Vic’s Statehouse Notes #267 – November 23, 2016

Dear Friends,

Death by a thousand cuts.

That is the likely future for public education unless public education advocates are willing to rally to defend it vigorously against two proposals in the weeks and months ahead.

The November 8th general election has left public education under severe threat from those who would diminish and dismantle it at both the state and federal level. The defense should begin now by talking with members of the General Assembly and with members of Congress.

At the state level, the expensive proposal called Education Savings Accounts which would give state funding for the first time to unregulated home schools and would give a financial incentive for parents to leave the public schools will go forward, most likely as a part of the budget and touted incorrectly as a way to save money. It was sponsored in the 2016 short session by Ways and Means Chair Dr. Tim Brown in the House and by Senator Jeff Raatz in the Senate.

At the federal level, Donald Trump’s proposal to shift $20 billion from current federal education funding, presumably from Title 1 reading programs for low income students, to pay for private school tuition will go forward. He detailed his proposal in a speech in Cleveland on September 8th. His choice today of Betsy DeVos as Secretary of Education, well known as a critic of public education and as a wealthy promoter of private school vouchers, is aligned with his stated plan to give public money for private school tuition in all 50 states.

The concept of public education is now in direct jeopardy both in Indiana and at the federal level.

In Indiana’s bicentennial year, the privatizers won the election.

Read the rest at Vic's Statehouse Notes #267

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Vic’s Election Notes on Education #41– October 26, 2016

In his last message to voters, Vic Smith, the director of the Indiana Coalition for Public Education wrote...

Glenda Ritz is trying to correct a wrong done to public school parents five years ago as she runs for State Superintendent for Public Instruction.

For five years now, since the passage of the Tony Bennett/Mitch Daniels 2011 voucher law, home school parents and private school parents have been able to claim a $1000 Indiana income tax deduction for textbooks and supplies. Public school parents were not included in this deduction for textbooks.

This is not fair to public school parents.

Public school parents should have an equitable right to deduct textbook costs just the same as home school and private school parents do. Glenda Ritz wants to see that they do, and she has put that goal in her campaign platform.

Jennifer McCormick, Glenda Ritz’s opponent in the race for State Superintendent, is opposed to correcting this inequity. At the August 27th ICPE membership meeting in Indianapolis, she said that she did not support the Ritz proposal saying that it would cost too much. She apparently sees neither the inequity in this policy that Glenda Ritz sees nor the depth of the public-private controversy embedded in this issue.

I stand with Glenda Ritz. Giving a tax break to home school and private school parents but not to public school parents is just wrong.

This policy which has been in effect since 2011 sends a powerful and demeaning message to public school parents. It should be reversed.

I urge you to support Glenda Ritz for State Superintendent on November 8th.

Click HERE to read the rest of Vic's letter on the blog of the Northeast Indiana Friends of Public Education.

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President's Letter, September 2016

Dear Allen County Retired Educators,

Our second of four annual meetings will be held on Monday, October 24th at the University of St. Francis - Downtown. We will begin our meeting promptly at 11:00 a.m., so come at 10:45 am to check in, pay for your lunch, and get your new 2016-17 Membership Directory.

Following our tour of the new downtown St. Francis facility, we will have a catered luncheon served on the St. Francis Campus in the Historic Women's Club. Because of this, no reservations can be accepted after Monday October 17th. Please make your reservation with Mary Jo Purvis at: 492-6992 OR mpurvis1@frontier.com. The meal cost will be $15.00 payable when you arrive. If you are a 2016 retired teacher or administrator, and you are a first time attendee, your meal is FREE. Members who bring a nonmember retiree, will get a TWO-FOR-ONE deal for lunch. Let Mary Jo know when you make your reservation.

The program tour for this meeting will be led by Rick Cartwright who is the University of St. Francis' Director of Creative Arts Program. We will meet at the St. Francis Performing Arts Center, 431 W. Berry St. - Parking in the PAC (Performing Arts Center) lot on the corner of Berry and Fairfield. Additional parking in the Peerless Cleaners lot. Enter at the Music Technology Entrance at far right - 431 Berry Street. This month the program will be FIRST, with lunch following.

Our new 2016-2017 Membership Directory will be available at this meeting. It is free to all paid members, or it can be sent to you for an additional $2.00 mailing fee. On pages 3 and 4 of the book is the annual information for submitting Volunteer Hours for 2016. This information is so important to present to our legislators to lobby for COLA. Send your total hours to Denise Geller by December 1 at: 9034 Butt Road, Fort Wayne, IN 46818. We want to again make AREA the top volunteer chapter in Indiana!

Scholarship information will be available from Nancy Sprague, Committee Chair, at the meeting. If you have a family member who is a college sophomore or junior with an education major this academic year, s(he) is eligible to apply in early 2017. The applicant must be related to a retired educator. Let's have a winner from our chapter!

If you have not yet paid your 2016-17 AREA dues of $15.00, contact Pam George at: 471-5952 or pamgeorgeph@comcast.net. She also has IRTA membership brochures. We need your support.

Next Meeting: Wednesday, April 19, 2017 at Biaggi's - Jefferson Pointe. Great program on Fort Wayne Children's Zoo - by Jim Anderson, Director.

