Robin Rayfield to STRS Board: Overwhelmingly, ORTA members are concerned with the current lack of shared sacrifice on the part of STRS

Robin Rayfield's speech to STRS

June 20, 2019

Greetings, STRS Board of Trustees and Staff. My name is Robin Rayfield, and I represent the Ohio Retired Teachers Association. I am an STRS beneficiary, having retired in 2011 after 30+ years of service.

Greetings, STRS Board of Trustees and Meeting Attendees,

The action at the May 2019 STRS Board meeting to include language to the Funding Policy permitting plan changes at the 85% funding level is encouraging to the STRS beneficiaries. Although I recognize that reducing the funding level identified in the funding policy does not guarantee the restoration of COLA at the 85% funding level, this change in policy does indicate that the STRS Board recognizes the hardship placed upon retirees the loss of COLA has presented. I remain optimistic that this change in policy is at least one benchmark or road sign on a 'Pathway to COLA'. 

At this time ORTA would suggest that, while retirees wait for a return to promised benefit enhancements, the STRS Board begin the work of exploring ad hoc benefit enhancements for retirees. Although ad hoc benefit enhancements do not meet the level of what retirees were promised, such benefits could provide a lifeline to those retirees who are struggling the most.

ORTA's position continues to be that STRS can and should strengthen the overall financial position of the retirement system. ORTA is also convinced that this strengthening can be accomplished while providing some portion of what retirees were promised at the time of their retirement.

The most recent budget submitted by STRS staff for the operations at STRS includes both base pay raises and increases in incentive compensation. It must be stated that it is difficult for retirees to accept the notion that active contributors must pay more while receiving less, retirees are not receiving what they were promised, while the employees at STRS continually receive wage increases. Overwhelmingly, ORTA members are concerned with the current lack of shared sacrifice on the part of STRS.