OAR 459-007-0300
Crediting Earnings to Police Officer and Firefighter Unit Accounts in the Fund


(1)

Definitions. For the purpose of this rule:

(a)

“Effective date of unit benefits” means the date the member elects to begin receiving unit benefits.

(b)

“End date” means the date after which earnings are no longer credited to the unit account and is the later of:

(A)

The first of the calendar month following the date the member reaches age 65; or

(B)

The first of the calendar month following the date the member separates from the service of all participating employers.

(c)

“Unit” means a unit of additional benefits purchased under ORS 238.440 (Optional purchase of benefit units by police and firefighters).

(d)

“Unit account” means the member’s account in the Fund that is used to purchase unit benefits, which includes actuarially determined member additional contributions (ORS 238.440 (Optional purchase of benefit units by police and firefighters)(1)) and earnings.

(e)

“Unit benefits” means the increased benefits a police officer or firefighter may purchase under ORS 238.440 (Optional purchase of benefit units by police and firefighters).

(2)

Crediting annual earnings. Annual earnings will be credited to the unit account as follows:

(a)

For a Tier One member, in the same manner as provided for Tier One member regular accounts in OAR 459-007-0005 (Annual Earnings Crediting).

(b)

For a Tier Two member, in the same manner as provided for Tier Two member regular accounts in OAR 459-007-0005 (Annual Earnings Crediting).

(3)

Crediting earnings to a withdrawal. If the unit account is withdrawn under ORS 238.440 (Optional purchase of benefit units by police and firefighters)(4), earnings will be credited to the unit account as follows:

(a)

For a Tier One member, in the same manner as provided in OAR 459-007-0040 (Crediting Earnings upon Withdrawal of a Tier One Member’s Account)(1).

(b)

For a Tier Two member, in the same manner as provided in OAR 459-007-0220 (Distribution of Earnings for Withdrawal of Member’s Account — Tier Two)(1).

(4)

Crediting earnings to unit account upon refund under ORS 238.440 (Optional purchase of benefit units by police and firefighters)(6). If a member is no longer eligible to purchase police officer and firefighter units under 238.440 (Optional purchase of benefit units by police and firefighters)(6), distribution interest shall be credited to the unit account from the first of the month following the date the member has been absent from P&F qualified employment for 5 consecutive years to the date of distribution based on the average annualized rate.

(5)

Crediting earnings on a lump sum purchase.

(a)

If a member makes a lump sum purchase under ORS 238.440 (Optional purchase of benefit units by police and firefighters)(2) and elects an effective date of unit benefits that is the same date as the member’s effective retirement date, earnings will not be credited on the lump sum purchase.

(b)

If a member makes a lump sum purchase under ORS 238.440 (Optional purchase of benefit units by police and firefighters)(2) and elects an effective date of unit benefits that is later than the member’s effective retirement date, earnings on the member’s lump sum purchase from the date of receipt to the effective date of unit benefits shall be credited to the unit account as follows:

(A)

Earnings from the date of payment to December 31 of the calendar year of the date of payment, or the member’s effective date of unit benefits, whichever occurs first, shall be credited to the member’s lump sum payment based on the rate derived from the formula provided in 459-007-0025 (Crediting Earnings to a Member Lump Sum Payment)(3).

(B)

Earnings for subsequent calendar years shall be credited as set forth in section (6) of this rule.

(6)

Crediting earnings to effective date of unit benefits. When a retired member elects to begin receiving unit benefits under ORS 238.440 (Optional purchase of benefit units by police and firefighters)(1) or (2), earnings will be credited to the member’s unit account as of the effective date of unit benefits as follows:

(a)

For a Tier One member, in the same manner as provided in the version of OAR 459-007-0070 (Crediting Earnings at Tier One Service or Disability Retirement)(1) in effect on the effective date of unit benefits.

(b)

For a Tier Two member, in the same manner as provided in OAR 459-007-0250 (Crediting Earnings at Tier Two Service or Disability Retirement)(1).

(7)

If, after the crediting of earnings under section (5) of this rule, the amount in the unit account is greater than the actuarially determined amount required at the time of retirement to purchase the number of units elected, the difference will be returned to the member in a lump sum. The lump sum shall be credited with earnings from the effective date of unit benefits to the date of distribution based on the average annualized rate.

(8)

Crediting earnings to end date. If a member’s effective date of unit benefits does not occur before the end date, earnings from the last annual earnings crediting to the end date shall be credited to the unit account as follows:

(a)

If earnings for the calendar year before the end date have not yet been credited to the member’s unit account, earnings shall be credited for that year based on the latest year-to-date calculation available for that year.

