(1)(a) At least once every four years, the Secretary of State shall contract with a firm qualified to perform an independent actuarial review of the report on the Public Employees Retirement System prepared under ORS § 238.605. The firm shall review the report that was most recently used to calculate employer contribution rates under ORS § 238.225.

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(b) The firm conducting the review required by this section shall use all appropriate actuarial standards of practice.

(c) The Secretary of State shall determine the scope of the review required by this section. The review must include, but is not limited to, an examination of the reasonableness and consistency of the following aspects of the report described in paragraph (a) of this subsection:

(A) Actuarial methods used;

(B) Demographic and economic assumptions used;

(C) Census and asset data used;

(D) Valuation of the system, including projected future benefit payments, system liabilities, system normal cost and funded status;

(E) Employer contribution rates calculated;

(F) Rate collaring policy and calculation;

(G) Assumed rate of return and discount rate used;

(H) Comparison of legislative impact to actual impact; and

(I) Instructions provided by the Public Employees Retirement Board to the actuary.

(d) A review under this section must include a quantitative and qualitative analysis of any changes to actuarial methods and demographic and economic assumptions that were recommended by the actuary, adopted by the board, and used to prepare the report under ORS § 238.605.

(e) The Public Employees Retirement System, the State Treasurer, and the Oregon Investment Council shall cooperate with the firm conducting the review required by this section in all respects and shall permit the firm full access to all information the firm deems necessary to complete the review.

(f) An actuary that prepared a report under ORS § 238.605 may not conduct a review under this section for a period of six years after the actuary has provided any services for the board.

(g) The Public Employees Retirement Board shall pay the cost of the review performed under this section.

(2) A review performed under this section shall be available for public inspection, in accordance with the Secretary of State’s established rules and procedures governing public disclosure of public reports.

(3) The Secretary of State shall submit the review performed under this section to the Public Employees Retirement Board and the Joint Legislative Audit Committee no later than February 15 of the year after the review is initiated. [2018 c.98 § 11]

238.606 was enacted into law by the Legislative Assembly but was not added to or made a part of ORS Chapter 238 or any series therein by legislative action. See Preface to Oregon Revised Statutes for further explanation.