House
Bill 1

FY’05
Budget
Beyond The "Reforms": The Romney Budget

 

Higher Education Collective Bargaining Agreements

What the Romney Budget does NOT Do!

As you know, 23 employee collective bargaining agreements for higher education workers that were awaiting final approval were finally funded by the legislature this past November. All unions affected are deeply appreciative of the legislative efforts to find the revenue necessary to fund these long delay contracts. Governor Romney, however, did not include enough money in the higher education appropriations to fully fund these contracts beyond July 1, 2004. He also did not include even a partial payment on the 2 ˝ years of retroactive pay owed to these workers.

What Must Be Done?

To secure closure on this matter, the legislature needs to include in the FY’05 state budget two specific appropriations. They are:

  1. An approximately $68 million total appropriation spread across the state and community colleges and the UMass campuses. This appropriation will fund the contracts the legislature approved through all of FY’05. The Governor included only half of this amount in House I.
  2. Inclusion of a portion of the owed retroactive monies – as pledged by legislative leaders – to be paid to workers in July 2004. This appropriation should include monies owed to both active workers and recent retirees, and is approximately $34 million.

As agreed in November, the remainder of what the state owes these workers in retroactive pay will be paid over the next few fiscal years.

Why is This Issue so Important?

  • These contracts were negotiated in good faith by union leaders and the Commonwealth under the assumption they would be fully funded. The state legislature has never reneged on its obligation to fully fund collectively bargained contracts.
  • The long delay faced in funding and implementing these contracts brought into question the integrity of the entire collective bargaining process. The agreement reached in November was a giant step forward in restoring that integrity. It is important to continue that process and take the next appropriate steps.
  • The unions affected are well aware of the challenging revenue situation facing the state, since it is state employees who have seen increases in their workloads and health insurance costs because of budget cuts. These realities only make more pressing the need for the state to live up to its agreed upon obligation to continue funding these contracts.