Bill Text: OR SB751 | 2013 | Regular Session | Introduced
Bill Title: Relating to a public employee successor retirement plan; appropriating money; declaring an emergency.
Spectrum: Partisan Bill (Republican 6-0)
Status: (Failed) 2013-07-08 - In committee upon adjournment. [SB751 Detail]
Download: Oregon-2013-SB751-Introduced.html
77th OREGON LEGISLATIVE ASSEMBLY--2013 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 3316
Senate Bill 751
Sponsored by Senator KNOPP; Senators OLSEN, WHITSETT,
Representatives CONGER, ESQUIVEL, FREEMAN
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.
Establishes Fair Retirement Plan for persons hired on or after
July 1, 2013, who have not established membership in Public
Employees Retirement System before July 1, 2013. Specifies that
Fair Retirement Plan be part of Public Employees Retirement
System administered by Public Employees Retirement Board.
Provides that Fair Retirement Plan be defined contribution plan.
Authorizes assessment of charge against Fair Retirement Plan
member accounts.
Continuously appropriates funds collected pursuant to charge to
board for costs of administration of Fair Retirement Plan.
Declares emergency, effective on passage.
A BILL FOR AN ACT
Relating to a public employee successor retirement plan; creating
new provisions; amending ORS 106.340, 169.810, 173.051,
192.502, 196.165, 237.620, 237.650, 238.105, 238.115, 238.265,
238.445, 238.455, 238.465, 238.630, 238.645, 238.650, 238.700,
238.705, 238.715, 243.800, 243.830, 268.240, 338.135, 341.290,
351.704, 353.117, 377.836, 396.330, 576.306, 741.201 and
777.775; repealing ORS 238.750; appropriating money; and
declaring an emergency.
Be It Enacted by the People of the State of Oregon:
{ +
DEFINITIONS + }
SECTION 1. { + For the purposes of sections 1 to 20 of this
2013 Act:
(1) 'Board' means the Public Employees Retirement Board.
(2) 'Employee' means an employee as described in ORS 238.005.
(3) 'Fair Plan' means the Fair Retirement Plan established
under sections 1 to 20 of this 2013 Act.
(4) 'Fair Plan member' means a person who has established
membership in the Fair Plan under section 6 or 17 of this 2013
Act.
(5) 'Firefighter' means:
(a) A person employed by a local government, as defined in ORS
174.116, whose primary job duties include the fighting of fires;
(b) The State Fire Marshal, the chief deputy state fire marshal
and deputy state fire marshals; and
(c) An employee of the State Forestry Department who is
certified by the State Forester as a professional wildland
firefighter and whose primary duties include the abatement of
uncontrolled fires as described in ORS 477.064.
(6) 'Participating public employer' means a public employer as
defined in ORS 238.005 that participates in the system.
(7) 'Police officer' means:
(a) Employees of the Department of State Police who are
classified as police officers by the Superintendent of State
Police.
(b) Sheriffs and those deputy sheriffs or other employees of a
sheriff whose duties, as classified by the sheriff, are the
regular duties of police officers or corrections officers.
(c) Police chiefs and police personnel of a city who are
classified as police officers by the city council or other
governing body of the city.
(d) Corrections officers as defined in ORS 181.610.
(e) Employees at youth correction facilities, as defined in ORS
420.005, whose primary job description involves the custody,
control, treatment, investigation or supervision of juveniles
placed in those facilities.
(8) 'System' means the Public Employees Retirement System. + }
{ +
FAIR RETIREMENT PLAN + }
SECTION 2. { + (1) The Fair Retirement Plan is established.
Notwithstanding any provision of ORS chapter 238 or 238A, any
person who is employed by a participating public employer on or
after July 1, 2013, and who has not established membership in the
Public Employees Retirement System before July 1, 2013, is
entitled to receive only the benefits provided under the Fair
Plan for periods of service with participating public employers
on and after July 1, 2013, and has no right or claim to any
benefit under ORS chapter 238 or 238A, except as specifically
provided by sections 1 to 20 of this 2013 Act. A person who
establishes membership in the system before July 1, 2013, is
entitled to receive the benefits provided by ORS chapter 238 or
238A.
(2) A person establishes membership in the system before July
1, 2013, for the purposes of this section if:
(a) The person is a member of the system, or a judge member of
the system, on June 30, 2013; or
(b) The person performed any period of service for a
participating public employer before July 1, 2013, that is
credited to the six-month period of employment required of an
employee under ORS 238A.100 before an employee may become a
member of the system.
(3) Except as provided in sections 1 to 20 of this 2013 Act,
ORS chapters 238 and 238A do not apply to the Fair Plan.
(4) The provisions of this section do not apply to a person
elected or appointed as a member of the Legislative Assembly, as
a justice of the Supreme Court or as a judge of the Court of
Appeals, the Oregon Tax Court or a circuit court. + }
{ +
ADMINISTRATION + }
SECTION 3. { + Fair Retirement Plan administered by Public
Employees Retirement Board. (1) The Fair Retirement Plan is part
of the Public Employees Retirement System and is administered by
the Public Employees Retirement Board.
(2) The board shall contract with a private sector firm for the
recordkeeping and customer service functions of the Fair Plan.
The board shall seek a firm that has economical pricing
structures and the experience, knowledge and facilities to
properly perform the functions specified in this subsection.
(3) ORS 238.035, 238.156, 238.445, 238.600, 238.601, 238.615,
238.618, 238.630, 238.635, 238.640, 238.645, 238.650, 238.655,
238.700, 238.705, 238.710 and 238.715 apply to the Fair Plan.
(4) Amounts contributed by or on behalf of Fair Plan members
shall be held separate and distinct from the General Fund and the
Public Employees Retirement Fund, but may be commingled with the
assets of the Public Employees Retirement Fund for investment
purposes. + }
SECTION 4. { + Administrative costs of Fair Retirement Plan.
(1) The Public Employees Retirement Board shall implement and
administer sections 1 to 20 of this 2013 Act so that:
(a) No expense is incurred by participating public employers or
by the Public Employees Retirement Fund for the implementation
and administration of the Fair Retirement Plan; and
(b) Participating public employers and the Public Employees
Retirement System incur no liabilities other than those
liabilities that are imposed under sections 1 to 20 of this 2013
Act or other law.
(2) The system may assess a charge against the member account
of a Fair Plan member. Funds collected pursuant to the charge are
continuously appropriated to the board and may be used only to
cover the costs incurred by the system to implement and
administer the Fair Plan. + }
{ +
PARTICIPATION BY PUBLIC EMPLOYERS + }
SECTION 5. { + Participation generally. (1) All public
employers participating in the Public Employees Retirement System
on July 1, 2013:
(a) Shall continue to be participating public employers for the
purposes of the Fair Retirement Plan; and
(b) Shall provide benefits under the Fair Plan for Fair Plan
members.
(2) Any participating public employer that provided retirement
benefits under ORS chapter 238 or 238A for some, but not all, of
the employees of the participating public employer on June 30,
2013, need not provide benefits under the Fair Plan for any class
of employees who were not members of the system on June 30, 2013.
(3) Any public employer that is not a participating public
employer on June 30, 2013, may become a participating public
employer under the Fair Plan. A public employer may become a
participating public employer under this subsection only for the
purposes of service performed by employees of the public employer
on or after the date the public employer elects to participate in
the Fair Plan. + }
{ +
MEMBERSHIP + }
SECTION 6. { + Establishing membership in Fair Retirement
Plan; member account. (1) Any person who is employed by a
participating public employer on or after July 1, 2013, and who
has not established membership in the Public Employees Retirement
System before July 1, 2013, as described in section 2 of this
2013 Act, becomes a member of the Fair Retirement Plan after
completing six full calendar months of employment, unless the
employee elects not to become a Fair Plan member. The six-month
probationary period may not be interrupted by more than 30
consecutive working days.
(2) Unless the employee elects not to become a member, upon
completion of the six-month probationary period required by this
section, an employee shall become a member of the Fair Plan on
the first day of the next full month following the six-month
period.
(3) Upon a person's becoming a Fair Plan member under this
section, the Public Employees Retirement Board shall create a
member account for the person. The member account shall consist
of employee contributions made under section 7 of this 2013 Act
and employer contributions made under section 8 of this 2013 Act,
adjusted to reflect any earnings or losses on those
contributions. + }
{ +
CONTRIBUTIONS + }
SECTION 7. { + Employee contribution. (1) A Fair Plan member
may elect to make an employee contribution to the Fair Retirement
Plan equal to a specific percentage of the Fair Plan member's
salary. The percentage may not be more than the amount allowed
by the federal law governing the Fair Plan's tax qualification
and must be a whole number.
(2) A participating public employer may not assume or pay the
employee contribution provided for in this section, except that a
participating public employer may structure the compensation of
the employee in a manner that allows a Fair Plan member who is
employed by the employer to make the employee contribution on a
pretax basis. + }
SECTION 8. { + Employer contributions. (1) A participating
public employer must contribute to the Fair Retirement Plan a
base amount equal to three percent of the salary of each Fair
Plan member employed by the employer. The base amount must be
contributed for all members, without regard to whether the
employee makes any contributions under section 7 of this 2013
Act.
(2) In addition to the base amount required under subsection
(1) of this section, for a Fair Plan member who is not a police
officer or firefighter, a participating public employer must make
contributions equal to one percent of a Fair Plan member's salary
for every two percent of salary contributed by the Fair Plan
member under section 7 of this 2013 Act. In no event may the
total contribution by the employer for a Fair Plan member who is
not a police officer or firefighter exceed an amount equal to six
percent of the Fair Plan member's salary.
(3) In addition to the base amount required under subsection
(1) of this section, for a Fair Plan member who is a police
officer or firefighter, a participating public employer who
employs the Fair Plan member as a police officer or firefighter
must make contributions equal to one and one-third percent of the
Fair Plan member's salary for every two percent of salary
contributed by the Fair Plan member under section 7 of this 2013
Act. However, if a Fair Plan member who is a police officer or
firefighter contributes six percent of the Fair Plan member's
salary, the total employer contribution shall be an amount equal
to 7.15 percent of the Fair Plan member's salary. In no event may
the total contribution by the employer for a Fair Plan member who
is a police officer or firefighter exceed an amount equal to 7.15
percent of the Fair Plan member's salary. + }
SECTION 9. { + Salary defined. (1) For the purpose of
computing employer and employee contributions under sections 7
and 8 of this 2013 Act, 'salary' means the remuneration paid to a
Fair Plan member in return for service to the participating
public employer, including remuneration in the form of living
quarters, board or other items of value, to the extent the
remuneration is includable in the employee's taxable income under
Oregon law. 'Salary ' includes the additional amounts specified
in subsection (2) of this section, but does not include the
amounts specified in subsection (3) of this section, regardless
of whether those amounts are includable in taxable income.
(2) For the purpose of computing employer and employee
contributions under sections 7 and 8 of this 2013 Act, 'salary '
includes the following amounts:
(a) Payments of employee and employer money into a deferred
compensation plan that are made at the election of the employee.
(b) Contributions to a tax-sheltered or deferred annuity that
are made at the election of the employee.
(c) Any amount that is contributed to a cafeteria plan or
qualified transportation fringe benefit plan by the employer at
the election of the employee and that is not includable in the
taxable income of the employee by reason of 26 U.S.C. 125 or
132(f)(4), as in effect on the effective date of this 2013 Act.
(d) Retroactive payments made to an employee to correct a
clerical error, pursuant to an award by a court or by order of or
pursuant to a conciliation agreement with an administrative
agency charged with enforcing federal or state law protecting the
employee's rights to employment or wages, which shall be
allocated to and deemed paid in the periods in which the work was
done or in which the work would have been done.
(3) For the purpose of computing employer and employee
contributions under sections 7 and 8 of this 2013 Act, 'salary '
does not include the following amounts:
(a) Money paid for overtime or bonuses.
(b) Travel expenses or any other expenses incidental to an
employer's business that are reimbursed by the employer.
(c) Payments made on account of an employee's death.
(d) Any lump sum payment for accumulated unused sick leave,
vacation leave or other paid leave.
(e) Any accelerated payment of an employment contract for a
future period or any advance against future wages.
(f) Any retirement incentive, retirement severance pay,
retirement bonus or retirement gratuitous payment.
(g) Payment for a leave of absence after the date the employer
and employee have agreed that no future service will be
performed.
(h) Payments for instructional services rendered to
institutions of the Oregon University System or the Oregon Health
and Science University when those services are in excess of
full-time employment subject to sections 1 to 20 of this 2013
Act. A person employed under a contract for less than 12 months
is subject to this paragraph only for the months covered by the
contract.
(i) Any amount in excess of $200,000 for a calendar year. If
any period over which salary is determined is less than 12
months, the $200,000 limitation for that period shall be
multiplied by a fraction, the numerator of which is the number of
months in the determination period and the denominator of which
is 12. The Public Employees Retirement Board shall adopt rules
adjusting this dollar limit to incorporate adjustments authorized
by the Internal Revenue Service. + }
SECTION 10. { + Collective bargaining agreements.
Notwithstanding section 7 of this 2013 Act, if a participating
public employer is paying employee contributions for employees of
the employer pursuant to ORS 238.205 or 238A.335 under a
collective bargaining agreement in effect on July 1, 2013, the
employer shall continue to make those contributions under the
Fair Retirement Plan until such time as the term of the agreement
expires. Upon the expiration of the collective bargaining
agreement, the participating public employer may not thereafter
'pick-up, ' assume or pay the employee contributions. + }
{ +
VESTING + }
SECTION 11. { + Vesting; loans. (1) A Fair Plan member vests
in employee contributions when the contributions are made.
