Ohio lawmakers consider change to teacher pension fund
COLUMBUS, Ohio (WCMH) — Ohio lawmakers are considering a sweeping change to the make up of Ohio's teacher pension fund that could force retirees and teachers off their own board.
The State's Teachers Retirement System (STRS) has been embroiled in controversy of late, with retirees saying they've been denied promised cost of living increases while investment staff gets bonuses despite losing billions of dollars.
Currently, a legislative subcommittee is reviewing pension boards around the country that could possibly change who sits on the STRS board. Over the past few years, teachers and retirees have worked to get 'reformers' elected to the board. These reformers won a majority of the seats of the 11-member board but retirees said multiple Ohio government officials are working to strip their power away.
'Everybody gets rich at STRS, our consultants get rich. Our investors get rich, our STRS management get rich,' said Robin Rayfield, the CEO of the Ohio Retirement for Teachers Association. 'The only people who don't get rich are the people who put the money in, and that is the teachers.'
A manual outlining benefits was given to tens of thousands of Ohio teachers when they were hired, which says they are promised pension with a cost of living increase of 3% annually. Nearly a decade ago, STRS took that away and since 2020, retirees said they have lost 23% of their buying power.
'So we have teachers that are, you know, trying to live on 40, $50,000 I mean, they have roofs on their house that need to be replaced. They need to buy cars. I mean, how do you have an investment like that?' said Dean Dennis of a retiree watchdog group.
FTC, FBI issue warnings about 'deals' that sound too good to be true
This watchdog group has worked to get reformers elected that demand investment transparency and an end to lavish bonuses for investment staff members. Some of these bonuses are as high as $300,000. The group said they are receiving push back, first from Gov. Mike DeWine.
A board member Wade Steen was previously kicked from the board by Gov. DeWine, before appointing G. Brent Bishop to replace him. But at the beginning of 2024, an appeals court determined DeWine overstepped his authority in removing Steen from the position.
The governor called for an investigation into the board, claiming there is a hostile takeover by private interests at STRS. Ohio Attorney General Dave Yost obliged, and called for the removal of Steen and Rudy Fichtenbaum from the board in May of 2024.
Retirees said Steen and Fichtenbaum were targeted because they backed reform. 'The people that we have elected want the most basic, simple things. They want transparency and accountability,' said Dennis. 'That's all we're looking for, because without accountability and transparency, you can't fix a broken pension system.'
The Republican controlled Ohio Retirement Study Council is looking into changes to the make-up of the board. Rep. Sean Brennan (D-Parma), a retired teacher, serves on the bipartisan legislative subcommittee and is keeping an open mind.
'I've always believed in looking for best practices,' said Brennan. 'So if there is something that we could be doing in Ohio that's better than what we're doing now, then why not take a look at it? And as retirees, we paid in and have very much a vested interest in the future of the system. And I think we we are required to have a voice, and entitled to a voice.'
Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Yahoo
24 minutes ago
- Yahoo
County awarded $15 million to help fund new jail
JEFFERSON — After years of chasing grants, Ashtabula County finally came up a winner Friday, as Ohio Governor Mike DeWine announced a $15 million grant for the construction of a new jail. 'The Ashtabula County Board of Commissioners and Ashtabula County Sheriff William Niemi are proud to announce the successful acquisition of $15 million in state funding toward the construction of a new county jail,' a press release from the commissioners said. The grant money will be matched by $15 million the commissioners have saved towards the project, the commissioners said at previous meetings. Niemi, in consultation with the commissioners, decided a new jail just north of the present one on county property would be the most financially-expedient plan. The funding is through the Ohio Jail Safety and Security Program, which was launched by DeWine in partnership with the Ohio General Assembly in 2021 to help local communities fund improvements at functionally obsolete and structurally failing jails, according to a press release from DeWine's office. 'This funding will not only support safer environments for those living and working in our local jails, but it will also help prepare inmates for release by creating improved spaces for workforce development, educational opportunities, and other programming,' DeWine said in the release. The commissioners have been working with Niemi to find the best solution to the current county jail, which is too small, and has been deteriorating. 'I can't tell you what a relief this is, for all the hard work we put into it,' Niemi said. He said the current jail not only has functional problems, but is too small to allow programming that would hopefully reduce recidivism. 'We don't have the space to bring the counselors in,' Niemi said. He said the increased space will allow inmates to have a fuller evaluation and hopefully find their way to the right path. 'This is a transformational moment for Ashtabula County,' Commissioner JP Ducro said in the commissioners' press release. 