ORS 657.462: Computation of benefit ratio; grouping employers within cumulative taxable payroll percentage limits; assignment of rates; tax schedules; disposition of portion of taxes to certain administrative funds.

(1)(a) The Director of the Employment Department or the director’s authorized representative shall, for each calendar year, compute a benefit ratio for each employer who meets the requirements of this section. (b)(A) For an employer whose record has been chargeable with benefits throughout the 12 preceding calendar quarters ending on the computation date, the benefit ratio shall be a quotient obtained by dividing the total benefit charges to the employer’s record in the 12 calendar quarters by the total of the employer’s taxable payrolls for the same 12 calendar quarters. (B) For an employer whose record has been chargeable with benefits for at least four or more consecutive calendar quarters but less than 12 consecutive calendar quarters and ending on the computation date, the benefit ratio shall be the quotient obtained by dividing the total benefits charged to the employer’s record for the consecutive calendar quarters by the total of the employer’s taxable payrolls for the same period. (C) Benefit ratios shall be carried out to the sixth decimal place. (2)(a) A list shall be prepared of all employers meeting the requirements of this section whose accounts are open according to Employment Department records as of August 31 following the computation date. (b) Employers shall be listed in ascending order from the employer having the lowest benefit ratio to the employer having the highest benefit ratio. (c) The list shall show for each employer: (A) The benefit ratio; (B) The employer’s taxable payroll for the four calendar quarters immediately preceding the computation date; and (C) A cumulative total consisting of the sum of the employer’s taxable payroll and the taxable payroll of all other preceding employers on the list. (3)(a) The department shall group all employers in accordance with the cumulative taxable payroll percentage limits for the schedule in effect under Table A. (b)(A) All employers who fall within the same group shall be assigned the tax rate for that group. (B) Notwithstanding subparagraph (A) of this paragraph, if the grouping results in the taxable payroll of an employer falling in two groups, the employer and any other employer with the same benefit ratio shall be assigned the lower of the two applicable rates. (c) Fractions of a cent shall be dropped in computing taxable payroll limits used in Table A. (d) The schedule in effect shall be in accordance with the Fund Adequacy Percentage Ratios set forth in Table A. ______________________________________________________________________________ TABLE A (Taxable Payroll referred to is the total for all the eligible firms for the four calendar quarters preceding and ending on the computation date) ______________________________________________________________________________ Fund Adequacy Percentage Ratio I 190% and Over Tax Rate Cumulative Taxable Payroll Limits (Percentage of Total Taxable Payroll) 0.5% 0.00% but less than 10.00% 0.6% 10.00% but less than 15.00% 0.7% 15.00% but less than 20.00% 0.8% 20.00% but less than 25.00% 0.9% 25.00% but less than 30.00% 1.0% 30.00% but less than 35.00% 1.1% 35.00% but less than 40.00% 1.2% 40.00% but less than 45.00% 1.3% 45.00% but less than 50.00% 1.4% 50.00% but less than 55.00% 1.5% 55.00% but less than 60.00% 1.6% 60.00% but less than 65.00% 1.7% 65.00% but less than 69.00% 1.8% 69.00% but less than 73.00% 1.9% 73.00% but