b'Capital Region Airport Commission NOTES TO FINANCIAL STATEMENTS June 30, 2025 and 2024 Note 8.PENSION PLAN (continued) Average Final compensation and Service Retirement Multiplier The VRS defined benefit is a lifetime monthly benefit based on a retirement multiplier as a percentage of the employees average final compensation multiplied by the employees total service credit. Under Plan 1, average final compensation is the average of the employees 36 consecutive months of highest compensation and the multiplier is 1.70% for non-hazardous duty employees, 1.85% for sheriffs and regional jail superintendents, and 1.70% or 1.85% for hazardous duty employees as elected by the employer. Under Plan 2, average final compensation is the average of the employees 60 consecutive monthsofhighestcompensationandtheretirementmultiplieris1.65%fornon-hazardousduty employees, 1.85% for sheriffs and regional jail superintendents, and 1.70% or 1.85% for hazardous duty employees as elected by the employer. Under the Hybrid Plan, average final compensation is the average of the employees 60 consecutive months of highest compensation and the multiplier is 1.00%. For members who opted into the Hybrid Retirement Plan from Plan 1 or Plan 2, the applicable multipliers for those plans will be used to calculate the retirement benefit for service credited in those plans. Cost-of-Living Adjustment (COLA) in Retirement and Death and Disability Benefits Retirees with an unreduced benefit or with a reduced benefit with at least 20 years of service credit are eligible for an annual COLA beginning July 1 after one full calendar year from the retirement date. Retirees with a reduced benefit and who have less than 20 years of service credit are eligible for an annual COLA beginning on July 1 after one calendar year following the unreduced retirement eligibility date. Under Plan 1, the COLA cannot exceed 5.00%.Under Plan 2 and the Hybrid Plan, the COLA cannot exceed 3.00%. The VRS also provides death and disability benefits. Title 51.1 of the Code of Virginia, as amended, assigns the authority to establish and amend benefit provisions to the General Assembly of Virginia. Employees Covered by Benefit TermsAs of the June 30, 2023 and June 30, 2022 actuarial valuations, the following employees were covered by the benefit terms of the pension plan: 20232022 Valuation ValuationInactive members or their beneficiaries currently receiving benefits 142 136Inactive members:Vested inactive members 57 56Non-vested inactive members 143 131Long-term disability (LTD) 1 1Inactive members active elsewhere in VRS 80 71Total inactive members 281 259Active members 151 133Total covered employees 574 52841'