The School District of Lancaster and the Lancaster Education Association (LEA) have reached a new four‑year collective bargaining agreement that maintains competitive salaries, expands planning time for teachers, and updates healthcare benefits to help stabilize rising long‑term costs for the district.
Association members approved the agreement in a vote held April 23, and the School Board ratified the contract at its May 5 meeting.
“This agreement reflects months of thoughtful, good‑faith collaboration focused on what matters most—supporting our educators while addressing the real financial challenges facing our district,” Superintendent Dr. Keith Miles said. “Our teachers are the heart of this school system, and it is essential that we offer compensation and benefits that remain competitive within Lancaster County. At the same time, we share a responsibility to manage rising costs so we can continue investing in classrooms and student success.”
The agreement includes salary increases of 3.5% in each of the first two years, followed by 3.75% in 2028 and 4% in 2029, for an average annual increase of 3.68% over the life of the contract. District leaders noted that this aligns closely with recent salary trends across Lancaster County school districts, while remaining mindful of the district’s ongoing structural budget challenges.
“Today’s signing of the new collective bargaining agreement reflects the shared commitment of the Lancaster Education Association and the school board to support our educators and strengthen our schools,” said Christina Rojas, LEA president and a speech-language pathologist at Washington Elementary School. “This agreement is the result of thoughtful collaboration, respectful dialogue, and a focus on what is best for our students, staff, and community. It also creates the stability our district needs at this time, allowing us to move forward with greater clarity and confidence. We appreciate the partnership that made this possible and look forward to continuing our work together in service of SDoL’s schools.”
In recent years, the School District of Lancaster has faced declining enrollment alongside rising costs for special education services, employee benefits, charter school tuition, and utilities—pressures that have contributed to recurring budget deficits. Salary and benefit costs make up the majority of district expenditures, underscoring the importance of achieving long‑term sustainability through responsible labor agreements.
A significant component of the new contract addresses healthcare, one of the district’s fastest‑growing expenses. Healthcare costs have risen sharply since the pandemic, nearly doubling over the past three years and becoming a major driver of the district’s structural deficit.
To help manage these costs, the agreement modernizes healthcare coverage to better reflect actual usage and expenses. Changes include adjustments to premium structures that shift a greater share of costs toward employee‑only plans, which historically have had significantly lower premiums than family plans. The district will also change pharmacy benefit managers and transition away from direct district contributions to employee Health Savings Accounts (HSAs). Instead, the district will match employee HSA contributions, encouraging individualized, long‑term healthcare savings.
“Healthcare costs are one of the biggest pressures on our budget,” Dr. Miles said. “By working collaboratively with our employees, we identified solutions that help control growth in these expenses without reducing access to care or placing an undue burden on families. This agreement reflects that balance.”
In addition to compensation and healthcare updates, the contract provides increased planning time during the instructional day, one additional personal day, enhanced tuition reimbursement, and expanded leave options for teachers to better accommodate religious holidays.
District leaders emphasized that the agreement supports educator recruitment and retention while aligning with broader efforts to address the district’s long‑term financial sustainability.
More information about the district’s budget challenges and financial planning efforts is available at sdlancaster.org/grow/district-budget.