less than 77.00% 2.0% 77.00% but less than 80.00% 2.1% 80.00% but less than 83.00% 2.2% 83.00% but less than 86.00% 2.3% 86.00% but less than 89.00% 2.4% 89.00% but less than 91.00% 2.5% 91.00% but less than 93.00% 2.6% 93.00% but less than 95.00% 2.7% 95.00% but less than 96.00% 2.8% 96.00% but less than 96.90% 2.9% 96.90% but less than 97.70% 3.0% 97.70% but less than 98.40% 3.1% 98.40% but less than 98.90% 3.2% 98.90% but less than 99.30% 3.4% 99.30% but less than 99.54% 3.6% 99.54% but less than 99.63% 3.8% 99.63% but less than 99.71% 4.0% 99.71% but less than 99.78% 4.2% 99.78% but less than 99.84% 4.4% 99.84% but less than 99.89% 4.6% 99.89% but less than 99.93% 4.8% 99.93% but less than 99.96% 5.0% 99.96% but less than 99.98% 5.2% 99.98% but less than 99.99% 5.4% 99.99% to 100.00% ______________________________________________________________________________ ______________________________________________________________________________ Fund Adequacy Percentage Ratio II 170.00% but less than 190% Tax Rate Cumulative Taxable Payroll Limits (Percentage of Total Taxable Payroll) 0.7% 0.00% but less than 10.00% 0.8% 10.00% but less than 15.00% 0.9% 15.00% but less than 20.00% 1.0% 20.00% but less than 25.00% 1.1% 25.00% but less than 30.00% 1.2% 30.00% but less than 35.00% 1.3% 35.00% but less than 40.00% 1.4% 40.00% but less than 44.00% 1.5% 44.00% but less than 48.00% 1.6% 48.00% but less than 52.00% 1.7% 52.00% but less than 56.00% 1.8% 56.00% but less than 60.00% 1.9% 60.00% but less than 64.00% 2.0% 64.00% but less than 68.00% 2.1% 68.00% but less than 72.00% 2.2% 72.00% but less than 76.00% 2.3% 76.00% but less than 79.00% 2.4% 79.00% but less than 82.00% 2.5% 82.00% but less than 85.00% 2.6% 85.00% but less than 88.00% 2.7% 88.00% but less than 90.00% 2.8% 90.00% but less than 92.00% 2.9% 92.00% but less than 93.50% 3.0% 93.50% but less than 94.90% 3.1% 94.90% but less than 96.20% 3.2% 96.20% but less than 97.40% 3.4% 97.40% but less than 98.54% 3.6% 98.54% but less than 99.54% 3.8% 99.54% but less than 99.63% 4.0% 99.63% but less than 99.71% 4.2% 99.71% but less than 99.78% 4.4% 99.78% but less than 99.84% 4.6% 99.84% but less than 99.89% 4.8% 99.89% but less than 99.93% 5.0% 99.93% but less than 99.96% 5.2% 99.96% but less than 99.98% 5.4% 99.98% to 100.00% ______________________________________________________________________________ ______________________________________________________________________________ Fund Adequacy Percentage Ratio III 145.00% but less than 170% Tax Rate Cumulative Taxable Payroll Limits (Percentage of Total Taxable Payroll) 0.9% 0.00% but less than 10.00% 1.0% 10.00% but less than 15.00% 1.1% 15.00% but less than 20.00% 1.2% 20.00% but less than 24.00% 1.3% 24.00% but less than 28.00% 1.4% 28.00% but less than 32.00% 1.5% 32.00% but less than 36.00% 1.6% 36.00% but less than 40.00% 1.7% 40.00% but less than 44.00% 1.8% 44.00% but less than 48.00% 1.9% 48.00% but less than 52.00% 2.0% 52.00% but less than 56.00% 2.1% 56.00% but less than 60.00% 2.2% 60.00% but less than 64.00% 2.3% 64.00% but less than 68.00% 2.4% 68.00% but less than 72.00% 2.5% 72.00% but less than 76.00% 2.6% 76.00% but less than 80.00% 2.7% 80.00% but less than 84.00% 2.8% 84.00% but less than 87.00% 2.9% 87.00% but less than 90.00% 3.0% 90.00% but less than 93.00% 3.1% 93.00% but less than 95.00% 3.2% 95.00% but less than 97.00% 3.4% 97.00% but less than 98.20% 3.6% 98.20% but less than 99.00% 3.8% 99.00% but less than 99.43% 4.0% 99.43% but less than 99.63% 4.2% 99.63% but less than 99.72% 4.4% 99.72% but less than 99.79% 4.6% 