Employers fund worker benefits and agencies pay public works fees

The Department of Consumer and Business Services sets employer and worker assessment rates to fund the Workers’ Benefit Fund and the BOLI Expenses Fund. Employers pay an assessment equal to the amount retained from covered workers’ earnings for each hour or part of an hour worked. The department considers each fund’s cash balance, expected income, and expected expenses when setting rates. The funds have separate rate goals. BOLI Expenses Fund money may reimburse administrative expenses or pay Bureau of Labor and Industries expenses under an agreement between agency leaders. New positions funded by these assessments on or after July 1, 2031, may not exceed a cumulative annual cost of $5.25 million, measured as of that date. The assessment amendments operate starting January 1, 2027. On or before June 30, 2029, the BOLI Expenses Fund is intended to hold at least $4.25 million; the target rises for 2030, then becomes at least $9.5 million or 12 months of projected expenses, whichever is greater, starting June 30, 2031.

The Bureau of Labor and Industries commissioner sets a fee for public agencies that award covered public works contracts. The fee applies to public agencies awarding contracts covered by Oregon’s public works rules. The fee is 0.1 percent of the contract price, but cannot be less than $250 or more than $12,500. The fee pays for wage surveys, enforcement, and education about public contracting. The Bureau must report whether the maximum fee raises enough money for its staffing needs. The agency pays when it reports the contract award to the commissioner. The Bureau’s staffing report is due by September 15 of each even-numbered year.