This section applies only to an allowance received by a former member, retiree, or surviving beneficiary of a deceased member, former member, or retiree: of the Employees’ Retirement System or the Teachers’ Retirement System who elected Selection B (Limited cost–of–living adjustment); or who transferred to the Law Enforcement Officers’ Pension System from the Employees’ Retirement System and had elected Selection B (Limited cost–of–living adjustment). A cost–of–living adjustment payable under this section shall be a compound cost–of–living adjustment computed in accordance with § 29–402(d)(2) of this subtitle. A cost–of–living adjustment payable under this section shall be subject to a cost–of–living rate cap of 5%.