In today’s Courier is a letter from a Donald Brown raising concerns over outsourcing. Mr. Brown is a retired Neshaminy Facilities worker. First he blames Neshaminy’s economic woes over the raises given to Administration. My response to that is any negotiating unit that accepts the Board’s offer does get their raises but also has to start kicking in for benefits at a rate of 15% - 17% over three years. So as soon as NESPA accepts the Board’s offer (IF they accept the offer), they too will receive their salary increases along with a contribution to benefits – just like Administration. And the total dollar amount of raises paid to NESPA workers will dwarf what was paid out to Administration.
Next Mr. Brown goes on to say that outsourcing vendors trick you with low-ball initial bids, only to hike their rates massively in future years. That’s some trick. The vendors are guaranteeing us substantial savings for five (5) years. We’ll save millions if we go the route of outsourcing. Even if at the end of the five year term the outsource vendors raise their rates to astronomical levels (let’s say even as high as what our current costs for support services are), we will still have saved millions of dollars. At that point, we will re-bid the services to the lowest costing, qualified service provider anyway.Lastly the author suggests that the District has squandered money away by repurposing funds not paid to the State workers’ pension for some seemingly nefarious reasons. Of course Mr. Brown offers no proof of this but rather just throws a theory out there with no regard to fact. After all, it’s easy to fight fact with fear. It’s just like a headline in the National Inquirer . . . how do you refute a rumor that’s just plucked out of thin air other than to say it’s not true? So Mr. Brown, it’s not true.
Ahhh, but there is more . . .
The District is not negotiating in good faith and is treating the Support Staff workers like “second class citizens” says NESPA President Mindy Anderson as quoted in a recent article appearing in The Advance.
For quite a while now I’ve been listening to Ms. Anderson accusing the Board of not caring about our employees, and even going as far as linking the Board’s position to lacking concern for the students – You see, in her world if we don’t back down, we are hurting the children. That is evident from her statement that “it’s not a question of dollars when the children are at stake.”
Ok Mindy, so I should assume that capitulating to NESPA’s demands will only help the children? Hmmm, I’m having a little problem with the math on that one.
Looking towards next school year, we have a $7.3 million deficit. Just to get within the State-mandated Act 1 inflationary limit, we must knock $3.9 million right off the top. If we give NESPA all that they have asked for, we won’t even make a dent into that number. That would leave us with only one realistic alternative: Cut student programs. Lots of them, a few million’s worth at least. Should we give NESPA what they ask for at the expense of our students’ education? According to Mindy Anderson, the answer is yes. She didn’t use those words, but that’s what will happen if we give her what she wants.
Perhaps the next time Ms. Anderson addresses us from the podium, she can provide specific suggestions as to what programs we should cut in order to cover the millions of dollars needed to pay for their contract demands. Should we eliminate Fine Arts? After-school clubs? Sports? How about cutting our AE classes? I would really appreciate some help here.
And I’ve gotta be honest, Mindy . . . this whole “second class citizen” thing is sooooo 15 minutes ago. Nobody is going for it. Can we please dispense with these clichés found in every negotiation playbook?
Look, you’ve had a great run. Your union got its members incredibly generous CBA’s in the past, but the windfall is over. It’s nothing personal. We simply cannot afford those inflated costs any more, and we are not willing to cut student programs. There just aren’t a whole lot of options left. For the sake of your entire rank and file, I hope you’ll reconsider the Board’s offer and will do so immediately. This isn’t a game to see who will blink first.
Ok, I’m good. Thanks for reading.
.
49 comments:
William, Excellent. I had the exact same reaction to the
grossly inaccurate letter and to Mindy's misguided address to the board. These public union workers just don't get it. I think we are witnessing the death throes of those that think they are the entitled ones-public school unions. It will be ugly but a long time in coming. Thank you to you and the board for standing tall on this issue for the sake of our students and for sanity in local taxation. I only wish we had state reps that had the courage and brains you do.
I feel bad how I treated CSLD in a previous story because they sound like a good person who understands the situation as both an employee and as a taxpayer. But after reading this post I do get real frustrated again with the support workers union. I really have nothing against any of you but I will be furious if programs are cut so you can keep having free benefits. Then you put up an offer to pay a couple percent as a counter to the what the board offered. Do you people see the position you are in? You are going to lose your jobs if you don't take the board's offer. Even if you hate it, it is better than losing your jobs completely isn't it? Like O'Connor said you had a good run but now it's over.
