Friday, March 17, 2006

A new trick: How to make the text larger

Want to make the text larger on your computer screen so you can read it more easily?

Here's a new trick I just learned (for those using Internet Explorer): hold down your Ctrl key and turn the wheel on your mouse. If you turn it one way, it makes the text larger. If you turn it the other way, it makes the text smaller.

I found it to work on this blog (with a couple seconds time delay); also Word documents and some e-mail. (But not all; maybe it depends on whether the sender also uses IE) I also noticed there's some carryover; if I magnify one e-mail, others will also open magnified, but I can make adjustments with the wheel. Note: if you accidentally hold down the Shift key instead, that's supposed to flip backwards or forward through web pages you've already visited. I haven't tried that yet. Have fun. KBB

Thursday, March 16, 2006

From RH Jones: Summit County RTA Legislative News, a report by Dr. K. Fluke

From RH Jones, March 16, 2006

The following is Dr. K. Fluke's published report in the March 6M, SCRTA News:

"STATE
The STRS report in February 2006 Newsletter indicates many respondents to the STRS survey of services was positive. A review of the Ohio Retirement Study Council (ORSC) annual report 2005, reflects many items were less than positive.

The STRS Ohio News indicates Medicare Part B (medical coverage) will be reimbursed for a 30 year retiree at $62.37 for 2006. In 2005, it was $52.83. Compare this with three other Ohio retirement systems that have been funded fully; and continue to fund at $88.50 monthly which is the current rate.

Ohio uniformed members of retirement systems i.e. OPERS (Ohio Public Employees Retirement System), the Police & Fire RS, and the Highway Patrol RS, receive an employer contribution from 19.5% to 25%. STRS and SERS, representing school employees, are capped at 14%. STRS and health advocates are now seeking legislation to increase the 14% to provide a steady stream of health care money.

STRS is second among the five Ohio retirement systems in the unfunded liability (55 years). Police & Fire RS is in infinity and are number one.

STRS has the lowest percentage of employee contribution allocated to health care. In 2006, the Public Employees RS was 4.5%, the STRS was 1%, the Service Employees RS was 2.3% with a surcharge of up to 1.5% of total active membership payroll, the Police & Fire RS was 7.75% and the Highway Patrol was 3.5%.

Service Employees RS and Highway Patrol RS have dental coverage for retirees, spouse and dependents. Premiums are increasing. The Highway Patrol RS continues to pay the full premium for retirees.

STRS is concerned that an unnamed legislator is recommending a new retirement plan option for K-12 retirees. Under past STRS executive director Herb Dyer, the coordinated and combined plans were introduced in addition to the traditional defined benefit!

FEDERAL

The HCR 20 was introduced 9/15/05. It reminds Congress to reject mandatory social security coverage for Ohio Public Employees. It currently has not passed."

The above was E-mailed by:
RHJones, CORE & SummitCRTA Legislative CMTE Member

Wednesday, March 15, 2006

Together at last: Dennis Leone and Gary Allen converse, three years later

From: Dennis Leone
Sent: Wednesday, March 15, 2006 8:48 PM
Subject: Meeting With OEA's Gary Allen

To Those Who Are Interested:
On March 15, I met with Gary Allen at OEA. Also attending were STRS Board member John Lazares, OEA Executive Director Dennis Reardon, OEA Vice President Patricia Frost-Brooks, and OEA Secretary-Treasurer Bill Leibensperger.
I feel the meeting went very well and it was good to have an open discussion on topics of mutual concern. It was agreed that all in the room would keep the door open for future communications. I felt we agreed to do what we can to help keep false information and rumors in check. I also felt we agreed to communicate with our respective constituents that it serves no constructive purpose for false or misleading information to be advanced or circulated. I believe there was basic agreement that while we cannot be held personally responsible for all that people say on their own, we all have a professional role to urge our constituents not to disseminate rumors or positions they "believe" others have. Such is unfair to all and will only cause unnecessary hard feelings and division.
While there was some discussion of matters from 2003, it did not dominate the conversation, and I feel what was said -- both ways -- was constructive and honest. I was impressed with Dennis Reardon's candor. He and I had not met before today and I think we both wish we could have had discussions in 2003. I believe all heard perspectives about prior issues that they, perhaps, had not heard before. No one in the room, certainly, desires to see a return to the issues that triggered the prior concerns with STRS.
Whereas I cannot speak for all that attended, I felt that we pledged to keep open the lines of communication in the future and work together in the spirit of what I have attempted to summarize above.
Dennis Leone

John Curry to Tim Myers: You are living through a revolution you did not help to create; buckle up for a bumpy ride!

March 15, 2006
Tim,
I haven't communicated with you since last summer when you appeared before the Allen County Retired Teachers Association as a guest speaker. When the question and answer part of the program arrived, at the end of your presentation, you dodged a question presented to you by me. The question: Why has Gary Allen not apologized to Dennis Leone for calling Dr. Leone's motives into question and saying that Dr. Leon's logic was hard to follow? Your answer, "I can't speak for Gary Allen." I think you remember that moment.
Since then, I come upon correspondence (today's) in which you relate to fellow Allen Co. RTA and CORE member, Paul Boyer, that "changes were underway long before he (Leone) stirred things up." Your email is below:
From: Tim Myers
To: Paul Boyer
Sent: Wednesday, March 15, 2006 9:39 AM

Subject: Re: article

“W” is President George “W” Bush.

And I obviously disagree about Mr. Leone. Changes were underway long before he stirred things up.
Well, Tim, you might want to read the attachments (3) that contain information about Dr. Leone and Paul Kostyu that appeared in the BGSU Retirees Association Newsletter -- Volume 11, No. 2 November 2005. What is there is a history of Dr. Leone's quest to expose and to reform the operations of the former entitlement hungry STRS Board which was dominated (5 out of 9) by OEA members. An STRS Board which cared more about entitlements, misspending, and mismanagement than caring for the welfare of the retirees of STRS. This lack of planning for the future healthcare of our retirees is now thrust upon current retirees in the form of ungodly monthly healthcare premiums -- healthcare premiums that pale by comparison to all of the other four Ohio public retirement systems.
The BG newsletter relates Dr. Leone winning the "First Amendment Award" which was bestowed upon him by the Central Ohio Chapter of the Society of Professional Journalists for his exposing the actions of the former STRS Board. It also mentions the "Ethics in Government Award" which was bestowed upon Dr. Leone by an Ohio body known as the "Government Finance Officers." This award was also in relation to Dr. Leone's exposure of the former STRS Board actions (or lack thereof). Neither of these groups owe a debt to any teacher or administrative educational organization, in short -- they could view this situation without bias.
I will add that in addition to above, Dr. Leone is referred to in the District Administrator's Magazine as "The Catcher of Thieves" in relation to his "whistleblowing" re: the Ohio STRS. If you wish, I can furnish you a copy of that article. Nowhere in the BG newsletter is there a mention of how the OEA was planning to clean up the corruption that occurred at STRS. It is easy to take the claim for someone else's work, especially after they did it, but documentation is needed...and not documentation after the fact (Dr. Leone's exposure of the STRS fiasco).
This "stirring things up" has started a revolution that you are now living through. "Buckle up," Tim, you and the OEA are in for a bumpy ride. Truth and documentation will prevail. Many of your OEA Executive Council cohorts are now beginning to see the light and are realizing what REALLY has happened at Ohio STRS and who really dropped the ball. They certainly didn't get this information from their parent organization.
Sincerely, John Curry
A Proud CORE member
An Allen County Retired Teachers Assn. member

