Auditor of State Completes Special Audit of STRS Ohio
Earlier today, the Ohio Auditor of State’s office released the report of its special audit of the State Teachers Retirement System of Ohio (STRS Ohio). The special audit found no evidence of fraud, illegal acts or data manipulation related to the funds held in trust by STRS Ohio for its members. The special audit’s findings include, “STRS’ organizational structure, control environment and operations are suitably designed and well monitored, both internally and by independent experts. These experts help assure that STRS follows applicable asset and liability measurement, reporting, investing and cash management laws, professional standards, and best practices. Our conclusions are consistent with the findings of these independent firms.”
STRS Ohio Executive Director Bill Neville shared, “I appreciate the thoroughness of the special audit conducted by the Auditor of State in response to complaints received from some teachers and retirees. It is noteworthy that the special audit’s findings refute much of the inaccurate information circulated about STRS Ohio over the past two years, and the report provides extensive detail and analysis in support of its conclusions. I want our members to know that STRS Ohio remains steadfast in our dedication to ensuring the sustainability of the pension fund and providing financial security to current and future generations of Ohio’s educators.”
Carol Correthers, an intervention specialist for Lorain City Schools and Chair of the State Teachers Retirement Board, commented, “As a career teacher who is depending on STRS Ohio for a pension when I retire, it gives me peace of mind that Auditor Faber’s team has conducted such an extensive review. Ohio’s teachers can have confidence our pensions are safe.”
The special audit’s findings are consistent with those of a fiduciary performance audit, commissioned by the Ohio Retirement Study Council, completed earlier this year by Funston Advisory Services LLC. The fiduciary performance audit found STRS Ohio is operationally excellent with effective operational policies and processes.
Founded in 1920, STRS Ohio is a pension fund that provides services and benefits to nearly 500,000 active, inactive and retired Ohio educators. Membership includes all licensed teachers and administrators of Ohio’s public schools; faculty of Ohio’s public colleges and universities; and educational employees of the Ohio Department of Education. STRS Ohio is governed by a Retirement Board consisting of 11 members. It operates under Chapter 3307 of the Ohio Revised Code and is legally separate from and fiscally independent of state and local governments.
The report of the auditor’s findings and conclusions can be found here.