(b)

Earnings for the calendar year of the end date shall be credited to the unit account based on the latest year-to-date calculation as of the end date.

(9)

Crediting earnings in the event of death before the effective date of unit benefits. Upon the death of a member before the member’s effective date of unit benefits, earnings shall be credited to the unit account:

(a)

For a Tier One member, in the same manner as provided in OAR 459-007-0050 (Crediting Earnings for a Deceased Tier One Active or Inactive Member) for Tier One regular accounts.

(b)

For a Tier Two member, in the same manner as provided in OAR 459-007-0230 (Crediting Earnings for a Deceased Tier Two Active or Inactive Member) for Tier Two regular accounts.

(10)

Crediting earnings in the event of death after the effective date of unit benefits. Upon the death of a member who is receiving unit benefits, the actuarial present value of the remaining unit benefits is paid to the member’s beneficiary in a lump sum. No earnings shall be credited to the unit account.
[ED. NOTE: Example & Formula referenced are available from the agency.]

Source: Rule 459-007-0300 — Crediting Earnings to Police Officer and Firefighter Unit Accounts in the Fund, https://secure.­sos.­state.­or.­us/oard/view.­action?ruleNumber=459-007-0300.

459‑007‑0001
Definitions
459‑007‑0003
Determination of Tier One Year-to-Date Calculation
459‑007‑0005
Annual Earnings Crediting
459‑007‑0007
Assumed Rate
459‑007‑0009
Allocating Costs of Compliance with Generally Accepted Accounting Principles
459‑007‑0015
Interest Rate Applied to Underpayment of Estimated Benefits
459‑007‑0020
Statutory Limitation on the Crediting of Earnings
459‑007‑0025
Crediting Earnings to a Member Lump Sum Payment
459‑007‑0040
Crediting Earnings upon Withdrawal of a Tier One Member’s Account
459‑007‑0050
Crediting Earnings for a Deceased Tier One Active or Inactive Member
459‑007‑0060
Crediting Earnings to the Tier One Employer Death Benefit
459‑007‑0070
Crediting Earnings at Tier One Service or Disability Retirement
459‑007‑0080
Crediting Earnings at Tier One Service Retirement, Single Payment
459‑007‑0090
Crediting Earnings upon Tier One Service Retirement, Two or More Installment Payments
459‑007‑0110
Crediting Earnings at Tier One Loss of Membership
459‑007‑0160
Crediting Earnings to Loss of Membership Account for Periods of Active Membership
459‑007‑0220
Distribution of Earnings for Withdrawal of Member’s Account — Tier Two
459‑007‑0230
Crediting Earnings for a Deceased Tier Two Active or Inactive Member
459‑007‑0240
Crediting Earnings to the Tier Two Employer Death Benefit
459‑007‑0250
Crediting Earnings at Tier Two Service or Disability Retirement
459‑007‑0260
Crediting Earnings at Tier Two Service Retirement, Single Payment
459‑007‑0270
Crediting Earnings upon Tier Two Service Retirement, Two or More Installment Payments
459‑007‑0290
Crediting Earnings at Tier Two Loss of Membership
459‑007‑0300
Crediting Earnings to Police Officer and Firefighter Unit Accounts in the Fund
459‑007‑0320
Crediting Earnings for IAP Account Lump Sum Payments
459‑007‑0330
Crediting Earnings for IAP Account Installment Payments
459‑007‑0335
Crediting Earnings for IAP Account Pre-Retirement Death Benefit Payments
459‑007‑0340
Crediting Earnings for an OPSRP Pension Program Cash Out of Small Benefits or Withdrawal
459‑007‑0350
Crediting Earnings to the Employee Pension Stability Account at Retirement
459‑007‑0360
Crediting Earnings to the Employee Pension Stability Account at Death
459‑007‑0370
Crediting Earnings to the Employee Pension Stability Account on Withdrawal
459‑007‑0400
Crediting Earnings Upon Withdrawal of a Judge Member Account
459‑007‑0410
Crediting Earnings Upon the Death of a Judge Member
459‑007‑0420
Crediting Earnings at Judge Member Service or Disability Retirement
459‑007‑0510
Crediting Earnings to Employer Contribution Accounts
459‑007‑0530
Crediting Earnings To Employer Lump-Sum Payments
459‑007‑0900
Crediting Earnings To Integration Lump Sum Payments
Last Updated

Jun. 8, 2021

Rule 459-007-0300’s source at or​.us