2. I.Initial Proposals II.Salary/Insurance Working Conditions Comparables DRG G (SDE District Reference Groups A-I according to socioeconomic status, need and enrollment) AENGLC 156 (Adjusted Equalized Net Grand List Comparison 1- 169) III.Bargaining Summary IV.Tentative Agreement V.Questions VI.Voting

3.  Charley Marenghi, Chair  Stephanie DeLuca  Andrea Fitzgerald  Debbie LePage  Cathy Lungarini  George Macary  Armand Maniccia  Karen Schiaroli  Sara Scrofani  Tracey Theroux  Marty Deren, CEA UniServ Rep  Joseph Fields, Ph.D. 3

4. TIMELINE ◦ Preparation: Training, Surveys, Planning  10 meetings (2-3 hours) ◦ Negotiation  6 sessions (4-7 hours) ◦ Mediation  November 6-7 (9 hours) ◦ Arbitration  November15 start date 4

5. 1)Public Interest and Financial Capability of the Town 2)Negotiation History 3)Interest and Welfare of Employees 4)Cost of Living Averages 5)Existing conditions of Employment 6)Salaries, Fringe Benefits, and Employment Conditions in State Labor Market 5

6. Initial Proposals 6

7. 1. Administrative bullying protections 2. Increase insurance waiver amounts 3. Expand personal day reasons 4. Paternity leave 5. Reinstitute sick leave bank 6.Course reimbursement 7.Compensation for a teacher who has to move his/her classroom 8.Last paycheck received by the last day of school 9.Step movement all 3 years 7

8. 10. Increase longevity payments 11.Increase all stipends and hourly rates 12.Eliminate high school block schedule language 13.Minimum time for travel between schools 14.Online learning protections 15.Class size protections 16.Additional summer days for counselors 17.Limit on number of subjects and preparations 8

9. 18. Administrative substitute protections 19.Working computers for all 20.Prep period protections 21.Equity for lunch, bus, recess duty assignments 22.Bus duty expanded time protections 23.Degree definition clarification 24.Additional stipended positions 25.Other minor language clarifications 9

10. 1. Many minor language clarifications 2.Changes to what could be placed in personnel files 3.HDHP: lower BOE contribution to HSA to 35% 4.Increase employee cost share to 21% 5.Increase teacher contribution to dental insurance from 10% to 20% 6.Weaken change of carrier language 7.Eliminate professional days 10

11. 8.Eliminate accumulated personal days entirely 9. No personal days used after May 15th 10.No necessary and unavoidable 11.Eliminate pay for sabbatical leave 12.Eliminate preference for teachers who apply for Schedule A and B positions 13.Paychecks until the end of June 14.Mandatory direct deposit 11

12. 15.Increase work day to 7.5 hours plus wrap around time 16. Flexible work times 17.Add one instructional day 18.Add two work days 19.After school meetings up to two hours 20.Change block scheduling language to reflect increased work day 21.Reductions in benefits for retirees in terms of health insurance 12

13. 22.Eliminate Red Cross training reimbursement for coaches 23.Increase deductible to $2500/$5000 24.Add 10% coinsurance after deductible 25.Add copays to all prescriptions including diabetic 13

14. Salary/ Insurance/ Working Conditions Rankings 14

15. TOWN12-13 STRATFORD$76,628.92 BRISTOL$76,456.01 NAUGATUCK$73,669.21 GROTON$73,356.57 MIDDLETOWN$71,253.64 HAMDEN$70,689.51 NORWICH FREE ACD$70,091.58 WINCHESTER$69,775.88 TORRINGTON$68,485.28 GILBERT SCHOOL$67,862.24 BLOOMFIELD$67,066.29 MANCHESTER$66,659.27 VERNON$66,458.32 EAST HAVEN$64,285.83 PUTNAM$63,677.20 PLAINFIELD$62,936.56 KILLINGLY$61,876.17

16. TOWN14-15 PUTNAM$46,859.00 NORWICH FREE ACD$46,744.00 GROTON$46,310.00 VERNON$46,275.21 EAST HAVEN$46,254.00 STRATFORD$45,911.00 BLOOMFIELD$45,733.00 MIDDLETOWN$44,748.00 NAUGATUCK$43,890.00 MANCHESTER$43,611.00 HAMDEN$43,601.00 BRISTOL$42,650.00 PLAINFIELD$40,961.00 KILLINGLY$40,958.00 TORRINGTON$40,530.00 GILBERT SCHOOL$39,984.00 WINCHESTER$38,610.00