It is sad that things have come to this. While one side points at the other, let's remind everyone that we wouldn't be going through this hell right now if previous boards hadn't just caved in on the contract negotiations. If the unions had been paying benefits for the past two contracts as they should have, maybe what the board is asking for now wouldn't seem so drastic to the workers.
I feel badly for the workers because this is a huge change for them but unfortunately it is something they must either do or be prepared to be outsourced. The board really has no choice and cutting programs is no answer.
I admire the board for putting up with tremendous pressure while sticking to their guns. If only previous boards had half your spine, our children wouldn't be subjected to this nastiness
We wouldn't be talking about outsourcing if the teachers had accepted the boards offer Rebeca. Why has everyone forgotten about the teachers.
Wingman there is no need to feel bad about anything you have said to me.I understand your frustration.I would not want any programs cut.I too am frustrated with the support staff union,they should of took the offer that the board offered but they were so set on not paying their benefits.I am just ready for this all to be over.I did hear Ms anderson speech to the board and I can tell you speaking for myself I have never felt that any of the board members I have spoken to have treated me like a second hand citizen.Times are changing and although I may have a cut in salary I am just going to be glad to still have a job.I personally think that the fact finding that the board and the union are going to go though is just steps they need to do.I think this is a done deal how can this board after making the saving public go back now and settle with the support staff union.
Rebecca, Very well said and all true. I have watched School Boards for 25 years. I can quite literally say, with the exception of the current board and those members recently voted out, the previous boards were literally incompetent or worse, completely in bed with union leaders. They simply did not think the taxpayer was a relevant stakeholder and completely disregarded them in all contracts. You cannot even call them negotiations. If you read the current CBA you will see that the union got 110% of their demands therefore NSD is in the financial ditch.
I have to say and it may show in my last post, I have moved way beyond sympathy for NESPA workers and way beyond thinking the board should allow them to accept the current offer. If they settle with NESPA our troubles will continue to worsen year after year.
Now it must be fait accompli since the only appropriate response from NESPA in the face of privitazation of services is to offer a counter that saves the district something close to $30M.This of course is impossible since the private offer includes taking buses off the book. I think now the board will outsource not because they want to, but because they HAVE to.
Excellent post. While I didn't see the letter in the paper today, I agree with all the points you raise. I sit here baffled that we're still having conversations about contracts. These negotiations are such a clear cut business decision. Either the unions lower their demands to bring them in line with the outsourcing bid (and the real world) or the school board chooses outsourcing. Period. End of conversation. I applaud you for maintaining an intelligent and civil tone through all of this, I'd never have the patience! Stick to your guns. This is a no-brainer.
You want to know why there are still negotiations? Because if the board doesn't try hard enough to negotiate, they will end up in court just like they did in another PA district. Watch this YouTube video:
http://www.youtube.com/watch?v=22yqGpllh5c
I see that you have another board meeting tomorrow night. Say hello to Mindy Anderson for us taxpayers. I'll bet she just can't wait to see you. Stay strong William. We are behind you.
You made a point I haven't heard before and it's eye opening. If we outsource and years later the outsourcing company raises their fees by an outrageous 10% or 20%, they will still cost us substantially less than what our own employees are costing us now. Kelli is right that this is a no brainer.
I agree with ACS that our state reps should have your vision and conviction. Any chance we could talk you into running for state rep in november? I read in the CT that Eccles is running.
I asked William that once before Jersey and he gave me a big fat NO for an answer. I just assume he stay with us anyway.
Look at our choices for state Rep. Frank "Do Nothing, Say nothing" Farry and now Toth. Middletown should not look for help from these two. William would be infinately better forus....Think about it....you can beat Toth easily and there are a lot of us that would work for your election.
Ok guys, just calm down 'cause I ain't going anywhere. I'm here to help the kids and that's the extent of my political ambitions. Besides, John Toth is my good friend and has my full support.
Thank you for the kind words.
Ok we are happy you are staying. However Toth cannot beat Farry since there is no difference between them so it goes to the incumbent. You could since you bring understanding of local tax issues, school district needs and real credibility to the race. So if you stay in the SD job those skills wil be needed a lot in the next 12 months.
