As Introduced
136th General Assembly
Regular Session H. B. No. 719
2025-2026
Representative Hoops
Cosponsors: Representatives Manning, Brennan, Miller, J., White, A.
To amend sections 3307.044, 3307.05, 3307.06, 3307.07, 3307.10, and 3307.11 of the Revised Code and to amend Section 733.90 of H.B. 96 of the 136th General Assembly regarding the State Teachers Retirement Board.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF OHIO:
Section 1. That sections 3307.044, 3307.05, 3307.06, 3307.07, 3307.10, and 3307.11 of the Revised Code be amended to read as follows:
Sec. 3307.044. The state teachers retirement board shall appoint a committee to oversee the selection of an internal auditor. The committee shall select one or more persons for employment as an internal auditor. The board shall employ the person or persons selected by the committee.
The
committee shall consist of the following board members: the
one
retired
teacher member, one contributing member, one ex officio member, and
any additional board members appointed to the committee by the board.
The committee shall annually prepare and submit to the Ohio
retirement study council a report of its actions during the preceding
year.
Sec.
3307.05. (A)
The
state teachers retirement board shall consist of the following
members:
(1)(A)
The director of education and workforce or a designee of the director
who has the following qualifications:
(a)(1)
The designee is a resident of this state.
(b)(2)
Within the three years immediately preceding the appointment, the
designee has not been employed by the public employees retirement
system, police and fire pension fund, state teachers retirement
system, school employees retirement system, or state highway patrol
retirement system or by any person, partnership, or corporation that
has provided to one of those retirement systems services of a
financial or investment nature, including the management, analysis,
supervision, or investment of assets.
(c)(3)
The designee has direct experience in the management, analysis,
supervision, or investment of assets.
(2)
The chancellor of higher education or a designee of the chancellor
who has the following qualifications:
(a)
The designee is a resident of this state.
(b)
Within the three years immediately preceding the appointment, the
designee has not been employed by the public employees retirement
system, police and fire pension fund, state teachers retirement
system, school employees retirement system, or state highway patrol
retirement system or by any person, partnership, or corporation that
has provided to one of those retirement systems services of a
financial or investment nature, including the management, analysis,
supervision, or investment of assets.
(c)
The designee has direct experience in the management, analysis,
supervision, or investment of assets.
(3)
Two members(B)
One member,
known as the treasurer of state's investment designeesdesignee,
who shall be appointed by the treasurer of state for terms
a
term of
four years unless
removed or replaced by the treasurer of state pursuant to division
(B) of this section, and
who
have
the following qualifications:
(a)(1)
The members
are residents member
is a resident of
this state.
(b)(2)
Within the three years immediately preceding the appointment, the
members
have member
has not
been employed by the public employees retirement system, police and
fire pension fund, state teachers retirement system, school employees
retirement system, or state highway patrol retirement system or by
any person, partnership, or corporation that has provided to one of
those retirement systems services of a financial or investment
nature, including management, analysis, supervision, or investment of
assets.
(c)(3)
The members
have member
has direct
experience in the management, analysis, supervision, or investment of
assets.
(d)(4)
The members
are member
is not
currently employed by the state or a political subdivision of the
state.
(e)
The members do not have contributions on deposit with the state
teachers retirement system.
(4)
Four (C)
Two members,
known as the investment expert members, who shall be appointed for
four-year terms
unless removed or replaced by the appointing authority pursuant to
division (B) of this section.
One investment expert member shall be appointed by the governor, and
one
investment expert member shall be jointly appointed by the speaker of
the house of representatives and the president of the senate,
one investment expert member shall be appointed by the speaker of the
house of representatives, and one investment expert member shall be
appointed by the president of the senate.
Each investment expert member shall have the following
qualifications:
(a)(1)
Each member shall be a resident of this state.
(b)(2)
Within the three years immediately preceding the appointment, each
member shall not have been employed by the public employees
retirement system, police and fire pension fund, state teachers
retirement system, school employees retirement system, or state
highway patrol retirement system or by any person, partnership, or
corporation that has provided to one of those retirement systems
services of a financial or investment nature, including the
management, analysis, supervision, or investment of assets.
