Buyout-limit bill takes first step

Posted: March 07, 2012

HARRISBURG - A bill designed to limit the taxpayer cost of buyouts for public-school superintendents and to expose the terms to greater public view took a first step in the Pennsylvania Senate yesterday in the wake of a couple of heavily criticized payouts.

The bill, approved unanimously by the Senate Education Committee, would require severance packages to be detailed upfront in contracts that are public records. It also would impose caps on the value of buyouts that are negotiated later by school boards and superintendents who agree not to follow the contract.

The bill was spurred by Philadelphia School District Superintendent Arlene Ackerman's $905,000 public buyout last year in Philadelphia, along with buyouts in Allentown and elsewhere.

The caps on negotiated buyouts would limit superintendents or assistant superintendents who leave less than two years before their contract ends to a buyout that doesn't exceed half of the total compensation and benefits due under the remaining contract. Those who leave more than two years before their contracts end could collect up to the equivalent of one year's compensation and benefits.

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