Governor Strickland, in ten words or less, 'Keep your paws off our pension funds!'

A retiree and benefits recipient in the STRS system with a pension annuity still in OPERS.

John Curry
6/27/09

Associated Press

Pension cut proposal is Ohio budget sticking point

By STEPHEN MAJORS , June 27, 2009

COLUMBUS, Ohio -- A proposal by Gov. Ted Strickland to cut the amount Ohio contributes to a pension fund for government employees has emerged as a major sticking point in budget negotiations, as lawmakers worked Saturday to meet an impending budget deadline.

The governor's proposal has strained the traditional alliance between Democrats and government employee unions, who have found an unlikely ally in Republican lawmakers who say the proposal is foolish.

Strickland has suggested that lawmakers cut the state's contribution to the Ohio Public Employees Retirement System from 14 percent to 8 percent over the next two years to shave $256 million off the state's $3.2 billion budget gap. To offset the drop in state contributions, the governor wants to reimburse the pension fund, which has assets of $60 billion and serves about 936,000 members and retirees, over a 10-year period.

Click here to read entire article:

http://www.forbes.com/feeds/ap/2009/06/27/ap6594473.html