On March 17, 2005, Capilano College reached a settlement with its faculty union, FPSE, for a new collective agreement for the term April 1, 2004 to March 31, 2007. Capilano College ratified the settlement on April 5, 2005 and FPSE ratified the settlement on March 29, 2005. The PSEA Board of Directors ratified the settlement on April 15, 2005.

The settlement includes an agreement to incorporate some agreed to items at the MID table and inclusion of some modified MID table items. Several of the key non-monetary items resolved at the MID table include harassment procedures, targeted labour adjustment, educational technology/distributed learning, and international education. Monetary items from the MID table which applies to the Capilano/FPSE agreement are, 0% in Year 1, net 0% in Year 2 that includes a 2% wage stipend offset by cost savings, and 1.5% increase in Year 3 applied as an additional increment step to the existing common grid.

Other local items including changes to bumping procedure, a new LOU on Multi-Location Work, a new LOU on Short Term Disability Premium Reimbursement and Trust Funds, Article 6 to include Reassignment, and other housekeeping changes.