Payments to participating districts and district libraries; definitions.

Sec. 147a. From the state school aid fund money appropriated under section 11, there is allocated an amount not to exceed $379,900,000.00 for 2025-2026 and an amount not to exceed $351,100,000.00 for 2026-2027 for payments to participating districts and intermediate districts and from the general fund money appropriated under section 11, there is allocated an amount not to exceed $100,000.00 for 2025-2026 and 2026-2027 for payments to participating district libraries. The amount allocated to each participating entity under this subsection is based on each participating entity's reported quarterly payroll for members that became tier 1 before February 1, 2018 for the current fiscal year. A participating entity that receives money under this subsection shall use that money solely for the purpose of offsetting a portion of the normal cost contribution rate. As used in this section: (a) "District library" means a district library established under the district library establishment act, 1989 PA 24, MCL 397.171 to 397.196. (b) "Participating entity" means a district, intermediate district, or district library that is a reporting unit of the Michigan public school employees' retirement system under the public school employees retirement act of 1979, 1980 PA 300, MCL 38.1301 to 38.1437, and that reports employees to the Michigan public school employees' retirement system for the applicable fiscal year.