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Teacher Upset She Can't Retire at 47

MEA member says reform bill calling for teachers to contribute minimally to retirement is unfair

Terri List says she would tell her students not to become a teacher in Michigan.

Why?

One of the reasons is because the Saginaw Township Community School District English teacher won’t be able to retire at age 47 as she has hoped.

List was highlighted by the Michigan Education Association as one of the critics of Senate Bill 1040, which would require public school employees to contribute at least 5 percent of their compensation to their retirement plan.

The MEA reported on its website: "Saginaw Township teacher Terry (sic) List had hoped to retire in the next three years when she was 47 years old. That wouldn’t be possible under SB 1040. List would have to work another 16 years to be eligible for health benefits."

“By the time I’m 60, I would have put in 43 years of service, earning a salary at the top of the pay scale. How does that save the district money? You could hire two people for the cost of one and encourage young people to join the profession. Right now, I would not recommend to my pupils to become a teacher in Michigan.”

List didn’t respond to an email seeking comment.

According to the school’s most recent teacher’s contract, List earns between $70,000 and $80,000 a year depending upon her level of education. Factor in expected pay raises over the next 15 years and it’s likely List would make more than $90,000 by the time she retires, said Michael Van Beek, education policy director at the Mackinac Center for Public Policy.

Van Beek estimated List’s pension would be $60,000 a year in retirement and it would increase 3 percent a year and she would get health benefits when she retired at age 60. Van Beek also said that it is likely that List bought “years of service” because she said she would have 43 years of service by age 60. Van Beek said that practice is basically extinct in the private sector.

Leon Drolet, chairman of the Michigan Taxpayers Alliance, called List’s comments “amazing.”

“Wow. They have reached the politicians’ level of entitlement,” Drolet said. “She thinks she is entitled to retire at 47? Holy smokes. I don’t know what more to say to that. A government employee thinking that 47 is a reasonable expectation to retire shows just how deep inside their own bubble they live, insulated from the real world.”

Charles Owens, president of the Michigan chapter of the National Federation of Independent Business, said tongue-in-cheek that List was “spot on” in her complaint.

“If you want to retire if you are 47, apparently teaching is not the place to go,” Owens said. “The least Terri could do is provide a list of places other people could go so they can retire when they are 47.”

Michigan Capitol Confidential is the news source produced by the Mackinac Center for Public Policy. Michigan Capitol Confidential reports with a free-market news perspective.

News Story

U-M, MSU Spent Nearly $2 Million Each On Football Bowl Game Trips

While the University of Michigan didn’t beat Michigan State on the football field this year, they did on the expense ledger when it came to which college spent more on its 2012 bowl game trips.

The Wolverines spent $1.97 million over eight days for its 729 member travel party; the Spartans ran up a $1.8 million tab over nine days for its 680 member travel party, according to information received in a Freedom of Information Act request.

None of the expenses were paid for by tax dollars. The conferences and bowl games reimburse the universities for their costs.

Leon Drolet, chairman of the Michigan Taxpayers Alliance, said there was nothing wrong with the colleges spending nearly $4 million over 17 days.

“Let’s be honest,” Drolet said. “College football is a business … Our society demands college football and will pay for it. It’s become no different than any other business and Michigan and Michigan State are trying to be competitive.”

The University of Michigan came away with a net profit of $78,916 after its appearance in the Jan 3, 2012 Allstate Sugar Bowl. MSU Spokesman Kent Cassella didn’t say whether the Spartans made or lost money on the Jan 2, 2012 Outback Bowl.  

Michigan spent $737,227 on transportation and $809,406 on meals and lodging for the 379 member team and staff travel party, the 319 member band and cheerleaders travel party and the 31 member official faculty and athletics department travel party. U-M’s expenses also included $273,380 the school had to pay for tickets that were not purchased.

Michigan State spent $605,769 on transportation and $541,673 on meals and lodging for its 311 member team, staff and official party travel party and 369 band and cheerleader member travel party. MSU also had to pay $151,355 for tickets that were not purchased.

Altogether, Michigan had 4,642 tickets that were not sold while MSU had 6,764 unsold tickets.

MSU said it spent $10,361 on “entertainment” while Michigan spent $14,080.

Michigan Capitol Confidential is the news source produced by the Mackinac Center for Public Policy. Michigan Capitol Confidential reports with a free-market news perspective.