There's a big difference between them ACS. If nothing else, doesn't Toth deserve credit for recruiting me to run for school board? Even if he isn't your cup of tea, trust me that he is a good man. Now I don't want to turn this into a political blog so let's just agree how wonderful I am and move on :-)
And so modest too! LOL
Agree. I am neutral frankly. You keep up the great job and we will all know the answer on Nov 2nd.
I believe the "raises" Brown refers to are not the ones included in the Administrator's Bargaining agreement, but the ones most people think the upper level administrators received outside of their standard 3%.
I don't know if this is true, but I believe that is the rampant belief.
I also know that quite a few people (including Mindy Anderson in front of the school board) disagree with the fact that while the District is complaining about financial woes, the Business Manager just got himself a new Jaguar.
Most also believe he has a "car fund" benefit that is exra in his benefits. Would you be able to confirm that item Mr. O'Connor and for how much if he does?
You may want to edit my post because you don't want people going after one person, but I believe this is the prime example of what Mr. Brown might be talking about.
Why is everyone else at risk of losing their jobs, but there have been NO shake ups in the upper administration and the person who apparently keeps telling us every year we are $7-$10 million short has not faced scrutiny?
JS, I know of only one unscheduled salary hike which Bill Spitz and I opposed, by the way (because of the economic situation, not the person). Any other salary increases I am aware of resulted from a promotion or an increase in job responsibilities. It’s not like Administration was handed out bonuses.
Even if someone in Administration purchased a Jaguar, that is irrelevant to the discussion IMODO. There are many teachers out there who have much nicer cars than the one I drive and I have never once criticized that. For all we know, those people put themselves in tremendous debt in order to make such a purchase.
I am not going to track down the rumor about a car fund. I know of no such contract clause (and I did see the contract), and I really don’t have time to keep following up on all the gossip that people ask me to. If people really want the answers to this sort of stuff, then they should file a right-to-know request with the District.
Regarding the potential of outsourcing, that is not a “shake up”. It’s a way of maintaining services in the district at significantly less cost. The bargaining units holding out on acceptance of the Board’s offer face this issue because they will not partner with the District in reducing expenditures. Why should the Business Manager face scrutiny for this? He didn’t cause the shortfall. Keep in mind that as a District our overall spending is down, but our current deficit is the result of reduced income. This means we must cut spending even more, and it forces us to deal with inflated labor costs that have been allowed to run unchecked for too many years.
Let me sum up my frustrations with all these accusations this way: Some concerns are valid, some are not. Either way, it doesn’t change the situation nor would it make a difference to NESPA’s refusal to accept the Board’s offers. Even if not one dime was given to Administration and no matter if they all drove scooters to work, our labor negotiations would still be exactly where they are right now. So I’m not wasting my time dealing with what-if’s and what-should-be’s. If we don’t seriously restructure our labor agreements now, we’ll be cutting student programs by June, and that is the bottom line.
JS, I learned a long time ago never to question how people afford to buy something that you and many on this blog may deem "extravagant". I would hazard a guess that if you drove through the teacher's parking lots in Neshaminy or saw their houses they might seem extravagant. Would you say THEY shouldn't have that stuff when so many other(i.e. the vast majority) Middletown taxpayers cannot afford the lifestyle of NSD top paid teachers? It is no ones business! People have other sources of money and also ways of assuming debt.
As it relates to savings in Admin staff I am all for it but you could gut admin staff and still only have a nominal impact on the budget. The the deficits are caused by excessive the cost of labor for teachers primarily. The most obnoxious cost you and people on this blog should have your ire up on is the $6M extra we pay every year-$30M/5yrs- for the delight of having NESPA labor drive buses and clean school.
The business manager doesn't make up numbers he reports the source of our deficits and the source is not Admin costs! You know this.
The outrage should be focused on the real deficit causing cost-"extravagant" labor contracts, not on a guy with a new car!
Steady as she goes William!
William, My understanding is that the NESPA leader, in her infinite wisdom, flat out rejected the Board's last offer. Is that correct?
If that is correct, then there is no legitimate open offer by Collective Bargaining rules.
