Topics & Report

              Contents
Page 2
TRS Has Gone Green
Retirees: Update Your E-mail
PDP Ends June 30, 2010
Page 3
Annuitant Reminders
Page 4
Pension Modernization
Task Force
Boone Appointed Trustee
Board Meeting Schedule
Page 5
Benefits Report Mailed
Unicare Leaves TRIP
Hall of Fame Inducts John Day
GFOA Award Issued
Page 6
Talented Teacher Inspires
Page 7
Private School Credit
“To everything (turn, turn, turn)
There is a season (turn, turn, turn)
And a time for every purpose…”
“Turn! Turn! Turn! (to Everything There is a Season)” by the Byrds
The Teachers’ Retirement System of the State of Illinois (TRS) has undergone significant changes since it was established 70 years ago in 1939. topics &report
TRS Embraces a New Season of Change in 2010
Teachers’ Retirement System of the State of Illinois
Winter 2009 – 2010
Retirement Security for Illinois Educators
Special Insert
The fiscal year 2009 Annual Financial Report Summary wasa special insert within theprintededition.Clickheretoviewthereport(PDF).
Technological improvements, benefit protections, and a sophis­ticated investment model are among the additions to TRS since its inception. More recently, state law enacted in 2009 improved the transparency of the invest­ment process, changed the composition of the TRS Board of Trustees, and impacted the exec­utive leadership of the agency.
As TRS celebrates its 70th anni­versary, your retirement system recognizes the value of all the seasons of change. In good times and in bad, protecting the retire­ment security of our members remains the top priority at the Teachers’ Retirement System.
Investments
A global economic downturn, high unemployment in the U.S., and volatility in the financial markets are staples of the cur­rent season. However, TRS has successfully weathered other tur­bulent times during its 70-year history and this is no exception. That is not to say TRS is down­playing its recent investment losses in fiscal year 2009, the state’s fiscal crisis, or its balloon­ing pension debt.
The year 2010 marks a new sea­son of change for TRS. Investment returns had already begun to rebound during the quarter that ended September 30, 2009, and more recent performance shows a slow but steady climb toward positive territory.
Historically, investment income has comprised nearly 60 percent of all TRS income, including during other periods of mar­ket volatility. TRS has a longer investment horizon to recoup the recent losses.
Funding
TRS continues to advocate com­pliance with a funding plan that will retire the system’s unfunded liability. This debt is mainly due to the state’s failure to follow sound pension funding practices over the past several decades.
Benefit Protections
The benefit protections con­tained in the Illinois and U.S. Constitutions prevent reduc­tions in benefits being earned by active members. However, some believe that benefit levels should be drastically reduced for
new hires.
Also, many discussions have been held on the type of ben­efit structure the state should offer its annuitants. TRS pro­vides a defined benefit structure
New Season continued on page 2