See other bills
under the
same topic
                                                      PRINTER'S NO. 4234

THE GENERAL ASSEMBLY OF PENNSYLVANIA


HOUSE BILL

No. 2635 Session of 2006


        INTRODUCED BY STEIL, ARGALL, CALTAGIRONE, CAWLEY, CRAHALLA,
           DENLINGER, GOODMAN, JAMES, McILHATTAN, MUNDY, SANTONI,
           SATHER, STABACK, TIGUE, WATSON, YOUNGBLOOD AND YUDICHAK,
           JUNE 15, 2006

        REFERRED TO COMMITTEE ON LABOR RELATIONS, JUNE 15, 2006

                                     AN ACT

     1  Amending the act of March 10, 1949 (P.L.30, No.14), entitled "An
     2     act relating to the public school system, including certain
     3     provisions applicable as well to private and parochial
     4     schools; amending, revising, consolidating and changing the
     5     laws relating thereto," deleting provisions relating to
     6     collective bargaining; and providing for collective
     7     bargaining dispute resolution.

     8     The General Assembly of the Commonwealth of Pennsylvania
     9  hereby enacts as follows:
    10     Section 1.  Article XI-A of the act of March 10, 1949
    11  (P.L.30, No.14), known as the Public School Code of 1949, added
    12  July 9, 1992 (P.L.403, No.88), is amended to read:
    13                           [ARTICLE XI-A.
    14                       COLLECTIVE BARGAINING.
    15                      (a)  General Provisions.
    16     Section 1101-A.  Definitions.--When used in this article, the
    17  following words and phrases shall have the following meanings:
    18     "Board" shall mean the Pennsylvania Labor Relations Board.
    19     "Employe" shall mean a public school employe who bargains


     1  collectively with a public school entity, but shall not include
     2  employes covered or presently subject to coverage under the act
     3  of June 1, 1937 (P.L.1168, No.294), known as the "Pennsylvania
     4  Labor Relations Act," or the National Labor Relations Act (61
     5  Stat. 152, 29 U.S.C. Ch. 7 Subch. 11). The term does not include
     6  any management-level employe of any other school district.
     7     "Employe organization" shall mean a public school employe
     8  organization of any kind, or any agency or employe
     9  representation committee or plan in which membership is limited
    10  to public school employes, and which exists for the purpose, in
    11  whole or in part, of dealing with public school employers
    12  concerning grievances, public school employe-public school
    13  employer disputes, wages, rates of pay, hours of employment or
    14  conditions of work, but shall not include any organization which
    15  practices discrimination in membership because of race, color,
    16  creed, national origin or political affiliation.
    17     "Employer" shall mean a public school entity, but shall not
    18  include employers covered or presently subject to coverage under
    19  the act of June 1, 1937 (P.L.1168, No.294), known as the
    20  "Pennsylvania Labor Relations Act," or the National Labor
    21  Relations Act (61 Stat. 152, 29 U.S.C. Ch. 7 Subch. 11).
    22     "Impasse" shall mean the failure of an employer and an
    23  employe organization to reach an agreement in the course of
    24  negotiations.
    25     "Lockout" shall mean the cessation of furnishing of work to
    26  employes or withholding work from employes for the purpose of
    27  inducing, influencing or coercing a change in the conditions or
    28  compensation or the rights, privileges or obligations of
    29  employment.
    30     "Representative" shall mean an individual acting for
    20060H2635B4234                  - 2 -     

     1  employers or employes and shall include employe organizations.
     2     "School entity" shall mean a public school district,
     3  intermediate unit or area vocational-technical school.
     4     "Strike" shall mean concerted action in failing to report for
     5  duty, the wilful absence from one's position, the stoppage of
     6  work, slowdown or the abstinence, in whole or in part, from the
     7  full, faithful and proper performance of the duties of
     8  employment for the purpose of inducing, influencing or coercing
     9  a change in the conditions or compensation or the rights,
    10  privileges or obligations of employment. The employe
    11  organization having called a strike once and unilaterally
    12  returned to work may only call a lawful strike once more during
    13  the school year. A written notice of the intent to strike shall
    14  be delivered by the employe organization to the superintendent,
    15  executive director or the director no later than forty-eight
    16  (48) hours prior to the commencement of any strike, and no
    17  strike may occur sooner than forty-eight (48) hours following
    18  the last notification of intent to strike. Upon receipt of the
    19  notification of intent to strike, the superintendent, executive
    20  director or the director may cancel school for the effective
    21  date of the strike. A decision to cancel school may, however, be
    22  withdrawn by the superintendent, executive director or the
    23  director. Any subsequent change of intents to strike shall not
    24  affect the decision to cancel school on the day of the intended
    25  strike. For the purposes of this article, the decision to cancel
    26  school on the day of the intended strike shall not be considered
    27  a lockout.
    28     Section 1111-A.  Mutual Obligation.--Collective bargaining is
    29  the performance of the mutual obligation of the employer or his
    30  representative and the representative of the employes to meet at
    20060H2635B4234                  - 3 -     