BGSU articles showcase work of alumni Dennis Leone and Paul Kostyu in exposing shocking spending practices of former STRS Board


Bowling Green State University

Retirees Association Newsletter

November 2005

On board in Columbus

2 BGSU grads bring STRS change

Dr. Dennis Leone is sworn in as one of three new members of the STRS board. Giving the oath at the Sept. 15 meeting is his daughter Lindsay, who is in her first year of teaching in Ohio in the Wyoming School District near Cincinnati. Holding the Bible is Jake Frowine, of Portsmouth, a 95-year-old retiree who made his first STRS payment in 1928. Mr. Frowine carried Dr. Leone’s STRS election petition in four southeast Ohio counties.

They never met on campus – but the two BGSU graduates are tied together by their diligence in fact-finding and devotion to journalism and education. What resulted is the transformation of the State Teachers Retirement System and Ohio’s other four retirement systems.

Dr. Paul E. Kostyu, Copley Newspapers Columbus Bureau chief, a legal specialist in the area of access to records and meetings, and Dr. Dennis Leone, who retired two years ago as superintendent of Chillicothe Schools, were not on the Bowling Green campus at the same time. Dr. Leone graduated from BGSU in 1972 with a bachelor’s degree in journalism and education. Dr. Kostyu worked on his MA in Popular Culture while a reporter at The Advertiser-Tribune in Tiffin, finishing his thesis while working at The Greensboro (N.C.) News & Record. He received the degree in 1981.

Hired by BGSU in 1985 to be editor of The Monitor, Dr. Kostyu received his PhD in Mass Communication in 1990. His bachelor’s degree is from Heidelberg College.

Dr. Leone, in December 2002, as he moved toward retirement with 23 years in school administration in Ohio, began researching STRS spending after hearing rumors of extravagance.

Tired of stone-walling

In writing and in person at STRS Board meetings, Dr. Leone questioned STRS executives, who were unresponsive for months. But they finally caved in to Dr. Leone’s tenacity in seeking public financial information.

What Dr. Leone learned was far worse than he expected: The STRS Board and staff were living in a “financial fantasy land.” In a 13-page report that he presented to the STRS Board in May 2003, Dr. Leone asked for a response in two weeks to his charge that the STRS was spending money in a manner that was “completely foreign to the very members they serve.”

When the STRS continued its stone-walling by refusing to change its policies, Dr. Leone e-mailed his report to all 611 Ohio superintendents and all 923 principals. Many of them, in turn, shared the report with teachers, who shared it with retirees, who shared it with legislators, who shared it with the news media.

On June 8, 2003, The Plain Dealer broke the news.

By 2000, Dr. Kostyu was covering state government for Copley in Columbus after teaching journalism at Ohio Wesleyan University, Delaware. A copy of Dr. Leone’s report was forwarded to him from the Copley newspaper in Canton, The Repository.

By the end of 2003, Dr. Kostyu had written nearly 100 stories about the excesses of the STRS. The result was the firing of the STRS executive director, passage of legislation to reform the state’s five pension systems and an investigation launched by the Ohio Ethics Commission.

Dr. Kostyu’s follow-through of the STRS issues was so highly regarded by The Repository that his series was submitted to the Columbia University Pulitzer Prize committee judging beat reporting.

Although Dr. Kostyu didn’t win a Pulitzer, his series received a first place for investigative reporting from the Associated Press Society of Ohio, a first-place for in-depth reporting from the Association of Capitol Reporters and Editors, and a first place for best use of public records from the Ohio Society of Professional Journalists.

First-Amendment award

Dr. Leone himself received the First Amendment Award from the Central Ohio Chapter of the Society of Professional Journalists. He was praised for his “courage to take on the STRS, alerting the media, and his diligence in pursuing public records requests in the face of many barriers, including widespread criticism from the Ohio Education Association and fellow superintendents.”

It was Dr. Kostyu who nominated Dr. Leone for the award. Dr. Kostyu also discussed his Canton Repository articles [about] the STRS last year during Mass Communication week activities on the BGSU campus.

Last December, upon retiring from the Chillicothe schools, Dr. Leone decided to run for the new retiree seat on the STRS Board (the new seat was created by the General Assembly). A total of nine retirees and active teachers ran for three seats on the Board. The votes were counted last May 7. Dr. Leone was the top vote-getter.

Jim Gordon compiled stories about Drs. Kostyu and Leone from interviews and emails.

_______________________________

Bowling Green State University

Retirees Association Newsletter

November 2005

STRS exposé earns Ethics in Government Award

Dr. Dennis Leone receives the Ethics in Government Award from Joy Paolo, Paolo Consulting LLC, sponsor of the award, and John Wahle, Ohio GFOA president.

For “exposing a terrible and arrogant entitlement culture” at the State Teachers Retirement System beginning in 1995, the Government Finance Officers Association presented its 2005 Ethics in Government Award to Dr. Dennis Leone in Cleveland Sept. 14.

In nominating Dr. Leone for the award, members of the association noted that he “acquired proof that the STRS Board and the STRS staff had been spending pension money and taxpayer money on things like booze, parties, concert tickets, Kings Island, baseball games, gifts, paid airfare and paid lodging for STRS visitors, multiple lavish trips to places like Honolulu and Palm Springs (spending $540,000 between 2000, 2001 and 2002), a new office complex that would make Saddam Hussein blush (spending $94.1 million), sculptures and artwork for the new STRS headquarters (spending $869,000), a special child care services center for employees of STRS (spending $818,000 to build and $500,000 on an annual basis to operate), and giant bonus checks for 435 STRS employees (totaling $24.4 million between 1998 and 2003) at a time when total stock market assets at STRS dropped a staggering $12.3 billion.”

STRS, Dr. Leone told the Board, should not stand for “Sculptures, Travel, Retreats and Spending.”

Dr. Leone also found that the staff increased from 414 to 735 and administrative expenses increased 17.4 percent from 2000 to 2002. Continuing research by Dr. Paul E. Kostyu, Columbus bureau chief for Copley Newspapers, disclosed that STRS employees who adopted a child received a $5000 gift from pension money. In another STRS policy reported by Dr. Kostyu, the executive director received a percentage of every staff bonus check he gave.

On June 16, 2004, when Gov. Robert Taft signed into law the pension reform bill with the sweeping changes pushed for by Dr. Leone, the governor presented Dr. Leone with one of the pens he used to sign the bill.