(2) A Fair Plan member vests in employer contributions when
employer contributions have been made on behalf of the member in
each of 54 consecutive months.
(3) The Public Employees Retirement Board shall establish a
mechanism under which a Fair Plan member may borrow amounts from
the member account established under section 6 of this 2013 Act.
A member may borrow only from amounts in which the member has
become vested under this section. The board shall limit loans to
terms and conditions allowed under the tax qualification of the
Fair Retirement Plan. + }
{ +
INVESTMENT OF MONEYS IN MEMBER ACCOUNTS + }
SECTION 12. { + Investment program. (1) The Oregon Investment
Council shall establish a program for investment of moneys in
Fair Plan member accounts. The program shall include policies and
procedures for the investment of moneys in the accounts. The
program and all investments of moneys under the program are
subject to the provisions of ORS 293.701 to 293.820.
(2) The council shall provide to the Public Employees
Retirement Board a description, set forth in the council's
policies and procedures, of the investment options for moneys in
Fair Plan member accounts, the applicable benchmark for each
option and a description of the characteristics of each
benchmark. The council shall provide at least nine different
investment options with a range of investment risks.
(3) The provisions of ORS chapter 59 that require registration
of securities do not apply to any share, participation or other
interest under the investment program established under this
section. The provisions of ORS chapter 59 that require licensing
of certain persons as broker-dealers or as investment advisers do
not apply to any of the following persons or entities for the
purposes of implementing and administering the investment program
established under this section:
(a) The Oregon Investment Council.
(b) The Public Employees Retirement Board.
(c) The Public Employees Retirement System.
(d) The State Treasurer.
(e) Any officer or employee of the persons or entities
described in paragraphs (a) to (d) of this subsection. + }
SECTION 13. { + Self-direction of investments. A Fair Plan
member may elect any investment option offered under the
investment program established under section 12 of this 2013 Act
for all or part of the moneys in a member account. The Public
Employees Retirement Board by rule shall provide for the manner
in which changes in investment options may be made by a Fair Plan
member. + }
{ +
WITHDRAWAL OF MEMBER ACCOUNT + }
SECTION 14. { + Account may be withdrawn by inactive member at
any time after leaving public employment. (1) An inactive Fair
Plan member may withdraw the member's account at any time.
(2) Withdrawal of a member account under this section cancels
all membership rights in the Fair Retirement Plan.
(3) If a Fair Plan member withdraws the member account and is
subsequently reemployed by a participating public employer, the
person may reestablish membership under the Fair Plan only for
the purposes of service performed after the person is reemployed.
(4) A Fair Plan member is inactive for the purposes of this
section if the member is separated from all service with
participating public employers and with employers that are
treated as part of a participating public employer's controlled
group under the federal laws and rules governing the status of
the Fair Plan as a qualified governmental retirement plan and
trust. + }
{ +
DEATH BENEFIT + }
SECTION 15. { + Death benefit. (1) If a Fair Plan member dies
before retiring, the Public Employees Retirement Board shall pay
all money credited at the time of death to the member account of
the member in which the member has become vested under section 11
of this 2013 Act to one or more beneficiaries designated by the
member. A Fair Plan member may designate as a beneficiary any
person, including the personal representative for the estate of
the member or a trustee named by the member. The withdrawal of a
member's account under section 14 of this 2013 Act invalidates
any designation of a beneficiary under this section.
(2) If a Fair Plan member dies before retiring and has not
designated a beneficiary under subsection (1) of this section,
the board shall pay all money credited at the time of death to
the member account of the member in which the member has become
vested under section 11 of this 2013 Act to the personal
representative appointed for the estate of the deceased member.
If an affidavit has been filed under ORS 114.505 to 114.560 and
the amount of payment does not exceed the maximum amount of
personal property for which an affidavit may be filed under ORS
114.505 to 114.560, the board shall pay the amount to the person
who filed the affidavit.
(3) If a Fair Plan member dies before retiring and has
designated a beneficiary under subsection (1) of this section,
but the beneficiary dies before the member or dies before
distribution is made under this section, the board shall pay the
amount of money that would otherwise have been paid to the
beneficiary to the personal representative appointed for the
estate of the deceased beneficiary. If an affidavit has been
filed under ORS 114.505 to 114.560 and the amount of money that
would have been paid to the beneficiary does not exceed the
maximum amount of personal property for which an affidavit may be
filed under ORS 114.505 to 114.560, the board shall pay the
amount to the person who filed the affidavit on behalf of the
estate of the beneficiary.
(4) Payment by the board of a death benefit in the manner
provided by this section completely discharges the board and the
Public Employees Retirement System from any liability for amounts
owing by reason of the death of a Fair Plan member. + }
{ +
BENEFITS UPON RETIREMENT + }
SECTION 16. { + Annuities and other payout options. The Public
Employees Retirement Board shall by rule provide for annuities
and other payout options for retired Fair Plan members. Annuities
offered by the board may be fixed or variable. The board may not
offer any annuity or other payout option that would require that
a participating public employer make any contribution beyond the
contributions required by section 8 of this 2013 Act. The board
may not allow a Fair Plan member to receive an annuity or other
payout before the member reaches the minimum retirement age
provided for in the Fair Retirement Plan's tax qualification. The
board shall ensure that minimum distribution requirements imposed
under the Fair Plan's tax qualification are met. + }
{ +
CONVERSION TO FAIR RETIREMENT PLAN + }
SECTION 17. { + (1) Any employee who establishes membership in
the Public Employees Retirement System before July 1, 2013, as
described in section 2 of this 2013 Act, and who is an active
member, as defined in ORS 238.005 or 238A.005, may elect to
convert the employee's retirement benefit to the Fair Retirement
Plan. Upon conversion, the amounts in the regular account
established for the employee under ORS 238.250, along with a
matching amount funded by employer contributions, and any amounts
in the variable account established for the employee under ORS
238.260 shall be transferred to a member account established for
the employee under section 6 of this 2013 Act.
(2) If the Public Employees Retirement Board is informed by the
Oregon Investment Council that the number of conversions elected
under this section could negatively affect the Public Employees
Retirement Fund, the board may require that amounts be
transferred under this section in not more than five annual
installments. Interest shall be paid on the amounts not
immediately transferred at a rate established by the board. + }
{ +
BENEFIT INCREASES + }
SECTION 18. { + Local government approval of benefit
increases. (1) Any benefit increase that is described in
subsection (2) of this section and that is provided for by laws
that become effective on or after the effective date of this 2013
Act applies to participating public employers other than the
state only if the benefit increase is approved in writing by the
participating public employer. Written approval of the benefit
increase must be delivered to the Public Employees Retirement
Board within three months after the session of the Legislative
Assembly that enacted the benefit increase adjourns sine die. If
the benefit increase is approved in the manner provided by this
section, the benefit increase becomes operative on January 1 of
the next calendar year.
(2) The provisions of this section apply to any change to the
benefits provided under sections 1 to 20 of this 2013 Act that is
the result of laws enacted during a single legislative session,
excluding any change that is made solely to maintain the status
of the Fair Retirement Plan as a tax-qualified governmental plan,
if the change results in an increase in the total liability for
benefits under the Fair Plan, whether funded or not funded, that
is in excess of one-tenth of one percent. + }
SECTION 19. { + Application of benefit increases to
legislators. Any law enacted after January 1, 2014, that has the
effect of increasing the total liability for benefits under
sections 1 to 20 of this 2013 Act that is in excess of one-tenth
of one percent does not apply to service by members of the
Legislative Assembly that entitles those members to benefits
under sections 1 to 20 of this 2013 Act. + }
{ +
CONTRACT RIGHTS + }
SECTION 20. { + Except as provided in section 18 of this 2013
Act, nothing in sections 1 to 20 of this 2013 Act prevents the
Legislative Assembly or the Public Employees Retirement Board
from changing or terminating the retirement benefits payable to
persons who become Fair Plan members on or after July 1, 2013, as
described in section 2 of this 2013 Act, as long as the change or
termination applies only to benefits accruing on or after the
date the change or termination is effective. + }
{ +
TAX QUALIFICATION + }
SECTION 21. { + (1) Except as provided in this section,
sections 1 to 20 and 22 of this 2013 Act, the amendments to ORS
106.340, 169.810, 173.051, 192.502, 196.165, 237.620, 237.650,
238.105, 238.115, 238.265, 238.445, 238.455, 238.465, 238.630,
238.645, 238.650, 238.700, 238.705, 238.715, 243.800, 243.830,
268.240, 338.135, 341.290, 351.704, 353.117, 377.836, 396.330,
576.306, 741.201 and 777.775 by sections 23 to 53 of this 2013
Act and the repeal of ORS 238.750 by section 54 of this 2013 Act
become operative on July 1, 2013.
(2) As soon as possible after the effective date of this 2013
Act, the Public Employees Retirement Board shall submit the
provisions of sections 1 to 20 of this 2013 Act to the Internal
Revenue Service and seek approval of sections 1 to 20 of this
2013 Act as a qualified governmental retirement plan and trust
under the Internal Revenue Code.
(3) As soon as possible after the effective date of this 2013
Act, the board shall adopt all rules necessary for the
implementation and operation of the Fair Retirement Plan. + }
SECTION 22. { + (1) Subject to the provisions of this section,
until June 30, 2015, the Public Employees Retirement System may
use assets of the Public Employees Retirement Fund that are
unrelated to sections 1 to 20 of this 2013 Act to pay the
administrative costs of the Fair Retirement Plan.
(2) Before January 1, 2020, the Public Employees Retirement
Board shall transfer from accounts established under the Fair
Retirement Plan the amount used under subsection (1) of this
section, with interest, to accounts in the fund established to
provide retirement benefits under ORS chapter 238. The rate of
interest must be at least equal to the rate that the moneys would
have earned had the moneys remained invested in the fund
established to provide retirement benefits under ORS chapter 238,
and in no event less than two percent per annum.
(3) Until such time as all moneys and interest are repaid under
subsection (2) of this section, beneficiaries of the fund
established to provide retirement benefits under ORS chapter 238
have a security interest in the assets of the Fair Retirement
Plan equal to the amount used under subsection (1) of this
section and the interest required under subsection (2) of this
section. The security interest may be foreclosed in an action at
law.
(4) If the board fails to transfer any amount required under
subsection (2) of this section before January 1, 2020, a person
entitled to benefits under ORS chapter 238 may bring a mandamus
action to compel the board to make the transfer and to perform
all acts within the authority of the board to collect employer or
employee contributions to the Fair Retirement Plan necessary to
fund the transfer.
(5) In determining the amount of employer contributions
necessary under the Fair Retirement Plan, the board shall include
any amounts required to be transferred under subsection (2) of
this section that are attributable to paying the costs of
administering the Fair Retirement Plan.
(6) The board shall deduct from the member accounts established
under section 6 of this 2013 Act the amounts to be transferred
under subsection (2) of this section that are attributable to
paying the costs of administering the Fair Retirement Plan. The
deduction must be a uniform percentage of the member
accounts. + }
{ +
CONFORMING AMENDMENTS + }
SECTION 23. ORS 106.340 is amended to read:
106.340. (1) Any privilege, immunity, right or benefit granted
by statute, administrative or court rule, policy, common law or
any other law to an individual because the individual is or was
married, or because the individual is or was an in-law in a
specified way to another individual, is granted on equivalent
terms, substantive and procedural, to an individual because the
individual is or was in a domestic partnership or because the
individual is or was, based on a domestic partnership, related in
a specified way to another individual.
(2) Any responsibility imposed by statute, administrative or
court rule, policy, common law or any other law on an individual
because the individual is or was married, or because the
individual is or was an in-law in a specified way to another
individual, is imposed on equivalent terms, substantive and
procedural, on an individual because the individual is or was in
a domestic partnership or because the individual is or was, based
on a domestic partnership, related in a specified way to another
individual.
(3) Any privilege, immunity, right, benefit or responsibility
granted or imposed by statute, administrative or court rule,
policy, common law or any other law to or on a spouse with
respect to a child of either of the spouses is granted or imposed
on equivalent terms, substantive and procedural, to or on a
partner with respect to a child of either of the partners.
(4) Any privilege, immunity, right, benefit or responsibility
granted or imposed by statute, administrative or court rule,
policy, common law or any other law to or on a former or
surviving spouse with respect to a child of either of the spouses
is granted or imposed on equivalent terms, substantive and
procedural, to or on a former or surviving partner with respect
to a child of either of the partners.
(5) Many of the laws of this state are intertwined with federal
law, and the Legislative Assembly recognizes that it does not
have the jurisdiction to control federal laws or the privileges,
immunities, rights, benefits and responsibilities related to
federal laws.
(6) ORS 106.300 to 106.340 do not require or permit the
extension of any benefit under ORS chapter 238 or 238A { + or
sections 1 to 20 of this 2013 Act + }, or under any other
retirement, deferred compensation or other employee benefit plan,
if the plan administrator reasonably concludes that the extension
of benefits would conflict with a condition for tax qualification
of the plan, or a condition for other favorable tax treatment of
the plan, under the Internal Revenue Code or regulations adopted
under the Internal Revenue Code.
(7) ORS 106.300 to 106.340 do not require the extension of any
benefit under any employee benefit plan that is subject to
federal regulation under the Employee Retirement Income Security
Act of 1974.
(8) For purposes of administering Oregon tax laws, partners in
a domestic partnership, surviving partners in a domestic
partnership and the children of partners in a domestic
partnership have the same privileges, immunities, rights,
benefits and responsibilities as are granted to or imposed on
spouses in a marriage, surviving spouses and their children.
SECTION 24. ORS 169.810 is amended to read:
169.810. (1) Assumption by the regional correctional facility
of those custodial duties formerly performed by a county or city
jail constitutes an assumption of duties by a public employer
subject to ORS 236.610 to 236.640.
