Yes, that’s correct, Rhode Island still observes VJ-Day (actually, they officially call it Victory Day) as a paid holiday.  They’re the last state that does this. Arkansas was the last state other than RI that recognized it, but dropped it back in the 1970’s.

Why Rhode Island? It’s said that the population of their state had such a huge presence in the war (1 out of 10 Rhode Islanders served) especially in the navy, that it’s become engrained in their state. I’m sure having a day off in August hasn’t hurt to continue to carry on this tradition and the fact that nearby Massachusetts has a uniquely paid holiday of their own, Patriots Day in April, hasn’t hurt.