     1  reasonable times and confer in good faith with respect to wages,
     2  hours and other terms and conditions of employment or the
     3  negotiation of an agreement or any question arising thereunder
     4  and the execution of a written contract incorporating any
     5  agreement reached, but such obligation does not compel either
     6  party to agree to a proposal or require the making of a
     7  concession.
     8     Section 1112-A.  Matters of Inherent Managerial Policy.--
     9  Employers shall not be required to bargain over matters of
    10  inherent managerial policy. Those matters shall include, but
    11  shall not be limited to, such areas of discretion or policy as
    12  the functions and programs of the employer, standards of
    13  services, its overall budget, utilization of technology, the
    14  organizational structure and selection and direction of
    15  personnel. Employers, however, shall be required to meet and
    16  discuss on policy matters affecting wages, hours and terms and
    17  conditions of employment as well as the impact thereon upon
    18  request by employe representatives.
    19     Section 1121-A.  Submission to Mediation.--(a)  If, after a
    20  reasonable period of negotiation, a dispute or impasse exists
    21  between the representatives of the employer and the employe
    22  organization, the parties may voluntarily submit to mediation,
    23  but, if no agreement is reached between the parties within
    24  forty-five (45) days after negotiations have commenced, but in
    25  no event later than one hundred twenty-six (126) days prior to
    26  June 30 or December 31, whichever is the end of the school
    27  entity's fiscal year, and mediation has not been utilized by the
    28  parties, both parties shall immediately in writing call on the
    29  service of the Pennsylvania Bureau of Mediation.
    30     (b)  The Pennsylvania Bureau of Mediation shall employ a
    20060H2635B4234                  - 4 -     

     1  complement of not less than twenty-five (25) mediators which
     2  shall be available to mediate according to the provisions of
     3  subsection (a).
     4     Section 1122-A.  Fact-finding Panels.--(a)  (1)  Once
     5  mediation has commenced, it shall continue for so long as the
     6  parties have not reached an agreement. If, however, an agreement
     7  has not been reached within forty-five (45) days after mediation
     8  has commenced or in no event later than eighty-one (81) days
     9  prior to June 30 or December 31, whichever is the end of the
    10  school entity's fiscal year, the Bureau of Mediation shall
    11  notify the board of the parties' failure to reach an agreement
    12  and of whether either party has requested the appointment of a
    13  fact-finding panel.
    14     (2)  No later than eighty-one (81) days prior to June 30 or
    15  December 31, whichever is the end of the school entity's fiscal
    16  year, either party may request the board to appoint a fact-
    17  finding panel. Upon receiving such request, the board shall
    18  appoint a fact-finding panel which may consist of either one (1)
    19  or three (3) members. The panel so designated or selected shall
    20  hold hearings and take oral or written testimony and shall have
    21  subpoena power. If, during this time, the parties have not
    22  reached an independent agreement, the panel shall make findings
    23  of fact and recommendations. The panel shall not find or
    24  recommend that the parties accept or adopt an impasse procedure.
    25     (3)  The parties may mutually agree to fact-finding, and the
    26  board shall appoint a fact-finding panel as provided for in
    27  clause (2) at any time except that the parties may not mutually
    28  agree to fact-finding during mandated final best-offer
    29  arbitration.
    30     (4)  The board may implement fact-finding and appoint a panel
    20060H2635B4234                  - 5 -     

     1  as provided for in clause (2) at a time other than that mandated
     2  in this section, except that fact-finding may not be implemented
     3  between the period of notice to strike and the conclusion of a
     4  strike or during final best-offer arbitration. If the board
     5  chooses not to implement fact-finding prior to a strike, the
     6  board shall issue a report to the parties listing the reasons
     7  for not implementing fact-finding if either party requests one.
     8     (b)  The findings of fact and recommendations shall be sent
     9  by registered mail to the board and to both parties not more
    10  than forty (40) days after the Bureau of Mediation has notified
    11  the board as provided in subsection (a).
    12     (c)  Not more than ten (10) days after the findings and
    13  recommendations shall have been sent, the parties shall notify
    14  the board and each other whether or not they accept the
    15  recommendations of the fact-finding panel, and, if they do not,
    16  the panel shall publicize its findings of fact and
    17  recommendations.
    18     (d)  Not less than five (5) days nor more than ten (10) days
    19  after the publication of the findings of fact and
    20  recommendations, the parties shall again inform the board and
    21  each other whether or not they will accept the recommendations
    22  of the fact-finding panel.
    23     (e)  The board shall establish, after consulting
    24  representatives of employe organizations and of employers,
    25  panels of qualified persons broadly representative of the public
    26  to serve as members of fact-finding panels. The board shall,
    27  within sixty (60) days of the effective date of this act,
    28  increase the number of available panels of qualified persons to
    29  serve as members of fact-finding panels to meet the expanded
    30  role of fact-finding as provided for in this act.
    20060H2635B4234                  - 6 -     

