1995-01014-Ordinance No. 94-061 Recorded 12/7/199495-01014
U1c3�7"' s REVIEWED
BEFORE THE BOARD OF COUNTY COMMISSIONERS OF
An Ordinance Amending the County's
Policy Regarding PERS Contribution for
Elected Public Officials to Comply
with Ballot Measure 8, Declaration of
Employer Pick -Up for Purposes of IRC
Section 414(h) and Declaring an Emergency.
ORDINANCE NO. 94-061
WHEREAS, Deschutes County (County) is a participant in the Public
Employees' Retirement System (PERS) and all qualified County elected
officials, as that term is used herein, are members of PERS; and
WHEREAS, the County has chosen, pursuant to ORS 237.075, to pay on
behalf of each qualifying County elected official the employee
contribution to PERS; and
WHEREAS, on November 8, 1994, the voters of the State of Oregon
approved Ballot Measure 8, which requires that members of PERS
contribute 6 percent of their salary or gross wage to PERS; and
WHEREAS, it is necessary for the County to change its current
practice and policies in order to comply with Ballot Measure 8 with
regard to PERS contributions; and
WHEREAS, the County desires to comply with Ballot Measure 8, while
protecting its elected officials consistent with Ballot Measure 8; now,
therefore,
THE BOARD OF COUNTY COMMISSIONERS OF DESCHUTES COUNTY ORDAINS as
follows:
Section 1. Implementation of Ballot Measure 8 PERS Withholding.
(1) Effective with the pay period beginning January 1, 1995, the
County shall suspend its current policy and practice of directly paying
on behalf of qualifying elected officials the 6 percent employee
contribution to PERS allowed by ORS 237.075 (employee "pick-up") and
shall, as required by Ballot Measure 8, commence withholding, along
with other required withholdings, from each qualifying elected
official's salary or gross wage a sum in the amount of 6 percent of the
elected official's salary or gross wage as the employee's PERS
contribution and shall pay such amount withheld for PERS directly to
PERS as the elected official's PERS contribution.
(2) The withholding of and payment to PERS by the County of the
elected officials' employee PERS contribution described in Subsection
(1) above shall become the policy of the County when any suits or
actions, including appeals, bearing on the constitutionality of Ballot
Measure 8 as it applies or may apply to the County's witIt olding and
KEY z. �;;. 'L
1 - ORDINANCE NO. 94-061 (12-7-94)
1'1;cR0r I" JAN 10 1995
�E808D
199,
IN&L
zvrnaz-.L.
DESCHUTES
ORDINANCE NO. 94-061
WHEREAS, Deschutes County (County) is a participant in the Public
Employees' Retirement System (PERS) and all qualified County elected
officials, as that term is used herein, are members of PERS; and
WHEREAS, the County has chosen, pursuant to ORS 237.075, to pay on
behalf of each qualifying County elected official the employee
contribution to PERS; and
WHEREAS, on November 8, 1994, the voters of the State of Oregon
approved Ballot Measure 8, which requires that members of PERS
contribute 6 percent of their salary or gross wage to PERS; and
WHEREAS, it is necessary for the County to change its current
practice and policies in order to comply with Ballot Measure 8 with
regard to PERS contributions; and
WHEREAS, the County desires to comply with Ballot Measure 8, while
protecting its elected officials consistent with Ballot Measure 8; now,
therefore,
THE BOARD OF COUNTY COMMISSIONERS OF DESCHUTES COUNTY ORDAINS as
follows:
Section 1. Implementation of Ballot Measure 8 PERS Withholding.
(1) Effective with the pay period beginning January 1, 1995, the
County shall suspend its current policy and practice of directly paying
on behalf of qualifying elected officials the 6 percent employee
contribution to PERS allowed by ORS 237.075 (employee "pick-up") and
shall, as required by Ballot Measure 8, commence withholding, along
with other required withholdings, from each qualifying elected
official's salary or gross wage a sum in the amount of 6 percent of the
elected official's salary or gross wage as the employee's PERS
contribution and shall pay such amount withheld for PERS directly to
PERS as the elected official's PERS contribution.
