Oregon Code § 238.220·Enacted ·Last updated March 01, 2026
Statute Text
Employee rollover contributions; rules.
(1) The Public Employees Retirement Board may, at its
discretion, accept rollover contributions from an active member. The board may
accept rollover contributions under this section only if the amounts
contributed qualify for pretax rollover treatment under the federal income tax
laws governing qualified retirement plans.
(2) If the board
accepts a rollover contribution under this section, the contribution shall be
paid into the Public Employees Retirement Fund and credited to an individual
rollover account in the name of the member who made the contribution. The
rollover account must be kept separate from the member account of the member
and must be invested separately from all other moneys in the Public Employees
Retirement Fund. All earnings on the rollover account shall be credited by the
board to the rollover account. If the membership of the employee in the Public
Employees Retirement System is terminated under the provisions of ORS 238.095,
the board shall cease investment of the amounts in the rollover account and,
after the effective date of the termination, shall no longer credit earnings
and losses to the rollover account.
(3) Except as
provided in subsection (2) of this section, amounts in a rollover account
established under this section shall be invested in the same manner as funds in
regular accounts. However, ORS 238.255 does not apply to rollover accounts.
(4) Amounts held
in a rollover account under this section shall be distributed to the member
within 90 days after the members effective date of retirement under this
chapter, or within 90 days after termination of the persons membership in the
system under ORS 238.095.
(5) Distribution
from a members rollover account shall be made in a single lump sum payment.
Distribution from a members rollover account shall not affect the calculation
of any other service or disability retirement allowance, death benefit or other
benefit payable to a member under this chapter.
(6) The board
shall adopt rules and establish procedures for determining whether a member
will be allowed to make a rollover contribution under this section. Rules and
procedures adopted by the board must ensure that the rollover contributions 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.
(7) The board
shall by rule establish a maintenance fee for rollover accounts established
under this section. The fee may be collected out of earnings on rollover
accounts or, if there are no earnings, from the principal amounts paid into the
rollover accounts. The fee shall be in an amount determined by the board to be
adequate to pay the full cost to the system of maintaining rollover accounts
under this section. [1999 c.988 §2; 2001 c.945 §45; 2003 c.67 §29]