17. TOWN2014-15 STRATFORD$87,257.00 BRISTOL$86,410.00 BLOOMFIELD$84,791.00 GROTON$84,365.00 HAMDEN$84,305.00 VERNON$83,914.67 EAST HAVEN$83,813.00 NAUGATUCK$83,267.00 NORWICH FREE ACD$81,893.00 MANCHESTER$80,668.00 TORRINGTON$79,477.00 GILBERT SCHOOL$79,022.00 MIDDLETOWN$78,178.00 PUTNAM$77,314.00 WINCHESTER$74,445.00 PLAINFIELD$73,799.00 KILLINGLY$72,519.00

18. TOWN2014-15 STRATFORD$97,130.00 BRISTOL$92,640.00 BLOOMFIELD$90,230.00 HAMDEN$89,654.00 NAUGATUCK$88,713.00 VERNON$87,725.80 EAST HAVEN$87,518.00 GROTON$87,342.00 MANCHESTER$86,314.00 NORWICH FREE ACD$84,949.00 TORRINGTON$84,947.00 MIDDLETOWN$84,141.00 GILBERT SCHOOL$83,575.00 PUTNAM$79,797.00 WINCHESTER$79,658.00 PLAINFIELD$76,301.00 KILLINGLY$75,162.00

19. TOWN2014-15 PLAINFIELD188 KILLINGLY188 MANCHESTER187 VERNON187 PUTNAM187 TORRINGTON186 STRATFORD186 WINCHESTER186 BLOOMFIELD186 HAMDEN186 GROTON186 GILBERT SCHOOL186 EAST HAVEN186 NORWICH FREE ACD185 BRISTOL185 MIDDLETOWN184 NAUGATUCK183

20. TOWN 2014-15 Elem 2014-15 JRHG 2014-15 HIGH NORWICH FREE ACD460 MANCHESTER450 BLOOMFIELD445 TORRINGTON440 VERNON435 KILLINGLY435 HAMDEN434424419 GILBERT SCHOOL431 PUTNAM430 GROTON425440435 WINCHESTER420 PLAINFIELD420 STRATFORD420 NAUGATUCK420 EAST HAVEN415425 BRISTOL400 MIDDLETOWN390

21. TOWN2014-15 KILLINGLY184 MANCHESTER183 VERNON182 STRATFORD182 PUTNAM182 PLAINFIELD182 NORWICH FREE ACD182 GILBERT SCHOOL182 BRISTOL181 WINCHESTER181 GROTON181 EAST HAVEN180 HAMDEN180 BLOOMFIELD180 TORRINGTON180 MIDDLETOWN180 NAUGATUCK180

22. TOWN 2014-15 ELEM 2014-15 JRHG 2014-15 HIGH BLOOMFIELD415 HAMDEN409389 NORWICH FREE ACD405 GILBERT SCHOOL404 PUTNAM400 GROTON395410405 KILLINGLY395 400 NAUGATUCK390 395 VERNON390 STRATFORD390 PLAINFIELD390 MIDDLETOWN385 TORRINGTON380390 MANCHESTER380385390 EAST HAVEN375385 BRISTOL370395385 WINCHESTER370

23.  2009:-0.36%  2010:1.64%  2011:3.16%  2012:2.07%  2013:1.46%  2014:1.76% 23

24. Recent Bargaining Summary 24

25. TOTAL = 6.43% NAUGATUCK In 2011-12, 73 districts had step freezes AND 27/61 who negotiated received a 0% increase in year 1 Total 12-131.11 13-142.52 14-152.80 Total 12-131.76 Half Step + 1.17% to Max 13-141.96 Half Step + 1.00% to Max 14-152.38 Step + 1.00% to Max

26. Those who Negotiated 12-13 TOTAL = 8.41% In 2012-13, 73 districts had step freezes. In the past 3 years 159 districts had at least one step freeze. Total 12-132.60 13-142.89 14-152.92

27. Those who Negotiated 13-14 TOTAL = 8.86% In 2013-14, 4 districts received a 0.00% increase, and an additional 41districts had a step freeze with 26 receiving a half step. Total 13-142.94 14-152.89 15-163.03

28. Negotiated: 3.18/3.01/3.21 = 9.40% Mediated: 2.75/2.81/2.99 = 8.55% Stipulated: 2.95/2.78/2.66 = 8.39% Arbitrated: 2.38/3.02/2.94 = 8.34% 28

29. 2014-2015 $24,791,987 2015-2016 $25,278,332 1.96% 2016-2017 $25,732,485 1.80% 2017-2018 $26,156,120 1.65% TOTAL =============== 5.41%

