Molly Janczyk re: HB 315

From Molly Janczyk, November 15, 2008
Subject: HB315: A clarification, please.

Let there be no mistake. I fully support HB 315 and allowing educators to pay ahead for their own health care. I have simply put out arguments heard from school boards and some legislators -- not how I feel about the need for HB 315.

1. We must find steady funding for health care at STRS in order to attract quality educators. Otherwise, top educators will go elsewhere -- to other states or other careers.

STRS, being self insured, DOES NOT HAVE THE MONEY in spite of our differences to pay health care at $1.5 MILLION per day for a length of time.

2. We will have an aging population of active educators who cannot afford to retire and who cannot pay for health care in retirement. These older educators will bring increasing health problems with them.

School districts will pay more for health benefits for them to stay active, sick leave will increase and pay for substitutes will be added to the districts' bills. Taxpayers will pay more for ER care due to more educators unable to pay for healthcare in retirement losing health care.

3. Educators want to pay ahead for their own healthcare. School boards can find and reallocate money for needed increases totally only .5% per year topping out at 5 yrs. Trim administrative jobs, consolidate positions, work more efficiently and effectively. Money can always be found if the issue is important with redistributions. Lazares was a master at this!

This increase is a small price to pay to save healthcare for professionals well deserving. Educators should not be punished for extravagant spending. The dollars wasted do not add up to anywhere near $1.5 MILLION DAILY! BUT, this money could be used for the neediest retirees, and would create a more stable appearance and trustworthy status.

STRS has been stellar in its recouping of losses! I have never said otherwise. I am only commenting on the appearance to retirees in crisis and sensitivity and am nor have EVER implied that these monies would even come close to paying for healthcare now or in the early 2000's. $1.5 MILLION DAILY is a huge amount and long term health care can only be obtained through legislation by allowing an increase in contributions which has been stagnant for 15-20 yrs and never been raised to meet the inflation costs.

Without HB 315, retirees suffer draining their finances, selling homes, and refusing meds, treatments and Dr. visits. Future retirees fear no healthcare and none can ever pay for their own healthcare. Legislators like to throw out with the 35 yr rule, that they can, but even those cannot at today's costs. I doubt any legislators could either.

Please never confuse my attempts to present compassion and prudence to retirees as ever being anything but now and always for health care legislation to improve the quality of life for retirees-future and current. Ohio sorely needs a boost in education and a system that can guarantee health care would certainly catch attention of educators.

It is rhetoric for school boards and legislators to deny its important just as it is rhetoric for STRS not to ALSO improve its status and good intent by incrementally increasing years for retirement, reworking the 35 yr rule to be more equitable and stepping away from union demands and fully engage all membership -- actives and retirees.

One does not replace the other but all ways to improve long term should be engaged for their far future of educators NOW -- not later, as happened with us.

Molly J.