A member of the pension system may not accrue a retirement pension, or any other benefit
under this subpart, in excess of the benefit limits applicable to this pension plan
under section 415 of the Internal Revenue Code. The board shall reduce the amount
of any benefit that exceeds those limits by the amount of the excess. If total benefits
under this pension plan and the benefits and contributions to which any member is
entitled under any other qualified plans maintained by the employer would otherwise
exceed the applicable limits under section 415 of the Internal Revenue Code, the benefits
the member would otherwise receive from this pension plan shall be reduced to the
extent necessary to enable the benefits to comply with section 415. The limits shall
be adjusted annually in accordance with section 415(d) of the Internal Revenue Code.
The annual adjustment shall apply to the benefits of both active and terminated members
and shall apply without regard to whether a terminated member is receiving retirement
benefits.
The total salary taken into account for any purpose for any member of the pension
system may not exceed the dollar limit imposed pursuant to section 401 (a)(17) of
the Internal Revenue Code for any year for an eligible participant, or an ineligible
participant, as applicable. These dollar limits shall be adjusted from time to time
in accordance with guidelines provided by the United States Secretary of the Treasury.
For purposes of this subsection, an eligible participant is a person who first became
an active member before 1996, and an ineligible participant is a member who is not
an eligible participant.
