Court: SRC cannot impose terms on teachers

SCORE ANOTHER one for the teachers union.

The Commonwealth Court ruled yesterday that the School Reform Commission does not have the authority to cancel the expired contract of the Philadelphia Federation of Teachers and impose terms, dealing a costly blow to the cash-strapped Philadelphia School District.

The SRC swiftly voted Oct. 6 to unilaterally cancel the contract and impose changes to health-care benefits on teachers after 21 months of negotiations. The changes would have required PFT members to contribute between 5 and 13 percent toward their benefits while eliminating the district's contribution to the PFT Health and Welfare Fund, saving the district about $44 million annually for the next four years.

In its ruling, the court rejected the SRC's argument that provisions in the School Code gave it the power to impose terms. According to the court, the sides would have to declare an impasse, which has not happened.

"To effectuate its desired means, the SRC must look to the General Assembly to enact legislation providing it with the authority to proceed with unilateral modifications that alter an expired CBA [or the status quo] in the absence of an impasse," Judge Patricia McCullough wrote in the 40-page opinion.

PFT president Jerry Jordan extolled the decision as a "victory for collective bargaining."

"I don't think that anyone would take a position that they expect the employees to fund the district schools, particularly when we have teachers already spending money out of their pockets to provide the basic necessities, such as paper for the students," he said.

SRC chairman Bill Green said he was disappointed, and called the ruling "bizarre." He said the district has not yet decided whether it would appeal to the state Supreme Court.

"For next year we were talking about finally [Superintendent] Bill Hite and his team being able to be proactive and implement a positive plan, so that the dollars we were asking for would go to transformation," Green said. "As a consequence of this decision . . . the [funding request] will now be to plug holes and not new investment."

He added: "To those who are celebrating this [as a] victory, show me the money. We have an $80 million deficit next year because of this decision, if it stands."

In October, the district dispersed $15 million in anticipated savings from the imposed terms to schools. With that savings now all but gone, the amount likely will be added to this year's deficit, spokesman Fernando Gallard said.

A Common Pleas judge issued a stay on the matter last year, blocking the district from imposing the changes last month. The district appealed to Commonwealth Court, which agreed to expedite the process.

In addition to not getting the savings, the district has already spent $856,165 on outside legal counsel for the case, according to district information obtained through a Right to Know request from the Daily News. An appeal would increase the price tag.

This is the second major decision to go against the district in the past year. In June, the state Supreme Court declined to weigh in on a similar argument by the district in attempting to eliminate seniority in teacher assignments, recalls and layoffs.

Jordan said yesterday he remains willing to return to the bargaining table.

State House Speaker Mike Turzai, in town for an event, said he disagreed with the Commonwealth Court ruling, posting that the SRC has the power under current law. He said he anticipates an appeal.

"We don't think a legislative fix is needed, but we'll know better after a [state] Supreme Court decision."