DeWine issues statement on STRS


COLUMBUS — Ohio Governor Mike DeWine issued the following statement regarding the Ohio State Teachers Retirement System (STRS):

“I have been closely monitoring the ongoing news regarding the Ohio State Teachers Retirement System (STRS). Our state pension systems have an obligation to retirees to ensure their investment portfolios and accounts are stable and financially sound, so that they have the financial resources to serve retirees, both now and in the future.

“I supported the efforts of the Ohio Auditor of State Keith Faber and the Ohio Retirement Study Council to conduct numerous audits to help ensure STRS is providing the best management and oversight of their pension funds. These audits have resulted in several dozen recommendations to “improve fiduciary performance,” including “improvements in STRS’ use of committees,…a ‘revitalization’ of investment and audit committees, and the creation of a board governance committee.” These recommendations resulted in STRS retaining a nationally-renowned consulting firm, Aon, to provide guidance on corporate governance.

“Recently, we learned that Aon is severing its contract with STRS. This is a huge red flag, calling into question how STRS is operating and providing oversight. The unstated implication is that the governance issues at STRS are so concerning that Aon could not continue its contract in good faith. STRS may now be out of compliance with portions of audit recommendations due to Aon ending the contract.

“Additionally, my office has received documents containing some other disturbing allegations regarding the STRS board. I have directed my staff to forward these documents to a number of relevant offices, including the Ohio Ethics Commission, the Ohio Retirement Study Council, Attorney General Yost, Auditor Faber, Treasurer Sprague, Secretary of State LaRose, and relevant members of the Ohio General Assembly. I encourage them to review the document and take any action that may be appropriate under any jurisdiction they may have.”

No posts to display