System of the State of Rhode Island
Regulation No. 9
Rules pertaining to the application to receive an Ordinary or Accidental
Disability Pension
Revised: May 12, 2010
Effective: August 26, 2010
Page | 108
TABLE OF CONTENTS
SECTION 1: INTRODUCTION ........................................................................................... 109
SECTION 2: DEFINITIONS ................................................................................................. 109
SECTION 3: REQUIREMENTS FOR APPLICATION AND DISABILITY
DETERMINATION ............................................................................................................... 109
SECTION 4: STATUTORY STANDARD FOR ORDINARY AND ACCIDENTAL
DISABILITY ......................................................................................................................... 111
SECTION 5: CONSIDERATION BY THE DISABILITY SUBCOMMITTEE .................. 111
SECTION 6: REQUEST FOR RECONSIDERATION ........................................................ 112
SECTION 7: RECONSIDERATION NOTICE .................................................................... 112
SECTION 8: ADDITIONAL DOCUMENTATION BEFORE THE DISABILITY
SUBCOMMITTEE ................................................................................................................ 113
SECTION 9: RECOMMENDATION OF THE DISABILITY SUBCOMMITTEE
AFTER RECONSIDERATION ............................................................................................ 113
SECTION 10: APPEAL PROCESS ...................................................................................... 113
SECTION 11: NOTICE OF APPEAL ................................................................................... 114
SECTION 12: APPLICATIONS BY TERMINAL MEMBERS .......................................... 115
Page | 109
Section (1)
INTRODUCTION
These Administrative Rules pertaining to the application to receive an Ordinary or
Accidental Disability Pension are promulgated pursuant to Rhode Island General Laws
(R.I.G.L.) Section 36-8-3. The Rules shall be applicable to the adjudication of all
Ordinary Disability Pension applications received pursuant to RIGL §36-10-12, §§36-
10-13, 16-16-14, 16-16-15, 45-21-19, 45-21-20, 45-21.2-7 and 45-21.2-8, and all
Accidental Disability Pension applications received pursuant to RIGL §§36-10-14, 36-
10-15, 16-16-16, 16-16-17, 45-21-21, 45-21-22, 45-21.2-9 and 45-21.2-10.
This Regulation does not apply to members of the Judicial Retirement Plan or the State
Police Retirement Plan.
Section (2)
DEFINITIONS
Active Member Shall mean any employee of the State of Rhode Island for whom the
Retirement System is currently receiving regular contributions
pursuant to RIGL §36-10-1 and §36-10-1.1; or any employee of a
participating municipality for whom the Retirement System is
currently receiving regular contributions pursuant to RIGL §45-21-
41 and §45-21-41.1; or any Police or Firefighter for whom the
Retirement System is currently receiving regular contributions
pursuant to RIGL §45-21.2-14; or any teacher for whom the
Retirement System is currently receiving regular contributions
pursuant to RIGL §16-16-22 and §16-16.22.1.
Section (3)
REQUIREMENTS FOR APPLICATION AND DISABILITY
DETERMINATION
1. Only active members or members on leave of absence for illness from the
Employees’ Retirement System of the State of Rhode Island (“ERSRI”) or the
Municipal Employees’ Retirement System of the State of Rhode Island (“MERS”)
with a minimum of five (5) years of contributing service, three (3) of which must
be consecutive, are eligible to receive an Ordinary Disability Pension. The Board
may consider Members that are on workers compensations to be on a leave of
absence for illness within the meaning of this regulation.
2. Only active members of ERSRI or MERS are eligible to receive an Accidental
Disability pension. The application must be made within 5 years of the accident for
State employees, Municipal employees and Teachers and within 18 months of the
accident for Municipal Police and Firefighters. An application must be filed within
3 years of a reinjury or aggravation of a prior injury for State Employees and
Teachers. For Municipal Police and Firefighters, an application must be filed
within 18 months of a reinjury or aggravation of a prior injury.
Page | 110
3. Any member eligible to receive a regular service retirement allowance is prohibited
from receiving an Ordinary Disability Pension. Any member who has attained the
age of sixty-five is prohibited from receiving an Accidental Disability Pension.
4. An applicant for a disability pension shall complete, sign and submit the following
forms and information prior to the application being reviewed by the Disability
Subcommittee of the Retirement Board. The information includes, but is not
limited to: :
a.) Disability Retirement Application;
b.) Applicant’s Physician’s Statement for Disability Retirement;
i) Affirmation from applicant’s Physician that applicant has reached
Maximum Medical Improvement (MMI)
c.) Employer’s Disability Statement;
d.) Current Job Description;
e.) For Accidental Disability Applications Only:
i) Any and all medical records from three (3) years prior to the alleged
accident through the date of the application for benefits. An applicant
unable to produce requested medical records must complete an affidavit,
attesting under the penalties of perjury, that no records exist;
ii) An injury or accident report related to the alleged injury;
iii) All accident or injury reports filed by or on behalf of the applicant with any
employer, at any time, for any purpose;
iv) All urgent care records of the applicant related to the alleged accident.
v) Work history to include only those days absent from work and the reason
for the absence(s) for three years prior to and three years after the date of
the alleged accident.
