Yes, transparency is needed in Minnesota government — and here’s another example

The Teachers Retirement Association of Minnesota (TRA) and State Board of Investments have denied and dismissed requests for public government data.

By Todd Richter

October 1, 2024 at 1:53AM
"There is another group that is seeking public records and data from Minnesota government agencies. MN Educators for Pension Reform is a grass-roots group of 20,000 educators who have organized to educate ourselves and fellow educators about our Tier II pensions," Todd Richter writes. (Glen Stubbe/The Minnesota Star Tribune)

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I agree with Jill Burcum’s Sept. 13 editorial on behalf of the Minnesota Star Tribune Editorial Board (“Walz administration fumbled public records request”), which ended with this statement: “Transparency is foundational to democracy. The need for PRM to file a lawsuit should spur both state and federal lawmakers to strengthen open records laws. Citizens wielding this important tool to hold government accountable shouldn’t face yearslong delays.”

My response is the need for our government agencies to practice what is already in statute in our state. The Minnesota Government Data Practices Act — Minnesota Statutes, Chapter 13 — is a state law that controls how government data are collected, created, stored (maintained), used and released (disseminated). The MGDPA sets out certain requirements relating to the right of the public to access government data and the rights of individuals who are the subjects of government data.

There is another group that is seeking public records and data from Minnesota government agencies. MN Educators for Pension Reform is a grassroots group of 20,000 educators who have organized to educate ourselves and fellow educators about our Tier II pensions. In the last two years, individuals have repeatedly filed data requests for information about our pension contributions, where our money is going and why our Tier II pensions have been decimated by legislation.

Meanwhile, the association that is supposed to be managing our pensions and advocating for us has only protected Tier 1 retirees, leaving the pension fund at 81% solvency. Our requests for public government data have been denied and dismissed by the Teachers Retirement Association of Minnesota (TRA) and the Minnesota State Board of Investment (SBI). These are agencies that every public school educator and their employer in Minnesota are required to make pension contributions to per state statute.

Minnesota educators are self-funding their pensions at one of the highest rates in the nation, so we are concerned about our money. As we were not getting data, we sought out and hired Edward Siedle, a national forensic investigation specialist, to seek answers to our questions about the financial handling of our pension plans. This was noted on April 28 in the Star Tribune (“Teachers seek probe of pension fund”).

While we were fundraising, TRA, SBI and the Attorney General’s Office were in communication with each other seeking ways to thwart the impending investigation. TRA sent an email communication to Education Minnesota executives asking for their support in trying to squash the legitimacy of the investigation. TRA also reached out to the Ohio State Teacher Retirement Association and the National Education Association for support to discredit Siedle and the investigation.

Months into the forensic audit, Siedle has faced continued lack of cooperation from Minnesota state agencies in providing public data requested in reasonable time. The Teachers Retirement Association, State Board of Investments and Attorney General’s Office have actively worked to deny, withhold and claim attorney-client privilege in regard to public data requested about the normal costs of our pensions, contracts and fees associated with private equity funds, and why the unfunded actuarial liabilities have not decreased in 20 years, despite increased contribution levels for both employees and employers. According to TRA’s financial statements for fiscal year 2023, performance vs. a composite Index (devised by SBI and TRA) indicates the fund has outperformed the index on a one-, five-, 10-, 20- and 30-year basis by 0.2% for each period. Experts state this is statistically near impossible.

Siedle was also hired by the Ohio Retirement for Teachers Association members to investigate the security of their plans. After years of battling, a judge ruled in July that the state Teachers Retirement Association must comply with Siedle’s data requests. Siedle has also filed reports with the Federal Security and Exchange Commission and the FBI based on initial findings from the data on our Minnesota educator pensions. This should raise alarms for institutions seeking transparency and answers.

We need our government to be transparent and to serve its citizens and stakeholders in a timely manner. We need journalists to investigate state agencies when provided information that the agencies are not operating within guidelines set forth in the Minnesota Government Data Practices Act.

Yes, transparency is foundational to democracy.

Todd Richter, of St. Paul, is an educator.

about the writer

Todd Richter