KARNS CITY — There remains no new teacher contract in the Karns City School District after an negotiation session Thursday night.

However, the teachers released their proposal and say it offered "significant movement" from their prior position.

The 125 teachers have been working under the terms of a contract that expired June 30.

According to a statement by the teachers, the five undecided issues are salaries, health care contribution, a payment for non-use of health care, early retirement incentive, and retroactive pay.

The teachers are proposing a 3.95 percent salary increase.

The current average salary in the district is $52,812.

Using the teachers' proposed increase, the teacher making the average salary would make $54,882 in the current year, $57,033 next year, $59,268 in 2011-12, $61,592 in 2012-13, and $64,006 in 2013-14.

The school board proposed a 3.6 percent increase each year.

Under the board's plan, a teacher making the average salary would make $54,713 in the current year, $56,713 in 2010-11, $58,723 in 2011-12, $60,837 in 2012-13, and $63,027 in the final year.

Chris Bells, Karns City teacher and negotiator, said in a statement that the teachers were told to return with another proposal. He said that is unfair.

"We believe the ball is in their court," he said of the school board.

A representative for the school board was unavailable this morning.

Bells said, "We remain optimistic that a fair and reasonable settlement can be reached."