Dennis Leone: A bold challenge to Pat Frost-Brooks, Bill Leibensperger and Tim Myers

Think they're up to it?

From Dennis Leone, April 20, 2009

I remember several things very, very clearly about the statewide communication by OEA President Gary Allen in the summer of 2003. (It advised OEA members to contact Bill Leibensperger if they had further questions.) Allen described my 2003 findings of STRS board/staff wasteful spending (and this is verbatim) as “misrepresentations,” as “destructive” and “written with unclear motive.” These things I will never forget. He also wrote in this statewide email of how OEA supported Herb Dyer and the big spender STRS board members of that time period (six of whom – Jack Chapman, Hazel Sidaway, Eugene Norris, Debra Scott, Michael Billirakis, and Joe Endry – all were later convicted in court of ethics violations, along with Herb Dyer himself). Allen wrote this during the summer of 2003, after my 13-page report came out in May of that year. In the recent 2009 statewide email, OEA is now calling me a “dissident board member.” While I was the only board member who originally pushed for the suspension of bonus checks – which OEA now says it supports – OEA-backed board members Ramser, Meuser, and Myers did NOT vote in support of the bonus suspension. OEA writes that it is proud of these three STRS board members – but strangely did not say it is proud of STRS board member Tai Hayden, who also is an OEA member. Was this because she voted in favor of what I proposed, which was the bonus suspension? OEA has sunk to a new low, and apparently is not even aware that its own board members at STRS (except Tai Hayden) are voting against what OEA says it supports.

I would love to have the opportunity to debate the current STRS issues in a public forum with Patricia Frost-Brooks and Bill Leibensperger sitting across the table. Is there anyone out there who could arrange such a thing? OEA can pick the date, the time, and location. I will be there. Board member Tim Myers says the teachers he has spoken to in his district – Elida Local Schools – are NOT opposed to the current bonus checks. I’d love to have the opportunity to address them as well. Betcha Myers isn’t willing to set it up. I recall once asking for an audience with the Dublin City School District teachers after the Dublin teacher union president Dawn Leibensperger (does that name sound familiar?) gave her opinion of my 2003 report to the teachers there. My “equal time” request, of course, was denied by Mrs. Leibensperger. In fact, she expressed her distaste that I even asked for it.

There are emails, letters, and tapes that verify everything I have said above.

Dennis Leone
STRS Retiree Board Member
April 20, 2009

Six years later and they're STILL in the same grade!

Memo from Gary Allen, June 17, 2003

Executive Committee, District Leaders, Local Presidents, OEA-R Advisory Council, STRS Board Members

From: Gary L. Allen, President
Re: STRS Health Care

Recently, Dennis Leone, superintendent of the Chillicothe school district, distributed via e-mail the statement and related report he presented to the board of the Ohio State Teachers Retirement System (STRS) on May 16, 2003. Some recipients have elected to indiscriminately broadcast the report despite its misrepresentations. In response to related inquiries from leaders and members, we are distributing the following statement.

If you are asked to respond to questions regarding Mr. Leone's report, I request that you use the following report to frame your response. The OEA is committed to protecting the pension benefits of current and future retirees and ensuring that they receive affordable, adequate, high quality health care. We believe that the STRS Board and staff are equally committed. We will continue to operate according to that principle.

If you have questions about this matter, please contact me or Bill Leibensperger, or of course, STRS.

Gary L. Allen

OEA Statement

As officers of the Ohio Education Association, we are very much aware of the allegations toward STRS contained in the document written and widely distributed by Dennis Leone, Superintendent of Chillicothe City Schools.

Despite his efforts to discredit STRS management, the OEA remains committed to working with STRS and its staff to find solutions to the health care crisis that is affecting our members. Especially through our work with the Health Care Advocates for STRS, the OEA's focus remains on fixing the problem, rather than fixing blame.

Although Mr. Leone's allegations raise concerns, many of the incidents he wants "corrected" occurred in the past and cannot be changed. The context in which he addresses these issues appears to be of his own creation. The STRS Board and management have addressed the issues Mr. Leone presents. These issues need to be reviewed continually and any resulting change needs to be for the benefit of current and future retirees. The present members of the STRS Board are committed to improving the operation of STRS. We encourage them to communicate these improvements to members. While improving its operation is important, STRS is finding solutions to the health care crisis for now and in the future. The OEA supports this effort.

Mr. Leone's motives for his decision to broadcast his claims far and wide are unclear. Much of his logic is difficult to follow. In contrast, the OEA's purpose and reasoning are clear: we will work with the Health Care Advocates and the STRS Board to protect and promote the welfare of current and future STRS beneficiaries. We respect that - first -- STRS must protect our guaranteed pensions, and recognize that the Board fulfills its fiduciary responsibility in doing so. Anyone can point fingers and create division, especially with the advantage of hindsight and when communicating about such an emotionally charged issue, but the OEA refuses to operate in that destructive way. We believe in the integrity of the State Teachers Retirement System and the individuals on the Board. We remain committed to working with them in a unified way to solve problems and create solutions for the benefit of our shared constituency.

[I love this sentence from Gary's memo: "We believe in the integrity of the State Teachers Retirement System and the individuals on the Board." Heck, weren't those the same Board members who either got kicked off the STRS Board (by the state legislature: Jim Petro and Betty Montgomery) or received criminal convictions three years later for ethics violations (OEA leaders who served on the STRS Board in 2003 or later: Hazel Sidaway, Jack Chapman, Eugene Norris, Debbie Scott and also former OEA president Mike Billirakis)? Gary Allen sure makes a mockery of the word "integrity," doesn't he? KBB]

2004 letters from Sondra Stratton, Gary Allen and John Lazares: Hmm.....it looks like OEA's "revisions" are nothing new!

.....it looks like Gary Allen was attempting a little damage control the only way he knew how -- a little propaganda for the OEA membership, perhaps?

From Sondra Stratton, April 3, 2004
Subject: What I sent to actives about Gary Allen's comments

The following is a message put out by Gary Allen, OEA. Please read this and also John Lazares' reply. Mr. Allen has misrepresented facts to teachers over and over. He also called the research done by Dennis Leone and John Lazares lies....... their findings have since also been discovered by investigative reporters, who even found more abuse, I think Mr. Allen needs to clean up his act and be honest with you all. Your retirement depends on it!!!

From Gary Allen, April 1, 2004
Subject: Gary Allen's letter to Local Presidents, etc.
To: All Local Presidents
Cc: All OEA Staff; District Leaders; Exec Committee
Subject: STRS Board Election

April 1, 2004

Dear Local Association President,

As you know, the Ohio Education Association has endorsed Eugene Norris for election to the State Teachers Retirement Board. As a member of the STRS Board, Eugene has demonstrated his leadership skills and his commitment to the welfare of public education employees. The upcoming STRS election will determine the Board's approach to securing the long term viability of STRS health care in the midst of a national health care crisis. Our members' votes give them a powerful voice in how STRS will handle this and other critical issues in the coming years.

I am reaching out to all Local Association Presidents to address a serious concern which has been brought to the Ohio Education Association's attention. We have been informed that supporters of Eugene's opponent have secured access, apparently through local Superintendents, to school district mailboxes, electronic mail and other school communication systems, to campaign for Eugene's opponent in the name of the local school district's Superintendent. These Superintendents are conveying campaign materials to employees under their authority, through the same information systems used to convey official administrative directives. This opportunistic practice abuses the employer-employee relationship. The use of official authority to influence the personal decisions of subordinates takes shameful advantage of our members. I am not alone in my opinion that such tactics are coercive and unethical.

It is equally troubling that the distributed materials mask the agenda of Eugene's opponent (himself a school superintendent) with empty rhetoric. Our members deserve to know that the candidate touted by these Superintendents is supported by retiree groups seeking to reduce the number of active teachers on the STRS Board, and to restore past benefit levels-a move likely to damage the health care plan's long term viability-and require active members to shoulder the financial burden for the increased benefits without ensuring that they will have adequate pension and health care benefits when they retire. Our peers in these districts will not learn these facts from the materials pressed upon them by some Superintendents.

As a Local Association President, you are in a key position to correct the misinformation by communicating with each and every one of your Local Association's members. Discuss the upcoming STRS elections individually or in group meetings with members. Please share copies of my letters regarding Eugene with your members. The Ohio Education Association has additional information available for your use. Please call 1-800-282-1500, extension 3069, and these materials will be immediately provided to you. Also, Eugene has established a website (http://norrisforstrs.com) which details his objectives, his experience and his accomplishments. Share this website with your colleagues. We will serve our members well by immediately placing these resources into their hands so that they may make an informed decision regarding their future STRS benefits.

Thank you for your assistance in this process.

