Bill Text: OR HB3680 | 2011 | Regular Session | Introduced

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Bill Title: Relating to cost reductions for education providers; declaring an emergency.

Spectrum: Partisan Bill (Republican 7-0)

Status: (Failed) 2011-06-30 - In committee upon adjournment. [HB3680 Detail]

Download: Oregon-2011-HB3680-Introduced.html

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     76th OREGON LEGISLATIVE ASSEMBLY--2011 Regular Session

NOTE:  Matter within  { +  braces and plus signs + } in an
amended section is new. Matter within  { -  braces and minus
signs - } is existing law to be omitted. New sections are within
 { +  braces and plus signs + } .

LC 4170

                         House Bill 3680

Sponsored by Representative CONGER; Representatives ESQUIVEL,
  HUFFMAN, JOHNSON, MCLANE, PARRISH, WHISNANT

                             SUMMARY

The following summary is not prepared by the sponsors of the
measure and is not a part of the body thereof subject to
consideration by the Legislative Assembly. It is an editor's
brief statement of the essential features of the measure as
introduced.

  Directs State Board of Education to determine whether one or
more education service districts shall be joined together based
on specified criteria, including resulting fiscal efficiencies,
and to enter order joining districts if criteria are met.
  Requires that payments made to substitute teachers be based on
computations made for 2010-2011 school year.
  Directs school district to pay substitute teacher based on
two-hour increments, instead of based on half day or full day of
pay.
  Adds education service districts to definition of ' educational
institution' for purposes of provisions related to unemployment
insurance.
  Reduces, from annual to biennial, frequency of training that
coaches must receive related to concussions and that school
employees must receive related to child abuse and sexual conduct.
  Allows employee of school district or education service
district to elect to make employee contribution to employee's
individual account of Public Employees Retirement System in
amount that is less than six percent.
  Places limitations on cost-of-living adjustment for retired
member who was employee of school district or education service
district at time of retirement.
  Declares emergency, effective on July 1, 2011.

