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SHENENDEHOWA, N.Y. -- Shenendehowa School District officials and the teacher's union have reached a new, three-year contract. This deal is expected to save the district roughly $800,000.

Both parties agreed to changes in health insurance plans and a gradual increase in employee contributions. The new contract is in effect through June 30th, 2014, and is retroactive to the old one, which expired in July 2011.

Under the 1982 Triborough Amendment to the Taylor Law, teachers had been covered under the old contract until this new deal was reached.

Back in May, voters approved a $151 million budget for the current school year.

Superintendent Oliver Robinson released this statement: “This was a fiscally conservative agreement that was fair and equitable to the teachers and to the taxpayers. We appreciate the efforts made by all parties to reach an amicable solution in these tough economic times.”