AD96-03 Rate Changes for 1996-97 (Supersedes AD95-3)
TO:
All County Superintendents of Schools
District Superintendents of Schools
Community College Districts
Other Employing Agencies.
FROM:
EXECUTIVE OFFICE
SUBJECT:
Administrative Directive 96-03
RATE CHANGES FOR 1996-97
(Supersedes Administrative Directive 95-03)
PURPOSE
The purpose of this Administrative Directive is to inform employers of the new rates adopted by the Teachers’ Retirement Board for the fiscal year beginning July 1, 1996 and ending June 30, 1997.
SCOPE
All employers and members who are subject to the State Teachers’ Retirement System (STRS) laws, rules, and regulations, are subject to these new rates.
DISCUSSION
The following rates are set in statute and do not vary by fiscal year:
| Category | Rate | Education Code Section |
|---|---|---|
| Member Contribution Rate | 8.00% | 22901 |
| Employer Contribution Rate | 8.00% | 22950 22951 |
The following Employer rates are adopted each fiscal year by the Teachers’ Retirement Board. The NEW rates for FY 1996/97 are as follows:
| Category | Prior Rate FY95/96 | New Rate FY96/97 | Education Code Section | Admin. Code Section |
|---|---|---|---|---|
| Employer Contribution Rate: Reduced Workload Program. | 12.43% | 12.50% | 22713 | N/A |
| Employer Contribution Rate: Elected Union Officer. | 12.43% | 12.50% | 22711 | N/A |
| Present Value Factor for Excess Sick Leave Credit. | 0.230% | 0.241% | 22718 | 23000 to 23005 |
| Regular Interest Rate. | 6.75% | 7.50% | 22162 | N/A |
| Interest Rate for Late Remittance. |
6.75% | 7.50% | 23003 | N/A |
| Penalty Rate for Late or Unacceptable Report. | Greater of 6.75% or $500 |
Greater of 7.50% or $500 |
23006 | N/A |
If you have further questions, please contact the STRS Membership Division.
Signed,
JAMES D. MOSMAN
Chief Executive Officer