Arizona Laws 38-905.05. Cost-of-living adjustment; members hired on or before June 30, 2018
A. For members hired on or before June 30, 2018, each retired member or survivor of a retired member is eligible to receive a compounding cost-of-living adjustment in the base benefit as provided in this section. The first payment under this section shall be made immediately following the first year the cost-of-living adjustment specified in subsection C of this section is paid. The cost-of-living adjustment shall be made on July 1 each year thereafter.
Terms Used In Arizona Laws 38-905.05
- Determination: means a written document that indicates to a participant and alternate payee whether a domestic relations order qualifies as a plan approved domestic relations order. See Arizona Laws 38-881
- plan: means the corrections officer retirement plan established by this article. See Arizona Laws 38-881
- retired: means termination of employment after a member has fulfilled all requirements for a pension or, for an employee who becomes a member of the plan on or after January 1, 2012, attains the age and service requirements for a normal retirement date. See Arizona Laws 38-881
- Retired member: means an individual who terminates employment and who is receiving a pension pursuant to either section 38-885 or 38-886. See Arizona Laws 38-881
- United States: includes the District of Columbia and the territories. See Arizona Laws 1-215
B. A retired member or a survivor of a retired member shall receive annually a cost-of-living adjustment in the base benefit based on the average annual percentage change in the metropolitan Phoenix-Mesa consumer price index published by the United States department of labor, bureau of labor statistics, with the immediately preceding year as the base year for making the determination, not to exceed annually two percent of the retired member’s or survivor’s base benefit.
C. In the first year of a member’s retirement, the cost-of-living adjustment specified in subsection B of this section shall be prorated based on the date of retirement.
D. The plan‘s actuary shall include the projected cost of providing the cost-of-living adjustment specified in subsection B of this section in the calculation of normal cost and accrued liability.