Emerging Negotiation Models in Today`s Economic Climate

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Emerging Negotiation Models in
Today’s Economic Climate
Allen Albus, Lake Forest School District 67 & 115
Barry Bolek, Township High School District 113
Jennifer Hermes, Lake Forest School District 67 & 115
Audrey Liddle, Zion-Benton Twp High School District 126
Agenda
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Introductions
Importance of Emerging Models
In-Depth Case Studies
Emerging Ideas
Obstacles to Emerging Ideas
Summary/Questions
Case Study
Township High School District 113
Deerfield and Highland Park High Schools
Barry A. Bolek
Assistant Superintendent for Finance
email: bbolek@dist113.org
Township High School District 113
 District Demographics
 Negotiation Solution
 Impact of New Schedule
 Existing Employees
 New Employees
 Additional Changes in Contract
Township High School District 113
• 20 step schedule
• Top salary of $ 130,000
• 60 teachers in the “pipeline” to retire over the
next 5 years
Township High School District 113
Fundamental Issue
Tier 1 Employees
 Retire age of 55
 13 years at top salary
Tier II Employees
Retirement Age of 67
27 years at top salary
System unable to sustain cost of current salary structure
Township High School District 113
Solution
• PMA developed a “toggle” schedule that
could show savings with a second schedule
• Half steps for NEW hires = significant savings
• Half Steps – Decreased step increment from
average of 2.6% to 1.2%
Township High School District 113
Additional Changes in Contract
• Tied retirement incentives to years in the
District and not TRS
• To be eligible for incentives, one MUST retire
at the “First Non-Penalty” year
• Percentage of family medical increase for
employees
Case Study
Zion-Benton Township High School District 126
Audrey Liddle
Business Manager
email: Liddlea@zbths.org
Zion Benton Twp High School
District 126
•District Background
•Timeline
•Last Best & Final Offer
•Final Resolution – New Contract Format
ZBTHS – District 126
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Demographics
Board
Students
Salary Schedule
Longevity Schedule
Pension Contribution
Health Insurance Plan
• Delayed Start of
Negotiations
– Strategic Planning with
Board of Education
• Initial Board Goals
• Documentation to
Union
• SB7 – Impact
– Mediation
ZBTHS – District 126
• Board of Education Top
Three Major Issues
– Supervision Time Used
for RTI Interventions
– Salary Schedule
– Benefit Premium Sharing
• Basics of Board’s Last
Best & Final Offer Given
to Union on October 31,
2011.
– Supervision
– Salary
– Benefit
ZBTHS – District 126
• Strike Information /
Timeline Under New
SB7 Regulations
• Community
Involvement in Strike
Process
• Union Major Concern
• Board Major Concern
• New Solution
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General Concept
Issues to Resolve
Final Agreement
New Issues After
Ratification
• Future Benefits of New
Solution
Emerging Ideas
Deerfield Public Schools District 109
Greg Himebaugh
Assistant Superintendent for Business Services
email: ghimebaugh@dps109.org
Deerfield Public Schools 109
 FY 12 – Non-compounding 1 Time payment of
$2000
 FY 13 & 14- Soft Freeze (Step of 3.75 – 4.0%)
 FY 15 – Base of 1-2%, Plus Step
(depending on other variables)
Emerging Ideas
Addison Elementary School District 4
Marcy Boyan
Assistant Superintendent for Business Services
email: mboyan@asd4.org
Addison Elementary School District 4
 FY 11 – Hard Freeze
 FY 12 - .25% of CPI, (1/4 of 1.5%)no Step, no Lane
 FY 13 - .25% of CPI, (1/4 of 3%)no Step, no Lane
Emerging Ideas
Adlai Stevenson High School District 125
Mark Michelini
Assistant Superintendent for Business
email: mmichelini@d125.org
Adlai Stevenson High School 125
 FY 12 – Total increase equal to CPI (1.5%)used in
their calculation
• Achieved by decreasing the starting base salary to
preserve step
Emerging Ideas
Wheaton Community Unit School District 200
Bill Farley
Assistant Superintendent of Business Operations
email: william.farley@cusd200.org
Wheaton Community Unit 200
– FY 11 – Hard Freeze
– FY 12 – 1% on Base, no Step
Obstacles to Emerging Ideas
• Current Financial Condition of the District
• Union Leadership
• District Team
Summary
• 5-6 years ago variation in settlements much smaller
• What will influence settlements going forward?
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Interest Earnings
New Construction
State Funding
Pension Obligations
• Takeaway
– Ideas that you can apply to your district
Emerging Negotiation Models in
Today’s Economic Climate
Allen Albus aalbus@lfschools.net
Barry Bolek bbolek@dist113.org
Jennifer Hermes jhermes@lfschools.net
Audrey Liddle liddlea@zbths.org
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