If that is correct then in the next round the board can legitimately make a counter offer to NESPA that is predicated on the ousourcer's offers i.e. a $6M reduction in costs? I know taking the bus assets off the books is a part of savings but still the NESPA leader should be allowed to match the bid labor cost correct?
Very good, ACS, you've done your homework. Right on all counts. Our negotiations still continue, but in the event the Board determines that outsourcing is the most favorable path, NESPA will be given a shot at matching the vendors' costs to the district.
I can't believe that people have nothing better to do than bash people they don't even know. Iam a Taxpayer, employee and parent of the district and Iam tired of the support staff being everyones punching bag. When in reality the teachers are the ones asking for the silver platter. I have worked in the district for almost 10 years and in that time it took me almost 7 years to become a fulltime employee and to get benefits. My department has also given back hours some of us 1 and a half others 2 hours A DAY! So don't tell me we are draining the district I also lost my summer job that I have worked since I started the 9.50 an hour I made went to administrators pay increases this year. I made 27,000 dollars this year guess what that is considered POVERTY level. How many of you are living in that! So lets get down to who is and who isn't trying to save the district money. In trying to save money I almost lost my home so don't tell this union worker I don't get it....I get it more than the majority. I want nothing more than my children to graduate from Neshaminy but if I lose my job that may not be possible. So instead of continuing to kick the little guys when they are already down lets really look at the ones throwing out the big demands. Oh and by the way if we have no money why did people continue to get pay increases (as it was put) and why are we the taxpayers paying for 11,000 dollars blue fencing to be put around the stadium and thats not including labor. So lets get it together and look at the ones asking for 6% and no pay towards benefits. That would not be the support staff.
Danielle, you've just chastized us for bashing people (NESPA workers) we don't know then you attack the teachers. Unfortunately for you guys, you are caught up in a cruel bit of irony.
Teachers cannot be fired for economic reasons (correct me if I'm wrong on that William) and there isn't any way we'll get them to take pay cuts. All we can hope for is they start paying for benefits. If they do, that should reduce Neshaminy's expenses by a few million dollars.
Now here is the irony. Even though teachers make way more money than you do and even though they cost tax payers way more than you do, there is more annual savings opportunity with your group than there is the teachers. That is because your jobs can be outsourced (the teachers cannot), and the district can actually cut your jobs for financial reasons.
So despite feeling like the little fish in the big pond, you aren't exactly chopped liver either. The district can save over $6 million every year from outsourcing some of the support functions, and they cannot save that much if teachers paid for benefits.
As far as the bashing goes, I believe most of the public's anger is really with the arrogance of your leader than it is with the workers themselves. We understand that you guys aren't getting rich doing what you do, but Mrs. Anderson acts with a sense of entitlement. Knowing how easily your jobs can be outsourced or cut, you would think she'd be a bit more humble.
Using William's phrase, here is the bottom line. The District has a $7 million deficit going into next year. The Board cannot make the NFT or NESPA pay for benefits. The Board CAN outsource your jobs and save the district millions. It is the only thing they have control of.
Should they outsource your jobs, save millions, and spare education programs? Or should they let negotiations drag on and start making massive cuts to education programs?
I am sorry for you but that is truly the bottom line here.
Distractions! That's what $11,000 fences are. The union is trying to get the board to take its eye off the $6 million ball by focusing on lesser things. Hate to break the news to you people but that blue fence costs less than 2/10ths of 1% of what the annual savings is to outsource your jobs.
First the NESPA people say outsourcing companies hire illegals but that isn't true. Then they say outsourcing companies make lots of mistakes and accidents, but that isn't true. Then they say outsourcing actually costs more. Wrong again. When all else has failed now they try to distract the board by finding small pockets of inefficiencies or stupid spending and say how can you outsource when all this crap is going on?
Here is how we can go through with outsourcing. Even after deducting that fence from the savings totals, the board will still save $5,989,000 a year by outsourcing.
You had your chance to save your jobs and you blew it. What next? Will you file an expensive lawsuit and cost us even more money? I bet that little move is standard in the negotiating playbook too.
To the board I say outsource first, then worry about all the little blue fences in the district afterward. Keep your eyes on the ball.
Danielle, there is no bashing of support staff on this blog. In fact if you go back and read responses to csld you will find sympathy for the most part from everyone. The people in the union are good honest hardworking people.
