9359.06. (a) The cost-of-living adjustments under Section 415(d) of the Internal Revenue Code to the limits described in Section 415(b) of the Internal Revenue Code, as prescribed by the regulations of the Department of the Treasury of the United States, are hereby incorporated by reference and shall continue to apply after a member’s severance from employment or annuity starting date. The amount payable to a member in any limitation year, including cost-of-living adjustments provided under this chapter, shall not exceed the limit applicable under Section 415(b) of the Internal Revenue Code at the annuity starting date, as increased in subsequent years pursuant to Section 415(d) of the Internal Revenue Code and the associated regulations.
(b) Notwithstanding any other law, and except as provided in subdivision (a), the retirement allowance of a member shall be increased to reflect cost-of-living adjustments to the limits contained in Section 415 of Title 26 of the United States Code as provided in Section 415(d) of that code, provided that the member’s allowance determined without regard to Section 415 equals or exceeds the applicable limit as indexed. Nothing in this section is intended to, nor shall be construed to, entitle a retired member to an adjustment to their allowance in excess of that provided pursuant to this chapter.
(c) Nothing in this section shall change the formula used to calculate benefits under this chapter.
(Added by Stats. 2021, Ch. 304, Sec. 1. (AB 1293) Effective January 1, 2022.)