Ohio's teacher pension fund head retires, leaving a strong legacy

In Ohio, Lynn Hoover, the Acting Executive Director and CFO of the State Teachers Retirement System of Ohio (STRS), announced her retirement effective Sunday after a distinguished career spanning 31 years. Under her leadership, the STRS, which manages over $94 billion and serves more than 500,000 members, achieved investment returns that rank it within the top 10% of similar funds nationally. This performance comes despite ongoing internal challenges and scrutiny over the fund's management decisions, particularly regarding changes to retirees' cost-of-living adjustments. As Hoover departs, her successor Aaron Hood faces significant challenges, including addressing staff vacancies and preparing for an internal audit after years of tension within the board. The STRS board has been under investigation due to allegations of susceptibility to private interests and internal conflicts. In light of these controversies, the fund's current operational integrity is being questioned, and lawmakers are exploring options to change the board’s structure. Hoover highlighted the fiscal strength of the pension fund even while acknowledging it pays out more in benefits than it receives in contributions, making investment returns essential for its sustainability. She expressed pride in her staff's professionalism and commitment amid the turmoil, emphasizing a focus on member security and public education support. Additionally, the implementation of Ohio’s universal voucher system, which could affect public school enrollment and, consequently, the number of teachers, poses a potential risk to the pension fund’s health. Hoover’s remarks underline the importance of maintaining a reliable pension system for educators, reiterating the value that public servants bring to the education of future generations.