Current through Register Vol. 63, No. 9, September 1, 2024
(1) For
purposes of this rule:
(a) "Core Investment
Option" means an investment alternative made available under ORS
243.421, but does not include
the Self-Directed Brokerage Option.
(b) "Self-Directed Brokerage Option" means an
investment alternative made available under ORS
243.421 that permits a
participant to establish a brokerage account and participate in investment
products other than core investment options.
(c) "Trade" has the same meaning as in OAR
459-050-0037.
(2) A
participant may initiate participation in the Self-Directed Brokerage Option
only by a trade from core investment options.
(a) The participant's combined Deferred
Compensation and Designated Roth Accounts balance must be at least $5,000 on
the date of the trade.
(b) The
amount of the trade may not exceed 90 percent of the participant's combined
Deferred Compensation and Designated Roth Accounts balance on the date of the
trade.
(3) A participant
in the Self-Directed Brokerage Option may not:
(a) Contribute to the Self-Directed Brokerage
Option by any means other than a trade from a core investment option.
(b) Make a trade from a core investment
option to the Self-Directed Brokerage Option if:
(A) The participant's balance in the
Self-Directed Brokerage Option exceeds the balance in the participant's core
investment options on the date of the trade; or
(B) The trade would cause the participant's
balance in the Self-Directed Brokerage Option to exceed the participant's
balance in the core investment options on the date of the trade.
(4) The Self-Directed
Brokerage Option may not be included in any automatic account rebalancing
function offered by the Program.
(5) Notwithstanding OAR 459-050-0080, funds
in the Self-Directed Brokerage Option are not available for distribution.
(a) Funds in the Self-Directed Brokerage
Option must be traded to a core investment option to be available for
distribution under OAR 459-050-0080.
(b) A participant, beneficiary, or alternate
payee subject to Required Minimum Distributions, as described in OAR
459-050-0300, must maintain a balance in the core investment options that will
accommodate the timely distribution of the required amount.
(c) A participant, beneficiary, or alternate
payee who fails to comply with subsection (b) of this section is solely
responsible for any tax, penalty, or cost imposed by reason of a delayed or
partial required minimum distribution.
(6) The Deferred Compensation Manager, if
necessary to comply with restrictions imposed by a participating mutual fund, a
contracted broker, or the Securities and Exchange Commission, may establish
additional temporary restrictions for the Self-Directed Brokerage
Option.
(7) Any action taken by the
Deferred Compensation Manager under section (6) of this rule must be presented
to the Board at its next scheduled meeting. The Board may take action as
authorized by ORS 243.401 to
243.507. If the Board does not
act, the action(s) taken by the Deferred Compensation Manager shall expire on
the first business day following the date of the meeting.
(8) The restrictions provided in this rule
are not exclusive. The Board may establish additional restrictions or sanctions
as authorized by ORS 243.401 to
243.507.
Statutory/Other Authority: ORS
243.470
Statutes/Other Implemented: ORS
243.401 -
243.507
