7
c. In the above paragraphs, "sal
ary” means average salary during last
five years of service.
2. Any member whose contribution
rate is over 5 per cent may limit his
rate to 5 per cent by so notifying the
Board, and his benefits for future serv
ice will be reduced accordingly.
3. Any member whose salary is over
$200 per month may contribute on the
basis of $200 per month by notifying
the Board.
4. Each member’s contribution will
be credited to his account.
Contributions by Employers
1. Employers are required to make
two types of contributions.
a. Starting July 1, 1946, a contri
bution on account of service çur-
rently rendered (current service).
b. Starting July 1, 1947, an ad
ditional contribution for service
rendered before July 1, 1946 (prior
service).
2. Employers’ current service con
tribution will be the amount actuarially
computed as sufficient to "match the
employes’ account at retirement. It will
include an allowance for the portion of
current service disability benefits pro
vided under the Act which comes from
public funds and will be discounted
for probability of withdrawal within
ten years or death before retirement.
For this section the maximum salary
recognized is $200 per month.
3. Employers’ prior service contri
bution will be the amount actuarially
computed as sufficient to amortize
prior service liability in a 30-year
period.
4. As regards current service, each
employer pays on the basis of its own
employes (including teachers and mis
cellaneous employes of school districts).
5. As regards prior service, each em
ployer pays on basis of its own em
ployes except that prior service of cer
tificated school teachers is to be cov
ered by a uniform rate of contribution
from all school districts covered by the
Act (Sections 15 (4) and 19).
Credit for Service
1. Credit for future service will au
tomatically be governed by amounts
contributed by the member. (Section
19)
2. Credit is allowed for service in
armed forces after September 15, 1940.
No pensions can accrue for service af
ter July 1, 1945 unless member’s con
tributions are made. (Section 17 (2 ).
3. Prior service credit does not cov
er service which may have been render
ed some other city or public employer,
except in case of school teachers, who
get prior service credit for all service
in Oregon school districts. (Sections
15 (2) and 15 (4 ).
4. A break in service of more than
5 years eliminates credit for any service
prior to the break. (Section 2 (7 ).
5. Member transferring to another
participating employer after July 1,
1946 retains all of his rights. It is not
clear which employer is charged with
accrued pension earned prior to the
transfer.
Date of Service Retirement
(Section 18)
1. Compulsory retirement takes ef
fect at age 60 for policemen and fire
men, and age 65 for other members
with minor adjustments in case of
teachers. This is effective July 1, 1947.
2. Except where they are subject to
teachers’ tenure laws, members may be
continued in service beyond compul
sory retirement for successive periods
of one year each upon recommendation
of the employer and approval of the
Board.
3. After June 30, 1951, a member
may elect to retire if he is within 5
years of the compulsory retirement age,
with an actuarially reduced allowance.
Service Retirement Benefit
(Section 19)
1. When a member retires for service
(Continued on Page 21)