San Antonio officials present FY2026 pay-and-benefits options; council members signal support for 2% plan

René Fridira, director of Human Resources for the City of San Antonio, presented proposed pay and benefits changes for fiscal year 2026 during a Sept. 10 budget work session, outlining multiple scenarios for raises and describing the city’s employee benefit structure.

Fridira said the city’s employee benefits fund totals about $252,000,000, of which roughly 94 percent (about $237,000,000) is earmarked for medical claims; the remaining roughly 6 percent would cover departmental operations related to benefits. She told the council the proposed package includes paid holidays and vacation accruals for new hires, student‑loan repayment and other workplace supports intended to attract and retain employees.

The proposal included three primary compensation options: a baseline 2 percent across‑the‑board increase citywide (estimated at about $13,000,000 across all funds in the presentation); a 3 percent across‑the‑board alternative (presented with a roughly $19,000,000 all‑funds cost); and a third alternative described as a 2 percent across‑the‑board increase coupled with a $750 base adjustment intended to address pay compression at lower salary ranges. Fridira said the city also proposes a 4 percent adjustment for San Antonio police officers effective April 2026 under the plan presented.

Fridira said the compensation study that informed the proposal surveyed more than 900 job titles and found that employees with 10 or more years of service in some titles were paid below competitive market ranges; the compression alternative is meant to move entry and lower‑paid workers closer to midrange pay. She described an intent to preserve prior compression gains and to consider further adjustments in future years “while we can do so financially.”

Councilmembers who spoke after the presentation repeatedly cited support for the 2 percent option or the compression alternative. Councilmember Castillo Anguiano said she “completely support[s] option 2,” and several other councilmembers voiced appreciation for the package and for efforts to protect city workers’ cost‑of‑living. Mayor Jones thanked staff for the work and said the city is “committed to being an employer of choice.”

Fridira and budget staff also described the employee health‑plan design. Civilian employees pay premiums for three plan options administered by Blue Cross Blue Shield; Fridira said police and firefighters receive city‑paid coverage. Staff warned that increases in premiums would affect take‑home pay, and they said open enrollment for plan changes closes Oct. 12.

The presentation included workforce and program details the city said would be preserved under the proposed budget, such as tuition‑repayment use cases and parental leave examples highlighted in staff slides. Fridira emphasized outreach plans to help employees select lower‑cost equivalent coverage during open enrollment.

No formal motion or council vote on compensation was recorded in the session transcript; councilmembers asked staff follow‑up questions and members signaled support for the proposal options presented. Staff said additional detail and departmental breakdowns would be provided in subsequent materials and future meetings.

Fridira and Freddie Martínez, Assistant Director for the Office of Budget, told the council staff would return with follow‑up materials and totals for identified savings and efficiencies that staff said exceed $8,000,000.

For now, the presentation established options the council can include or modify as the FY2026 budget process continues.