Impasse on Bridgewater-Raritan School Budget

The President of the Bridgewater Township Council, Matthew Moench, was advised on Friday that the three major bargaining units for the Bridgewater-Raritan School District have rejected the two municipalities’ request to accept a voluntary wage freeze amounting to $2.4 million for the 2010/2011 school year.

Mr. Moench expressed disappointment that the only “the only solution offered was $1 million from budget salary ‘breakage.’”  This is a rather arcane term that represents the differential between the higher salary of retiring staff and the lower salary of new staff.

The higher salaries of long-term employees are always built into the budget at the outset, because there is no way of knowing in advance how many experienced, higher salaried personnel will retire. It’s important to note that, according to Moench, “school administration says that there is now $500,000” worth of known ‘breakage,’” half the number claimed by the BREA.

“There was not any plausible solution offered,” Moench said and, “essentially, we were told, ‘we are not helping; good luck,’” He added that “They (the union representatives) don’t think we will cut $2.4 million or more . . . they really are misreading the public. If the $2.4 million salary freeze had been proffered, we would have accepted it. At first, some council members thought that was too low. Now, it could be a larger number.”

“We asked for a wage freeze in the hope that they would have cooperated. Union representatives put themselves ahead of their fellow colleagues and kids. They had a chance to practice what they preach, and they didn’t do it.”

Steve Beatty, speaking for the Bridgewater-Raritan Education Association of which he is President, as well as for the other two administrators’ unions representing the Principals and the Supervisors, offered another view.

Mr. Beatty rebutted by claiming that, in combination, the three union groups have already given up a total of $2.4 million in concessions, although not as a wage freeze he admits. He arrived at that number by stating that the $1.6 million in forfeited education reimbursement expenses and in the 1.5% of salary volunteered as a health care contribution, when combined with $0.8 million in ‘breakage’ already equals $2.4 million.

“What difference does it make where the money is coming from?” he asked.

Beatty continued, “We are not trying to be greedy. We are looking at the long and short term. What is being asked of us is political.”

When asked why each of the three bargaining units did not take the municipal councils’ request for a $2.4 million wage freeze to their rank and file for an up or down vote, he responded, “We truly believe that the executive committee(s) has a handle on how members feel. We talked to people and teachers and we listened.”

Beatty also volunteered that originally, the BREA did not want to accept any cuts in advance of the budget vote at the April 20th election. “We would have liked to wait until after the vote,” he said, “but we were prodded, pushed and bullied” into concessions before the April 20th election.

Also asked how he thinks the public will feel after this, he said “I’m pretty sure it will be bad and we will have some angry people; we will also have some on our side; it’s hard to say. My fear is that the councils have made up their mind. If we don’t agree, the councils may cut $3.5 million or more. It’s possible.”

Status of Negotiations with Bridgewater-Raritan Schools’ Bargaining Units

In a telephone call this afternoon, Matthew Moench, President of the Bridgewater Township Council, provided an update on the status of negotiations with the teachers’ association, as well as of talks with the principals’ and supervisors’ groups.

Mr. Moench confirmed that on Monday, April 26th, the following parties had met in a preliminary closed-door meeting to establish an initial sounding of positions:

Present at Monday’s meeting were Mr. Moench on behalf of the Bridgewater Township Council; Denise Carra, Raritan Borough Council President, Mayor Jo-Ann Liptak, and John LaMaestra, Borough School Board Liaison. Bridgewater-Raritan Board President Jeffrey Brookner and School Business Administrator/Board Secretary Peter Starrs were participants.

Also there were Steve Beatty, President of the Bridgewater-Raritan Education Association; as well as the two leaders of the Bridgewater-Raritan Principals’ Association and the Supervisors’ Association.

Negotiations, which are still in progress, center on the “possibility of further concessions and cost savings,” beyond those already built into the failed budget, according to Mr. Moench. This afternoon he was still actively “discussing options” with the bargaining units on behalf of those on the Bridgewater-Raritan negotiation team.

Mr. Moench added that he has requested the unions representing the teachers, principals and supervisors to get back to him by “Friday at the latest” with their proposals. He indicated that he “feels that they are doing their best,” and “believes that they seem to be acting in good faith.”

Without revealing its contents due to the sensitive nature of ongoing negotiations, he volunteered that he had a 45-minute discussion this afternoon with BREA President, Steve Beatty.

Because the voters of Bridgewater and Raritan rejected the school budget on April 20th, New Jersey law requires that the municipalities of the school district review the failed budget and forward their recommendations to Executive County Superintendent of Schools, Trudy Doyle.

As readers of this blog understand, there has been much pressure from Trenton for a total one-year wage freeze.

The current budget includes BREA concessions for health care (1.5% of salary) and tuition reimbursement in the amount of $1.4 million. These are offset in the current budget by reinstated budget cuts of the same amount.

The principals’ and supervisors’ associations also have agreed to pick up 1.5% towards their health care premiums. The Superintendent and all non-bargaining personnel are already on board with a one-year wage freeze.