A Tale of Two Cities Developing bargaining strategies for LCFF winners and losers to maintain positive labor relations in the best of times and the worst of times. ACSA Negotiators Retreat Presented by: Mark R. Bresee, Partner William A. Diedrich, Partner Cerritos • Fresno • Irvine • Pasadena • Pleasanton • Riverside • Sacramento • San Diego
Positive Certification The “Haves” Balanced Budget (No Structural Deficit) Unduplicated Count Over 70% Growing Enrollment ACA Compliant Positive Labor Relations “A tale of two cities. Developing bargaining strategies for LCFF winners and losers to maintain positive labor relations in the best of times and the worst of times. ” 2
Qualified Certification Structural Deficit The “Have Nots” Unduplicated Count Under 50% Declining Enrollment ACA Issues Negative Labor Relations “A tale of two cities. Developing bargaining strategies for LCFF winners and losers to maintain positive labor relations in the best of times and the worst of times. ” 3
Positive Certification but still deficit spending Everyone Else Unduplicated count 45 -65% Steady enrollment Labor Relations? Depends on the day/issue “A tale of two cities. Developing bargaining strategies for LCFF winners and losers to maintain positive labor relations in the best of times and the worst of times. ” 4
2018 -The Cliff!! WARNING: Budget should be balanced by 2018 (no deficit spending)! • Prop 30 expires • No more gap funding • STRS/PERS increases could exceed COLA • Economic factors
Impact of LCFF on Classified Negotiations • Base grant allotment is subject to negotiations. • Supplemental/concentration grants are not subject to negotiations per se, but may be used for compensation increases if tied to the LCAP. – Training days. – Extra duty assignments. – Prepare information regarding hiring/retention status to rebut “attract and retain” argument. – Remember, if your district has a target student (supplemental & concentration grant funding) population of over 55%, these grant monies may be expended district wide. • What about across the board salary increases?
“The Proportionality Clause” “Under the LCFF, districts must use supplemental and concentration funds to increase or improve services for EL/LI pupils in proportion to the increase in supplemental and concentration funds. ”
Supplemental and Concentration Funds For Across the Board Salary Increases? Classified Unions as Stakeholders • April 14, 2015 letter from CDE. • June 10, 2014 letter from CDE.
Game Plan for the “Haves” 1 Cure any structural deficit prior to 2018! 2 Use base grant for comp/benefits increases wherever possible 3 If dipping into supplemental/concentration, tie to LCAP. Use for targeted increases if possible (more time) 4 Use districts with a similar unduplicated count for comparison 5 Use a total compensation model (STRS/PERS, benefits increases) Communicate how any compensation increase benefits 6 students/aligns with the LCAP
Game Plan for the “Have Nots” 1 Cure any structural deficit prior to 2018! Use base grant for comp/benefits increases, if funding is 2 available 3 Educate… 4 Use districts with a similar unduplicated count for comparison 5 Consider a multi-year financial proposal Use supplemental/concentration grant funding for targeted 6 programming. Get buy in if possible 7 Use a total compensation model (STRS/PERS, benefits increases) Find creative uses for one time money (benefits, 8 reimbursements, incentives, etc. )
Question Answer Session
Thank You For questions or comments, please contact: Mark R. Bresee San Diego (858) 485 -9526 mbresee@aalrr. com William A. Diedrich Riverside (951) 683 -1122 wdiedrich@aalrr. com
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