30. TOWNTOTALYR AVEAVE MAX Shared Services93 Greenwich5.982.990.75 Rocky Hill631.59 Colebrook6.863.430.9 Region 910.43.4666672 Brookfield5.952.9751.3 Darien6.43.20.33 E9.793.2633331.08 N8.972.99 Sharon8.972.991.2 Woodstock9.333.111.7 New Britain7.252.416667 W8.972.99 F930.82 Norwich8.972.991.52 Redding8.42.81.97 M8.52.8333331.25 Weston6.523.261.07 G9.993.331.64 Wallingford631.75 Region 610.373.4566671.6 Bolton9.53.1666672.016667 Newington8.972.990.77 B9.53.1666672 AVERAGE3.071.49 NAUGATUCK3.072.00

31.  Affordable Care Act “Cadillac Tax” ◦ Beginning 2018, 40% tax above thresholds ◦ Thresholds:  Individual: $10,200  Family: $27,500  HDHP Plans are the Norm ◦ DRG G: 11/15 have HDHP ◦ 7 have HDHP as only option ◦ Almost all of them have $2,000/$4,000 deductible with 50% funding by BOE  Premium Costs Shares ◦ Mid teens to Low twenties

32. TENTATIVE AGREEMENT 32

33.  Copays now apply to all drugs other than diabetes and Women’s health.  Deductible Increases to $2,250 Single and $4,500 family.  Board Contribution to HSA goes to $0.  Cost share goes to 5% for all three years of settlement.  Re-opener if plan is affected by Obama care tax.  No change to plan design, dental, or copays on drugs. 33

34.  Plan costs go up for deductible  Previously the deductible was $2,000 for the individual with a $1,000 deductible net of board contribution  The new deductible is now $2,250 with no Board contribution. 34

35.  The deductible goes from 16% to 5%  With a family rate expected to be at $27,000 in year two that is worth $3,000 to each family more than offsetting the $2,250 in additional cost  If you use up your deductible in the first two months the Board will provide an interest free loan to help you offset the cost 35

36.  Your drug costs are likely to increase as the $5/$20/$35 copays will apply to many more drugs  If plan costs exceed $10,200 for individual or $27,500 for family (assuming law stays the same) the plan will be renegotiated in 2017 36

37. 37 Member Cost 20142015201620172018 Employee16% 5% SinglePremium $ 1,248.12 $ 1,397.89 $ 468.69 $ 524.93 $ 587.92 Deductible $ 1,000.00 $ 2,250.00 Prem + Ded $ 2,248.12 $ 2,397.89 $ 2,718.69 $ 2,774.93 $ 2,837.92 Less HSA Tax $ (280.00) $ (630.00) Est. Cost $ 1,968.12 $ 2,117.89 $ 2,088.69 $ 2,144.93 $ 2,207.92 Change $ 149.77 $ (29.20) $ 56.24 $ 62.99 Percentage Change 7.6%-1.4%2.7%2.9% Two-PersonPremium $ 2,374.69 $ 2,659.66 $ 890.51 $ 997.37 $ 1,117.05 Deductible $ 2,000.00 $ 4,500.00 Prem + Ded $ 4,374.69 $ 4,659.66 $ 5,390.51 $ 5,497.37 $ 5,617.05 Less HSA Tax $ (560.00) $ (1,260.00) Est. Cost $ 3,814.69 $ 4,099.66 $ 4,130.51 $ 4,237.37 $ 4,357.05 Change $ 284.96 $ 30.85 $ 106.86 $ 119.68 Percentage Change 7.5%0.8%2.6%2.8% FamilyPremium $ 3,562.04 $ 3,989.49 $ 1,335.76 $ 1,496.05 $ 1,675.58 Deductible $ 2,000.00 $ 4,500.00 Prem + Ded $ 5,562.04 $ 5,989.49 $ 5,835.76 $ 5,996.05 $ 6,175.58 Less HSA Tax $ (560.00) $ (1,260.00) Est. Cost $ 5,002.04 $ 5,429.49 $ 4,575.76 $ 4,736.05 $ 4,915.58 Change $ 427.44 $ (853.72) $ 160.29 $ 179.53 Percentage Change 8.5%-15.7%3.5%3.8% Notes:Less HSA Tax = -28% of deductible share Est. Cost (Yellow) = the employee's estimated cost for premium + deductible All comparisons are to the prior year.

38. QUESTIONS? 38

39. VOTING 39