Current through all regulations passed and filed through September 16, 2024
(A) For purposes of
rule
145-1-41
of the Administrative Code, the board shall consider the following factors in
its determination:
(1) "Contract
employee" means an individual who:
(a)
May be a
party to a bilateral agreement which may be a written document, ordinance, or
resolution that defines the compensation, rights, obligations, benefits and
responsibilities of the individual as an employee;
(b) Is paid earnable salary at a specific
periodic rate for services personally performed for the public employer and who
appears on the employer's payroll;
(c) Is eligible for workers' compensation or
unemployment compensation;
(d) May
be eligible for employee fringe benefits such as vacation or sick
leave;
(e) Is controlled or
supervised by personnel of the public employer as to the manner of work;
(f) Should receive an Internal Revenue
Service form W-2 for income tax reporting purposes.
(2) "Independent contractor" means an
individual who:
(a)
May be a party to a
bilateral agreement which may be a written document, ordinance, or resolution
that defines the compensation, rights, obligations, benefits and
responsibilities of both parties;
(b) Is paid a fee, retainer or other payment
by contractual arrangement for particular services;
(c) Is not eligible for workers' compensation
or unemployment compensation;
(d)
May not be eligible for employee fringe benefits such as vacation or sick
leave;
(e) Does not appear on a
public employer's payroll;
(f) Is
required to provide his own supplies and equipment, and provide and pay his
assistants or replacements if necessary;
(g) Is not controlled or supervised by
personnel of the public employer as to the manner of work;
(h) Should receive an internal revenue
service form 1099 for income tax reporting purposes.
(3) "Personal service contract" means the
same as a contract for an independent contractor.
(B)
(1)
(a) A contract employee is a public employee
and shall become a contributor to the public employees retirement
system.
(b) Contributions are due
on the employee's earnable salary, as defined in division (R) of section
145.01 of the Revised Code and
rule
145-1-26
of the Administrative Code, which is paid by the public employer to the
employee for services actually performed by the employee.
(2) An independent contractor is not a public
employee and shall not become a contributor to the retirement system.
(C) Notwithstanding rule
145-1-26
or
145-1-53
of the Administrative Code, if a contract employee performs services for which
the employee also receives a payment, fee or commission over and above services
for which the employee receives earnable salary, and for which the individual
is an independent contractor, the payments for those services over and above
their salary services are not earnable salary. The employee is not a member for
such additional services, no contributions are due, and no service credit shall
be granted.
(D) An individual who
entered into a personal service contract with a public employer prior to August
20, 1976, shall be a member of the retirement system and contributions shall be
remitted for the remaining period of the contract if the duties and working
relationship are substantially similar to a classification position paid on the
payroll of the public employer.