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Vic’s Election Notes on Education #37– September 17, 2016

Dear Friends,

[Note: There is no link between “Vic’s Election Notes on Education” and any organization.]

---

Have your heard of the proposal called Education Savings Accounts which would dismantle public education?

Between now and November 8th while candidates are listening, every public school advocate should ask every candidate for the Indiana General Assembly to go on record to oppose Educational Savings Accounts. Tell them that their opposition to ESA’s is necessary to get your vote.

Why? Educational Savings Accounts are the pernicious proposal first filed in bills during the 2016 legislative session which would lower standards and provide approximately $6000 on a debit card to any parent who signs an agreement to school their child in “reading, grammar, mathematics, social studies and science.” The bills provided no supervision of the way the $6000 is spent and no criminal background checks on the adults receiving the debit card money such as criminal background checks required for teachers.

These damaging bills, already passed in some form in Arizona, Florida, Nevada, Mississippi and Tennessee, are right out of Milton Friedman’s plan to end public schools and leave education to a marketplace of private schools, all funded by the taxpayers but without government oversight or transparency.

Now both Representative Behning (House Education Chair) and Senator Kruse (Senate Education Chair) have said in media reports that Educational Savings Accounts will be on their agendas in January in the new session.

Candidates listen to voters during the election campaign. They listen better now than at any other time in the electoral cycle. This is your time to bend their ear about Education Savings Accounts. Get them on record that they will oppose Education Savings Accounts.

Remind them that this is our bicentennial year when we are celebrating our public education heritage going back to the 1851 Constitution. This is not the time to undermine our public education system with this radical proposal called Education Savings Accounts.

[Please note: Indiana Code 3-14-1-17 says that government employees including public school employees may not “use the property of the employee’s government employer to” support the “election or defeat of a candidate” and may not distribute this message “on the government employer’s real property during regular working hours.” Ironically, the law does not prevent private school employees from using computers purchased with public voucher money to distribute campaign materials. Private schools now financed in part by public voucher dollars have retained all rights under Indiana’s voucher laws to engage in partisan political campaigns.]

Education Savings Accounts: House Bill 1311 filed in January 2016

The 28-page HB 1311 was sponsored by the powerful chair of the House Ways and Means Committee, Dr. Tim Brown, a member of the House leadership. It would:

• give approximately $6000 on a debit card to any parent who signs a state agreement. This money would go directly to parents and would no longer go to school districts.

• narrow and weaken the curriculum and remove many students from Indiana’s new standards. Parents getting the money only have to agree to provide an education in “reading, grammar, mathematics, social studies and science.” No music! No art! No physical education! No foreign language! No health! No vocational subjects! Who would think this would provide a good education?

• end accountability for many students. Parents could take their child out of any school and pay “a participating entity”, which may be an individual, a tutoring agency, a distance learning program, or a licensed occupational therapist approved by the Indiana Treasurer. No requirement to take ISTEP is included for those students who are not enrolled in a school.

• expand vouchers to more students. HB 1311 would give public money to families earning up to $97,000 (family of four). Using a sliding scale, families earning $97,000 would get a 70% voucher, far more than the 50% voucher now given to families earning $65,000 or less. Family income limits would disappear completely for special education students, giving even high income families taxpayer money for private schools. Currently for special education students, eligibility for vouchers is capped at incomes of $85,000 (family of four). Indiana’s voucher program was passed in 2011 as a program for low income families, but that rationale has now disappeared.

• pay textbook fees for private schools while public school parents get no help with textbooks. HB 1311 makes textbooks for private schools or private programs a taxpayer expense.

• allow parents to divert money intended for K-12 education to their 529 college fund. This is an incentive for parents who can afford to pay for their current private school to enroll in the program, take the money intended for K-12 education and put it in a 529 college account instead.

• leave the education money to be supervised by the parent without fraud protection. A weak section of fraud consequences for a “participating entity” that has “routinely failed”, but no mention is made of parents who neglect their duties or commit fraud with their child’s money.

• omit criminal background checks for parents to get the money. Background checks are being expanded for public school teachers but ESA’s would give public money to parents without comparable background checks.

Tell all legislative candidates during the fall campaign that you strongly oppose this radical plan!


Powerful Forces are Lobbying for Education Savings Accounts

A well-funded pro-voucher group called Hoosiers for Quality Education has strongly pushed Education Savings Accounts, starting with a Statehouse rally last January. Hoosiers for Quality Education for years has actively funded candidates during the election campaign to build their influence. They have given Jennifer McCormick $30,000 in her campaign for State Superintendent against Glenda Ritz. They have given donations to numerous other candidates for the General Assembly, which will give them access to legislators next January as they press for Education Savings Accounts, a measure their lobbyist last January called “the future of school choice in Indiana.”

Glenda Ritz has opposed this plan since it was unveiled last January. At the August 27th ICPE meeting In Indianapolis, she said she is “adamantly opposed” to Education Savings Accounts which would lead to the “total dismantlement of our public system.”

Jennifer McCormick also spoke at the August 27th ICPE meeting and for the first time spoke in opposition to ESA’s, saying that they would take money away from public school districts.

It is good to have both State Superintendent candidates on record against this damaging proposal, but they will not vote on the plan. We need to get all General Assembly candidates from both sides of the aisle on record against Education Savings Accounts during the campaign.