5. Subject to subsection 12, after submitting a disability retirement application,
applicants will have 90 days to submit all applicable documents listed in subsection
4 above. Should the applicant fail to submit all applicable documents listed in
subsection 4 within 90 days of the date of application, the Disability Subcommittee
may recommend denial of the application, and the Retirement Board may approve
the denial.
6. An applicant for an Ordinary or Accidental Disability Pension must be examined
by three independent physicians engaged by the Retirement Board. Payment for
these examinations and any test required as a result of the examinations shall be
borne by the Retirement Systems. It is the responsibility of the applicant to contact
these independent physicians to make an appointment for examination within 30
days of receipt of the physicians’ contact information from the Retirement Board.
If all required independent medical examinations are not completed within one (1)
year of the filing of the application, the Disability Subcommittee and/or the
Retirement Board shall either require that a new application be submitted, or deny
the application.
7. Beyond the communication necessary to schedule and complete the required
medical examinations, neither applicants nor their attorneys shall make any further
inquiries of, nor have any further communications or contact with the independent
Page | 111
physicians engaged by the Retirement Board. Once the examination is concluded,
neither the applicant nor his/her counsel shall have any further communication with
any of the independent physicians regarding the physician’s findings, conclusions,
recommendations or any other aspect of the examination. If an applicant or his/her
attorney has any such communication or contact with the independent physician(s),
the Retirement Board and/or its Disability Subcommittee may deny the application
or may choose to disregard any materials generated by said physician(s) following
such communication or contact.
Section (4)
STATUTORY
STANDARD
FOR
ORDINARY
AND
ACCIDENTAL DISABILITY
1. Upon review of the reports of the medical examinations of the physicians engaged
by the Retirement Board, the Retirement Board may grant the member an
Ordinary or Accidental Disability Pension.
2. For a member to receive an Ordinary Disability Pension, the Retirement Board
must determine that a member is physically or mentally incapacitated from the
performance of duty and ought to be retired.
3. For a State Employee, Teacher, Municipal Employee, Municipal Police Officer or
Fire Fighter to receive an Accidental Disability Pension, the Retirement Board
must make a determination that the applicant has reached maximum medical
improvement (MMI), and is physically or mentally incapacitated for the
performance of service as a natural and proximate result of an accident sustained
while in the performance of duty, that the disability is not the result of willful
negligence or misconduct of the member, and is not the result of age or length of
service, and that the member has not yet attained the age of 65. The applicant
must certify to the Retirement Board the definite time, place, and conditions of the
duty performed by the member and the incident resulting in the alleged disability
for the member to be eligible for an accidental disability pension.
4. Although the language in the ordinary disability statutes (R.I.G.L. §§36-10-12, 16-
16-14, 45-21-19, and 45-21.2-7) and the accidental disability statutes (R.I.G.L.
§§36-10-14, 16-16-16, 45-21-21 and 45-21.2-9) differ slightly, the Retirement
Board endeavors to interpret the language of all the accidental disability statutes
consistently with one another, and the language of all of the ordinary disability
statutes consistently with one another wherever possible.
Section (5)
CONSIDERATION BY THE DISABILITY SUBCOMMITTEE
1. Upon determination by the administration of the retirement systems that the
applicant has complied with Section 3(4), the application will be forwarded to the
Retirement Board’s Disability Subcommittee which shall review the submitted
material.
Page | 112
2. The Disability Subcommittee will vote to recommend approval or denial, or may
postpone the application for the submission of additional material, and will
thereafter recommend a final determination to the Retirement Board.
3. Applications may be postponed pending the submission of additional information
requested by the Sub-committee or desired to be presented by the applicant. If a
matter is postponed, every effort will be made to reschedule the matter for the next
regularly scheduled meeting. The matter may be postponed as many times as is
necessary to ensure that all pertinent information has been received from the
applicant for review by the Sub-committee and/or the Retirement Board. Failure to
respond to a request for information by the Sub-committee within 30 days of the
date of the request may result in a denial of the application by the Retirement
Board.
4. The Disability Subcommittee may require the applicant to appear before the Sub-
committee to answer questions regarding his or her application for disability
benefits.
Section (6)
REQUEST FOR RECONSIDERATION
1. Any member aggrieved by a decision of the Retirement Board to accept a
recommendation of the Disability Subcommittee to deny his or her application for
Ordinary or Accidental Disability Benefits, may request that the application be
reconsidered by the Disability Subcommittee.
2. Such request shall be in writing and shall be sent to the Retirement Board within
thirty (30) days of the date of mailing of the notification that the Retirement Board
has accepted the Subcommittee’s recommendation of denial.