(2) An employee who transfers from employment at a county or
city jail to employment at a regional correctional facility
operated by the county or city by which the employee has been
employed shall be accorded the following rights:
(a) If a trial or probationary service period is required for
employment at the county or city jail, the period of county or
city employment of the employee shall apply to that requirement.
(b) An employee who transfers from employment at a county or
city jail to employment at the regional correctional facility
shall retain accumulated unused sick leave with pay and the
accumulated unused vacation with pay to which the employee was
entitled under county or city employment on the day before the
transfer that are supported by written records of accumulation
and use pursuant to a plan formally adopted and applicable to the
employee under county or city employment.
(c) Notwithstanding any other provision of law applicable to a
retirement system for county employees or city employees, an
employee who transfers from employment at a county or city jail
to employment at the regional correctional facility who was
participating in a retirement system under county or city
employment may elect, not later than the first day of the month
following the month in which the employee transfers, to continue
under the retirement system in which participating and not to
become, if eligible, a member of another retirement system. The
election shall be made in writing and shall be submitted to the
regional correctional facility administrator, the Public
Employees Retirement Board and the governing body of the counties
and cities that operate the regional correctional facility.
(d) If an employee elects to continue under the retirement
system in which participating under county or city employment,
the employee shall continue to make required contributions to
that system and the administration of the regional correctional
facility shall make contributions on behalf of the employee
required of an employer participating in that system.
(e) If an employee fails to elect to continue under the
retirement system in which participating under county or city
employment as provided in paragraph (c) of this subsection or was
not participating in a retirement system under county or city
employment, the employee shall become, if eligible, a member of
the Public Employees Retirement System. If the employee is
eligible to become a member of the Public Employees Retirement
System, the period of continuous service of the employee under
county or city employment immediately before the transfer of the
employee shall apply to the six months' service requirement of
ORS 238.015, 238A.100 or 238A.300 (1) { + or section 6 of this
2013 Act + }.
(3) The county or city employment records, or a copy thereof,
applicable to an employee transferred under subsection (2) of
this section shall be provided by the person having custody of
the records to the regional correctional facility administrator.
SECTION 25. ORS 173.051 is amended to read:
173.051. The Legislative Fiscal Officer, with the aid of the
Public Employees Retirement Board and public employers providing
benefits under ORS chapter 238A { + or sections 1 to 20 of this
2013 Act + }, shall prepare a fiscal impact statement on each
measure reported out of a committee of the Legislative Assembly
that would increase employer contributions under ORS chapter
238A { + or sections 1 to 20 of this 2013 Act + }. If the
Legislative Fiscal Officer determines that a proposed measure
would result in an increase in the total liability for benefits
under ORS chapter 238A { + or sections 1 to 20 of this 2013
Act + } that is in excess of one-tenth of one percent, the
Legislative Fiscal Officer shall promptly notify the Public
Employees Retirement Board. The board shall thereafter promptly
give notice of the proposed measure, and the fiscal impact of the
proposed measure as determined by the Legislative Fiscal Officer,
to all public employers providing benefits under ORS chapter
238A { + or sections 1 to 20 of this 2013 Act + }.
SECTION 26. ORS 192.502, as amended by section 26, chapter 45,
Oregon Laws 2012, and sections 19 and 30, chapter 90, Oregon Laws
2012, is amended to read:
192.502. The following public records are exempt from
disclosure under ORS 192.410 to 192.505:
(1) Communications within a public body or between public
bodies of an advisory nature to the extent that they cover other
than purely factual materials and are preliminary to any final
agency determination of policy or action. This exemption shall
not apply unless the public body shows that in the particular
instance the public interest in encouraging frank communication
between officials and employees of public bodies clearly
outweighs the public interest in disclosure.
(2) Information of a personal nature such as but not limited to
that kept in a personal, medical or similar file, if public
disclosure would constitute an unreasonable invasion of privacy,
unless the public interest by clear and convincing evidence
requires disclosure in the particular instance. The party seeking
disclosure shall have the burden of showing that public
disclosure would not constitute an unreasonable invasion of
privacy.
(3) Public body employee or volunteer addresses, Social
Security numbers, dates of birth and telephone numbers contained
in personnel records maintained by the public body that is the
employer or the recipient of volunteer services. This exemption:
(a) Does not apply to the addresses, dates of birth and
telephone numbers of employees or volunteers who are elected
officials, except that a judge or district attorney subject to
election may seek to exempt the judge's or district attorney's
address or telephone number, or both, under the terms of ORS
192.445;
(b) Does not apply to employees or volunteers to the extent
that the party seeking disclosure shows by clear and convincing
evidence that the public interest requires disclosure in a
particular instance;
(c) Does not apply to a substitute teacher as defined in ORS
342.815 when requested by a professional education association of
which the substitute teacher may be a member; and
(d) Does not relieve a public employer of any duty under ORS
243.650 to 243.782.
(4) Information submitted to a public body in confidence and
not otherwise required by law to be submitted, where such
information should reasonably be considered confidential, the
public body has obliged itself in good faith not to disclose the
information, and when the public interest would suffer by the
disclosure.
(5) Information or records of the Department of Corrections,
including the State Board of Parole and Post-Prison Supervision,
to the extent that disclosure would interfere with the
rehabilitation of a person in custody of the department or
substantially prejudice or prevent the carrying out of the
functions of the department, if the public interest in
confidentiality clearly outweighs the public interest in
disclosure.
(6) Records, reports and other information received or compiled
by the Director of the Department of Consumer and Business
Services in the administration of ORS chapters 723 and 725 not
otherwise required by law to be made public, to the extent that
the interests of lending institutions, their officers, employees
and customers in preserving the confidentiality of such
information outweighs the public interest in disclosure.
(7) Reports made to or filed with the court under ORS 137.077
or 137.530.
(8) Any public records or information the disclosure of which
is prohibited by federal law or regulations.
(9)(a) Public records or information the disclosure of which is
prohibited or restricted or otherwise made confidential or
privileged under Oregon law.
(b) Subject to ORS 192.423, paragraph (a) of this subsection
does not apply to factual information compiled in a public record
when:
(A) The basis for the claim of exemption is ORS 40.225;
(B) The factual information is not prohibited from disclosure
under any applicable state or federal law, regulation or court
order and is not otherwise exempt from disclosure under ORS
192.410 to 192.505;
(C) The factual information was compiled by or at the direction
of an attorney as part of an investigation on behalf of the
public body in response to information of possible wrongdoing by
the public body;
(D) The factual information was not compiled in preparation for
litigation, arbitration or an administrative proceeding that was
reasonably likely to be initiated or that has been initiated by
or against the public body; and
(E) The holder of the privilege under ORS 40.225 has made or
authorized a public statement characterizing or partially
disclosing the factual information compiled by or at the
attorney's direction.
(10) Public records or information described in this section,
furnished by the public body originally compiling, preparing or
receiving them to any other public officer or public body in
connection with performance of the duties of the recipient, if
the considerations originally giving rise to the confidential or
exempt nature of the public records or information remain
applicable.
(11) Records of the Energy Facility Siting Council concerning
the review or approval of security programs pursuant to ORS
469.530.
(12) Employee and retiree address, telephone number and other
nonfinancial membership records and employee financial records
maintained by the Public Employees Retirement System pursuant to
ORS chapters 238 and 238A { + and sections 1 to 20 of this 2013
Act + }.
(13) Records of or submitted to the State Treasurer, the Oregon
Investment Council or the agents of the treasurer or the council
relating to active or proposed publicly traded investments under
ORS chapter 293, including but not limited to records regarding
the acquisition, exchange or liquidation of the investments. For
the purposes of this subsection:
(a) The exemption does not apply to:
(A) Information in investment records solely related to the
amount paid directly into an investment by, or returned from the
investment directly to, the treasurer or council; or
(B) The identity of the entity to which the amount was paid
directly or from which the amount was received directly.
(b) An investment in a publicly traded investment is no longer
active when acquisition, exchange or liquidation of the
investment has been concluded.
(14)(a) Records of or submitted to the State Treasurer, the
Oregon Investment Council, the Oregon Growth Account Board or the
agents of the treasurer, council or board relating to actual or
proposed investments under ORS chapter 293 or 348 in a privately
placed investment fund or a private asset including but not
limited to records regarding the solicitation, acquisition,
deployment, exchange or liquidation of the investments including
but not limited to:
(A) Due diligence materials that are proprietary to an
investment fund, to an asset ownership or to their respective
investment vehicles.
(B) Financial statements of an investment fund, an asset
ownership or their respective investment vehicles.
(C) Meeting materials of an investment fund, an asset ownership
or their respective investment vehicles.
(D) Records containing information regarding the portfolio
positions in which an investment fund, an asset ownership or
their respective investment vehicles invest.
(E) Capital call and distribution notices of an investment
fund, an asset ownership or their respective investment vehicles.
(F) Investment agreements and related documents.
(b) The exemption under this subsection does not apply to:
(A) The name, address and vintage year of each privately placed
investment fund.
(B) The dollar amount of the commitment made to each privately
placed investment fund since inception of the fund.
(C) The dollar amount of cash contributions made to each
privately placed investment fund since inception of the fund.
(D) The dollar amount, on a fiscal year-end basis, of cash
distributions received by the State Treasurer, the Oregon
Investment Council, the Oregon Growth Account Board or the agents
of the treasurer, council or board from each privately placed
investment fund.
(E) The dollar amount, on a fiscal year-end basis, of the
remaining value of assets in a privately placed investment fund
attributable to an investment by the State Treasurer, the Oregon
Investment Council, the Oregon Growth Account Board or the agents
of the treasurer, council or board.
(F) The net internal rate of return of each privately placed
investment fund since inception of the fund.
(G) The investment multiple of each privately placed investment
fund since inception of the fund.
(H) The dollar amount of the total management fees and costs
paid on an annual fiscal year-end basis to each privately placed
investment fund.
(I) The dollar amount of cash profit received from each
privately placed investment fund on a fiscal year-end basis.
(15) The monthly reports prepared and submitted under ORS
293.761 and 293.766 concerning the Public Employees Retirement
Fund and the Industrial Accident Fund may be uniformly treated as
exempt from disclosure for a period of up to 90 days after the
end of the calendar quarter.
(16) Reports of unclaimed property filed by the holders of such
property to the extent permitted by ORS 98.352.
(17)(a) The following records, communications and information
submitted to the Oregon Business Development Commission, the
Oregon Business Development Department, the State Department of
Agriculture, the Oregon Growth Account Board, the Port of
Portland or other ports as defined in ORS 777.005, or a county or
city governing body and any board, department, commission,
council or agency thereof, by applicants for investment funds,
grants, loans, services or economic development moneys, support
or assistance including, but not limited to, those described in
ORS 285A.224:
(A) Personal financial statements.
(B) Financial statements of applicants.
(C) Customer lists.
(D) Information of an applicant pertaining to litigation to
which the applicant is a party if the complaint has been filed,
or if the complaint has not been filed, if the applicant shows
that such litigation is reasonably likely to occur; this
exemption does not apply to litigation which has been concluded,
and nothing in this subparagraph shall limit any right or
opportunity granted by discovery or deposition statutes to a
party to litigation or potential litigation.
(E) Production, sales and cost data.
(F) Marketing strategy information that relates to applicant's
plan to address specific markets and applicant's strategy
regarding specific competitors.
(b) The following records, communications and information
submitted to the State Department of Energy by applicants for tax
credits or for grants awarded under ORS 469B.256:
(A) Personal financial statements.
(B) Financial statements of applicants.
(C) Customer lists.
(D) Information of an applicant pertaining to litigation to
which the applicant is a party if the complaint has been filed,
or if the complaint has not been filed, if the applicant shows
that such litigation is reasonably likely to occur; this
exemption does not apply to litigation which has been concluded,
and nothing in this subparagraph shall limit any right or
opportunity granted by discovery or deposition statutes to a
party to litigation or potential litigation.
(E) Production, sales and cost data.
(F) Marketing strategy information that relates to applicant's
plan to address specific markets and applicant's strategy
regarding specific competitors.
(18) Records, reports or returns submitted by private concerns
or enterprises required by law to be submitted to or inspected by
a governmental body to allow it to determine the amount of any
transient lodging tax payable and the amounts of such tax payable
or paid, to the extent that such information is in a form which
would permit identification of the individual concern or
enterprise. Nothing in this subsection shall limit the use which
can be made of such information for regulatory purposes or its
admissibility in any enforcement proceedings. The public body
shall notify the taxpayer of the delinquency immediately by
certified mail. However, in the event that the payment or
delivery of transient lodging taxes otherwise due to a public
body is delinquent by over 60 days, the public body shall
disclose, upon the request of any person, the following
information:
(a) The identity of the individual concern or enterprise that
is delinquent over 60 days in the payment or delivery of the
taxes.
(b) The period for which the taxes are delinquent.
(c) The actual, or estimated, amount of the delinquency.
(19) All information supplied by a person under ORS 151.485 for
the purpose of requesting appointed counsel, and all information
supplied to the court from whatever source for the purpose of
verifying the financial eligibility of a person pursuant to ORS
151.485.
(20) Workers' compensation claim records of the Department of
Consumer and Business Services, except in accordance with rules
adopted by the Director of the Department of Consumer and
Business Services, in any of the following circumstances:
(a) When necessary for insurers, self-insured employers and
third party claim administrators to process workers' compensation
claims.
(b) When necessary for the director, other governmental
agencies of this state or the United States to carry out their
duties, functions or powers.
(c) When the disclosure is made in such a manner that the
disclosed information cannot be used to identify any worker who
is the subject of a claim.
(d) When a worker or the worker's representative requests
review of the worker's claim record.
