Donna Seaman to STRS Board: Time to tighten STRS' belt, too

From Donna Seaman, January 16, 2011
Subject: 30 yr. plan To: STRS board

Board members and Mr. Nehf:
I read with interest that you have been "given an opportunity" to come up with another plan for the state legislature in which STRS would have a 30 yr.funded liability.

Now you have another "opportunity" to show retirees that you are really looking out for THEIR interests! As you prepare a new proposal, I know you'll hit retirees first! You always do! In only the past few years you've changed our health insurance benefits and costs, you've totally eliminated the 13th check, and all the while you've continued paying bonuses to the investment staff, whether or not the portfolio funds are generating income. I've repeatedly implored you to reduce the size of the STRS internal staff, to eliminate inappropriate and exorbitant bonuses, to revise staff insurance plans so that they are comparable to what STRS retirees have. But my pleas have always fallen on deaf ears!

The COLA should NOT be reduced! You must make this a priority, to maintain COLA for those of us who have no other access to jobs or any supplemental income. And your outside survey which showed that nine out of ten STRS retirees have additional income is totally inappropriate. It is not STRS business what income retirees have!

Please, this time, keep retirees' benefits in place, such as they are. Please, this time, reduce your own operating expenses, even though you maintain those expenses are "just a drop in the bucket." It's time for the board to make that first move, a drop in the bucket, to demonstrate your willingness to take the same belt-tightening steps that retirees have been forced to do over the past few years.

I've read Mr. McGreevy's and Mr. Stein's responses to other concerned, frustrated retirees, and am horrified to read that the party line is still in place: Board members blame retirees for the financial mess and take no responsibility for actions you and past Boards have done.

Donna Seaman, 2002 retiree