King County approves three-year health benefits memorandum with unions; raises monthly premiums and county contribution

SEATTLE — The Metropolitan King County Council on Aug. 26, 2025, approved proposed ordinance 2025-0227, a three-year memorandum of agreement between King County and the Joint Labor Management Insurance Committee (JLMIC) covering health-benefit rates and plan design changes for represented and non-represented employees. The ordinance passed unanimously, 9–0.

The MOA covers employees represented by JLMIC bargaining units and the county’s non-represented employees; it does not apply to certain Metro Transit bargaining units or sheriff’s captains/majors. The agreement raises the county’s monthly contribution for employee health coverage and increases some employee monthly premiums and plan out-of-pocket maximums.

Why it matters The agreement determines employee access to health coverage and affects King County’s labor costs and budget planning. Several union co-chairs and county officials described the deal as the product of intensive bargaining amid widely rising health-care costs.

Key terms and fiscal impact - County contribution per covered employee: the county’s monthly contribution would increase to $1,887 in 2026, $1,981 in 2027 and $2,070 in 2028 (figures presented by county staff at the Aug. 26 briefing). - Employee monthly premiums: Regence PPO plan premium would increase to $85 per month; Regence Ahn plan to $70 per month; Kaiser HMO would introduce a $60 monthly premium where none existed previously. - Out-of-pocket maximums: For the Regence PPO, the employee-only out-of-pocket maximum would rise from $1,100 to $2,000 and the family maximum from $2,500 to $4,500. For the Regence Ahn plan, employee-only would rise from $1,100 to $1,500 and family coverage from $2,400 to $3,100. (County staff presented these numbers during the briefing.) - Fiscal impacts: Countywide additional costs were presented as roughly $15.8 million for 2026, $8.8 million for 2027 and $8.3 million for 2028. County general fund impacts were reported in briefing remarks as approximately $4.2 million for 2026, with smaller amounts in subsequent years; the executive will request appropriation authority in the 2026–27 biennial budget.

Union and executive comment Maria Williams, co-chair of the labor side of the JLMIC and a Teamsters 117 representative, said the coalition prioritized maintaining access to benefits: “Healthcare is always at the top, wanting to maintain access to the benefits that they currently have and want mitigate changes to those plans, and make sure that they can continue to rely on those benefits for themselves and for their families.” Michael Gonzalez of Teamsters Local 174 noted the negotiations were especially challenging given rising outside-market costs and said bargaining required attention to plan design and vendor contracts.

County staff summarized the agreement and its scope. Jeff Mumm, King County chief policy officer, explained which bargaining units are covered and said the executive will request the necessary budget authority to implement the MOA in the 2026–27 biennial budget. Sasha Lehi of the county Office of Labor Relations also thanked union partners for reaching a tentative agreement on a compressed timeline.

Vote and implementation The council approved the ordinance unanimously, 9–0. The executive will request appropriation authority in the 2026–27 biennial budget to cover the increased county costs and will work with benefits staff and union partners to implement plan changes for plan years 2026–2028.

What the MOA does not cover The ordinance does not cover ATU or Technical Employee Association members in Metro Transit, nor does it cover sheriff’s captains and majors; those groups remain under separate bargaining arrangements.