(21) Sensitive business records or financial or commercial
information of the Oregon Health and Science University that is
not customarily provided to business competitors.
(22) Records of Oregon Health and Science University regarding
candidates for the position of president of the university.
(23) The records of a library, including:
(a) Circulation records, showing use of specific library
material by a named person;
(b) The name of a library patron together with the address or
telephone number of the patron; and
(c) The electronic mail address of a patron.
(24) The following records, communications and information
obtained by the Housing and Community Services Department in
connection with the department's monitoring or administration of
financial assistance or of housing or other developments:
(a) Personal and corporate financial statements and
information, including tax returns.
(b) Credit reports.
(c) Project appraisals.
(d) Market studies and analyses.
(e) Articles of incorporation, partnership agreements and
operating agreements.
(f) Commitment letters.
(g) Project pro forma statements.
(h) Project cost certifications and cost data.
(i) Audits.
(j) Project tenant correspondence.
(k) Personal information about a tenant.
(L) Housing assistance payments.
(25) Raster geographic information system (GIS) digital
databases, provided by private forestland owners or their
representatives, voluntarily and in confidence to the State
Forestry Department, that is not otherwise required by law to be
submitted.
(26) Sensitive business, commercial or financial information
furnished to or developed by a public body engaged in the
business of providing electricity or electricity services, if the
information is directly related to a transaction described in ORS
261.348, or if the information is directly related to a bid,
proposal or negotiations for the sale or purchase of electricity
or electricity services, and disclosure of the information would
cause a competitive disadvantage for the public body or its
retail electricity customers. This subsection does not apply to
cost-of-service studies used in the development or review of
generally applicable rate schedules.
(27) Sensitive business, commercial or financial information
furnished to or developed by the City of Klamath Falls, acting
solely in connection with the ownership and operation of the
Klamath Cogeneration Project, if the information is directly
related to a transaction described in ORS 225.085 and disclosure
of the information would cause a competitive disadvantage for the
Klamath Cogeneration Project. This subsection does not apply to
cost-of-service studies used in the development or review of
generally applicable rate schedules.
(28) Personally identifiable information about customers of a
municipal electric utility or a people's utility district or the
names, dates of birth, driver license numbers, telephone numbers,
electronic mail addresses or Social Security numbers of customers
who receive water, sewer or storm drain services from a public
body as defined in ORS 174.109. The utility or district may
release personally identifiable information about a customer, and
a public body providing water, sewer or storm drain services may
release the name, date of birth, driver license number, telephone
number, electronic mail address or Social Security number of a
customer, if the customer consents in writing or electronically,
if the disclosure is necessary for the utility, district or other
public body to render services to the customer, if the disclosure
is required pursuant to a court order or if the disclosure is
otherwise required by federal or state law. The utility, district
or other public body may charge as appropriate for the costs of
providing such information. The utility, district or other public
body may make customer records available to third party credit
agencies on a regular basis in connection with the establishment
and management of customer accounts or in the event such accounts
are delinquent.
(29) A record of the street and number of an employee's address
submitted to a special district to obtain assistance in promoting
an alternative to single occupant motor vehicle transportation.
(30) Sensitive business records, capital development plans or
financial or commercial information of Oregon Corrections
Enterprises that is not customarily provided to business
competitors.
(31) Documents, materials or other information submitted to the
Director of the Department of Consumer and Business Services in
confidence by a state, federal, foreign or international
regulatory or law enforcement agency or by the National
Association of Insurance Commissioners, its affiliates or
subsidiaries under ORS 86A.095 to 86A.198, 697.005 to 697.095,
697.602 to 697.842, 705.137, 717.200 to 717.320, 717.900 or
717.905, ORS chapter 59, 723, 725 or 726, the Bank Act or the
Insurance Code when:
(a) The document, material or other information is received
upon notice or with an understanding that it is confidential or
privileged under the laws of the jurisdiction that is the source
of the document, material or other information; and
(b) The director has obligated the Department of Consumer and
Business Services not to disclose the document, material or other
information.
(32) A county elections security plan developed and filed under
ORS 254.074.
(33) Information about review or approval of programs relating
to the security of:
(a) Generation, storage or conveyance of:
(A) Electricity;
(B) Gas in liquefied or gaseous form;
(C) Hazardous substances as defined in ORS 453.005 (7)(a), (b)
and (d);
(D) Petroleum products;
(E) Sewage; or
(F) Water.
(b) Telecommunication systems, including cellular, wireless or
radio systems.
(c) Data transmissions by whatever means provided.
(34) The information specified in ORS 25.020 (8) if the Chief
Justice of the Supreme Court designates the information as
confidential by rule under ORS 1.002.
(35)(a) Employer account records of the State Accident
Insurance Fund Corporation.
(b) As used in this subsection, 'employer account records '
means all records maintained in any form that are specifically
related to the account of any employer insured, previously
insured or under consideration to be insured by the State
Accident Insurance Fund Corporation and any information obtained
or developed by the corporation in connection with providing,
offering to provide or declining to provide insurance to a
specific employer. 'Employer account records' includes, but is
not limited to, an employer's payroll records, premium payment
history, payroll classifications, employee names and
identification information, experience modification factors, loss
experience and dividend payment history.
(c) The exemption provided by this subsection may not serve as
the basis for opposition to the discovery documents in litigation
pursuant to applicable rules of civil procedure.
(36)(a) Claimant files of the State Accident Insurance Fund
Corporation.
(b) As used in this subsection, 'claimant files' includes, but
is not limited to, all records held by the corporation pertaining
to a person who has made a claim, as defined in ORS 656.005, and
all records pertaining to such a claim.
(c) The exemption provided by this subsection may not serve as
the basis for opposition to the discovery documents in litigation
pursuant to applicable rules of civil procedure.
(37) Except as authorized by ORS 408.425, records that certify
or verify an individual's discharge or other separation from
military service.
(38) Records of or submitted to a domestic violence service or
resource center that relate to the name or personal information
of an individual who visits a center for service, including the
date of service, the type of service received, referrals or
contact information or personal information of a family member of
the individual. As used in this subsection, 'domestic violence
service or resource center' means an entity, the primary purpose
of which is to assist persons affected by domestic or sexual
violence by providing referrals, resource information or other
assistance specifically of benefit to domestic or sexual violence
victims.
SECTION 27. ORS 196.165 is amended to read:
196.165. (1) The Columbia River Gorge Commission established
under ORS 196.150 may designate its employees as employees and
the commission as an employer subject to the Oregon Public
Employees Retirement System under ORS chapters 238 and 238A
{ + and sections 1 to 20 of this 2013 Act + } or as an employer
and employees subject to a retirement system provided by the
State of Washington under the laws of the State of Washington.
(2) The commission may designate its employees as employees
eligible under benefit plans provided under ORS 243.105 to
243.285 or under benefit plans provided under the laws of the
State of Washington.
SECTION 28. ORS 237.620 is amended to read:
237.620. (1) Except as provided in this section, all public
employers of police officers or firefighters shall provide
retirement benefits to those employees under the Public Employees
Retirement System.
(2) Notwithstanding subsection (1) of this section, a public
employer of police officers or firefighters need not provide
retirement benefits to those employees under the Public Employees
Retirement System if the Public Employees Retirement Board
determines that the public employer provides retirement benefits
to each of the following classes of employees that are equal to
or better than the retirement benefits that would be provided to
the equivalent classes of employees under the Public Employees
Retirement System:
(a) Police officers or firefighters who are entitled to receive
benefits only under ORS chapter 238 and who established
membership in the system before January 1, 1996, as described in
ORS 238.430 (2);
(b) Police officers or firefighters who are entitled to receive
benefits only under ORS chapter 238 and who established
membership in the system on or after January 1, 1996, and before
August 29, 2003, as described in ORS 238A.025 (4); { - and - }
(c) Police officers or firefighters who establish membership in
the system on or after August 29, 2003, and are entitled to
benefits only under the Oregon Public Service Retirement
Plan { + ; and
(d) Police officers or firefighters who establish membership in
the system on or after the effective date of this 2013 Act, and
are entitled to benefits only under sections 1 to 20 of this 2013
Act + }.
(3) At such times as may be established by board rule, the
Public Employees Retirement Board shall review the retirement
benefits provided by a public employer of police officers or
firefighters that does not provide retirement benefits for those
employees under the Public Employees Retirement System. The
review must be conducted at the expense of the public employer.
Based on the review, the board shall determine whether the public
employer complies with the requirements of subsection (2) of this
section. If the board determines that the public employer does
not comply with the requirements of subsection (2) of this
section for any class of employees described in subsection (2) of
this section, the public employer must provide that class of
employees with retirement benefits adequate to meet the
requirements of subsection (2) of this section. If the public
employer fails to provide those benefits, any employee within the
class may bring an action in circuit court to compel compliance
with the requirements of this section.
SECTION 29. ORS 237.650 is amended to read:
237.650. (1) Except as provided in this section, a person
appointed or elected as a member of the Legislative Assembly may
make a retirement plan election in the manner provided by this
section. If a person appointed or elected as a member of the
Legislative Assembly does not make a retirement plan election
under subsection (2), (3) or (4) of this section, the person is
deemed to have elected a retirement plan as provided in
subsection (7) of this section.
(2) An active or inactive member of the Public Employees
Retirement System who is appointed or elected as a member of the
Legislative Assembly, and who established membership in the
system before August 29, 2003, as described in ORS 238A.025, may:
(a) Elect to remain a member of the system under ORS chapter
238 for the purpose of service in the Legislative Assembly;
(b) Decline to remain a member of the system under ORS chapter
238 and elect to become a legislator member of the state deferred
compensation plan under ORS 237.655 for the purpose of service in
the Legislative Assembly; or
(c) Decline to remain a member of the system under ORS chapter
238 or to become a legislator member of the state deferred
compensation plan under ORS 237.655 for the purpose of service in
the Legislative Assembly.
(3) A retired member of the Public Employees Retirement System
who is appointed or elected as a member of the Legislative
Assembly, and who established membership in the system before
August 29, 2003, as described in ORS 238A.025, may:
(a) Elect to become an active member of the system under ORS
chapter 238 for the purpose of service in the Legislative
Assembly;
(b) Decline to become an active member of the system under ORS
chapter 238 and elect to become a legislator member of the state
deferred compensation plan under ORS 237.655 for the purpose of
service in the Legislative Assembly; or
(c) Decline to become an active member of the system under ORS
chapter 238 or to become a legislator member of the state
deferred compensation plan under ORS 237.655 for the purpose of
service in the Legislative Assembly.
(4) A person who is appointed or elected as a member of the
Legislative Assembly and who is not a member of the Public
Employees Retirement System at the time the person takes office
may:
(a) Elect to become a member of the { - Oregon Public Service
Retirement Plan established under ORS chapter 238A - }
{ + Public Employees Retirement System under sections 1 to 20 of
this 2013 Act + } for the purpose of service in the Legislative
Assembly;
(b) Decline to become a member of the { - Oregon Public
Service Retirement Plan - } { + Public Employees Retirement
System + } and elect to become a legislator member of the state
deferred compensation plan under ORS 237.655 for the purpose of
service in the Legislative Assembly; or
(c) Decline to become a member of the { - Oregon Public
Service Retirement Plan - } { + Public Employees Retirement
System + } or to become a legislator member of the state deferred
compensation plan under ORS 237.655 for the purpose of service in
the Legislative Assembly.
(5) An active or inactive member of the Public Employees
Retirement System who is appointed or elected as a member of the
Legislative Assembly, and who established membership in the
system on or after August 29, 2003, as described in ORS
238A.025 { + or section 6 or 17 of this 2013 Act + }, may not
make an election under this section and is an active member of
the system under ORS chapter 238A { + or sections 1 to 20 of
this 2013 Act + } for the purpose of service in the Legislative
Assembly.
(6) A retired member of the Public Employees Retirement System
who is appointed or elected as a member of the Legislative
Assembly, and who established membership in the system on or
after August 29, 2003, as described in ORS 238A.025 { + or
section 6 or 17 of this 2013 Act + }, may not make an election
under this section and remains a retired member of the system
under ORS chapter 238A { + or sections 1 to 20 of this 2013
Act + } during the person's service in the Legislative Assembly.
(7) Written notice of an election under subsection (2), (3) or
(4) of this section must be given to the Public Employees
Retirement Board not more than 30 days after the person takes
office. If the board does not receive written notice of the
election within 30 days after the person takes office:
(a) A person described in subsection (2) of this section is
deemed to have elected to remain a member of the Public Employees
Retirement System under ORS chapter 238 for the purpose of
service in the Legislative Assembly.
(b) A person described in subsection (3) of this section is
deemed to have declined to become an active member of the system
under ORS chapter 238, or to become a legislator member of the
state deferred compensation plan under ORS 237.655, and remains a
retired member of the system under ORS chapter 238 for the
purpose of service in the Legislative Assembly.
(c) A person described in subsection (4) of this section is
deemed to have elected to become a member of the system under
{ - ORS chapter 238A - } { + sections 1 to 20 of this 2013
Act + } for the purpose of service in the Legislative Assembly.
(8) An election under subsection (3)(b) or (c) of this section
does not affect the status of a person as a retired member of the
system and a recipient of retirement benefits under ORS chapter
238.
(9) An election under this section does not affect the ability
of a person appointed or elected as a member of the Legislative
Assembly to participate in the state deferred compensation plan
in the manner provided by ORS 243.401 to 243.507 as other than a
legislator member under ORS 237.655.
SECTION 30. ORS 238.105 is amended to read:
238.105. (1) Whenever, within five years after the employee is
separated from all service entitling the employee to membership
in the system, an employee who has withdrawn the amount credited
to the member account of the member reenters the service of an
employer participating in the system, the employee's rights in
the system that were forfeited by the withdrawal shall be
restored upon repaying to the board within one year after
reentering the service of the employer, the full amount so
withdrawn together with the interest that would have been
accumulated on the sum had the amount not been withdrawn.
