Joe Lupo lays out a reform blueprint of what the STRS Board should have been doing in the past; and what it must do in the future

From Facebook

May 27, 2022

Joe Lupo: MOVING FORWARD...

As the founder and administrator of the MOF (Ohio STRS Member Only Forum), some of our valued members have contacted me regarding the fast and furious release of more propaganda by STRS Director Neville and his associates. Please think of this as nothing more than an attempt by STRS to try gain back the ground they have lost the past five years and also an attempt to influence the minds of the newly elected and appointed Board members. We must never allow their actions to stifle, sidetrack or distract us.

Let me put this issue and concern in perspective for the good of the order by stating that the MOF "Central Team" (which includes me as the administrator and the moderators) along with all our members strongly feel we need to spend our energies addressing meaningful change at STRS. If we continually react by acknowledging and responding to their propaganda, they will appear to be right...when they already know they are wrong. 

It is no secret STRS did everything they possibly could to influence the recent election outcome, including recommending the Board approve a change for active members' retirement requirements from 35 years of service at age 60 to 35 years of service at any age. For retirees, the Board approved a one time 3 percent COLA...an issue we have been fighting since 2017 when it was frozen by the STRS Board based on legislation passed by Ohio Legislators at the request of STRS. It is now a matter of record that these last ditch efforts did little if anything to save the three incumbent Board seats. The past voting records of the incumbent members are a matter of record. It was a matter of too little too late by STRS.

We will continue to remain focused on the past, present and future. We will not forget about the past thirty years of poor management of STRS. We know that our pension fund cannot be sustained in the future if the same culture and management philosophy is allowed to prevail. We must and will remain vigilant now and in the future to prevent this from happening again.

We will also continue our efforts to have our concerns and questions recognized and addressed by the Board, director and staff.  We must remain steadfast to the principle and premise that Board members must have no other allegiances other than to ALL STRS members. They should have open minds and be responsive at all times. Questions to them should be answered in a timely manner based on research and, when possible, accompanying documentation.  

We believe it is the Board (including appointed members) that is charged with the responsibility of approving all STRS policy and organizational operating procedures in open meetings. There are far too many closed meetings that continually raise questions among the membership as to what is being discussed and why the need to be behind closed doors. 

We further believe that the Board is the governing body, and therefore should vote on ALL recommendations by the director and staff based on supporting documentation prior to the meeting and not presented at the meeting. Board members should be able to exercise their responsibilities based on the best information available to them in advance of their voting.  

It should also be established procedure that all pertinent and relevant information and documents requested by the Board as a whole or by any individual Board members, including requests made to the director and investment staff, be fully met in a timely manner. We believe the governing Board is accountable to the members and needs to have access to information and documents to make informed decisions on issues before them. In the past that has not been the case, giving the appearance that the tail might be wagging the dog.

It is our hope that the newly elected Board members will be energetic and committed to fully engage in their responsibilities in a dutiful and responsible manner. Last, and no less important, is the rebuilding of trust through a positive, productive and cooperative relationship with members.  A continuation of the lack of transparency of the past will continue to erode our trust which, unfortunately, is already at an all time low.

It is our fervent hope that future actions considered by the Board regarding any type of austerity program include consideration of all the line items in the annual budget, including STRS staff..... and not just STRS members. After all, there would be no STRS without active members who are currently contributing and retired members who have contributed in the past, and unfortunately have also been forced to contribute their COLA the past 5 years as well. Active members now have to work longer for less. Let us not establish a reputation where the active and retired members are expected to subsidize THEIR retirement system because of its poor management. I am sorry to have to say that this simply does not meet the definition of "Premier."

Joe Lupo is the founder and administrator of the Facebook group Ohio STRS Member Only Forum which, as of this posting, numbers more than 28,000 members.