Wednesday, June 21, 2006

Judi Peaspanen: Research on the ORC regarding our HC

THIS IS HOW THE ORC (OHIO REVISED CODE) READ FROM 1976 – 1997. THIS LAW WAS IN EFFECT OUR ENTIRE TEACHING CAREER. AS I HAVE SAID PREVIOUSLY, NOTHING CHANGED UNTIL STRS STARTED RAISING THE HEALTHCARE PREMIUMS AND THE ACCOUNTING METHOD WAS CHANGED. HEALTHCARE PREMIUMS WERE NO LONGER NETTED AGAINST HEALTHCARE COSTS, BUT ARE REFLECTED AS REVENUE (EARNINGS). (CORE) CONCERNED OHIO RETIRED EDUCATORS RECENTLY FORMED TO FIND OUT WHAT IS HAPPENING. RECENTLY CORE QUESTIONED THE STRS BOARD AS TO WHETHER THE ORC (OHIO REVISED CODE) HAD BEEN CHANGED. STRS SAID “NO”. ALL OF THE PAGES OF THE ORC. WERE DESTROYED WITH THE ADVENT OF THE INTERNET EXCEPT A FEW PLACES IN THE STATE. THIS INFORMATION WAS NOT READILY AVAILABLE UNTIL I SOUGHT IT OUT ABOUT A MONTH AGO.

3307-1-22 Health care services

Pursuant to the provisions of sections 3307.74, 3307.33 and 3307.405 of the Revised Code, the state teachers retirement board establishes the following rule:

(A) Benefit recipients are eligible for health care benefits on the following basis:

(1) The state teachers retirement board hereby waives the single rate monthly conventional premium costs for retirants or other primary benefit recipients whose benefits are based on not less than one and one-half years of credit for Ohio service and who are enrolled in the Ohio retirement systems health care plan or such health maintenance organizations as the board may approve.

THIS IS HOW THE OHIO ADMINISTRATIVE CODE READ IN 1976 – 1997

3307-1-22 Health care services

Pursuant to the provisions of sections 3307.74 and 3307.405 of the Revised Code, the state teachers retirement board establishes the following rule:

(A) the state teachers retirement board shall pay all of the single rate monthly premium costs for retirants, or other primary benefit recipients whose benefits are based on not less than one and one-half years of credit for Ohio service and who are enrolled in the Ohio retirement systems health care plan or such health maintenance organizations as the board may approve.

(B) The retirement board shall continue to enroll all eligible dependents, as determined by the retirement board, who elect such coverage.

Actually in my opinion we should have been vested after 1 1/2 years as stated in 1976. It should not be based on when we retired, but rather on when we met the vested rights of Health Care as stated in the Ohio Revised Code in 1976 through 1997. To take this right away would be taking away property rights we already have as, prohibited by the Ohio Constitution.

“In 1997 STRS changed the accounting system : Health care premiums prior to fiscal 1997 were netted against health are costs. Starting in fiscal 1997, health care premiums are reflected as a revenue (earnings) item.” (1998-99 STRS Annual Report)

In 1998 STRS changed the ORC to read:

3307-1-22

Health care services

(A) Benefit recipients are eligible for health care benefits on the following basis:

(1) The state teachers retirement board hereby waives a portion of the single rate monthly conventional premium costs for retirants or other primary benefit recipients whose benefits are based on not less than one and one-half years of credit for Ohio service and who are enrolled in the Ohio retirement systems health care plan or such health maintenance organizations as the board may approve. The portion of the conventional premium to be waived shall be determined by a schedule or formula adopted by the board at least every two years after an assessment of funds available for such purpose.

STRS Ohio is not an employer-sponsored retirement or pension plan. With few exceptions, Ohio public schools teachers are required to contribute to STRS Ohio. It is governed by Ohio Statute and operates by authority of the Ohio General Assembly. The governance of STRS is vested in the State Teachers Retirement Board. This is our money. We have provided for our retirement and we are, I believe, entitled to these Healthcare benefits. They are rights we had all during our teaching careers!

More changes after 2000.

Judi

Larry KehresMount Union Collge
Division III
web page counter
Vermont Teddy Bear Company