ORS 243.125
Powers and duties of board
- rules
(1)
The Public Employees’ Benefit Board shall prescribe rules for the conduct of its business and for carrying out ORS 243.256 (Reimbursement methodology for payment to hospitals). The board shall study all matters connected with the providing of adequate benefit plan coverage for eligible employees on the best basis possible with relation both to the welfare of the employees and to the state and local governments. The board shall design benefits, devise specifications, analyze carrier responses to advertisements for bids and decide on the award of contracts. Contracts shall be signed by the chairperson on behalf of the board.(2)
In carrying out its duties under subsection (1) of this section, the goal of the board shall be to provide a high quality plan of health and other benefits for employees at a cost affordable to both the employer and the employees.(3)
Subject to ORS chapter 183, the board may make rules not inconsistent with ORS 243.105 (Definitions for ORS 243.105 to 243.285) to 243.285 (Salary deductions) and 292.051 (Deduction of cost of group insurance and other services) to determine the terms and conditions of eligible employee participation and coverage.(4)
Intentionally left blank —Ed.(a)
The board shall prepare specifications, invite bids and do acts necessary to award contracts for health benefit plan and dental benefit plan coverage of eligible employees in accordance with the criteria set forth in ORS 243.135 (Health benefit plans for eligible employees) (1).(b)
Premium rates established by the board for a self-insured health benefit plan and premium rates negotiated by the board with a carrier that offers a health benefit plan to eligible employees must take into account any reduction in the cost of hospital services and supplies anticipated to result from the application of ORS 243.256 (Reimbursement methodology for payment to hospitals).(5)
The executive director of the board shall report to the Director of the Oregon Health Authority.(6)
The board may retain consultants, brokers or other advisory personnel when necessary and, subject to the State Personnel Relations Law, shall employ such personnel as are required to perform the functions of the board. If the board contracts for actuarial or technical support to manage the functions of the board, the board shall solicit invitations to bid and the proposals must include all of the following:(a)
An explanation of how the bidder has assisted other clients in creating incentives to improve the quality of care provided to enrollees;(b)
An explanation of how the bidder will support the board’s efforts to maximize provider efficiencies and achieve more organized systems of care; and(c)
A description of the bidder’s experience in assisting other clients in structuring contracts that use risk-based networks of providers and alternative provider reimbursement methodologies. [1971 c.527 §3; 1975 c.560 §1; 1975 c.667 §1a; 1983 c.640 §2; 1987 c.879 §9; 1997 c.222 §29; 2001 c.655 §5; 2011 c.418 §10; 2013 c.731 §3; 2017 c.746 §30; 2023 c.51 §1]
Source:
Section 243.125 — Powers and duties of board; rules, https://www.oregonlegislature.gov/bills_laws/ors/ors243.html (accessed May 26, 2025).
Notes of Decisions
Public Employees’ Benefit Board does not act as fiduciary with respect to state or with respect to public employees. Public Employees’ Benefit Board v. Oregon Health and Sciences University, 205 Or App 64, 132 P3d 1061 (2006), Sup Ct review denied