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OREGON PUBLIC EMPLOYEES RETIREMENT SYSTEM









 

DIVISION 70
OREGON PUBLIC SERVICE RETIREMENT PLAN, GENERALLY

459-070-0001
Definitions
The words and phrases used in divisions
070, 075, 076, and 080 of OAR Chapter 459 have the same meaning given them in ORS
238A.005 to 238A.475, unless otherwise indicated. Specific and additional terms
for purposes of divisions 070, 075, 076 and 080 are defined as follows unless context
requires otherwise:
(1) “Academic employee
of a community college” means an instructor who teaches classes offered for
college-approved credit or on a non-credit basis.
(a) Librarians, counselors,
and aides in non-teaching positions, tutors, or other non-teaching faculty, and
classified, professional or nonprofessional support staff are not academic employees
for the purposes of ORS 238A.142, but are subject to the membership requirements
under ORS 238A.100 and OAR 459-075-0010.
(b) The governing body of
a community college must determine who is an academic employee in its employ under
this rule. In making that determination, a community college must consider all disciplines
(academic activity) collectively when an employee’s assignment includes multiple
disciplines.
(2) “Business day”
means a day Monday through Friday when PERS is open for business.
(3) “Calendar month”
means a full month beginning on the first calendar day of a month and ending on
the last calendar day of the same month.
(4) “Calendar year”
means 12 consecutive calendar months beginning on January 1 and ending on December
31.
(5) “Employee”
has the same meaning as “eligible employee” in ORS 238A.005 and shall
be determined in accordance with OAR 459-010-0030.
(a) For the purposes of ORS
238A.005 to 238A.475, the term “employee” includes public officers whether
elected or appointed for a fixed term.
(b) The term “employee”
does not include:
(A) An individual who performs
services for a public employer as a contractor in an independently established business
or as an employee of that contractor in accordance with OAR 459-010-0032; or
(B) An individual providing
volunteer service to a public employer without compensation for hours of service
as a volunteer.
(6) “Employee class”
means a group of similarly situated employees whose positions have been designated
by their employer in a policy or collective bargaining agreement as having common
characteristics.
(7) “Employee contributions”
means contributions made to the individual account program by an eligible employee
under ORS 238A.330, or on behalf of the employee under ORS 238A.335.
(8) “Final Average
Salary” (FAS) has the same meaning given the term in:
(a) ORS 238A.130(1) for OPSRP
Pension Program members who are not employed by a local government as defined in
ORS 174.116; or
(b) ORS 238A.130(3) for OPSRP
Pension Program members who are employed by a local government as defined in ORS
174.116.
(9) “Member”
has the same meaning given the term in ORS 238A.005.
(10) “Member account”
means the account of a member of the individual account program.
(11) “Member of PERS”
has the same meaning as “member” in ORS 238.005, but does not include
retired members.
(12) “OPSRP”
means the Oregon Public Service Retirement Plan.
(13) “Overtime”
means the salary or hours, as applicable, that an employer has designated as overtime.
(14) “Partial year
of hire” means a period in the calendar year the employee begins employment
after the first working day of the year, and continues employment through December
31.
(15) “Partial year
of separation” means a period in the calendar year the employee separates
from employment that begins on January 1 of the year, and ends before the last working
day of the year.
(16) “Qualifying position”
has the same meaning as provided in ORS 238A.005 and means a position designated
by the employer as qualifying, including a position in a partial year of hire, partial
year of separation, or short segment, except:
(a) A position or concurrent
positions in which an employee performs at least 600 hours of service in a calendar
year is qualifying regardless of employer designation.
(b) A position in a partial
year of separation is qualifying regardless of employer designation if the position
is continued from an immediately preceding calendar year in which the employee performed
at least 600 hours of service in the position or concurrent positions.
(c) A position with one employer
in which the employee is employed for the entire calendar year and fails to perform
at least 600 hours of service in that position or concurrent positions in the calendar
year is non-qualifying regardless of employer designation.
(17) “Salary”
has the same meaning given the term in ORS 238A.005 and includes a differential
wage payment, as defined in OAR 459-005-0001.
(18) “School employee”
has the meaning given the term in ORS 238A.140(7).
(19) “Service”
means a period in which an employee:
(a) Is in an employer/employee
relationship, as determined in accordance with OAR 459-010-0030; and
(b) Receives a payment of
“salary,” as defined in ORS 238A.005.
(20) “Short segment”
means a period in the calendar year during which the employee is hired after the
first working day of the year, and separated from employment before the last working
day of the same calendar year.
(21) “Volunteer”
means an individual who performs a service for a public employer, and who receives
no compensation for the service performed. The term “volunteer” does
not include an individual whose compensation received from the same public employer
for similar service within the same calendar year exceeds the reasonable market
value for such service.
(22) “Working day”
means a day that the employer is open for business. Unless the employer communicates
this information to PERS, PERS will presume an employer’s “working day”
is the same as a “business day,” as defined in section (2) of this rule.
Stat. Auth.: ORS 238A.450
Stats. Implemented: ORS 238A
Hist.: PERS 4-2004, f. &
cert. ef. 2-18-04; PERS 7-2005(Temp), f. & cert. ef. 2-22-05 thru 8-15-05; PERS
11-2005, f. & cert. ef. 6-16-05; PERS 25-2005, f. 12-23-05, cert. ef. 1-1-06;
PERS 7-2006, f. & cert. ef. 4-5-06; PERS 17-2007, f. & cert. ef. 11-23-07;
PERS 1-2009, f. & cert. ef. 2-12-09; PERS 13-2014, f. & cert. ef. 9-29-14;
PERS 2-2015, f. & cert. ef. 1-30-15
459-070-0050
Participation of Public Employers
(1) Any public employer that does not already provide benefits under the Oregon Public Service Retirement Plan (OPSRP) may apply to participate in OPSRP for service by eligible employees performed on or after the date the employer's participation becomes effective. An employer that applies to participate in OPSRP must also apply to participate in the PERS Chapter 238 Program for members of that program that it employs on or after the employer’s participation begins.
(2) The application to participate must contain the following:
(a) A true copy of the resolution, motion or other official action by which the employer's governing board or equivalent decided to apply to participate;
(b) A designated person or position authorized to represent the employer on PERS matters;
(c) Whether the employer will participate for one or more designated classes of employees or for all employees. If the employer already provides coverage for some but not all employees, the application must designate which additional class(es) will be added;
(d) A statement that the employer will participate in the OPSRP Pension Program and the OPSRP IAP;
(e) A statement that the employer will participate in the PERS Chapter 238 Program for members of that program that it currently employs or may hire in the future in the class(es) designated for coverage pursuant to subsection (c) of this section;
(f) Whether the employer will participate in the unused sick leave program pursuant to ORS 238.350; and
(g) The date on which the employer proposes to commence participation.
(3) If the employer elects to participate in the State and Local Government Rate Pool (SLGRP) for the PERS Chapter 238 Program, the employer shall provide PERS with a resolution electing to participate in the SLGRP before the coverage agreement is signed by the parties.
(4) Upon receipt of the properly completed application, PERS will prepare a coverage agreement, which will be forwarded to the person designated by the employer under (2)(b) above. In no event will coverage commence before the agreement has been executed on behalf of the employer's governing body (or equivalent), the PERS Executive Director, and the PERS Board.
(5) The employer will provide any and all information requested by PERS to ensure that the employer is eligible to participate, including whatever information PERS deems necessary to determine that the employer qualifies as a public employer. Factors to be addressed in that determination include but are not limited to:
(a) If the employer is a public corporation, whether a governmental entity retains essential control over the employer's activities, with delegated powers for administration or discharge of public duties;
(b) Whether a state or local governmental body controls management of the employer;
(c) If the employer is a public corporation, whether it generates profits for private investors or stockholders;
(d) Where the employer derives its funding for operations;
(e) Whether the employer performs a governmental function; and
(f) Any information deemed necessary to determine that the employer's coverage will not adversely affect PERS' status as a qualified governmental retirement plan under the Internal Revenue Code.
(6) Unless the coverage agreement specifically provides otherwise, no retirement or service credit will be provided under the PERS Chapter 238 Program for the service performed with that employer prior to the employer becoming a participating employer.
Stat. Auth: ORS 238A.450, 238.650

