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.
Here is an update and some information to help clarify.
The court case (21 CV 006832) is active and scheduled for a jury trial on 10/26/2025. 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.
The direct stakeholders are
all retirees receiving a COLA before 2017
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.
Dean Dennis, Chair, ORTA Executive Council November 2024
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