99.79% but less than 99.85% 4.8% 99.85% but less than 99.90% 5.0% 99.90% but less than 99.94% 5.2% 99.94% but less than 99.97% 5.4% 99.97% to 100.00% ______________________________________________________________________________ ______________________________________________________________________________ Fund Adequacy Percentage Ratio IV 125.00% but less than 145% Tax Rate Cumulative Taxable Payroll Limits (Percentage of Total Taxable Payroll) 1.2% 0.00% but less than 10.00% 1.3% 10.00% but less than 15.00% 1.4% 15.00% but less than 20.00% 1.5% 20.00% but less than 24.00% 1.6% 24.00% but less than 28.00% 1.7% 28.00% but less than 32.00% 1.8% 32.00% but less than 36.00% 1.9% 36.00% but less than 40.00% 2.0% 40.00% but less than 44.00% 2.1% 44.00% but less than 48.00% 2.2% 48.00% but less than 52.00% 2.3% 52.00% but less than 56.00% 2.4% 56.00% but less than 60.00% 2.5% 60.00% but less than 64.00% 2.6% 64.00% but less than 68.00% 2.7% 68.00% but less than 72.00% 2.8% 72.00% but less than 76.00% 2.9% 76.00% but less than 80.00% 3.0% 80.00% but less than 84.00% 3.1% 84.00% but less than 88.00% 3.2% 88.00% but less than 92.00% 3.3% 92.00% but less than 95.00% 3.4% 95.00% but less than 97.00% 3.6% 97.00% but less than 98.20% 3.8% 98.20% but less than 99.00% 4.0% 99.00% but less than 99.40% 4.2% 99.40% but less than 99.60% 4.4% 99.60% but less than 99.70% 4.6% 99.70% but less than 99.78% 4.8% 99.78% but less than 99.85% 5.0% 99.85% but less than 99.91% 5.2% 99.91% but less than 99.96% 5.4% 99.96% to 100.00% ______________________________________________________________________________ ______________________________________________________________________________ Fund Adequacy Percentage Ratio V 110.00% but less than 125% Tax Rate Cumulative Taxable Payroll Limits (Percentage of Total Taxable Payroll) 1.5% 0.00% but less than 10.00% 1.6% 10.00% but less than 15.00% 1.7% 15.00% but less than 20.00% 1.8% 20.00% but less than 24.00% 1.9% 24.00% but less than 28.00% 2.0% 28.00% but less than 32.00% 2.1% 32.00% but less than 36.00% 2.2% 36.00% but less than 40.00% 2.3% 40.00% but less than 44.00% 2.4% 44.00% but less than 48.00% 2.5% 48.00% but less than 52.00% 2.6% 52.00% but less than 56.00% 2.7% 56.00% but less than 60.00% 2.8% 60.00% but less than 64.00% 2.9% 64.00% but less than 68.00% 3.0% 68.00% but less than 72.00% 3.1% 72.00% but less than 76.00% 3.2% 76.00% but less than 80.00% 3.3% 80.00% but less than 84.00% 3.4% 84.00% but less than 88.00% 3.5% 88.00% but less than 92.00% 3.6% 92.00% but less than 95.00% 3.7% 95.00% but less than 97.00% 3.8% 97.00% but less than 98.20% 3.9% 98.20% but less than 99.00% 4.0% 99.00% but less than 99.40% 4.2% 99.40% but less than 99.60% 4.4% 99.60% but less than 99.70% 4.6% 99.70% but less than 99.78% 4.8% 99.78% but less than 99.85% 5.0% 99.85% but less than 99.91% 5.2% 99.91% but less than 99.96% 5.4% 99.96% to 100.00% ______________________________________________________________________________ ______________________________________________________________________________ Fund Adequacy Percentage Ratio VI 100.00% but less than 110% Tax Rate Cumulative Taxable Payroll Limits (Percentage of Total Taxable Payroll) 1.8% 0.00% but less than 10.00% 1.9% 10.00% but less than 15.00% 2.0% 15.00% but less than 20.00% 2.1% 20.00% but less than 25.00% 2.2% 25.00% but less than 30.00% 2.3% 30.00% but less than 35.00% 2.4% 35.00% but less than 40.00% 2.5% 40.00% but less than 44.00% 2.6% 44.00% but less than 48.00% 2.7% 48.00% but less than 52.00% 2.8% 52.00% but less than 56.00% 2.9% 56.00% but less than 60.00% 3.0% 60.00% but