The deal is expected to save the district $600,000 in the first year because of health insurance concessions by teachers.
There would be no across-the-board pay increase in the first year, but raises of 1.5 percent in the second year and 2.25 percent in the third year.
Teachers would be allowed to catch up on longevity step increases, though not fully, under the deal, which would be their first in several years.
Voters will act on the budget at Town Meeting on March 12. The school deliberative session is Feb. 8.