1995-01015-Resolution No. 94-117 Recorded 12/7/199495-01015
BEFORE THE BOARD OF COUNTY COMMISSIONERS OF
REVIEWID
LEGAL COUNSEL
DESCHUT2S CUUNTY,
Q
ACTING AS THE GOVERNING BODY OF THE 1���.1V�o
DESCHUTES COUNTY 911 COUNTY SERVICE DISTRICT
A Resolution Amending the District's
*"
Policy Regarding PERS Contributions for
Non -Represented District Employees to
Comply with Ballot Measure 8 and
* -d
Declaration of Employer Pick -Up for
Purposes of IRC Section 414(h) and Setting
an Effective Date..r-
RESOLUTION NO. 94-117
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WHEREAS, the Deschutes County 911 County Service District
(District) is, by and through Deschutes County (County), a participant
in the Public Employees' Retirement System (PERS) and all qualified
District employees, as that term is used herein, are members of PERS;
and
WHEREAS, the District, by and through the County, has chosen,
pursuant to ORS 237.075, to pay on behalf of each qualifying employee
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 District to change its current
retirement contribution policies and practice in order to comply with
Ballot Measure 8; and
WHEREAS, the District desires to comply with Ballot Measure 8,
while protecting its employees consistent with Ballot Measure 8; now,
therefore,
BE IT RESOLVED BY THE BOARD OF COUNTY COMMISSIONERS OF DESCHUTES
COUNTY, OREGON, ACTING AS THE GOVERNING BODY OF THE DESCHUTES COUNTY
911 COUNTY SERVICE DISTRICT, as follows:
Section 1. Implementation of Ballot Measure 8 PERS Withholding.
(1) Effective with the pay period beginning January 1, 1995, the
District, by and through the County, shall suspend its current policy
and practice of directly paying on behalf of qualifying employees the
6 percent employee contribution to PERS allowed by ORS 237.075 and
shall, as required by Ballot Measure 8, commence withholding, along
with other required withholdings, from each qualifying employee's
salary or gross wage a sum in the amount of 6 percent of the employee's
salary or gross wage as the employee's PERS contribution and shall pay
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such amount withheld for PERS directly to PERS as the employee's PERS
contribution.
(2) The withholding of and payment to PERS by the District, by
and through the County, of the employee PERS contribution provided for
in Subsection (1) above shall become the policy of the District when
any suits or actions, including appeals, bearing on the
constitutionality of Ballot Measure 8 as it applies or may apply to the
District's withholding and payment to PERS, by and through the County,
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 2. Special Fund or Account. The Governing Body shall
establish by resolution or order a special interest-bearing fund or
account to hold for the benefit of its qualifying employees the funds
that but for Ballot Measure 8 it would have contributed to PERS on
behalf of such qualifying employees 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 District'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. The special fund or account established
under this paragraph may be established as part of a similar fund or
account established by the Board of Commissioners of Deschutes County
to serve a similar purpose for the County's qualifying employees and
qualifying elected officials.
Section 3. PERS Contribution as Excludable from Gross Income for
Federal Income Tax Purposes.
(1) Effective with the pay period commencing January 1, 1995, the
6 percent PERS contribution withheld under Section 1 of this resolution
from each qualifying employee's salary shall be paid to PERS by the
District, by and through the County, in lieu of payment to PERS by the
employee; the employee shall have no option to receive the contributed
amount directly instead of having it paid by the District, by and
through the County, to PERS.
(2) The salary earned after the effective date of this provision
and reported thereafter on each qualifying employee's W-2 form for
federal income tax purposes shall be reduced by the amount of the
employee's PERS contribution.
(3) For the limited purposes of Internal Revenue Code Section
414(h)(2), and related tax statutes, the employee's contribution to
PERS will be picked up by the District, by and through the County, as
a pre-tax contribution as the term "picks up" is used in the Internal
Revenue Code.
2 - RESOLUTION 94-117 (12-7-94)
(4) The District, by and through the County, shall provide PERS
with written notification of enactment of this resolution no later than
January 6, 1995.
Section 4. Definitions. For the purposes of this ordinance, the
following definitions apply:
(1) "Qualifying employee" means any employee of the District who
has satisfactorily completed the employee's six-month probationary
period in a manner consistent with ORS 237.011 and who holds a position
requiring that the employee work in excess of six hundred hours per
year.
(2) "Ballot Measure 8" means that 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.
Section 5. Applicability.
(1) Section 1 of this resolution applies to all District
employees who are qualifying employees on the date this resolution
becomes applicable, except those covered by a collective bargaining
agreement, or any extension thereof, entered into by and between the
District and a bargaining unit prior to January 1, 1995, and which
agreement requires the District, as provided for under ORS 237.075, to
pay the PERS employee contribution.
(2) Section 3 of this ordinance shall apply as of January 1,
1995, to qualifying District employees not covered by collective
bargaining agreements described in Section 5(1) of this resolution.
(3) Section 3 of this ordinance shall apply to employees of any
bargaining unit covered by collective bargaining contracts as of the
date that any contract described under Section 5(1) of this resolution
expires.
(4) Sections 1 and 3 of this resolution shall apply to all
District employees not qualifying as of the effective date of this
resolution who become qualifying employees, as that term is defined
herein, at any time thereafter, as of the date that such employees
become qualifying employees.
Section 6. Liability. Should any portion of this resolution 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 employees
receiving any benefit under this resolution shall be responsible for
such repayment, including any interest, with each employee's share of
the total obligation to be determined in a prorated amount by the
Governing Body.
3 - RESOLUTION 94-117 (12-7-94)
013'7-1633
Section 7. Severability.
(1) If any provision of this resolution 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.
(2 ) If any provision of this resolution is held invalid as to any
collective bargaining unit, the provisions of this ordinance shall
remain valid and in full force and effect as to all other collective
bargaining units or groups of employees covered by this resolution.
Section 8. Effective date. This resolution shall take effect
immediately upon its passage.
DATED this 7th day of December, 1994.
ATT
Recording Secretary
BOARD OF COUNTY COMMISSIONERS OF
DESCHUTES COUNTY, OREGON, ACTING AS THE
GOVF,RNING BODY OF TH DESCHUTES COUNTY
910 -COUNTY SERVICE DISTRICT
SC41ANGEN, Chair
TOMjPiROOP, Commissioner
BARRYH. SLAUGHTER, Commissioner
4 - RESOLUTION 94-117 (12-7-94)