A trip back in time and some familiar names

From John Curry, December 21, 2007

Subject: A trip back in time and some familiar names....very familiar! Thank you, Paul Kostyu

Meanwhile, the Ohio Education Assn. came to the defense of Dyer and the STRS. The teacher union’s president, Gary L. Allen, sent an e-mail message to his executive committee, district leaders, advisory council, local presidents and STRS board members questioning the motives of Dennis Leone, the Chillicothe City Schools superintendent who is largely responsible for calling attention to the STRS spending spree.

“Mr. Leone’s motives for his decision to broadcast his claims far and wide are unclear,” Allen wrote. “Much of his logic is difficult to follow.”

Allen suggested that Leone’s effort were “destructive.”

"Allen said there was no relationship between his criticism of Leone and the fact that a current STRS board member is a former OEA president.

Michael Billirakis is a past president of OEA and Dawn Leibensperger, the wife of an OEA employee, was active in his election bid. Leibensperger is an OEA president in Dublin, in central Ohio."

Lawmakers want resignation, audit: Teachers Retirement System director under scrutiny

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By PAUL E. KOSTYU, Copley Columbus Bureau
New Philadelphia Times Reporter, June 13, 2003

CHILLICOTHE – One lawmaker who helps oversee the state’s five retirement systems called Thursday for the resignation of the executive director of the State Teachers Retirement System while another said the system’s books need to be audited. Sen. Kirk Schuring, R-Jackson Township, said it’s time for Herbert Dyer to go, following revelations this week that the system has spent over $15 million on staff bonuses, artwork and travel over three years while the system’s investments plummeted by $12.3 billion over that same time.

Schuring said Dyer has lost the confidence of the STRS members and new leadership is needed. In his fifth year on the Ohio Retirement Study Council, Schuring is its former chairman.

Rep. John Boccieri, D-New Middletown and a council member, said Dyer does not understand that the money spent by the STRS board “is not the board’s money or his money.” Boccieri, whose parents are STRS members, wants an audit of the system’s books, but he said calling for Dyer’s resignation “is a bit premature.”

State Auditor Betty Montgomery said in an e-mail Thursday she was concerned about “what we are being required to do in our state retirement systems” and that her office will “raise serious questions” about STRS policies.

Meanwhile, the Ohio Education Assn. came to the defense of Dyer and the STRS. The teacher union’s president, Gary L. Allen, sent an e-mail message to his executive committee, district leaders, advisory council, local presidents and STRS board members questioning the motives of Dennis Leone, the Chillicothe City Schools superintendent who is largely responsible for calling attention to the STRS spending spree.

“Mr. Leone’s motives for his decision to broadcast his claims far and wide are unclear,” Allen wrote. “Much of his logic is difficult to follow.”

Allen suggested that Leone’s effort were “destructive.”

While Allen was sending his message to OEA leaders, the union’s rank and file were lining up behind the superintendent who has become a hero to many.

Leone, lawmakers and news media reported getting numerous calls and e-mail messages backing his efforts and calling for action. All 120 e-mail messages Leone received from administrators, teachers and retirees thanked him, asked how they could help or encouraged him to continue. A couple suggested a class action lawsuit.

Allen said there was no relationship between his criticism of Leone and the fact that a current STRS board member is a former OEA president.

Michael Billirakis is a past president of OEA and Dawn Leibensperger, the wife of an OEA employee, was active in his election bid. Leibensperger is an OEA president in Dublin, in central Ohio.

Billirakis billed STRS $9,923 over three years for expenses, including trips to San Francisco, Boston (twice), Atlanta, Tacoma, Wash. and Anchorage, Alaska. He was one of the lowest spending board members. The top spender is Hazel Sidaway of Plain Township, who spent $54,216, which included 25 trips requiring airfare.

Allen said the past spending habits of Dyer and the board are “old news” and it’s time for the system to move forward. He said, however, changes should be made in how bonuses are awarded to employees.

Schuring said he has heard repeatedly from constituents who have been in touch with Dyer.

“I am appalled with the kind of response my constituents have gotten from him,” he said. “He is a brash, arrogant and condescending man.

“We need a new leader who takes these matters seriously and not be part of any plan to spend money unwisely.”

Sen. Lynn R. Wachtmann, R-Napoleon and chairman of the council, wrote to a constituent in February that STRS did not move fast enough to prevent cuts in the health care benefits of retirees. Wachtmann said earlier this week that he wants more hearings on the STRS spending and its health care program.

Sen. Jim Jordan, R-Urbana but not on the study council, also writing to a constituent, said on May 28 that “Mr. Leone raises a number of valid issues pointing (to) mismanagement and inefficient use of funds by STRS.”

Leone said his motive is clear: “To get the board to change its spending practices and respond to its members.”

“This year there was a long and ugly teacher strike in the Eastern Local School District south of Chillicothe that the OEA rightfully supported,” Leone said. “What would have the reaction been from OEA and teachers if they found out the Eastern school board was spending like the STRS board? There would have been outrage if the board was flying to Hawaii, giving principals bonuses and purchasing polished stones for the superintendent’s office.”

This page was created June 13, 2003