Mike Hanke: Conni Ramser's vote makes no sense

STRS ends subsidies to school districts that hire retired educators

GENERALLY SPEAKING MICHAEL E. HANKE

(General manager, Canton Repository)

Canton Repository, August 29, 2006

Unlike some other public employees unions, the State Teachers Retirement System pays health-insurance costs for retired and rehired educators — teachers and administrators — thereby putting that financial burden on the pension fund rather than on the school districts that rehire retired educators. This makes it cheaper for a school district to rehire a retired employee. This is sometimes known as double-dipping. It is an alternative to hiring a new teacher or administrator.

Many retired teachers have been a bit upset that their pension system carries this burden rather than the employer. In fiscal year 2005-2006, for example, the premiums paid by STRS in Ohio for the retired-rehired were about $3.6 million; even worse, the claims were about $5.9 million, which, of course, drives up rates for everyone.

The STRS board, which has undergone some enlightened change since the expensive travel and entertainment expenses of such former members as Stark County's own Hazel Sidaway were revealed a couple years ago, decided at its last meeting to stop paying health insurance for the retired-rehired educators. They decided to stop doing it not only for double-dippers who go back to work full-time in the same field, but also for retirees who take a job in a private industry that pays health-insurance costs, according to STRS board member Dennis Leone. The pension system will stop the practice in 2009.

By this action, the STRS board will end its subsidies to school districts who rehire retired educators. This may help open jobs for new teachers and administrators trying to get into the field. It always is good to have a mix of veteran and rookie educators, just like in business, providing the right dynamic tension for progressive steps in education.

Astonishingly, two STRS board members voted against stopping the practice. The two “no” votes included Stark County's own Connie Ramser. Her vote makes no sense.

Contact: mike.hanke@cantonrep.com

Note from John Curry -- The other "no" vote (besides Ms. Ramser) was the "no" vote of Dr. Puckett (Zelman's designee on the STRS Board).