The state publicly rejected an offer from the teachers union Friday, saying it could not "responsibly accept" a proposal that it estimated would cost taxpayers $1 billion over four years.
"It’s obvious there is more work to do to reach a resolution," Schools Superintendent Kathryn Matayoshi said in a news release.
She also called the offer "fiscally unrealistic."
In its response, the Hawaii State Teachers Association accused the state of bargaining in the media and distorting the facts.
"We believe these negotiations will be long and difficult," HSTA President Wil Okabe said in a statement. "When the state required sacrifice over the past four years, teachers gave up more than their fair share to the tune of about $180 million in pay and benefits. This contract is about fulfilling the promise to restore pay cuts, but also valuing and investing in teachers."
The back-and-forth was the latest heated exchange in a labor dispute poised to enter its 19th month.
The Department of Education said the HSTA proposal would have increased teachers’ base pay by 48 percent over four years and delayed implementation of revamped teacher evaluations that take into account student academic growth.
In December the state offered teachers 2 percent annual increases over the next two years, at a total additional cost of $49.2 million.
The teachers union responded with its offer earlier this month.
Okabe said the HSTA proposed 4 percent across-the-board increases for teachers in each year of the four-year offer.
He said the union was evaluating the state’s estimates about the costs of its proposal to "see whether their calculations are inflated or fair."
But he said it appeared the state added into its $1 billion total the price tag for restoring 5 percent pay cuts. It also included the cost of substitute teachers for teacher planning days.
The state and HSTA are scheduled to resume negotiations Wednesday.
"We’re going to continue the dialogue," Okabe said.
Teachers have been without a contract since July 2011, when the state imposed a "last, best and final" offer that included wage cuts and higher medical premiums.
That "last, best" offer is scheduled to expire June 30.