Public Employees Retirement System

House Bill 4159 (2018) would have provided limited member choice in Individual Account Program (IAP) investments starting January 1, 2019.

However, following a review mandated by HB 4159, Oregon State Treasury has determined that, if implemented as originally drafted, this legislation would violate their legal and fiduciary standards. PERS may not move forward with implementation of member choice without additional legislative action.

PERS will work with the Oregon State Treasury, employee groups, and other partners to develop a proposal to be considered during the 2019 legislative session. In the interim, members will remain invested in age-based IAP Target-Date Funds until the legal and fiduciary constraints are resolved and appropriate beneficiary protections are in place.

special insert​ about the IAP Target-Date Funds investment strategy change is included with 2018 Member Annual Statements, sent in May 2019.

For members who retire, withdraw, or receive IAP installment payments this year, PERS will credit monthly earnings for those members’ IAP Target-Date Fund investments. All other, non-retired members will continue to receive annual IAP earnings crediting.

Members can learn more about IAP Target-Date Funds and find investment information, including fund fact sheets, through the Oregon State Treasury at www.oreg​​.

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