3. A request for reconsideration shall be signed by the member or the member’s
attorney and shall contain the following:
a.) Name of member;
b.) Date and nature of decision being contested; and
c.) A clear statement of the objection to the decision.
4. Requests for reconsideration should be sent to the Executive Director, Employees
Retirement System of Rhode Island, 50 Service Avenue, 2nd Floor, Warwick, RI
02886-1021.
5. Failure to strictly comply with the procedures outlined in this Section shall be
grounds to deny any request for reconsideration.
Section (7)
RECONSIDERATION NOTICE
1. Upon receipt of a request for reconsideration, the Retirement Board or its designee
shall refer the matter to the Disability Subcommittee, which shall assign a
reconsideration hearing date within sixty (60) days of the mailing of the receipt of
the request for reconsideration.
2. The notice of the reconsideration hearing date shall contain:
a.) A statement of the time and place of the reconsideration hearing;
Page | 113
b.) A statement that a party who fails to attend or participate in the reconsideration
hearing may be held to be in default and may have the original denial of his or
her application affirmed by the Subcommittee and/or the Retirement Board
without further hearing.
Section (8)
ADDITIONAL DOCUMENTATION BEFORE THE DISABILITY
SUBCOMMITTEE
Any applicant wishing to present additional documentation during the reconsideration
hearing before the Disability Subcommittee must forward to the Retirement Board ten
(10) copies of the additional documentation a minimum of ten (10) days prior to the
date of the reconsideration hearing. The hearing to reconsider the Subcommittee’s
original recommendation of denial with respect to the applicant’s application for a
disability pension, is the applicant’s opportunity to explain to the Retirement Board’s
Disability Sub-committee why the applicant believes he/she is entitled to a disability
pension and why he/she believes the initial decision was erroneous, or to present new
evidence or documentation which was previously unavailable in support of the
applicant’s application. Fifteen minutes will be allotted for any applicant wishing to
appear before the Disability Subcommittee at the reconsideration hearing. An
applicant may represent him/herself at this hearing or may be represented by an
attorney. Consistent with RIGL §11-27-2, any person accompanying the applicant who
is not a lawyer (certified member of the bar of the State of Rhode Island), cannot
represent the applicant before the Disability Subcommittee.
Section (9)
RECOMMENDATION OF THE DISABILITY SUBCOMMITTEE
AFTER RECONSIDERATION
1. Upon completion of the reconsideration hearing, and subject to any further
postponements the Subcommittee may deem necessary or advisable for purposes of
obtaining additional information or completing additional investigation, the
Disability Subcommittee will recommend to the Retirement Board either approval
or denial of the member’s application for an Ordinary or Accidental Disability
Pension.
2. The Retirement Board shall notify the applicant of its decision to accept or reject
the recommendation of the Disability Subcommittee within ten (10) days of its
decision.
Section (10) APPEAL PROCESS
1. Any member aggrieved by a decision of the Retirement Board to deny their
application for Ordinary or Accidental Disability Benefits, after reconsideration by
the Disability Subcommittee, may appeal that decision to the Retirement Board.
2. The appeal shall be in writing and shall be sent to the Retirement Board within
thirty (30) days of the mailing date of the letter notifying the member of the
Page | 114
decision to deny the application following reconsideration by the Disability
Subcommittee.
3. The appeal shall be signed by the member or the member’s attorney and shall
contain the following information:
a.) Name of member;
b.) Date and nature of decision being contested; and
c.) A clear statement of the objection to the decision.
4. Notice of Appeal shall be sent to the Retirement Board, Attention: Executive
Director, Employees Retirement System of Rhode Island, 50 Service Avenue, 2nd
Floor, Warwick, RI 02886-1021.
5. Failure to strictly comply with the procedures outlined in this Section shall, at the
discretion of the Board, be grounds to dismiss the appeal with prejudice.
Section (11) NOTICE OF APPEAL
1. Upon receipt of a Notice of Appeal, the Retirement Board or its designee shall
assign a hearing date before the Retirement Board within ninety (90) days of the
receipt of the Notice of Appeal or the next available retirement board meeting
where the schedule permits. If after assignment and confirmation of the hearing
date, the applicant cancels their appearance without sufficient notice, the
Retirement Board may asses the member the applicable fees incurred by the system
for cancellation.
2. The hearing notification issued by the Retirement Board or its designee shall
contain:
a.) A statement of the time and place of the hearing;
b.) A statement that a party who fails to attend or participate in the hearing shall be
held to be in default and may have his or her appeal dismissed without further
hearing.
3. No additional documentation will be accepted for this hearing before the full Board
with the exception of legal memoranda.
4. The appeal is not an opportunity for the applicant to present new factual material or
evidence to the Retirement Board. The Board affords deference to the conclusions
of its Disability Subcommittee on factual determinations and questions of
credibility and will not overturn those determinations and assessments unless they
are found to be clearly wrong.