_______________________________

Bowling Green State University

Retirees Association Newsletter

November 2005

Former director of STRS pleads guilty to ethics violations

The former executive director of the State Teachers Retirement System was found guilty Sept. 1 of accepting golf outings and other gifts from an investment firm that advised the pension fund.

Herb Dyer, 66, pleaded no contest to one charge of failing to report gifts to the Ohio Ethics Commission and was fined $1,000. Suspended was $300 on condition that Dyer pay the amount to the pension fund.

Dyer was forced to resign in August 2003. Of Ohio’s 133 lawmakers, 105 called for Dyer’s resignation after criticism that the STRS spent millions of dollars on bonuses, artwork and travel while assets plunged.

Reporting about STRS activities by Dr. Paul E. Kostyu launched investigations by the Ohio Ethics Commission, which are continuing.

Dyer was the speaker in September 1995 at BGSU Retirees Association’s founding convocation.

The Associated Press contributed to this story.

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Dennis Leone with a few facts for Tim Myers

From Paul Boyer, 03/15/2006 5:42:31 P.M.
Tim, digest this letter from Dr. Leone. He gave me permission to forward it to you. If you continue on your pathway of lies, perhaps you will get a serious case of indigestion. Of course, there are a lot of remedies being advertised on TV for that.
Paul
_________________________
From: Dennis Leone
Sent: Wednesday, March 15, 2006 2:10 PM
Paul -- Thank you for sharing. I do not know who Tim Myers is, and nor do I care. One thing I have been able to confirm, Paul, in my seven months on the STRS Board -- and I know you already know this -- is the absolute fact that NOTHING would have changed at STRS had we not done what we did in 2003 and 2004.......NOTHING. No spending controls, no policy changes, no changes in the board structure, no reduction of over 100 STRS employees or administrative expenses, no removal of Dyer, no departure of Norris and Scott, no election of Lazares and Leone, no Senate Bill 133, no removal of Petro and Montgomery from the Board, no changes in child care services and free lunches for STRS staff, no new statutory language that requires ethics training, travel restrictions, and disciplinary procedures for future Board misconduct.
There would have been no elimination of bonus checks for non-investment staff, no prohibition of pension money used for Broadway shows, Kings Island, concerts, baseball games, booze, and parties, no restriction of family members of STRS employees using STRS cars, no control over the 82 STRS credit cards that many had, and no prohibition of the Perry Local School District collecting sub teacher pay from STRS pension money for a Michael Billirakis teaching position that doesn't exist. (Myers probably doesn't even understand Perry Local matter.) The list of things that have changed since 2003 is endless.
Feel free to share this with Mr. Myers. How were changes "already on the way" at STRS when OEA is the organization that said all that was reported about the spending abuses were "misrepresentations, destructive allegations, unclear, etc."? Mr. Myers either has had his head stuck in the sand or he just moved to Ohio this year. Had he attended any STRS meetings in 2003 or 2004, he would heard with his own ears how active teachers and retirees feel about the way OEA reacted to what was going on at STRS between 1995 and 2003.
Dennis Leone

Paul Boyer and OEA's Tim Myers on Tim's version of reality


Paul Boyer, March 15, 2006, 2:46 pm
This just gets gooder and gooder.
Paul
_____________________________
From: Tim Myers
To: Paul Boyer
Sent: Wednesday, March 15, 2006 2:07 PM
Subject: Re: article

Paul, we just disagree on whose version of the story is correct. Or for that matter whether Mr. Leone is a savior or a crack pot.
______________________________

Tim, all I can say, then, is that if you were there when all of the misspending was going on, then you must be blind and hearing impaired or just too plainly stubborn to agree with the facts of the case.
Paul
______________________________
From: Tim Myers tmyers@elida.k12.oh.us
To: Paul Boyer
Sent: Wednesday, March 15, 2006 1:15 PM
Subject: Re: article

You are correct, you will never convince me. I was there before Leone started.
___________________________
Sorry, Tim, there were no changes made until we started complaining about the misspending. Mr. Dyer and the Board were going right on spending as though, as Mr. Dyer replied to a retiree, (paraphrased) "The money is not yours; it is the Board's money to spend as it sees fit". That is totally contrary to ORC 3307.15.
I know that I will never convince you but I am sticking to my guns.

Paul L. Boyer
Retired since 1985
Life member OEA/OEA-R,
NEA, ORTA, CORE
Proud to be named
“Core” of CORE
______________________________
From: Tim Myers
To: Paul Boyer
Sent: Wednesday, March 15, 2006 9:39 AM
Subject: Re: article

“W” is President George “W” Bush.
And I obviously disagree about Mr. Leone. Changes were underway long before he stirred things up.
______________________________

Tim, I have just read the long, mostly false, diatribe which was written by you and posted on the STRSWATCH blog. I am not going to waste my time trying to refute each of your statements.
Suffice it to say that you have missed the point completely. I do not know who you are referring to by "W" unless you are meaning Dr. Dennis Leone. If that is the case, where did the "W" come from?
You state that many changes have been made in the last three years and that your retirement is now secure. The only thing you left out is that those changes have been made because of Dr. Leone's research and the continued pressure by those retirees who now form CORE.
'Fess up to it, Tim. If we had not done what we have for the last three years, you might have lost all of your retirement by the time the OEA members and the Executive Director had spent all of it on themselves.
Paul
_____________________________
March 12, 2006
STRS: A day from the back row

By Tim Myers

The STRS meetings have gotten interesting, almost entertaining, over the past few years since I started going to the Board meetings. Not many benefit recipients or actives attended the meetings several years ago. Everyone could fit inside the huge glass walls that surround the board's primary meeting room. A few years later, the audience has overflowed into the anteroom outside those transparent partitions.

Somewhere along the line, there arose a clatter. There were accusations, denials, investigations, and finally, a resolution. Adding to the problems at that time was a man simply known as "W." His fiscal ineptitude caused the economy (and the STRS investments) to go into Academic Emergency. There was an immediate interest in what the STRS staff and board were up to. A few new staff members and newly elected board members later, and the STRS is once again the respected retirement organization it once was. The clatter is now in the past, and should, for all intents and purposes, stay there.

The interest in board meetings has continued, however. Today, two groups of STRS watchers have emerged. One still rooted in the past, the other looking for solutions. The first group has, rightly so, criticized the system for extravagant spending and is made up of benefit recipients who are affiliated with the Ohio Retired Teachers. The second group has formed an alliance with all STRS stakeholders, including active groups and the benefit recipients affiliated with the Ohio Education Association.

On any given Thursday board meeting, these two groups file into the room as if following a classroom seating chart. CORE sits on the north side of the aisle and the Coalition group sits on the south side. One need only look down the row to see Gary next to Jim in front of Vivian, in front of Mark, in front of me, who is sometimes in front of Rick. Homer is next to Jim, and Bill, well you get the picture. The Wonson rule of chair placement is now in effect. The soft, padded chairs have moved from the back of the anteroom to the front where our assigned seats are.

