Bill Text: OR HB2445 | 2011 | Regular Session | Introduced
Bill Title: Relating to cost-of-living adjustments under the Public Employees Retirement System; declaring an emergency.
Spectrum: Unknown
Status: (Failed) 2011-06-30 - In committee upon adjournment. [HB2445 Detail]
Download: Oregon-2011-HB2445-Introduced.html
76th OREGON LEGISLATIVE ASSEMBLY--2011 Regular Session NOTE: Matter within { + braces and plus signs + } in an amended section is new. Matter within { - braces and minus signs - } is existing law to be omitted. New sections are within { + braces and plus signs + } . LC 2360 House Bill 2445 Ordered printed by the Speaker pursuant to House Rule 12.00A (5). Presession filed (at the request of House Interim Committee on Rules) SUMMARY The following summary is not prepared by the sponsors of the measure and is not a part of the body thereof subject to consideration by the Legislative Assembly. It is an editor's brief statement of the essential features of the measure as introduced. Modifies laws governing cost-of-living increases for benefits paid by Public Employees Retirement System. Provides that cost-of-living increase or decrease in excess of maximum annual retirement allowance adjustment of two percent does not accumulate from year to year and Public Employees Retirement Board may not include excess in computation of increases or decreases in subsequent years. Declares emergency, effective on passage. A BILL FOR AN ACT Relating to cost-of-living adjustments under the Public Employees Retirement System; creating new provisions; amending ORS 238.360 and 238A.210; and declaring an emergency. Be It Enacted by the People of the State of Oregon: SECTION 1. ORS 238.360 is amended to read: 238.360. (1) As soon as practicable after January 1 each year, the Public Employees Retirement Board shall determine the percentage increase or decrease in the cost-of-living for the previous calendar year, based on the Consumer Price Index (Portland area-all items) as published by the Bureau of Labor Statistics of the U.S. Department of Labor for the Portland, Oregon, area. Prior to July 1 each year the allowance which the member or the member's beneficiary is receiving or is entitled to receive on August 1 for the month of July shall be multiplied by the percentage figure determined, and the allowance for the next 12 months beginning July 1 adjusted to the resultant amount. (2) Such increase or decrease shall not exceed two percent of any monthly retirement allowance in any year and no allowance shall be adjusted to an amount less than the amount to which the recipient would be entitled if no cost-of-living adjustment were authorized. (3) The amount of any cost-of-living increase or decrease in any year in excess of the maximum annual retirement allowance adjustment of two percent { - shall be accumulated - } { + does not accumulate + } from year to year and { - included - } { + the board may not include the excess + } in the computation of increases or decreases in { - succeeding - } { + subsequent + } years. (4) Any increase in the allowance shall be paid from contributions of the public employer under ORS 238.225. Any decrease in the allowance shall be returned to the employer in the form of a credit against contributions of the employer under ORS 238.225. SECTION 2. ORS 238A.210 is amended to read: 238A.210. (1) As soon as practicable after January 1 each year, the Public Employees Retirement Board shall determine the percentage increase or decrease in the cost of living for the previous calendar year, based on the Portland-Salem, OR-WA, Consumer Price Index for All Urban Consumers for All Items, as published by the Bureau of Labor Statistics of the United States Department of Labor. Before July 1 each year, the board shall adjust every pension payable under ORS 238A.180, 238A.185 and 238A.190, every disability benefit under ORS 238A.235 and every death benefit payable under ORS 238A.230 by multiplying the monthly payment by the percentage figure determined by the board. If a person has been receiving a pension or benefit for less than 12 months on July 1 of a calendar year, the board shall make a pro rata reduction of the adjustment based on the number of months that the pension or benefit was received before July 1 of the year. The adjustment shall be made for the payments payable on August 1 and thereafter. (2) An increase or decrease in the benefit payments under this section may not exceed two percent in any year. A pension or death benefit may not be adjusted to an amount that is less than the amount that would have been payable if no cost-of-living adjustment had been made since the pension or death benefit first became payable. { + (3) The amount of any cost-of-living increase or decrease in any year in excess of the maximum annual retirement allowance adjustment of two percent does not accumulate from year to year, and the board may not include the excess in the computation of increases or decreases in subsequent years. + } SECTION 3. { + (1) Jurisdiction is conferred on the Supreme Court to determine in the manner provided by this section whether this 2011 Act breaches any contract between members of the Public Employees Retirement System and their employers or violates any constitutional provision, including but not limited to impairment of contract rights of members of the Public Employees Retirement System under section 21, Article I of the Oregon Constitution, or clause 1, section 10, Article I of the United States Constitution. (2) A person who is or who will be adversely affected by this 2011 Act may institute a proceeding for review by filing with the Supreme Court a petition that meets the following requirements: (a) The petition must be filed within 60 days after the effective date of this 2011 Act. (b) The petition must include the following: (A) A statement of the basis of the challenge; and (B) A statement and supporting affidavit showing how the petitioner is or will be adversely affected. (3) The petitioner shall serve a copy of the petition by registered or certified mail upon the Public Employees Retirement Board, the Attorney General and the Governor. (4) Proceedings for review under this section shall be given priority over all other matters before the Supreme Court. (5) The Supreme Court shall allow public employers participating in the Public Employees Retirement System to intervene in any proceeding under this section. (6) In the event the Supreme Court determines that there are factual issues in the petition, the Supreme Court may appoint a special master to hear evidence and to prepare recommended findings of fact. + } SECTION 4. { + This 2011 Act being necessary for the immediate preservation of the public peace, health and safety, an emergency is declared to exist, and this 2011 Act takes effect on its passage. + } ----------