     1     (f)  The Commonwealth shall pay one-half of the cost of the
     2  fact-finding panel; the remaining one-half of the cost shall be
     3  divided equally between the parties. The board shall establish
     4  rules and regulations under which panels shall operate,
     5  including, but not limited to, compensation for panel members.
     6     Section 1123-A.  Negotiated Final Best-Offer Arbitration.--
     7  (a)  The parties to a collective bargaining agreement involving
     8  public school employes shall be required to bargain upon the
     9  issue of acceptance and adoption of one of the following
    10  approved impasse procedures, with the proviso that such an
    11  obligation does not compel either party to agree to a proposal
    12  or require making a concession:
    13     (1)  Arbitration under which the award is confined to a
    14  choice among one of the following single packages:
    15     (i)  the last offer of the representative of the employer;
    16     (ii)  the last offer of the representative of the employes;
    17  or
    18     (iii)  the fact-finder's recommendations, should there be a
    19  fact-finder's report.
    20     (2)  Arbitration under which the award is confined to a
    21  choice among one of the following on an issue-by-issue basis:
    22     (i)  the last offer of the representative of the employer;
    23     (ii)  the last offer of the representative of the employes;
    24  or
    25     (iii)  the fact-finder's recommendations, should there be a
    26  fact-finder's report.
    27     (3)  Arbitration under which the award is confined to a
    28  choice among one of the following on the basis of economic and
    29  noneconomic issues as separate units:
    30     (i)  the last offer of the representative of the employer;
    20060H2635B4234                  - 7 -     

     1     (ii)  the last offer of the representative of the employes;
     2  or
     3     (iii)  the fact-finder's recommendations, should there be a
     4  fact-finder's report.
     5     (b)  As used in this section, "economic issues" shall mean
     6  wages, hours, salary, fringe benefits or any form of monetary
     7  compensation for services rendered.
     8     Section 1124-A.  Method of Selection of Arbitrators.--The
     9  board of arbitration shall be composed of three (3) members.
    10  Arbitrators as referred to in this article shall be selected in
    11  the following manner:
    12     (1)  Each party shall select one (1) member of the panel
    13  within five (5) days of the parties' submission to final best-
    14  offer arbitration. Each arbitrator shall be knowledgeable in the
    15  school-related fields of budget, finance, educational programs
    16  and taxation.
    17     (2)  The third arbitrator shall be selected from a list of
    18  seven (7) arbitrators furnished by the American Arbitration
    19  Association within five (5) days of the publication of the list.
    20  Each of the seven (7) arbitrators shall be a resident of this
    21  Commonwealth and knowledgeable in the areas necessary to
    22  effectively make a determination. Each party shall alternately
    23  strike one name until one shall remain. The employer shall
    24  strike the first name. The person so remaining shall be the
    25  third member and chairman.
    26     (3)  Payment of arbitrators shall be as follows:
    27     (i)  For voluntary arbitration, each party shall pay the cost
    28  of the arbitrator selected by it under clause (1) of this
    29  section. The cost of the third arbitrator shall be divided
    30  equally between the parties.
    20060H2635B4234                  - 8 -     

     1     (ii)  For mandatory arbitration, the Commonwealth shall pay
     2  one-half of the cost of the arbitrators; the remaining one-half
     3  of the cost shall be divided equally between the parties.
     4     Section 1125-A.  Final Best-Offer Arbitration.--(a)  At any
     5  time prior to mandated final best-offer arbitration, either the
     6  employer or the employe organization may request final best-
     7  offer arbitration unless fact-finding has been initiated as
     8  provided in section 1122-A. If fact-finding has been initiated,
     9  the parties shall complete fact-finding before requesting final
    10  best-offer arbitration. If either party requests final best-
    11  offer arbitration, the requesting party shall notify the Bureau
    12  of Mediation, the board and the opposing party in writing. The
    13  opposing party shall, within ten (10) days of the notification
    14  by the requesting party, notify the requesting party in writing
    15  of its agreement or refusal to submit to final best-offer
    16  arbitration. No strikes or lockouts shall occur during this ten
    17  (10) day period or until the requesting party is notified by the
    18  opposing party that they refuse to submit to final best-offer
    19  arbitration. Arbitration provided for in this subsection shall
    20  only occur if both parties agree to submit to final best-offer
    21  arbitration.
    22     (b)  If a strike by employes or a lockout by an employer will
    23  prevent the school entity from providing the period of
    24  instruction required by section 1501 by the later of:
    25     (1)  June 15; or
    26     (2)  the last day of the school entity's scheduled school
    27  year;
    28  the parties shall submit to mandated final best-offer
    29  arbitration consistent with the arbitration option negotiated. A
    30  return to work for the purpose of submitting to final best-offer
    20060H2635B4234                  - 9 -     

