2015 ORS § 238.222¹
Trustee-to-trustee transfers to fund restoration of forfeited service or purchase of retirement credit
- • rules
(1) Notwithstanding ORS 238.220 (Employee rollover contributions), a member of the Public Employees Retirement System who is eligible to obtain restoration of forfeited creditable service under ORS 238.115 (Alternate method of restoring credit forfeited by reason of termination of membership), or to purchase retirement credit under ORS 238.125 (Credit for probationary period of employment), 238.135 (Credit for probationary periods in seasonal positions), 238.145 (Credit for service as police officer or firefighter with nonparticipating employer), 238.148 (Credit for service as public safety officer in another state), 238.156 (Contributions, benefits and retirement credit for periods of service in uniformed services or Armed Forces), 238.157 (Alternative provision for retirement credit for periods of service with Armed Forces), 238.160 (Retirement credit for service while on loan to federal government), 238.162 (Retirement credit for service as teacher in public schools of another state), 238.165 (Credit for certain periods of employment by Legislative Assembly), 238.175 (Retirement credit for periods of disability) or 526.052 (Credits for former forest protective association employees), 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. [2009 c.894 §2; 2011 c.722 §7]