Jim N. Reed: Letter to Kevin Boyce

From Jim N. Reed, July 20, 2009
Subject: Appointment of Dr. Dennis Leone to represent your office on STRS Board

The Honorable Kevin Boyce
Treasurer State of Ohio

Dear Treasurer Boyce,

I recently read a letter you sent to the Sniders, a retired couple from southwest Ohio who spent their careers serving the children of their school districts. Like many other retirees and STRS stakeholders across Ohio their future security and welfare are hanging on decisions that are currently being made, or soon will be, by the STRS Board and Executive Director.

Your response to the Sniders was personal and polite and I appreciate any government official's sincere understanding of the plight of their constituents. You thanked them for their input and their thoughtful letter and invited them to feel free to contact you with other concerns.

When you make the observation that you recognize there are many "issues important to retirees" as you consider your decision to appoint your representative to the STRS Board, I must presume that your insight is genuine and caring.

However, you must understand that hundreds of us have written our state representatives, senators, and other elected officials to carefully consider becoming more engaged in the actions and inactions within our retirement system. We are desperate for intervention on our behalf as most of our pleas have fallen on deaf ears.

Indicators are that many reasons cause this gap in genuine comprehension of "issues important to retirees." Reasons ranging from differing political or entitlement philosophies to an out-of-touch mentality to exacting retribution to settle old personal differences have provided road blocks to fulfilling the promises of ORC 3307.15.

I recognize that your duty is to appoint an "investment expert" to complete the legal composition of the STRS Board. Those of us who have kicked opened the green door at STRS since 2003 know all too well how important wise investment and considered fiscal policy is to the system's, and our, survival. Unfortunately, being a responsible Board member is a position that demands more than political or union training and support. Fiscal expertise is mandatory.

From the decisions rendered by too many Boards over the past decade it should be apparent that fiscal and personal wisdom have been sorely lacking. (One only has to look at the history of those Boards that were shattered by ethics indictments and convictions against members and executive leadership.) Retirees are now facing the brunt of many of those faulty decisions.

With the current economic climate it is obvious that this is not the time to lose introspective, inquisitive, and independent-thinking Board members. Unfortunately, that is about to happen with the conclusion of the tenure of Dr. Dennis Leone.

As the Honorable Treasurer of the State of Ohio I implore you to take a look at Dr. Leone's service record as an STRS Board member. Yes, he has refused to be a rubber stamp. Yes, he has challenged majority opinion. Yes, he did demand a change in the status quo of operations within STRS when he began investigating, researching, and publishing his findings in 2003. (I would hope that all state officials have made time to read those findings and are versed in exactly what Dr. Leone refused to accept as "business as usual" in a once-proud and respected retirement system.)

The average retiree has been honestly and diligently represented at great personal sacrifice by Dr. Leone. I don't know that I can explain the anxiety felt among STRS-literate retirees when we recognized his term was near ending. His service has been a ray of hope. He has been a true hero to thousands of us.

The subject of the requirement to appoint an "investment expert" is of special interest. In the past many of us have endorsed the appointment and/or election of an economics professor with extensive financial education, teaching, research and publishing in his resume. To no avail. Politics were more important. Union muscle and finance were too much to overcome. Active and retired educator apathy and passiveness were very apparent.

Dr. Leone offers that fiscal expertise through his long tenure as a public school superintendent. His leadership in and knowledge and understanding of budgetary issues have been recognized by panels of experts who have seen fit to honor him publicly.

I would submit that who retirees need on the Board is someone who is well grounded in fiscal matters, an "investment expert," but just as important is that we have a "people expert." We need representation by someone who really understands the conditions in which the average Ohio retired educator lives. That understanding has been woefully absent in recent Boards.

As Treasurer of the State of Ohio I would respectfully encourage your serious consideration of Dr. Dennis Leone to fill your appointed seat on the STRS Board.

Thank you for receiving my studied recommendation.

Jim N. Reed
45-year public school educator
Baltimore, Ohio