5. The applicant will receive notice of a final decision within 10 days of the Hearing
before the Retirement Board. If denied, the notice of final decision will constitute
final administrative action for all purposes pursuant to R.I.G.L. §45-35-1, et. seq.
Page | 115
6. An applicant may represent him/herself before the Retirement Board, or the
applicant may be represented by an attorney that is a certified member of the bar of
the State of Rhode Island. Consistent with RIGL §11-27-2, any person
accompanying the applicant who is not a lawyer cannot represent the applicant
before the full Board.
Section (12) APPLICATIONS BY TERMINAL MEMBERS
a) An application for accidental or ordinary disability
benefits on behalf of a member whose disability is
deemed terminal by the Board’s medical advisor may be
considered with only one additional medical report by an
independent physician. The ERSRI medical advisor
must
supply
the
Subcommittee
with
a
written
certification of the terminal status of the member.
b) When a member, whose accidental or ordinary disability
application has been accepted by the Retirement Board,
and who has completed 3 independent medical
examinations, dies prior to the approval of the disability
pension at a monthly board meeting, the Retirement
Board may award the disability to the member’s
beneficiary provided an option selection form indicating
Option One or Option Two had been received by the
Retirement Board prior to the member’s death.
Page | 116
Employees’ Retirement System of Rhode Island
And
Municipal Employees’ Retirement System
Regulation No. 10
Rules Regarding the Operation and Administration of Rhode Island
General Laws 16-16-1(12) and 16-16-5 regarding creditable service as a
teacher member of the Employees Retirement System of Rhode Island
Page | 117
SECTION (1)
Regulation Summary
This regulation governs the determination of creditable service for teacher members of
the Employees’ Retirement System of Rhode Island (ERSRI). This regulation does not
apply to state employee members, members of the Municipal Employees’ Retirement
System (MERS), or members of the Judicial Retirement Plan or State Police
Retirement Plan.
SECTION (2)
Section Two: Definitions
School Year: “School year” shall be defined as the number of days required by
R.I. G.L. 16-2-2 that school be in session.
SECTION (3)
Section Three: Statutory Standard
Every teacher as defined in R.I.G.L. 16-16-1(a)(12)who is an active member of the
Employees Retirement System of Rhode Island shall be eligible for one year of service
credit for each school year served as a teacher.
SECTION (4)
Section Four: Service Credit for Classroom Teachers
In those years in which a teacher works less than the total number of days in a school
year the Employees’ Retirement System will award service credit according to the
following schedules:
a) For service credits accrued prior to November 17, 2011, the following schedule
shall apply:
45 days
= 3 months service credit
67 days
= 6 months service credit
91 days
= 9 months service credit
135 days
= 1 year service credit
b) For service credits accrued on and after November 17, 2011, service credits are
calculated on a proportional basis based on days worked and the following
schedule shall apply:
45 days
= 3 months service credit
90 days
= 6 months service credit
135 days
= 9 months service credit
180 days
= 1 year service credit
Page | 118
For example, a Teacher is able to retire as of November 9, 2013. How much credit will be
awarded for the 2013-2014 school year?
Step 1.
Count the number of days to November 9 from the beginning of the
school year i.e., September 1st = 47 days
Step 2.
Divide the number of school days by 180 47/180 = .2611
Step 3.
Multiply .2611 x 12 months .2611 x 12 = 3.1332
The result is 3.1332 months. To get the days, multiply .1332 x 30 days which is 4
days. Therefore, the Teacher will get 3 months and 4 days of credit for the 2013-
2014 school year.
SECTION (5)
Section Five: Effective Date
This regulation shall take effect upon promulgation.
Page | 119
Employees’ Retirement System of Rhode Island
And
Municipal Employees’ Retirement System
Regulation No. 11
Rules Regarding the Operation and Administration of Rhode Island
General Laws 16-16-8.1, 36-9-41 and 45-21-64 regarding Purchase of
service credits payable by installment
Page | 120
TABLE OF CONTENTS
SECTION ONE: REGULATION SUMMARY ..................................................... 121
SECTION TWO: DEFINITIONS ........................................................................... 121
SECTION THREE: PROCEDURE ........................................................................ 121
SECTION FOUR: GENERAL POLICIES ............................................................. 123
SECTION FIVE: EFFECTIVE DATE ................................................................... 123
Page | 121
Section (1) Regulation Summary
This regulation governs procedure for installment payments on optional service credits
purchases (OSC) to members of the State and Teacher Retirement System (ERS) and
Municipal Employees Retirement System (MERS).
Section (2) Definitions
Regular Interest – Shall mean interest paid on a lump sum purchase as defined in 36-8-
1(14).
Active Member – Shall be defined as is in RIGL 36-8-1 (2), 16-16-1(1) and 45-21-2
(2).
