University of Oregon 2019 Annual Financial Report
Notes to the Financial Statements
For the Year Ended June 30, 2019 (dollars in thousands)
The ORP consists of four tiers. Membership under
ORP Tier One/Tier Two is determined using the same
criteria as PERS. Membership under ORP Tier Three is
determined using the same criteria as OPSRP. Under
the ORP tiers equivalent to PERS Tier One/Tier Two
and OPSRP, the employee's contribution rate is 6.00
percent and is paid by the employer. Beginning July
1, 2014, new members of ORP are members of ORP
Tier Four. Under Tier Four, the UO contribution is
fixed at 8.00 percent by plan rules and the employee's
contributions to a tax deferred investment account
are matched by the UO up to 4.00 percent. Employees
become fully vested in the ORP after five years of
participation in the plan.
The employer contribution rates for the ORP are as follows:
The following schedule lists payments made by the UO
for the fiscal year:
Employer
Contribution
June 30, 2019
As a % of
Employee
Contribution
As a % of
Covered
Covered
Payroll
Payroll
PERS/OPSRP $
$
29,073
12,914
31
42,018
8.41%
$
13,731
3.97%
3.74%
0.01%
12.16%
6,833
1.98%
$
31
20,595
0.01%
5.96%
ORP
TIAA
Total
The UO's total payroll for the year ended June 30,
2018, was $380,619 of which $329,731 was subject to
retirement contributions.
The following schedule lists payments made by the UO
for the fiscal year:
2019
2018
ORP Tier One
23.68%
23.68%
ORP Tier Two
23.68%
23.68%
OPSRP Equivalent
9.29%
9.29%
ORP Tier Four
8.00%
8.00%
June 30, 2018
Employer
Contribution
As a % of
Covered
Payroll
Employee
Contribution
As a % of
Covered
Payroll
ORP participants who leave employment before
vesting in the ORP forfeit their employer share of
the ORP contributions, along with the associated
investment income (losses) on those contributions.
The UO applies the forfeited funds in sequential order
to: (1) reinstate a participant's employer share when a
participant returns to employment, (2) reimburse ORP
administrative expenses, and (3) offset future ORP
employer contributions.
Teachers Insurance and Annuity
Association Plan (TIAA)
Eligible unclassified employees who enrolled prior to
1996 may participate in the TIAA retirement program,
a defined contribution plan, on all salary in excess
of $4.8 per calendar year. Employee contributions
are directed to PERS on the first $4.8. The employer
contribution to TIAA is an amount sufficient to
provide an annuity pension equal to the employee's
contributions. To participate in this retirement
option, employees must have been hired on or before
September 9, 1995. This plan was closed to new
enrollment at the time the ORP started in 1996. The
UO manages the TIAA plan on behalf of Oregon's
public universities under a shared services agreement.
All participants of TIAA are fully vested and there will
not be any forfeitures.
Summary of Pension Payments
The UO's total payroll for the year ended June 30,
2019, was $399,796 of which $345,614 was subject to
retirement contributions.
42 University of Oregon
PERS/OPSRP $
28,240
13,213
8.56%
$
13,089
3.97%
4.01%
6,549
1.99%
Total
$
45
41,498
0.01%
45
0.01%
12.59%
$
19,683
5.97%
ORP
TIAA
14. Other Postemployment Benefits (OPEB)
The UO participates in three (3) defined
postemployment healthcare benefit plans which offer
benefits to eligible retired state employees and their
beneficiaries. These plans allow the UO employees
retiring under PERS or OPSRP to continue their
healthcare benefits. Plans help retirees defray the cost
of insurance premiums until eligible for Medicare,
usually at age 65.
Plan Descriptions
Public Employees' Benefit Board (PEBB) Employees of
eligible agencies are allowed to purchase post-retirement
medical insurance through PEBB if they retire from active
service and, at the time of retirement, are immediately
eligible for a pension benefit from Oregon PERS. In
addition, retirees must have been enrolled in a PEBB
medical or dental plan immediately prior to retirement,
and must apply for retiree coverage within 30 days
of when active PEBB coverage ends. This is a single-
employer defined benefit OPEB plan not administered
through a trust. There are no Employer Contributions;
benefits are funded by the individual participants on a
pay-as-you-go basis. However, the premium amount is
based on a blended rate that is determined by pooling the
qualifying retirees with active employees, thus, creatingView entire presentation