(c)(3)
Each member shall have direct experience in the management, analysis,
supervision, or investment of assets.
(d)
No member shall have contributions on deposit with the state teachers
retirement system.
Any investment expert member appointed to fill a vacancy occurring prior to the expiration of the term for which the member's predecessor was appointed shall hold office until the end of such term. The member shall continue in office subsequent to the expiration date of the member's term until the member's successor takes office, or until a period of sixty days has elapsed, whichever occurs first.
(5)
Two (D)
Five members,
known as contributing members, who shall be members of the state
teachers retirement system;
(6)
One (E)
Two former
member
members
of
the system, known as the
retired
teacher membermembers,
who shall be a
superannuatesuperannuates.
(B)
Notwithstanding section 3307.061 of the Revised Code, each appointed
member of the board serves at the pleasure of the appointing
authority.
Sec.
3307.06. (A)
On
Annually
on the
first Monday of May of
each even-numbered year,
one contributing member, as defined in division (A)(5)(D)
of section 3307.05 of the Revised Code, shall be elected by ballot to
the state teachers retirement board,
except that, beginning with the annual election for contributing
members in May, 1978, and in the annual election of each fourth year
thereafter, two contributing members shall be elected to the board.
Elected contributing members shall begin their respective terms of
office on the first day of September following their election and
shall serve for a term of four years.
(B)
The retired teacher member
members
of
the board, as defined in division (A)(6)(E)
of section 3307.05 of the Revised Code, shall be elected for a term
of four years. The retired teacher member
members
shall
be elected to the board at the annual
election
for contributing members of the board, as provided in division (A) of
this section, in the year in which the term of the current retired
teacher member
members
would
expire. The retired teacher member
members
shall
begin the
member's term their
respective terms of
office on the first day of September following the
member's their
election.
No contributing member of the board who retires while a member of the board shall be eligible to become a retired teacher member of the board for three years after the date of the member's retirement.
(C) Except as provided in division (E) of this section, if a vacancy occurs during the term of office of any elected member of the board, the remaining members of the board shall elect a successor member. On certification of the election results in accordance with rules adopted under section 3307.075 of the Revised Code the successor member shall hold office until the first day of the new term that follows the next board election that occurs not less than ninety days after the successor member's election, or until the end of the term for which the successor member was elected, whichever is sooner. The successor member shall qualify for board membership under the same division of section 3307.05 of the Revised Code as the member's predecessor in office. Elections under this division shall be conducted in accordance with rules adopted under section 3307.075 of the Revised Code.
(D) If as a result of changed circumstances an elected member of the board would no longer qualify for board membership under that division of section 3307.05 of the Revised Code on the basis of which the member was elected, or if such a member fails to attend the meetings of the board for four months or longer without being excused, the member's position on the board shall be considered vacant, and a successor member shall be elected under this division for the remainder of the unexpired term.
(E) A successor member need not be elected under division (C) of this section to fill a vacancy if on the day the vacancy occurs less than ninety days remain in the vacated term.
Sec. 3307.07. All elections of members of the state teachers retirement board shall be held under the direction of the board in accordance with rules adopted under section 3307.075 of the Revised Code. Any member of the state teachers retirement system, who has been nominated by a petition that is signed by five hundred or more members of the system and certified in accordance with rules adopted under section 3307.075 of the Revised Code, shall be eligible for election as a contributing member of the board. The petition shall contain the signatures of twenty or more members of the system from each of at least ten counties wherein members of the system are employed.
Any retired teacher who is a superannuate and a resident of Ohio is eligible for election as a retired teacher member of the board, if such retired teacher has been nominated by a petition that is signed by five hundred or more retired teachers, who are also superannuates, and certified in accordance with rules adopted under section 3307.075 of the Revised Code. The petition shall contain the signatures of twenty or more retired teachers from each of at least ten counties wherein superannuates under the system reside.