That’s where you come in.

As you talk with candidates and attend candidate forums, make sure they know what Education Savings Accounts are and how strongly you oppose this radical plan. To help you in this task, a one-page flyer of talking points against ESA’s is located here. Please share it with candidates as well as colleagues and friends of public education.

I urge all public school advocates to protect public education from the Milton Friedman voucher supporters and from Education Savings Accounts. Don’t let this issue get overlooked during this unprecedented election campaign.

Thanks for advocating in support of public education!

Best wishes,

Vic Smith

There is no link between “Vic’s Election Notes on Education” and any organization. Please contact me at vic790@aol.com to add an email address or to remove an address from the distribution list.

Some readers have asked about my background in Indiana public schools. Thanks for asking! Here is a brief bio:

I am a lifelong Hoosier and began teaching in 1969. I served as a social studies teacher, curriculum developer, state research and evaluation consultant, state social studies consultant, district social studies supervisor, assistant principal, principal, educational association staff member, and adjunct university professor. I worked for Garrett-Keyser-Butler Schools, the Indiana University Social Studies Development Center, the Indiana Department of Education, the Indianapolis Public Schools, IUPUI, and the Indiana Urban Schools Association, from which I retired as Associate Director in 2009. I hold three degrees: B.A. in Ed., Ball State University, 1969; M.S. in Ed., Indiana University, 1972; and Ed.D., Indiana University, 1977, along with a Teacher’s Life License and a Superintendent’s License, 1998. In 2013 I was honored to receive a Distinguished Alumni Award from the IU School of Education, and in 2014 I was honored to be named to the Teacher Education Hall of Fame by the Association for Teacher Education – Indiana.

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A Special Opportunity for AREA Members

A Special Opportunity for AREA Members:

Rebecca Reeder was our guest speaker at our June AREA Meeting where several members expressed an interest in Embassy Theatre volunteer information. See the following from Rebecca:

“The fall volunteer training for the education programs at the Embassy Theatre will be on Thursday, October 13, 2:00-5:30 PM. Attending the training does not obligate you to volunteer. Come and learn more about what the Study Trip programs are like and how you can help. If you are interested in attending, please contact Rebecca Reeder at rebecca@fwembassytheatre.org.”

Please send all further correspondence directly to Rebecca.

August 18 Meeting, Membership

Dear Allen County Retired Educators,

Our first of four yearly meetings will be Thursday, August 18, 2016 at the Lodge at Coyote Creek (former Elks Club) at 4935 Hillegas Road. We will begin our meeting promptly at 11:00 am. Come at 10:45 am to check in and pay your lunch and dues!

Please make your reservation with Mary Jo Purvis at: 492-6992 or mpurvis1@frontier.com. It would be a great help if you could contact her by Aug. 12th. If you have special dietary needs, please talk to the wait staff that day. The luncheon will be a delicious buffet with salads and rolls at our places upon arrival.

The meal cost will be $15.00 payable when you arrive. If you are a 2016 retired teacher or administrator, and you are a first time attendee, your meal is FREE. Members who bring a nonmember retiree, will get a Two-For-One deal for lunch. Let Mary Jo know when you make your reservation. Let's try to get our new retirees there!

The program for our Aug. meeting will be a presentation by Julia McIntosh, Director of the Allen County CASA program. Some of you already know what a valuable resource this program is for our young people. Our meeting will conclude with our annual Necrology Service.

Mark your calendars NOW also for the remaining 3 AREA meetings: (Save these dates.)

• Monday, October 24, 2016 at Univ. of St. Francis downtown facility

• Wednesday, April 19, 2017 at Biaggi's Restaurant

• Tuesday, June 6, 2017 at Pine Valley Country Club

Every effort has been made to reserve fine food at a venue that can hold all our members comfortably. Also, we have scheduled each meeting on a different day of the week!

MEMBERSHIP: Please note: Our AREA dues must be increased to $15.00 for 2016-2017, due to increases in program and communication expenses.

All members will receive a 2016-17 DIRECTORY at the October 24th meeting, or it can be mailed to you by adding $2.00 to your membership dues of $15.00. Please note on this form if any information is a change. Make checks payable to AREA. Pay at the August 18th meeting or mail, with a membership form, to: Pam George, 6316 Tree Top Trail, Fort Wayne, IN 46845

Click HERE to download a membership form.

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IRTA announces new benefit through HotelStorm

We are excited to announce a new partnership with HotelStorm to bring exclusive hotel discounts to our members.

HotelStorm negotiates hotel discounts only available to IRTA members with discounts up to 55 percent.

Simply search their website for your favorite destinations - whether personal or professional - and you will find savings of 10 to 55 percent over other online travel agencies.

Contact your local IRTA chapter, or IRTA in Indianapolis to receive a password to unlock your discounts.

View all IRTA Member Benefits

2629 Waterfront Parkway East Drive, Suite 105 Indianapolis, IN 46214
Phone: 888.454.9333 | Fax: 317.637.9671 | info@retiredteachers.org

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June 14th AREA Meeting

June 14th AREA Meeting Reminder

Dear Allen County Retired Educators,

Just a reminder in case you haven't already signed up!

