Page:United States Statutes at Large Volume 79.djvu/880

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PUBLIC LAW 89-205-SEPT. 27, 1965

[79

STAT.

Public Law 89-205 September 27, 1965 [H. R. 8469]

Civil service retirement and disability fund. Annuities. 76 Stat. 869.

70 Stat. 759.

Cost-of-living adjustment. 76 Stat. 869.

62 Stat. 52; 64 Stat. 320; 72 Stat. 219. 5 USC 2259 notes.

Eligibility.

70 Stat. 754. 5 USC 2260.

AN ACT To pr<Ai(le certain increases in annuities payable from the civil service retirement and disability fund, and for other purposes.

Be ft enacted by the Senate and House of Repremntdttces of the United States of America in Gongresn aMHemhled^ That (a) section l (t) of the Civil Service Retirement Act, as amended (o U. S. C 2251 (t)), is amended to read as follows: " (t) The term 'price index' shall mean the Consumer Price Index (all items—United States city average) published monthly by the Bureau of Labor Statistics. The term 'base month' shall mean the month for which the price index showed a per (lentum rise forming the basis for a cost-of-living annuity increase.'' (b) Section 17(a) of such Act, as amended (5 I '. S. ( \ 2267(a)), is amended by inserting inmiediately before the period at the end thereof the following: ", and for payment of administrative ex^jenses incurred by the Commission in placing in effect each annuity adjustment granted under section 18 of this Act''. (c) Section 18 of such Act, as amended (5 T.'.S.C. 2268), is amended to read as follows: ''SFX. 18. (a) Effective the first day of the third month which begins after the date of enactment of this amendment each annuity payable from the fund which has a commencing date not later than such effective date shall be increased by (1) the per centum rise in the price index, adjusted to the nearest one-tenth of 1 per centum, determined by the Commission on the basis of the annual axerage price index for calendar year 1962 and the price index for the month latest published on date of enactment of this amendment, plus (2) 6I/2 per centum if the commencing date (or in the case of the survivor of a deceased annuitant the commencing date of the annuity of the retired employee) occurred on or before October 1, 1956, or Xy^ per centum if the commenchig date (or in the case of the survivor of a deceased annuitant the commencing date of the annuity of the retired employee) occurred after October 1, 1956. The month used in determining the increase based on the per centum rise in the price index mider this subsection shall be the base month for determining the j^er centum change in the price index until the next succeeding increase occurs. Each survivor annuity authorized (1) by section 8 of the Act of May 29, 1930, as amended to July 6, 1950, or (2) by section 2 of Public Law 85-465, shall be increased by any additional amount which may be required to make the total increase under this subsection equal to 15 per centum or $10 per month, whichever is the lesser. " (b) Each month after the first increase under this section, the Commission shall determine the per centum change in the price index. Effective the first day of the third month which begins after the price index shall have equaled a rise of at least 3 'per centum for three consecutive months over the price index for the base month, each annuity payable from the fund which has a commencing date not later than such effective date shall be increased by the per centujii rise in the price index (calculated on the highest level of the price index during the three consecutive months) adjusted to the nearest one-tenth of 1 per centum. "(c) Eligibility for an annuity increase under this section shall be governed by the conmiencing date of each annuity payable from the fund as of the effective date of an increase, except as follows: "(1) Effective from its commencing date, an annuity payable from the fund to an annuitant's survivor (other than a child entitled under section 1 0 (d)), which annuitj'^ commences the day

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