(2) Restoration of rights under this section does not affect
any forfeiture of rights of a person by reason of:
(a) Withdrawal of an account established under ORS 238.440;
(b) Withdrawal from the pension program under ORS 238A.120;
{ - or - }
(c) Withdrawal of individual accounts pursuant to ORS
238A.375 { + ; or
(d) Withdrawal of member accounts under section 14 of this 2013
Act + }.
SECTION 31. ORS 238.115 is amended to read:
238.115. (1)(a) A member of the system who, after separation
from all service entitling the employee to membership in the
system and withdrawal of the amount credited to the member
account of the member, reenters the service of an employer
participating in the system and serves as an active member of the
system for 10 years after that reentry, and who has not otherwise
obtained restoration of creditable service forfeited by the
withdrawal, shall obtain restoration of one full month of
creditable service forfeited by the withdrawal for each three
full months of service as an active member after that reentry if
the member, within 90 days before the effective date of
retirement of the member:
(A) Applies in writing to the board for restoration of
creditable service; and
(B) Pays to the board in a lump sum for credit to the member
account of the member the amount withdrawn and interest on the
amount withdrawn compounded annually for each year or portion of
a year after the date of the withdrawal and before the effective
date of retirement of the member. The interest shall be computed
at the annual rate of 7.5 percent.
(b) If a member who obtains restoration of creditable service
as provided in this subsection does not obtain restoration of all
creditable service forfeited by the withdrawal pursuant to
service after reentry, the payment under paragraph (a) of this
subsection shall be reduced proportionately to reflect the
percentage of creditable service restored.
(c) A member who obtains restoration of creditable service as
provided in this subsection is not entitled to elect to receive
the service retirement benefit described in ORS 238.305 (2) or
(3).
(2) A member who forfeited creditable service rendered to a
public employer before March 27, 1953, because under ORS 237.976
(2) the employee withdrew contributions of the employee to the
Public Employees Retirement System established by chapter 401,
Oregon Laws 1945, and who did not obtain restoration of
creditable service so forfeited as provided in chapter 857,
Oregon Laws 1977, shall, upon retirement, receive restoration of
creditable service so forfeited, if the member, before the
effective date of retirement of the member:
(a) Applies in writing to the board for the restoration of the
creditable service; and
(b) Pays to the board in a lump sum for credit to the member
account of the member an amount determined by the board to be
equal to the full amount of contributions so withdrawn and the
interest that would have accumulated to the regular account of
the member had those contributions not been withdrawn.
(3)(a) A member of the Public Employees Retirement System who
was a member of an association established pursuant to ORS
chapter 239 (1997 Edition), but separated from all service
entitling the employee to membership in the system of the
association and withdrew the amount credited to the member
account of the employee in the retirement fund of the
association, and who, after that separation, entered the service
of an employer in the field of education participating in the
Public Employees Retirement System and served as an active member
of that system for 10 years after that entry, and who has not
otherwise obtained restoration of all creditable service
forfeited by the withdrawal, shall obtain creditable service as a
member of the Public Employees Retirement System equal to all
creditable service forfeited by the withdrawal if the member
within 90 days before the effective date of retirement of the
member:
(A) Applies in writing to the Public Employees Retirement Board
for that creditable service; and
(B) Pays to the board in a lump sum for credit to the member
account of the member the amount withdrawn and interest on the
amount withdrawn compounded annually for each year or portion of
a year after the date of the withdrawal and before the effective
date of retirement or effective date of application of the
member. The interest shall be computed at the rate actually
credited to regular accounts for that period.
(b) This subsection provides a method of obtaining creditable
service for forfeited creditable service described in this
subsection that is in lieu of any application of subsection (1)
of this section for that purpose.
(4) Restoration of creditable service under this section does
not affect any forfeiture of rights of a person by reason of:
(a) Withdrawal of an account established under ORS 238.440;
(b) Withdrawal from the pension program under ORS 238A.120;
{ - or - }
(c) Withdrawal of individual accounts pursuant to ORS
238A.375 { + ; or
(d) Withdrawal of member accounts under section 14 of this 2013
Act + }.
SECTION 32. ORS 238.265 is amended to read:
238.265. (1) Except as otherwise provided in this section, a
member of the Public Employees Retirement System may withdraw
from the Public Employees Retirement Fund the amount credited to
the member account, if any, for the member if:
(a) The member is separated from all service with participating
public employers;
(b) The member is separated from all service with employers who
are treated as part of a participating public employer's
controlled group under the federal laws and rules governing the
status of the system and the fund as a qualified governmental
retirement plan and trust;
(c) The member has not attained earliest service retirement
age; and
(d) The separation from service is not by reason of death or
disability.
(2) If a member wishes to withdraw the member account, if any,
of the member under this section, the member must transmit to the
Public Employees Retirement Board a withdrawal request. The board
shall deny the withdrawal, or shall take all reasonable steps to
recover withdrawn amounts, if:
(a) The board determines that the separation is not a bona fide
separation; or
(b) The member fails to remain absent from the service of all
employers described in subsection (1) of this section for at
least one calendar month following the month in which the member
separates from service.
(3) If a member has contributed to the fund in each of five
calendar years and has separated from all service in the manner
described in subsection (1) of this section before reaching
earliest service retirement age, the member may elect to withdraw
the member account of the member under this section at any time
before reaching earliest service retirement age. If the inactive
member does not make an election to withdraw under this section,
the member shall be paid the benefits or retirement allowances
described in ORS 238.425.
(4) A member who is vested in the pension program established
under ORS chapter 238A and who is eligible to withdraw from the
pension program under ORS 238A.120 may withdraw a member account
under this section only if the member also withdraws from the
pension program. A member who has an individual account or
accounts in the individual account program established under ORS
chapter 238A { + , or a member account under sections 1 to 20 of
this 2013 Act, + } may withdraw a member account under this
section only if the member also withdraws all individual { + and
member + } accounts pursuant to ORS 238A.375 { + and section 14
of this 2013 Act + }. A member who has an account established
under ORS 238.440 may withdraw a member account under this
section only if the member also withdraws the account established
under ORS 238.440.
(5) Withdrawal of { - a member - } { + an + } account under
this section cancels all membership rights in the system,
including the right to claim credit for any employment before
withdrawal.
SECTION 33. ORS 238.445 is amended to read:
238.445. (1) Except as provided in this section, the right of a
person to a pension, an annuity or a retirement allowance, to the
return of contribution, the pension, annuity or retirement
allowance itself, any optional benefit or death benefit, or any
other right accrued or accruing to any person under the
provisions of this chapter or ORS chapter 238A { + or sections 1
to 20 of this 2013 Act + }, and the money in the various funds
created by ORS 238.660 and 238.670, shall be exempt from
garnishment and all state, county and municipal taxes heretofore
or hereafter imposed, except as provided under ORS chapter 118,
shall not be subject to execution, garnishment, attachment or any
other process or to the operation of any bankruptcy or insolvency
law heretofore or hereafter existing or enacted, and shall be
unassignable.
(2) Subsection (1) of this section does not apply to state
personal income taxation of amounts paid under this chapter and
ORS chapter 238A { + or sections 1 to 20 of this 2013 Act + }.
(3) Unless otherwise ordered by a court under ORS 25.387, the
exemption from execution or other process granted under this
section applies to 50 percent of amounts paid under this chapter
and ORS chapter 238A { + or sections 1 to 20 of this 2013
Act + } if the execution or other process is issued for a support
obligation or an order or notice entered or issued under ORS
chapter 25, 107, 108, 109, 110, 416, 419B or 419C.
SECTION 34. ORS 238.455 is amended to read:
238.455. (1)(a) Whenever a member of the system is retired for
service and is entitled to receive a retirement allowance or
benefit that is payable monthly, and the Public Employees
Retirement Board is unable to calculate the amount of the monthly
payment in time to allow mailing of the monthly payment to the
member within 62 days of the date the first monthly payment is
due, the board shall calculate an estimated amount for the
monthly payment based on the information then available to the
board and shall mail that payment to the member within 62 days of
the date the first monthly payment is due.
(b) Whenever a member of the system is retired for disability
and is entitled to receive a retirement allowance or benefit that
is payable monthly, and the board is unable to calculate the
amount of the monthly payment in time to allow mailing of the
monthly payment to the member within 10 days of either the date
the board approves the member's application or the date that the
first monthly payment is due, whichever is later, the board shall
calculate an estimated amount for the monthly payment based on
the information then available to the board and shall mail that
payment to the member within 10 days of the date the board
approves the member's disability benefit, the date the board
receives the member's election of one of the optional forms of
disability retirement allowance or the date the first monthly
payment is due, whichever is later.
(2) The board shall continue to mail estimated payments under
subsection (1) of this section until such time as the correct
amount of the monthly payment is determined.
(3) The board shall notify the member receiving an estimated
payment under subsection (1) of this section that the payment is
an estimated payment only. The board shall further notify the
member of the provisions of subsection (4) of this section.
(4) If the board determines that any estimated payment made to
the member under subsection (1) of this section resulted in
payment to the member of an amount other than the correct amount
due the member as a retirement allowance or benefit, the board
shall immediately so notify the member. Thereafter, the board may
increase or decrease the monthly payment to the member until such
time as the total difference between the amount or amounts the
member received and the amount or amounts the member should have
received is accounted for. Thereafter the member shall receive
the monthly payment as finally calculated by the board.
(5) If the estimated payment made to the member under
subsection (1) of this section results in an underpayment to the
member of $10 or more a month, the board shall pay interest on
the balance of such underpayment at a rate established by rule of
the board until such time as the underpayment is paid to the
member pursuant to subsection (4) of this section.
(6) No member shall have any right to any allowance or other
benefit other than that provided for in this chapter
{ - and - } { + or + } ORS chapter 238A { + or sections 1 to
20 of this 2013 Act + } based on the board's estimate under this
section or based on any other estimate made by the board for any
other purpose under this chapter { - and - } { + or + } ORS
chapter 238A { + or sections 1 to 20 of this 2013 Act + }.
SECTION 35. ORS 238.465 is amended to read:
238.465. (1) Notwithstanding ORS 238.445 or any other provision
of law, payments under this chapter or ORS chapter 238A { + or
sections 1 to 20 of this 2013 Act + } of any pension, annuity,
retirement allowance, disability benefit, death benefit, refund
benefit or other benefit that would otherwise be made to a person
entitled thereto under this chapter or ORS chapter 238A { + or
sections 1 to 20 of this 2013 Act + } shall be paid, in whole or
in part, by the Public Employees Retirement Board to an alternate
payee if and to the extent expressly provided for in the terms of
any judgment of annulment or dissolution of marriage or of
separation, or the terms of any court order or court-approved
property settlement agreement incident to any judgment of
annulment or dissolution of marriage or of separation.
Notwithstanding any other provisions of this section, the total
value of benefits payable to a member and to an alternate payee
under this section may not be greater than the value of the
benefits the member would otherwise be eligible to receive. Any
payment under this subsection to an alternate payee bars recovery
by any other person.
(2) A judgment, order or settlement providing for payment to an
alternate payee under subsection (1) of this section may also
provide:
(a) That payments to the alternate payee may commence, at the
election of the alternate payee, at any time after the earlier
of:
(A) The earliest date the member would be eligible to receive
retirement benefits if the member separates from service; or
(B) The date the member actually separates from service due to
death, disability, retirement or termination of employment.
(b) That the alternate payee may elect to receive payment in
any form of pension, annuity, retirement allowance, disability
benefit, death benefit, refund benefit or other benefit, except a
benefit in the form of a joint and survivor annuity, that would
be available to the member under this chapter or ORS chapter
238A { + or sections 1 to 20 of this 2013 Act + }, or that would
be available to the member if the member retired or separated
from service at the time of election by the alternate payee,
without regard to the form of benefit elected by the member.
(c) That the alternate payee's life is the measuring life for
the purpose of measuring payments to the alternate payee under
the form of benefit selected by the alternate payee and for the
purpose of determining necessary employer reserves.
(d) Except as provided in ORS 238.305 (10) and 238.325 (7),
that any person designated by the member as a beneficiary under
ORS 238.300, 238.305, 238.325, 238A.190 or 238A.400 { + or
section 15 of this 2013 Act + } be changed, even though the
member has retired and has begun receiving a retirement allowance
or pension. If a change of beneficiary is ordered under this
paragraph, the board shall adjust the anticipated benefits that
would be payable to the member and the beneficiary to ensure that
the cost to the system of providing benefits to the member and
the new beneficiary does not exceed the cost that the system
would have incurred to provide benefits to the member and the
original beneficiary. The judgment, order or settlement may not
provide for any change to the option selected by the retired
member under ORS 238.300, 238.305, 238.320, 238.325, 238A.190 or
238A.400 as to the form of the retirement benefit.
(3) The board shall adopt rules that provide for:
(a) The creation of a separate account in the name of the
alternate payee reflecting the judgment's, order's or agreement's
distribution of the member's benefits under this chapter or ORS
chapter 238A { + or sections 1 to 20 of this 2013 Act + };
(b) The establishing of criteria to determine whether domestic
relations judgments, orders and agreements comply with this
section; and
(c) The definitions and procedures for the administration of
this section.
