Robin Rayfield rightfully chastises educator members of the STRS Board and the STRS staff for their rude behavior at the November Board meeting

Robin Rayfield's comments to the STRS Board, December 16, 2021

Greetings STRS Board Members,

My name is Robin Rayfield. I serve as the executive director of the Ohio Retired Teachers Association representing thousands of STRS beneficiaries. I am a STRS retiree having retired in 2011 with over 30 years of service.

I think it is important to speak of my disappointment of the way this board conducted its business at the November meeting. The manner in which Mr. Steen, Dr. Fichtenbaum, and Mr. Stein were treated was reprehensible. The educators on this board know better, the non-educator political appointees are to be excused because they do not know any better. Rudeness is common in our political society.

Because I was not able to hear the presentation without the rude interruptions of the STRS staff, I was not able to get a good handle on what was being proposed last month. What I did take away was:

·     There is another idea that could make more money for the pension system. However, that idea would reduce the dependence STRS has on its investment staff and consultants. Clearly, the investment staff is unable to offer a non-biased opinion as the new idea proposed last month would greatly reduce the pension system’s dependence on the staff and their highly paid consultants.

·      It was also clear that the STRS staff had modeled this rude behavior to willing trustees that did their best to keep a closed mind to anything that, in any way, threatens the status quo.   

I did hear the presentation (without rude interruptions) at the HPA meeting last week. My takeaway from that presentation:

·     Market conditions require higher and higher risk to achieve the required results

·     STRS faces a major problem with the next market downturn. This likely will result in additional cuts to our benefits.

·     STRS has an opportunity to reduce risk and increase income. This warehouse concept can be demonstrated with an investment of less that half of what our investment team lost in 1 of their 135 high risk alternative investments.

What is frightening to me is that despite investigations by the Ohio Securities Commission and the Auditor of State’s office the lack of transparency continues.