Or. Admin. Code § 459-045-0012

Current through Register Vol. 63, No. 10, October 1, 2024

Section 459-045-0012 - OPSRP Pension Program Division of Benefits

(1) A final court order that provides for a division of pension benefits or disability benefits must use a method described in this rule.

(a) The method must be identified on PERS divorce forms.

(b) The PERS divorce forms must be attached as exhibits to the court order, and incorporated by reference in the court order.

(2) Award of Pension Benefits (Non-Retired Member). If a final court order awards an alternate payee a reduction or deduction amount from the monthly pension benefit that shall be paid in the future to the member, a court order must provide:

(a) The date of annulment, separation, divorce, or property settlement. If no date is provided, PERS will use the date the judge signed the court order.

(b) Whether the award is a reduction or deduction from the member's monthly pension. If the award is a reduction, the court order must provide whether the alternate payee is eligible to elect a separate benefit option at any time after the member reaches earliest retirement eligibility.

(c) The method by which the monthly award is to be calculated. One of the following methods must be used:

(A) A percentage, expressed with up to two decimal points; or

(B) A dollar amount; or

(C) A percentage of the married time ratio. If this method is used, the court order must provide:

(i) The percentage, expressed with up to two decimal points; and

(ii) The years and months of retirement credit accrued by the member during a specified period or while married to the alternate payee.

(d) If there is a specific end date or dollar amount limit to the award, and what that date or limit is.

(e) Whether the member must select a specific benefit payment option at retirement.

(f) Whether the member must designate the alternate payee as beneficiary.

(g) Whether the alternate payee and any minor children are awarded a percentage of any pre-retirement death benefit pursuant to ORS 238A.230.

(h) Whether a member may withdraw from the Individual Account Program pursuant to ORS 238A.375, thereby cancelling the member's membership in the Public Employees Retirement System under ORS 238A.120 and forfeiting any and all accrued pension benefits for both member and alternate payee. If a decree administered under this paragraph (2) is silent on a member's ability to withdraw from the Individual Account Program (IAP) pursuant to ORS 238A.375, the member will not be permitted to withdraw their IAP.

(i) Whether the alternate payee award continues or ends after the member retires if:

(A) The member dies before the alternate payee and the member's beneficiary is not the alternate payee.

(B) If the alternate payee dies before the member.

(3) Award of Pension Benefits (Retired Member). If a final court order awards an alternate payee an amount to be paid from a retired member's monthly pension, the court order must provide:

(a) The date of annulment, separation, divorce, or property settlement. If no date is provided, PERS will use the date the judge signed the court order.

(b) Whether the award is a reduction or deduction from the member's monthly pension.

(c) The method by which the monthly award is to be calculated. One of the following methods must be used:

(A) A percentage, expressed with up to two decimal points; or

(B) A dollar amount.

(d) If there is a specific end date or dollar amount limit to the award, and what that date or limit is.

(e) Whether the member may or must change the beneficiary designation. If the member's beneficiary is changed, the member's pension must be recalculated.

(f) Whether a member, who elected to receive their pension under ORS 238A.190(1)(b) or (d), is allowed to receive the higher pension benefit under ORS 238A.190(2)(b).

(g) Whether the alternate payee will be the sole beneficiary or any remaining share not awarded to the alternate payee shall be paid to the member's secondary beneficiary if the member dies before the alternate payee and the alternate payee was the member's beneficiary.

(h) Whether an alternate payee award continues or ends if:

(A) The member dies before the alternate payee and the member's beneficiary is not the alternate payee.

(B) The alternate payee dies before the member.

(4) Award of Disability Benefits. If a final court order awards an alternate payee an amount to be paid from the monthly disability benefit that is being paid or may be paid in the future to the member, the court order must provide:

(a) The date of annulment, separation, divorce, or property settlement. If no date is provided, PERS will use the date the judge signed the court order.

(b) Whether the award is a reduction or deduction from the member's monthly disability benefit.

(c) A percentage, expressed with up to two decimal points, of the member's monthly disability benefit that is awarded to the alternate payee.

Or. Admin. Code § 459-045-0012

PERS 4-2010, f. & cert. ef. 5-28-10; PERS 5-2021, amend filed 07/23/2021, effective 7/23/2021

Statutory/Other Authority: ORS 238.465, ORS 238.650 & ORS 238A.450

Statutes/Other Implemented: ORS 238.465