The interior is now mostly staff, a few leaders of the two groups, and newcomers who want to be closer to the action. Every once in a while, a librarian type 'shush' is heard outside the glass, as two watchers are discussing a comment heard during the board's discussion. The response is whispered, "Go inside, that's what those chairs are for!" As the day goes on, more people come in and the empty seats are claimed. The interior room's chairs are vacated as reports are given and then refilled with the appropriate staff responsible for the next report.

After lunch, the public gets a chance to speak. These can be mostly speeches asking for restoration of lost spousal health care benefits or the return of the 13th check. Once a person testifying wondered aloud how STRS can get its employees to have more children so the Day Care Center could have all spots filled and thereby more cost effective! And every once in a while, we get a speaker who praises the work of the STRS staff. These comments are highly appreciated by the staff and board members alike.

The room generally clears out after the public participation and the board usually continues its work with very few remaining to hear the chair's gavel announce a recess until 9:00am Friday morning. Often, the board then goes into a scheduled meeting with the Health Care Advocates for STRS during the evening hours after the recess. Friday morning is the resumption of the board meeting and we go back to the same pre-clatter attendance patterns.

Several changes have been made in the make-up of the board in recent years. An additional elected retiree member and some appointed investment experts were added by the Legislature. The active teachers and administrators are now in the minority on the board even though they are the only board members actually paying into the system with their continued contributions! And much like adding additional students into an already full class of inquisitive students, this new arrangement has meant longer board meetings due to the additional questions and subsequent discussions. Some of these questions could be answered with a little more homework before the meeting since the issue at hand is explained in the printed material. One board member actually switched his/her vote one meeting because he/she was not aware of provision included in the measure that he/she voted on in the previous meeting.

At the end of the day, all is still well with the system. I can rest assured as an active teacher that my contributions are being spent and invested wisely. I fully expect the system to be there when I retire along with the optional health care benefit. That is, unless that "W" guy gets his hands on my retirement contributions and tries to privatize the system like he wants to do to Social Security!

The envelope, please


Recently I was tweaking some of the settings in my blog, and noticed one feature I had overlooked before, but have now incorporated into this blog. You may have started noticing a little envelope at the end of each post. If you click on it, you'll find you can e-mail that post to someone else. It sure saves the hassle of doing the copy-and-paste thing; you might like to give it a try. KBB

Bulletin: Sen. Dann to speak to CORE on April 20

March 15, 2006
From John Curry

Senator Marc Dann, candidate for Ohio Attorney General, will address CORE (Concerned Ohio Retired Educators) members at our monthly meeting on April 20, 2006 at the State Teachers Retirement System of Ohio at 275 E. Broad St. in Columbus, Ohio. The presentation will be during our 11:45 am to 12:55 meeting.

Tom Cooper: An open letter to STRS members; some comments on Tim Myers' observations

April 17, 2006

Dear STRS member (Actives and Retirees):

It has been brought to my attention that a person, apparently representing OEA, Tim Myers, recently posted his reflections of the past few years events occurring at STRS, and, as they relate to the current election, on the STRS Blog site.

Fair enough..CORE is not opposed to any and all expressing their views and perspectives. In fact, CORE has insisted on getting the FACTS straight, and has not been OWNED by any other agenda. It would be nice, however, if people who do such include ALL of the facts OBJECTIVELY, rather than delete and omit pertinent facts, so as to distort actual events and their repercussions.

With that in mind, I am re-posting Mr. Myers' blog views here for you to read...however, I also raise questions, and facts, printed in color, which you might well wonder why Mr. Myers sought to omit:

Sunday, March 12, 2006
STRS: A day from the back row
By Tim Myers
The STRS meetings have gotten interesting, almost entertaining, over the past few years since I started going to the Board meetings. Not many benefit recipients or actives attended the meetings several years ago. Everyone could fit inside the huge glass walls that surround the board's primary meeting room. A few years later, the audience has overflowed into the anteroom outside those transparent partitions.

Somewhere along the line, there arose a clatter. There were accusations, denials, investigations, and finally, a resolution. Adding to the problems at that time was a man simply known as "W." His fiscal ineptitude caused the economy (and the STRS investments) to go into Academic Emergency. There was an immediate interest in what the STRS staff and board were up to. A few new staff members and newly elected board members later, and the STRS is once again the respected retirement organization it once was. The clatter is now in the past, and should, for all intents and purposes, stay there.
here, Mr. Myers would like to simply blame losses at STRS on the economy, and ignore the fact that several people have actually been indicted for ethics violations involving misspending and fiduciary responsibility, and at least one, who by the way, was the recipient of OEA support to get her STRS Board positon in the first place, was recently found guilty. Others, also OEA supported people, also have been investigated.

The interest in board meetings has continued, however. Wonder why, Tim.Today, two groups of STRS watchers have emerged. One still rooted in the past, the other looking for solutions. The first group has, rightly so, criticized the system for extravagant spending and is made up of benefit recipients who are affiliated with the Ohio Retired Teachers. The second group has formed an alliance with all STRS stakeholders, including active groups and the benefit recipients affiliated with the Ohio Education Association.
It appears Tim is either confused as to which group is which, OR would like to confuse others, so as to diminish OEA's inactivity during these ventures into creative and unethical money grabbing. The FACTS are, CORE, (I guess that is the group he associates with the "Ohio Retired Teachers") IS the group which came from the grass roots of members simply asking questions about their STRS retirement funds, and receiving from OEA dominated STRS Board stonewalling, arrogance, belittling attitudes, such as "this is OUR money--not yours", resulting in those members asking questions to, in effect, being told to sit down and shut up. Wonder if Tim was at any of those meetings?
On any given Thursday board meeting, these two groups file into the room as if following a classroom seating chart. CORE sits on the north side of the aisle and the Coalition group sits on the south side.One need only look down the row to see Gary next to Jim in front of Vivian, in front of Mark, in front of me, who is sometimes in front of Rick. Homer is next to Jim, and Bill, well you get the picture. The Wonson rule of chair placement is now in effect. The soft, padded chairs have moved from the back of the anteroom to the front where our assigned seats are.
Actually, one has to wonder what coalition he is talking about? The people (Gary, Homer, Jim etc.) he is referring to are OEA people. Coalition?...In reality, CORE, though most members of CORE actually ARE OEA-R, or at least former ONCE proud OEA members, it is CORE that is supporting and OFT candidate, mark Fredrick, AND and independent STRS contributor, Dr. Thomas Hall. a professor of Economics, who has written books on economics, but was not good enough to be supported for office by the OEA "coalition". Compare Dr. Hall to OEA candidate Connie Ramser, who insisted on voting to approve contracts that the board didn't even have available to read.

The interior is now mostly staff, a few leaders of the two groups, and newcomers who want to be closer to the action. Every once in a while, a librarian type 'shush' is heard outside the glass, as two watchers are discussing a comment heard during the board's discussion. The response is whispered, "Go inside, that's what those chairs are for!" As the day goes on, more people come in and the empty seats are claimed. The interior room's chairs are vacated as reports are given and then refilled with the appropriate staff responsible for the next report.

