Public Act 300 of 1980 establishes that ORS is responsible for the administration of the Michigan Public School Employees' Retirement plan and provides the statutory authority for targeted audits and reviews of any reporting unit to ensure proper reporting to ORS.
As part of ORS' ongoing commitment to providing its members with the most fiscally sound and accurate retirement system possible, we may select your reporting unit for an audit as part of the routine audit cycle. We review documentation supporting the member information reported to the system relative to the applicable audit period.
A targeted audit focuses on reporting unit records related to wage, service, and contribution reporting. The list below shows audits and reviews ORS performs routinely. Other audits and reviews may be conducted as needed to ensure that the retirement system is fulfilling its responsibilities.
Complete review of a member's employment contracts and wage detail, to identify reportable compensation and additional fringe benefits, as appropriate for reporting towards their retirement account.
Annual review of wage increases for members in positions with less than three members, for compliance with the allowable salary increase limits. See Compensation in excess of the normal salary schedule in 4.03: Nonreportable compensation and 4.05: Understanding allowable salary increases and salary schedules for more information.
Review of requested documentation to identify reportable compensation.
Review to ensure all Michigan charter schools/public school academies (PSAs) registered with the Michigan Department of Education are reporting appropriately to ORS. Charters/PSAs go in and out of reporting status based on employment of members.
Review of all employees to ensure they are being reported correctly. This audit includes independent contractors and those hired through a third party.
Review of all students under the age of 19 to ensure they are being reported correctly.
Audit to ensure reporting units are submitting complete wage, service, contribution, and census data on defined members of the retirement system.
Audit to ensure reporting units are reporting PSL time appropriately in compliance with PA 300 of 1980.
Annual review of access to the Employer Reporting website as well as appropriate contacts updated with ORS. ORS verifies that each reporting unit is reporting a superintendent or assistant superintendent and ensure that they are being reported correctly.
Review of settlement agreements to identify reportable compensation.
Full review of reported wages and hours under the 8000 Class code for Workers' Compensation. Reporting units are required to report WWC.
Last updated: 12/12/2024
