STRS FLASHBACK- 5 years ago today - the Ohio Senate passes the Ohio Pension Reform Bill (Senate Bill 133) and sends it to the Governor

From John Curry, May 27, 2009

This article does not mention that Dr. Leone and some CORE members were asked to attend the signing of the bill. Dr. Leone's investigative reporting of the misspending, mismanagement, and entitlement culture at STRS (along with CORE members letters to the legislators) led to the writing and passage of this bill. Thanks Dennis and CORE members!

Writing to your legislator can make a difference!

John

After heated exchanges, Senate sends pension reform bill to Taft

Canton Repository, May 2007, 2004
By PAUL E. KOSTYU
Copley Columbus Bureau chief

COLUMBUS — Senate Democrats charged that Republicans are playing politics with the governing boards of Ohio’s five public pension systems. But they failed Wednesday to convince any Republicans to vote against a reform bill approved in the House on Tuesday.

The Senate went along with House changes to the Senate bill, which now goes to Gov. Bob Taft.

The bill:

• Changes the makeup of pension boards.

• Establishes ethics policies.

• Requires the registration of lobbyists.

• Sets a 10-year rotation of audits of each system.

• Requires financial disclosures, licensing and training.

• Sets standards for removal or suspension of board members.

• Gives permission to the attorney general to sue board members.

• Requires the reporting of business done with Ohio banks and brokerages.

Orest Holubec, a spokesman for Taft, said the governor “looks forward” to signing the bill, but he didn’t know how soon that would be.

Taft wanted the legislation by the end of 2003, but bickering between House and Senate Republicans delayed it.

The bill sprang from media reports last year about questionable spending by the pension funds on travel, artwork, bonuses and other expenses.

It comes on the heels of a report from the Ohio Ethics Commission that alleged criminal wrongdoing at the Ohio Police & Fire Pension Fund. That’s been sent to the Franklin County prosecutor.

The ethics commission also is continuing its investigation of the State Teachers Retirement System. That report is expected within the next few months.

The hour-long debate Wednesday on the reform bill came close to name-calling when state Sen. Lynn R. Wachtmann, R-Napoleon, called a question from Sen. Robert Hagan, D-Youngstown, “really stupid.”

That drew a rebuke from Senate President Doug White, R-Manchester.

“I will allow honest debate,” he said, “but I don’t want to hear any more judging as I just heard.”

Wachtmann never apologized.

Minutes later, White interrupted Sen. C.J. Prentiss, D-Cleveland, and warned her “to be careful” when she began questioning the motives of House Republicans when they dealt with pension reform Tuesday.

“You can judge their action, but not their heart,” he said.

Democrats focused their ire on a provision of the bill that removes the attorney general and auditor from the boards and replaces them with appointees with expertise in investments. The board members would be appointed by the governor and jointly by the House speaker and Senate president.

“There’s too much politics in it,” said Sen. Dan Brady, D-Cleveland.

Earlier in the day, the Ohio Retirement Study Council approved the Senate bill on a split vote. The council also awarded a contract to Independent Fiduciary Services of Washington, D.C., to do performance audits of the teachers’ and police funds. The audit will cost the systems a total of $758,000.

Bill No.: S.B. 133

What it does: Improves oversight of Ohio’s five public pension systems after a year of controversy over spending and investment decisions.

Updated status: Ohio Retirement Study Council approved, 6-1, Wednesday; Ohio Senate concurred with House changes, 22-11. The bill goes to Gov. Bob Taft for his signature, and becomes law in 90 days.