Chapter 26 Oregon Laws 2007

 

AN ACT

 

HB 2192

 

Relating to claims against estates; creating new provisions; amending ORS 115.125; and declaring an emergency.

 

Be It Enacted by the People of the State of Oregon:

 

          SECTION 1. ORS 115.125 is amended to read:

          115.125. (1) If the applicable assets of the estate are insufficient to pay all expenses and claims in full, the personal representative shall make payment in the following order:

          (a) Support of spouse and children, subject to the limitations imposed by ORS 114.065.

          (b) Expenses of administration.

          (c) Expenses of a plain and decent funeral and disposition of the remains of the decedent.

          (d) Debts and taxes with preference under federal law.

          (e) Reasonable and necessary medical and hospital expenses of the last illness of the decedent, including compensation of persons attending the decedent.

          (f) Taxes with preference under the laws of this state that are due and payable while possession of the estate of the decedent is retained by the personal representative.

          (g) Debts owed employees of the decedent for labor performed within 90 days immediately preceding the date of death of the decedent.

          (h) Child support arrearages.

          (i) The claim of the Department of Human Services for the net amount of assistance paid to or for the decedent, in the following order:

          (A) The amount of the state’s monthly contribution to the federal government to defray the costs of outpatient prescription drug coverage provided to a person who is eligible for Medicare Part D prescription drug coverage and who receives benefits under the state medical assistance program or Title XIX of the Social Security Act;

          (B) Public assistance, as defined in ORS 411.010, funded entirely by moneys from the General Fund; [and]

          (C) Public assistance, as defined in ORS 411.010, funded by a combination of state and federal funds; and

          (D) Care and maintenance of the decedent at a state institution, as provided in ORS 179.610 to 179.770.

          (j) The claim of the Department of Corrections for care and maintenance of any decedent who was at a state institution to the extent provided in ORS 179.610 to 179.770.

          (k) All other claims against the estate.

          (2) If the applicable assets of the estate are insufficient to pay in full all expenses or claims of any one class specified in subsection (1) of this section, each expense or claim of that class shall be paid only in proportion to the amount thereof.

 

          SECTION 2. The amendments to ORS 115.125 by section 1 of this 2007 Act apply only to a probate proceeding in which a petition for appointment of personal representative is filed on or after the effective date of this 2007 Act.

 

          SECTION 3. This 2007 Act being necessary for the immediate preservation of the public peace, health and safety, an emergency is declared to exist, and this 2007 Act takes effect on its passage.

 

Approved by the Governor April 9, 2007

 

Filed in the office of Secretary of State April 9, 2007

 

Effective date April 9, 2007

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