Last night's vote by members of the Buffalo Teachers Federation may have widespread repercussions.
Union members rejected the state's demand that BTF President Phil Rumore sign a new agreement on a teacher evaluation system.
Without the plan, the state says it will not issue over $5 million in funds for the city's lowest-performing schools.
District officials say layoffs may be necessary without the funds.
Earlier this week, Johns Hopkins University threatened to back out of a partnership with Lafayette and East High Schools if a teacher evaluation plan was not approved.