New contract calls for teachers to also pay 5 percent of health  insurance

By Cat Mauldin  The Cannon Beach Gazette
                   
Area teachers will get a 1.5 percent pay raise, but will share in the cost of their health insurance, when district board members approve a contract ratified last week by the union. The board is expected to approve the contract at a special board meeting scheduled for Jan. 20.

   The contract, between the Seaside Education Association and Seaside Administrative School District 10, is a two-year contract retroactive to July 1, 2003. The district’s 95 teachers will get a 1.5 percent salary increase the first year of the contract, which covers July 1, 2003 to June 30, 2004, and the average CPI (Consumer Price Index) for Portland in the second year of the contract, which covers July 1, 2004 to June 30, 2005.
   According to Chuck Mattocks, Seaside High School teacher and spokesman for the SEA, the index this past year was 1.4 percent, meaning the salary increase the second year is relatively close to the salary increase of the first year.

   It’s enough to cover the cost of the insurance premium co-pay, which is 5 percent of the premium for the plan currently offered to teachers. Teachers will also have the option to choose a less comprehensive and less expensive plan, with the district picking up the full tab there.
   According to Mattocks, the contract was ratified by about two-thirds of the members, with 50-plus percent needed for approval. Mattocks said in his years of experience with contract  negotiations, this is the lowest percentage of “yes” votes he has seen.
   “I just don’t think people are very happy,” said Mattocks. “I really can’t speak for the group, but I think many voted yes because, considering the times, they thought it was the best we could do. You can’t be happy when you take a hit. The raise covers the insurance increase but not much more than that.”

   Salary, step increases and continued full health insurance coverage had been sticking points in the talks, which began last May. The union initially asked for a 3-percent salary increase and  continued 100-percent district funding of health and other related benefits. 
   The district, saying it didn’t have the money, initially proposed a wage and step freeze, and said it would place a cap on insurance benefits.
   Union negotiators said the district’s carryover was enough to fund the requested salary increases  and insurance benefits, but school officials said that money was needed to cover expenses and unforeseen financial obligations, particularly in changes in State school funding.

   In subsequent negotiating sessions, the union said it would accept a 2-percent salary increase plus step increases, and would pay 5 percent of the best health insurance plan offered. The district countered with a one-half percent salary increase plus steps and a 95/5 split on a lesser  health plan.
   At a meeting in October, both sides indicated a conceptual agreement had been reached, but final wording hadn’t been nailed down.
   Mattocks said he personally wasn’t happy with the contract, because he believes the carryover funds are greater than necessary.

    “I’m a little disappointed we are in such a lean situation with the district having more carryover  than they budgeted,” Mattocks said. “But I’m not trying to second guess the district. I think that money is there because of careful spending, good management and waste-cutting. And I know that money will be used for good things.”
   Dr. Doug Dougherty, district superintendent, categorized the negotiations as “long” and said he  felt the contract was one both sides “are happy with.”
    “It was a very long negotiation and I’m very pleased we’re putting it to bed and it’s finalized,” he said. “I’m pleased with the contract.”

   In addition to salary increases and the insurance cost sharing, the only other significant changes in the contract, Mattocks said, is the phasing out of the district’s deferred compensation program, commonly known as early retirement.
   In the past, teachers with enough time in the district could retire early and receive some  compensation for a certain number of years. The program allowed the district to hire less expensive teachers, but allowed the retiree to purchase health insurance benefits until such time as they were eligible for state and/or federal programs, such as Medicaid. As insurance costs have risen over the years, the compensation hasn’t covered the insurance costs, however, Mattocks said.
   Teachers currently in the district will continue to be eligible for deferred compensation benefits.  However, under the new contract, future employees will not.

   Other changes in the contract were basically “housekeeping” changes, Mattocks said.
    There is a provision in the contract to reopen negotiations if the district receives significantly less money than anticipated from the State. However, if Ballot Measure 30 passes in February and additional funds are made available to the district, there is no provision in the contract to revisit contract terms.
   The Seaside Education Association represents about 95 teachers in the district, who work in the district’s five schools: Cannon Beach, Seaside Heights and Gearhart elementary school,  Broadway Middle, and Seaside High schools.

© 2004 Cannon Beach Gazette