In another revolving door action Governor DeWine appoints third replacement for Wade Steen on STRS board. So how long will this one last? It depends. We shall see. MOF will be watching closely.
Toledo Blade
Published: September 27, 2024
Allison to replace Steen after tumult
BY JIM PROVANCE BLADE
COLUMBUS BUREAU CHIEF
COLUMBUS — Gov. Mike DeWine on Friday named Jonathan A. Allison, chief administrative officer of Root Insurance, to an Ohio teachers pension fund that has been in disarray amid a board power struggle.
The Columbus lawyer and former government consultant had served as chief of staff under Republican former Gov. Bob Taft.
The appointment takes effect on Saturday and will last through Sept. 27, 2028.
The second term of State Teachers Retirement System board member Wade Steen quietly expired Friday after a tumultuous two years that saw his appointment rescinded as the governor’s investment expert only to be reinstated under court order months later.
Mr. Steen’s return and the subsequent election of a board member representing contributing members tilted the power dynamics on the board in favor of a group of retired teachers seeking reforms in the board’s investment and benefits decisions. Mr. Allison’s appointment is likely to reverse that.
STRS is the second-largest public employee pension fund in Ohio and among the largest in the nation with about $95 billion in assets. It has nearly 540,000 active, inactive, and retired members.
But STRS has recently been bleeding senior staff amid this legal and administrative turmoil, with both acting Executive Director Lynn Hoover and Chief Investment Officer Matt Worley resigning.
Ms. Hoover had been filling the void created when Executive Director Bill Neville was placed on paid leave amid allegations that an outside review later determined were unfounded. Yet Mr. Neville never returned to his job, and the STRS board recently approved a $1.65 million settlement on his contract.
Attorney General Dave Yost had sued to remove Mr. Steen and Rudy Fichtenbaum, current board president and a fellow reformer, from the board amid accusations they promoted a risky investment scheme in violation of their fiduciary obligations to the system’s financial health.
A Columbus certified public accountant, Mr. Steen was first appointed to the board in 2016 by then Gov. John Kasich and reappointed by Mr. DeWine in 2020. But Mr. DeWine recalled him in mid-term in 2023.
Mr. Steen had allied himself with retirees who’ve accused the board of mismanaging investments and being too generous with performance bonuses for in-house investment staff. They’ve demanded full restoration of what had once been annual cost-of-living adjustments in their retirement benefits.
The 10th District Court of Appeals in April ordered Mr. Steen’s reinstatement, determining that the governor did not have authority to recall his appointee in mid-term.
Mr. Steen immediately reclaimed his old seat as the board was meeting at the time a short distance away. The last man Mr. DeWine had chosen to fill his seat, Upper Arlington consultant Brian Perera, was out.
The governor did not rename Mr. Perera to the panel with the new vacancy’s opening. Instead, he named the former state legislative budget expert to the board of the Martha Kinney Cooper Ohioana Library Association through Sept. 15, 2028.
In other action on Friday involving northwest Ohioans, Mr. DeWine:
• Reappointed Henry County Prosecutor Gwen Howe-Gebers to the Ohio Criminal Sentencing Commission through Aug. 21, 2028.
• Reappointed Rita N.A. Mansour, senior managing director of Toledo’s Mansour Wealth Management, to the Ohio Arts Council through July 1, 2029.
• Reappointed Sylvania attorney Meira F. Zucker to the Broadcast Educational Media Commission through June 30, 2028.
• Appointed Jennifer A. Wagner of Toledo to the Board of Executives of Long-Term Services and Supports through May 27, 2027.
Contact Jim Provance at
This article may be read online here.
posted by Kathie Bracy at 5:22 PM
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