Our last of four annual meetings is soon to be held as we close this school year. It will be on Tuesday, June 14th at Pine Valley Country Club, 10900 Pine Mills Road. We will begin our meeting promptly at 11:00 am, so come at 10:45am to check in and pay for your lunch.

RESERVATIONS: Please make your reservation with Mary Jo Purvis at: 492-6992 OR mpurvis1@frontier.com. It would be a great help if you would contact her by June 7th. You will have a choice of several menu items for our lunch. If you need special dietary changes, please talk to the wait staff that day.

The meal cost will be $15.00 payable when you arrive. If you are a 2015 retired teacher or administrator, and you are a first time attendee, your meal is FREE. Members who bring a nonmember retiree, will get a TWO-FOR-ONE deal for lunch. Please let Mary Jo know when you make your reservation.

PROGRAM: Rebecca Reeder will be presenting the program about our own Fort Wayne Embassy Theatre --- Its History and Programs especially for our Young Audiences.

EYEGLASSES: Bring your “old” eyeglasses for Ed DeLong to collect for the Lion's Club.

ARCHIVES: Any AREA documents you feel should be saved, bring to Bruce Oliver that day.

The IRTA Representative Assembly will be held on Wednesday, June 15th at Primo South in Indianapolis. We are eligible for 22 delegates for this very informative day, so mark the date on your calendar and join us. We will have carpools organized to attend, and there is NO cost., as AREA will pay for your lunch and continental breakfast. If you are able to represent Allen County that day, please let Barb Kanning know by May 29th to get you registered as a delegate. Call 432-5228 or e-mail at: kanning4@frontier.com.

You must be a member of IRTA to be a voting delegate, but you can also attend as a guest if you are not.

IRTA MEMBERSHIP: Have you joined? The Indiana Retired Teachers Assoc. needs your support as we begin plans for the 2017 IN legislative budget year. COLA anyone? Join by contacting Pam George – 471-5952 or pamgeorgeph@comcast.net.

SEE YOU ON JUNE 14th at PINE VALLEY COUNTRY CLUB!

Barb Kanning, AREA President

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April 20th AREA Meeting

April 20th AREA Meeting Reminder

Our third of four annual meetings will be held on Wednesday, April 20th at

Rack and Helen's Restaurant
525 Broadway St.
New Haven.

We will begin our meeting promptly at 11:00am, so come at 10:45am to check in and pay for your lunch.

Click HERE and scroll down for map and directions.

From downtown Fort Wayne: Jefferson Blvd. becomes Maumee, straight onto Lincoln Hwy. Turn left onto Broadway St. Restaurant on the right – parking lot and an entrance at the back.

Please make your reservation with Mary Jo Purvis by April 13th. If you need special dietary changes, please talk to the wait staff that day. We will enjoy delicious selections on a great luncheon buffet.

The cost for the meal is $15.00 payable when you arrive. If you are a 2015 retired teacher or administrator, and you are a first time attendee, your meal is FREE. Members who bring a nonmember retiree, will get a TWO-FOR-ONE deal for lunch.

Let Mary Jo know when you make your reservation.

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Indiana Retired Teachers Foundation Scholarship Program

The Scholarship Committee of the Indiana Retired Teachers Foundation is excited about an opportunity for upcoming juniors or seniors enrolled in an Education Program at any of Indiana’s universities and colleges to apply for a $2000 scholarship for the 2016/2017 school year.

Up to ten scholarships will be awarded around the state to students who have a relative that is a member of the Indiana Retired Teachers Association. To find out what IRTA district you live in, please check out our website at www.retiredteachers.org and go to the IRT Foundation Tab. You will find the Association’s District Map and our online application material under that tab.

The scholarship guidelines and application can be downloaded here. If you have any questions, please contact our office at 1-888-454-9333 between the hours of 8:00-4:00 M-F.

Tom Mellish, Executive Director

IRTA Call to Action # 3

Educators: Please Email Your State Senator Immediately,

Senators need to hear from you by Monday morning.

Ask Them to Oppose HB 1004 and Support HB 1161!

If you have already emailed your Senator, please feel free to do it again from some of the additional Bullet Points we have added for each Bill.

You can identify your State Senator at this link: http://iga.in.gov/legislative/find-legislators/. The link will tell you their district number. Their email address will be s(district number)@iga.in.gov. For example, Sen. Frank Mrvan represents district 1. His email address is s1@iga.in.gov.

Please compose an original email using the information provided below. Do not cut and paste any of this email: “form emails” are ineffective and in fact can completely backfire! I have heard legislators say they would take one original note, letter, or email from a constituent over hundreds of form letters.

Your “grass root efforts” are the most effective. They want to hear and know what their constituents are thinking. Especially those legislators that are in contested primaries and elections.

Background Information – HB 1004

HB 1004 passed the Senate Pensions and Labor by a vote of 7 – 4 vote. One republican joined the 3 democrats in opposing the bill. This bill will be heard by the Full Senate on Monday Afternoon for its 2nd Reading. The bill addresses 3 separate issues: supplemental pay, licensure reciprocity and creates a “Defined Contribution Only” pension option for newly hired teachers. It is this section of the bill that is of great concern to IRTA. This bill’s stated intent is to address the current teacher shortage. We do not believe that a DC only option does anything to entice or retain new teachers, but it does take an incremental step toward making a DC plan the only pension option at some time in the future.