Very truly yours,
Gary Allen, President
Ohio Education Association

From John Lazares, April 2, 2004
Subject: Gary Allen -letter to Local Presidents, STRS election

Dear Mr. Allen,

I am in receipt of the letter you have sent to the local OEA Presidents and find your misrepresentation of the retirees inexcusable. Instead of uniting all parties for the common good of improving the retirement system, you have chosen to divide actives and retirees, teachers and administrators. I assure you that no one will benefit from this course of action and the repercussions of your tactics will be felt for years to come.

For the record, the Superintendents ARE allowing my information to be distributed in the local schools, as well as Eugene Norris' information. THAT IS THE AMERICAN WAY, MR. ALLEN. However, several are prohibiting any material from being distributed because of the negativity surrounding this election. I'm sure the Superintendents will find your wrongful accusation of using "official authority to influence the personal decision of subordinates" both slanderous and inappropriate. Clearly, your letter shows blatant disrespect and disregard for the retired educators and is a "coercive and unethical" scare tactic to pit active and retired teachers against one another to further your personal agenda.

I encourage you to contact me should there be any questions about my campaign or the actions of constituents working to restore some stability and dignity to the STRS Board. I can be reached anytime at the following numbers:
513-967-8786 or 513-518-1840

Thank you for your attention to this serious matter. I look forward to hearing from you.

John K. Lazares

FLASHBACK.........Gee, Gary , do you still think Dennis's logic is difficult to follow?

From John Curry, April 4, 2009

What's difficult to follow is the logic behind the current OEA President's (Patricia Frost-Brooks) public statements about how the OEA is against bonuses in an economic downturn and yet the majority of her OEA endorsed STRS Board members (Myers, Meuser, Ramser) didn't support the motion to freeze bonuses at the recent STRS Board meeting...now THAT'S LOGIC THAT IS IMPOSSIBLE TO FOLLOW! John

http://kathiebracy.blogspot.com/2007/06/flashback-4-years-ago-day-gary.html

Sunday, June 03, 2007

FLASHBACK -- 4 years ago -- The day Gary questioned Dennis's motives!

"Meanwhile, the Ohio Education Association came to the defense of Dyer and the STRS. The teacher union’s president, Gary L. Allen, sent an e-mail message to his executive committee, district leaders, advisory council, local presidents and STRS board members questioning the motives of Dennis Leone, the Chillicothe City Schools superintendent who is largely responsible for calling attention to the STRS spending spree."

“Mr. Leone’s motives for his decision to broadcast his claims far and wide are unclear,” Allen wrote. “Much of his logic is difficult to follow.”

Allen suggested that Leone’s efforts were “destructive.”

New leadership urged for state retirement system

Canton Repository, June 13, 2003
By PAUL E. KOSTYU
Copley Columbus Bureau chief

CHILLICOTHE — A lawmaker who helps oversee Ohio’s five retirement systems called Thursday for the resignation of the executive director of the State Teachers Retirement System, while another said the system’s books need to be audited.

Sen. Kirk Schuring, R-Jackson Township, said it is time for Herbert Dyer to go, following revelations this week that the system has spent more than $15 million on staff bonuses, artwork and travel in three years while the system’s investments plummeted by $12.3 billion during that same time.

Schuring said Dyer has lost the confidence of the STRS members and new leadership is needed. In his fifth year on the Ohio Retirement Study Council, Schuring is its former chairman.

Rep. John Boccieri, D-New Middletown and a council member, said Dyer does not understand that the money spent by the STRS board “is not the board’s money or his money.” Boccieri, whose parents are STRS members, wants an audit of the system’s books, but he said calling for Dyer’s resignation “is a bit premature.” State Auditor Betty Montgomery said in an e-mail Thursday she was concerned about “what we are being required to do in our state retirement systems” and that her office will “raise serious questions” about STRS policies.

Meanwhile, the Ohio Education Association came to the defense of Dyer and the STRS. The teacher union’s president, Gary L. Allen, sent an e-mail message to his executive committee, district leaders, advisory council, local presidents and STRS board members questioning the motives of Dennis Leone, the Chillicothe City Schools superintendent who is largely responsible for calling attention to the STRS spending spree.

“Mr. Leone’s motives for his decision to broadcast his claims far and wide are unclear,” Allen wrote. “Much of his logic is difficult to follow.”

Allen suggested that Leone’s efforts were “destructive.”

While Allen was sending his message to OEA leaders, the union’s rank and file were lining up behind the superintendent who has become a hero to many.

Leone, lawmakers and news media reported getting numerous calls and e-mail messages backing his efforts and calling for action. All 120 e-mail messages Leone received from administrators, teachers and retirees thanked him, asked how they could help or encouraged him to continue. A couple suggested a class action lawsuit.

Allen said there was no relationship between his criticism of Leone and the fact that a current STRS board member is a former OEA president.

Michael Billirakis is a past president of OEA and Dawn Leibensperger, the wife of an OEA employee, was active in his election bid. Leibensperger is an OEA president in Dublin, in central Ohio. Billirakis billed STRS $9,923 over three years for expenses, including trips to San Francisco, Boston (twice), Atlanta, Tacoma, Wash., and Anchorage, Alaska. He was one of the lowest spending board members. The top spender is Hazel Sidaway of Plain Township, who spent $54,216, which included 25 trips requiring airfare.

Allen said the past spending habits of Dyer and the board are “old news” and it is time for the system to move forward. He said, however, changes should be made in how bonuses are awarded to employees. Schuring said he has heard repeatedly from constituents who have been in touch with Dyer.

“I am appalled with the kind of response my constituents have gotten from him,” he said. “He is a brash, arrogant and condescending man.

“We need a new leader who takes these matters seriously and not be part of any plan to spend money unwisely.”

Sen. Lynn R. Wachtmann, R-Napoleon and chairman of the council, wrote to a constituent in February that STRS did not move fast enough to prevent cuts in the health-care benefits of retirees. Wachtmann said earlier this week that he wants more hearings on the STRS spending and its health-care program.

Sen. Jim Jordan, R-Urbana but not on the study council, also writing to a constituent, said on May 28 that “Mr. Leone raises a number of valid issues pointing (to) mismanagement and inefficient use of funds by STRS.”

Leone said his motive is clear: “To get the board to change its spending practices and respond to its members.”

“This year there was a long and ugly teacher strike in the Eastern Local School District south of Chillicothe that the OEA rightfully supported,” Leone said. “What would have the reaction been from OEA and teachers if they found out the Eastern school board was spending like the STRS board? There would have been outrage if the board was flying to Hawaii, giving principals bonuses and purchasing polished stones for the superintendent’s office.”

Editorial comment: Why is Damon credited for Dennis Leone's work?

June 22, 2008

At last Thursday's STRS Board meeting (6/19/08), one of the public speakers was OEA's Bill Leibensperger, who spoke on behalf of the Healthcare Advocates. He was there to commend Damon Asbury for everything he had done for us during his five years as executive director of STRS. That was all well and good, but then he went on to praise him for all the changes Dennis Leone had brought about!!!
For example:
...1. "A new culture has taken hold at STRS."
...2. "Today STRS is more transparent in its operations....."
...3. ".....more inclusive in its decision-making....."
...4. ".....and more accountable to its members and stakeholders."
...5. "Under your leadership, STRS has regained the trust and confidence of its members. You have truly changed the lives of STRS members for the better."

Not ONE of these changes would have occurred had it not been for Dennis Leone, NOT Damon Asbury. Had Damon had his way, I doubt seriously if ANY of these changes would EVER have taken place. Why does Mr. Leibensperger heap all this praise on the wrong person? Many retirees who are close observers of STRS have a pretty good idea why he might do this.

Did anyone notice that the top "leaders" of OEA (Gary Allen, Patricia Frost-Brooks and Bill Leibensperger) have all separately attacked Dennis Leone over these very issues? Does anyone remember how, in the recent past, Bill Leibensperger and Patricia Frost-Brooks addressed the STRS Board and specifically recommended, publicly, that the Board NOT adopt Dr. Leone's motions which were very carefully designed to accomplish the very reforms Mr. Leibensperger cites above?

Did anyone notice that Damon Asbury actually opposed the Leone motions that got through, that hit those very issues? Gee, and now Bill Leibensperger is praising Damon, giving HIM credit for all the things he resisted and Dennis Leone accomplished? Oh my -- where has Mr. Leibensperger been?

And by the way, where is ORTA these days? Their executive director shows up at meeting after meeting of the STRS Board, but why? She doesn't make speeches and she doesn't take positions, when to do so could be so very helpful to retirees. Never once has ORTA ever supported one single motion that Dennis Leone has proposed that would benefit retired educators in accordance with ORC 3307.15. Why? Could it be that ORTA blames him for the fact that their former president (and former STRS Board member) was convicted on ethics charges, along with a former OEA president (another former STRS Board member) and a whole group of former STRS Board members who also had very strong OEA ties? Hmmm.....now I think I'm beginning to understand why Mr. Leibensperger chooses to heap accolades on Damon Asbury for everything Dennis Leone accomplished but Damon resisted. Duh! Pretty slick.

