COST OF LIVING ADJUSTMENTS.

SEC. 219. COST OF LIVING ADJUSTMENTS. Paragraph (1) of section 826(c) (22 U.S.C. 4066(c)) is amended to read as follows: “(1) The first increase (if any) made under this section to an annuity which is payable from the Fund to a participant or to the surviving spouse or former spouse of a deceased participant who died in service or a deceased annuitant whose annuity was not increased under this section, shall be equal to the product (adjusted to the nearest 1⁄10 of 1 percent) of— “(A) 1⁄12 of the applicable percent change computed under subsection (b) of this section, multiplied by “(B) the number of months (counting any portion of a month as a month)— “(i) for which the annuity was payable from the Fund before the effective date of the increase, or “(ii) in the case of a surviving spouse or former spouse of a deceased annuitant whose annuity has not 101 STAT. 1776been so increased, since the annuity was first payable to the deceased annuitant.”.