Skip to comments.Jerry Sandusky and Gary Schultz Continue to Receive Generous Penn State Pensions
Posted on 11/14/2011 3:20:46 PM PST by nickcarraway
Former Penn State assistant coach Jerry Sandusky and ousted Vice President Gary Schultz will likely continue to be very well paid by the university.
Sandusky was indicted last week on 40 counts of child sex abuse charges. Schultz was charged with perjury before the grand jury investigating the Sandusky case, which is also a felony, along with failing to report suspected child abuse.
When he retired, Sandusky opted to take a lump-sum pension payment of $148,271 from the State Employees Retirement System. The rest of his pension is being paid out monthly and is $58,898 annually.
Schultz could be far more richly paid. He elected to receive a $421,847 lump-sum payment at the time of his retirement in 2009, after nearly 39 years of service. He also receives a monthly pension payment of $27,558 nearly the cost of tuition for two in-state freshmen at State College. That comes to nearly $331,000 a year. Schultz had returned to his former post in September on an interim basis while the university conducted a national search for a permanent appointee.
Pension information for former Athletic Director Tim Curley, charged with perjury and failing to report suspected child abuse along with Schultz, was not available because he did not participate in the state pension system. Ousted President Graham Spanier also was not a member of the state pension system.
The Patriot-News has submitted a request for longtime football coach Joe Paternos pension.
Information about Paternos and Schultzs pensions is now public information as a result of a five-year court battle launched by The Patriot-News in 2002. That lawsuit, which went all the way to the state Supreme Court, removed a shroud of secrecy that Penn State had demanded for university employees who participated in the pension plan.
Penn State doesn’t want to part ways with Sandusky so easily.
Sandusky was indicted last week on 40 counts of child sex abuse charges.
Homosexual rape of a child.
Pensions are a legal obligation...
He was just fired a few days ago, give due process a chance. Just stripping it w/ out the proper process could wind the school up in legal trouble.
Disclaimer (just from reading some of these other threads)- this is only a statement on how quickly this article came out, not on Sandusky’s actions.
I’m pretty sure the Goldmans couldn’t go after OJâs pension money. I don’t know if that was due to state or federal law. It would be a shame if the victims couldn’t sue these two civilly and dip into those obscene pensions.
And the Occupy dopes blame Wall Street for the cost of education. Why are there no protests at the actual schools for these ridiculous payouts?
As I said on another thread regarding the former President of the University, the Athletic Director, and Paterno:
They are all guilty of enabling this monster...of turning their eyes away from abject abuse and sexual assault on under-aged boys. They were protecting their $90 million dollar a year football program and were too cowardly (or themselves wrapped up in it in some way) to even help the young men they witnessed being brought to those events.
It is a sick, disgusting, sad affair.
The University president, the Atheletic Director, and Coach Paterno all need to be charged with some form of criminal neglect IMHO and based on reading these sequence of events.
The Penn State Football program should get a 3-5 year death penalty.
How absolutely revolting and disgusting.
I wonder if Joe would have acted differently if Sandusky showed up to one of the "events" with Paterno's grandson? Or of the Janitor or other coach had seen Paterno's grandson in the shower with Sandusky.
How does the other coach see it, eyewitness the sexual assault in the shower, or the janitor for that matter...and NOT STOP IT RIGHT THEN WHILE IT WAS OCCURING? Much less immediately call the police?
It may be wrong...but as God is my witness, if I knew (and these people knew it) someone was doing this to one of my boys when they were younger (they're grown now) are any of my grandkids, the individual involved would never do it again. He would cease to be amongst the living just as soon as I could get there...and I would be happy to rely on a jury of my peers, whatever the outcome, and do so with a clear conscience.
Joe would have acted differently if Sandusky was pilfering the football box office petty cash.
The Penn State Football program should get a 3-5 year death penalty.
This line of thinking I don’t get.
Punish the players for the actions of their coaches?
I thought the same thing about the “death penalty.’
Even suspending the team’s next season. Then I thought about the players who had nothing to do with this. And I thought about the people who would be financially hurt,
ticket takers, vendors, etc.
Just put the bad guys in jail.
Felony convictions remove that obligation.
Not much is actually true in this article, so it's very difficult to know where to begin.
First: Penn State does not pay anyone's pension. Penn State employees have to option to either join the Pennsylvania State Employees Retirement System (SERS) or a teacher's private pension system (TIAA/CREF).
Second: Sandusky was not paid a lump sum "payoff" upon retiring "early." In the SERS system, everyone is repaid half their contribution upon leaving the fund. Just like any other 401 (k) or IRA account, it needs to be rolled over into another retirement plan if you are not of retirement age. At the time Sandusky retired, he had so many years already in service, his effective contribution to the SERS system would have actually been negative if he had continued to work. This is what many people have overlooked about the "suspicious timing" of Sandusky's retirement. It was financially attractive because of a retirement buyout that was being offered to tens of thousands of state workers at the time. Nothing sinister. No payoff. And no story, there.
Third: Neither TIAA/CREF nor SERS is going to terminate anyone's pension benefit unless there is actually evidence of a crime. As hard as this may be for some FReeper's to believe, NO ONE HAS YET BEEN CONVICTED OF ANYTHING IN THIS CASE. So, all of you idiots faulting PSU for "continuing to pay" Sandusky and others, the bottom line is PSU isn't paying ANYONE, ANYTHING, and those who ARE paying their pensions cannot stop paying them BY LAW.