I also attended the Friday morning session of the STRS Board meeting (6/20/08), where Damon Asbury made a formal recommendation to the Board that the STRS 16-page staff travel guidelines NOT be a Board policy, but instead, a part of Administrative Regulations. I couldn't believe my ears! This would give the executive director carte blanche to do anything he wants, without a policy in place! Sure, go to Honolulu and spend a couple weeks there at our expense if you want! Fly first class and take your spouse (or your significant other) and stay at the fanciest hotel you can find, in the fanciest suite they have; live it up -- eat and drink all you want at the fanciest restaurants in town -- we'll pay for it all!! Heck, why don't you rent a limo while you're at it, we'll pay for that, too. Yes.....can't you see it now? Gee.....bring back "Hairspray" and King's Island and baseball games and parties with booze while you're at it. How 'bout a bunch of you going to Africa for a couple weeks? You could spend an hour or two looking over a possible investment site, but have a good time the rest of the time -- take safaris, whatever. Sure, STRS will pay for it -- heck, why not?

What I don't understand is why, two weeks before the June Board meeting, Damon agreed with Dennis on about a dozen changes that needed to be made in the 16-page travel guidelines for staff, to make them more consistent with the travel policy for Board members, but he also felt strongly that this document should NOT be adopted as a Board policy. Dr. Leone stated very clearly in Friday morning's Board session that his chief concern was the fact that if the 16-page document was NOT a board policy, the executive director would have the power to change ANYTHING in it, at any time, without Board approval. Duh!! Just why was this so difficult for Damon to understand? The entire Board got it. After Dr. Leone made a formal motion, seconded by John Lazares, for the 16 pages to be adopted as Board policy, the Board (after hearing some concerns expressed by Board members Ramser, Meuser and Cervantes), unanimously approved his motion with a 10-0 vote.

To those who might say "But why must you have it in writing? It shows you don't TRUST your executive director!" I say it has absolutely nothing to do with trust; we are just plain stupid NOT to have it in writing, especially when you look at past STRS history!

Think of the words of Baron John Acton (1834-1902): "Power tends to corrupt, and absolute power corrupts absolutely." Or the words of a former British prime minister, William Pitt the Younger, in a speech to the UK House of Lords in 1770, "Unlimited power is apt to corrupt the minds of those who possess it." Then go back and examine the records of the past two executive directors.

And while you're at it, take a close look at exactly who was close to those executive directors and supported (yea, encouraged) their every move. We all know very well who those parties were and what they stood to gain by being "in cahoots" with the executive directors of that era. With policy in place (and reminding everyone that only the BOARD makes policy, NOT the executive director -- EVER), there is no question what the rules are -- for EVERYBODY -- and all decisions must be made accordingly. We "trusted" once upon a time -- and were left holding the bag. Never again!


I do wish Damon a pleasant retirement. He did his best.....as did his predecessor. Welcome, Mike Nehf -- you will be a badly needed breath of fresh air!!

Kathie Bracy

A word of truth

Dennis Leone to Ryan Holderman and John Curry, May 11, 2008
Subject: RE: A word of truth

What CORE did (shame on CORE) was that Lloyd Knudson gave 2 blockbuster speeches refuting the back-to-back rhetoric of Bill Liebensperger and Patricia Frost-Brooks – when both suggested that the STRS Board should reject all 5 of the governance motions (3 passed) that I recommended. Tim Myers fits this picture perfectly. What actually was worse than Myers’ “crackpot” statement was his assertion (in writing) that my recommendations and calls for reform in 2003 were already under way at STRS. (Yeah, right!) It’s so typical OEA. Gary Allen called me “destructive” and a person with “unclear motives,” Conni Ramser called me “childish,” Jim McGreevy called me a “spoiled brat” and Myers called me a “crackpot.” So OEA.

Dennis Leone

From Ryan Holderman, May 11, 2008
Subject: Fw: A word of truth

Dear One & All:

I did find a single word of truth in the talking points put out by Whitehall Education Association:

"CORE’s attacks on OEA are viscous, unfounded and irrational."

What Dennis Leone and CORE had to say about OEA sponsored former STRS Board members' complicity in the mismanagement at STRS did stick all the way to court!

Later,
Ryan

-----

Note from John...here's the link to what Ryan was referring to:

http://whitehallea.com/files/Talking_Points_on_STRS_Campaign.pdf

-----
Gee -- it's interesting that he labels our "attacks" as "viscous." At least he didn't say they were "vicious." KBB

Dredging up the past in order to preserve our future...... (Sorry, OEA, but we need to do this once in a while)

John Curry to Paul Kostyu, March 31, 2008
Subject: Re: STRS spending abuse since 1995-Leone called it to our attention

Paul,

The first major news media coverage of the STRS debacle was posted by the Cleveland Plain Dealer's Stephen Ohlemacher on the front page of the PD on June 8, 2003 entitled, "Teacher Pension Losses Don't Stop Spending." The majority of the misspending that this PD article details are from Dennis Leone's 13 page paper presented to the Ohio STRS on May 16, 2003. I believe the first of your excellent series of STRS articles began after both of these dates.

Agreed that Dennis hadn't "discovered all the revelations" on this list but I think it is more than fair to say that the "majority" of the items listed below were discovered by Dr. Leone.

Once again, thank you for your excellent series of articles re. the Ohio STRS. May I suggest a follow-up article by you sometime this spring re. 5-years later and Dennis is still facing much of the mismanagement, misspending, and entitlement mentality by the majority of the STRS Board and its current Executive Director? If in doubt, you might want to contact Dennis about this.
John

From Paul Kostyu, March 31, 2008
Subject: RE: STRS spending abuse since 1995-Leone called it to our attention

I believe it would be a misrepresentation of the truth to say that Leone "discovered" all of the revelations on your list. It would be more accurate to say Dennis's initial investigation into STRS spending may have contributed to the other revelations. Maybe his discovered these revelations by reading news accounts -- primarily in the Cleveland Plain Dealer and Canton Repository. But everyone should know that the news media was largely responsible for first uncovering much of what is on your list. Teachers, retired or current, shouldn't be involved in revisitionist history.

Best regards,

Paul E. Kostyu
Statehouse Bureau Chief
GateHouse Media
50 W. Broad St., Suite 1325
Columbus, Ohio 43215
Phone: 614-222-8901
Fax: 614-222-0032

From Lenora Wood, March 30, 2008
Subject: FW: STRS spending abuse since 1995-Leone called it to our attention

COLLEAGUES -- AS PROMISED, AND LESS WE FORGET, HERE IS THE LIST OF ABUSES DENNIS LEONE FOUND IN 2005 AND BROUGHT TO OUR, AND THE MEDIA'S ATTENTION AND WHICH BROUGHT SWEEPING CHANGES IN OUR STRS ORGANIZATION AND SWEPT HIM INTO OFFICE ONTO THE STRS BOARD. IN DOING SO HE HAS HAD TO TAKE A LOT OF GUFF. AND IT LOOKS LIKE THINGS ARE GOING DOWN THE SAME OLD TRACK THAT OUR LAST DISGRACED LEADER WENT DOWN AND WHO FINALLY WENT OUT WITH A GOLDEN PARACHUTE THAT COST US SO MUCH OF OUR PENSION FUNDS. WE CANNOT ALLOW AGAIN THE HANDING OUT OF CREDIT CARDS AND TRAVEL TO EXOTIC LANDS (TO LOOK FOR POSSIBLE 'INVESTMENT'S) PAID FOR OUT OF OUR PENSION FUNDS. THE STRS BOARD HAS TO GET REAL AND REMEMBER THAT WE WORKED HARD FOR THE PENSION MONIES THAT THEY ARE SUPPOSED TO GUARD AND SPEND WISELY. WE HAVE ALREADY LOST SO MUCH: A POOR HEALTH CARE PLAN, NO EXTRA 13TH DECEMBER CHECK. SOME OF YOU YOUNGER RETIREES NEVER GOT THAT WELCOME CHECK. AND WITH INFLATION AND THE POOR ECONOMY, OUR PENSION CHECK: JUST WON'T COVER WHAT IT USED TO. OUR BOARD NEEDS TO GET LEAN AND CONSERVE EVERY DOLLAR WE HAVE FOR US: RETIREES AND FUTURE RETIREES. WE CANNOT HAVE ANOTHER CHIEF EXECUTIVE WHO THINKS HE ALONE CAN RUN THE SHOW. REMEMBER DYER? IT WAS HE WHO WROTE HIS OWN CONTRACT THAT ALLOWED HIM TO RETIRE IN COMFORT AND BUILD THAT HALF-MILLION DOLLAR HOUSE IN THE EAST. LET'S ALL SCREAM TO THE HIGH HEAVENS!!!!!

