The Port Authority and one of its unions have reached agreement on provisions for a new four-year labor agreement but the agency rejected a fact-finder's recommendation for another group of workers.

The board voted 7-0 to accept a fact-finder's recommendations for its police union, the agency's smallest organized group, with one bargaining unit representing seven sergeants and lieutenants and the other representing 36 patrol officers.

The recommendations include a 14¹/₂-month wage freeze, followed by wage increases that average less than 2 percent a year. The police are to continue receiving the same pension and health care plans as about 300 nonunion employees.

Members of the Port Authority Transit Police Association accepted the fact-finder's report about a week ago. As a result of the board's decision, it will serve as the basis for finalizing the new contract.

Board Chairman Jack Brooks said the new contract will provide opportunities for the financially troubled transit agency to control costs in two areas where they have escalated the most: pensions and health care.

He said that acceptance "clearly demonstrates the value of the fact-finding process and is a good example of how the Port Authority and its labor unions can come to terms on responsible new collective bargaining agreements which will enable the authority to control its costs without negatively impacting our customers."

Also yesterday, by the same 7-0 margin, the board rejected a fact-finder's report covering 187 first-line supervisors who represent a separate bargaining unit of the main union, Local 85, Amalgamated Transit Union, covering 2,300 bus-trolley operators, mechanics and other hourly workers.

The supervisors include garage foremen, route foremen, instructors and dispatchers, who also have rejected the recommendations made by the neutral third-party fact-finder Robert Gifford, a State College attorney.

Board members and authority officials previously have said Mr. Gifford's proposals do not provide the cost savings that the agency needs, especially in health care and pension benefit programs.

Local 85 President-Business Agent Patrick McMahon and authority Acting Chief Executive Officer Dennis Veraldi have talked by phone. In addition, the union's and board's negotiators are meeting for direct talks again.

As a result of rejecting the fact-finder's report, Local 85 has the right to strike, a move that would seriously disrupt operations at a time when ridership has risen to the highest level in 41 months. However, the union has given no indication about taking such action, unlike colleagues in Philadelphia, where the union has announced an Oct. 31 walkout.