(4) An alternate payee may designate a beneficiary for the
purposes of death benefits payable under ORS 238.390 and 238.395
{ + and section 15 of this 2013 Act + }. Subject to ORS
238A.410 (2), an alternate payee may designate a beneficiary for
the purposes of death benefits payable under ORS 238A.410. If the
alternate payee fails to designate a beneficiary for the purposes
of death benefits payable under ORS 238.390 and 238.395 { + and
section 15 of this 2013 Act + }, the benefits shall be paid as
provided by ORS 238.390 (2) { + and section 15 (2) of this 2013
Act + }. If the alternate payee fails to designate a beneficiary
for the purposes of death benefits payable under ORS 238A.410,
the benefits shall be paid as provided by ORS 238A.410 (3). If a
judgment, order or agreement awards an interest to an alternate
payee, and if the alternate payee predeceases the member before
the alternate payee has commenced receiving benefits, the
alternate payee shall be considered a member of the system who
died before retiring for the purposes of the death benefits
provided in ORS 238.390, 238.395, 238A.230 and 238A.410 { + and
section 15 of this 2013 Act + }, but for purposes of the death
benefits provided in ORS 238.395, the alternate payee shall be
considered a member of the system who died before retiring only
if the member would have been eligible for death benefits under
ORS 238.395 had the member died at the same time as the alternate
payee. Payment of the death benefits to the beneficiaries, estate
or other persons entitled to receive the benefits under ORS
238.390, 238.395, 238A.230 and 238A.410 { + and section 15 of
this 2013 Act + }, shall constitute payment in full of the
alternate payee's interest under the judgment, order or
agreement.
(5) Any increase in the retirement allowance provided to the
member shall increase the amounts paid to the spouse or former
spouse of the member in the same proportion, except that an
alternate payee is not entitled to receive cost-of-living
adjustments under ORS 238.360 or any other retirement allowance
increase until benefits are first paid from the system on behalf
of the member.
(6) An alternate payee under this section is not eligible to
receive the benefits provided under ORS 238.410, 238.415, 238.420
and 238.440 by reason of the provisions of this section.
(7) An alternate payee who elects to begin receiving payments
under subsection (1) of this section before the member's
effective date of retirement is not eligible to receive any
additional payment by reason of credit in the system acquired by
the member after the alternate payee begins to receive payments.
(8) Subsection (1) of this section applies only to payments
made by the board after the date of receipt by the board of
written notice of the judgment, order or agreement and such
additional information and documentation as the board may
prescribe.
(9) Whenever the board is required to make payment to an
alternate payee under the provisions of this section, the board
shall charge and collect out of the benefits payable to the
member and the alternate payee actual and reasonable
administrative expenses and related costs incurred by the board
in obtaining data and making calculations that are necessary by
reason of the provisions of this section. The board may not
charge more than $300 for total administrative expenses and
related costs incurred in obtaining data or making calculations
that are necessary by reason of the provisions of this section.
The board shall allocate expenses and costs charged under the
provisions of this subsection between the member and the
alternate payee based on the fraction of the benefit received by
the member or alternate payee.
(10) Unless otherwise provided by the judgment, order or
agreement, a member has no interest in the benefit payable to an
alternate payee under this section. Upon the death of an
alternate payee, the board shall make such payment to the
beneficiary designated by the alternate payee as may be required
under the form of benefit elected by the alternate payee. If a
death benefit is payable under ORS 238.390 or 238.395 { + or
section 15 of this 2013 Act + } by reason of the death of an
alternate payee, payment of the death benefit shall be made to
the beneficiary designated by the alternate payee under ORS
238.390 (1), or as otherwise provided by ORS 238.390 and
238.395 { + and section 15 of this 2013 Act + }.
(11) As used in this section, 'court' means any court of
appropriate jurisdiction of this or any other state or of the
District of Columbia.
SECTION 36. ORS 238.630 is amended to read:
238.630. (1) The governing authority of the system shall be a
board known as the Public Employees Retirement Board and
consisting of five members appointed by the Governor subject to
confirmation by the Senate in the manner provided in ORS 171.562
and 171.565. Except as otherwise provided in ORS 238.640, the
term of each member shall be three years. The Governor shall
designate one member to serve as chairperson, who shall serve as
chairperson at the pleasure of the Governor.
(2) The board shall have:
(a) The powers and privileges of a corporation, including the
right to sue and be sued in its own name as such board; and
(b) The power and duty, subject to the limitations of this
chapter and ORS chapter 238A { + and sections 1 to 20 of this
2013 Act + }, of managing the system.
(3) The board:
(a) Shall arrange for actuarial service for the system;
(b) Shall employ a director;
(c) Shall create such other positions as it deems necessary to
sound and economical administration of the system, which
positions the director shall fill by appointment;
(d) Shall, with the approval of the Director of the Oregon
Department of Administrative Services, and as otherwise provided
by law, fix the salaries of all persons employed for purposes of
administering the system;
(e) Shall publish and distribute to all employer and employee
members of the system an annual report including a summary of
investments of moneys in the fund, investment earnings,
significant legislative or administrative changes in the system
and other pertinent information on the operation of the system
for the preceding year;
(f) Shall determine the actuarial equivalency of optional forms
of retirement allowances and pensions and adopt for that purpose
the necessary actuarial equivalency factor tables in the manner
provided by ORS 238.607, which shall constitute a part of the
system; and
(g) Shall adopt rules and take all actions necessary to
maintain qualification of the Public Employees Retirement System
and the Public Employees Retirement Fund as a qualified
governmental retirement plan and trust under the Internal Revenue
Code and under regulations adopted pursuant to the Internal
Revenue Code. Rules under this paragraph may impose limits on
contributions to the system, limits on benefits payable from the
system and other limitations or procedures required or imposed
under federal law or regulation for the purpose of qualification
of the Public Employees Retirement System and Public Employees
Retirement Fund under the Internal Revenue Code as a governmental
retirement plan and trust.
(4) The board established by this section shall succeed to all
the duties and prerogatives of the Public Employees Retirement
Board created by chapter 401, Oregon Laws 1945, in relation to
the Public Employees Retirement Fund, and in addition shall
perform all duties required of it by ORS 237.950 to 237.980, in
regard to moneys payable to or from such fund.
(5) The board shall identify by rule those records that must be
maintained by participating public employers for the purposes of
subsection (3)(g) of this section. A participating public
employer shall maintain records for all employees who are members
of the system as required by board rules, and shall provide that
information to the board upon request.
SECTION 37. ORS 238.645 is amended to read:
238.645. The system shall be administered, subject to the
limitations of this chapter { - , - } { + and + } ORS chapter
238A { + and sections 1 to 20 of this 2013 Act + } and the
budget prescribed by the board, by the director provided for by
ORS 238.630 and by a staff { - which - } { + that + } the
board authorizes and { - which - } { + that + } the director
appoints. The director shall hold that position during the
discretion of the board and the members of the staff shall hold
their respective positions during the discretion of the director.
No member of the staff may be removed from it, however, in a
manner contrary to the laws of the state regarding civil service.
The director shall furnish such bond as is required by the board.
SECTION 38. ORS 238.650 is amended to read:
238.650. (1) Subject to the limitations of this chapter and ORS
chapter 238A { + and sections 1 to 20 of this 2013 Act + }, the
Public Employees Retirement Board shall, from time to time,
establish rules for transacting its business and administering
the system in accordance with the requirements of ORS chapter
183.
(2) All rules adopted by the board become part of the written
plan document of the Public Employees Retirement System for the
purpose of the status of the system and the Public Employees
Retirement Fund as a qualified governmental retirement plan and
trust under the Internal Revenue Code and under regulations
adopted pursuant to the Internal Revenue Code.
SECTION 39. ORS 238.700 is amended to read:
238.700. All provisions of ORS 238.655, 238.705, 238.710 and
238.715 hereby are made applicable for enforcement of the
requirements of this chapter and ORS chapter 238A { + and
sections 1 to 20 of this 2013 Act + }.
SECTION 40. ORS 238.705 is amended to read:
238.705. (1) All public employers that are members of the
system shall promptly and regularly remit to the Public Employees
Retirement Board all contributions required of them by law and
furnish all reports required by the board.
(2) Any public employer delinquent in remitting contributions
shall be charged interest on the total amount of contributions
due from it at the rate of one percent per month or fraction
thereof during which the public employer is delinquent. Interest
so paid shall be deposited in the Public Employees Retirement
Fund and shall be used by the board in paying administrative
expenses of the system.
(3) If any state officer or agency fails to remit any
contribution or other obligation required by law, the Public
Employees Retirement Board, within 30 days after the date the
request therefor has been made by it by registered mail or by
certified mail with return receipt, may certify to the Oregon
Department of Administrative Services the fact of such failure
and the amount of the delinquent contribution or obligation,
together with its request that such amount be set over from funds
of the delinquent officer or agency to the credit of the Public
Employees Retirement Fund. A copy of such certification and
request shall be furnished the delinquent officer or agency. The
department shall, within 10 days after receipt of the request of
the board, approve the payment of such amount by the delinquent
officer or agency from funds allocated to the officer or agency
for the current biennium and draw a warrant for payment of the
amount of the contribution or obligation due out of funds in the
State Treasury allocated to the use of the delinquent officer or
agency.
(4) If any public employer other than a state agency fails to
remit any contribution or pay any other obligation due under this
chapter or ORS chapter 238A { + or sections 1 to 20 of this 2013
Act + }, the board may certify to the department the fact of such
failure. Upon receipt of the certification the department shall
withhold payment to the public employer of any revenues or funds
in the State Treasury in which the public employer is entitled by
law to share and which have been apportioned to the public
employer until the board certifies to the department that the
failure has been remedied. The board shall send a copy of each
certification it makes under this subsection to the public
employer affected.
(5) Any public employer delinquent in making reports or
supplying information concerning its employees in the manner
required by the board shall be charged a penalty of the lesser of
$2,000 or one percent of the total annual contributions, for each
month or fraction thereof during which the employer is
delinquent. In addition, the board may send an auditor to the
office of the employer to examine its records and to obtain the
necessary reports, the entire cost of such audit to be paid by
the delinquent employer. Penalties and other charges so paid
shall be used by the board in paying administrative expenses of
the system.
SECTION 41. ORS 238.715 is amended to read:
238.715. (1) If the Public Employees Retirement Board
determines that a member of the Public Employees Retirement
System or any other person receiving a monthly payment from the
Public Employees Retirement Fund has received any amount in
excess of the amounts that the member or other person is entitled
to under this chapter { - and - } { + or + } ORS chapter
238A { + or sections 1 to 20 of this 2013 Act + }, the board may
recover the overpayment or other improperly made payment by:
(a) Reducing the monthly payment to the member or other person
for as many months as may be determined by the board to be
necessary to recover the overpayment or other improperly made
payment; or
(b) Reducing the monthly payment to the member or other person
by an amount actuarially determined to be adequate to recover the
overpayment or other improperly made payment during the period
during which the monthly payment will be made to the member or
other person.
(2)(a) Any person who receives a payment from the Public
Employees Retirement Fund and who is not entitled to receive that
payment, including a member of the system who receives an
overpayment, holds the improperly made payment in trust subject
to the board's recovery of that payment under this section or by
a civil action or other proceeding.
(b) The board may recover an improperly made payment in the
manner provided by subsection (1) of this section from any person
who receives an improperly made payment from the fund and who
subsequently becomes entitled to receive a monthly payment from
the fund.
(c) The board may recover an improperly made payment by
reducing any lump sum payment in the amount necessary to recover
the improperly made payment if a person who receives an
improperly made payment from the fund subsequently becomes
entitled to receive a lump sum payment from the fund.
(3) Unless the member or other person receiving a monthly
payment from the fund authorizes a greater reduction, the board
may not reduce the monthly payment made to a member or other
person under the provisions of subsection (1) of this section by
an amount that is equal to more than 10 percent of the monthly
payment.
(4) Before reducing a benefit to recover an overpayment or
erroneous payment, or pursuing any other collection action under
this section, the board shall give notice of the overpayment or
erroneous payment to the person who received the payment. The
notice shall describe the manner in which the person who received
the payment may appeal the board's determination that an
overpayment or erroneous payment was made, the action the board
may take if the person does not respond to the notice and the
authority of the board to assess interest, penalties or costs of
collection.
(5) If the board determines that an overpayment or erroneous
payment was not caused by the system or by a participating public
employer, the board may assess interest in an amount equal to one
percent per month on the balance of the improperly made payment
until the payment is fully recovered. The board may also assess
to the member or other person all costs incurred by the system in
recovering the payment, including attorney fees. Interest and
costs may be collected in the manner prescribed in subsections
(1) and (2) of this section. The board may waive the interest and
costs on an overpayment or other improperly made payment for good
cause shown.
(6) Notwithstanding ORS 293.240, the board may waive the
recovery of any payment or payments made to a person who was not
entitled to receive the payment or payments if the total amount
of the overpayment or other improperly made payments is less than
$50.
(7) A payment made to a person from the fund may not be
recovered by the board unless within six years after the date
that the payment was made the board has commenced proceedings to
recover the payment. For the purposes of subsection (1) of this
section, the board shall be considered to have commenced
proceedings to recover the payment upon mailing of notice to the
person receiving a monthly payment that the board has determined
that an overpayment or other improperly made payment has been
made.
(8) The remedies authorized under this section are supplemental
to any other remedies that may be available to the board for
recovery of amounts incorrectly paid from the fund to members of
the system or other persons.
(9) The board shall adopt rules establishing the procedures to
be followed by the board in recovering overpayments and erroneous
payments under this section.
SECTION 42. ORS 243.800 is amended to read:
243.800. (1) Notwithstanding any provision of ORS chapter 238
or 238A or ORS 243.910 to 243.945 { + or sections 1 to 20 of
this 2013 Act + }, the State Board of Higher Education shall
establish and administer an Optional Retirement Plan for
administrative and academic employees of the Oregon University
System who are eligible for membership in the Public Employees
Retirement System. The Optional Retirement Plan must be a
qualified plan under the Internal Revenue Code, capable of
accepting funds transferred under subsection (7) of this section
without the transfer being treated as a taxable event under the
Internal Revenue Code, and willing to accept those funds.
