Legislature

LEGISLATION

Printed in the Letter to the Editor portion of  the Greenville Daily Advocate,  Wednesday, November 2:

Editor:

     The hypocrisy and down-right lies that certain members of the Republican Party are spreading about Senate Bill5 (Now State Issue 2) is nothing short of absurd, cowardly, and greedy.  For instance: witnesses the attack on a 76-year old grandmother, Marlene Quinn, whose appreciation for and support of our firefighters, was purposively distorted by the supporters of State Issue 2 (so much in fact that the commercial was pulled from the airwaves) and the absurd claim that state workers make 43 percent more than "the rest of us" (though the only apple-to-apples study of Ohio public employees pay versus performed by Jeffrey Keefe of Rudgers University, found that Ohio's public employees are actually under compensated by 5.9 percent to their private market counterparts.

     And then witness the unabashed hypocrisy of State Senator Keith Faber. Faber has held multiple town hall style meetings using scare tactics in an attempt to sway support for Issue 2.  This is the same Keith Faber who along with his Republican cohorts, voted themselves automatic pay raises in 2000 with the passage of HB 712, making them the 6th highest paid legislators in the nation! This is the same Keith Faber that cried like a new-born baby in 2009 when fellow legislators introduced  HB 210, which would have mandated 5 percent pay decreases for our state legislators (the bill DID not pass). This is the same Keith Faber that exempted himself from the provisions of Senate Bill 5/State Issue 2.

     Tell Keith Faber and his "comrades" that you are sick of these pampered, privileged, career politicians.  Vote "No" on State Issue 2 and when given the opportunity vote these freeloaders out of office.

James Hobb                                                                                                                                               Lima, Ohio

Received September 28, 2011:

Received July 14, 2011:

OHIO RETIREMENT STUDY COUNCIL TO SEEK PUBLIC INPUT ON PENSION PROPOSALS
Ohio Retirement Study Council (ORSC) chair, Sen. Keith Faber, said today that he intends to hold Council meetings at various locations around the state in August, September and October to get public input on proposals to strengthen the financial condition of the five statewide public pension systems. At this morning's ORSC meeting, Faber asked members of the Council to review their calendars so that upcoming dates can be determined. Once dates and locations are set, STRS Ohio will share this information via our e-mail news service and on our Web site (https://www.strsoh.org). We encourage our members to attend these meetings to share their opinions with their legislators - and to voice support for STRS Ohio's plan to ensure the long-term solvency of the pension system.
 

A message from ORTA (Received June 3, 2011):

Subcommittee Appointed by ORSC to Seek An Independent Study of Pension Proposals

Received April 28, 2010:

We've made it easy for you to contact legislators concerning HB69. Just go to the opening page at www.orta.org where you can contact legislators with an individual click for each one. Write your own message or get some ideas for the message posted there.

Thank you.

ORTA Webmaster

Received March  17, 2011:

      Darlene Ruzicka, District III Director of ORTA, spoke at our meeting on March 17, 2011. She is urging us to make our voices heard concerning changes in our retirement system that will be decided by our Legislature. We can do that by calling, e-mailing or snail-mailing.

        ORTA has proposed a plan that will both reduce spending and provide retirement security.  The letter below supports this plan.  It can either be printed and mailed or e-mailed.  You will need to add YOUR NAME AND ADDRESS and THE GREETING (Use Honorable for Schuring & Wachtmann and Senator for Faber).  Darlene suggests that you contact these three members of the Ohio Retirement Study Council first. 

Kirk Schuring (R) Representative District 51     Tel:  (614) 752-2438

77 S. High St.                                                       Fax:  (614) 719-6951

11^th Floor

Columbus, OH  43215-6111                   Email:  district51@ohr.state.oh.us

Lynn Wachtmann (R) Representative District 75   Tel:  (614) 466-3760

77 S. High St.                                                           Fax: (614) 719-3975

13^th Floor

Columbus, OH  43215-6111                     Email:  district75@ohr.state.oh.us

Keith Faber (R) Senator  District 12

President, Pro Tempore                                          Tel:  (614) 466-7584                          

Senate Building

1 Capitol Square, 1^st Floor                           Email:  SD12@senate.state.oh.us

Columbus, OH  43215

     This is a sample letter you can use when contacting these individuals:

I"’m concerned about the funding shortfall faced by my retirement system, STRS Ohio.  If the changes proposed by the Retirement Board are not implemented, STRS Ohio will eventually be unable to pay pensions.