Talking points for HB 1004

• Indiana Educators have both a DB (defined benefit) and DC component to their retirement plan, the pension and ASA account. The current system is the best of both worlds and a DC only option is not needed.

• Even though “DC Only” is an option in HB 1004, it is an incremental step toward doing away with our current pension plan and replacing it with a DC only plan in the future.

• Allowing a “DC Only” option is a significant change in public policy and should be extensively studied and vetted in the Pension Management Oversight Committee

• The average balance in the ASA account for a retiring teacher is $95,000. That’s putting in 3% of your salary each year for your whole career. A 4% payout after retirement would be less than $4,000/year and just over $300/month. Even if the savings doubled or tripled it would be far below today’s Defined Benefit.

• With a “DC Only Option” plan, the stock market may determine retirement despite age or health.

• An educator choosing the Defined Contribution Only option will need to save $650,000 to generate a monthly income equal to an average teacher pension. The volatility of the stock market coupled with flat teacher salary increases will make it very difficult to save this amount. What happens when an individual cannot save enough to retire? Either they continue to work well past their prime or may end up on welfare and/or other types of public assistance. Neither is desirable.

• Proponents suggest that the DC only plan is good because it is an option and millennials want options. What happens 40 years down the road when retired teachers are having to sign up for welfare and food stamps? Another drain on public services.

• Consider the fundamental causes of the teacher shortage. Does anyone believe individuals are not choosing teaching because they want an uncertain, speculative choice about retirement security?

• A State Representative, who was a co-author of the bill, voted against the bill in the House

• What happens to a teacher who starts in a DC only plan, then transfers to a school district that does not offer the plan?

• It may cost up to One Million dollars to upgrade the INPRS system to include this new DC only option for future educators.

Background Information – HB 1161

HB 1161 is the “13th Check” bill. It passed the Senate Labor and Pension Committee by a vote of 9 – 2 and is awaiting action in the Senate Appropriations Committee, chaired by Sen. Luke Kenley. The bill is coming the Appropriations Committee fully funded and not causing an increase to the unfunded liability.

Talking Points for HB 1161

• No Social Security increase this year

• 8 years since last COLA in 2008

• Grocery prices have increased over 32% since 2008

• Electric Bills have increased over 15% since 2008

• Health care cost continue to escalate

• Over 14,000 retired teachers receive less than $1,000/month in their pensions

• Over 6,000 retired teachers receive less than $650/month in their pensions

• Indiana has had a surplus from their yearly budget the past few years that would more than fund a “13th Check” each year

• “13th Check” amount has never increased since its inception

• HB 1161 is funded by proceeds from the recent “tax amnesty” program and will not increase the unfunded liability of the Pre’96 pension fund.

Our goal is to ensure every State Senator receives multiple emails from constituents regarding HB 1004 and HB 1161. We have heard from a few senators that they are being contacted by you. Thank you!!

Senate Appropriations Committee for HB 1161 “13th Check”

Senate Leadership lists, Co-sponsors, Contested Races, Leaving Senate

(R) Senator David Long – President Pro tempore Dist. 16
Senator.Long@iga.in.gov
7100 W. Jefferson Blvd.,
Ft. Wayne, IN 46804 (Leadership and Contested Primary)

(R) Senator Patricia Miller – Assistant President Pro Tempore Dist. 32
Senator.Miller@iga.in.gov
1041 Muessing Rd.,
Indianapolis, IN 46239 (Leadership and Retiring)

(R) Senator Jim Merritt – Majority Caucus Chair – Dist. 31
Senator.Merritt@iga.in.gov
10327 Tarpon Dr.,
Indianapolis, IN 46256 (Leadership)

(R) Senator Jim Tomes – Assistant Majority Caucus Chair - Dist. 49
Senator.Tomes@iga.in.gov
9412 Highway 66,
Wadesville, IN 47638 (Leadership)

(R) Senator Brandt Hershman – Majority Floor Leader Dist. 7
Senator.Hershman@iga.in.gov
PO Box 177,
Buck Creek, IN 47924 (Leadership)

(R) Senator Randy Head –Assistant Majority Floor Leader, Communications Dist. 18
Senator.Head@iga.in.gov
200 W. Washington St.,
Indianapolis, IN 46204 (Leadership, leaving Senate)

Senator Luke Kenley – Chair of Appropriations – Dist. 20
s20@iga.in.gov
102 Harbour Trees Ln.
Noblesville, IN 46061 (Co-sponsor, contested primary, Leadership)

Senator Eric Bassler – Co-Sponsor – Dist. 39
s39@iga.in.gov or eric@ericbassler.com
200 W. Washington St.,
Indianapolis, IN 46204 (Co-sponsor)

Senator Jim Banks – Co-Sponsor – Dist. 17
s17@iga.in.gov
200 W. Washington St.
Indianapolis, IN 46204 (Leaving Senate)

HB 1004 will be heard next week in the full Senate on Monday afternoon and HB 1161 will be heard in the Appropriations Committee sometime next week. Time is short and it is absolutely critical that members of the Indiana Senate hear from their retired teachers constituents.