LEN AND CHUCK WOOD

John Curry to Bill Leibensperger, October 22, 2005
Subject: STRS spending abuse since 1995 -- Leone called it to our attention

Bill, after talking to Molly, I understand you believe that some of Dr. Leone's findings might have been exaggerated. Please correct me if that's not the case. Below is a list of items Dr. Leone has given as examples misspending and mismanagement at Ohio STRS. Would you please comment on any item or items below that you feel is not completely truthful and factual and/or any other items that you think Dennis might have not portrayed properly? This would be an excellent opportunity for you and the OEA to enlighten tens of thousands of STRS retirees who are still waiting for an explanation of why your OEA President Gary Allen said that Dr. Leone's "logic is hard to follow," and that "his motives are unclear." This may help us understand for once and for all. Now would be an excellent time to clear up any disagreements your organization may have with Leone's findings before your organization and my organization sit on the same side of the table to tell Ohio voters why increased contribution rates are necessary Thank you.

John Curry, a Proud CORE member

P.S. I would have asked you this in person this past Thursday at the STRS meeting, but I had to work (after my STRS retirement). I simply can't afford what many recent OEA member speakers to the STRS board in the September meeting portrayed to the Board as a CURRENTLY "affordable" health care insurance offering to my spouse and I by STRS.

The following represent a number of spending abuses discovered by Dennis Leone that occurred at STRS since 1995.

1. $94.2 million on the new STRS headquarters.

2. $869,235 on artwork, sculptures and polished stones for the new STRS building.

3. $818,000 on a child care services center for the children of STRS employees.

4. $500,000 per year to run the child care services center.

5. $426,000 on a fitness center in the STRS building.

6. $88,397 per year to provide food services for STRS employees.

7. $428,056 on 16 cars, vans, and SUV's.

8. STRS Board policy that permitted staff members to drive STRS vehicles for personal use, and the family members of said employees to drive said vehicles.

9. 52 American Express Credit Cards and 20 BG gas cards used Board members and STRS staff members.

10. Alcohol purchases occurred by staff members and Board members attending conferences -- using STRS credit cards.

11. $18,810 on "Discovery Park" gala event, including the purchase of disposable cameras for attendees.

12. $15,100 on new STRS building dedication, including alcohol and gifts for attendees, as well as airfare and lodging for out-of-town STRS visitors.

13. $4,100 on a private retirement party for an STRS Board member.

14. $5,594 on poinsettias to decorate STRS during the holiday season in 2002.

15. $1,000 dinners for 12 board members/staff members on 2 occasions, again with alcohol.

16. $7,116 for baseball tickets, concert tickets, movie rentals, and Kings Island tickets for STRS employees in the summer of 2003 for "team building."

17. $530,284 spent by Board on trips and meetings around the country in 2000, 2001, and 2002.

18. Multiple trips taken by Board members and staff to places like Honolulu, Palm Springs, Kiawah Island, and Anchorage. A planned trip to China in 1995 was cancelled after it was suggested that it would have the appearance of junketeering.

19. Frequent occurrences of at least 6 Board members going to the same meeting, sometimes twice a year, costing STRS over $9,000 each year.

20. $36,736 spent by a Board member Jack Chapman in a single year for trips all over the country.

21. $1,017 airplane ticket for a Board member that would have cost $258 if it had been purchased 30 days in advance of the conference.

22. $1 million cash payback per year to full-time STRS employees for 18 days of unused staff vacation days and unused sick leave.

23. Total administrative expenses at STRS increased 17.4% per year between 1996 and 2002.

24. Total STRS employees increased from 414 to 725 between 1996 and 2002.

25. A total of 1,035 employee bonus checks were issued to STRS staff in 2000, 2001 and 2002.

26. $24.4 million was awarded in bonus checks to employees between 1998 and 2003.

27. $3.2 million had to be paid by STRS to PERS because of bonuses alone since 1998 to satisfy that pension system's 13.31% annual employee contribution requirement. STRS employees are members of PERS.

28. 34 STRS employees in 2002 received bonus checks in excess of $40,000 (with 18 of those getting bonuses in excess of $70,000).

29. One STRS employee received bonus checks of $110,000 and $68,800 in 2001 on top his base salary of $164,000.

30. Over 150 STRS employees had base salaries over $100,000 in 2002, with 32 of those making over $155,000 -- topping the salaries of both the governor and the chief justice of the State Supreme Court.

31. A total of $39,251 was paid to the Perry Local School District by STRS in 2002 and 2003 for sub teacher costs for Board member Michael Billirakis (when he attended STRS meetings), even though he did not have a position in the school district. NEA pays Perry Local the dollar amount associated with the salary and benefits for Billirakis, enabling him to be listed as an employee.

32. Excess STRS furniture was sold to STRS employees in 2000 and 2001 for $27,703, and instead of this amount going back into the pension fund, it was given to charities.

33. The regular work week for STRS employees is 37 1/2 hours.

34. If an STRS employee adopts a child, the STRS Board awards a $5,000 cash gift to said employee.

35. Between 1999 and 2004, the STRS Board paid out $2.1 million in educational stipends for STRS employees to take college courses. This amount was double what the other 4 public pension systems in Ohio paid out combined over the same time period. STRS pays up to $7,000 per year (per employee) for undergraduate or graduate work.

For active teachers: How OEA spends your money

OEA Disbursements for fiscal year 9/1/2006 - 8/31/2007 as filed with the U.S. Department of Labor (partial list)

Here are some samples showing combined salaries and other disbursements for September 1, 2006 through August 31, 2007 (scroll down for link to complete report):

Disbursements to Officers (partial list)

Gary N. Allen, President $187,842

Patricia N. Frost-Brooks, Vice President $173,910

James L. Timlin, Secretary-Treasurer $173,312

William N. Leibensperger, Past Treasurer $68,579

....Total Officer Disbursements $725,497

Disbursements to Employees (partial list)

