Trustees erred in giving president allowances

The president said the attorney general will be asked to review the issue.
By HAROLD GWIN
VINDICATOR EDUCATION WRITER
YOUNGSTOWN -- The State Teachers Retirement System of Ohio says Youngstown State University's Board of Trustees erred when it revised President David C. Sweet's contract to include his housing and car allowance as part of his base salary.
Sweet came to YSU in July 2000 at a base salary of $203,520 and was given a seven-year contract.
The agreement provided separate car and housing allowances.
However, the trustees voted in November 2004 to extend Sweet's contract through June 2010, raising his base salary to $209,626 at that point but also agreeing to roll his annual $52,615 housing and $7,938 car allowances into his base salary, phasing in that change over 31/2 years.
The contract also called for annual salary increases of no less than 2 percent nor more than 4 percent.
The university has been told those allowances can't be included in Sweet's salary for purposes of calculating his retirement pension benefit, said Laura Ecklar, STRS director of communication services.
"We are aware of this. This is something we will have to address down the road," said Dr. H.S. Wang, chairman of the YSU Board of Trustees.
YSU didn't learn there was a problem with the contract change until Sweet contacted STRS last summer asking for an update on calculations on his retirement benefit.
It was shortly thereafter that STRS contacted the university with questions about his salary arrangement, Sweet said.
The university will ask the education office of the state attorney general for a review of the matter and for any recommendations for contract changes the attorney general feels may be required, he said.
Ecklar said the state retirement board took action in the late 1990s to exclude housing and car allowances from being included in base salaries for purposes of determining retirement benefits.
The university was made aware of this policy and it's now a local issue between Sweet and the YSU Board of Trustees in terms of how to adjust his contract, she said.
It would appear that the university has already corrected the problem from the standpoint of reporting the president's salary to the STRS.
A spokesman said Sweet's base salary this year is $215,492, a figure that doesn't include his housing and car allowances.
gwin@vindy.com