After lunch, the public gets a chance to speak. These can be mostly speeches asking for restoration of lost spousal health care benefits or the return of the 13th check. Once a person testifying wondered aloud how STRS can get its employees to have more children so the Day Care Center could have all spots filled and thereby more cost effective! hard to tell here. The person Tim is trying to ridicule by misstating the question was very clearly asking if the day Care center could support children OUTSIDE of being specifically for STRS office employees ONLY. Apparently Tim not only think it is OK for YOUR contributions to be used for employees Day Care (doesn't your school pay for YOUR Day Care!?), but he also thinks it is funny that it be cost effective.
And every once in a while, we get a speaker who praises the work of the STRS staff. These comments are highly appreciated by the staff and board members alike. Meaning what, exactly? praising good work is..bad?...which seems to be the point of your blog....or praising work is ..good?

The room generally clears out after the public participation and the board usually continues its work with very few remaining to hear the chair's gavel announce a recess until 9:00 am Friday morning. Often, the board then goes into a scheduled meeting with the Health Care Advocates for STRS during the evening hours after the recess. Friday morning is the resumption of the board meeting and we go back to the same pre-clatter attendance patterns.

Several changes have been made in the make-up of the board in recent years. An additional elected retiree member and some appointed investment experts were added by the Legislature. The active teachers and administrators are now in the minority on the board [REALLY? Hope you don't teach math, Tim. There are eleven seats on the Board... FIVE SEATS are held by elected contributing members (i.e. "actives")... TWO are held by retirees, and FOUR are political APPOINTEES....Who is it you say is in the minority?]...even though they are the only board members actually paying into the system with their continued contributions! For your Information, Tim, I paid into the "system" for 28 years, Tim including my fours of Military service...FYI...I ALSO PAID INTO OEA FOR 28 YEARS, AND IN THE END I GET ARROGANT POLITICAL HACKS LIKE YOU. your absolute arrogant, immature insulting of one's intelligence says more about you and OEA, than it does about STRS. Comments such as yours, as though retirees have paid nothing, is becoming quite typical of people representing OEA. And much like adding additional students into an already full class of inquisitive students, this new arrangement has meant longer board meetings due to the additional questions and subsequent discussions. Some of these questions could be answered with a little more homework before the meeting since the issue at hand is explained in the printed material. One board member actually switched his/her vote one meeting because he/she was not aware of provision included in the measure that he/she voted on in the previous meeting.
Huh? could this have been the OEA candidate?..so who is it that is not doing there homework?

At the end of the day, all is still well with the system. I can rest assured as an active teacher that my contributions are being spent and invested wisely. I fully expect the system to be there when I retire along with the optional health care benefit. That is, unless that "W" guy gets his hands on my retirement contributions and tries to privatize the system like he wants to do to Social Security!
Or unless the STRS Board aligns it self with corrupt politicians, like Gov Taft, as OEA did in the past. or maybe if you are elected to board, sponsored by OEA
Tom Cooper
Medina
retired Strongsville City Schools
retired OEA
member CORE
topcatman01@yahoo.com


How to copy-and-paste an item from this blog; how to print part of a document or a single item from this blog

Some have asked how to copy an article from this blog and paste it elsewhere (into an e-mail or document page). I know it can be a tricky venture since this is a long blog and you don't want to have to print out the whole thing. I have played around with it and have come up with some steps that should help, and have printed them below. The trick is learning to highlight only the part you want. With a few minutes of practice, it should become pretty easy to do, and the rest is easy. Please let me know if you still have trouble and I will try to help. Kathie (kbb47@aol.com)

How to copy-and-paste from this blog

1. Position your cursor (pointer/arrow) at the beginning of the text you want to copy. The arrow needs to turn into an "I" bar -- looks like a capital "i". Click here. (You won't see anything happen.)

2. Press and hold down the Shift key for the next step.

3. Position your cursor (look for it to become an "I" bar again) at the end of the text you want to copy. Keeping the Shift key down, click again. Your text should be highlighted. Release the Shift key; it will stay highlighted.

4. Right-click your mouse, with the pointer on the highlighted text. On the little drop-down menu, click "Copy."

5. Position your cursor (pointer, arrow) and click (in the document or e-mail) where you want to paste your text.

6. Right-click your mouse. On the little drop-down menu, click "Paste." That should do it.
____________

How to print just part of a document, or a single item from this blog
Some have also wondered how to print a single post from this blog. I am no expert at this, but every time I need help with anything at all, I go to www.google.com. Google is my right arm; when I wanted to start a blog several months ago, I had absolutely no idea how to do it, so I went to Google and typed in "free blog." Within minutes, I had this thing up and running (and it has since taken over my life!). Same thing when I wanted to add the hit counter at the bottom of this page a couple weeks ago.
Go to Google and type in something like "ways to print part of a document." I did that a minute ago, and a number of helpful looking articles came up. If you haven't been a Google user, give it a try. I even threw away most of my cookbooks because I find thousands of great recipes through Google. One thing I do know when it comes to printing part of something is that you have to highlight it first, which can be tricky with this blog if you don't know more than one way to do it. Check the part (the beginning of this article) that tells how to do it. (Yes, I got some of the info from Google.) Good luck. NOTE: If you paste the item into a blank e-mail or document sheet, you can print it out the way you usually do. If you have trouble, Google can help (Google's a lot smarter than I am!) Kathie (originally posted Jan. 31, 2006)

JOIN CORE TODAY

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Note from John Curry: The reform that is beginning at STRS was initiated by the hard work of many CORE members who have spent countless hours of donated time and their own money to elect reform candidates Dennis Leone and John Lazares. We are an organization that has NO paid positions. Please help defray our costs by joining CORE and insuring a continuance of reform of STRS. We have come a long way from the days of misspending, mismanagement, and the entitlement philosophy that DID exist at YOUR STRS, thanks to the vigilance by CORE. Please help us to help you and your future. Thank you.
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EDUCATORS:
Join in the fight for the benefit of Ohio's retired and active educators by becoming a member of CORE.
Please print and mail to: Concerned Ohio Retired Educators P.O. Box 141358, Columbus, OH 43214
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Name:___________________________________________
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Mailing Address:___________________________________
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COUNTY:_____________________________
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E-Mail Address:____________________________________
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Telephone: (_______)_______________________________
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Do you wish to be on CORE's rapid alert e-mail list?
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Yes ______No______
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No dues as such; donations accepted in any amount for legal fees/consults, mailings, election flyers, campaign costs.
Please indicate: Amount: __________________
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Please make checks payable to : Concerned Ohio Retired Educators

Discipline problem? Not in school this time, nor by schoolchildren


Dear Damon,

Please read the article by Tim Myers on the strswatch.blogspot.com blog posted by some OEA members, and not an official OEA spot.

It speaks to an incident in March when an OEA group continued to disrupt and talk loudly enough other attendees could not hear the board meeting. One person asked them to be quiet so as to hear. This indiv. was told that was what the chairs inside the room were for as stated in the article among laughs and rude behavior. The writer makes light of the request and ridicules a member with a 'librarian' attached descriptive creating a picture, I presume, for the audience.