If your county hosts 3rd houses, cracker barrels, or legislative breakfasts, please attend these meetings this weekend and bring these bills up for discussion by your senators. They are aware of HB 1004 and HB 1161. Senators are receiving Fact Cards each week on the DC/DB issue and the “13th check” along with Steve and me meeting with Senators personally.

If you are attending our Legislative Brunch on Tuesday, be sure to contact your Senator and let them know you will be at the Brunch. You may also set an appointment to speak to them. If your Senator is not available, feel free to meet or set appointments to meet with the co-sponsors of the bill, leadership and members of the committees. The timing this year of our Legislative Brunch is coming at a great time as our bills are just ready to be heard and voted on either in committee or the Full Senate.

Now is the time for the grassroots to take effect and they need to hear loud and clear from their constituents. They need to know we are here, we listen, we care and we vote. We are tired of being forgotten and pushed aside.

During second reading will be our last chance to remove the Defined Contribution Only option out of HB 1004 in the Full Senate. The 3rd reading they would need to defeat the whole bill.

Thank you so much for your efforts and support. You will be the ones that make the difference!

Tom Mellish
Executive Director

Steve Beebe
IRTA Lobbyist

IRTA Newsletter, February 8, 2016

Dear Member,

Please Email Your State Senator Immediately – Ask Them to Oppose HB 1004 and Support HB 1161!

You can identify your State Senator at this link: http://iga.in.gov/legislative/find-legislators/. The link will tell you their district number. Their email address will be s(district number)@iga.in.gov. For example, Sen. Frank Mrvan represents district 1. His email address is s1@iga.in.gov.

Please compose an original email using the information provided below. Do not cut and paste any of this email: “form emails” are ineffective and in fact can completely backfire!

Background Information – HB 1004

HB 1004 passed the House by a vote of 57 – 42 after lengthy and spirited debate. 13 republicans joined 29 democrats in opposing the bill. The bill addresses 3 separate issues: supplemental pay, licensure reciprocity and creates a “Defined Contribution Only” pension option for newly hired teachers. It is this section of the bill that is of great concern to IRTA. This bill’s stated intent is to address the current teacher shortage. We do not believe that a DC only option does anything to entice or retain new teachers but it does take an incremental step toward making a DC plan the only pension option at some time in the future.

Talking points for HB 1004

• Indiana Educators have both a DB (defined benefit) and DC component to their retirement plan, the pension and ASA account. The current system is the best of both worlds and a DC only option is not needed.

• Even though “DC Only” is an option in HB 1004, it is an incremental step toward doing away with our current pension plan and replacing it with a DC only plan in the future.

• Allowing a DC Only option is a significant change in public policy and should be extensively studied and vetted in the Pension Management Oversight Committee and then again in the Pensions and Labor Committee.

• As a group, employees are poor investors. DB plan assets are managed by professional managers, which on average, earn greater returns than DC plans through pooling resources.

• With a DC plan, the stock market may determine retirement despite age or health.

• An educator choosing the defined contribution only option will need to save $650,000 to generate a monthly income equal to an average teacher pension. The volatility of the stock market coupled with flat teacher salary increases will make it very difficult to save this amount. What happens when an individual cannot save enough to retire? Either they continue to work well past their prime or may end up on welfare and/or other types of public assistance. Neither is desirable.

• Proponents suggest that the DC only plan is good because it is an option and millennials want options. Then maybe the bill should include options to invest in junk bonds, oil company stocks or wheat futures. It could work out well for an individual choosing one of these options. But we all know the outcome will likely be disastrous.

• Consider the fundamental causes of the teacher shortage. Does anyone believe individuals are not choosing teaching because they want an uncertain, speculative choice about retirement security?

**Please note that in an earlier call to action, IRTA listed “increasing the unfunded liability” of teacher pensions as a major concern. We now understand that language in the bill addresses that concern and should no longer be mentioned in communication with legislators.

Background Information – HB 1161

HB 1161 is the “13th Check” bill. It passed the House by a vote of 91 – 0 and is awaiting action in the Senate Pensions and Labor Committee, chaired by Sen. Phil Boots. . An increase is on our wish list and we are working for an amendment to achieve it. Please ask your Senator to push for an increase in the “13th Check” amount. It will be a struggle to get an increase this session since it is not a budget year, but it is also an election year and those up for election may want to help retired teachers.

Talking Points for HB 1161

• No Social Security increase this year

• 8 years since last COLA in 2008

• Grocery prices have increased over 32% since 2008

• Electric Bills have increased over 15% since 2008

• Health care cost continue to escalate

• Over 14,000 retired teachers receive less than $1,000/month in their pensions

• Over 6,000 retired teachers receive less than $650/month in their pensions

• Indiana has had a surplus from their yearly budget the past few years that would more than fund a “13th Check” each year

• “13th Check” amount has never increased since its inception

• HB 1161 is funded by proceeds from the recent “tax amnesty” program and will not increase the unfunded liability of the Pre’96 pension fund.

Our goal is to ensure every State Senator receives multiple emails from constituents regarding HB 1004 and HB 1161. However, it is imperative that certain Senators are contacted because of their committee assignment, their service in a leadership position or have a contested election in 2016. If your Senator is on one of the lists below, it is doubly important that they hear your voice.

