A. Thirty-five thousand five hundred dollars in calendar year 2026, increased on January 1st of each calendar year by any percentage increase in the Consumer Price Index during the 12 months ending on December 31st of the prior calendar year; and   [PL 2025, c. 598, §12 (NEW).]

B. The difference between the person's disability retirement benefit for that year and the higher of the person's average final compensation at the time that the person became a recipient of a disability retirement benefit and the person's final annual compensation, each increased on January 1st of each calendar year by any percentage increase in the Consumer Price Index during the 12 months ending on December 31st of the prior calendar year.   [PL 2025, c. 598, §12 (NEW).]

A. The chief executive officer shall waive the reduction set forth in subsection 1 if the person demonstrates that the excess compensation has ceased and that continuing the reduction would cause a hardship.   [PL 2025, c. 598, §12 (NEW).]

B. If the disability retirement benefit payments are eliminated by subsection 1, the disability is deemed to no longer exist, the payment of the disability retirement benefit must be discontinued and, except as provided in paragraph C, all of the person's rights to benefits under this article cease.   [PL 2025, c. 598, §12 (NEW).]

C. If, during the first 5 years of reemployment, the person again becomes disabled, terminates employment and is not covered by any other disability program, the retirement system shall resume paying the disability retirement benefit payable prior to the reemployment with all applicable cost-of-living adjustments and shall provide rehabilitation services in accordance with section 17927. If, during the first 5 years of reemployment, the person again becomes disabled, terminates employment and is covered by another disability program and the benefit payable under the other disability program is not equal to or greater than the benefit under this article, the retirement system shall pay the difference between the amount of the benefit payable under the other disability program and the amount of the benefit payable under this article. The chief executive officer shall require examinations or tests to determine whether the person is disabled as described in section 17921.   [PL 2025, c. 598, §12 (NEW).]

D. At any time before the elimination of disability retirement benefit payments by subsection 1, the person may request that the benefit payments be terminated, and the chief executive officer shall terminate benefit payments at the end of the month in which the request is received.   [PL 2025, c. 598, §12 (NEW).]

A. The amount of any disability retirement benefit payable under this article must be reduced by any amount received by the person for the same disability under the workers' compensation or similar laws, except amounts that may be paid or payable under former Title 39, section 56-B or Title 39‑A, section 212, subsection 3.   [PL 2025, c. 598, §12 (NEW).]

B. The reduction in the disability retirement benefit is governed as follows:  

C. The disability retirement benefit may not be reduced below the amount of the retirement benefit that is the actuarial equivalent of the person's accumulated contributions at the time of retirement.   [PL 2025, c. 598, §12 (NEW).]

D. A lump-sum settlement of benefits that reduces the disability retirement benefit under this subsection must be prorated on a monthly basis in an equitable manner prescribed by the board.  

E. Any dispute about amounts paid under the workers' compensation laws or the amount of the lump-sum settlement and its attributions must be determined on a petition by a single member of the Workers' Compensation Board in accordance with Title 39‑A. The determination may be appealed under Title 39‑A, section 322.   [PL 2025, c. 598, §12 (NEW).]