2017 -- H 5747

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LC000862

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     STATE OF RHODE ISLAND

IN GENERAL ASSEMBLY

JANUARY SESSION, A.D. 2017

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A N   A C T

RELATING TO TOWNS AND CITIES - ADJUSTMENT OF DISABILITY PENSIONS

     Introduced By: Representatives Morgan, Chippendale, and Giarrusso

     Date Introduced: March 01, 2017

     Referred To: House Finance

     It is enacted by the General Assembly as follows:

     SECTION 1. Title 45 of the General Laws entitled "TOWNS AND CITIES" is hereby

amended by adding thereto the following chapter:

CHAPTER 21.4

ADJUSTMENT OF DISABILITY PENSIONS

     45-21.4-1. Adjustment of disability allowance upon return to work.

     (a) Definitions.

     (1) "Municipal or quasi-municipal entity" means and includes cities, towns, fire districts,

water districts, wastewater districts, school districts, lighting districts, housing authorities, public

building authorities, redevelopment authorities or any other public or quasi-public authority or

agency created pursuant to state law.

     (b) Adjustment of disability pensions.

     (1) Should the beneficiary of any retirement system supported wholly or in part by a

municipal or quasi-municipal entity be engaged in a gainful occupation, said retirement system

shall adjust, and at least annually readjust, the amount of their disability allowance to an amount

which, when added to the amount of compensation then earned by the beneficiary, shall be in an

amount no greater than the rate of earned compensation in force currently for the classification

that the disability beneficiary held prior to retirement.

     (2) Nothing in the foregoing shall limit a municipal or quasi-municipal entity from

applying a greater adjustment than that described in subsection (b)(1) of this section to a

beneficiary's disability pension based upon any other provision of law or contract.

     (c) Applicability.

     (1) This chapter shall apply to beneficiaries of disability pensions granted either prior to,

or subsequent to, its effective date and shall supersede any special or general laws to the contrary.

     (2) Notwithstanding the foregoing, the provisions of this chapter shall in no way impair

any contract or collective bargaining agreement currently in effect. Any contracts or collective

bargaining agreements, entered into or renewed after the effective date of this chapter, shall be

subject to its provisions.

     45-21.4-2. Severability.

If any provision of this chapter or its application to any person is held unconstitutional or

invalid, such holding shall not affect any other provision or application which can be enforced

without the invalid provision or application as those provisions are declared to be severable.

     SECTION 2. Section 44-30-95 of the General Laws in Chapter 44-30 entitled "Personal

Income Tax" is hereby amended to read as follows:

     44-30-95. General powers of tax administrator.

     (a) General. The tax administrator shall administer and enforce the Rhode Island personal

income tax and is authorized to make any rules and regulations, and to require any facts and

information to be reported, that he or she may deem necessary to enforce the tax. The provisions

of chapter 1 of this title relating to the tax administrator shall be applicable to the Rhode Island

personal income tax.

     (b) Examination of books and witnesses. The tax administrator, for the purpose of

ascertaining the correctness of any return, or for the purpose of making an estimate of Rhode

Island income of any person where information has been obtained, shall have the power to

examine or to cause to have examined, by any agent or representative designated by the tax

administrator for that purpose, any books, papers, records, or memoranda bearing upon the

matters required to be included in the return, and may require the attendance of the person

rendering the return or any officer or employee of the person, or the attendance of any other

person having knowledge in the premises, and may take testimony and require proof material for

its information, with power to administer oaths to the person or persons.

     (c) Secrecy requirement. It shall be unlawful for any state official or employee to divulge

or to make known to any person in any manner whatever not provided by law the amount or

source of income, profits, losses, expenditures, or any particular of them set forth or disclosed in

any return, or to permit any return or copy of the return or any book containing any abstract or

particulars thereof to be seen or examined by any person except as provided by law. It shall be

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unlawful for any person to print or publish in any manner whatever not provided by law any

return or any part thereof or source of income, profits, losses, or expenditures appearing in any

return. Any offense against the foregoing provision shall be punished by a fine not exceeding one

thousand dollars ($1,000), or by imprisonment not exceeding one year, or both, at the discretion

of the court. If the offender is an officer or employee of the state of Rhode Island, the offender

may be dismissed from office or discharged from employment.

     (d) Interstate and federal agreements. The governor or the tax administrator may enter

into agreements with tax officials of other states and the federal government to provide for the

exchange of information and to apportion or otherwise equitably determine taxes for the purposes

of carrying out the provisions of § 44-30-18 and otherwise avoiding multiple taxation.

     (e) Income tax claims of other states. The courts of this state shall recognize and enforce

liabilities for personal income taxes lawfully imposed by any other state which extends a like

comity to this state, and the duly authorized officer of any other state may sue for the collection

of a tax in the courts of this state. A certificate by the secretary of state of the other state that an

officer suing for the collection of a tax is duly authorized to collect the tax shall be conclusive

proof of that authority. For the purposes of this section, the word "taxes" shall include additions

to tax, interest, and penalties, and liability for taxes, additions to tax, interest and penalties shall

be recognized and enforced by the courts of this state to the same extent that the laws of the other

state permit the enforcement in its courts of liability for taxes, additions to tax, interest, and

penalties due this state under this part.

     (f) Small tax balances. The tax administrator is authorized to abate the unpaid portion of

the assessment of any tax, or any liability in respect thereof, if the administrator determines under

uniform rules prescribed by him or her that the administration and collection costs involved

would not warrant collection of the amount due.

     (g) Limited disclosure of information -- Retirement board. The tax administrator shall

disclose to the retirement board of the state of Rhode Island and to the retirement system of

municipal and quasi-municipal entities, as defined in §45-21.4-1, information needed by the

board and the retirement system to implement the provisions of §§ 36-10-17, and 45-21-24, 16-

16-19, and 45-21.4-1. The content and nature of the information to be disclosed shall be

determined and approved by the tax administrator and shall be kept confidential by the board and

the retirement system.

     (h) Limited disclosure of information -- Jury Commissioner. The tax administrator shall

disclose to the jury commissioners of the State of Rhode Island information needed by him or her

to implement provisions of § 9-9-1(d).

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     SECTION 3. This act shall take effect upon passage.

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EXPLANATION

BY THE LEGISLATIVE COUNCIL

OF

A N   A C T

RELATING TO TOWNS AND CITIES - ADJUSTMENT OF DISABILITY PENSIONS

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     This act would require municipal and quasi-municipal entities to annually adjust the

disability pensions of pension beneficiaries according to any compensation earned.

     This act would take effect upon passage.

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