'This funding allows us to move forward. It is a testament to the persistence of county leaders, the support of our sheriff, and the responsible planning that made a local match possible. I am especially pleased that we can now build a facility that should help reduce recidivism and be much more operationally efficient for decades to come.' The current jail was constructed in 1978 and has long been outdated and insufficient to meet the demands of law enforcement, county leaders have said during the last year of discussions and debate. 'This is a major win. We're incredibly grateful to the state for awarding the full amount of our grant request,' Commissioner Casey Kozlowski said in the release. 'This funding allows us to move forward with the jail project; finally addressing a decades long issue in Ashtabula County.' 'Securing this funding is a major step forward for our county. This project isn't just about building a new facility — it's about making a smart investment in public safety, creating a safe environment for inmates and staff and serving the needs of our community,' Commissioner Kathryn Whittington said in the release. Niemi said in the release Friday was a historic day for the county. 'The new facility will give us the tools we need to run a secure, effective operation and provide the level of care and accountability the people of this county expect,' he said in the release. 'I thank the commissioners, our partners at the state level, and the people of Ashtabula County for supporting this long-overdue step forward.' The new jail will also be helpful for law enforcement agencies and other county courts and departments. 'That is great news,' Ashtabula Police Chief Robert Stell said. 'That is sure to be good for all the [police] departments including ours.' He said there have been crowding issues at the county jail for 10 years, which caused city jails to fill up for longer periods of time. The proposed new jail design would house 209 inmates and take approximately three years to build. Niemi said meetings to discuss the next steps toward construction will start very soon.
Chicago Tribune
32 minutes ago
- Chicago Tribune
Appeals court keeps block on Trump administration's downsizing of the federal workforce
SAN FRANCISCO — An appeals court on Friday refused to freeze a California-based judge's order halting the Trump administration from downsizing the federal workforce, which means that the Department of Government Efficiency-led cuts remain on pause for now. A split three-judge panel of the U.S. 9th Circuit Court of Appeals found that the downsizing could have significant ripple effects on everything from the nation's food-safety system to veteran health care, and should stay on hold while a lawsuit plays out. The judge who dissented, however, said President Donald Trump likely does have the legal authority to downsize the executive branch and there is a separate process for workers to appeal. The Republican administration had sought an emergency stay of an injunction issued by U.S. Judge Susan Illston of San Francisco in a lawsuit brought by labor unions and cities, including San Francisco and Chicago, and the group Democracy Forward. The Justice Department has also previously appealed her ruling to the Supreme Court, one of a string of emergency appeals arguing federal judges had overstepped their authority. The judge's order questioned whether Trump's administration was acting lawfully in trying to pare the federal workforce. Trump has repeatedly said voters gave him a mandate to remake the federal government, and he tapped billionaire Elon Musk to lead the charge through the Department of Government Efficiency. Tens of thousands of federal workers have been fired, have left their jobs via deferred resignation programs, or have been placed on leave. There is no official figure for the job cuts, but at least 75,000 federal employees took deferred resignation, and thousands of probationary workers have already been let go. Illston's order directs numerous federal agencies to halt acting on the president's workforce executive order signed in February and a subsequent memo issued by DOGE and the Office of Personnel Management. Illston, who was nominated to the bench by former President Bill Clinton, a Democrat, wrote in her ruling that presidents can make large-scale overhauls of federal agencies, but only with the cooperation of Congress. Lawyers for the government say that the executive order and memo calling for large-scale personnel reductions and reorganization plans provided only general principles that agencies should follow in exercising their own decision-making process.
Atlantic
39 minutes ago
- Atlantic
Profit and Power
Donald Trump's willingness to mix public office with personal benefit is facing scrutiny, as are his latest pardons. Panelists on Washington Week With The Atlantic joined last night to discuss how the president may be using his power to profit, and more. Meanwhile, Trump's battle with Harvard continued this week. Panelists considered how that fight is being received by voters and Republican lawmakers—and whether the president's continued crackdown on higher education could have political consequences. For Republicans, Trump's action against Harvard is 'not something that they want to break with the president on,' Leigh Ann Caldwell said last night. 'This is not an issue that they're willing to stand in front of him on, like most issues.' Joining the editor in chief of The Atlantic, Jeffrey Goldberg, to discuss this and more: Peter Baker, the chief White House correspondent for The New York Times; Leigh Ann Caldwell, the chief Washington correspondent at Puck; and Stephen Hayes, the editor of The Dispatch. Watch the full episode here.
