(a)  Upon withdrawal from the system, the retirement board retains in the system from contributions made by the members from the municipality and by the municipality the following amounts:

(1)  An amount equal to the actuarial value, determined in accordance with the actuarial tables in use by the system, of the retirement and disability allowances in force, being paid to former employees of the municipality who were granted allowances as members of the system or to the beneficiaries of those members;

(2)  An amount equal to the actuarial value of deferred annuities to members who have not retired but who have acquired a vested right to a retirement allowance who may desire to maintain that vested right; and

(3)  An amount equal to the accumulated contributions of the members who have not acquired a vested right which shall be refunded to those members.

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Terms Used In Rhode Island General Laws 45-21-6

  • Accumulated contributions: means the sum of all amounts deducted from the compensation of a member and credited to his or her individual account in the members' contribution reserve account. See Rhode Island General Laws 45-21-2
  • board: means the state retirement board created by chapter 8 of Title 36. See Rhode Island General Laws 45-21-2
  • Municipality: means any town or city in the state of Rhode Island, any city or town housing authority, fire, water, sewer district, regional school district, public building authority as established by chapter 14 of Title 37, or any other municipal financed agency to which the retirement board has approved admission in the retirement system. See Rhode Island General Laws 45-21-2
  • Remainder: An interest in property that takes effect in the future at a specified time or after the occurrence of some event, such as the death of a life tenant.

(b)  Any remainder in the system after providing for the foregoing amounts shall be paid over to the municipality in such amount as the retirement board shall in its sole discretion determine to be prudent and legally permissible; provided, that if no remainder exists and a deficiency to pay those amounts has accumulated, the municipality is liable to the system for the amount of the deficiency as provided in this section.

History of Section.
P.L. 1951, ch. 2784, § 4; G.L. 1956, § 45-21-6; P.L. 2011, ch. 408, § 11; P.L. 2011, ch. 409, § 11.