less than 64.00% 3.1% 64.00% but less than 68.00% 3.2% 68.00% but less than 72.00% 3.3% 72.00% but less than 76.00% 3.4% 76.00% but less than 80.00% 3.5% 80.00% but less than 84.00% 3.6% 84.00% but less than 88.00% 3.7% 88.00% but less than 92.00% 3.8% 92.00% but less than 95.00% 3.9% 95.00% but less than 97.00% 4.0% 97.00% but less than 98.20% 4.2% 98.20% but less than 99.00% 4.4% 99.00% but less than 99.50% 4.6% 99.50% but less than 99.70% 4.8% 99.70% but less than 99.79% 5.0% 99.79% but less than 99.87% 5.2% 99.87% but less than 99.94% 5.4% 99.94% to 100.00% ______________________________________________________________________________ ______________________________________________________________________________ Fund Adequacy Percentage Ratio VII 90.00% but less than 100% Tax Rate Cumulative Taxable Payroll Limits (Percentage of Total Taxable Payroll) 2.0% 0.00% but less than 10.00% 2.1% 10.00% but less than 15.00% 2.2% 15.00% but less than 20.00% 2.3% 20.00% but less than 25.00% 2.4% 25.00% but less than 30.00% 2.5% 30.00% but less than 35.00% 2.6% 35.00% but less than 40.00% 2.7% 40.00% but less than 45.00% 2.8% 45.00% but less than 50.00% 2.9% 50.00% but less than 55.00% 3.0% 55.00% but less than 60.00% 3.1% 60.00% but less than 64.00% 3.2% 64.00% but less than 68.00% 3.3% 68.00% but less than 72.00% 3.4% 72.00% but less than 76.00% 3.5% 76.00% but less than 80.00% 3.6% 80.00% but less than 84.00% 3.7% 84.00% but less than 88.00% 3.8% 88.00% but less than 92.00% 3.9% 92.00% but less than 95.00% 4.0% 95.00% but less than 97.00% 4.2% 97.00% but less than 98.20% 4.4% 98.20% but less than 99.00% 4.6% 99.00% but less than 99.50% 4.8% 99.50% but less than 99.70% 5.0% 99.70% but less than 99.84% 5.2% 99.84% but less than 99.93% 5.4% 99.93% to 100.00% ______________________________________________________________________________ ______________________________________________________________________________ Fund Adequacy Percentage Ratio VIII Under 90% Tax Rate Cumulative Taxable Payroll Limits (Percentage of Total Taxable Payroll) 2.2% 0.00% but less than 10.00% 2.3% 10.00% but less than 15.00% 2.4% 15.00% but less than 20.00% 2.5% 20.00% but less than 25.00% 2.6% 25.00% but less than 30.00% 2.7% 30.00% but less than 35.00% 2.8% 35.00% but less than 40.00% 2.9% 40.00% but less than 45.00% 3.0% 45.00% but less than 50.00% 3.1% 50.00% but less than 55.00% 3.2% 55.00% but less than 60.00% 3.3% 60.00% but less than 65.00% 3.4% 65.00% but less than 70.00% 3.5% 70.00% but less than 75.00% 3.6% 75.00% but less than 80.00% 3.7% 80.00% but less than 84.00% 3.8% 84.00% but less than 88.00% 3.9% 88.00% but less than 92.00% 4.0% 92.00% but less than 95.00% 4.2% 95.00% but less than 97.00% 4.4% 97.00% but less than 98.20% 4.6% 98.20% but less than 99.00% 4.8% 99.00% but less than 99.50% 5.0% 99.50% but less than 99.80% 5.2% 99.80% but less than 99.92% 5.4% 99.92% to 100.00% ______________________________________________________________________________ (4) Except as provided in subsection (6)(c) of this section: (a) For each calendar quarter, of each rate determined under Table A, one hundred and thirty-five one-thousandths of a percentage point of the rate shall be used to determine an amount of the wages subject to tax under this chapter for that calendar quarter to be disposed of in accordance with this subsection. (b) After withholding the actual shared costs of the department in collecting the amount of wages determined under paragraph (a) of this subsection, the director or the director’s authorized representative shall pay the amount of wages into the