Public speeches at 10/20/05 STRS Board meeting; summarized by Molly

STRS BOARD MEETING: 10/20/05: Speeches/HC Committee Meeting

There was no problem today with 8 speakers pretty well divided between OEA and CORE. No issues at all ensued.

1. Tom Curtis: online speech will follow.

2. Glenna Barr: Highland Co. Welcome new board members.

* Meeting for annual retreat in Feb and making plans for 2007 HC. STRS staff should be able to use expertise before the Feb retreat to negotiate steepest discounts available with PBM, HC co.s, and Dr. groups to present options for different HC and PBM companies. Need to review Aetna program. If not giving good service, why keep? I am thinking seriously of changing to Med Mut.
*We need affordable rates and have good reliable HC programs as the retiree is required to pay larger part of HC bill, deductibles, esp. the non medicare group. The premiums should be more = or we will have a higher rate of reverse selection which hurts STRS HC program.

*The retirees need compounded COLAS to give more revenue as Medicare is increasing on average of 12% each yr. as well as increase in HC premiums.

*I hope efforts of HCA will help us in this problem but they have not given much info as to what is happening.

*I comment CORE and Dr. Leone for being here the last 3 yrs. and being strong advocates for the retirees. Quoting one of our retirees: STRS retirees in Ohio are beyond hurting but desparately need relief. 2006 HC has been decided but 2007 could be better with lower RX copays, deduc., premiums.

3.John _______ (active):
2 issues: STRS and HC.
Market south and HC costs up.
1 source of $$$ is contributions.
My Idea: LEGISLATION UP TO 15% for actives and employer. More for active and less for employer-school districts.

Penalize those who leave STRS HC and are covered elsewhere and come back to STRS when ill for coverage which is a liability.

I am happy with direction and plan of HCA for increasing contributions.

4. Gary Howland (?)
Recognize HC problem. Read news. STRS: retire w/o HC is not retirement.
Preventative Care cheaper:
Prescriber Advisor
Renal Programs
Low Income Assis.
Maintain affordable HC #1 priority.
Adverse selection difficult to prevent when costs soar.

5. Mary Ellen Angeletti:
Read our legal position from CORE attorney stating STRS would not win in court enforcing no naming rule. *Damon commented earlier he agreed with this and the measure was really to contain namecalling, profanity, etc. He agreed basically with the statement re: naming public persons was not the problem. Mary Ellen also addressed speaking slots being equitable.

6. Bob Buerkle (klee)
'80-82: unfunded liability 59 and 57 yrs.
'76-95 : always over 30 yrs. '73: 35 yr. benefit reduced to 32 yrs.
'74 STRS Annual Report: coverages important with RX and no deduc. Medical Ins. in place at retirement but now........ If cost sharing had been done long ago, we might have survived. By 2003, benefits which were promised and paid were shot.

7. Lloyd Knudsen:
"Smoothing" to take long term approach : things go up and things go down and over time = out or smooth out.
This is still indicated by smoothing mentality: Mike B. not corp., not district, 50 yrs. liability doesn't scare me; don't have to account like corp. does.
STRS lost so if don't change smoothing attitude, if always take long term approach, don't deal with what is happening to retirees in short term, like what is happening to them now, when something occurs. Need to deal with short term also. Ask what is happening to our 'stockholders' retirees) now as result during this time?

8. Chris Williams: Active: Pres of 905 members of _______
I heard about a comment last month: "WHERE HAVE THEY BEEN?" Meaning actives.
Well, I've been in my classroom as I expected my assoc. OEA to be my advocate as evidence suggested they would focus on benefits.
THANKS to board and staff for the proposal to increase contributions.
HERE I AM THANKING STRS.

Leone then asked to speak and address Chris. Bob Brown said it was not the rule but he would entertain a motion to do so. Lazares moved and Buser seconded.

LAZARES moved that elected board members should be able to answer concerns, ques. and that at times speakers say things which may contain an error leaving that misunderstood. People need to be able to address the STRS board also. I am elected and people need to be able to address me.

FISHER: I was told don't chose to ans. as we may err w/o reflection.

LEONE: SOME are appointed and some elected and as an elected member, we need respond to and ans concerns. I know when I stood on the other side I was frustrated to speak at you with no repsonse.

RAMSER: I don't think I need to respond with no time to think; that this is a time to listen and then thinnk over pts to be able to respond.

LEONE AND LAZARES: Agreed. IF one does not wish to respond as with other boards, you do not have to do so.

Vote: all yes that Leone could respond except :
No: Puckett, Fisher, Brown

Leone responds to active Chris Williams:

I don't feel Chris Williams should have to be here either as your organization should have but OEA has not been vocal to this board on your behalf.

I said WHERE HAVE THEY BEEN? I am glad you are here to speak now but where were you prior to SB 133 and when your presence was needed and the going was tough? (applause)

BUSER: MOVE for Leone to sketch out plan for public participation; if board member wish to respond , able to if not, don't have to do so. Leone agrees. NO ONE HAS TO but the ability to do so will be in place.

Brown: Tradition has it that policies have been changed; reviewed at the Feb retreat which is what I personally prefer.

Puckett: Feb is good as I can discuss and reflect without acrimony.

LAZARES: This isn't the godfather here: not the mafia; it is a democracy and esp. if elected; not to be confrontational and as I said before we can correct any errors or misunderstandings as well. It will help the board in an organized opportunity to address and answer.

****IT WAS EXCELLENT AND NEW DIRECTIONS HAVE BEGUN FOR THE GOOD! Damon seemed happy and relaxed about the changes and did not wish for there to be any problem over speakers and slots. I felt he was prepared to deal with any issue by his demeanor and attitude. He was direct and specific in his remarks after the meetings and seemed genuinely ready to greet a new day. (my take at the time).

From Molly Janczyk