Dennis M. Reardon, Executive Director $195,385

Mark A. Allison, CIS Consultant $133,144

John N. Avouris, LRC (Labor Relations Consultant) $105,563

Bryant N. Warren, LRC $101,905

Cecelia N. Weldon, LRC $141,055

Cathy M. White, LRC $123,286

Kent N. Williams, LRC $133,488

Debra S. Wing, LRC $115,684

James S. Yoder, Regional Director $158,038

Norman N. Young, LRC $138,398

Susan M. Babcock, Dir. Human Resources $140,805

Ann N. Bayou, LRC $136,674

Marla N. Bell-Gombita, LRC $134,688

Timothy N. Bibler, LRC $133,616

Susan C. Biddle, LRC $135,194

Rodney E. Bird, LRC $134,238

Lee E. Blandon, LRC $115,834

George M. Bozovich, LRC $137,838

Robin N. Busby, LRC $148,847

Gary P. Carlile, LRC $129,410

Elizabeth M. Chandler, LRC $126,992

Peggy N. Chavez, LRC $135,274

Melissa A. Clark, Lobbyist $117,880

Darren A. Clum, CIS Consultant $132,781

Joseph C. Cohagen, Dir. Acctg & Bldg SVC $123,450

Patricia N. Collins-Murd, Reg. Dir. $136,613

Shawn N. Cooper, LRC $105,065

Mark N. Constantino, LRC $118,872

Douglas N. Crawford, LRC $135,028

Donald N. Dalton, LRC $134,951

Robert G. Davis, Lobbyist $107,486

Vicky L. Davis, LRC $133,838

Daniel N. Day, LRC $94,511

Matthew M. Dotson, Lobbyist $119,058

Betty N. Elling, LRC $106,114

Fritz N. Fekete, Dir. Info. Syst. $156,676

Ruth A. Field, LRC $136,881

Linda K. Fiely, Dir. Leg. Serv. $124,863

Kevin N. Flanagan, Reg. Dir. $158,323

Randall V. Flora, Ed. Reform Cons. $112,450

Karen N. Fulton, Reg. Dir. $153,168

Gregg M. Gascon, LRC $139,553

Karen N. Gee, LRC $135,465

John R. Grafton, LRC $119,963

Stuart C. Graham, CIS Consult. $135,152

Russell N. Harris, Ed. Research Con. $132,505

Jonathan S. Hart, CIS Cons. $104,540

Lynn N. Heitzman, LRC $133,090

Edward N. Helvey, LRC $138,884

Donald J. Holub, Research Cons. $114,560

Lynette N. Howell, LRC $127,890

Talmadge N. Hutchins, LRC $135,379

Paul A. Jewell, Research Cons. $116,089

Charles N. Johnson, LRC $134,472

Rachelle N. Johnson, Assn. Counsel $122,479

Jan N. Jones, LRC $133,556

Bonnie N. Joseph, LRC $133,872

Thomas A. Jowhar, LRC $134,782

Suzanne N. Kaszar, LRC $145,267

Jeffrey L. Kestner, LRC $143,772

Amber N. Kirkwood, LRC $103,483

Gary N. Kovach, LRC $102,752

Annette M. Kubiske, LRC $135,319

Kimberly N. Lane, LRC $139,418

Chloann N. Leidy, LRC $122,902

Mark N. Linder, LRC $114,342

Linda S. Lindsey, LRC $135,467

Lavonne N. Lobert-Edmo, LRC $116,692

Michael N. Mahoney, Dir. Communications $127,348

Victor V. Marchese, LRC $122,556

James E. Martin, AED Bus. Services $169,292

Robert J. Matkowski, LRC $134,111

Michael N. Matusick, LRC $135,374

Linda N. May, LRC $131,161

Deborah N. Maynard, LRC $96,283

Michael N. McEachern, LRC $111,107

Bonnie N. McMurray, LRC $135,447

Darlene N. Messer, LRC $111,692

Donald C. Messer, LRC $124,107

Diane N. Miller, LRC $143,216

Timothy N. Miller, LRC $140,415

Vickie N. Miller, LRC $111,547

Henry A. Musilli, LRC $133,356

Alfred N. Nelson, LRC $123,701

Julie A. Newhall, Editor $122,061

Jeffrey F. Nolasco, LRC $119,493

Parry L. Norris, Reg. Dir. $133,941

Kathleen N. O'Connell-Burt, LRC $113,536

William N. Otten, LRC $135,818

Maureen N. Patrick, Production Cons. $122,143

William N. Pearson, LRC $146,582

Dennis F. Peltola, LRC $133,753

Cynthia N. Petersen, Ed. Reform Cons. $133,680

Herman K. Pipe, LRC $112,217

Michele L. Prater, Media Rel. Cons. $104,266

Deidra M. Reese, Dir. Gov. SVC $141,948

Marci D. Reimund, LRC $133,460

Thomas M. Renaud, LRC $134,228

Daniel N. Rivera, AED Mem. Services $154,673

Lora L. Rumsey, LRC $104,805

Sheila A. Saad, LRC $130,493

Venita N. Shoulders, LRC $142,731

Rebecca Y. Slaughter, Mgr. Gov. Real. $92,254

Carrie N. Smolik, LRC $132,134

Jerry N. Squires, LRC $138,272

Edward N. Stephenson, LRC, $133,633

Mary E. Suchy, Dir. Membership $133,633

Melodie T. Gettman, LRC $119,562

Diane N. Tieman, LRC $145,796

Jennifer N. Toth, LRC $111,773

Helen L. Trapp, LRC $119,483

Dolores N. Tufaro, LRC $98,063

Patricia N. Turner, Research Cons. $133,952

Eric J. Urban, LRC $114,636

Rebecca S. Villamagna, LRC $133,642

....Total Employee Disbursements: $20,950,902 [which includes the partial list above]

To see the complete report filed with the U.S. Department of Labor in November 2007, go to http://erds.dol-esa.gov/query/getOrgQry.do and enter "512-490" in the "File Number" box. Hit "Submit," then click on "2007 Report" under "Fiscal Year." To view reports dating from 2000, click on "National Education Asn Ind State Association, State Affiliate O," under "Affiliation/Organization Name."

Famous Quotes: A Trip Down Memory Lane

Remember these?

Watch this column, as quotes are added from time to time.

"I will consider responding to your records request when and if I have time, and that's not likely to be soon" (Former STRS executive director Herb Dyer, [convicted on ethics charges] responding to Dennis Leone's letter in Dec., 2002)

"The Board decides what's fair and it's the Board members' money to spend as they see fit." (Herb Dyer, letter to retiree Joe Gebhardt)

"It's a drop in the bucket." (Former Board member Jack Chapman [convicted on ethics charges] re: the total cost of his meeting expenses, in comparison to the total STRS assets)

"We don't get paid as Board members, so we deserve these things." (Jack Chapman)

"This is unfair because they don't get paid as board members" (Former Board member Hazel Sidaway's lawyer, H. Ritchie Hollenbaugh, on her day of conviction on ethics charges)

"I think it is clearly overkill.....the system is unfair to people that make an innocent mistake." ~ Attorney H. Ritchey Hollenbaugh, who represented several ex-STRS Board members convicted of ethics charges

"His (Leone's) report is destructive........it contains misrepresentations" (Gary Allen, President of OEA, June 2003)

"_________________________" (ORTA, after Dennis Leone's investigative report came out in May, 2003) (You're right -- they had nothing to say.)

"We could have discovered what Dennis Leone found, but we've been busy doing other things for retirees." (ORTA Executive Director Dave Travis)

"The initials S.T.R.S. are not supposed to stand for Spending, Travel, Retreats and Sculptures." (Dennis Leone, addressing the STRS Board in August of 2003)

"They're like kids in a candy store" (State Representative Michelle Schneider, regarding the spending habits of former STRS Board members and staff members).

"Beware of malcontent retirees." (Former ORTA president and former STRS Board chair, Joe Endry [convicted on ethics charges], departing words in ORTA Quarterly)

"I was doing board business when I attended that Broadway show" (Hazel Sidaway/Joe Endry)

"What would Rome look like today if they hadn't supported the arts?" (Former STRS Board member [forced out by SB 133] Jim Petro, regarding the $869,000 spent on sculptures at STRS)

"I am not against bonus checks at all." (Former Board member [forced out by SB 133] Betty Montgomery, upon learning that some 500 STRS employees received annual bonus checks)

"I really should have been more vigilant." (Montgomery, at Senate hearings)

"Shut up!" (Former Board member & Chair Bob Brown, directed at Leone in public Board meeting, 2005)

"It is questionable whether Leone actually will be on the ballot because it is unclear whether he is working in a school district." (OEA's Gary Hollow, in NEOEA-R newsletter, after Leone filed his Board candidacy petitions in February of 2005)

"You're being intrusive." (Former appointed Board member Judith Fisher [who resigned in August, 2006], about Leone operating budget questions)

"You're micro-managing" (Fisher, about Leone vendor contract questions)

"I agree with Judith on this." (Former appointed Board member Geoffrey Meyers [who resigned 10/26/06], about Leone vendor contract questions, four months after Fisher left the board)

"He's childish, he needs parenting, and if he were a student in my class he'd be suspended from school." (Board chair Conni Ramser, about Leone, in the Canton Repository)

"We just disagree on whether he's a savior or a crackpot." (OEA's Tim Myers, regarding Leone)

"This is a waste of time." (Ex-Board member Geoff Meyers, about Leone question regarding Ferguson contract)

"Any Board involvement in vendor contracts impairs the staff's ability to negotiate" (New Board member Mark Meuser, October 2006)

"See, you don't have to go to Florida to find a good meeting; you can attend one right here in Columbus!" (ORSC President Aristotle Hutras at February, 2007 STRS Board retreat)

"I've never been to Lindey's in my life!" (STRS Board chairman Conni Ramser at a November, 2006 Board meeting, re: a dinner voucher with her name on it) [Her union friends seemed to regard it as a mild memory slip and she was sweetly forgiven; most assuredly, it would have been a different story altogether, from their viewpoint, had a certain other Board member or two made the same denial, then were later found to have received such a dinner with an STRS-purchased credit card.]

"Well, we can't put everything in the booklet!" ~ An STRS rep to a sick retiree calling about a drug that was denied, even though it was on the list of approved medication with prior authorization and listed in the 2006 STRS HC booklet as "approved."

"I have consulted our executive board and they agreed with me that there is no reason to publish an article that will be about 3 or 4 weeks old by the time it is in the hands of our members." ~ Tom Seamon, editor of the ORTA Quarterly, to Dennis Leone, after refusing to publish his March 2007 STRS Report (Keep this quote in mind each time you read your Quarterly.)

"Because we don't have to" ~ Response to Dennis Leone after he asked why the Board wasn't voting publicly, after a secret ballot was taken to appoint Conni Ramser to the STRS Board (to replace Jack Chapman) and Tai Hayden (to replace Michael Billirakis).

"We are looking at it." ~ Marc Dann (4/8/07) after being asked to examine the practice of secret balloting, with regard to its legality, during open Board meetings at Ohio STRS.

“Oh my God,” said state Rep. Michelle Schneider, R-Cincinnati, and sponsor of legislation to reform the state’s five pension systems.

“They just don’t get it. The nightmare continues.” ~ Canton Repository article (by Paul Kostyu), May 12, 2004: STRS workers to get $3.85M in bonuses

State Attorney General Marc Dann, addressing March 2007 STRS Board meeting; from the official minutes of the meeting: "Mr. Dann said he agreed [with Board member Dennis Leone] that it was a conflict of interest for the Attorney General to sit on the Board. Mr. Dann also said he will strongly exercise his independence and that he is only accountable to the people of the State of Ohio. He said he will offer his independent judgment as at first, but if necessary, he will take action against his own clients in order to make sure the law is followed. He said he understands STRS Ohio exists to serve its members, not serve itself and he will certainly be mindful of that going forward."

