75th OREGON LEGISLATIVE ASSEMBLY--2009 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 2067
 
                           A-Engrossed
 
                         Senate Bill 399
                   Ordered by the Senate May 1
             Including Senate Amendments dated May 1
 
Sponsored by COMMITTEE ON COMMERCE AND WORKFORCE DEVELOPMENT
 
 
                             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.
 
  Allows certain members of Public Employees Retirement System
who participate in deferred compensation plan  { + and tax
sheltered annuity + } to request  { - , within 60 days of
effective date of Act, - } that payment of all or part of
deferred amount be paid to Public Employees Retirement Board for
purpose of restoring forfeited creditable service, or acquiring
retirement credit   { - for probationary period of employment - }
, or both.
 
                        A BILL FOR AN ACT
Relating to rollover contributions.
Be It Enacted by the People of the State of Oregon:
  SECTION 1.  { + Section 2 of this 2009 Act is added to and made
a part of ORS chapter 238. + }
  SECTION 2.  { + (1) Notwithstanding ORS 238.220, a member of
the Public Employees Retirement System who is eligible to obtain
restoration of forfeited creditable service under ORS 238.115, or
to purchase retirement credit under ORS 238.125, 238.135,
238.145, 238.156, 238.157, 238.162, 238.165, 238.175 or 526.052,
and who participates in an eligible retirement plan described in
subsection (3) of this section, may use moneys transferred by way
of a trustee-to-trustee transfer from the eligible retirement
plan to the Public Employees Retirement Board for the purpose of
obtaining restoration of the forfeited creditable service or to
purchase the retirement credit. The board may not make any amount
transferred under this section available to the member, and may
use the amount only for the purposes described in this section.
The amount transferred under this section may not exceed the
amount needed to obtain restoration of the forfeited creditable
service or to purchase the retirement credit.
  (2) If amounts transferred under this section are not
sufficient to pay the full amount necessary to obtain restoration
of the forfeited creditable service or to purchase the retirement
credit, the member must pay the remaining amount that is needed
to obtain restoration of the forfeited creditable service or to
purchase the retirement credit.
  (3) The following are eligible retirement plans for the
purposes of this section:
  (a) A governmental deferred compensation plan described in
section 457 of the Internal Revenue Code; and
  (b) A tax sheltered annuity described in section 403(b) of the
Internal Revenue Code.
  (4) The board shall adopt rules and establish procedures for
determining whether a member is allowed to obtain restoration of
the forfeited creditable service or to purchase the retirement
credit by means of a trustee-to-trustee transfer under this
section. The rules and procedures must ensure that transfers
under this section do not adversely affect the status of the
system and the Public Employees Retirement Fund as a qualified
governmental plan and trust under federal income tax law. + }
  SECTION 3.  { + Section 2 of this 2009 Act becomes operative
September 1, 2011. + }
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