Richland County Retired Teachers Association
July 13, 2009
STRS of Ohio Board
275
E. Broad St.
Columbus, OH 43215-3771
Dear Board Members:
We the undersigned members of
the Richland County Retired Teachers Association ask that you not make changes in the Cost of Living Adjustment. We
also support HB 177 which prevents the STRS Board from paying performance-based investment bonuses to system employees in
years of negative return.
COLAs are not intended, nor do they function, as a benefit increase. COLAs help ensure
that beneficiaries, particularly the oldest ones, will not outlive their resources. Retired educators are
already experiencing increases in health care premiums. The Seattle Times
on February 26 reported that
in 2017, health care spending will cost an estimated $13,101 a person.
Active teachers have more options open
to them. They can choose to teach longer and benefit from that choice. They also get raises and step increases.
Instituting changes on actives now will give them time to plan.
We hope the board will consider other options,
especially in the cost of doing business end. Staff and compensations can be reduced. Many government employees
and workers in the private sector are voluntarily taking 5% wage reductions in fiscal year 2010.
HB 177 needs
to be passed to prevent our own STRS Board from rescinding its current PBI rules. As Executive Director Nehf has
stated the bonus policy can be modified whenever the board sees fit.
Please consider the best interests or retired
educators when making needed changes.
Sincerely,
Carol Bertholf
Legislative Director, RCRTA
Richland County Retired Teachers Association
July 13th
Jay P. Goyal, Majority Whip
77 S. High St
14th Floor
Columbus, OH 43215-6111
Dear Representative
Goyal:
We the undersigned members of the Richland County Retired Teachers Association ask that you support HB
177 which prevents the State Teachers Retirement Board of Ohio from paying performance-based investment bonuses to system
employees in years of negative return.
HB 177 needs to be passed to prevent our own STRS Board from rescinding
its current Performance Based Incentives rules. As Executive Director Nehf has stated the bonus policy can be
modified whenever the board sees fit.
OEA is now stating its opposition to HB 177 because it singles out STRS
and not the other public pension systems. Representative Huffman and Representative Bubp gave sponsor testimony on the
bill. They said the bill was sparked from angry sentiments about the bonuses expressed by retired teachers in their
districts, especially in light of news that STRS might cut benefits, move back the retirement age, or increase contribution
requirements to account for a steep drop in the investment portfolio as a result of the economic downturn. They noted
that while the STRS board has suspended performance-based bonuses for now, they still might vote in September to pay bonuses
for the first half of this fiscal year. Bubp also noted that the board has discretion to change or eliminate bonus payments
at anytime.
It is undetermined at this juncture if a second hearing, for proponent testimony, will be scheduled.
Please contact Aging and Disability Services Chair Newcomb and Speaker Budish and let them know that the Richland County
Retired Teachers would like a second hearing on this bill soon.
We are appreciative of you past support on education
issues and ask again that you consider the best interest of reitred educators when casting votes.
Sincerely,
Carol Bertholf
Legislative Director, RCRTA