                        A BILL FOR AN ACT
Relating to cost reductions for education providers; creating new
  provisions; amending ORS 238.360, 238A.210, 238A.330, 336.485,
  339.400, 342.610 and 657.010; and declaring an emergency.
Be It Enacted by the People of the State of Oregon:
  SECTION 1.  { + Section 2 of this 2011 Act is added to and made
a part of ORS chapter 334. + }
  SECTION 2.  { + (1) The State Board of Education, acting as the
boundary board for education service districts as provided by ORS
334.690, shall determine whether one or more education service
districts shall be joined together based on:
  (a) The criteria described in ORS 334.690; and
  (b) Whether the joining would result in fiscal efficiencies.
  (2) Notwithstanding ORS 334.010 and 334.020, if the State Board
of Education determines that one or more education service
districts shall be joined together as provided by subsection (1)
of this section, the board shall enter an order to join the
districts. The board shall enter any orders required by this
subsection no later than December 1, 2011, and the joining
together of the education service districts shall become
effective on July 1, 2012. + }
  SECTION 3.  { + Section 4 of this 2011 Act is added to and made
a part of ORS chapter 342. + }
  SECTION 4.  { + For the 2011-2012 and 2012-2013 school years,
and notwithstanding ORS 342.610:
  (1) The Department of Education shall not make the computation
described in ORS 342.610.
  (2) A school district shall make payments to substitute
teachers under ORS 342.610 based on computations that the
Department of Education made for the 2010-2011 school year. + }
  SECTION 5.  { + Section 4 of this 2011 Act is repealed on July
1, 2013. + }
  SECTION 6. ORS 342.610 is amended to read:
  342.610. (1) Teachers employed as substitute teachers shall not
be paid less per day than 85 percent of 1/190th of the salary of
a beginning teacher who holds a bachelor's degree. The salary of
the substitute teacher shall be computed as required in this
subsection based on the statewide average salary for beginning
teachers who hold bachelor's degrees. The Department of Education
shall compute the statewide average salary to be used for
purposes of this subsection, using the latest data available to
the department, but not data from earlier than the preceding
school year.
    { - (2) The school district shall set the working hours for a
substitute teacher, and, when employed, shall pay the substitute
teacher a salary which is no less than one-half of the daily
minimum salary as computed under subsection (1) of this section.
However, if the substitute teacher is employed for more than
one-half day, the substitute teacher shall receive a full day's
pay. - }
   { +  (2)(a) The school district shall set the working hours
for a substitute teacher.
  (b) When a substitute teacher is employed, the school district
shall pay the substitute teacher a salary that is calculated:
  (A) In two-hour increments;
  (B) By rounding up to the next two-hour increment if the
substitute teacher is employed for an amount of time that is less
than a two-hour increment; and
  (C) As a percentage of the daily minimum salary computed under
subsection (1) of this section. + }
  (3)(a) Notwithstanding subsection (1) of this section, teachers
employed as substitute teachers for more than 10 consecutive days
in any one assignment for the same teacher shall not be paid
after the 10th day of the assignment less per day than 100
percent of 1/190th of the statewide average salary computed in
subsection (1) of this section for districts with no salary
scale; or, for districts with a salary scale, the higher of:
  (A) 1/190th of the employing school district's salary for a
beginning teacher who holds a bachelor's degree; or
  (B) The statewide minimum per diem salary as computed in
subsection (1) of this section.
  (b) Used sick leave, whether paid or unpaid, and weekends,
school holidays and days when schools are closed by weather or
other conditions and when substitute teachers are not required to
appear in person at the school shall not be considered in
determining consecutive days for purposes of this subsection.
  (c) When substituting for a part-time teacher, the part of the
day worked by the substitute shall count as a full day in
determining consecutive days for purposes of this subsection.
  (4) Subsections (1) to (3) of this section do not apply to
substitute teachers represented in a bargaining unit in the
school district by which they are employed.
  SECTION 7.  { + The amendments to ORS 342.610 by section 6 of
this 2011 Act first apply to the 2011-2012 school year. + }
  SECTION 8. ORS 657.010, as amended by section 32, chapter 82,
Oregon Laws 2010, is amended to read:
  657.010. As used in this chapter, unless the context requires
otherwise:
  (1) 'Base year' means the first four of the last five completed
calendar quarters preceding the benefit year.
  (2) 'Benefits' means the money allowances payable to unemployed
persons under this chapter.
  (3) 'Benefit year' means a period of 52 consecutive weeks