I have had to ask Bill Leibensperger to be quiet when speakers are up so I could hear despite all being quiet for him when he spoke.

Is there a policy that states attendees can disrupt others ability to hear procedings if outside the boardroom? Is this a social gathering spot for jokes and chit chat?

If attendees have the right to hear in a quiet environment outside the board room, is a security guard possible since requests have been ignored and rudely addressed?

Please respond though I know how very silly and highschool this sounds. However, I assume we all have rights at STRS and one of those rights is to hear the meeting. I ask that persons making that impossible or difficult be removed if met with rudeness and lack of respect for others. We care not what they talk about-just elsewhere so we can hear-perhaps their nearby homebase since they are not interested in the meeting. Some of us drive long distances and have more than a block to travel to get there getting up in early hours and committed to representing their districts and delivering news back to them. This group makes that impossible.

With all we have to think about, this is beyond silly. But, after you read the letter on a site that touts facts only; not going after individuals; building STRS membership relations and respect, this article and action seem "More noise and less light (for others)" when it states it is for more light and less noise.

Thank you,
Molly J.

Tom Curtis, Dave Speicher: SCRTA incident


Tom Curtis to Dave Speicher
March 13, 2006

Hello David,

Thank you so very much for your support and call for action concerning this situation. Wes Hisey took a strong dislike of me from the very beginning of my contact with him. I did not know Wes prior to joining SCRTA in January of 2005. I am a life member of both SCRTA & ORTA.

In February 2005, both Barb Garwood (now ORTA Trustee from Lake Co.) and I contacted Wes Hisey, (then SCRTA President) by phone and requested that David Speas and Dennis Leone have 3-minutes at the March meeting to introduce themselves. I could not believe how utterly controlling he was. He told both of us there was no time in the meeting schedule and no room in their newsletter for Dave Speas and Dennis Leone, end of discussion. This was an administrative fiat decision.

Being a member of SCRTA, I questioned his decision, as these were two retiree candidates desirous of greeting those that would be voting in the spring. Well, he did not take that well and this has escalated ever since that time.

His placing his hands on me last Friday is the forth in a series of incidents, two of which would seem insignificant in nature, but placed in the scheme of what transpired Friday, show a continual pattern of his intended abusive[ness] toward me. This kind of leadership should not be tolerated in any organization of people supposedly existing to be of help to its membership.

From my experience in trying to work with some of the ORTA leadership, it is my opinion that it will take a vigilant approach of the ORTA membership to force any disciplinary action against Wes Hisey. Your support is I hope, just one of many. Thank you again.

Sincerely,
Tom Curtis
CORE Advisory Committee Member

Dave Speicher to Ann Hanning re: SCRTA incident
March 13, 2006

Ann,

I have an email from Tom Curtis, CORE Advisory Committee member and ORTA member, who describes his encounter March 10 with Wes Hisey, an ORTA Trustee. Tom tells how Wes Hisey physically pushed him, and verbally abused him for a number of minutes following the March 10 meeting of the Stark County RTA, because he (Tom) was distributing material after the meeting was adjourned supporting Tom Hall and Mark Fredrick, CORE-endorsed candidates for the STRS Board.

I think the ORTA cannot just let this pass. I realize the ORTA is not supportive of CORE, as it was CORE that exposed the corruption and excess spending of the STRS Board. Even after the "expose" ORTA maintained its "go along to get along" coziness with the STRS Board, although Dave Travis did finally make a somewhat indignant statement in the ORTA Quarterly saying it was time STRS stopped its spending abuses. It seems to me that ORTA could greatly benefit from cooperating with CORE.

I think the Tom Curtis/Wes Hisey incident needs to be investigated by ORTA and if Tom's report of it is found true, as I think it is, (there were apparently plenty of witnesses) then ORTA needs to publicly take a strong and clear stance against this behavior and remove Wes Hisey from his trustee status. Thanks for your consideration.

David Speicher
Chm. Legislative Committee
Union County RTA

Tuesday, March 14, 2006

RH Jones: Electronic meetings will save time, money and maybe lives

March 14, 2006
To all:

Justine Bachman of the Associated Press reports that: "
A survey suggests that they rank among the most inefficient exercises we perform. The typical weekly staff meeting lasts 50 minutes, with people in the survey saying they probably could shave 16 minutes from the total if they could eliminate the inefficiencies.
The 130 responses included workers in a range of organizations, from Intel Corp. to the U.S. Navy, to George Washington University. The survey was conducted between November and January for Group Systems Corp., a software company based in Broomfield, Colo
.
."

This backs up my thoughts that I expressed to the CORE Group and Ann Hanning at the CORE meeting this March. Lets do our meetings at CORE, ORTA, OEA, OEA-R, OFT, NEOEA, NEOEA-R , and at the STRS, electronically saving both time and money. I have been advocating this for years; ever since 5-teachers die in a car wreck going to an NEOTA meeting several years back. Retired and active teachers know how wasteful staff and administrative meetings were, and still are.

STRS, NEA, OEA, AFT and all other groups would benefit by curtailing the expenses of trips. The money saved is most certainly needed in these difficult times for education in America.

