Spin! Spin! Spin!
Here is the e-mail that the Indiana State Teachers Association sent out to its members regarding the recent trouble with its health insurance and long-term disability fund.
May 19, 2009
ISTA Members,
As you may know, the ISTA Insurance Trust has recently experienced a number of severe difficulties. Additionally, like most organizations in this economic downturn, ISTA itself is experiencing some financial distress that must be addressed.
In a response to both of these situations, Saturday afternoon the ISTA Board of Directors met in a special session and unanimously agreed to ask NEA to institute a Trusteeship over ISTA. The purpose of this trusteeship is to assure ISTA’s current financial viability and continued long-term success.
In response, NEA agreed to appoint a trustee. His name is Edward Sullivan. Ed has had a distinguished career in the NEA family. Until his retirement last year, Ed served for 24 years as the Executive Director of the Massachusetts Education Association. I have met with Ed, and I am confident that he will provide sound leadership as we work to resolve the financial issues that confront us.
Ed will have complete authority over the operations of ISTA. As he explained it to me, his mission will be keeping the regular business operations of ISTA running smoothly while exploring various financial options for the ISTA and instituting whatever corrections are needed.
Your elected officers and the Board of Directors will give Ed full support and cooperation for the duration of the trusteeship and ask that you do the same.
Let’s see here. ISTA made investments that should never have been made in the first, jeopardizing the health insurance plans of thousands of members and setting up school districts to be on the hook and have major tax increases to cover the benefits and the economy is to blame.
Riiiiiggghhhhtttt.
