The Associated Press

COLUMBUS - Retired public employees in Ohio could face a substantial increase in monthly health care insurance payments because their pension funds are running low.

A decision is expected by the end of April on changes to the State Teachers Retirement System that would take effect in 2004. Officials said that unless something is done, the system's retiree health care fund could be drained by 2009.

Richard Schmidt of suburban Reynoldsburg said the changes could cause monthly payments for himself and his wife, both retired teachers, to rise from $66 to more than $500.

The state's Police and Fire Pension Fund and School Employees Retirement System face similar problems.

"It's on everybody's plate," said Aristotle Hutras, executive director of the Ohio Retirement Study Council, which works with the Legislature on issues involving the state's five public pension plans.

During the 1990s retirement systems could absorb increased costs from the growing number of retirees.

But now, "You have double-digit health care inflation and the fact that investments are down," Hutras said. "That has changed the dynamics."

Under state law, pensions are guaranteed for retirees covered by the state retirement systems, but health care benefits are not although all the funds pay for them.

The benefits are underwritten by accounts containing money that remained after pensions were fully funded by employer and worker contributions.