2019 Oregon Revised Statutes
Volume : 06 - Local Government, Public Employees, Elections
Chapter 238 - Public Employees Retirement System
Section 238.232 - Choice of amortization period for certain lump sum payments to side accounts.
(1) If a participating public employer makes a lump sum payment from moneys not borrowed by the employer to an account established under ORS 238.229 in an amount equal to or greater than $10 million, the Public Employees Retirement Board shall allow the participating public employer to choose an amortization period of six years, 10 years, 16 years or 20 years for the use of the lump sum payment to offset contributions to the system that the public employer would otherwise be required to make for the liabilities against which the lump sum payment is applied.
(2)(a) The board shall allow a participating public employer making a lump sum payment under this section to choose the year in which to begin to use the lump sum payment to offset contributions to the system that the public employer would otherwise be required to make for the liabilities against which the lump sum payment is applied. The board shall begin using the lump sum payment on July 1 of the year chosen under this subsection, with the beginning contribution offset rate based on the actuarial report under ORS 238.605 most recently published as of the date chosen by the public employer.
(b) Notwithstanding paragraph (a) of this subsection, the board may, after consultation with the participating public employer, begin using a lump sum payment to offset contributions in an earlier year than the year chosen by the public employer under this section to ensure that the period for using the lump sum payment, including earnings accrued, will end no later than 20 years after the date of the actuarial report under ORS 238.605 for the year the lump sum payment is made.
(c) A lump sum payment for which a participating public employer chooses when to begin to use the lump sum payment to offset contributions under this subsection is not a qualifying lump sum payment for purposes of section 2, chapter 105, Oregon Laws 2018.
(d) In lieu of the expenses authorized under ORS 238.229 (3), the board may charge a participating public employer expenses for administration of an account as provided by this subsection in an amount established by the board by rule. [2018 c.105 §3b; 2019 c.355 §20]
Note: The amendments to 238.232 by section 21, chapter 355, Oregon Laws 2019, become operative January 1, 2024. See section 61, chapter 355, Oregon Laws 2019. The text that is operative on and after January 1, 2024, is set forth for the user’s convenience.
If a participating public employer makes a lump sum payment from moneys not borrowed by the employer to an account established under ORS 238.229 in an amount equal to or greater than $10 million, the Public Employees Retirement Board shall allow the participating public employer to choose an amortization period of six years, 10 years, 16 years or 20 years for the use of the lump sum payment to offset contributions to the system that the public employer would otherwise be required to make for the liabilities against which the lump sum payment is applied.
