County Budgets 5% Raises for Non-Union Staff as Insurance Costs Loom

Montgomery County Board Meeting | May 12, 2026

Article Summary: The Montgomery County Board on Tuesday, May 12, 2026, unanimously voted to budget 5% wage increases for non-union county employees in FY2027, a decision made against a backdrop of health insurance renewal estimates running 30% to 40% higher.

FY2027 Wages Key Points:

• Three union contracts already require 5% wage increases in FY2027.
• The county’s health insurance loss ratio is currently running at 127%, though trending down.
• Renewal numbers should be available in early September, with a final decision expected at the October meeting.
• Budget hearings were tentatively set for Aug. 18-19, beginning at 8:30 a.m. each day.

MONTGOMERY COUNTY — The Montgomery County Board on Tuesday, May 12, 2026, voted to budget 5% increases for non-union county employees for FY2027, matching the raises already locked into the county’s collective bargaining agreements.

Finance & Budget Committee Chairwoman Connie Beck said the committee continued a discussion begun last month to recommend FY2027 wage increases for county employees not covered by collective bargaining. Three union contracts currently in place require 5% wage increases in FY2027, and health insurance premiums are expected to increase substantially in FY2027, which may impact employee contributions.

Beck moved to budget the increases, with a second from Patty Whitworth. All voted in favor.

The Finance & Budget Committee had been working toward the recommendation for two months. At its April 9, 2026, meeting, the committee received information from the UCCI Salary Study as well as information on county collective bargaining agreements for 2027, and requested time to review for a month. Earlier, at the March 26 Coordinating Committee meeting, Donaldson asked the committee to consider salary adjustments for certain county positions.

Insurance Renewal the Larger Question

The wage decision lands as the county braces for a health insurance renewal that could reshape its personnel budget.

Development & Personnel Committee Chairman Chad Ruppert said Tony Johnston of Assured Partners Gallagher told the committee that because of skyrocketing insurance costs, renewals have called for between 18% and 28% increases. He said with Montgomery County’s loss ratio currently running at 127% — although it’s trending down — the board could anticipate a renewal quote with an increase of 30% to 40%.

Ruppert said renewal numbers should be available in early September, and the board should anticipate making a final decision at the October meeting.

A related personnel question was also deferred to the budget process. Ruppert said Sheriff Tyson Holshouser requested another full-time jailer and moving a part-time jailer to full-time. The committee discussed options for the 708 Board and 911 helping with costs and deferred to the Finance & Budget Committee as to whether any of the requested staff can be added in FY2027.

The Development & Personnel Committee recommended approval of the Montgomery County Compensation Administration Program at its April 6 meeting, after reviewing Bushue HR policies for starting salary and merit-based increases and asking County Board Administration to send them out to department heads.

The Finance & Budget Committee tentatively set budget hearings for Aug. 18-19, beginning at 8:30 a.m. each day.