Stats. Implemented: ORS 238A.025, 238A.070

Hist.: PERS 1-2005, f. & cert. ef. 1-31-05; PERS 13-2008, f. & cert .ef. 7-31-08
459-070-0100
Employer Reporting
(1) Definition. “Pay period”
means the span of time covered by an employer’s report to PERS.
(2) Unless otherwise agreed
upon by the PERS Executive Director and the employer, an employer must transmit
to PERS an itemized report of all information required by PERS.
(a) A report must include
wage, service, and demographic data for all employees for a pay period.
(b) Except as provided in
subsection (c) of this section, an employer may not submit or modify a report for
a pay period within a calendar year on or after the first date in March of the subsequent
calendar year on which PERS issues the employer a statement of contributions due.
This subsection applies to pay periods beginning on or after January 1, 2011.
(c) PERS will permit an employer
to submit or modify a report subject to the limitation of subsection (b) of this
section if PERS determines the report is necessary for accurate benefit administration.
(3) The report required under
section (2) of this rule must be acceptable to PERS and transmitted on forms furnished
by the agency or in an equivalent format. The report must be transmitted electronically,
faxed, or postmarked, as applicable, no later than three business days after the
end of the pay period assigned to the employer under section (4) of this rule.
(4) PERS will assign an employer
a pay period which most closely matches the employer’s pay cycle:
(a) Monthly: the pay period
ends on the last day of the month;
(b) Semi-monthly: the pay
period ends on the fifteenth of the month and the last day of the month;
(c) Weekly: the pay period
ends the Friday of every week; or
(d) Biweekly: the pay period
ends every other Friday.
(5) For the purpose of determining
a “pay period” under ORS 238.435(3) and 238A.130(2), when salary is
paid on a day other than the first of the month or the first business day of the
month, that salary shall be considered earned in the calendar month in which it
is paid, unless the employer provides PERS records that establish that the salary
was not earned in that calendar month.
(6) If a report required
under section (2) of this rule is accepted by PERS, PERS will notify the employer
of any exceptions and the employer must reconcile its report. The corrected report
must be transmitted to PERS before the employer is subject to the limitation of
subsection (2)(b) of this rule for that report.
(7)(a) An employer that fails
to transmit a report as required under sections (2) and (3) of this rule must pay
a penalty equal to one percent of the total amount of the prior year’s annual
contributions or $2,000, whichever is less, for each month the employer is delinquent.
(b) Penalties under subsection
(a) of this section continue to accrue until the earlier of the date the report
is submitted or the date the limitation of subsection (2)(b) is effective.
(c) Notwithstanding subsection
(b) of this section, an employer that submits or modifies a report pursuant to subsection
(2)(c) of this rule must pay the penalty described in subsection (a) of this section.
(8) The PERS Executive Director
or a person designated by the Director may waive the penalty described in section
(7) of this rule for reports due on or after January 1, 2011 and before January
1, 2012. For reports due on or after January 1, 2012, penalties may be waived by
the Director or the Director’s designee only upon written petition from the
employer.
Stat. Auth.: ORS 238A.450, 238.650
Stats. Implemented: ORS 238A.050,
238A.130, 238.435 & 238.705
Hist.: PERS 25-2003, f. 12-30-03
cert. ef. 1-1-04; PERS 29-2004, f. & cert. ef. 11-23-04; PERS 13-2005, f. &
cert. ef. 7-5-05; PERS 1-2011, f. & cert. ef. 2-2-11; PERS 1-2014, f. & cert.
ef. 1-31-14
459-070-0110
Employer Remittance of Contributions
(1) Definition. “Statement date”
means the date a statement of contributions or penalty due is generated by PERS.
(2) When PERS issues a statement
of contributions due and, if applicable, any penalty due, unless otherwise agreed
upon by the PERS Executive Director and the employer, an employer must pay to PERS
the total amount of contributions and penalty due no later than five business days
from the statement date. Payment must be made pursuant to OAR 459-005-0225.
(3) An employer that fails
to pay the total amount due on a statement within the time specified in section
(2) of this rule must pay a penalty equal to one percent of the total amount of
contributions due on that statement for each month the employer is delinquent.
(4) The PERS Executive Director
or a person designated by the Director may waive the penalty described in section
(3) of this rule for contributions due on or after January 1, 2011 and before January
1, 2012. For contributions due on or after January 1, 2012, penalties may be waived
by the Director or the Director’s designee only upon written petition from
the employer.
Stat. Auth.: ORS 238A.450, 238.650
Stats. Implemented: ORS 238A.050
& 238.705
Hist.: PERS 25-2003, f. 12-30-03
cert. ef. 1-1-04; PERS 29-2004, f. & cert. ef. 11-23-04; PERS 13-2005, f. &
cert. ef. 7-5-05; PERS 1-2011, f. & cert. ef. 2-2-11; PERS 14-2014, f. &
cert. ef. 9-29-14

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