That being said your union leader is seen as representing the majority view of the rank and file. You have to live with that in good and bad times and cannot have it both ways. You elected her to be your public voice. I am certain many of you wish you had that vote back but here you are.
She is, well, to be kind, way over her head in this negotiation and has shown publically the amazing entitlement mentality and outright greed of the union workers. At least try to hide it like Louise does!!!
Again like it or not she reflects your views to the community each time she opens her mouth. She really blew it with her mean and aggressive entitlement speech to the board recently.
All of that though is just noise. This board is about the peoples business not what is good for a small group that is now been exposed as far more expensive than market rates for services in Bucks. Teachers are expensive but not so out of the range of the market in this area like union support staff are..the healthcare cost is the issue as Casey points out. Casey explains the rest of it quite well.
Based on William's answer to my process question I think it is moot discussion. I do not here any taxpayers at board meetings coming and saying "increase my taxpes so the union people can work for district vs a private company. It is now no brainer action to save millions. It is nothing personal just business....like all of us in the "real world" have heard for for decades.
Who wants to make a decision that costs workers their jobs? Nobody which is why I didn't think our board would ever go through with it. Thanks to the way Mindy Anderson has handled these negotiations with arrogance and pride, it makes the decision to outsource impossible to overlook. In a bizarre way we taxpayers owe Anderson a debt of gratitude that we can never repay. Well at least not those of us with less than $6 million in our pockets.
People, please take it easy on the personal references and attacks. You know I hate to censor, so let's focus on issues and not the individuals.
Emotions are running high so please don't allow the desire to get in a few zingers overshadow the need for respectful diplomacy.
Thank you.
Kelli was right to compliment your intelligent and civil tone. Guess that's why you are on the board while we are here shooting off our mouths on your blog.
You are too good for Harrisburg. Have you thought about DC?
Mr. "O" Goes to Washington. I like that. It's got a ring to it. I'd vote for you over Murphy or Fitzpatrick.
I know you wouldn't run for Congress. I'm trying to imagine what your face looks like when you read this stuff. Have you ever accidentally spit out your coffee on the computer screen?
Yes I have, Jersey, like just now when I read your "Mr. O Goes to Washington" comment.
and casey I was not attacking the teachers Iam stating a fact look at what they want it is public knowledge that they are asking for a 6% raise and no contributions to benefits.
Danielle, This is about greed on all sides. The NESPA is no better than the NFT.
The board, acting on behalf of taxpayers, wisely indexed your costs to free market like services and found taxpayers were being massively overcharged for in house services. That is exposing union greed and the true incompetence of prior boards.
My understanding is the baord was VERY clear with the union leader on the consequences of not accepting the boards last offer.
Sometimes you can call a bluff...except of course when a bluff is not a bluff.
Danielle I understand how you feel but I have to say that it is not the teachers that have put us in this postion of being outsourced it was the full time workers that refused to pay for a percentage of their benefits.So here now we stand and when I say we I mean you as a fulltime employee and me as a part time worker stand to lose our jobs.So instead of blaming the teachers I would take some of the blame and put it on the bad descisions that NESPA made.
I am not complaining about the "extravagance" of some things. If someone can afford it, go for it. For the most parts teachers don't complain about things like that because they realize some of them may look "extravagant".
I'm simply referring to a pretty standard belief among most of the support staff I've ever talked to. (I asked about the car fund because I wanted to know, not because I necessarily believed it).
Basically they find it a tough pill to swallow that the person that shows up to tell them that they might be outsourced, supply purchases are frozen, etc. steps out of his brand new Jag, while cashing his $140,000+ paycheck and doesn't even have as much as a bachelor's degree.
I would have an issue with that even if there weren't any contract issues with NESPA or NFT. Especially since (besides Kadri) not one cabinet member (i.e. non-principle administrators) has been questioned publicly about the issues in the district.
Mr. O'Connor, you've stated in the past that those cabinet members I refer to have done what the board tells them so it isn't necessarily their fault. If they don't shoulder the responsibility then what are we really paying them for?
It's the whole reason that Principles get paid more than teachers, ultimately it's not because they are more important, but the buck stops with them regarding decisions (just ask the one from Lower Merion). If that isn't the case up the line, are we just paying them more "just because"?
Cuts need to be made from all levels, yet even you say that salaries were bumped, which even with regard to the increased duties, shouldn't be fathomable while the district claims poverty.