The
board shall place the name of any eligible candidate upon the
appropriate ballot as a regular candidate. At any election, qualified
voters, as defined in this section, may vote for the regular
candidates or for other eligible candidates, in which case the names
of such persons shall be written upon the appropriate ballots, except
that members of the system and former members of the system who are
superannuates shall vote respectively for contributing members and
the
retired
teacher member
members
of
the board. The candidate who receives the highest number of votes for
any term of office shall be elected to the board on certification of
the election results in accordance with rules adopted under section
3307.075 of the Revised Code. If,
at any election, contributing members or retired teacher members are
to be elected for concurrent terms, eligible candidates shall be
placed on the ballot, and the candidates who receive the highest
numbers of votes shall be elected to the board on certification of
the election results in accordance with rules adopted under section
3307.075 of the Revised Code.
Elected members of the board shall be elected on the basis of the total number of ballots cast by qualified voters, who shall consist of members of the system and former members of the system who are superannuates.
Sec.
3307.10. (A)(1)
The members of the state teachers retirement board holding office
under divisions (A)(3)(B)
to (6)(E)
of section 3307.05 of the Revised Code, for their service on the
board, are entitled to both
of the following:
(a)
Two two
hundred
dollars for each regular board meeting attended, provided that no
member shall be entitled to more than two
thousand four
hundred dollars per monthyear,
regardless of the number of regular board meetings held in a month;
(b)
Health care benefits comparable to those generally available to
employees of the state teachers retirement systemyear.
(2)
Except as provided in division (A)(3) of this section, the members of
the board other than the appointed
members
described under division (A)(1) of this section shall serve without
compensation.
(3) All of the members of the board shall be reimbursed from the expense fund for all actual necessary expenses incurred while serving on the board.
(4)
The payment to which a board member is entitled for attending a
regular board meeting under division (A)(1)(a)(A)(1)
of this section does not entitle the member to payment for attending
a special meeting or a committee meeting of the board.
(5)
Health care benefits provided to a board member under division
(A)(1)(b) of this section shall be provided on the same terms and at
the same cost as to employees of the system.
(B) The board may secure insurance coverage designed to indemnify board members and employees for their actions or conduct in the performance of official duties, and may pay required premiums for such coverage from the expense fund.
(C) If the officers of the board determine that a meeting of the entire membership, or any part thereof, is necessary, such determination shall be final, and contributing members shall be given time off from their employment to attend any such meeting. The employer of a contributing member shall not reduce the member's earned compensation as a teacher or any contribution required under section 3307.26 of the Revised Code, because of the contributing member's absence from employment to attend any such meeting.
The portion of the employer contribution required under section 3307.28 of the Revised Code that represents earned compensation of a contributing member paid for the period of an absence from employment to attend a board meeting, shall be annually transferred from the expense fund and forwarded to the employer of the contributing member.
(D) The board shall adopt rules in accordance with section 111.15 of the Revised Code establishing a policy for reimbursement of travel expenses incurred by board members in the performance of their official duties. As part of any audit performed under Chapter 117. of the Revised Code, an inquiry shall be made into whether board members have complied with these rules.
(E) No board member shall accept payment or reimbursement for travel expenses, other than for meals and other food and beverages provided to the member, from any source other than the expense fund. Except in the case of an emergency, no out-of-state travel expenses shall be reimbursed unless approved in advance by a majority of the board at a regular board meeting.
(F) Notwithstanding anything to the contrary in sections 145.38, 742.26, 3307.35, or 3309.341 of the Revised Code, a board member's service on the board shall not forfeit the member's allowance or benefit under any of those sections.
Sec.
3307.11. The
state teachers retirement board shall elect from its membership, a
chairperson and a vice-chairperson. A
member of the board who has contributions on deposit with the state
teachers retirement system is not eligible to serve as chairperson or
vice-chairperson. The
board shall employ an executive director who shall serve as
secretary, and shall employ other persons necessary to operate the
system and to fulfill the board's duties and responsibilities under
Chapter 3307. of the Revised Code.
