BELLBROOK – The Sugarcreek Board of Education approved a three-year contract with its teachers union Wednesday, Oct. 1, but warned that the contract would have economic ramifications on the district.

The new contract was approved by a 4-0 vote, with board member Dr. Tim Anderson absent.

The deal calls for 3 percent raises for this school year and the 2009-10 year. If a levy with additional money passes in those years, the raise in the final year would be 3.5 percent. If no such levy passes, the third-year raise would be 2 percent.

There were no cuts in medical insurance benefits, and a cut (from 100 percent to 90) in dental coverage, according to teachers union president Mary Ambrose, who said her membership voted 91-1 in favor of the contract.

"We offered what we thought was a very fair salary increase and benefits, certainly deserved and competitive with other school districts," Superintendent Keith St. Pierre said.

But St. Pierre and board members said the contract and rising costs of things like fuel and insurance would require some cuts for next school year, even if the schools' 0.5 percent earned income tax measure passes in November.

"We cannot afford to pass this contract unless we make some sizable budget cuts, which may include up to three or four staff members in the district," board member Dr. John Harmeyer said.

District treasurer Kevin Liming said roughly $150,000 in cuts would be necessary even if the earned income tax passes, because it takes 18 months after passage of an EIT for the revenue to be collected.

The district, which has already cut $750,000 from this year's budget, has estimated it would have to cut close to $1 million from its budget if the earned income tax measure fails in November.

The contract agreement with the teachers ends a several-month struggle.

The teachers' previous contract expired June 30. The school board, the union and its parent body, the Ohio Education Association, worked with a federal mediator in the past two months to resolve outstanding issues, with the teachers continuing to work under the terms of the expired contract.

"It was a lot of hard work, and we all came together at the end," Ambrose said. "Our union membership has increased this year, and they were all pleased. This is maybe the best contract we've had in a long time."

• Support staff pending: The school district still does not have a contract with its support staff. St. Pierre said both salary and benefits are among the key issues with those employees.

The school district and the support staff are meeting with a federal mediator today, Oct. 2.

Contact this reporter at (937) 225-2278 or jkelley@daytondailynews.com.