Via Uppermichigansource.com,
By Aaron Boehm, uppermichigansource.com,
September 30, 2015,
As the result of a recalculation of liability on a state retirement program, Michigan Technological University and six other state universities, received several million dollars in refunds on Tuesday.
Michigan Tech President Glenn Mroz says the recalculation showed that the universities were billed more than needed to cover liabilities to the Michigan Public Schools Employees Retirement System for nearly two decades.
” We stopped participating in MSPSERS in 1996, but have to continue to make payments to fund the pensions of participating members and will do so until the year 2036″
Mroz says during the calculation of an updated statement following new Government Accounting Standards Board rules, the Michigan Office of Retirement Services found that the seven universities have been overcharged for pension fund payments to MPSERS.
“Since 1997, some payments made each year by the universities were not included in the actuarial calculations and that resulted in an overestimation of what was owed to the pension fund on a yearly basis” Mroz says.