Cheltenham teachers got a new contract. But coronavirus could change the terms.

The deal could serve as a model for other school districts negotiating with unions while facing uncertain budgets.

have a new contract that gives teachers raises, but allows the district to renegotiate in the event of budget trouble." width="650" height="433" />

The Cheltenham school board has approved a new three-year contract with its teachers union that grants raises each year — but with a coronavirus-induced caveat that some say could become more common for school districts in the wake of the pandemic.

If the Montgomery County district’s financial situation worsens, it will be able to reopen the contract — which will cost $3.1 million over three years — under provisions agreed to by the union and approved by the board this week.

Among the circumstances that would trigger a reopening of the contract: if the district’s projected tax collection rate falls by more than 3% from the year before, or if its primary source of state aid shrinks by $300,000. The district’s budget for next year is about $122 million.