commencing with the first week with respect to which an
individual files an initial valid claim for benefits, and
thereafter the 52 consecutive weeks period beginning with the
first week with respect to which the individual next files an
initial valid claim after the termination of the individual's
last preceding benefit year except that the benefit year shall be
53 weeks if the filing of an initial valid claim would result in
overlapping any quarter of the base year of a previously filed
initial valid claim.
  (4) 'Calendar quarter' means the period of three consecutive
calendar months ending on March 31, June 30, September 30 or
December 31, or the approximate equivalent thereof, as the
Director of the Employment Department may, by regulation,
prescribe.
  (5) 'Contribution' or 'contributions' means the taxes, as
defined in subsection (13) of this section, that are the money
payments required by this chapter, or voluntary payments
permitted, to be made to the Unemployment Compensation Trust
Fund.
  (6) 'Educational institution  { - , - } '   { - including - }
 { + means:
  (a) + } An institution of higher education { + , + } as defined
in subsection (9) of this section  { - , means an - }  { + ;
  (b) An education service district established in ORS chapter
334; and
  (c) Any other + } institution:
    { - (a) - }   { + (A) + } In which participants, trainees or
students are offered an organized course of study or training
designed to transfer to them knowledge, skills, information,
doctrines, attitudes or abilities from, by or under the guidance
of an instructor or teacher;
    { - (b) - }   { + (B) + } That is accredited, registered,
approved, licensed or issued a permit to operate as a school by
the Department of Education or other government agency, or that
offers courses for credit that are transferable to an approved,
registered or accredited school;
    { - (c) - }   { + (C) + } In which the course or courses of
study or training that it offers may be academic, technical,
trade or preparation for gainful employment in a recognized
occupation; and
    { - (d) - }   { + (D) + } In which the course or courses of
study or training are offered on a regular and continuing basis.
  (7) 'Employment office' means a free public employment office
or branch thereof, operated by this state or maintained as a part
of a state-controlled system of public employment offices.
  (8) 'Hospital' means an organization that has been licensed,
certified or approved by the Oregon Health Authority as a
hospital.
  (9) 'Institution of higher education' means an educational
institution that:
  (a) Admits as regular students only individuals having a
certificate of graduation from a high school, or the recognized
equivalent of such a certificate;
  (b) Is legally authorized in this state to provide a program of
education beyond high school;
  (c) Provides an educational program for which it awards a
bachelor's or higher degree, or provides a program that is
acceptable for full credit toward such a degree, a program of
post-graduate or post-doctoral studies, or a program of training
to prepare students for gainful employment in a recognized
occupation; and
  (d) Is a public or other nonprofit institution.
  (10) 'Internal Revenue Code' means the federal Internal Revenue
Code, as amended and in effect on December 31, 2009.
  (11) 'Nonprofit employing unit' means an organization, or group
of organizations, described in section 501(c)(3) of the Internal
Revenue Code that is exempt from income tax under section 501(a)
of the Internal Revenue Code.
  (12) 'State' includes, in addition to the states of the United
States of America, the District of Columbia and Puerto Rico.
However, for all purposes of this chapter the Virgin Islands
shall be considered a state on and after the day on which the
United States Secretary of Labor first approves the Virgin
Islands' law under section 3304(a) of the Federal Unemployment
Tax Act as amended by Public Law 94-566.
  (13) 'Taxes' means the money payments to the Unemployment
Compensation Trust Fund required, or voluntary payments
permitted, by this chapter.
  (14) 'Valid claim' means any claim for benefits made in
accordance with ORS 657.260 if the individual meets the
wages-paid-for-employment requirements of ORS 657.150.
  (15) 'Week' means any period of seven consecutive calendar days
ending at midnight, as the director may, by regulation,
prescribe. The director may by regulation prescribe that a '
week' shall be 'in,' 'within,' or 'during' the calendar quarter
that includes the greater part of such week.
  SECTION 9. ORS 336.485 is amended to read:
  336.485. (1) As used in this section, 'coach' means a person
who instructs or trains members on a school athletic team, as
identified by criteria established by the State Board of
Education by rule.
  (2)(a) Each school district shall ensure that coaches receive
  { - annual - }  training  { + at least once every two years + }
to learn how to recognize the symptoms of a concussion and how to
seek proper medical treatment for a person suspected of having a
concussion.
  (b) The board shall establish by rule:
  (A) The requirements of the training described in paragraph (a)
of this subsection, which shall be provided by using community
resources to the extent practicable; and
  (B) Timelines to ensure that, to the extent practicable,
  { - every - }   { + a + } coach receives the training described
in paragraph (a) of this subsection before the beginning of the
season for the school athletic team.
  (3)(a) A coach may not allow a member of a school athletic team
to participate in any athletic event or training on the same day
that the member:
  (A) Exhibits signs, symptoms or behaviors consistent with a
concussion following an observed or suspected blow to the head or
body; or
  (B) Has been diagnosed with a concussion.
  (b) A coach may allow a member of a school athletic team who is
prohibited from participating in an athletic event or training,
as described in paragraph (a) of this subsection, to participate
in an athletic event or training no sooner than the day after the
member experienced a blow to the head or body and only after the
member:
  (A) No longer exhibits signs, symptoms or behaviors consistent
with a concussion; and
  (B) Receives a medical release form from a health care
professional.
  SECTION 10. ORS 339.400 is amended to read:
  339.400. (1) An education provider shall provide to school
employees training { + , at least once every two years, + }
 { - each school year - }  on the prevention and identification
of child abuse and sexual conduct and on the obligations of
school employees under ORS 419B.005 to 419B.050 and under
policies adopted by the school board to report child abuse and
sexual conduct.
  (2) An education provider shall make the training provided
under subsection (1) of this section available   { - each school
year - }  { + at least once every two years + } to parents and
legal guardians of children who attend a school operated by the
education provider.  The training shall be provided separately
from the training provided to school employees under subsection
(1) of this section.
  (3) An education provider shall make training that is designed
to prevent child abuse and sexual conduct available   { - each
school year - }   { + at least once every two years + } to
children who attend a school operated by the education provider.
  SECTION 11. ORS 238A.330 is amended to read:
  238A.330. (1)  { + Except as provided in subsection (2) of this
section, + } a member of the individual account program must make
employee contributions to the individual account program of six
percent of the member's salary.
   { +  (2) An employee of a school district or an education
service district may elect to make an employee contribution that
is a percentage of the employee's salary that is not less than
one percent or more than six percent. The percentage must be a
whole number. + }
    { - (2) - }  { +  (3) + } Employee contributions made by a
member of the individual account program under this section shall
be credited by the board to the employee account established for
the member under ORS 238A.350 (2).
  SECTION 12.  { + The Public Employees Retirement Board shall
recalculate the contribution rate of school districts and
education service districts, pursuant to ORS 238.225, within 30
days after the effective date of this 2011 Act. The corrected
rates take effect July 1, 2011. + }
  SECTION 13. ORS 238.360 is amended to read:
  238.360. (1) As soon as practicable after January 1 each year,
the Public Employees Retirement Board shall determine the
percentage increase or decrease in the cost-of-living for the
previous calendar year, based on the Consumer Price Index
(Portland area-all items) as published by the Bureau of Labor
Statistics of the U.S. Department of Labor for the Portland,
Oregon, area.
   { +  (2)  + }  { - Prior to July 1 each year - }  { +  Except
as provided in subsection (3) of this section, before July 1 of
each year, + } the allowance which the member or the member's
beneficiary is receiving or is entitled to receive on August 1
for the month of July shall be multiplied by the percentage
figure determined { +  under subsection (1) of this section + },
and the allowance for the next 12 months beginning July 1
adjusted to the resultant amount.
   { +  (3) If the retired member was an employee of a school
district or an education service district at the time of
retirement, before July 1 of each year the board shall multiply
the lesser of $2,000 or the monthly payment that the member or
the member's beneficiary is receiving or is entitled to receive
as a retirement allowance on August 1 for the month of July by
the percentage figure determined under subsection (1) of this
section.  The board shall adjust all monthly payments made on or
after August 1 based on the increase or decrease calculated under
this section. + }
    { - (2) - }  { +  (4) + }   { - Such - }  { +  An + }
increase or decrease   { - shall - }   { + under this section
may + } not exceed two percent of any monthly retirement
allowance in any year and no allowance shall be adjusted to an
amount less than the amount to which the recipient would be