Retirement and death benefits shall be provided under the plan by
the purchase of annuity contracts, fixed or variable or a
combination thereof, or by contracts for investments in mutual
funds.
(2) The State Board of Higher Education shall select at least
two life insurance companies providing fixed and variable
annuities and at least two investment companies providing mutual
funds, but not more than five companies in total, for the purpose
of providing benefits under the Optional Retirement Plan. The
State Board of Higher Education shall establish selection
criteria for the purpose of this subsection.
(3) An administrative or academic employee may make an
irrevocable election to participate in the Optional Retirement
Plan within six months after being employed. An election under
this subsection is effective on the first day of the month
following six full months of employment.
(4) An administrative or academic employee who does not elect
to participate in the Optional Retirement Plan:
(a) Remains or becomes a member of the Public Employees
Retirement System in accordance with ORS { - chapters 238
and - } { + chapter 238 or + } 238A { + or sections 1 to 20 of
this 2013 Act + }; or
(b) Continues to be assisted by the State Board of Higher
Education under ORS 243.920 if the employee is being so assisted.
(5) Except as provided in subsection (6) of this section,
employees who elect to participate in the Optional Retirement
Plan are ineligible for active membership in the Public Employees
Retirement System or for any assistance by the State Board of
Higher Education under ORS 243.920 as long as those employees are
employed in the Oregon University System and the plan is in
effect.
(6)(a) An administrative or academic employee who elects to
participate in the Optional Retirement Plan, who has creditable
service under ORS chapter 238 as defined by ORS 238.005 and who
is not vested shall be considered by the Public Employees
Retirement Board to be a terminated member under the provisions
of ORS 238.095 as of the effective date of the election, and the
amount credited to the member account of the member shall be
transferred directly to the Optional Retirement Plan by the
Public Employees Retirement Board in the manner provided by
subsection (7) of this section.
(b) An administrative or academic employee who elects to
participate in the Optional Retirement Plan, who has creditable
service under ORS chapter 238 as defined by ORS 238.005 and who
is vested shall be considered to be an inactive member by the
Public Employees Retirement Board and shall retain all the
rights, privileges and options under ORS chapter 238 unless the
employee makes a written request to the Public Employees
Retirement Board for a transfer of the amounts credited to the
member account of the member to the Optional Retirement Plan. A
request for a transfer must be made at the time the member elects
to participate in the Optional Retirement Plan. Upon receiving
the request, the Public Employees Retirement Board shall transfer
all amounts credited to the member account of the member directly
to the Optional Retirement Plan, and shall terminate all rights,
privileges and options of the employee under ORS chapter 238.
(c) An administrative or academic employee who elects to
participate in the Optional Retirement Plan, and who is not a
vested member of the pension program of the Oregon Public Service
Retirement Plan as described in ORS 238A.115 on the date that the
election becomes effective, shall be considered to be a
terminated member of the pension program by the Public Employees
Retirement Board as of the effective date of the election.
(d) An administrative or academic employee who elects to
participate in the Optional Retirement Plan, and who is a vested
member of the pension program of the Oregon Public Service
Retirement Plan as described in ORS 238A.115 on the date that the
election becomes effective, shall be considered an inactive
member of the pension program by the Public Employees Retirement
Board as of the effective date of the election. An employee who
is subject to the provisions of this paragraph retains all the
rights, privileges and options of an inactive member of the
pension program. If the actuarial equivalent of the employee's
benefit under the pension program at the time that the election
becomes effective is $5,000 or less, the employee may make a
written request to the Public Employees Retirement Board for a
transfer of the employee's interest under the pension program to
the Optional Retirement Plan. The request must be made at the
time the member elects to participate in the Optional Retirement
Plan. Upon receiving the request, the Public Employees Retirement
Board shall transfer the amount determined to be the actuarial
equivalent of the employee's benefit under the pension program
directly to the Optional Retirement Plan, and shall terminate the
membership of the employee in the pension program.
(e) An administrative or academic employee who elects to
participate in the Optional Retirement Plan, and who is a vested
member of the individual account program of the Oregon Public
Service Retirement Plan as described in ORS 238A.320 on the date
that the election becomes effective, shall be considered an
inactive member of the individual account program by the Public
Employees Retirement Board as of the effective date of the
election. An employee who is subject to the provisions of this
paragraph retains all the rights, privileges and options of an
inactive member of the individual account program. An
administrative or academic employee who elects to participate in
the Optional Retirement Plan, and who is a member of the
individual account program of the Oregon Public Service
Retirement Plan, may make a written request to the Public
Employees Retirement Board that all amounts in the member's
employee account, rollover account and employer account, to the
extent the member is vested in those accounts under ORS 238A.320,
be transferred to the Optional Retirement Plan. The request must
be made at the time the member elects to participate in the
Optional Retirement Plan. Upon receiving the request, the Public
Employees Retirement Board shall transfer the amounts directly to
the Optional Retirement Plan, and shall terminate the membership
of the employee in the individual account program upon making the
transfer.
{ + (f) An administrative or academic employee who elects to
participate in the Optional Retirement Plan, and who is a vested
member of the Fair Retirement Plan on the date that the election
becomes effective, shall be considered an inactive member of the
Fair Retirement Plan as of the effective date of the election. An
employee who is subject to the provisions of this paragraph
retains all the rights, privileges and options of an inactive
member of the Fair Retirement Plan. An administrative or academic
employee who elects to participate in the Optional Retirement
Plan, and who is a member of the Fair Retirement Plan, may make a
written request to the Public Employees Retirement Board that all
amounts in the member's account, to the extent the member is
vested in those accounts under section 11 of this 2013 Act, be
transferred to the Optional Retirement Plan. The request must be
made at the time the member elects to participate in the Optional
Retirement Plan. Upon receiving the request, the Public Employees
Retirement Board shall transfer the amounts directly to the
Optional Retirement Plan, and shall terminate the membership of
the employee in the Fair Retirement Plan upon making the
transfer. + }
{ - (f) - } { + (g) + } Notwithstanding paragraphs (b),
(d) { + , (e) + } and { - (e) - } { + (f) + } of this
subsection, the Public Employees Retirement Board may not treat
any employee as an inactive member under the provisions of this
subsection for the purpose of receiving any benefit under ORS
chapter 238 or 238A { + or sections 1 to 20 of this 2013 Act + }
that requires that the employee be separated from all service
with participating public employers and with employers who are
treated as part of a participating public employer's controlled
group under the federal laws and rules governing the status of
the system and the Public Employees Retirement Fund as a
qualified governmental retirement plan and trust.
(7) Any amounts transferred from the Public Employees
Retirement Fund under subsection (6) of this section shall be
transferred directly to the Optional Retirement Plan by the
Public Employees Retirement Board and may not be made available
to the employee.
(8) An employee participating in the Optional Retirement Plan
shall contribute monthly an amount equal to the percentage of the
employee's salary that the employee would otherwise have
contributed as an employee contribution to the Public Employees
Retirement System if the employee had not elected to participate
in the Optional Retirement Plan.
(9) The State Board of Higher Education shall contribute
monthly to the Optional Retirement Plan the percentage of salary
of each employee participating in the plan equal to the
percentage of salary that would otherwise have been contributed
as an employer contribution on behalf of the employee to the
Public Employees Retirement System, before any offset under ORS
238.229 (2), if the employee had not elected to participate in
the Optional Retirement Plan.
(10) Both employee and employer contributions to an Optional
Retirement Plan shall be remitted directly to the companies that
have issued annuity contracts to the participating employees or
directly to the mutual funds.
(11) Benefits under the Optional Retirement Plan are payable to
employees who elect to participate in the plan and their
beneficiaries by the selected annuity provider or mutual fund in
accordance with the terms of the annuity contracts or the terms
of the contract with the mutual fund. Employees electing to
participate in the plan agree that benefits payable under the
plan are not obligations of the State of Oregon or of the Public
Employees Retirement System.
SECTION 43. ORS 243.830 is amended to read:
243.830. An agreement executed pursuant to ORS 243.820 by an
employee who is subject to ORS chapter 238 or 238A { + or
sections 1 to 20 of this 2013 Act + }, or a similar retirement
program for public employees, in no way affects the contributions
to be made or the benefits to be provided for such employee under
ORS chapter 238 or 238A { + or sections 1 to 20 of this 2013
Act + } or the other similar program. Reduction of salary or
forgoing a salary increase by a stated amount under ORS 243.820
shall not be deemed a reduction in salary for the purpose of such
contributions and benefits.
SECTION 44. ORS 268.240 is amended to read:
268.240. (1) A district that is not participating in the Public
Employees Retirement System may, by application to the board,
include any class of employees of the district in the system
{ - established by ORS chapters 238 and 238A - } without
entering into a contract of integration with the board under ORS
238.680.
(2) The board shall consider an application received under this
section to be an application to become a participating employer
{ - under ORS chapters 238 and 238A - } { + in the Public
Employees Retirement System, + } but only to the extent of
providing membership for the class of employees described in the
application.
(3) The board, upon such terms as are set forth in a contract
between the board and the employer, shall allow every employee in
the specified class to become members of the Public Employees
Retirement System { - in accordance with ORS chapters 238 and
238A - } .
(4) When a district enters into a contract with the board under
subsection (3) of this section, the district shall agree to
eventually extend { - coverage under ORS chapters 238 and
238A - } { + membership in the Public Employees Retirement
System + } to all eligible district employees through successive
contracts with the board.
(5) All employees who have completed the period of service with
the public employer that is required under ORS 238.015, 238A.100
or 238A.300 { + or section 6 of this 2013 Act + } shall become
members of the { + Public Employees Retirement + } System on a
date specified by the board. All other employees in the described
class shall become members upon completion of the required period
of service.
(6) As used in this section, 'board' means the Public Employees
Retirement Board established under ORS 238.630.
SECTION 45. ORS 338.135 is amended to read:
338.135. (1) Employee assignment to a public charter school
shall be voluntary.
(2)(a) A public charter school or the sponsor of the public
charter school is considered the employer of any employees of the
public charter school. If a school district board is not the
sponsor of the public charter school, the school district board
may not be the employer of the employees of the public charter
school and the school district board may not collectively bargain
with the employees of the public charter school. The public
charter school governing body shall control the selection of
employees at the public charter school.
(b) If a virtual public charter school or the sponsor of a
virtual public charter school contracts with a for-profit entity
to provide educational services through the virtual public
charter school, the for-profit entity may not be the employer of
any employees of the virtual public charter school.
(3) The school district board of the school district within
which the public charter school is located shall grant a leave of
absence to any employee who chooses to work in the public charter
school. The length and terms of the leave of absence shall be set
by negotiated agreement or by board policy. However, the length
of the leave of absence may not be less than two years unless:
(a) The charter of the public charter school is terminated or
the public charter school is dissolved or closed during the leave
of absence; or
(b) The employee and the school district board have mutually
agreed to a different length of time.
(4) An employee of a public charter school operating within a
school district who is granted a leave of absence from the school
district and returns to employment with the school district shall
retain seniority and benefits as an employee pursuant to the
terms of the leave of absence. Notwithstanding ORS 243.650 to
243.782, a school district that was the employer of an employee
of a public charter school not operating within the school
district may make provisions for the return of the employee to
employment with the school district.
(5) For purposes of ORS chapters 238 and 238A { + and sections
1 to 20 of this 2013 Act + }, a public charter school shall be
considered a public employer and as such shall participate in the
Public Employees Retirement System.
(6) For teacher licensing, employment experience in public
charter schools shall be considered equivalent to experience in
public schools.
(7)(a) Any person employed as an administrator in a public
charter school shall be licensed or registered to administer by
the Teacher Standards and Practices Commission.
(b) Any person employed as a teacher in a public charter school
shall be licensed or registered to teach by the commission.
(c) Notwithstanding paragraph (a) or (b) of this subsection, at
least one-half of the total full-time equivalent (FTE) teaching
and administrative staff at the public charter school shall be
licensed by the commission pursuant to ORS 342.135, 342.136,
342.138 or 342.140.
(8) Notwithstanding ORS 243.650, a public charter school shall
be considered a school district for purposes of ORS 243.650 to
243.782. An employee of a public charter school may be a member
of a labor organization or organize with other employees to
bargain collectively. Bargaining units at the public charter
school may be separate from other bargaining units of the sponsor
or of the school district in which the public charter school is
located. Employees of a public charter school may be part of the
bargaining units of the sponsor or of the school district in
which the public charter school is located.
(9) An entity described in ORS 338.005 (5) may not waive the
right to sponsor a public charter school in a collective
bargaining agreement.
SECTION 46. ORS 341.290 is amended to read:
341.290. The board of education of a community college district
shall be responsible for the general supervision and control of
any and all community colleges operated by the district.
Consistent with any applicable rules of the State Board of
Education, the board may:
(1) Subject to ORS chapters 238 and 238A { + and sections 1 to
20 of this 2013 Act + }, employ administrative officers,
professional personnel and other employees, define their duties,
terms and conditions of employment and prescribe compensation
therefor, pursuant to ORS 243.650 to 243.782.
(2) Enact rules for the government of the community college,
including professional personnel and other employees thereof and
students therein.
(3) Prescribe the educational program.
(4) Control use of and access to the grounds, buildings, books,
equipment and other property of the district.
(5) Acquire, receive, hold, control, convey, sell, manage,
operate, lease, lease-purchase, lend, invest, improve and develop
any and all property of whatever nature given to or appropriated
for the use, support or benefit of any activity under the control
of the board, according to the terms and conditions of such gift
or appropriation.