 The Retirement Board took the responsible and prudent step of developing a package of reasonable, measured changes to help strengthen the financial condition of my retirement system. Because all of us are living longer, the plan recognizes the need to increase the retirement age and reduce benefits for current and future retirees; it also calls for an increase in member contributions.

The overarching goal in presenting these changes is to preserve pension benefits for public educators in Ohio.  These pensions:

·          Provide teachers a reasonable and reliable retirement income they won’t outlive—a problem now faced by

         millions of Americans whose savings accounts, such as 401(k)s, have been depleted by this recession.

·       Provide a stable source of revenue for my local community.  Pension recipients are able to spend their pension dollars at their local grocery store, pharmacy and gas station and pay taxes on these pensions to help support

       needed government services.

·         Save taxpayers billions of dollars in potential public assistance expenditures, including Medicaid and social

       services.  Ohio is already struggling to budget a higher level of resources to cover new people seeking assistance.        

·         Help Ohio’s schools, colleges and universities recruit and retain quality educators.

 STRS Ohio offers a pension plan that helps ensure my retirement security; security that I wish all Ohioans had.   Taking away that financial security is not good public policy.

 I am here to ask you to support the changes requested by STRS Ohio that preserve our pensions.  If you cannot support them, I would like to know what you could support or what alternative you might offer to strengthen my pension system."

MUCH MORE INFORMATION IS AVAILABLE FROM THE ORTA WEBSITE:    http://www.orta.org

Received October 19, 2010:

BOARD ADOPTS REVISIONS TO LONG-TERM PENSION REFORM PLAN
At its October 2010 meeting, the State Teachers Retirement Board approved changes to the pension reform plan originally adopted by the board on Sept. 1, 2009. Since then, the Healthcare and Pension Advocates for STRS (HPA), who represent a coalition of member, employer and retiree groups, have suggested some modifications to the plan. After discussing these changes for several months, the board approved modifications in three areas at this month's meeting. With these changes, both the Retirement Board and the major constituency groups are now united in their support of the proposed reform package and can work collectively for its passage in the Ohio General Assembly.

The modifications are as follows:

- Retirement Eligibility
The transition period for qualifying for a retirement benefit at 35 years of service from 30 years of service will be phased in based on the following timeline:

30 years of service until 8/1/2015;
31 years of service 8/1/2015 through 7/31/2017;
32 years of service 8/1/2017 through 7/31/2019;
33 years of service 8/1/2019 through 7/31/2021;
34 years of service 8/1/2021 through 7/31/2023;
35 years of service from 8/1/2023 and after.

As in the board's original plan, members will still be able to retire at age 60 with 30 years of service or at age 65 with five years of service, beginning Aug. 1, 2015. Under the revised plan, a member may also retire with 30 years of service under age 60 or at age 60 with five years; however, the pension benefit will be actuarially reduced beginning Aug. 1, 2015.

- COLA (Cost-of-Living Adjustment)
Under the revised plan, STRS Ohio members who are retired as of July 1, 2011, will receive an annual 2% COLA. Members retiring after 7/1/2011, will also receive a 2% COLA, but it will not begin for 36 months after the date of retirement.

- FAS (Final Average Salary)
Rather than request a change to a five-year FAS calculation from the current three-year calculation, the Retirement Board will now seek statutory authority to set a three-, four- or five-year FAS. This will give the board some discretion in making this change on the proposed implementation date of Aug. 1, 2015, based on the actuarial condition of the pension fund at that time.

The proposed changes to contributions and the benefit formula contained in the board's original plan remain the same. Member and employer contributions would be increased by a total of 5% by July 1, 2020. The member increase would be phased in at 0.5% per year, beginning July 1, 2011, until 2.5% is reached on July 1, 2015. The employer increase would be delayed for five years, when it would be phased in at 0.5% per year, beginning July 1, 2016, until 2.5% is reached on July 1, 2020.

Under the board's plan, the benefit formula would be 2.2% per year for the first 30 years of service; 2.5% per year thereafter, beginning Aug. 1, 2015. With this formula change, the 35-year enhanced benefit is eliminated.

The entire package of changes is projected to save about $8.4 billion in accrued liabilities and would bring the pension fund to a 35.1-year funding period; a slight increase from the 33.4-year funding period that would have resulted from the board's original plan.

The changes contained in the Retirement Board's plan require legislative action. The introduction of any pension legislation is not expected until after the November election.

