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Bennett on ISTA Investigation: “Disappointing”

Indiana Superintendent of Public Instruction Tony Bennett called it “disappointing” that the FBI and the Indiana Secretary of State are investigating the Indiana State Teachers Association Health Insurance Trust Fund.

State and federal authorities are investigating ISTA’s trust fund for making bad investments which have helped put the fund into the hole by more than $67 million.

Bennett says as a Superintendent he was pressured to use ISTA health insurance plan.  And he accused ISTA’s arm representatives of negotiating in bad faith for pushing school corporations into purchasing the Union’s insurance plan for its teachers.

Bennett says taxpayers would be on the hook for to pay benefits should ISTAs insurance funds become insolvent. And he recommends school corporations use whatever legal means necessary to protect themselves.

ISTA representatives says they will unveil a plan this week to address concerns involving the insurance fund’s solvency.

Bennett made his comments during an announcement to reward schools monetarily who show the most  improvement in dealing with their dropout rates.

  • Greg P

    This may show more about Bennett that it does ISTA. Only 90 of the states 302 corporations used the ISTA Trust so apparently the pressure wasn’t all that great since 212 corporations chose not to use it. Doesn’t sound high pressure to me.

  • Think Again

    Tell me please, why his opinion on this issue is even remotely relevant?

    He’s become the Steve Carter of piling on.

  • Abdul Hakim-Shabazz

    I asked him during a news conference on something else today. I thought it was interesting.

  • Robert – NW Side

    I’m wondering where the ‘reward’ money is coming from. I don’t recall any taxing clause in Article 8 or Article 10 that allows our tax dollars to ‘reward’ schools.
    -
    This also implies that money is being withheld from schools — where else is the money coming from?

  • Jacob

    TA, I actually think in the macro sense of things this is really relevant. Here we Bennett taking a public stand on this issue, while pushing a progressive “stopgag” for graduation. If anything, Sue Ellen he ain’t.

  • Diana

    The education industry is a racket and needs an overhaul. I think Tony Bennett is just the man to do the job.

  • varangianguard

    Somebody said the money was to come from administrative savings gained this year from the IDoE’s reorganization, I think.

  • Think Again

    Well, Jacob being the “non-Sue Ellen” isn’t necessarily a good thing.

    The State Insurance Commissioner, who is a tool in his own way, is the proper official to comment on this. The same Insurance Commissioner whose office oversees title insurance, and used a new title insurance enforcement fee, paid by consumers, to build plush new offices for political cronies he’d hired. Yeah, that one.

    Bennett’s views are irrelevant.

    In the insurance industry “affinity groups” offer insurance plans of all sorts. ISTA is one of many, and certainly a small fish in the pond. The biggest? AARP, whose insurance alliances are legendary.

    Like-minded folks banding together to form insurance groups or, in ISTA’s case, a whole new company, are not unusual. How they’re regulated–now that’s important.

  • pascal

    Or, how they politically resist regulation for eight years did I read here in Indiana? You could ask Mr. Darko how the pressure is put on school corporations to allow the camel’s nose into business for which unions are of no help or competence. Oh, I forgot, Mr. Darko had no comments for the newspaper or the reading public-too busy twisting arms at the IEERB (one of the union’s enforcement mechanisms). As to pressure, many school superintendents fell off the pumpkin wagon long ago but nearly 100% of them would be happy to be given a free hand to eliminate cabooses, featherbedders, and all the other tools of trade unionism that cripple their task.

  • Diana

    The State Board of Accounts just nailed Duneland Schools for spending over $5 1/2 million dollars for no-bid, no contract Tremco school roof jobs. I’d say this illegal scheme has been officially busted up! This is more proof that the education industry needs an overhall.

    http://diana-vice.blogspot.com/2009/05/duneland-school-nailed-in-sboa-audit.html

  • Think Again

    Thanks for the morning laugh, Pascal….IEERB as a union enforcement mechanism. Hilarious.

  • Think Again

    Diane, just curious: once a school board or other governmental entity, enters into a contract with a scum outfit like Tremco, a few questions:

    Was the work performed satisfactorily?

    Is Tremco pursued, by the state or local governmental entity, for an amount equal to the difference between properly-bid roofing, and the amount Tremco got?

    Any history of recovery for the taxpayers?

    Is Tremco still in business, thereby still having assets to pay such a judgment if it’s gotten?

    Who are the principle owners, thereby the profiteers, of Tremco? Do they contribute to school board or other election campaigns?

  • Diana

    Ask Eastern New Mexico University about satisfaction. Look here for details regarding allegations of a failed Tremco roof job:

    http://diana-vice.blogspot.com/2008/09/eastern-new-mexico-university-filed.html

    If that’s not enough, check out what happened at Westfield-Washington schools here:

    http://diana-vice.blogspot.com/2008/04/how-safe-are-children.html

    Tremco is owned by RPM, a multi-billion dollar Fortune 500 Corporation, so yes, they have assets, and I sure hope there are local, state, and federal officials who will go after a recovery on behalf of taxpayers.

  • pascal

    http://www.thestarpress.com/article/20090519/OPINION01/905190318/A+call+to+action+to+improve+our+school+performance The real morning laugh isn’t Darko’s buttoned lips and his role in misleading teachers but that an article like this gets statewide release. Even even dumb journalist finally realize that our so called educators aren’t then how long will it take teachers? Anyway you measure it our government schools can’t produce even to the dumbed down government standards which folks should know are always cut scores set BELOW teacher recommendations. And, yes, we continue to smirk at the idea that ISTA is needed for IPS just as the UAW is needed for General Motors.

  • pascal

    And, advice for IEERB smirks would be to attend an IEERB fiasco and see how truth or taxpayers fare.

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