Kathie Bracy to Mike Nehf: Do WE have a guarantee?

From Kathie Bracy, October 31, 2008
Subject: Pension fund guarantee?

Dear Mr. Nehf,

According to the SERS website (http://www.ohsers.org/GD/Templates/Pages/Sers/gdPageTemplate001.aspx?page=443#mmo), SERS retirees have a guaranteed pension:

"A SERS pension is guaranteed by Ohio law (section 3309.661 of the Revised Code) and cannot be reduced due to investment losses."

In checking STRS Ohio's website, I can find nothing about a guarantee for STRS retirees' pensions, just reassurances such as:

"Times like these are a good time to remind our members that STRS Ohio pension benefits are safe and secure."

and

"Every month, we have thousands of retirees who can count on receiving a pension check from STRS Ohio — regardless of market fluctuations."

Assurances are nice, but do we have an actual guarantee that our pensions are safe in the same manner as SERS pensions? What can you tell me about this?

Thank you.

Kathie Bracy