Effective ninety days after September 15, 2004, the board may not employ a state retirement system investment officer, as defined in section 1707.01 of the Revised Code, who does not hold a valid state retirement system investment officer license issued by the division of securities in the department of commerce.
The compensation of all employees and all other expenses of the board necessary for the proper operation of the system shall be paid in such amounts as the board approves.
Every expense voucher of an employee, officer, or board member of the state teachers retirement system shall itemize all purchases and expenditures.
The board shall receive all applications for retirement under the plans described in section 3307.031 of the Revised Code, shall provide for the payment of all retirement allowances and other benefits payable under this chapter, and shall make other expenditures authorized by this chapter.
Section 2. That existing sections 3307.044, 3307.05, 3307.06, 3307.07, 3307.10, and 3307.11 of the Revised Code are hereby repealed.
Section 3. That Section 733.90 of H.B. 96 of the 136th General Assembly be amended to read as follows:
Sec.
733.90. (A)
The amendment by this
act H.B.
96 of the 136th General Assembly of
section 3307.05 of the Revised Code does not affect the terms of the
members of the State Teachers Retirement Board serving on the
effective date of this sectionSeptember
30, 2025.
Division
(B) of section 3307.05 of the Revised Code does not apply to
appointed members of the Board serving on the effective date of this
section.
(B)
Pursuant to section 3307.05 of the Revised Code, as amended by this
actH.B.
96 of the 136th General Assembly,
as soon as practicable after the
effective date of this sectionSeptember
30, 2025,
all
both
of
the following apply:
(1)
The
Chancellor of Higher Education shall take office on the Board or
designate an individual to serve on the Board as the Chancellor's
designee.
(2)
The
Treasurer of State shall appoint to the Board the Treasurer of
State's investment designee.
(3)(2)
The Speaker of the House of Representatives and the President of the
Senate each shall appoint one investment expert member to the Board.
(C)(1)
The office of the contributing member of the Board described under
former division (D) of section 3307.05 of the Revised Code whose term
expires on August 31, 2026, is abolished on that date.
(2)
The office of the contributing member of the Board described under
former division (D) of section 3307.05 of the Revised Code whose term
expires on August 31, 2027, is abolished on that date.
(3)
The office of the contributing member of the Board described under
former division (D) of section 3307.05 of the Revised Code whose term
expires on August 31, 2028, is abolished on that date.
(D)
The office of the retired teacher member of the Board described under
former division (E) of section 3307.05 of the Revised Code whose term
expires on August 31, 2026, is abolished on that date.
Section 4. That existing Section 733.90 of H.B. 96 of the 136th General Assembly is hereby repealed.
Section 5. (A)(1) Except as provided in division (A)(2) of this section, the amendment by this act of section 3307.05 of the Revised Code does not affect the terms of the members of the State Teachers Retirement Board serving on the effective date of this section.
(2) On the effective date of this section, the office of the Chancellor of Higher Education or a designee of the Chancellor described under former division (A)(2) of section 3307.05 of the Revised Code is abolished.
(B) The offices on the Board described under divisions (C)(1) to (3) and division (D) of former section 733.90 of H.B. 96 of the 136th General Assembly are not abolished as specified in the former version of that section.
(C)(1) Except as provided in division (C)(2) of this section, the office of the Treasurer of State's investment designee and the offices of the two investment expert members who, pursuant to section 733.90 of H.B. 96 of the 136th General Assembly, are to be appointed to the Board as soon as practicable after September 30, 2025, each are abolished, respectively, on the date that is four years after the date on which the term of office commences.
(2) If, as of the effective date of this section, any office described under division (C)(1) of this section has not yet been filled by appointment, the office is abolished on the effective date of this section.
(D) It is the intent of the General Assembly that the repeal by this act of former division (B) of section 3307.05 of the Revised Code is to discontinue its application to any member appointed to the Board on or after the effective date of this section.