Ohio Gov. Bob Taft today signed into law a pension reform bill that reconstitutes the board of directors of each of the state's five main public pension funds, Orest Holubec, press secretary, confirmed. Under the new law, which will take effect in 90 days, the governor and the Legislature will each appoint a financial expert to each system's board, which will also include the state treasurer and an additional retiree member. The state auditor and attorney general are removed from the system boards, although the attorney general retains legal oversight of them. In addition, board members and the investment officer of the systems will be required to file annual ethics disclosure statements, and each board must adopt an ethics policy. Ohio legislators approved the bill last month.
The five funds, all based in Columbus, are the $58.7 billion Public Employees Retirement System; the $54 billion State Teachers system, the $9.1 billion Police & Fire fund, the $8.2 billion School Employees system; and the $600 million Highway Patrol system.