     1  arbitration shall not be considered a unilateral return to work.
     2     (c)  If the parties are unable to agree on the adoption of
     3  one of the approved impasse procedures under section 1123-A, the
     4  mediator appointed pursuant to section 1121-A shall select the
     5  procedure.
     6     (d)  Within ten (10) days of submission to final best-offer
     7  arbitration, the parties shall submit to the arbitrators their
     8  final best contract offer with certification that the offer was
     9  delivered to the opposing party, together with documentation
    10  supporting the reasonableness of their offer. This documentation
    11  shall include, but not be limited to, the following:
    12     (1)  The public interest.
    13     (2)  The interest and welfare of the employe organization.
    14     (3)  The financial capability of the school entity.
    15     (4)  The results of negotiations between the parties prior to
    16  submission of last best contract offers.
    17     (5)  Changes in the cost of living.
    18     (6)  The existing terms and conditions of employment of the
    19  employe organization members and those of similar groups.
    20     (7)  Such other documentation as the arbitration panel shall
    21  deem relevant.
    22     (e)  Arbitration shall be limited to unresolved issues.
    23  Unresolved issues shall mean those issues not agreed to in
    24  writing prior to the start of arbitration.
    25     (f)  The parties may mutually agree to submit to final best-
    26  offer arbitration at any time except during fact-finding or
    27  during mandated final best-offer arbitration.
    28     (g)  Upon submission to the arbitrator of both parties' final
    29  best offers under subsection (a) or (b), the employer shall
    30  post, within the time limits described in subsection (d), the
    20060H2635B4234                 - 10 -     

     1  final best contract offers in the school entity's main office
     2  for the purpose of soliciting public comments thereon. Copies of
     3  both parties' final best offers shall be available from the
     4  school entity's main office. The cost of copies shall be
     5  established by the school entity and shall be paid by the
     6  requestor.
     7     (h)  The public comment period shall close within ten (10)
     8  days of the first day of posting. All public comments shall be
     9  directed to the arbitrators for consideration who shall provide
    10  them on request to the employer and to the employes'
    11  organization.
    12     (i)  Within ten (10) days of the selection of the third
    13  arbitrator of the arbitration panel, the arbitrators shall begin
    14  hearings at which they will hear arguments from representatives
    15  of the employer and of the employes in support of their
    16  respective last best contract offers under subsection (a) or
    17  (b). At least five (5) days prior to the hearing, a written
    18  notice of the date, time and place of such hearing shall be sent
    19  to the representatives of both the employer and employes which
    20  are parties to the dispute. This written notice shall also be
    21  sent to the fiscal authority having budgetary responsibility or
    22  charged with making appropriations for the employer, and a
    23  representative designated by such body shall be heard at the
    24  hearing upon request of such body or of the employer as part of
    25  the presentation of the employer.
    26     (j)  Not later than twenty (20) days after the hearing
    27  pursuant to subsection (i), the arbitrators shall:
    28     (1)  examine each item of dispute;
    29     (2)  make a determination in writing consistent with the
    30  arbitration option agreed to by the parties; and
    20060H2635B4234                 - 11 -     

     1     (3)  forward a copy of the written determination to both
     2  parties involved in the dispute and to the board.
     3     (k)  The determination of the majority of the arbitrators
     4  reached as provided under either subsection (a) or (b) shall be
     5  final and binding upon the employer, employes and employe
     6  organization involved and constitutes a mandate to the school
     7  entity to take whatever action necessary to carry out the
     8  determination, provided that within ten (10) days of the receipt
     9  of the determination the employe organization or the employer
    10  does not consider and reject the determination at a properly
    11  convened special or regular meeting. This determination
    12  includes, but is not limited to, a determination which requires
    13  a legislative enactment by the employer prior to or as a
    14  condition for its implementation, including, without limitation,
    15  the levy and imposition of taxes.
    16     (l)  No appeal challenging the determination reached as
    17  provided under subsection (a) or (b) shall be allowed to any
    18  court unless the award resulted from fraud, corruption or wilful
    19  misconduct of the arbitrators. If a court determines that this
    20  has occurred, it shall declare the award null and void. An
    21  appeal of the award shall be made to the court of common pleas
    22  of the judicial district encompassing the respective school
    23  district.
    24     (m)  If the employer or the employe organization rejects the
    25  determination of the majority of the arbitrators:
    26     (1)  The employe organization may initiate a legal strike or
    27  resume a legal strike initiated prior to submission to final
    28  best-offer arbitration.
    29     (2)  The employer may hire substitutes as provided under
    30  subsection (b) of section 1172-A.
    20060H2635B4234                 - 12 -     