Installment Interest – Shall be defined as the actuarial assumed rate of return adopted
by the board pursuant to RIGL 36-8-13.
Prorated Agreement – Shall be calculated using a fraction. The numerator shall be the
number of payments made on the installment agreement and the denominator shall be
the total number of payments required to complete the agreement. This fraction shall
be multiplied by the total years of service being purchased through the installment. For
example:
Total installment payments – 12
Total time being purchased – 7years, 0 months, 0 days
Installment payments made before termination – 6
(a) 6/12 = 0.5
(b) 0.5 x 7years = 3.5
Service awarded at time of termination is 3 years, 6 months, 0
days
Section (3) Procedure
1) ERSRI will first create a cost calculation for the service being purchased based on
parameters (member-specific data, rules relative to the plan, type of service being
purchased, etc.) pursuant to Rhode Island General Laws. The member shall select
to purchase the service credits through either a lump-sum payment or an approved
installment plan.
Page | 122
a) A member may not enter into an installment agreement and make a lump sum
payment, nor may a member enter into a lump sum agreement and make
installments. The payment selection made is irrevocable consistent with federal
law.
2) Installment agreements are calculated on an amortized payment schedule using
interest at the actuarial assumed rate of return adopted by the board.
a) Neither installment interest or regular interest is posted to a member account.
Neither is refundable. Only the principal portion (or the portion that is
effectively the missing contributions on wages being replaced) is posted to the
member account.
b) Agreements, which will be paid using “rollover” funds, must be set up to accept
rollover money at their creation. An agreement that has not been set-up to
accept rollover funds must be cancelled, and a new agreement created if the
member wishes to pay with rollover monies. This will require the cancelled
agreement to be prorated.
c) The service is not awarded nor are contributions posted to the member account
until the agreement has been completed or prorated due to cancellation of the
agreement. Therefore, member account balances are not affected over the life
of an installment agreement. In the member annual statement, summary
information regarding ”in process” and ”completed” purchase agreements will
be included.
d) Payment frequencies from active Member Agencies on installment agreements
are set at one (1) per month. Early payments cannot be applied to principal,
thereby changing the structure of the agreement. Therefore, the total interest on
an installment payment plan will remain the same throughout the life of the
agreement.
e) Payments on installment agreements may be accepted from active Member
Agencies (via payroll deduction.) The payment frequency is fixed at one (1)
per month; the employer shall conform to all the reporting and transmittal of
OSC funds on a monthly basis, regardless of their wage and contribution
reporting frequency.
(1) In the event, an employer becomes delinquent remitting payments to
ERSRI on installment agreements, the member shall not be held in
default and the agreement shall not be cancelled. ERSRI may seek
penalty interest from the employer.
3) Pursuant to RIGL 45-26-56, 45-21-12.1, 36-9-20, and 16-16-8, requiring the present
value of accrued benefits (PVAB) be transferred from one employer reserve to
another at the time a member changes employment, installment agreements must be
prorated and posted to the member account at the time of the termination of
employment. Proration of an agreement results in service and contributions being
Page | 123
reported to the plan and employer reserve that the member belongs to at the time
the agreement is entered into.
a) Therefore, since the agreement is irrevocable the member will be required to
continue the purchase of the remaining allowable service with a new agreement
after being enrolled with the new employer.
Section (4) General Policies
1) Should someone cease being an active member prior to completion of the
installment agreement for any reason, including death and termination (both
voluntary and involuntary), the agreement will become null and void at the
effective date of termination and will be prorated at the time of termination. If
applicable, the member may have the option of paying in lump sum, the amount
necessary to complete the service credit originally provided in the installment
agreement. These payments must be received by ERSRI within 30 business days
from the effective date of termination.
a) In case of the death of an active member with an active installment agreement,
the beneficiary shall be provided the option of completing the agreement by
making a lump-sum payment for the outstanding balance of the agreement at
the time of the participants death The procedure shall be that the installment
agreement becomes null and void at the effective date of termination and will
be prorated at the time of termination.
i) If applicable, funds from the death benefit payment may be used toward the
lump-sum payment of the cancelled agreement. The beneficiary will be
required to execute ERSRI transfer documents to effectuate the transfer of
the death benefit.
2) If an agreement needs to be prorated for any reason and a lump sum is computed,
interest on the lump sum shall be computed to the date of termination of
employment, death or cancellation of the agreement.
Section (5) Section Five: Effective Date
This regulation shall take effect January 1, 2002
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Employees’ Retirement System of Rhode Island
Regulation No. 12
Rules regarding Rhode Island General Laws §36-10-14 and §16-16-16
concerning retirement for accidental disability and the definition of the
terms of “aggravation” and “reinjury”.