Cuts need to be made at all levels, including the big fish. If not they need to be shown to having garnered the responsibility and results to warrant the pay.
They had better not file a lawsuit if the board outsources their jobs. If you think the public is irate now about the labor costs, can you imagine how we will react at a NESPA lawsuit?
JS, Let's just all stipulate that everyone in this d_ _ _ district is way overpaid, Admin, Teachers and support staff, PERIOD!!
I just want to point out that we Board members don't receive one dime for our work . . . and we're worth EVERY penny! :-)
It appears inevitable that outsourcing will occur and that lawsuits will follow so can the board please make the decision? This must be a horrible burden for the workers trapped in the middle not to mention how it might be for the students. We've got a budget gap to bridge and there is no easy way around it so let's get it over with and move on. Please!
Newbie, "This must be a horrible burden for the workers trapped in the middle not to mention how it might be for the students."
I am curious. What is the impact of this to students?
Students hear and notice things. In some rare cases staff even says things to students inappropriately. Some parents talk about this to each other with their kids around without thinking. I have heard high school kids say there is tension up there.
Newbie, Got it and understand. It is true that the teachers with their NFT shirts on daily often make references or worse as many of us have been told by mothers.
So I am sure the support staff is even more vocal given the extremely precarious position their union leader has left them in.
That being said, when I was in HS I like I would say 99.9999% of HS kids then and now, was not the least bit concerned with teachers or staff.....frankly they are school furniture to kids...no offense intended....and certainly kids are not aware or interested of their personal issues(unless it means getting an A).
I was concerned about the next sports event, my upcoming math test, getting into college and the girl in English class I was in love with. Don't fret about students, they could care less about any of this and are impacted even less than that.
If outsourcing is done properly there will not likely be a law suit. As far as being overpaid, I currently work below the industry rate but have no complaints because of my benefit package. Working for a contractor will not be too bad, I will make the same or even a little more and have less responsibilities thanks to the RFP requirements. A five year deal will also give me a vested pension with the contractor. Now, as far as being a greedy union person, I only got what the Board handed to me. The long term deal was given to us so the Board would have the ability to do long term financal planning, but I guess that didn't work. Accepting the Board's offer now wouldn't help to solve the District's financal shortage and only bring back the threat of future layoffs. Again, I will accept outsourcing only if taxes are reduced for our community as you are promising.
ACS I can only speak for my school and my department but none of us have mention to any of the students about what is happening with our union.Probably the only reason why they even notice what the teachers are wearing is because of the buttons they were wearing with the number of days they are without a contract.
C, Glad to hear you are optimistic. Not sure you should count on a pension from a sub-contractor however. You have that now but that is one reason the district is outsourcing-too expensive...it is unlikely a contractor operating in the real world will offer you anymore than a 401k. But in general I think you will be ok.
csld, Newbie made comment about staff not me.
ACS This was your comment I read and responded to.
"So I am sure the support staff is even more vocal given the extremely precarious position their union leader has left them in. "
Have to say..J.S. has valid points about administration. It is the same principle that is making "main street" upset with Wall street.We need to hold strong with the union, but I've noticed that it seems citizens are not supposed to question Mr. Paradise. I'm sure Mr. Paradise is a great guy, but why did he not advise us to put more funds away in the past for pension when other school districts did it-their financial advisors realized the bubble would burst? Why did he do make some other financial decisions other school districts didn't? Seems like he is never asked hard questions. If the answer is the school board advises him on everything he does..I personally think that is a mistake. We pay him the big bucks to make decisions. Is he afraid the baord will get rid of him like they did Kadri (a strong leader) or is the board directing him on all financial decisions?
Either option is a problem to me.
William we know you saw that contract but did you see the business administrators contract before you and your fellow school board members approved it? If you did see the business administrators contract then can you explain why the board approved that contract that pays him health benefits until he turns 70? Should he retire, say within the next 4 or 5 months, the taxpayers will carry his health benefits for the next 11 years? Why? Is he aging differently from everyone else that qualifies for medicare at age 65? While I do agree with you who cares what car a person drives and how much debt they incur to own it, I have to question a car allowance on top of a $150,000 salary? I manage to keep up maintenance on my vehicle with a much less salary.
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