     1     (3)  The employer may initiate a legal lockout or resume a
     2  legal lockout initiated prior to submission to final best-offer
     3  arbitration.
     4     Section 1126-A.  Time Frame.--The time periods set forth in
     5  this article are mandatory and shall not be construed to be
     6  directory.
     7     Section 1127-A.  Exception.--Any school district of the first
     8  class with an appointed school board and the public employes of
     9  that school district as defined in the act of July 23, 1970
    10  (P.L.563, No.195), known as the "Public Employe Relations Act,"
    11  shall comply with and be subject to the binding arbitration
    12  provisions of the "Public Employe Relations Act" and shall not
    13  be subject to the provisions of section 1123-A, 1124-A or 1125-
    14  A.
    15     Section 1131-A.  Strikes Prohibited in Certain
    16  Circumstances.--A strike must cease where the parties request
    17  fact-finding for the duration of the fact-finding. A strike must
    18  end where the parties agree to arbitration. Strikes are
    19  prohibited:
    20     (1)  During the period of up to ten (10) days provided for
    21  under section 1125-A(a).
    22     (2)  During final best-offer arbitration, including the
    23  period of up to ten (10) days after receipt of the determination
    24  of the arbitrators during which the governing body of the school
    25  entity may consider the determination.
    26     (3)  When the arbitrators' determination becomes final and
    27  binding.
    28     Section 1132-A.  Lockouts Prohibited in Certain
    29  Circumstances.--A lockout must cease where the parties request
    30  fact-finding for the duration of the fact-finding. A lockout
    20060H2635B4234                 - 13 -     

     1  must end where the parties agree to arbitration. Lockouts are
     2  prohibited:
     3     (1)  During the period of up to ten (10) days provided for
     4  under section 1125-A(a).
     5     (2)  During final best-offer arbitration, including the
     6  period of up to ten (10) days after receipt of the determination
     7  of the arbitrators during which the employer may consider the
     8  determination.
     9     (3)  When the arbitrators' determination becomes final and
    10  binding.
    11     Section 1151-A.  Agreement and Enforcement.--Any
    12  determination of the arbitrators to be implemented under this
    13  article shall be memorialized as a written agreement by and
    14  between the school entity and the employe organization to be
    15  signed and sealed by their duly appointed officers and agents as
    16  provided by law. The executed agreement shall be enforceable by
    17  each party in the manner as provided by law, including without
    18  limitation and in derogation to the mandatory arbitration of
    19  disputes or grievances under the act of July 23, 1970 (P.L.563,
    20  No.195), known as the "Public Employe Relations Act." In the
    21  event that a school entity or an employe organization refuses to
    22  execute a written agreement under this section, the employe
    23  organization or the school entity may institute a cause of
    24  action in the court of common pleas to compel compliance with
    25  the provision of this section requiring a written agreement and,
    26  in the appropriate case, specific performance of the
    27  determination.
    28     Section 1152-A.  Existing Agreements; Provisions Inconsistent
    29  with Article.--Any provisions of any collective bargaining
    30  agreement in existence on the effective date of this article
    20060H2635B4234                 - 14 -     

     1  which are inconsistent with any provision of this article, but
     2  not otherwise illegal, shall continue valid until the expiration
     3  of such contract. The procedure for entering into any new
     4  collective bargaining agreement, however, shall be governed by
     5  this article, where applicable, upon the effective date of this
     6  article.
     7     Section 1161-A.  Injunctive Relief.--When an employe
     8  organization is on strike for an extended period that would not
     9  permit the school entity to provide the period of instruction
    10  required by section 1501 by June 30, the Secretary of Education
    11  may initiate, in the appropriate county court of common pleas,
    12  appropriate injunctive proceedings providing for the required
    13  period of instruction.
    14     Section 1171-A.  Selective Strikes.--The work stoppage
    15  practice known as "selective strikes" shall be considered an
    16  illegal strike. Any strike which does not comply with the
    17  definition of "strike" contained in this article shall be
    18  considered a selective strike.
    19     Section 1172-A.  Utilization of Strike Breakers.--(a)  Except
    20  as provided in subsection (b), during a legal strike, as defined
    21  by this article, the school entity, as defined by this article,
    22  shall not utilize persons other than those employes who have
    23  been actively employed by the school entity at any time during
    24  the previous twelve (12) months.
    25     (b)  A school entity may utilize persons other than those
    26  employes who have been actively employed by the school entity at
    27  any time during the previous twelve (12) months:
    28     (1)  when the employe organization or employer rejects the
    29  determination of the majority of the arbitrators; and
    30     (2)  when a legal strike will prevent the completion of the
    20060H2635B4234                 - 15 -     

