NFT rejects meeting requests

Last week the Board learned that our recent requests for additional negotiations were rejected by the NFT for reasons not yet explained to us. Unfortunately the Board and the public have been kept in the dark about this.

We are making the public aware of this situation so that they may feel reassured that the Board is committed to ongoing dialogue with the leadership of the Teachers Union, and we will continue to make every effort to schedule further negotiations with them.

Below is an email from the Board’s attorney, Chuck Sweet, to the State-appointed mediator, John Cairns, stating our displeasure with this most recent development and also reasserting the Board’s position with respect to a new collective bargaining agreement.

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From: [Chuck Sweet]
To: [John Cairns]
CC: [Ritchie Webb]
Date: Sun, 1 May 2011 21:38:19 -0400
Subject: NFT negotiations

John,

I just learned on Friday, April 29, 2011 that you had, on six (6) occasions since my letter to you of March 3, 2011, offered in writing to Tom Jennings and NFT specific bargaining dates, beginning with March 17, 2011 and continuing with five (5) additional dates in April, 2011. The most recent of those dates was April 27, 2011. Unfortunately, you did not copy me on any one of those e-mail messages. You have also not communicated with me by telephone or e-mail since March 3, 2011. Also unfortunately, the NFT did not accept any one of the dates that you offered.

The NFT President, Louise Boyd, makes a great show of saying that she and the NFT are available at any time and any date to negotiate with the Neshaminy School Board. That is obviously not a true statement.

We have been bargaining continuously with the NFT since January, 2008. We are well into our fourth year of negotiations. The three (3) year proposal made by the Board to the NFT in January, 2008 will expire soon. It was always, by its terms, not retroactive to any date prior to its mutual acceptance and ratification by both parties. That has always been quite clear to the NFT and to the taxpayers. Any future offer from the Board to the NFT will only be for a prospective term, that would be defined in a new written offer.

I am available to you for communication, whether by e-mail, telephone, or otherwise.

Chuck

Overview of Insurance Costs

During the April 12th public meeting, our insurance broker presented information regarding insurance costs for employee health care. Below is the unedited presentation from Mr. Gulla, and it is based on the information recently obtained from our insurance provider, International Blue Cross (IBC).

Before reading this presentation, please make note of the following:

• The plan noted on slides #3 and #4 (PC 15) is the current plan enjoyed by virtually all of our teachers
• The plan noted on slides #5 and #6 (PC 20/30/70) represents the Board’s proposed plan
• The plan noted on slides #7 and #8 (PC Customer 20/30/70) is an alternative plan suggested by IBC
• The first slide for each plan (slides 3, 5 and 7) are based on current costs, while the second slide for each plan (slides 4, 6 and 8) are based on our “first look” estimate on next year’s costs as provided by IBC
• The slide for each plan has five (5) columns representing:
* Tier (type of coverage)
* # of Subscribers (current or retired teachers who have this coverage)
* Board Cost (monthly cost of coverage at 100%, with no employee contribution)
* 15% = 11.25% (What the monthly employee contribution would be at 15% if they were in the 25% income tax bracket, when you factor in the pre-tax value per IRS code)
* 17% = 12.75% (What the monthly employee contribution would be at 17% if they were in the 25% income tax bracket, when you factor in the pre-tax value per IRS code)

• Not included in this presentation is the cost of the teacher opt-out benefit at 37%, which will total $1.34 million in 2011
• If the NFT had agreed to the Board’s proposal of 17% insurance premium contributions with the PC 20/30/70 plan along with a reduction in the opt-out benefit down to 25%, the District would have saved approximately $3.96 million this year

NSD Teacher Premiums and Contributions 4-12-11

An open letter to our teachers

An Open Letter to Our Teachers

Highlights from Meeting #29

Representatives from the NFT and Board met for negotiating meeting #29 this past Tuesday to discuss the health care plan information obtained from our insurance provider by the solicitors representing each side. Since our provider, International Blue Cross (IBX), did not supply us with the information until Monday evening, both parties require additional time to review the data.

It is worth mentioning that nothing provided by IBX contradicts what was reported by the Board during previous discussions, and this should serve as validation that the Board has been completely transparent with the NFT throughout these negotiations.

Before the meeting concluded, Board President Ritchie Webb reaffirmed the Board's position that teachers must contribute no less than 17% towards monthly health care premiums at this time in order for the district to confront its financial and educational challenges. Since health care/benefit costs are our single greatest expense, the Board is unable to consider other aspects of the collective bargaining agreement until this issue is addressed.

The NFT offered no concessions regarding health care premiums during this meeting, nor did they give approval for the Board's proposed self insured Rx plan which would offer substantial annual savings to the district with no benefit impact to our employees.

The State mediator will be contacting both sides to schedule another meeting in the near future.

Healthcare remains a major issue

Negotiation meeting #28 took place earlier today as Ritchie Webb and solicitor Charles Sweet met with Louise Boyd and NFT attorney Tom Jennings. The state mediator, Mr. Cairns, was also present for this meeting that lasted approximately 90 minutes.

Healthcare continues to be one of the major issues that separates the two sides. Mr. Sweet and Mr. Jennings agreed to jointly meet with our healthcare providers to obtain specific financial information. Hopefully this will clarify our costs and coverages, and will help bridge the gap that divides us.

Mr. Cairns requested that we meet again on February 15th, using the same format to review Mr. Sweet's and Mr. Jennings' findings.

Talks rescheduled

Today's negotiation session has been rescheduled to next Wednesday, February 2nd.

New round of talks scheduled

After having separate meetings with the state mediator, both the Board and NFT have agreed to another negotiation session on Thursday, January 27th. In an effort to facilitate open dialogue, each side will be represented only by their respective president and attorney along with the mediator.