MI HB6357

Amends the Public School Employees Retirement System (PSERS) funding law to set the pension and retiree health care payroll growth assumption rate at 1.75% for fiscal year ending September 30, 2023 for members who first became members before February 1, 2018 and reporting units that are not universities.

Beginning fiscal year 2024, reduces the payroll growth assumption rate by 50 basis points annually until it reaches zero, with flexibility to reduce by only 25 basis points in any year where the unfunded actuarial accrued liability impact is 7% or more of the prior year's contribution amount.

Allows the Office of Retirement Services and retirement board to agree to reduce the payroll growth rate by additional basis points beyond the scheduled reductions.

Effective immediately upon enactment on October 14, 2022.