     1  period of instruction required by section 1501 by the later of:
     2     (i)  June 15; or
     3     (ii)  the last day of the school district's scheduled school
     4  year.]
     5     Section 2.  The act is amended by adding an article to read:
     6                            ARTICLE XI-B
     7              COLLECTIVE BARGAINING DISPUTE RESOLUTION
     8                      (a)  General Provisions
     9  Section 1101-B.  Definitions.
    10     The following words and phrases when used in this article
    11  shall have the meanings given to them in this section unless the
    12  context clearly indicates otherwise:
    13     "Board."  The Pennsylvania Labor Relations Board.
    14     "Bureau."  The Bureau of Mediation of the Commonwealth.
    15     "Economic issues."  Wages, hours, salary, fringe benefits or
    16  any form of monetary compensation for services rendered.
    17     "Employee."  A public school employee who bargains
    18  collectively with a public school entity. The term does not
    19  include:
    20         (1)  An employee who is covered or presently subject to
    21     coverage under the act of June 1, 1937 (P.L.1168, No.294),
    22     known as the Pennsylvania Labor Relations Act, or the
    23     National Labor Relations Act (49 Stat. 449, 26 U.S.C. § 151
    24     et seq.).
    25         (2)  A management-level employee of any other school
    26     district.
    27     "Employee organization."  A public school employee
    28  organization of any kind, or an agency or employee
    29  representation committee or plan in which membership is limited
    30  to public school employees, and which exists for the purpose, in
    20060H2635B4234                 - 16 -     

     1  whole or in part, of dealing with public school employers
     2  concerning grievances, public school employee-public school
     3  employer disputes, wages, rates of pay, hours of employment or
     4  conditions of work. The term does not include an organization
     5  which practices discrimination in membership because of race,
     6  color, creed, national origin or political affiliation.
     7     "Employer."  A public school entity. The term does not
     8  include an employer that is covered or presently subject to
     9  coverage under the act of June 1, 1937 (P.L.1168, No.294), known
    10  as the Pennsylvania Labor Relations Act, or the National Labor
    11  Relations Act (49 Stat. 449, 29 U.S.C. § 151 et. seq.).
    12     "Good faith."  Acting with openness, fairness, mutuality of
    13  conduct and cooperation with the intent of identifying a
    14  mutually agreeable solution.
    15     "Impasse."  The failure of an employer and an employee
    16  organization to reach an agreement in the course of
    17  negotiations.
    18     "Lockout."  The cessation of furnishing of work to employees
    19  or withholding work from employees for the purpose of inducing,
    20  influencing or coercing a change in the conditions or
    21  compensation or the rights, privileges or obligations of
    22  employment.
    23     "Mediator."  A person appointed by the Bureau of Mediation to
    24  mediate an impasse.
    25     "Parties."  An employer and the employee organization that
    26  represents the employee of the employer.
    27     "Representative."  An individual acting for employers or
    28  employees. The term includes an employee organization.
    29     "School entity."  A public school district, intermediate unit
    30  or area vocational-technical school.
    20060H2635B4234                 - 17 -     

     1     "Strike."  Concerted action in failing to report for duty,
     2  the willful absence from one's position, the stoppage of work,
     3  slowdown or the abstinence, in whole or in part, from the full,
     4  faithful and proper performance of the duties of employment for
     5  the purpose of inducing, influencing or coercing a change in the
     6  conditions or compensation or the rights, privileges or
     7  obligations of employment.
     8     "Work stoppage."  A strike or lockout.
     9                           (b)  Procedure
    10  Section 1111-B.  Mutual obligation.
    11     Collective bargaining is the performance of the mutual
    12  obligation of an employer, or its representative, and the
    13  representative of its employees to meet at reasonable times and
    14  confer in good faith with respect to wages, hours and other
    15  terms and conditions of employment or the negotiation of an
    16  agreement or any question arising under the agreement and the
    17  execution of a written contract incorporating any agreement
    18  reached. The obligation does not compel either party to agree to
    19  a proposal or require the making of a concession.
    20  Section 1112-B.  Matters of inherent managerial policy.
    21     (a)  General rule.--An employer shall not be required to
    22  bargain over matters of inherent managerial policy. Those
    23  matters shall include, but shall not be limited to, such areas
    24  of discretion or policy as:
    25         (1)  The functions and programs of the employer.
    26         (2)  Standards of services.
    27         (3)  Overall budget of the employer.
    28         (4)  Utilization of technology.
    29         (5)  The organizational structure and selection and
    30     direction of personnel.
    20060H2635B4234                 - 18 -     

