Section 27704 - Termination of Direct Reporting Relationship(a) The system may initiate termination of a direct reporting relationship at any time if any of the criteria or requirements for approval or responsibilities as a direct report are not met.(b) The system may terminate the direct reporting relationship if the district does not respond through compliance to an audit finding by the system by the due date specified on the audit determination letter, or through appeal within 90 days.(c) The district may voluntarily terminate the direct reporting relationship only when the system, the district's governing body, and the county governing authority have mutually agreed to terminate the relationship, documented by a resolution specifying the effective date of the termination and approved by the district governing body, the county governing authority, and the Chief Executive Officer of the system or their designee. The resolution shall certify each of the following: (1) "WHEREAS, [District] desires to terminate the relationship as a direct report that reports Defined Benefit contribution data and remits contributions directly to CalSTRS; and"(2) "WHEREAS, the system Chief Executive Officer or their designee authorizes the District to terminate the relationship to report directly to the system; and"(3) "WHEREAS, [County] does hereby affirm that [County] is responsible for submitting and remitting any and all reports, adjustments, contributions, penalties and interest beginning on the effective date of the termination and covering all time periods, including the period that [District] was a direct report to the system."(4) "THEREFORE, BE IT RESOLVED that the California State Teachers' Retirement System and [County] authorize [District] to discontinue as a direct report to the system."Cal. Code Regs. Tit. 5, § 27704
Note: Authority cited: Sections 22207, 22213, 23004 and 22305, Education Code. Reference: Section 23004, Education Code.
Note: Authority cited: Sections 22207, 22213, 23004 and 22305, Education Code. Reference: Section 23004, Education Code.
1. New section filed 1-12-2016; operative 4/1/2016 (Register 2016, No. 3).
2. Change without regulatory effect amending subsections (c) and (c)(2) filed 6-20-2024 pursuant to section 100, title 1, California Code of Regulations (Register 2024, No. 25).