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Section (1)
INTRODUCTION
This Administrative Rule pertaining to the definition of “aggravation” is promulgated
pursuant to Rhode Island General Laws Section 36-8-3. The Rules shall be applicable to
all applications for disability pensions under RIGL § 36-10-14 and § 16-16-16.
Section (2)
DEFINITIONS
a) “Aggravation” shall mean an intervening work-related trauma that independently
contributes to a member’s original injury that amounts to more than the natural
progression of the preexisting disease or condition, and is not the result of age or
length of service. The intervening independent trauma causing the aggravation
must be an identifiable event or series of work-related events that are the
proximate cause of the member’s present condition of disability.
b) “Reinjury” shall mean a recurrence of the original work-related injury from a
specific ascertainable event. The specific event must be the proximate cause of
the member’s present condition of disability.
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Employees’ Retirement System of the State of Rhode Island
and
Municipal Employees’ Retirement System of the State of Rhode Island
REGULATION 13
Definitions for Use in Administration of the Employees’ Retirement
System of the State of Rhode Island and the Municipal Employees’
Retirement System of the State of Rhode Island, Regarding Rhode Island
General Laws Title 45, Chapter 21.2, and the definitions of Police Official,
Police Officer and Firefighter.
Promulgated: November 21, 2011
Effective: December 11, 2011
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Section (1)
INTRODUCTION
The Retirement Board of the Employees’ Retirement System of the State of Rhode Island
and the Municipal Employees’ Retirement System of the State of Rhode Island, is vested
with authority to establish rules and regulations for the administration and transaction of the
business of the Retirement Systems, in connection with its management of the various
retirement and pension plans that provide retirement, survivor and disability benefits for state
employees, public school teachers, and participating municipal employees.
It is the intent of the Administrative Rules set forth herein to provide uniform definitions for
use by the Retirement Board in administering and transacting the business of these
Retirement Systems, and the various pension and retirement plans the Board is entrusted with
managing.
Statutory References: R.I.G.L. §36-8-3; §45-21-32, §45-21.2-1, et seq.; and §16-16-1, et seq.
Section (2)
DEFINITIONS
I.
POLICE OFFICIAL, POLICE OFFICER
a) For purposes of Title 45, Chapter 21.2 of the Rhode Island General Laws, entitled
Optional Retirement for Members of Police Force and Fire Fighters, the terms
“Police Official” or “Police Officer” shall mean those employees who meet the
following criteria:
1) Such employees must have successfully graduated from a recognized
police academy; and
2) Such employees must maintain all of the qualifications required
during any period of employment in law enforcement in either a
municipal or state department; and
3) Such employees must be regular and permanent uniformed members
of a municipal or state police force, and
4) The primary function of such employees is to regularly and routinely
engage in the delivery of crime prevention services.
b) “Police Official” or “Police Officer” shall only be deemed to include dispatchers and
administrative or clerical staff if the employee satisfies the requirements set forth in
sections (a)(1) through (a)(4) above, and:
1) The functions are performed on a temporary or limited basis; or
2) As a result of a physical or mental limitation of the member, such
dispatcher or administrative or clerical position is the only position
available.
II.
FIRE FIGHTER
a) For purposes of Title 45, chapter 21.2 of the Rhode Island General Laws, entitled
Optional Retirement for Members of Police Force and Fire Fighters, the term “Fire
fighter” shall mean those employees who meet the following criteria:
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1) Such employees must have successfully completed all local hiring
and state requirements for becoming a firefighter in a state, city,
town, fire district, Municipal Corporation, or in a city, town, or fire
district
rescue/emergency
medical
service
organization.
Requirements may include, but are not necessarily limited to,
successful completion of any and all requisite trainings, successful
completion of any and all physical performance, written and/or
psychological examinations, and/or graduation from a recognized
training academy;
2) Such employees must successfully maintain all of the required
qualifications, certifications and licenses during any period of
employment in a fire fighting or rescue/emergency medical service
organization as provided for in departmental rules and regulations
and collective bargaining agreements, all subject to review and
approval by ERSRI should a conflict or misinterpretation exist, and
3) Such employees must be either:
a. Regular and full-time permanent uniformed members of
a municipal or state firefighting service, fire district,
fire department or municipal corporation whose
primary function is to regularly and routinely engage in
firefighting/suppression activities, hazardous materials
mitigation, fire prevention and training; or
b. A regular and permanent member of a city or town
rescue/emergency medical service organization or a
municipal corporation whose primary function is to
regularly and routinely engage in the delivery of rescue
or emergency medical services as their primary
function.
b) The term “Fire fighter” shall not include those positions that do not regularly and
routinely engage in the duties as described above such as fire truck or vehicle
mechanics, dispatchers, apparatus maintenance personnel, clerical or administrative
positions, and any other non-firefighter or non-emergency medical personnel
positions.
c) The term “Fire fighter” shall only be deemed to include dispatchers and
administrative or clerical staff if the employee satisfies the requirements set forth in
sections (a)(1) through (a)(3) above, and:
1) The functions are performed on a temporary or limited basis pending
transition to a Fire fighter; or
2) As a result of a physical or mental limitation of the member, such
dispatcher or administrative or clerical position is the only position
available.
