Dr. Robin Rayfield spoke to the STRS Ohio Retirement Board during Public Participation on October 17, 2024.
My name is Dr. Robin Rayfield. I am the Executive Director of ORTA. Thanks for the opportunity.
I had prepared remarks, but I'm going to deviate from them.
I think it's important to say thank you for the recent action to try to do something to help all parties.
We've always been about fixing the system, not simply about COLA.
But over the years of turmoil here, the membership has spoken very loudly and clearly that change is necessary.
Unfortunately, the motivation, or the information underneath that desire for change, has often been characterized by management primarily as misinformation
Understand that misinformation, if I don't agree with it, I call it misinformation. However, if I agree with it, it's information. So, I think we all have to recognize that.
I've suggested two simple things, at no cost, that would help fix the trust and, we think, would help put STRS on a good track.
The first is, comply with the transparency that we have all asked for. There is a magistrate's order that said, share the documentation behind the alternative investments.
The second thing we could do, very related, is move out of those opaque investments, and increase our passive investment strategies. The Auditor of State has confirmed we would do better. Save hundreds of millions of dollars to get, maybe better, but certainly similar, returns.
The last thing I would say is this, last month, you did a great presentation on purchasing power. I wouldn't have been able to do it, but it was great. We've gone backward 21% in the last decade.
In that same decade, STRS compensation increased by 58%.
There's a disconnect between us being a partner. It's not a partnership if one person pays all the bills and the other person reaps all the benefits from those sacrificing.
Thank you.
Dr. Robin Rayfield
Executive Director, ORTA October 17, 2024