entitled if no cost-of-living adjustment were authorized.
    { - (3) - }   { + (5) + } The amount of any cost-of-living
increase or decrease in any year in excess of the maximum annual
retirement allowance adjustment of two percent shall be
accumulated from year to year and included in the computation of
increases or decreases in succeeding years.
    { - (4) - }  { +  (6) + } Any increase in the allowance shall
be paid from contributions of the public employer under ORS
238.225. Any decrease in the allowance shall be returned to the
employer in the form of a credit against contributions of the
employer under ORS 238.225.
  SECTION 14. ORS 238A.210 is amended to read:
  238A.210. (1) As soon as practicable after January 1 each year,
the Public Employees Retirement Board shall determine the
percentage increase or decrease in the cost of living for the
previous calendar year, based on the Portland-Salem, OR-WA,
Consumer Price Index for All Urban Consumers for All Items, as
published by the Bureau of Labor Statistics of the United States
Department of Labor.
   { +  (2) Except as provided in subsection (3) of this
section, + } before July 1 each year, the board shall adjust
every pension payable under ORS 238A.180, 238A.185 and 238A.190,
every disability benefit under ORS 238A.235 and every death
benefit payable under ORS 238A.230 by multiplying the monthly
payment by the percentage figure determined by the board. If a
person has been receiving a pension or benefit for less than 12
months on July 1 of a calendar year, the board shall make a pro
rata reduction of the adjustment based on the number of months
that the pension or benefit was received before July 1 of the
year. The adjustment shall be made for the payments payable on
August 1 and thereafter.
   { +  (3) If the retired member was an employee of a school
district or an education service district at the time of
retirement, before July 1 of each year the board shall multiply
the lesser of $2,000, the pension payable under ORS 238A.180,
238A.185 and 238A.190, the disability benefit payable under ORS
238A.235 or the death benefit payable under ORS 238A.230, by the
percentage figure determined by the board. If the person has been
receiving a pension or benefit for less than 12 months on July 1
of a calendar year, the board shall make a pro rata reduction of
the adjustment based on the number of months that the pension or
benefit was received before July 1 of the year. The adjustment
shall be made for the payments payable on August 1 and
thereafter. + }
    { - (2) - }  { +  (4) + } An increase or decrease in the
benefit payments under this section may not exceed two percent in
any year. A pension or death benefit may not be adjusted to an
amount that is less than the amount that would have been payable
if no cost-of-living adjustment had been made since the pension
or death benefit first became payable.
  SECTION 15.  { + The amendments to ORS 238.360 and 238A.210 by
sections 13 and 14 of this 2011 Act apply to cost-of-living
adjustments made under ORS 238.360 and 238A.210 on or after the
effective date of this 2011 Act. + }
  SECTION 16.  { + (1) Jurisdiction is conferred on the Supreme
Court to determine, in the manner provided by this section,
whether the amendments to ORS 238.360 and 238A.210 by sections 13
and 14 of this 2011 Act breach any contract between members of
the Public Employees Retirement System and their employers or
violates any constitutional provision, including but not limited
to impairment of contract rights of members of the Public
Employees Retirement System under section 21, Article I of the

Oregon Constitution, or clause 1, section 10, Article I of the
United States Constitution.
  (2) A person who is adversely affected by this 2011 Act or who
will be adversely affected by this 2011 Act may institute a
proceeding for review by filing with the Supreme Court a petition
that meets the following requirements:
  (a) The petition must be filed within 60 days after the
effective date of this 2011 Act.
  (b) The petition must include the following:
  (A) A statement of the basis of the challenge; and
  (B) A statement and supporting affidavit showing how the
petitioner is or will be adversely affected.
  (3) The petitioner shall serve a copy of the petition by
registered or certified mail upon the Public Employees Retirement
Board, the Attorney General and the Governor.
  (4) Proceedings for review under this section shall be given
priority over all other matters before the Supreme Court.
  (5) The Supreme Court shall allow public employers
participating in the Public Employees Retirement System to
intervene in any proceeding under this section.
  (6) In the event the Supreme Court determines that there are
factual issues in the petition, the Supreme Court may appoint a
special master to hear evidence and to prepare recommended
findings of fact. + }
  SECTION 17.  { + This 2011 Act being necessary for the
immediate preservation of the public peace, health and safety, an
emergency is declared to exist, and this 2011 Act takes effect
July 1, 2011. + }
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