Supplemental Employment Department Administration Fund established under ORS 657.783. (5) Except as provided in subsection (6)(c) of this section: (a) For the first calendar quarter of each odd-numbered year, in addition to the rate determined under subsection (4) of this section, of each rate determined under Table A, three one-hundredths of a percentage point of the rate shall be used to determine an amount of the wages subject to tax under this chapter for that calendar quarter to be disposed of in accordance with this subsection. (b) After withholding the actual shared costs of the department in collecting the amount of wages determined under paragraph (a) of this subsection, the director or the director’s authorized representative shall pay the amount of wages into the Wage Security Fund established under ORS 652.409. (c) Except as provided in subsection (4) of this section, moneys due pursuant to this section but not received by the department for payment to the Wage Security Fund by June 30 of each odd-numbered year shall be paid into the Unemployment Compensation Trust Fund created under ORS 657.805. (6)(a) All amounts of wages determined for disposition under subsections (4) and (5) of this section shall be paid and collected in the same manner and at the same time as unemployment compensation taxes under this chapter, unless the director prescribes otherwise. (b) In no case shall the rates imposed on wages under subsections (4) and (5) of this section cause the total rate imposed on the wages under this section to exceed the rate determined under Table A for any employer. (c) Subsections (4) and (5) of this section do not apply to the wages of employers whose assigned tax rate is 5.4 percent. [1963 c.302 §2; 1967 c.434 §3; 1973 c.810 §2; 1975 c.354 §3; 1981 c.751 §4; 1983 c.818 §1; 1995 c.173 §1; 2001 c.885 §2; 2005 c.183 §8; 2021 c.638 §7; 2024 c.76 §1; 2025 c.462 §1] Sec. 1. Section 2 of this 2025 Act is added to and made a part of ORS chapter 657. [2025 c.563 §1] Sec. 2. (1)(a) Any employer whose tax rate for calendar year 2025 is at least two and one-half percentage points less than the employer’s tax rate for calendar year 2024 shall receive a nonrefundable credit against the taxes due from the employer in accordance with this section. (b) This section applies only to an employer that had a tax rate determined in accordance with ORS 657.430 for calendar year 2020 and did not have a tax rate determined in accordance with ORS 657.480 for any calendar year that began on or after January 1, 2021. (2)(a) The tax credit allowed under this section shall equal the lesser of: (A) The amount of the taxes due from the employer for calendar year 2025; or (B) $5,000. (b) Notwithstanding paragraph (a) of this subsection, no tax credit shall be allowed if the amount of the tax credit would be less than $100. (3) An employer is not eligible for the credit against taxes under this section unless the employer: (a) Files all wage reports due under ORS 657.571 for calendar years 2024 and 2025 in a timely manner; (b) Pays all tax liabilities imposed under this chapter for calendar years 2024 and 2025 in a timely manner; and (c) As of January 1, 2025: (A) Has paid all outstanding unemployment insurance taxes and related liabilities; or (B) Has paid all outstanding amounts due according to the terms of a payment plan accepted by the Director of the Employment Department for repayment of all outstanding amounts described in subparagraph (A) of this paragraph. [2025 c.563 §2] Sec. 3. Section 2 of this 2025 Act is repealed on January 2, 2027. [2025 c.563 §3]