“You will NOT insult MY people in MY house!” ~ Patricia Frost-Brooks, when Dennis Leone was criticizing the voting practices of certain board members during an OEA-R representative meeting at OEA, where Dr. Leone was the invited speaker; December 29, 2007

".....any motions before the Board that would or could undermine trust and confidence between the Board, Executive Director and Staff, are not in the best interest of the system, and, in fact, may be unnecessary and counterproductive." ~ Patricia Frost-Brooks, December 13, 2007, in a speech before the STRS Retirement Board*

[* Note: Ms. Brooks did not articulate any specific motions to which she was referring.]

"Dennis is an attack-dog." ~ An OEA-R member, January 9, 2008

Molly Janczyk: Questions for STRS Board

From Molly Janczyk, December 21, 2007

I forgot to add that in my conversation with John Patterson, the word micromanaging never came up.....only 'at the discretion of the Board.' I feel OEA's attempts to 'constantly control the Board's decisions' with direct and pointed attempts to undermine individuals (my opinion) are indeed 'micromanaging the Board' instead of stating their position and letting the Board make up their own minds. Why don't you let the Board alone to do its job instead of inserting yourselves into their debate-my take?
Molly J.

My thoughts based on the AG Office: Patterson statements:

*Leone's motion is clearly NOT against current policy.

*Changing policies have been only positive in providing direction as evidenced by renewed trust and success. It was not stated that change of policy was inappropriate. It was stated that there is a difference of time commitment between Exec. Session and open forum and considering the advisability of making such public opening debate. For me , open debate is a good thing.

*Leone's motion CAN be reintroduced and approved.

*AG states AG makes 'recommendations' on representation -required, permissable or not.

*AG stated legal issues are CASE BY CASE just as Leone's motion requests

*I feel any legal issue is a public forum issue unless determined by the Exec. Direc. and STRS Board not to be so as to consider and or disallow inappropriate incidents. Membership has the right to know how its staff is operating and would demand the same of any staff working for them. It is right and fair to anyone to have the capability to respond to charges in open forum.

*I would NOT want ONE individual deciding legal options and feel case by case Board decisions are in order. There can be NO set rule on this as there are endless numbers of circumstances and all could never be listed. Why would anyone want to have their future determined by ONE person-esp. not knowing who that person will be.

*The only standard can be: "If an employee acted according to their job description with no illegal issues, the Board can decide on outside legal fees considering the AG's recommendation."
(Pretty much what Leone has presented).

It is not appropriate, prudent or intelligent us of our money to make unconditional statements regarding paying staff outside legal fees.

*It is not appropriate, prudent or in my opinion intelligent to make one person the final answer in all legal determinations. I find that foolhardy opening the door to much bigger potential problems.

Neville's statement is pertinent to case by case: "Unless otherwise determined by law, no associate legal fees will be paid without Board approval. No employee doing their job should fear this statement and I just have to add: Why all this fuss? How many law suits are we expecting regarding staff? I would think none! They seem hardworking and conscientious. Too much ado about nothing. We did our job and never worried about such.

Molly J.

From Molly Janczyk, December 21, 2007
Subject: CORE Officers; STRS; Organizations: Mark and Conni: Suspected STRS Board Tampering: Complaint:* Ques. to the Board

I spoke with John Patterson from the AG office.

He stated he would clarify public statements and does not wish to become involved in the politics of this motion. I told him I was taking notes to clear up questions and that I would add his disclaimer.

I am copying him for accuracy.

1. The Board could have voted to approve Leone's motion: There is nothing illegal about it. It is the discretion of the Board. They can still vote to do so. There is nothing inappropriate and it is at their discretion.

2. Legal fees for associates are case by case: It is up to the Board and Exec. Direc. to determine depending on the relationship between them whether it is decided that the Exec. Direc. has the authority to approve/disapprove: -If someone has done something illegal, they cannot be defended by the AG or STRS Legal team. -If someone has worked within the legal parameters of their job, STRS could decide to represent them based on they type of case. It is permissible and at times appropriately required and at times disallowed: illegal instances.

3. Patterson's statement was due to a concern that he said was really a time commitment: As long as discussion is in Exec. Session, no one can question a decision. One it is to be voted upon in public session, the door is opened for questioning the vote and why. Once that door is open, it cannot be reclosed and takes more time to address as it becomes open for questions and debate. It was merely a caution regarding this area as being reluctant to give up Exec. Session. He stated several times the difference was really a time commitment.

The AG makes recommendations to STRS in this area of legal backing. Patterson did accompany staff to court who were called for testimony in the former STRS Board members ethics violation charges. He could not represent Sidaway due to her charges.

((To me: If cases have to be decided individually, I would not want to operate under a standard policy disallowing case by case discussion and deliberation. I cannot believe this is a major problem at STRS at any rate)).
Mark Meuser to Molly Janczyk, December 21, 2007
Subject: RE: Mark and Conni: Suspected STRS Board Tampering: Complaint:* Ques. to the Board

Molly,

Below is the response I e-mailed you earlier. I don't know why it didn't go through. Sorry about that.

Even with Mr. Neville's restatement, the basic problem with the motion is its attempt to vest the Board with the authority to determine whether employees are eligible for legal fees. According to state statute, this falls under the purview of the Attorney General. I think it is important to note that public employees who are denied legal fees have the right to sue their employers for those legal fees, even if they choose their own attorneys. The motion in question also represents a change in Board Policy. According to Mr. Patterson of the Attorney General's office, if the Board is unhappy with a decision of the Executive Director, it can censure the Executive Director. Because even that did not occur, changing Board Policy is neither advisable nor necessary.

Mark

From Molly Janczyk, December 16, 2007
Subject: RE: Mark and Conni: Suspected STRS Board Tampering: Complaint:* Ques. to the Board

Conni, Are you saying this issue is still under consideration? If so, that is good. Thank you for your response.

Molly

From Conni Ramser, December 16, 2007
Subject: RE: Mark and Conni: Suspected STRS Board Tampering: Complaint:* Ques. to the Board

Molly,

After Mr. Neville's comments, there were other questions/suggestions raised. I asked that all ideas be put into writing so that it could all be considered and the best resolution sought.

Conni

From Molly Janczyk, December 15, 2007
Subject: Subject: Mark and Conni: Suspected STRS Board Tampering: Complaint:* Ques. to the Board

Mark and Conni,

This is a new day for Board members open to much more scrutiny and oversight by membership. We expect nothing less of our STRS Board members due to the history and misdeeds of former OEA Board members.

I am concerned about your recent voting and position on the problem of paying for legal fees for STRS Board members. I cannot imagine why you voted against Neville's, STRS Legal Counsel, statement answering what a proper policy should read on this matter except just to vote against Leone and attempts for oversight.

You both promised to be independent thinkers and decision makers and not party liners which never seems to occur in serious matters. Yet, it seems you rarely raise or debate issues from an independent view and research directly from sources. This is what got us into trouble before and it seems we are headed under this Board to that end again: Do not question, micromanage (same thing), etc. Rely on Staff to tell you what is going on.

As Mooney said, about blindly listening to those expected to support STRS asking: "What do you expect them to say?" It is not ethical if one disagrees nor due diligence to not speak up if an issue is felt to be wrong simply because it is the affiliation's wish. It is certainly not why you were elected or compliant with your oath.

Please present me with your well formed points on my questions so I can better understand how you could vote no on Neville's statement which Leone responded to with the words: "SO MOVED!" What on earth can you find objectionable except to a personality or to pressure.

Mooney said he was often the loudest in the room! He had spunk and spirit. I hope some of it comes to you on behalf of membership independent of anyone's thinking but your own, truly!

Please advise me on your thoughts.

Respectfully,

Molly J.

From Molly Janczyk, December 15, 2007
Subject: Suspected STRS Board Tampering: Complaint:* Ques. to the Board

OEA Pres. and VP:

Concerned STRS members have discussed reasons for changes in some STRS Board members voting patterns. NO CORE member has a concern over a well thought out individual decision based on conscience and ORC:3307.15. But when obvious and sudden turnarounds appear, one questions why the change of heart? At this point, I am a party of one issuing this complaint of what I feel may be possible tampering with STRS Board members. I have not yet asked for support but am acting due to comments after the last Board member and overt behaviors questioned by membership.

Bill Leibensperger, OEA VP and Gary Allen, former OEA Pres. told me the reason OEA did not step in regarding past misuse by its 5 OEA STRS Board members convicted of Ethics charges was because OEA's legal team dictated NO interference from OEA regarding their votes and decisions.