RHJones

March Board News from STRS

A note from John Curry: Please take note of THAT MISERABLE 1% dedicated to healthcare is mentioned in paragraph 3 of this board news email from STRS. They didn't mention that the Highway Patrol retirement system uses 3.5%, OPERS chips in 4%, SERS earmarks 4.91%, and Police & Fire place 7.75% into their healthcare program for healthcare for retirees -- so, I will. These percentage figures came from a 2004 report commissioned by the Ohio Retirement Study Council.
March 14, 2006
Last week, the State Teachers Retirement Board held several committee meetings, as well as its monthly meeting. Following the regularly scheduled meetings, a report titled "Board News" is posted on the STRS Ohio Web site, as well as mailed to a number of members and education organization representatives who have requested it. As a member of STRS Ohio with an e-mail address on file, you will also receive this report each month. The March report follows.
MARCH BOARD NEWS
BOARD APPROVES FUND REPORT FOR OHIO RETIREMENT STUDY COUNCIL Since the amortization period for STRS Ohio's unfunded actuarial accrued liability (UAAL) on the pension fund is more than 30 years as of July 1, 2005, STRS Ohio is required by law to send a report to the Ohio Retirement Study Council (ORSC). (ORSC is the legislative oversight committee for Ohio's five public pension plans.) STRS Ohio's current funding period is 55.5 years. The report must explain how the Retirement Board will reduce the amortization period to 30 years or less.
At its March meeting, the Retirement Board approved the report that will be sent to the ORSC this month. The report notes that the Retirement Board understands that as a fiduciary, its first and foremost priority and legal obligation is to protect the system's ability to honor the pension and other benefit promises in state law. The board also recognizes the importance of providing affordable health care coverage to its retirees and dependents. Currently, monies for the Health Care Stabilization Fund come from premiums charged to program enrollees, 1% of payroll from employer contributions and investment earnings on this fund.
The health care actuarial valuation report received by the Retirement Board in February 2006 showed that the Health Care Stabilization Fund balance of $3.465 billion is projected to last until 2021, based on current actuarial assumptions. The report also showed that the funded status of the plan is 36.7%. This latter figure will become increasingly important next year when public retiree health care plans, including the five Ohio public pension plans, are required to show the amount of employer contribution needed to fund their health care plans on a full-reserve basis (i.e., a 30-year funding period) in their annual financial reports.
In effect, STRS Ohio faces two actuarial funding challenges. STRS Ohio is addressing both challenges by aggressively seeking support for a legislative proposal that would allow the system to increase members' contributions to STRS Ohio by 2.5% and their employers' contributions by
2.5% of teacher payroll to create an ongoing and dedicated revenue stream for the STRS Ohio Health Care Program. These increases would be phased in over a five-year period, in .5% increments.
The health care actuarial valuation report showed that an annual contribution of 4.58% is needed this year and each following year to fund the STRS Ohio Health Care Program on a 30-year basis. This percentage is in line with STRS Ohio's legislative proposal.
Further, if this contribution increase can be obtained, the current 1% of employer contribution going toward health care can start flowing back into the pension fund - an influx of approximately $94 million per year that has a significant impact on the speed at which the UAAL can be reduced. Also contributing to pension solvency will be the unrealized market gains that were not reflected in the most recent actuarial valuation, plus future investment returns.
In short, the Retirement Board, in concert with the Health Care Advocates for STRS (HCA), have developed a legislative proposal that, if successful, strengthens pension solvency and shores up health care in the future to achieve a 30-year funding period for both the pension fund and the health care fund; meets the expectations of current and retired Ohio public educators; and lessens the risk of additional liabilities being placed on the Ohio Legislature and/or Ohio taxpayers if the retiree health care program ends.
STRS Ohio's executive director, Damon Asbury, is tentatively scheduled to present this report to the ORSC in May. A complete copy of the report can be viewed or printed from the STRS Ohio Web site (www.strsoh.org), beginning on March 17, 2006.
STRS Ohio staff and representatives from the HCA continue to hold meetings with legislators to educate them about the health care legislative initiative and obtain feedback. Work on the draft legislation is also continuing.

RETIREMENT BOARD BEGINS DISCUSSING HEALTH CARE PROGRAM FOR 2007 At the March meeting, STRS Ohio staff began discussing the premium outlook for 2007 for the retiree health care program with board members. For calendar year 2006, the board approved a package of health care premiums that capped all increases at 3% over 2005 rates. At that time, the board cautioned that this increase did not match the projected trends for health care costs increases in 2006. If the board followed these trends in setting premiums, STRS Ohio members would have seen their premiums increase an average of 12%, with premiums for spouses increasing even more. When setting the 2006 rates, the board also noted that, without additional funding for health care, the board would be faced with making up the difference between the 2006 expected premium increase of 12% and the actual 3% premium increase cap, plus the expected upward trend in costs for 2007.
At this time, health care cost trends are projected to be at or above 10% for the next several years. Consequently, preliminary premium estimates for 2007, based on 2004 claims costs, forecast an approximate 15% increase for a non-Medicare benefit recipient with 30 years of service and 19% for a 30-year benefit recipient with Medicare. Spouse premiums would be higher. Potential increases could vary among plans. The board authorized staff to look at changes in plan design (e.g., increased deductibles, changes in co-insurance and changes to the prescription drug plan) to reduce the projected premium increases. A final decision on 2007 premiums is scheduled for the board's August meeting.

ASSOCIATE COMPENSATION DISCUSSION COMPLETED Following several months of discussion, the State Teachers Retirement Board unanimously voted to restructure the base salary structure for STRS Ohio associates and to revise the Performance-Based Incentive (PBI) Plan for eligible Investment associates. The action included restrictions and limitations pertaining to how many associates could now qualify for base salary adjustments; changes must also fall within the current budget. In addition, all subjective and discretionary factors were eliminated from the awarding of PBIs. An eligible Investment associate may only receive the maximum incentive payout when relative outperformance of 52 basis points gross on the total investment fund is achieved, as well as specific asset class returns. (Relative outperformance means the rate of return generated by STRS Ohio Investment associates and outside money managers must exceed the total fund benchmark return.) The changes are designed to allow STRS Ohio to offer competitive compensation levels when compared to both public and private pension funds.
In March 2005, the Retirement Board authorized Executive Director Damon Asbury to contract with Aon/McLagan to conduct a study to review and provide recommendations on the competitiveness of the compensation and benefits package STRS Ohio offers to associates.
There has been a concerted effort on the part of the Retirement Board and staff to reduce the overall operating budget by operating as "lean" as possible. Non-Investment expenses have been reduced by $10 million over the past two years. At the same time, the board has acknowledged the importance of having a staff who has the skills, ability and commitment to successfully carry out their responsibilities -- whether managing investments; accounting for plan assets and expenditures; providing member benefits, services and communications; working with employers; or serving in critical support areas.
The overall staffing levels have been reduced significantly since the peak in 2002. Currently, STRS Ohio has about 120 fewer associates and now totals 614 associates (as of 12/31/05). The completed Aon/McLagan study gave the Retirement Board and staff an objective, third-party review of the total compensation and benefits package that is offered to recruit, motivate and retain STRS Ohio associates. The study showed that total compensation for Investment and higher-level non-Investment positions was not competitive, falling below the recommended market rates for similar positions.

FIVE STRS OHIO MEMBERS QUALIFY FOR BOARD ELECTION Five contributing members of STRS Ohio have qualified for this spring's Retirement Board election. The candidates for the two seats on the board are John K. Brackett, University of Cincinnati; Mark Fredrick, Cleveland Municipal Schools; Thomas E. Hall, Miami University; Mark H. Meuser, Gahanna-Jefferson City Schools; and Constance (Conni) K. Ramser, Jackson Local Schools. The election is for the four-year term beginning Sept. 1, 2006, through Aug. 31, 2010.
Ballots, candidate information and voting instructions will be mailed on April 4, 2006; the deadline for voting will be May 1, 2006. Members will be provided with three ways to cast their votes -- mail, telephone or Internet. Members are particularly encouraged to vote by telephone or Internet, as this results in a cost savings to STRS Ohio. For every completed mail ballot returned to STRS Ohio, the pension system has to pay for the return postage. Telephone and Internet votes avoid this extra postage expense for the pension system.

RETIREMENT, INVESTMENT TRANSACTIONS APPROVED The Retirement Board approved the following retirements and investment transactions:
- 34 disability retirements were granted.
- 99 active members were approved for service retirement; 16 inactive retirements were approved.
- In February fixed-income purchases totaled $895 million, domestic equity purchases totaled $520 million, and real estate purchases totaled $55 million.
___________________
The STRS Ohio news e-mail list is designed solely to provide timely and accurate news and information about legislation, benefits and other issues affecting the STRS Ohio membership.
To view past news e-mails, go to http://www.strsoh.org/past_news_e-mails/main.html.
If you wish to comment on a topic, please either e-mail contactus@strsoh.org or call the Member Services Center toll-free at 1-888-227-7877.