(2) The withholding of and payment to PERS by the County of the
elected officials' employee PERS contribution described in Subsection
(1) above shall become the policy of the County when any suits or
actions, including appeals, bearing on the constitutionality of Ballot
Measure 8 as it applies or may apply to the County's witIt olding and
KEY z. �;;. 'L
1 - ORDINANCE NO. 94-061 (12-7-94)
1'1;cR0r I" JAN 10 1995
�E808D
199,
0137--1628
payment to PERS of such PERS contributions are finally resolved in a
manner to uphold Ballot Measure 8 or when the statute of limitations
runs for bringing any such suits or actions, whichever occurs later.
Section 3. Special Fund or Account. The Board is authorized to
adopt a resolution to hold aside in a special interest-bearing fund or
account for the benefit of its elected officials the funds that it
would otherwise have contributed to PERS on behalf of such qualifying
elected officials until such time as any suits or actions, including
appeals, bearing on the constitutionality of Ballot Measure 8 as it
applies or may apply to the County's withholding and payment to PERS of
such PERS contributions are finally resolved or when the statute of
limitations for bringing any such suit or action has run, whichever
occurs later. This special fund or account may be the same fund or
account established pursuant to Ordinance 94-060.
Section 4. PERS Contribution as Excludable from Gross Income for
Federal Income Tax Purposes.
(1) Effective with the pay period commencing on January 1, 1995,
the 6 percent PERS contribution withheld under Section 2 of this
ordinance from each qualifying elected official's salary shall be paid
to PERS by the County in lieu of payment to PERS by the elected
official; the elected official shall have no option to receive the
contributed amount directly instead of having it paid by the County to
PERS.
(2) The salary earned after the effective date of this provision
and thereafter reported on each qualifying elected official's W-2 form
for federal income tax purposes shall be reduced by the amount of the
elected officials's PERS contribution.
(3) For the limited purposes of Internal Revenue Code Section
414(h)(2), and related tax statutes, the elected official's
contribution to PERS will be picked up by the County as a pre-tax
contribution as the term "picks up" is used in the Internal Revenue
Code.
(4) The County shall provide PERS with written notification of
enactment of this ordinance no later than January 6, 1995.
Section 5. Definitions. For the purposes of this ordinance, the
following definitions apply:
(1) "Qualifying elected official" means any elected official of
Deschutes County who is a member of PERS.
(2) "Ballot Measure 8" means that election measure proposed by
initiative petition to amend Article IX of the Oregon Constitution
regarding public employee pensions that appeared as Measure No. 8 on
the general election ballot on November 8, 1994.
2 - ORDINANCE NO. 94-061 (12-7-94)
O137-1629
Section 6. Applicability. This ordinance shall apply to any
elected official who will hold a term of office extending after January
1, 1995, who is a member of PERS as of January 1, 1995, and to any
elected official not qualifying as of said date who later becomes a
qualifying elected official, as that term is defined herein, at any
time thereafter, as of the date that such elected official becomes a
qualifying elected official. This ordinance shall apply only to the
extent that such elected officials receive their salary or wage from
the County.
Section 7. Liability. Should any portion of this ordinance be
determined by final order of a court or agency of competent
jurisdiction to be unlawful or ineffective, and if any payment or
repayment is required as a result of such determination, the elected
officials receiving any benefit under this ordinance shall be responsi-
ble for such repayment, including any interest, with each employee's
share of the total obligation to be determined in a prorated amount by
the Board of Commissioners.
Section 8. Severability. If any provision of this ordinance is
held invalid for any reason by a court or administrative body of
competent jurisdiction, the remaining provisions shall remain valid and
in full force and effect.
Section 9. Emergency. This Ordinance being necessary for the
immediate preservation of the public peace, health and safety, an
emergency is declared to exist, and this Ordinance takes effect on its
passage.
DATED this 7th day of December, 1994.
BOARD OF COUNTY COMMISSIONERS
OF ESCHUT COUNT , OREGON
6+ �J1
o . J L� �
NANCY PO S HLAAGEN, Chai
il,XL�
AT T: TOM T ROOP, Commi
' soner &M, -7v
/
Recording Secretary BARRY H. VLAUGHTER, Adommissioner
3 - ORDINANCE NO. 94-061 (12-7-94)