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Montgomery County Organizational Reform Commission employees in Maryland. The "Fairness in Negotiations Act," enacted by the General Assembly in 2010, requires the local school board and the union to resolve an impasse in collective bargaining through arbitration before a new State Public School Labor Relations Board. Education Article §6-511 provides that if the County does not approve sufficient funds to implement a negotiated collective bargaining agreement, the School Board must "renegotiate the funds allocated for these purposes by the fiscal authority with the employee organization before the public school employer makes a final determination...." Under State law, the County funds MCPS in broad statutory categories and does not approve or reject a collective bargaining agreement Therefore, the School Board makes the final decision to fund the economic provisions of a collective bargaining agreement, within the funds appropriated by the Council in each category. For example, last year the Council rejected all of the previously negotiated pay raises for County employees in response to the unprecedented drop in County revenue. In addition, the Council temporarily reduced the pay of each County employee, by imposing furlough days. The Council did not have the authority to require a similar furlough of MCPS employees. Although the Council reduced the Executive's recommended funding for MCPS by approximately $24 million, the School Board refused to furlough its employees to make up for the loss in funding. Instead, the School Board decided to reduce spending in other areas to account for the reduction. ., We recommend that the State Education Article be amended to authorize the Council to approve or reject the economic provisions of a collective bargaining agreement that has been approved by the School Board or awarded by the Public School Labor Relations Board in arbitration. 2. The Maintenance ofEffort Law. Background: The ORC decided to address another major driver of personnel costs for the County that does not directly involve collective bargaining. State law requires each local jurisdiction to fund its school system at a minimum level known as Maintenance of Effort (MOE). The law establishes a formula to determine the threshold funding level, based on emollment and prior year funding. The calculation for local contribution is independent of any other funding, such as state or federal aid. Regardless of any potential changes to other revenue sources, each jurisdiction is required to maintain the level of its local contribution to the school system, adjusted only for emollment. A school system can apply for a waiver from MOE in a given year. If the State finds that a jurisdiction did not comply with MOE, the jurisdiction is not eligible to receive the increase in State education aid for that fiscal year 17 that it would otherwise have received. collective bargaining, it is impossible to reduce the personnel costs for MCPS employees without addressing the MOE law that controls County public school funding. 17 Our research indicates that Maryland has the only law in the United States requiring public school funding to remain at the same level of per pupil spending in the prior year. Although the MOE law is not directly related to - 45PDF Image | Montgomery County Organizational Reform
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