Monday, March 13, 2006

STRS Board Candidate Writes

March 13, 2006
You guys are unbelievable with all your efforts in petitions, getting the word out, etc., info on line, on behalf of the CORE candidates, little did I know how much power and influence among active members did you all have. I'm so lucky and blessed to have you behind me. THANKS for standing up and doing the right thing. May I do the same.
Mark Fredrick.

Damon-CORE meeting March 13, 2006

Half a dozen CORE members met with half a dozen STRS staff members on March 13 (Damon-CORE meeting) to discuss questions submitted by CORE members. In attendance: STRS – Damon Asbury, Steve Mitchell, Bob Slater, Laura Ecklar, Sandra Knoesel and Terri Bierdeman; CORE – Chuck Angeletti, Dave Parshall, Nancy Boomhower, Lloyd Knudsen, Earl Bixel and Kathie Bracy. Below are the questions submitted, with Damon’s printed responses:

1. How many parking spaces are there at STRS and how many are not being used? There are a total of 666 parking spaces in the STRS parking garage. Levels B-E each have between 137 and 145 spaces. On any given day the occupancy on those levels range between 75-95%. Level A has 108 spaces. It is used for both associate and visitor parking. The occupancy level varies depending on the number of visitors.

2. Is STRS actively considering serving as its own PBM and/or joining with other Ohio pension plans to develop such an Ohio PBM? Over the past two years there have been discussions with the other Ohio retirement systems about forming our own PBM. The group believed in the end that we did not have sufficient economics of scale with our collective memberships to build its own self-supporting PBM. STRS continues to monitor the marketplace for improved ways to deliver pharmacy benefits while controlling drug costs.

3. What steps and schedule are planned to review our PBM coverage? This contract expires in 12 months. The current contract with Caremark runs through December 31, 2007. STRS will begin looking at the marketplace in the coming months to see whether Caremark remains the best option for our membership.

4. Is the annual subsidy for higher education still being given to employees? Is it up to $7000 a year? The educational and certification assistance program is available to associates. Associates may apply for assistance in amounts up to $5250 per year to enroll in coursework that will enable them to perform better in their current job or to prepare for another position at STRS. Prior approval must be granted prior to enrolling in coursework or applying for certification programs.

The average tuition reimbursement last year was $3489.

Students enrolled in 5 consecutive classes with a B average or better may apply for up to $7000 annually, but must pay taxes on the amount above the IRS established level of $5250.

5. Why are we paying $600+ per person for insurance when on the open market it can be bought for less at the present time? In the open individual market, insurance companies are underwriting applicants for coverage. Currently, for people in the 55 to 59 age bracket, 25% of applicants in the open market are rejected for coverage and they may be re-rated as frequently as every six months. If the individual has any claims experience, it is also not unusual for the individual to experience a significant rate increase for the second year. STRS does not reject anyone for coverage so we have a significant number of people with medical conditions which increase overall costs and therefore premiums. Secondly, STRS has a higher benefit compared to many products in the marketplace which also results in higher premiums.

6. Is more being considered to help bring those of us who retired over 20 years ago and are living on the $20,000 dollar level or lower? The 2.2% just did not get the job done in terms of buying power. With the current funding period at 55.5 years, it is not feasible at this time to do an ad hoc increase for retirees. The Retirement Board determined last month that no pension benefit enhancements will be considered until the funding period is less than 30 years and the funding level is more than 85%.

7. Are we testing to see if actives will support 5% themselves? It would start at an average of $80 a month up to $160 but with increases due to raises and steps helping offset that. Retirees are doing more than their share with costs already disproportionately. The Member Education and Engagement campaign is entering the second phase of activity. Efforts are underway to educate key members of the legislature and to engage school board members, superintendents and treasurers in understanding the need for a dedicated revenue stream for health care and to see the importance of higher contribution levels for both employees and employers. We are also expanding our contacts with the members of the HCA for STRS. As the legislative initiative develops, options for the appropriate distribution of the contribution increase will be finalized.

8. Would implementing any items lower unfunded liability such as: sliding scales for all HC costs (premiums, copays, out-of-pockets, Rx’s) from highest at 20 years and lowest or career teachers of 30 or more years? Premiums for benefit recipients are already based on a sliding scale using years of service. While it is possible to implement a sliding scale for copays and other out-of-pocket expenses based on years of service, several hurdles would be difficult or impossible to overcome. The biggest challenge is that almost 70% of benefit recipients have 30 years or more of service, so the 30% with less than 30 years would have to pay considerably higher out-of-pocket expenses to have any impact on funding the liability. The sliding scale of benefits would also be very complex for Aetna and MMO to administer, since in reality, STRS would be creating a different plan design for each year of service. Finally, if people with lower years of service were asked to have higher out-of-pocket expenses on top of higher premiums, it would likely cause more adverse selection and drive up everyone’s premiums even faster.

9. Have you considered basing HC premiums based on percents of pension vs. Straight dollar figures to make HC costs more equitable? STRS has explored this idea within the last couple of years. One of the challenges with this idea is that people with higher pensions actually put more money into the Health Care Stabilization Fund through their employer contributions, and for this reason might expect to pay lower premiums, not higher premiums. Another concern is that even if someone’s pension may be low, STRS does not know what other sources of income they may have, so there is a concern with the fairness of basing financial need solely on the STRS Ohio pension amount. Finally, there is a concern that this approach may worsen adverse selection by driving away some of the healthier risk and further driving up premiums for everyone.

10. When will you have an idea about the HC premium increases for 2007? Discussions began at the March Board meeting regarding criteria the STRS staff will use in shaping the 2000 health care program. These discussions will continue at the May and June Board meetings. The preliminary rates based on 2004 claims were shared with the Board in March. Next, staff will begin the process of developing 2007 rates and plan design changes for 2007. Preliminary rates based on 2005 claims will be available in June. The Board is expected to act on the 2007 premiums at its August meeting.

11. What is the status of your efforts to have Board meetings web cast? We have previously explored the feasibility of web casting board meetings, but have not pursued it due to projected costs and expected quality of the web casts. We do audiotape meetings and CD copies of the meetings are available upon request for a nominal charge for postage and discs.

12. Conni went to Portland, OR and Chicago for conferences. Chapman and Flannagan are going to Florida for conferences. Has anyone checked to see if this information is available in Ohio rather than traveling long distances for the information? Is this really necessary? The specific conferences attended by Ms. Ramser, Ms. Flannagan and Mr. Chapman are offered by the International Foundation for Employee Benefits and are specifically designed as part of a well-developed and comprehensive training series for plan administrators and trustees. Depending upon the program selected, the course content includes plan governance, benefits administration, health care, and investments.

The programs are not offered in Ohio. Board members uniformly rate these as being among the best training opportunities available. In addition to the quality of the programs, the opportunity to interact with the presenters, staff and trustees from other systems is not easily replicated here.

The Board has participated in local training as well.

Larry KehresMount Union Collge
Division III
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