Senate Pensions and Labor Committee

Senate Leadership lists, Co-sponsors, Contested Races, Leaving Senate

(R) Senator David Long – President Pro tempore Dist. 16 Senator.Long@iga.in.gov
7100 W. Jefferson Blvd., Ft. Wayne, IN 46804 (Leadership and Contested Primary)

(R) Senator Patricia Miller – Assistant President Pro Tempore Dist. 32 Senator.Miller@iga.in.gov
1041 Muessing Rd., Indianapolis, IN 46239 (Leadership and Retiring)

(R) Senator Jim Merritt – Majority Caucus Chair – Dist. 31 Senator.Merritt@iga.in.gov
10327 Tarpon Dr., Indianapolis, IN 46256 (Leadership)

(R) Senator Jim Tomes – Assistant Majority Caucus Chair - Dist. 49 Senator.Tomes@iga.in.gov
9412 Highway 66, Wadesville, IN 47638 (Leadership)

(R) Senator Brandt Hershman – Majority Floor Leader Dist. 7 Senator.Hershman@iga.in.gov
PO Box 177, Buck Creek, IN 47924 (Leadership)

(R) Senator Randy Head –Assistant Majority Floor Leader, Communications Dist. 18 Senator.Head@iga.in.gov
200 W. Washington St., Indianapolis, IN 46204 (Leadership)

Senator Luke Kenley – Chair of Appropriations – Dist. 20 s20@iga.in.gov
102 Harbour Trees Ln. Noblesville, IN 46061 (Co-sponsor, contested primary, Leadership)

Senator Eric Bassler – Co-Sponsor – Dist. 39 s39@iga.in.gov or eric@ericbassler.com
200 W. Washington St., Indianapolis, IN 46204 (Co-sponsor)

Senator Jim Banks – Co-Sponsor – Dist. 17 s17@iga.in.gov
200 W. Washington St. Indianapolis, IN 46204 (Leaving Senate)

More Info on Senate Pensions and Labor Members

Brent Waltz – Running for Congress
Jim Banks – Running for Congress

February 8 will begin the second half of the 2016 legislative session. Time is short and it is absolutely critical that members of the Indiana Senate hear from their retired teachers constituents.

If your county hosts 3rd houses, cracker barrels, or legislative breakfasts, please attend these meetings and bring these bills up for discussion by your senators. They are aware of HB 1004 and HB 1161 as they were forwarded all bills on February 4, 2016 and IRTA has already sent each Senator a letter on our position. The Senators are receiving Fact Cards each week on the DC/DB issue and the “13th check” along with Steve and me meeting with many Senators personally.

If you are attending our Legislative Brunch, be sure to contact your Senator and let them know you will be at the Brunch. You may also set an appointment to speak to them. If your Senator is not available, feel free to meet or set appointments to meet with the co-sponsors of the bill, leadership and members of the committees.

Now is the time for the grassroots to take effect and they need to hear loud and clear from their constituents. They need to know we are here, we listen, we care and we vote. We are tired of being forgotten and pushed aside.

The last half of session will be our last chance to remove the Defined Contribution Only option out of HB 1004 and the best chance for that is in the Senate Education Committee.

Thank you so much for your efforts and support. You will be the ones that make the difference.

Tom and Steve

Legislative Bulletin # 1

January 25, 2016

As this short session of the legislature quickly rolls along, IRTA has closely monitored the progress of three bills. The first one is HB 1325 which proposed moving the early retirement age back from the “Rule of 85” to “Rule of 95”. We were pretty sure from the start that this bill would not be heard as that was the opinion of most of the State Representatives to whom we talked. It was reassigned from the Employment, Labor and Pensions to the House Rules Committee, which is the grave yard for legislation each session, effectively ending our concern for this session.

The next bill of interest is HB 1161 “13th Check Bill” and we felt that this bill would be pushed through the House since Labor and Pensions Chairman Doug Gutwein authored the bill and Rep. Burton joined him as co-author. We are working with House members to get an increase in the check since it has not happened since the inception of the “13th Check”. There is still an outside chance we might see a slight increase in the check amount.

HB 1161 went unanimously through Employment, Labor, and Pensions Committee and during the Ways and Means Committee, Chairman Brown offered an amendment that funds the “13th Check” from the proceeds of the recent “tax amnesty” program. This passed the House Ways and Means Committee unanimously. This is a big step because the bill usually passes through the House, but without funding established. This should help us greatly as it passes over to the Senate side.

HB 1004 is being promoted as a tool to help with Teacher Shortage. I do not find much in this bill that would inspire me to become a teacher. The biggest problem that we have with the bill is that it has the “Defined Contribution Only” component in it for future educators as an option. I testified against it, but it still passed out of committee 9-3. I do not see how it can benefit future educators. If this bill passes through the senate, it opens the door for further expansion of the DC down the road. Legislators argue that it gives educators more freedom and choices. Our pension plan gives us all of the same options, plus the Defined Benefit, which is our best retirement tool. Having teachers vested in 5 years would give our teachers better options, especially those that come to us as second career teachers. We appreciate all of you who contacted the House Education Committee. We have work to do as this bill moves over to the Senate in a couple of weeks.

