Dallas School District’s teacher offer includes ways to offset salary hikes

Times Leader (Wilkes-Barre, PA)

Nov. 10--DALLAS TWP. -- A referendum on eliminating school property taxes received statewide voter approval Tuesday, but it will not impact the financing of the Dallas School Board's latest contract offer to teachers, board member James Gattuso said.

If Act 76 is enacted, the Legislature would eliminate school property taxes but shift the burden to an increase in personal income and sales taxes.

"I really don't know where (Act 76) is at right now," Gattuso said Thursday, adding the ballot question was just a referendum and does not change anything right now.

Dallas School District Business Manager Grant Palfey said components of the three-year comprehensive contract offer presented to the Dallas Education Association on Oct. 30 were designed to offset the educators' salary increases.

The proposal included total hikes of $1.957 million in salaries, $157,000 in payroll taxes and $313,000 in pension costs comprising a $2.427 million increase to the district's budget for this year, Gattuso said.

The contract proposal will cost the district a total of $12.7 million in salaries for the 2017-18 school year, Palfey added.

Under the proposal, the 2017-18 wage matrix has a minimum annual salary of $46,000 and a maximum pay of $83,500. The salary schedule awards teachers a raise for each year (columns) up to 16 years and for every six college credits above a bachelor's degree (steps) up to 36 credits beyond a master's degree.

The 2018-19 and 2019-20 salary schedules reflect the same employment and education credit formats, but the starting wage increases by $1,200 for each of the school years.

Under the expired pay matrix, the starting salary was set at $34,501 and the maximum at $80,866.

Also, educators are offered two health insurance options under the district's proposal. A HMO plan, which does not require an employee contribution, and a PPO buy-up option.

According to the Negotiation Update link on the district's website, the PPO plan requires annual contributions of $300.23 for an employee; $458.06 to cover a parent and child; $596.87 for employee and spouse coverage; and $832.85 for a family plan.

Health care has been a sticking point throughout the negotiation process. Union leaders lean more toward health care plans with higher deductibles and copays while the district has presented options with cost-sharing premiums.

Currently, Dallas teachers pay nothing toward their insurance premiums.

Union response pending

Under the new proposal, teachers will be paid $65 per unused sick day, not to exceed 150 days. This is an increase from the $23 per sick day that was included in the expired deal.

Palfey said the sick day reimbursement is designed to encourage educators to use the benefit sparingly, which will save the district the expense of substitute teachers.

"It costs the district $100 for a substitute for a day," Palfey said.

If the union accepts the proposal, the salary schedule will go into effect retroactively Sept. 1, 2017. The sick day reimbursement and early retirement incentive will start in the current fiscal year, Gattuso added. And the proposed health care program will be enacted Jan. 1, 2018.

The union reviewed the district's offer earlier this week, said Michael Cherinka, president of the Dallas Education Association.

Cherinka said union members met with a representative from Highmark Blue Cross Blue Shield to compare their current health plan to the proposal.

"We will have a response prepared by Tuesday (Nov. 14)," said Cherinka.

The next negotiation sessions are scheduled for Nov. 14 and 15.

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