(6) Purchase real property upon a contractual basis when the
period of time allowed for payment under the contract does not
exceed 30 years.
(7) Fix standards of admission to the community college,
prescribe and collect tuition for admission to the community
college, including fixing different tuition rates for students
who reside in the district, students who do not reside in the
district but are residents of the state and students who do not
reside in the state.
(8) Prescribe and collect fees and expend funds so raised for
special programs and services for the students and for programs
for the cultural and physical development of the students.
(9) Provide and disseminate to the public information relating
to the program, operation and finances of the community college.
(10) Establish or contract for advisory and consultant
services.
(11) Take, hold and dispose of mortgages on real and personal
property acquired by way of gift or arising out of transactions
entered into in accordance with the powers, duties and authority
of the board and institute, maintain and participate in suits and
actions and other judicial proceedings in the name of the
district for the foreclosure of such mortgages.
(12) Maintain programs, services and facilities, and, in
connection therewith, cooperate and enter into agreements with
any person or public or private agency.
(13) Provide student services including health, guidance,
counseling and placement services, and contract therefor.
(14) Join appropriate associations and pay any required dues
therefor from resources of the district.
(15) Apply for federal funds and accept and enter into any
contracts or agreements for the receipt of such funds from the
federal government or its agencies for educational purposes.
(16) Exercise any other power, duty or responsibility necessary
to carry out the functions under this section or required by law.
(17) Prescribe rules for the use and access to public records
of the district that are consistent with ORS 192.420, and
education records of students under applicable state and federal
law and rules of the State Board of Education. Whenever a student
has attained 18 years of age or is attending an institution of
post-secondary education, the permission or consent required of
and the rights accorded to a parent of the student regarding
education records shall thereafter be required of and accorded to
only the student. However, faculty records relating to matters
such as conduct, personal and academic evaluations, disciplinary
actions, if any, and other personal matters shall not be made
available to public inspection for any purpose except with the
consent of the person who is the subject of the record or upon
order of a court of competent jurisdiction.
(18) Enter into contracts for the receipt of cash or property,
or both, and establish charitable gift annuities pursuant to ORS
731.038; and, commit, appropriate, authorize and budget for the
payment of or other disposition of general funds to pay, in whole
or in part, sums due under an agreement for a charitable gift
annuity, and to provide the necessary funding for reserves or
other trust funds pursuant to ORS 731.038.
(19) Encourage gifts to the district by faithfully devoting the
proceeds of such gifts to the district purposes for which
intended.
(20) Build, furnish, equip, repair, lease, purchase and raze
facilities; and locate, buy and acquire lands for all district
purposes. Financing may be by any prudent method including but
not limited to loans, contract purchase or lease. Leases
authorized by this section include lease-purchase agreements
under which the district may acquire ownership of the leased
property at a nominal price. Such financing agreements may be for
a term of up to 30 years except for lease arrangements which may
be for a term of up to 50 years.
(21) Participate in an educational consortium with public and
private institutions that offer upper division and graduate
instruction. Community colleges engaged in such consortiums may
expend money, provide facilities and assign staff to assist those
institutions offering upper division and graduate instruction.
(22) Enter into contracts of insurance or medical and hospital
service contracts or may operate a self-insurance program as
provided in ORS 341.312.
SECTION 47. ORS 353.117 is amended to read:
353.117. (1) Pursuant to ORS 353.050, Oregon Health and Science
University may create and maintain an entity that is exempt from
federal income tax under section 501(c)(3) of the Internal
Revenue Code, as amended, for the purpose of conducting clinical
care and practice and advancing other university missions by the
faculty.
(2) Any entity created by the university under subsection (1)
of this section shall be considered:
(a) A public employer for purposes of ORS 236.605 to 236.640
and ORS chapters 238 and 238A { + and sections 1 to 20 of this
2013 Act + };
(b) A unit of local government for purposes of ORS 190.003 to
190.130;
(c) A public body for purposes of ORS 30.260 to 30.300 and
307.112;
(d) A public agency for purposes of ORS 200.090; and
(e) A public corporation for purposes of ORS 307.090.
SECTION 48. ORS 377.836, as amended by section 63, chapter 107,
Oregon Laws 2012, is amended to read:
377.836. (1) Except as otherwise provided by law, and except as
provided in subsection (2) of this section, the provisions of ORS
279.835 to 279.855 and 283.085 to 283.092 and ORS chapters 240,
276, 279A, 279B, 279C, 282, 283, 291, 292 and 293 do not apply to
the Travel Information Council. The council is subject to all
other statutes governing a state agency that do not conflict with
ORS 377.700 to 377.840, including the tort liability provisions
of ORS 30.260 to 30.300 and the provisions of ORS chapter 183.
Subject to the requirements of ORS chapters 238 and 238A { + and
sections 1 to 20 of this 2013 Act + }, the council's employees
are members of the Public Employees Retirement System.
(2) The following shall apply to the council:
(a) ORS 279A.250 to 279A.290;
(b) ORS 282.210 to 282.230; and
(c) ORS 293.235, 293.240, 293.245, 293.611, 293.625 and
293.630.
SECTION 49. ORS 396.330 is amended to read:
396.330. (1) State employees of the Oregon Military Department
who are not otherwise members of the Oregon National Guard may be
required as a condition of employment to obtain membership in the
Oregon State Defense Force when in the judgment of the Adjutant
General the membership maintains or enhances the readiness and
stability of the department to provide services if the need for
Oregon State Defense Force assistance should arise. The decision
of the Adjutant General shall be carried out by written
regulation and shall not be subject to collective bargaining.
(2) Members of the Oregon National Guard or Oregon State
Defense Force who are ordered to state active duty under the
provisions of ORS chapter 399 shall be considered as being in the
military service of the state and shall be considered temporary
employees of the military department.
(3) State employees of the military department may be ordered
to state active duty under ORS chapter 399 without jeopardizing
their status as regular employees. Employees so ordered must be
in an authorized leave status from their regular military
department employment during the period served on active duty.
(4) State employees of the military department shall be subject
to ORS chapter 240 or 243 when performing as regular employees.
(5) Members of the Oregon National Guard who are serving under
Title 10 or Title 32 of the United States Code are not eligible,
by reason of that service, for the rights or benefits of public
employees granted or authorized by ORS chapter 236, 237, 238,
238A, 240 or 243 { + or sections 1 to 20 of this 2013 Act + }.
Except as required by federal law or regulation, ORS chapters
652, 653, 654, 656, 657, 659, 659A, 661 and 663 do not apply to
members of the Oregon National Guard who are serving under Title
10 or Title 32 of the United States Code.
SECTION 50. ORS 576.306, as amended by section 66, chapter 107,
Oregon Laws 2012, is amended to read:
576.306. (1) A commodity commission may contract with an
independent contractor for the performance of any services.
However, the commission may not contract with an independent
contractor to perform the discretionary functions of the
commission. ORS 279.835 to 279.855 and ORS chapters 240, 279A,
279B and 279C do not apply to the commission in obtaining such
services, except that a contract for such services may not take
effect until approved by the State Department of Agriculture as
provided in subsection (7) of this section.
(2) The commission may rent space or acquire supplies and
equipment from any contractor as described in subsection (1) of
this section. ORS chapters 276, 278, 279A, 279B, 279C and 283 and
ORS 279.835 to 279.855, 283.085 to 283.092 and 291.038 do not
apply to such rentals or acquisitions.
(3) Except as provided in this section, a contractor described
in subsection (1) of this section shall be considered an
independent contractor and not an employee, eligible employee,
public employee or employee of the state for purposes of Oregon
law, including ORS chapters 236, 238, 238A, 240, 243, 291, 292,
316 and 652 { + and sections 1 to 20 of this 2013 Act + }.
(4) Nothing in this section precludes the state or a commission
from being considered the employer of the contractor described in
subsection (1) of this section for purposes of unemployment
compensation under ORS chapter 657 and ORS 670.600.
(5) A contractor described in subsection (1) of this section
shall be considered an independent contractor and not a worker
for purposes of ORS chapter 656 and ORS 670.600.
(6) A contractor described in subsection (1) of this section
may not be considered a public official, public officer, state
officer or executive official for purposes of Oregon law,
including ORS chapters 236, 244, 292, 295 and 297 and ORS 171.725
to 171.785.
(7) The State Department of Agriculture shall review the
contract described in subsection (1) of this section for the
adequacy of the clauses pertaining to statement of work, starting
and ending dates, consideration, subcontracts, funds authorized
in the budget, amendments, termination, compliance with
applicable law, assignment and waiver, access to records,
indemnity, ownership of work product, nondiscrimination,
successors in interest, attorney fees, tax certification or
merger or any other clause the department deems necessary.
(8) The Oregon Department of Administrative Services, in
consultation with the State Department of Agriculture, shall
adopt rules necessary for the screening and selection of
independent contractors under this section.
(9) Except as provided in subsection (8) of this section, the
State Department of Agriculture may promulgate any rules
necessary for the administration and enforcement of this section.
SECTION 51. ORS 777.775 is amended to read:
777.775. (1) An export trading corporation is not a contracting
agency for the purposes of ORS 279A.055, 279A.065, 279A.070,
279A.075, 279A.100, 279A.105, 279A.120, 279C.005, 279C.100 to
279C.125, 279C.300 to 279C.470 and 279C.570 and ORS chapter 279B,
except ORS 279B.025, 279B.235, 279B.240, 279B.270, 279B.275 and
279B.280.
(2) An export trading corporation is not a public employer for
the purposes of ORS chapters 238 and 238A { + and sections 1 to
20 of this 2013 Act + }.
SECTION 52. ORS 351.704 is amended to read:
351.704. (1) Subject to ORS 351.094 and any group health and
welfare insurance benefit plan developed under ORS 351.094, a
part-time faculty member at a public institution of higher
education is eligible for the same health care benefits as
full-time faculty members if the part-time faculty member is
eligible for membership in the Public Employees Retirement System
or another plan authorized under ORS chapter 238 or 238A { + or
sections 1 to 20 of this 2013 Act + } by teaching either at a
single public institution of higher education or in aggregate at
multiple public institutions of higher education during the prior
year.
(2) A part-time faculty member at a public institution of
higher education shall pay all insurance premiums for health care
benefits unless otherwise provided for by the policy of the
institution or by collective bargaining at the institution.
SECTION 53. ORS 741.201, as amended by section 5, chapter 38,
Oregon Laws 2012, and section 92, chapter 107, Oregon Laws 2012,
is amended to read:
741.201. (1) The Oregon Health Insurance Exchange Corporation
is under the supervision of an executive director appointed by
the corporation board of directors. The executive director serves
at the pleasure of the board. The executive director shall be
paid a salary as prescribed by the board.
(2) Before assuming the duties of the office, the executive
director shall:
(a) Give to the state a fidelity bond, with one or more
corporate sureties authorized to do business in this state, in a
penal sum prescribed by the Director of the Oregon Department of
Administrative Services, but not less than $50,000. The premium
for the bond shall be paid from an account established under ORS
741.101.
(b) Subscribe to an oath that the executive director faithfully
and impartially will discharge the duties of the office and that
the executive director will support the Constitution of the
United States and the Constitution of the State of Oregon. The
executive director shall file a copy of the signed oath with the
Secretary of State.
(3) The executive director has such other powers as are
necessary to carry out the duties of the corporation, subject to
policy direction by the board.
(4) The executive director may employ, supervise and terminate
the employment of such staff as the executive director deems
necessary. The executive director shall prescribe their duties
and fix their compensation, in accordance with the personnel
policies adopted by the board. Employees of the corporation may
not be individuals who are:
(a) Employed by, consultants to or members of a board of
directors of:
(A) An insurer or third party administrator;
(B) An insurance producer; or
(C) A health care provider, health care facility or health
clinic;
(b) Members, board members or employees of a trade association
of:
(A) Insurers or third party administrators; or
(B) Health care providers, health care facilities or health
clinics; or
(c) Health care providers, unless they receive no compensation
for rendering services as health care providers and do not have
ownership interests in professional health care practices.
(5)(a) The board shall adopt personnel policies, subject to ORS
236.605 to 236.640, for any transferred public employees. The
board may elect to provide for participation in a health benefit
plan available to state employees pursuant to ORS 243.105 to
243.285 and may elect to participate in the state deferred
compensation plan established under ORS 243.401 to 243.507. If
the board so elects, employees of the corporation shall be
considered eligible employees for purposes of ORS 243.105 to
243.285 and eligible state employees for purposes of ORS 243.401
to 243.507.
(b) In order to facilitate the development of innovative health
benefit plans, the board or the executive director may contract
with one or more carriers to offer to employees of the Oregon
Health Insurance Exchange Corporation proof of concept health
benefit plans approved by the Director of the Department of
Consumer and Business Services. A plan offered under this
paragraph is not subject to ORS 743.730 to 743.773.
(6) With respect to the Public Employees Retirement System,
employees of the corporation shall be considered employees for
purposes of ORS chapter 238 { + and sections 1 to 20 of this
2013 Act + } and eligible employees for purposes of ORS chapter
238A.
(7) Employees of the corporation may participate in collective
bargaining in accordance with ORS 243.650 to 243.782.
SECTION 54. { + ORS 238.750 is repealed. + }
{ +
CAPTIONS + }
SECTION 55. { + The unit and section captions used in this
2013 Act are provided only for the convenience of the reader and
do not become part of the statutory law of this state or express
any legislative intent in the enactment of this 2013 Act. + }
{ +
EMERGENCY CLAUSE + }
SECTION 56. { + This 2013 Act being necessary for the
immediate preservation of the public peace, health and safety, an
emergency is declared to exist, and this 2013 Act takes effect on
its passage. + }
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