     1     (b)  Exception.--An employer shall meet and discuss on policy
     2  matters affecting wages, hours and terms and conditions of
     3  employment as well as the impact thereon upon request by an
     4  employee representative.
     5  Section 1113-B.  Negotiation between the parties.
     6     The parties shall negotiate a collective bargaining agreement
     7  as follows:
     8         (1)  The parties shall commence negotiating a new
     9     agreement no later than 15 months prior to the expiration of
    10     the current contract.
    11         (2)  The employer shall confirm to the public through
    12     regularly scheduled board meetings that the negotiations
    13     commenced as required.
    14         (3)  The parties shall negotiate independently for seven
    15     months and shall, at all times, negotiate in good faith.
    16         (4)  Within 30 days of negotiations commencing, each
    17     party shall provide a written settlement proposal to the
    18     other party. Each party shall respond to the other party's
    19     proposal, in writing, within 30 days of receipt of the
    20     proposal.
    21         (5)  The parties may mutually agree to mediation at any
    22     time under the procedure set forth in this section, but if no
    23     agreement is reached eight months prior to expiration of the
    24     current contract, the parties shall enlist the assistance of
    25     a mediator.
    26  Section 1114-B.  Mandatory mediation.
    27     If the assistance of a mediator is required under section
    28  1113-B(5), the following procedure shall apply:
    29         (1)  The parties shall immediately call on the service of
    30     the bureau. The bureau shall appoint a mediator within two
    20060H2635B4234                 - 19 -     

     1     business days.
     2         (2)  The parties shall continue to negotiate in good
     3     faith throughout the mediation process.
     4         (3)  The parties may agree to meet independently at any
     5     time during the mediation process.
     6         (4)  If no agreement is reached five months prior to
     7     expiration of the current contract, the parties shall submit
     8     to fact-finding under section 1115-B.
     9  Section 1115-B.  Fact-finding.
    10     Fact-finding shall proceed as follows:
    11         (1)  Within three business days, the board shall appoint
    12     one or three fact-finders.
    13         (2)  Within two additional business days, each party
    14     shall submit its latest proposal to the fact-finders and
    15     simultaneously to the other party. The proposal shall be made
    16     public through posting at school entity offices and on the
    17     Internet website of the school entity.
    18         (3)  The appointed fact-finders shall hold hearings,
    19     secure oral or written testimony and shall have subpoena
    20     power. The panel shall also solicit public input. If, during
    21     this phase, the parties fail to reach an independent
    22     agreement, the panel shall make findings of fact and
    23     recommendations.
    24         (4)  The findings of fact and recommendations shall be
    25     sent by registered mail to the board and to both parties not
    26     more than 30 days after the board has notified the fact-
    27     finders of their appointment.
    28         (5)  The parties shall decide within five business days
    29     whether to accept the recommendation of the fact-finders or
    30     to submit to binding arbitration under section 1116-B.
    20060H2635B4234                 - 20 -     

     1         (6)  The costs of fact-finding shall be shared equally by
     2     the parties or in such proportion as the fact-finders
     3     determine.
     4  Section 1116-B.  Binding arbitration.
     5     If either party rejects the recommendation of the fact-
     6  finders, the parties shall proceed immediately to binding
     7  arbitration. The parties may either submit their dispute to a
     8  mutually agreeable single arbitrator or an arbitration panel
     9  composed of three persons. The arbitration panel shall be
    10  selected in the following manner:
    11         (1)  Each party shall select one member of the panel
    12     within two business days. Each arbitrator must be
    13     knowledgeable in the school-related fields of budget,
    14     finance, educational programs and taxation.
    15         (2)  The third arbitrator shall be selected from a list
    16     of seven arbitrators furnished by the American Arbitration
    17     Association within three days of the publication of the list.
    18     Each of the seven arbitrators must be a resident of this
    19     Commonwealth and knowledgeable in the areas necessary to
    20     effectively make a determination. Beginning with the
    21     employer, each party shall alternately strike one name until
    22     one shall remain. The person so remaining shall be the third
    23     panel member and chairperson.
    24         (3)  The parties shall submit their last best offer to
    25     the panel within two business days of panel selection. The
    26     last best offer shall also be submitted to the other party
    27     and be posted publicly at school entity offices and on the
    28     Internet website of the school entity.
    29         (4)  All information, data, analyses and recommendations
    30     from the fact-finding process shall be provided to the panel.
    20060H2635B4234                 - 21 -     

