Shoreline Unified School District officials and the union representing classified employees have reached an impasse in year-long negotiations over health care benefits—at least, that’s what the district believes.
The California School Employees Association, which represents clerical, transportation, maintenance and operations staff, says it has asked for more information from the district so it can compare costs of current benefits and the district’s proposal. The deal would swap out district health insurance for health savings accounts and stipends for premiums, and provide an incremental pay raise.
But the district hasn’t provided that information for over a year, said Markey Lees, the labor relations representative for classified staff.
During a regular meeting of the board of trustees last Thursday, Ms. Lees said, “We do not believe that we are even close to an impasse. We are waiting for information that can help the bargaining unit make an informed decision. We are asking that you allow us time to receive and compare this critically important information.”
By declaring that negotiations were at an impasse, the district superintendent, Bob Raines, has opened the door to a mediating third party.
Last week, he said he would send a letter asking the California Public Employment Relations Board to help find a middle ground. He said the district couldn’t see another path forward and that mediation will ultimately save time and energy.
But the union disagrees. “We should be able to sit down and figure this out,” said Linda Borello, president of Shoreline’s chapter of the California School Employees Association. “I’ve met with three different superintendents in the past where we stayed past 5 p.m. and did what we needed to do to keep [the budget] solvent. [The district is] not in the red, the sky is not falling and we don’t have to cut our arms off.”
Mr. Raines said the district is anticipating rising expenses, both in retirement and health care insurance costs. Last year, it approached both the teachers and classified employees unions with a proposal to modify their health care plans by replacing health insurance—at the time, fully covered for full-time employees—with health savings accounts.
“What we’re proposing is to fund a health savings account, which would transfer some of the risk to the employees,” Mr. Raines said.
The district would put $3,000 or $6,000—depending whether employees have individual or family plans—in the savings accounts in the first year, and $1,500 or $3,000 annually after that. In exchange, the district offered classified staff a salary increase of two percent this school year and another four percent next year.
The district said it will actually lose money in the short term under the plan, but will recoup losses in the long term by capping health care costs. The teachers agreed to swapping benefits for savings accounts, a move the district said is costing roughly $175,000 in the first three years, after which it expects to save money.
But the classified staff voted against the proposal. “We crunched the numbers as individuals, and many of us felt it didn’t work… Only a small number of classified staff said that it would,” Ms. Borello said.
Classified employees have not had a salary increase since 2013. And while the union has called for raises, it says its members should be able to opt in to a health savings account rather than be forced into it.
The union has also indicated that it would accept the district imposing the new health care option on classified staff hired after July 1, 2017.
Health savings accounts function like untaxed savings accounts, from which users can draw money for medical expenses. Coverage under a high-deductible health plan—in which out-of-pocket expenses are higher—is a requirement for having such an account. There would be an $18,000 annual cap on the amount the district would pay for health insurance premiums.
Dee Lynn Armstrong, co-president of the teacher’s union, said that since taking the new health care option last year, the differences for teachers have been nominal. She said the union will conduct a survey next year about it.
Classified staff also say they are being bullied in their negotiations with Shoreline officials. At last Thursday’s board meeting, poster boards that read “Bully Free Zone” were positioned to face the board while dozens of classified employees sported stickers bearing the same message.
“The classified bargaining team feels they are being bullied at the bargaining table,” Ms. Lees told the board. “[District officials] are telling us that if we don’t comply with demands to give up the medical benefits that were promised when current classified employees were hired, that [the district] will penalize [staff] yet again by not providing any salary increases. Your classified employees deserve better.”