(a) Benefits generally. This section applies to the benefits of:
(1) participants who, before February 1, 1997, retire under the Detention Officers' and Deputy Sheriffs' Retirement Plan; and
(2) participants who retire on or after February 1, 1997 under the Detention Officers' and Deputy Sheriffs' Retirement Plan, to the extent that the benefit is attributable to credited service and final average basic pay calculated as of February 1, 1997.
(b) Cost-of-living adjustment. A cost-of-living adjustment shall be calculated in accordance with this section commencing each July 1 following:
(1) the retirement date of a participant; or
(2) the death of a participant whose spouse or minor children are eligible for monthly death benefit payments.
(c) Monthly benefits. Except as provided in subsection (h), the monthly amount of benefit payable is subject to cost-of-living adjustments based on the "Consumer Price Index (Urban Wage Earners and Clerical Workers)", published monthly by the Bureau of Labor Statistics. The adjustment for each plan year is determined by dividing the "Consumer Price Index" for the fourth month preceding July 1 by the "Consumer Price Index" for the fourth month prior to the immediately preceding July 1.
(d) Eligibility for cost-of-living adjustments. The following individuals are eligible for a cost-of- living adjustment on any July 1:
(1) a payee who received a benefit payment during the month of September immediately preceding that July 1; and
(2) the spouse or minor children of a participant who received a benefit payment during the month of September immediately preceding that July 1 but who dies prior to July 1, if the spouse or minor children are eligible for a continuation of that benefit payment.
(e) Prorated adjustment. The cost-of-living adjustment shall be prorated by one-twelfth for each month that the payee was receiving benefit payments prior to and including the month of September, subject to a maximum proration of 12/12.
(f) Amount of monthly benefits. The monthly amount of benefit payable during any plan year equals the sum of:
(1) the monthly amount of a participant's accrued benefit as of the participant's retirement date; plus
(2) the cost-of-living adjustment as determined from subsections (c), (d), and (e), applied to the benefit under subsection (f)(1) adjusted to the nearest 0.1%; plus
(3) any previous cost-of-living or other adjustments applicable to the participant, as determined by the Personnel Officer.
(g) Limit on annual increase. An annual increase of a monthly amount of benefit may not exceed 4% of the benefit described in subsection (f)(1).
(h) Index used effective July 1, 2002. Effective with the July 1, 2002 cost-of-living adjustment, the index referred to in subsection (c) shall be replaced with the "Consumer Price Index (All Urban Consumers - U.S. City Average - All Items)". This index shall be used for all participants, and prior increases may not be recalculated.
(i) Amount not reduced. The monthly amount of a benefit may not be reduced by a negative cost- of-living adjustment to an amount below the monthly amount of base benefit payable to the participant or the participant's duly named joint annuitant or beneficiary.
(1985 Code, Art. 7, § 7-104) (Bill No. 90-01; Bill No. 23-04)