 

(H.B. 315)

      “Rep.Oelslager, (R-North Canton) introduced the H.B. 315 in Sept. 2007.The bill would provide a dedicated source of revenue for retiree health care. It would permit STRS to collect an additional .05% from both the active teachers and their employers for 5 years. The bill was assigned tithe House Financial Institutions, Securities and Real Estate (FIRES) committee. No hearings have been held. Legislators are currently on recess and will return for a few weeks in a” lame duck” session. Testimony on HB 315may be scheduled. However, we do not expect the bill to pass his year. It will need to be reintroduced (with a new number) in the new 128^th General Assembly which convenes in January, 2009.

     All 99 members of the Ohio House are up for election in November. Some are term limited. Sixteen of the 33 Ohio Senate seats are also on the ballot. Thus, the 128th General Assembly will have many freshmen legislators and new leadership in both chambers. The education process on HB 315, STRS retiree health care, will continue for some, and begin anew for others.”

Quoted from Bill Jabs, Legislative Chair, ORTA in the fall 2008 ORTA Quarterly

GPO/WEP

     “Two provisions in our nation’s social security program affect Ohio’s retired teachers. The Government Pension Offset (GPO) and the Windfall Elimination Provision (WEP) reduce or eliminate social security benefits. The GPO reduces your spousal benefit if you receive a public pension. The WEP reduces your own social security benefit since you receive a public pension. These provisions affect career teachers. They can also affect those who leave the private sector mid-career and are recruited into the education field.

     ORTA has worked with OEA the past year to gather signatures encouraging hearings on HR 82and S 206 which would repeal the GPO/WEP. Two hearings were held. ORTA continues to work at the national level with Rand other groups. ORTA was represented in D.C. in September to address this issue.”

 Quoted from Executive Director Ann Hanning in the Fall 2008 ORTA Quarterly

“Health Care News

     We’ve learned that while the Health Care plans through STRS will not be changed, we should expect a 10-15% increase in the premiums. An increase was expected but this one is difficult to handle, especially for those paying full fare. Medicare premiums are also expected to in­crease substantially. We are working with AARP at the national level to ad­dress and limit these increases. Please view the ORTA web-site for up-to-date postings.

   In late July, STRS will be sending letters to 35,000 retirees - benefit recipients under the age of 65 years. They'll be asked to return a completed form asking whether they are em­ployed. This is the initial step in determining if those rehired retirees will need to secure their primary health care insurance through their employer (public or private) and use STRS health care as a secondary provider."

Quoted from Executive Director Ann Hanning in the Summer 2008” ORTA Quarterly”

“New Year, New State Legislature,

New Challenge to pass Critical Health Care Legislation 

     As predicted, House Bin 315, which we have been watching sit in committee for close to a year, has run its dying course. Even the heroic efforts by the members of the Health Care Advocates for STRS (HCA) and the Health Care Champions could not move it out of committee and onto the floor for a vote. Anew bill must be introduced in this new legislative session, which begins in January 2009.

      It wasn't difficult to understand the dilemma of H.B.3l5. Legislators in 2008 were involved in the campaign season, working to get themselves and those of their party elected and reelected. Our bill was not a high priority during that time. However, now that all the campaigning and political posturing is over for a while, we must grasp the opportunity to move a health care bill forward. It is a different legislature with new leadership and a new majority.  Freshman legislators will be involved with evaluating the merits of the proposed bill.

       The Health Care Champions and each of our legislative committees in each of our local chapters will be redoubling their efforts to contact the legislators of their districts by phone, email, postal delivery and in person with the message of our need for this legislation.  The people on these committees will be contacting you, as well, to show you how you can influence your legislator, and educate them about a new bill On the state level, HCA has already begun contacting representatives and senators, urging them to co-sign and support a bill in the 128th General Assembly.

   You have heard it said many times by now: “Retirement without health care is not retirement at all.” To say health care legislation to provide dedicated revenue into the Health Care Stabilization Fund at STRS is critical, is an understatement! The retired teacher of Ohio will be left W1THOUT a STRS health care plan

     So this is our priority for the foreseeable future.  Your legislative people will be contacting you for your help.  For all retired teachers, present and future, let’s get legislation passed."

Quoted from Winter 2009 “ ORTA Quarterly”

Dennis Leone

    If you would like more information about legislative matters, go to the ORTA website, http://www.orta.org/id2.html