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III.
REGULAR AND PERMANENT
“Regular and permanent full-time” shall mean usual, customary, not a substitute, established
and lasting or intended to last indefinitely without change.
Section (3)
EFFECTIVE DATE
This Rule shall become effective upon adoption by the Board, and shall have prospective
application from the date of adoption.
For active members who contribute to the Municipal Employees’ Retirement System under
Rhode Island General Laws Title 45, Chapter 21.2 as of the date of adoption, and do not meet
the standard of this regulation, the ERSRI will evaluate the member(s) and determine if they
substantially meet the spirit of this promulgated regulation. If the Board makes a
determination that the member(s) do not meet the spirit of the standard, member
contributions in excess of what is required under RIGL §45-21.2-14 and/or §45-21.2-22 shall
be returned to the member and the member will be enrolled in the Municipal Employees’
Retirement System consistent with Title 45, Chapter 21.
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Employees’ Retirement System of the State of Rhode Island
Regulation No. 14
Rhode Island Retirement Security Act of 2011 Regulations
Effective: September 6, 2013
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REGULATION 14.1 – CONCERNING THE INTERPRETATION OF THE PROCEDURE FOR
SERVICE RETIREMENT STATUTES UNDER TITLES 36, 45 AND 16.
SECTION (1)
INTRODUCTION
This Administrative Rules pertaining to the Rhode Island Retirement Security Act of 2011 are
promulgated pursuant to Rhode Island General Laws Section 36-8-3.
SECTION (2)
APPLICATION OF §16-12-12 (C)(IV)
The language in RIGL §16-16-12(c)(iv) differs slightly from language in RIGL §36-10-9(c)(iv)
and RIGL §45-21-16(ii)(D). The Retirement Board endeavors to interpret the language of each
of these procedures for service retirement statutes consistently with one another.
Accordingly, the reference to this section found in the first sentence of RIGL §16-16-12 (c)(iv)
shall be interpreted to mean section 16-16-12 (c).
REGULATION 14.2 – CONCERNING THE INTERPRETATION OF THE DEFINITION FOR
AVERAGE COMPENSATION UNDER §36-8-1(5)(B)
SECTION (1)
INTRODUCTION
This Administrative Rule pertaining to the Rhode Island Retirement Security Act of 2011 is
promulgated pursuant to Rhode Island General Laws Section 36-8-3.
SECTION (2)
APPLICATION OF §36-8-1(5)(B)
Under this section, for members who become eligible to retire on or after July 1, 2012, if more
than one half (1/2) of the member’s total years of service consist of years of service during which
the member devoted less than thirty (30) business hours per week to the service of the state, but
the member’s average compensation consists of three (3) or more years during which the
member devoted more than thirty (30) business hours per week to the service of the state, the
member’s average compensation shall mean the average of the highest ten (10) consecutive years
of compensation within the total service when the average compensation was the highest.
The Retirement Board recognizes that one of the intentions of the Rhode Island Retirement
Security Act of 2011 is to protect a member’s accrued benefit on June 30, 2012. See, e.g.,
R.I.G.L. Sections 36-10-9, 16-16-12, 45-21-16, 45-21-2(8), 45-21.2-5, 45-21.2.2, and 42-28-22.
Furthermore, the Retirement Board recognizes the need for a consistent method of interpretation
and administration of the provisions of the Act wherever possible, in order to efficiently and
fairly administer the retirement systems. The Retirement Board further recognizes that R.I.G.L.
§§ 45-21-2(8) and 45-21.2-2 specifically protect a member’s accrued benefit on June 30, 2012,
consistent with the Rhode Island Retirement Security Act of 2011, by providing that in no event
shall a member’s final compensation be lower than his or her final compensation determined as
of June 30, 2012. In order to ensure fairness and consistency in its interpretation and
administration of the retirement systems, and consistency with the expressed intention of the
Rhode Island Retirement Security Act of 2011, the Retirement Board shall interpret and
Page | 132
administer R.I.G.L. §36-8-1(5)(b) consistently with R.I.G.L. §§45-21-2(8) and 45-21.2-2, and in
no event shall it deem a member’s average compensation to be less than his or her average
compensation determined as of June 30, 2012.
REGULATION 14.3 – CONCERNING THE DESIGNATION OF “PAY-GO” JUDGES
CONTRIBUTIONS AS 414(H)(2) CONTRIBUTIONS AND ADOPTION OF TRUST
AGREEMENT EFFECTIVE JULY 1, 2012
SECTION (1)
INTRODUCTION
This Administrative Rules pertaining to the Rhode Island Retirement Security Act of 2011 are
promulgated pursuant to Rhode Island General Laws Section 36-8-3.
