1. (a) The executive director shall establish dates on which payroll reports are due and the method to be used in reporting such deposits to the Teacher Retirement System of Texas. School officials shall be notified of such regulations.
2. (b) Each employer must report each month on forms furnished by the Teacher Retirement System those employees eligible to participate in the Teacher Retirement System or Optional Retirement Program who receive part or all of their salary from federal funds and/or private grants. Reporting districts must transmit to the retirement system 8.5% of the monies paid as salary for those employees covered by the Optional Retirement Program and 8.0% of the monies paid as salary for those employees covered by the Teacher Retirement System in addition to the amount transmitted for member contributions. If the maximum percentage legally provided for retirement purposes from the funds is less than 8.5%, or 8.0% as the case may be, the employer shall transmit the amount provided and indicate by letter the name of the grant and the rate. Information furnished shall include the employee's tax number, name, salary paid from funds, contributions amount, fund source, and any other information designated by the TRS staff. In addition all colleges and universities shall indicate whether the person is a member of TRS or ORP. When reporting, all independent school districts will use the Texas Education Agency school district federal grants code sheet or similar code provided by TRS. If employer retirement costs are not legally available for transmission to the retirement system from federal funds or private grants paid to an employee, the name of the employee and such other information which the retirement system requires should be reported only for the first month of employment each fiscal year. A letter should accompany such report explaining why retirement costs are not available.

3. (c) Members who have a qualified contract or an oral or written work agreement shall be reported by each school district on a form provided by TRS.

   1. (1) A qualified contract is an employment agreement which meets the following criteria.

      1. (A) Service under the agreement must begin on or after July 1, but not later than August 31, of the same calendar year.
      2. (B) Service contemplated by the agreement must be for a definite period extending past August 31 of the same calendar year in which service under the agreement began, as evidenced by an enforceable legal obligation on the part of the public school to employ and to compensate the employee for such period.
      3. (C) Not included are employees who can be terminated by the school district without the school being obligated to pay a fixed amount stated in a contract.
   2. (2) Reports on contracts and oral or written work agreements with a beginning date in July should be submitted to TRS in the July report. Reports on contracts and oral or written work agreements with a beginning date in August should be filed with the August or September report.
4. (d) Any employer may ask the retirement system for a written statement on whether a particular form of compensation is salary and wages subject to member deposits under the law and rules governing the system. A request for such a statement should be submitted in writing to the retirement system together with any contracts, board minutes, briefs, memoranda, or other material relevant to the request.

Source Note:The provisions of this §25.28 amended to be effective September 26, 1979, 4 TexReg 3303; amended to be effective January 8, 1980, 4 TexReg 4717; amended to be effective September 4, 1981, 6 TexReg 3098; amended to be effective January 7, 1986, 10 TexReg 4950; amended to be effective September 17, 1997, 22 TexReg 9255.