Some of us in CORE fear this is not so behind the scenes. Opinions I have heard among some members witnessing the last Board meeting are that STRS Board member(s) have been pressured as to how to vote by OEA Officers. We feel certain OEA Board members issue pressure which is probably not unusual unless threats are issued of some sort? This is pure speculation at this point based on virtual overnight pattern changes of voting for Leone's motions. Again, the concern is not due to a presented reasoned thoughtful decision based on input but what appears to attendees to be coercion with no other apparant reason.

1. I have asked 2 Board members, Tai and Craig Brooks, for their input on why they could not vote for STRS Legal Counsel's statement as to how and when legal fees should be paid by STRS for staff. No response yet.

2. NOW, I wish to ask Ramser, Meuser, Cervantes and Chapman the same question. What did you feel was not appropriate with Neville's statement as to how policy on this issue should read? What were your specific reasoned specific points to vote no on this statement presented by Neville and put in motion by Leone?

3. Puckett left prior to vote. I would ask him the same question however as to his approval or not of Neville's statement.

I intend to research this issue. I issue a complaint of possible tampering for research by Neville, STRS Board Counsel. I understand in advance OEA will state this was not done and they would never do such. I personally do not believe that for an instant.

I now present a complaint of possible tampering due to observable behavior of some Board members not consistent with past voting patterns. If it can be shown that this decision and turn around was due to a change of conscience and reasoned points which can be articulated by themselves (not OEA ghost writers-though I feel that will be the case), fine.

To the STRS Board Members:

1. What do you not support in STRS Legal Counsel's statement responding to how the problem before the Board can be corrected regarding paying of staff legal fees: Neville: (STRS Board minutes): "Unless otherwise requested by law, NO payment of Associate legal fees should be paid without Board approval."

2. What do you find redeeming about Patterson's suggestion that this issue could be looked at during the Exec. Direc.'s evaluation which would be AFTER THE FACT OF PAYING FEES?

3. Do you realize without a policy, a staff member could go to the highest charging attorney and submit fees without STRS Board approval? How do you feel about this?

4. Do you realize that without policy corrected, the Exec. Direc. can approve such payment? All confirmed by STRS legal counsel Thurs. 12/13/07. How do you respond?

STRS Board members: You all took an oath to act solely on behalf of membership for its benefit with prudence. If any of you have conceded to pressure, it is your duty to come forth and change your vote if you did not vote your conscience but succumbed to the my alleged attempts of OEA to change your vote.

This is not legal or ethical. OEA may present their opinion publically and you take that into consideration.

CORE never instructs Board members as to how to vote! It is NOT what we elected our Board members to do! We speak in support of our Board members and how we as membership feel. THEY act according to their conscience and for retirees alone. We feel their hard fought battles to stand for membership are evidence of such against overwhelming odds.

It seems obvious to many of us that there is an automatic block of votes against anything put into motion by Leone and Lazares without supported documentation or substance: Why would anyone call seeing a large vendor contract before signing off on it micromanaging? Why would one approve of large spending by the Exec. Direc. for unknown bills until after the fact? Why would anyone approve of loose spending habits of membership money calling questions micromanaging when membership clearly asks for oversight and praises improved corrections on this matters monthly to you.

In fact, the ONLY organization that does so (micromanaging mantra) is: OEA. I don't hear from other organizations ever saying this. Some don't like our in your face tactics but I don't get disagreement on points such as this.

We do speak up and to the persons directly. We don't follow old protocol of only speaking through an organization officer. If membership has concerns, Board members are public seats and the public has a right to go directly to the person being asked. Board members have a duty to respond to those members' concerns.

WHY THE ISSUE OVER LEGAL FEES? My assumption is fear and history. Board members remembering history of lack of legal backing and staff fearing some nebulous circumstance where they would not be covered. If legal, ethical and moral, should be no problem. What is the concern? You should not be covered in a classroom or office if you did not fulfill these areas.

Thank you, Dr. Leone, John Lazares and Tom Johnson for voting to approve the obvious based on STRS' OWN LEGAL COUNSEL STATEMENT OF PROPER WORDING! What is there to oppose?

I will push for answers and if I do not get them, I will address you publicly at a Board meeting. It is your choice. I have no problem and no fear about approaching any of you as you stand for me, not me for you. You are a servant of a public pension system. I will have answers for membership who ask and cannot themselves attend.

I present this complaint to all STRS Board Members, Neville, and Asbury. I will keep copy for further action with the Ethic Comm., Attorney General, Gov. and our legal counsel as to how to proceed should satisfactory responses not be issued. I do not respond well to no response. I do not use continued efforts for you to respond as a tactic. I will come straight to you as Neville, Russell, Bill L., etc. well know. If I am not granted a response, I will call a meeting with you and appropriate staff and officers of organizations. I am a member shareholder and have the right to question decisions on my money.

If an organization has approached a Board member as to how to vote, it is unconscionable and unethical and possible illegal. I intend to take this to resolution. Don't threaten me. I stated alleged and possible and intend to research the matter of 'appearances' at this point. If asked under oath, one best be prepared for truth is all I want.

I am a member of OEA/NEA and I do not want my organizations tainted by anyone. I was a proud member in my career but recent events make me ashamed.

Sincerely in the interests of membership but currently speaking as an alarmed individual with a long history of watching behavior patterns,

Molly Janczyk
STRS Retiree
CORE OEA/NEA Lifetime
CEA Lifetime

Molly Janczyk: A response to Bill Leibensperger

From Molly Janczyk, December 19, 2007
Subject: Re: OEA: In the spirit of open communication

Bill,

As Kathie responded, I too, do not agree with anonymous letters feeling there is not an avenue for response just like John Lazares and Dennis Leone stated publicly at an STRS Meeting regarding an anonymous letter sent to Board members regarding a CORE member. I do understand that some feel they do not want to be public fearing retaliation of some sort though it is not true as pensions cannot be disturbed. Many still feel comfortable speaking through others, I have found, but we must be uniform in our consideration of anonymous writers in general.

POINT to Bill: My emails are blocked at OEA because as Gary Allen told me in front of you at OEA, it was thought that I could somehow get into your system which is totally outlandish with my simple email skills. But, since I had sources, he thought I perhaps had some way of infiltrating which is what he told me at the meeting we all attended. He told me it would be no time soon that I would be able to connect with OEA central directly.

POINT: The anger is deep. Profoundly. Many felt betrayed at the CORE of their being losing assets, homes, cutting meds, denying themselves treatments while OEA Board members lived high and never warning them of catastrophic changes on the horizon allowing them to retire being told all was fine and they never needed to worry about HC in their STRS Consults.

POINT: The money abused by the OEA former Board members could never have paid for HC , we know. But, it added insult to injury, literally! Addressing retirees with smirks and slams and non responsiveness provided another layer of separation. OEA created its own disenfranchise.

Bill, you were all there! Your Tim Myers wrote he was there long before Leone! Well, what did he do about the spending abuse? He never answers that question but will have a harder time avoiding it as an OEA STRS Board candidate. He could have been the 'Savior vs. the Crackpot' as he wrote questioning which Leone was.

Instead, Leone and Lazares came along and heard rumors and Leone's report is history. To promote disregarding history is impossible and irresponsible for any leader (Your written remark re: referring to the past). Leone thought OEA and ORTA would stand up-step up and take over and he'd go back to his job. Something he told me way back when before he ever considered taking a Board seat based on our pleas. POINT: OEA, ORTA , never spoke out or picked up the duty to membership to fight for oversight of membership money and every statement of praise for those who turned a blind eye to approaching devastation brought more insult to their injury.

OEA and ORTA turned a blind and deaf ear instead. Praise was heaped upon the abusive OEA Board members who misspent cavalierly relying totally on the market. Jack Chapman: "We were riding the wave!" Again, insult to deep injury of heaping the burden of saving STRS HC onto retirees' backs-retirees who worked their whole lives simply for a secure retirement. OEA said it was not necessary back in the early 90's to support talk of legislation to secure HC even when Endry told you all if something did not happen to provide HC back then , there would be no HC in ten years. So, you were not blindsided in all this. Dyer is reported to have said "I want out of the HC business." Dyer was OEA's top choice rushing to the airport, I am told, to secure him. I believe Dyer intended to spend HC money down and then blame a national problem which indeed there is and proceed to stop HC subsidy.

Suddenly- virtually overnight - there were untenable catastrophic HC increases and retirements were robbed from those who had worked only wishing security in retirement with implied promises of HC second to none. All able bodied had to go back to work to pay for HC while OEA 'ers laughed at us at meetings saying : "You have yours! We want ours!" We were called names: 'malcontents; a few disgruntled retirees,' etc. We'd go away-as OEA and ORTA and STRS thought. We didn't and we won't.