Fourth: Yes, Curley and Schultz' defense is being paid by PSU because PSU agrees to indemnify ALL of its employees being tried for charges made pursuant to university business. Again, there is nothing unseemly about this, and a great many PSU employees who have quasi-regulatory or oversight responsibilities would be extremely upset (and Curley and Schultz would undoubtedly sue Penn State for breach of contract) if PSU WAS NOT defending them.
Don't let that stop y'all from knotting your ropes and looking for likely trees. The lynch mob can continue to foam at the mouth as it has been all week.
You don’t know what you’re talking about.
The reason the presstitutes do not call what Sandusky did the homosexual rape of a child is because the lamestream media (by the way lamestream is a contraction for lamebrains in the mainstream) is because of the high percentage of gays and lesbians in the lamestream media.
Schultz could be far more richly paid. He elected to receive a $421,847 lump-sum payment at the time of his retirement in 2009, after nearly 39 years of service.
He also receives a monthly pension payment of $27,558 nearly the cost of tuition for two in-state freshmen at State College. That comes to nearly $331,000 a year.
I live in PA. I guess that means I'm contributing to this predator's pension.
Not relevant (yet), and not true.
Not relevant because NO ONE HAS BEEN CONVICTED OF ANY CRIME in this case, and certainly no one has been convicted of a felony.
Second not true, because benefit forfeiture under PA Act 140 is not automatic on conviction of just any old felony. The felony has to have occurred during the time of the employees service, and for an act in violation of the public trust. Thus, ironically, unless one or more of Sandusky's victims before 1999 come forward, he might well not lose his benefits (or his wife lose her survivorship benefit, if he opted for one for her) while Schultz might very well lose his.
This is from the PA SERS (State Employee Retirement System) website:
Act 140 requires forfeiture of all pension and retirement benefits by any SERS member who commits certain crimes that breach the member's duty of faithful and honest public service. Also forfeited are any benefits for the member's beneficiaries and survivor annuitants.
Note that whatever the courts may determine, Penn State will have no say in the matter either way. This IS NOT Penn State's retirement system: PSU doesn't have a system; PSU doesn't pay anyone, anything for a pension.
“Felony convictions remove that obligation.
Is that a state by state basis or a federal law?
And you are on the hook for significantly more than you used to be because: 1) Tom Ridge stopped the Commonwealth's contribution to the fund while governor, so the trust is significantly underfunded, even though the Commonwealth guarantees the trust by law, and 2) because the SERS administration lost over 25% of its assets in the Market Crash in 2008, and because 3) the administrators continue to pretend SERS is fully funded despite 1 and 2, and continue with a preposterous projection of 8% return on investments.
But note you ARE NOT on the hook because of Penn State. Despite the name, Penn State is not a state school, and outlays from the general fund do not finance Penn State pensions; there are no "Penn State" pensions. And not all PSU employees are part of SERS.
See Post #19. He is mistaken.
Penn States 2011-12 State Appropriation finalized on June 30 at $279 million...
I don’t see anything that would allow the stripping of his pension - specifically any sexual stuff.
The law is specific...
Nevertheless, the public has a right to now about this pension.
Hmm, I believe governor of IL lost his pension when he went to Prison...oh which governor (we have had numerous perps)? George Ryan.
Perhaps if convicted, the University can at the very least discontinue his pension as he committed crimes while employed.
If he had been caught beating a kid with a baseball bat, wonder if the janitor or assistant coach would have intervened.
This doesn't mean Penn State runs a pension system.
6.8% of budget also doesn't make Penn State a state university, whatever the name may say. Penn State is a private land grant. The governor gets exactly ONE vote on the Board of Trustees. He may even lose that if PSU decides it's not worth it for <7% of funding.
Several schools beside Penn State (Temple, Pitt) receive money from the Commonwealth. That doesn't make them state schools, either.
The Pennsylvania University system has nothing to do with the Penn State University System; it consists of Shippensburg, Lock Haven, Bloomsburg, Kutztown, East Stroudsburg, (maybe others which FReeper alums will make me aware of if I've missed them, I'm sure.) Those are the actual state universities in PA.
Does the public have a right to know what your retirement benefits are?
Penn State is not part of the government, despite what some people think. Penn State is a private land grant, far more similar to Cornell or Rutgers than a state university, the suggestive name to the contrary notwithstanding. Pennsylvania has a state university system. It is not associated in any way with Penn State.
Some years ago, the judiciary ruled that because some PSU employees participated in the State Employees Retirement System, the pensions of (some) PSU employees should be public. PSU employees who opted for TIAA/CREF were not affected by the ruling. I believe the judge erred in that determination.
But even if I accept your point, the public is not entitled to believe that Penn State is paying this pension. It isn't. It has no power whatsoever to affect this pension by even one penny. The amount paid out, and loss of benefits when applicable is determined completely by law.
This headline, and this story is -- like most of the stuff published at PennLive.com -- a load of crap. This web site is a front for the Patriot News. That newspaper is an apologist for every bad liberal idea that has been brought up or imported into Pennsylvania for the last sixty years. There is virtually no other story printed in that rag that any conservative would credit, but, because it satisfies the blood lust of the Paterno haters, it's suddenly credible on conservative blogs.
Too bad Sandusky went on national tv; he probably has tainted most of the jury pool.