Rudy Fichtenbaum and Wade Steen respond to email sent out from STRS

 Response to STRS Email About Elections

By

Dr. Rudy Fichtenbaum and Mr. Wade Steen

'Whoever is responsible for sending out this email should resign immediately because he/she/they have violated Board Policies dated September 30, 2021, p. 52 which says: “No associate of STRS Ohio shall use his or her official authority or influence for the purpose of interfering with or affecting the result of a Board election….”'

April 6, 2022

Today STRS Ohio sent out an email saying the claim that teachers received only 77 cents back on every dollar they contribute to the system is not correct. According to a study done by Anne Sapenfield, Director of the Wisconsin Legislative Council entitled “2020-21 Comparative Study of Major Public Employee Retirement Systems” STRS is the only pension out of 87 with a negative employer normal cost which she shows as -3.14%. This is the same number that appears in the STRS 2020 Annual Comprehensive Financial Report (ACFR). The employee normal cost (contribution) is 14%. The sum of those two numbers is 10.86%, which is the value of the pension. So, 10.86%/14% = .776, which is the ratio of the value of the pension to the amount contributed. This means for every $1 contributed the value of the pension received is 77.6 cents. Those are the facts.

The rest of the email is all about what a great job STRS is doing for its members. Ask yourself, why in the middle of an election is the STRS staff sending out an email disputing a fact that is incontrovertible?

Of course the email also contains the usual litany of propaganda telling members how great a job STRS is doing.

So, ask yourself if everything is so great, why is it active teachers have the worst deal in the country and why is it STRS retirees are the only retirees, among the 5 Ohio public pensions, without an ongoing COLA.

Clearly this just a blatant attempt to try and influence the election that is now underway.

Whoever is responsible for sending out this email should resign immediately because he/she/they have violated Board Policies dated September 30, 2021, p. 52 which says: “No associate of STRS Ohio shall use his or her official authority or influence for the purpose of interfering with or affecting the result of a Board election….”

Finally, for the record that neither of us is associated with any organization that is sending untraceable emails to members.