Why the anger? For reasons stated in points above and for very simply: OEA CENTRAL NEVER TOOK RESPONSIBILITY FOR ITS OWN with Allen telling me: "Our legal team would have our heads if we interfered with the Board!" (no one believes that) OEA CENTRAL AND ORTA CENTRAL NEVER SPOKE TO THE BOARD BUT PRAISED IT INSTEAD! Each time, anger built. OEA sent lies and innuendo statewide about the man who blew the whistle and never made any move to welcome either Leone or Lazares to the Board. Deb Scott: "I am NOT happy to see you here!" Lazares' response: "Thanks for the warm welcome , Debbie!"

You OEA-R: NE corner wrote innuendo to cloud whether Leone was a candidate. Easy to find out if he was indeed confused up there. Call STRS! Find out as any responsible writer would do before publishing an article. But that was not the issue: The issue was to confuse and cloud and hope some of it would stick. Back room and meeting comments kept coming back to us.

Again and again: For there to be open communication, both sides have to have the opportunity to speak and respond. When you build trust, both parties don't go around badmouthing and name calling the 'others'. That is what you did.

So, yes ! Have you ever been deeply hurt feeling betrayed by horrible slurs and lies with no chance to respond to all that heard and read it? It is a life changing event when one's integrity is attacked for one who has integrity and built a life around truth and honesty. That does not leave when NO ONE EVER took responsibility or made it right. That act is immoral, unethical and low. These bumps which you doggedly continue catapult us back to those days as we will never forget that taste or feeling for ourselves and for the one who stood up for us!

That is the KEY! We DO take personally the attacks on the 2 men who stood up to all the giants and made the truth known: UNDENIABLE: 100% VERFIED WITH STRS DOCUMENTS AND INVESTIGATIVE REPORTERS ARTICLES. Leone and Kostyu won awards for the research on STRS. Leone has won many awards for work for educators and his research. What other Board member has won or displayed such other than John Lazares who has won awards as well and is a published author. John Lazares felt the need to write an "Ethics Policy" for STRS which is now in its bylaws.

You have so little if any reason to pursue Leone and Lazares. It is YOUR difficulty in communicating with either of them. Leaders recognized for their efforts such as the late Tom Mooney and other organizations I know seem to have no difficulty. Only OEA and ORTA and its affiliates who must always wear their armor and will never do anything but defend past practices and will not speak up for current change have difficulty. It seems impossible for them to let down their guard to have a conversation about change. THAT is what brings ire to the table! You come with attitudes set and dislike in place and showing. This was recently brought up so I will mention it as Leone and Lazares have for 5 years: You will never get over that these 2 superintendents were against the strike years ago as most if not many superintendents were being told to keep schools open. I was one who went out on strike. Different sides of the fence. Didn't make me hate the principal or superintendent for the rest of my life.

Leone and Lazares came with that black mark and then embarrassed OEA and ORTA for not being on guard for membership. OEA and ORTA quickly closed ranks and did everything possible to slander and raise questions about those found problems and the one who broke the story while retirees sung their praises for helping us. THAT IS WHY WE STAND BEHIND THEM AND THAT IS WHY WE WILL CONTINUE! Not because we agree or disagree about a point here or there but because these 2 have the courage to keep fighting for membership and lay open the rules and watch our money.

I doubt you will ever understand and that you even want to with statements like: 'You try to understand but the anger goes so deep.' For you to even say that is unbelievable to membership bearing insult after insult and insult and watching its leaders attacked monthly for doing what you seem to miss: WE WANT THAT LEVEL OF OVERSIGHT! WE FEEL THAT LEGISLATORS DO TOO AND THAT IT LOOKS GOOD FOR STRS TO BE TRANSPARENT! ANY SHOW OF DISSENT COMES FROM YOU AND YOU CONTINUE TO PERPETUATE IT!

STRS has come a long way in restoring trust under Leone and Lazares motions for change. Steve Mitchell and his Staff have been overwhelmingly accurate and disciplined in bringing us back to a secure place. We issue kudos to them and to the wonderful staff at STRS who work with us and for us wanting nothing but STRS restored to its place of respect and trust. They have done so much to bring this about never hesitating to help membership answer questions and understand or assist whenever possible.

STRS DOES NOT DESERVE to be accused of having so much money they can pay for membership HC on their own. Any who issue such a statement have little understanding of finance and loss. My limited experience has taught me a dollar amount alone does not reflect severe loss, huge increases of liability and lowered funding ratio and making up for very low years. If one loses 1/3 of their money such as myself, I must use other resources to make that up taking my debt ratio and ability to pay up many more years than previous to my loss. So if I earn major money back from the market, I now have not only my previous debts but those accumulated to sustain me during the years I was down monetarily. Perhaps, I now how an amount more than I had on paper before the crash but I have more debt too taken on to survive.

STRS has earned its way back to unfunded liability around or under 30 yrs as ORSC dictates and increased its funding ration but not enough yet to be able to dedicate more to the HC fund. Also, HC costs have soared so high these past few years that even when or if they do meet the ORSC recommendations for being responsibly able to use more pension money for HC, it would no longer be enough to subsidize HC. This is why a secured revenue is needed and why STRS and HCA have now devised legislation to allow educators to prepay for their own HC.

HB 315 is a well thought out plan for securing HC for its educators with no overwhelming costs for employee or employer. This accompanied by proper funding for education would go a long way to serve Ohio in 1. attracting the best educators vs. driving them from this
2. economically failing state. TWO indicators of how to put Ohio ever into a crippling spiral of no return.

Will all always agree on all issues? No! Do all legislators agree on all issues? Are there never arguments or dissent on how to proceed? It is naive and ignorant to perceive differences and heated debate as breaks in membership over HB 315.

STRS and all HCA and CORE agree that HC is a priority and work collaboratively for its being introduced for debate.

Does that mean no one should ever disagree or stand apart on other issues? That is not exercising prudence and duty but only creating a false front which should raise concern. Debate, dissent is our American way and legislators should view it as healthy and proper: debate hard and listen to one another and vote individually and one's own conscience or you do an injustice to your constituency when you swore to uphold your duty and not be influenced by anyone other than those who depend on you for honesty and integrity. If you cannot do that at any level: you must step down for your presence is not honest.

Most of us can and will do whatever it takes for retirees and so we shake hands and smile but trust...........................................It becomes easier and easier for me because I long ago stopped caring about reactions if I felt I was honest. I understand when I am being ignored and when I am being solicited for help. I have no problem helping if I feel it is right for retirees and view it as an opportunity to show my pure intent.

ACTIONS prove change and intent - not words slung at someone in a hit and run mode with no opportunity for response in an attempt to control: you say micromanaging ; I say control. That is little different than an anonymous letter. One knows who is saying it but still no ability to respond.

I can say, it is creating trouble when someone needs you for a isolated purpose and wishes a united front to present a face publicly while continuing to attack behind the podium. Just doesn't work that way and hasn't been working for you for a long time. A person might wonder why one persists in behavior that antagonizes and creates the very thing they say they want to present. But you keep doing it while calling some of us the guilty ones. I have told you forever, we react. You don't get to throw your platitudes - pointedly and then walk away and think for a second we will not react.

Slow learners, it seems , but we aren't going anywhere and yes, Bill, it goes way deep. Deeper than you will ever understand and you are doing nothing to correct it. Nada. Only making matters worse.

Solution: Meet with the injured parties in a real sense of open communication; make amends; take responsibility for acts done as we all must do in life; you and yours stop making excuses and spending so much time defending the indefensible cause it will never work no matter how you change the words.

In this, OEA and ORTA are forever wrong in the minds of many remembering when life came to a sudden stop, when retirement was yanked from us and we were net with insults and bravado. Charter schools, much legislation and education projects: Thank you OEA and ORTA. But you will never answer this questions above and never have and the screen goes silent and back to the lair.

I think you can figure it out why the hurt goes so deep if you really want to and have, in fact, done so. You don't really want to take that step and that is that about that. You know why it goes so deep..................... I am an eternal optimist though that someday, someone with OEA, down the road will stop the mantra, get off the train and simply make it happen. A wise man. One equal to Leone in 'just wanting to do the right thing': his response in 2003 to a reporter on why he did the research. Is Leone human? Yes! Do ones among us disagree and debate points at times: Yes! Does Leone mind? NEVER! Does he raise his voice! NEVER! How do I know? I am one of them. He simply tells me there is nothing wrong with my ideas being my own. But, I know he trusts me. I know we value each other. We respect each other. So, we can talk, no problem. Mooney had no problem. Others have no problem. Just OEA Central and ORTA Central and those closely affiliated. Think about it and what you would feel and do if it had been you maligned wrongly, stunned, statewide and had your reputation impugned by those who continue to attack you-pointedly and with no doubt as to whom they are speaking.

Thanks boys and girls. Let's not keep pretending, ok?

Sincerely,
Molly J.