SECTION (2)
MEMBER CONTRIBUTIONS
For purposes of Sections §8-3-16, §8-8-10.1, §8-8.2-7 and §28-30-18.1, contributions
commencing July 1, 2012 for judges hired on or before December 31, 1989, shall be designated
as contributions within the meaning of Internal Revenue Code Section 414(h) and shall be made
to a trust established effective July 1, 2012.”
REGULATION EFFECTIVE DATE
These Rules shall become effective upon adoption by the Board. Thereafter, the Board shall file
a copy of these Rules with the Secretary of State.
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Employees’ Retirement System of the State of Rhode Island, Municipal
Employees’ Retirement System of the State of Rhode Island, Judicial
Retirement Benefits Trust and State Police Retirement Benefits Trust
Regulation No. 15
Access to Public Records
Effective: September 6, 2013
Page | 134
TABLE OF CONTENTS
SECTION 1.
INTRODUCTION ................................................................................................ 135
SECTION 2.
DESIGNATED PUBLIC RECORDS OFFICER ................................................. 135
SECTION 3.
PUBLIC RECORDS REQUESTS ........................................................................ 135
SECTION 4.
ADDITIONAL INFORMATION ......................................................................... 136
Page | 135
SECTION (1)
Introduction
In accordance with Rhode Island General Laws (RIGL) §38-2-3(d), the Employees’
Retirement System of Rhode Island (ERSRI)and Municipal Employees’ Retirement
System (MERS) has instituted the following procedures to help you obtain public records
from our agency. ERSRI and MERS are state administered retirement systems.
SECTION (2)
Designated Public Records Officer
The designed public records officer for the Employees’ Retirement System of Rhode
Island is:
Internal Legal Counsel
Employees’ Retirement System of Rhode Island
50 Service Avenue, 2nd Floor
Warwick, RI 02886
(401) 462-7616 (phone)
(401) 462-7691 (fax)
APRA@ersri.org
SECTION (3)
Public Records Requests
A. If you wish to make a public records request, please follow the instructions below:
1. For all non-media requests, please hand deliver, mail, email or fax a written
request to the attention of the designated public records officer. The contact
information for the designated public records officer is listed above.
2. For all media requests, please contact the media relations person at the Office
of the General Treasurer at (401) 222-2397.
3. A written request is not required for information available pursuant to RIGL
§42-35-2 (Administrative Procedures Act) or other documents prepared for or
readily available to the public.
B. The following instructions are recommended by the Employees’ Retirement
System of Rhode Island:
1. In order to ensure that you are provided with the public records you seek in an
expeditious manner, we ask that you complete the Public Records Request
Form located in our office and on our website at www.ersri.org.
2. In lieu of completing the form, please provide your name and contact
information in order to clarify any questions or concerns that may arise
pertaining to your request.
Page | 136
3. To the greatest extent possible, clearly describe and numerically itemize each
requested document or item.
4. Please provide the office with instructions pertaining to the method you would
prefer to receive the information. For example, write whether you would
prefer to have the requested materials mailed or emailed to you.
SECTION (4)
Additional Information
C. We may ask you the reason for your request. However, you are not required to
provide your identification or the reasons you seek the information. Your right to
access public records will not depend upon providing identification or reasons.
D. The Rhode Island Access to Public Records Act (APRA) is codified in Chapter 2
of Title 38 of the Rhode Island General Laws (RIGL). Please visit the following
link to review the law: http://webserver.rilin.state.ri.us/Statutes/TITLE38/38-
2/INDEX.HTM
E. Please be advised that the Access to Public Records Act permits a public body ten
(10) business days to respond, which can be extended an additional twenty (20)
business days in accordance with the statute.
F. ERSRI reserves the right to charge for the cost of copying and/or search and
retrieval of records. Before assessing any costs, the office will notify you of the
anticipated costs. The cost per copied page of written documents provided shall
not exceed fifteen cents ($0.15) per page. Hourly costs for search and retrieval
shall not exceed fifteen dollars ($15.00) per hour and no costs shall be charged for
the first hour of a search or retrieval.
G. If you feel that you have been denied access to public records, you have the right
to file an appeal to the Executive Director of ERSRI. If you are still not satisfied,
you have the right to file a complaint with the Attorney General or file suit in
Superior Court.
H. A copy of the Attorney General’s Guide to Open Government can be found at:
http://www.riag.ri.gov/civil/opengovernment.
I. The Office of the General Treasurer's website and the Employees' Retirement
System of Rhode Island's (ERSRI) website are great resources to access public
information. Please do not hesitate to call the offices for assistance navigating
through the websites. The links to the websites and the office numbers are as
follows:
Treasury:
http://www.treasury.ri.gov/
(401) 222-2397
ERSRI:
https://www.ersri.org/
(401) 462-7600