Rep. Cherry was going to author our COLA bill this year. It was in draft form and just days prior to the session beginning, Rep. Cherry had a medical emergency. We were told that his bills would be carried forward. Just prior to the bill filing deadline, we checked on the bill again and were told this time that leadership decided not to move that bill forward through the House, but would have stalled in the Senate. We wish Rep. Cherry a speedy recovery.

Please attend our Legislative Brunch and remember our free bus service from the IRTA office that leaves at 8:30 and returns at 12.

As I have observed last year and with my involvement in the legislature this year I feel very confident that the House members understand our plight and are supportive. The Employment, Labor and Pensions Committee and the House Ways and Means are especially supportive and understanding. Please write, or call, to thank them at:

200 W. Washington Street

Indianapolis, IN 46204

Or

1. To find your legislators, go to “Indiana General Assembly Home” (www.in.gov/legislative) At the bottom of the screen, click on the tab “Find Your Legislator” and put in your address.

2. Go to any Town Hall, Cracker Barrel, meetings that may be held in your area. We want to introduce ourselves or make ourselves known as interested retired educators, and they hear our message.

3. We are getting much support, so please start by thanking House Members for the “13th check” and hope the Senate will do the same. Listen as well as talk in polite and reasonable ways.

IRTA Legislative Brunch

ATTENTION! INDIANA RETIRED TEACHERS LEGISLATIVE BRUNCH

Tuesday, February 23, 2016 at the Indiana Statehouse, Indianapolis - 9:00am to 11:00am

Go with your officers that morning and help us get our message personally to our IN legislators. We will be leaving very early to get to the IRTA offices in Indy. They are chartering buses to take us to the statehouse. The deadline for reserving a seat on those buses is: THURSDAY, JANUARY 22nd

Check your calendars and let Barb Kanning know by that deadline if you are available to go with us. I guarantee it will be an interesting morning. I will be driving, and we should get back to Fort Wayne by mid-afternoon. Call or e-mail Barb at: 432-5228 or kanning4@frontier.com

Also, I hope you have communicated with our IN legislative committees (or will very soon) as requested by Tom Mellish, our IRTA Executive Director. That's the best way to let them know we NEED an increase in that September stipend --- I can't seem to call it a "13th check"!!!

Thanks for helping our AREA retired teachers,

Barb Kanning, AREA President

A Call to Action from IRTA

Dear Members:

We are asking you to contact House of Representative legislators immediately. This is a short session and bills will move through committees very quickly. The Defined Contribution Only Plan is in House Bill 1004 and has been placed in the House Education Committee. Rep. Behning is the author and chairman of the committee so we know it will be heard in committee. We want to keep ahead on this issue and debate. I have spoken with many superintendents, principals, and new teachers about the advantages of a DB benefit over the DC Only Benefit. No one sees the advantage or reason that a DC Only Benefit would entice people to enter the teaching profession. The reasons, or Talking Points, on why we do not need a Defined Contribution Plan Only;

• Indiana Educators have both a DB and DC component to their retirement plan, the pension and ASA account

• Individuals can decide how aggressive or conservative they want to invest in their DC/ASA account and make changes quarterly

• If a person leaves the profession, they can roll over or use the DC/ASA money at their discretion

• The amount educators would have to save is at least 10 percent of their salary from day one.

• In today’s dollars an individual would need to save a minimum of $650,000 dollars to replace just the pension portion of the retirement plan

• It may cost the state more money to manage another fund

• Letting people take the money and run in a few years doesn’t solve the teacher shortage in the long term or promote longevity in the profession

• The DC Only option would have less people putting money into the pension to pay off pre-1996 retirement fund debt

House Bill 1161 the (“13th Check” Bill) has passed unanimously through the Employment, Labor, and Pensions Committee. An increase is also on our wish list and we are working for an amendment to this bill that will increase the amount of the “13th Check” as it goes to the House Ways and Means Committee. Please ask your legislator and members of the House Ways and Means Committee to increase the “13th Check” amount. Their contact information is at the end of this bulletin. The “13th Check” has never increased since its inception. It will be a struggle to get an increase this session since it is not a budget year. We feel we have support and momentum to get an increase in the House. The true test will be in the Senate. The first step is to get it through the House. Our Talking Points for the need of an increase for the “13th Check” are the following:

• No Social Security increase this year

• 8 years since last COLA in 2008

• Grocery prices have increased over 32% since 2008

• Electric Bills have increased over 15% since 2008

• Health care cost continue to escalate

• Over 14,000 retired teachers receive less than $1,000/month in their pensions

• Over 6,000 retired teachers receive less than $650/month in their pensions

• Indiana has had a surplus from their yearly budget the past few years that would more than fund a “13th Check” each year

• “13th Check” amount has never increased since its inception

Please contact your representative along with your family members and friends. Here is the link to get your legislator’s contact information http://www.in.gov/legislative. In addition to contacting your own legislators, we are adding the committee contact information. Please thank the Employment, Labor and Pension Committee for their support on the “13th Check”. Refer to the attached Word document for contact information.

Thank you for your continued support. You are the ones that make the difference in the legislature. This short legislative session is intense and quick moving as the bills pass through multiple committees. Friend us on Facebook, Twitter and watch our website http://www.retiredteachers.org for the most recent information throughout the session.

Thank you for your support of our legislative efforts.

Tom Mellish
Steve Beebe