In 2012, Senate Bill 342 was passed. This Bill made many drastic changes that impacted both active and retired teachers. The main impact on retired teachers was the reduction of their COLA from 3% down to 2%. The Bill also transferred some authority of ORC 3307.67 to the STRS Board.

 

Precisely: “The board may adjust the increase payable under this section if the board's actuary, in its annual actuarial valuation required by section 3307.51 of the Revised Code or in other evaluations conducted under that section, determines that an adjustment does not materially impair the fiscal integrity of the retirement system or is necessary to preserve the fiscal integrity of the system.”

 

In 2017, upon STRS management’s advice, the STRS Board eliminated the COLA. Bob Buerkle and I already thought several Ohio statutes were violated, so we began to seek legal counsel. We eventually found the Finney Law Firm.

 

In May 2019, a lawsuit was filed with the United States District Court for the Southern District of Ohio. For nearly three years, the case was heard in Federal Court before it was ruled that, under the Eleventh Amendment, it was best argued in Ohio. In October 2021, the lawsuit was filed in the Court of Common Pleas in Franklin County, Ohio.

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The direct stakeholders are all retirees receiving a COLA before 2017 and retirees who became eligible after 2017 and qualified for a COLA after serving their 5-year waiting period. What is being argued is the withholding of the annual 2% COLA for 2017 and beyond.

 

The Finney Law Firm, Minnillo Law Group Co., Goldenberg Schneider LPA, and Taft Stettinius and Hollister are our attorneys. The defendant's law firm is Tucker Ellis LLP. The lawsuit is a class action lawsuit, and it addresses the COLA.​

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The case is heading for trial, but the date can't be set until both sides agree on discovery issues. Unfortunately, the Board's attorneys are challenging some of the plaintiffs' submissions. These couple of items are before the Judge. They have been argued already, and we are waiting for a decision. Once the decision is made, the court date will be set. At this point, look for a Spring 2027 date.

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Dean Dennis, Chair
ORTA Executive Council
August 2026