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State benefits account for about a quarter of personnel costs; governor recommends more conservative health‑insurance funding
Summary
LFiscal analysts told JFAC that state benefits make up roughly 25 percent of personnel costs, health insurance is the largest single component, and the governor recommended a higher per‑position health appropriation to avoid over‑reliance on reserves.
Legislative staff briefed the Joint Finance‑Appropriations Committee on how employee benefits are budgeted and how those costs affect agency personnel budgets.
Frances Lippitt, a budget and policy analyst with the Legislative Services Office, said benefits typically represent about a quarter of personnel expenditures. Health and dental insurance account for almost half of benefits spending, while variable benefits — including the state pension (PERSI), Social Security, Medicare and workers’ compensation — are…
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