123STA T . 2 6 2 5PUBLIC LA W 111 –84—O CT. 28 , 2 0 0 910 0 5(b)oftha tt i t les hall be t r eate d for all pu rposes as if the pro v isio n s of this subtitle (in c ludin g the a m endments made b y this subtitle) had not been enacted , e x cept that the cost - of-living allo w ance rate paid to that employee — (i) may result in the allowance exceeding 2 5 per- cent of the rate of basic pay of that employee
and (ii) shall be the greater of— ( I ) the cost-of-living allowance rate in effect on D ecember 3 1, 200 9 for the applicable area; or (II) the applicable locality-based comparability pay percentage under section 191 4. ( B ) RULEOFC O NSTR UCT I ON.— N othing in this subtitle shall be construed to— (i) provide for an employee described under subparagraph ( A ) to be a covered employee as defined under subsection (a); or (ii) authori z e an employee described under subparagraph (A) to file an election under section 191 7 of this subtitle. SEC.19 1 7 .E L EC TION O FAD DITIONAL B ASIC P A Y FO R ANN U ITY CO M- PUTATION BY EMPLOYEES. (a) DEFINITION.—In this section the term ‘ ‘covered employee ’ ’ means any employee— (1) to whom section 1914 applies; (2) who is separated from service by reason of retirement under chapter 8 3or84oftitle5, U nited S tates C ode, during the period of J anuary 1, 2010, through December 31, 2012; and (3) who files an election with the O ffice of P ersonnel M anagement under subsection (b). (b) E LECTION.— (1) IN G ENER A L.—An employee described under subsection (a) (1) and (2) may file an election with the Office of Personnel Management to be covered under this section. (2) DEA D LINE.—An election under this subsection may be filed not later than December 31, 2012. (c) CO MP UTATION OF ANNUIT Y .— (1) IN GENERAL.—Except as provided under paragraph (2), for purposes of the computation of an annuity of a covered employee any cost-of-living allowance under section 5941 of title 5, United States Code, paid to that employee during the first applicable pay period beginning on or after January 1, 2010 through the first applicable pay period ending on or after December 31, 2012, shall be considered basic pay as defined under section 8331(3) or 8401(4) of that title. (2) L IMITATION.—An employee’s cost-of-living allowance may be considered basic pay under paragraph (1) only to the extent that, when added to the employee’s locality-based com- parability payments, the resulting sum does not exceed the amount of the locality-based comparability payments the employee would have received during that period for the applicable pay area if the limitation under section 1914 did not apply. (d) CI V IL SERVICE RETIREMENT AND DISA B ILITY RETIREMENT F UND.—
