INSERT FOR PROPOSED COST-OF-LIVING ADJUSTMENT AMENDMENT

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP75B00380R000700120035-8
• Release Decision: RIFPUB
• Original Classification: K
• Document Page Count: 5
• Document Creation Date: December 16, 2016
• Document Release Date: June 1, 2005
• Sequence Number: 35
• Content Type: REQ

Approved For Release 2005/06/09 : CIA-RDP75B00380R000700120035-8
INSERT FOR PROPOSED COST-OF-LIVING ADJUSTMENT AMENDMENT
This insert is necessary to offset annuity increases payable
1 April 1967 under existing law which may become effective prior to
enactment of the proposed cost-of-living adjustment amendment.
The following subsection should be inserted as Subsection 291(a)(2)
and the present 291(a)(2) will become 291(a)(3).
Insert either:
"SEC. 291. (a) ...
(1) ...
(2) Those annuities increased by the cost-of-living
provisions of the Central Intelligence Agency Retirement
Act of 1964 for Certain Employees prior to the enactment
of this amendment shall be adjusted to reflect the percentage
increase under subsection (1)."
or:
"SEC. 291. (a) ...
(1) ...
(2) The annuities increased by subsection (1) shall be
decreased by the amount of any increases granted pursuant to
Sec. 291 of the Central Intelligence Agency Retirement Act
of 1964 for Certain Employees prior to enactment of this
amendment.
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SEC. 291. (a) On the basis of determinations made
by the Director pertaining to per centum change in the price
index, the following adjustments shall be made:
(1) Each annuity payable from the fund
on January 1, 1967, shall be increased on that
date by (a) 12.4 per centum for annuities which
commence on or before January 1, 1966, or (b)
4. 9 per centum for annuities which commence
on or between January 2, 1966, and January 1,
1967.
(2) Each month beginning with November
1966 the Director 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 centum rise in the price
index (calculated on the highest level of the price
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index during the three consecutive months)
adjusted to the nearest one-tenth of 1 per
centum.
(b) Eligibility for an annuity increase under this sec-
tion shall be governed by the commencing 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
221 (c)), which annuity commences the day after
annuitant's death and after January 1, 1967, shall
be increased by the total per centum increase the
annuitant was receiving under this section at death.
(2) Effective from its commencing date, an
annuity payable from the fund to a child under sec-
tion 221 (c), which annuity commences the day after
annuitant's death and after January 1, 1967, shall
be increased by (a) 2 per centum if the annuity from
which it is derived commenced on or before January
1, 1966, or (b) 1 per centum if the annuity from which
it is derived commenced on or between January 2,
1966 and January 1, 1967.
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-2-
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(3) For the purposes of computing an
annuity which commences after January 1, 1967,
to a child under section 221 (c), the items $600,
$720, $1, 800, and $2, 160 appearing in section
221 (c) shall be increased by 10. 2 per centum plus
the total per centum increase allowed and in
force under section 291 (a) (2) for employee annuities,
and, in case of a deceased annuitant, the items
40 per centum and 50 per centum appearing in
section 221 (c) shall be increased by the total
per centum increase allowed and in force under
this section to the annuitant at death.
(c) 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 of October 1966 for the first
increase under section 291 (a) (2) and thereafter the month
for which the price index showed a per centum rise forming
the basis for a cost-of-living annuity increase.
(d) No increase in annuity provided by this section
shall be computed on any additional annuity purchased at
retirement by voluntary contributions.
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(e) The monthly installment of annuity after adjust-
ment under this section shall be fixed at the nearest dollar,
except that such installment shall after adjustment reflect
an increase of at least one dollar.
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