Tom Curtis: Letter to Rep. Slesnick

From Tom Curtis, June 5, 2009
Subject: 060509 Rep Slesnick, Re House Bill # 177...yes, it is Bipartisan!
Hello Rep. Slesnick,

I am writing to ask you to add your name as a co-sponsor to this bill. The STRS investment employees should not be receiving bonuses whenever the fund has a negative return for the year. It is unbelievable that these same employees have already been awarded $6 million dollars this year for a past years' negative returns. This has to be stopped.

This is the kind of nonsense that occurs when the OEA is permitted to buy the seats on the board and fill them with unqualified people.

Thank you for your support and would you kindly respond to my request?

Tom Curtis
N. Canton, OH 44720

http://www.legislature.state.oh.us/BillText128/128_HB_177_I_N.html

As Introduced

128th General Assembly Regular Session 2009-2010

H. B. No. 177

Representatives Huffman, Bubp

Cosponsors: Representatives Morgan, Sears, Maag, Chandler, Burke, Blair, Grossman, Boose

A BILL

To enact section 3307.045 of the Revised Code to provide that investment personnel of the State Teachers Retirement System may not receive performance-based bonuses or premiums in years of negative investment returns and to declare an emergency.

BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF OHIO:

Section 1. That section 3307.045 of the Revised Code be enacted to read as follows:

Sec. 3307.045. (A) As used in this section, "investment officer" means a person employed by the state teachers retirement board for purposes of engaging in securities transactions or making any other investment of funds on behalf of the state teachers retirement system.

(B) For each fiscal year in which the state teachers retirement system experiences an absolute overall negative return from the investment of the system's funds, an investment officer is entitled only to consideration for services the officer renders in that capacity, and is not entitled to a performance-based bonus or premium in addition to or as part of the consideration. Any term or condition of a contract or other form of employment agreement between the state teachers retirement board and an investment officer that provides a performance-based bonus or premium is void.

Section 2. Section 3307.045 of the Revised Code, as enacted by this act, applies only to contracts and other forms of employment agreements that are entered into, amended, or renewed on or after the effective date of this act.

Section 3. This act is hereby declared to be an emergency measure necessary for the immediate preservation of the public peace, health, and safety. The reason for such necessity is that the improper use of State Teachers Retirement System funds conflicts with the fiduciary duty of the State Teachers Retirement Board. Therefore, this act shall go into immediate effect.