The school district and the teachers union in Beverly Hills are calling in a state mediator after they failed to agree this week on wages and benefits for the third year of a three-year contract.
At a meeting Monday, the school district offered to increase the teachers' 1989-90 salary 3.05% and to continue the contract another year with a 5% increase for 1990-91.
The union, the Beverly Hills Education Assn., proposed an 11% raise for 1989-90, or a 20% increase over two years.
Also under dispute is the degree of medical and dental benefits.
"We were extremely disappointed with the (district's) offer," Judy McIntire, president of the union, said Tuesday. She said the district has several sources of money, including a share of a state budget surplus, a nonprofit fund-raising foundation and real estate.
But, she said, she was hopeful that a mediator would help. "I don't think either side has made its last, best and final offer," she said.
A mediation session has been tentatively scheduled for Aug. 28.