     1     The employer shall provide guidance to the arbitrator
     2     regarding fiscal constraints in accordance with section 31 of
     3     Article III of the Constitution of Pennsylvania. The public
     4     shall be given an opportunity to submit comments to the
     5     arbitration panel.
     6         (5)  The panel shall rule within 30 days of panel
     7     selection. The ruling shall be final and binding on the
     8     parties.
     9         (6)  The ruling shall be by selection of one proposal in
    10     its entirety.
    11         (7)  The ruling shall be limited to issues that have not
    12     been previously agreed.
    13         (8)  The panel shall consider the following criteria in
    14     making its ruling:
    15             (i)  The interest and welfare of the public.
    16             (ii)  The financial ability of the employer to fund
    17         the costs associated with any proposed agreement.
    18             (iii)  Comparison of wages, hours and condition of
    19         employment of the employees involved in the arbitration
    20         proceeding with the wages, hours and conditions of
    21         employment of other employees performing similar services
    22         or requiring similar skills under similar working
    23         conditions and with other employees generally in public
    24         and private employment in comparable communities.
    25         (9)  Each party shall pay the cost of the arbitrator
    26     selected by it under paragraph (1). The cost of the third
    27     arbitrator shall be divided equally among the parties or in
    28     such proportion as the chairperson determines. The
    29     Commonwealth shall not be resonsible for the cost of binding
    30     arbitration under this section.
    20060H2635B4234                 - 22 -     

     1  Section 1117-B.  Judicial review.
     2     (a)  General rule.--The decision of an arbitration panel
     3  under section 1116-B shall be subject to judicial review upon
     4  the filing of a petition for review by a party to the
     5  arbitration in the court of common pleas for the county where
     6  the school entity is located. Should a school entity be located
     7  in more than one county, the county where the administrative
     8  office of the entity is located shall control. The petition must
     9  be filed within 14 days following receipt of the arbitration
    10  ruling.
    11     (b)  Standard of review.--The court of common pleas may only
    12  vacate or modify the decision if substantial rights of the party
    13  have been prejudiced because the arbitration decision is:
    14         (1)  in violation of constitutional or statutory
    15     provisions;
    16         (2)  in excess of the statutory authority of the panel;
    17         (3)  made upon unlawful procedure;
    18         (4)  affected by other error of law;
    19         (5)  clearly erroneous in view of the reliable, probative
    20     and substantial evidence on the whole record; or
    21         (6)  arbitrary or capricious or characterized by abuse of
    22     discretion or clearly unwarranted exercise of discretion.
    23     (c)  Award.--In any action brought pursuant to this section
    24  to vacate or modify the decision of the arbitrators or single
    25  arbitrator, reasonable attorney fees, costs and legal interest
    26  on salary withheld as the result of an appeal of the decision
    27  may be awarded.
    28  Section 1118-B.  General standard of conduct.
    29     Throughout the process set forth under this article:
    30         (1)  The employer shall update the public as to the
    20060H2635B4234                 - 23 -     

     1     status of negotiations at regularly scheduled school board
     2     meetings.
     3         (2)  The parties shall, at all times, negotiate in good
     4     faith.
     5         (3)  The parties may, at any time, independently enter
     6     into an agreement prior to a ruling as a result of binding
     7     arbitration.
     8  Section 1119-B.  Strikes and lockouts prohibited.
     9     (a)  Prohibited conduct.--
    10         (1)  No public employee or employee organization may
    11     strike or participate in a strike or similar interruption of
    12     government service.
    13         (2)  No employer may conduct a lockout or similar
    14     interruption of government service.
    15         (3)  Any strike, lockout or interruption of government
    16     service prohibited by this section shall constitute an
    17     actionable breach of duty to members of the public.
    18     (b)  Effect of violation.--
    19         (1)  An employee who violates the provisions of this
    20     article shall:
    21             (i)  Forfeit a portion of the employee's annual
    22         salary equal to twice the employee's daily rate of pay
    23         for each day, or part thereof, that it was determined the
    24         employee violated this section. The forfeiture may not be
    25         waived by the employer or otherwise recovered by the
    26         employee.
    27         (2)  An employee organization that violates the
    28     provisions of this article shall be prohibited from using a
    29     union dues checkoff privilege for one year.
    30     (c)  Conduct during unlawful strike.--
    20060H2635B4234                 - 24 -     

     1         (1)  An employer may hire substitute teachers for the
     2     duration of a strike by its employees.
     3         (2)  The parties shall allow for safe and unhindered
     4     access to school facilities for all school employees not
     5     participating in a strike, including teachers and
     6     substitutes.
     7     (d)  Lockouts.--
     8         (1)  An employer engaging in a lockout shall pay a
     9     penalty equal to any financial benefit received from a
    10     lockout.
    11         (2)  The use of substitutes during a lockout is
    12     prohibited.
    13     (e)  Enforcement.--The bureau shall enforce the provisions of
    14  this article.
    15     Section 3.  This act shall take effect in 60 days.










    D24L24DMS/20060H2635B4234       - 25 -