WA SB5113

Establishes an ongoing annual cost-of-living adjustment (COLA) for Plan 1 retirees of the Teachers' Retirement System (TRS) and Public Employees' Retirement System (PERS), beginning July 1, 2026, based on the Seattle-area Consumer Price Index

Provides a one-time 3% benefit increase effective July 1, 2025, for TRS Plan 1 and PERS Plan 1 beneficiaries, with no dollar cap (previous increases were capped at $110)

Caps future annual COLAs at 3% and limits year-over-year changes to no more than 3%, with protections ensuring benefits cannot decrease below the original allowance amount

Consolidates costs of prior COLAs (from July 2018 through June 2025) with new ongoing COLA costs and amortizes them over a 15-year period to support employer contribution rate stability

Takes effect July 1, 2025, and is declared an emergency measure necessary for support of state government and public institutions