Dennis Leone: Update on HB 177

From John Curry, June 11, 2009

I have learned today from Dr. Leone that at the end of the last board meeting, Terri Bierdeman was told by Mike Nehf that, if asked, she should inform legislators that the STRS board believes that HB 177 is not necessary due to the board's action (at the May board meeting) which eliminates bonuses in future years in the event that there is a negative stock marked return at STRS. I also have learned that Reps. Huffman and Bubp are moving forward with the bill because they know the board has the power to change this new policy at any time for any reason. Further, Huffman and Bubp wish to stop the 7/12ths bonus payment for fiscal year 2009.

Also, Rep. Huffman reminded legislators on the Aging and Disabilities Services Committee that the entire state legislature is currently being asked to reduce their pay by 5% in fy 2010. Meanwhile, Gov. Strickland has announced that more cuts are on the way for all state agencies due to the current serious shortfall in state revenue. I wonder how many staff members have been cut at STRS and/or how many have received a wage reduction? I think the answer to that is zero.

[Note: if you have not contacted legislators about this bill, I can't urge you strongly enough to do so ASAP. Yes, you CAN and WILL make a difference, but it won't get done without you. More info here. KBB]