Committee approves Pay Act H.950 to fund 5.9% (FY27) and 4.9% (FY28) salary increases, plans to include funding in budget

The House Appropriations Committee on March 24 reviewed and voted to approve H.950, the Pay Act, which would appropriate money to fund negotiated salary increases for state employees across the executive, judicial and legislative branches for fiscal years 2027 and 2028.

Brynn Hare, director and chief counsel of the Legislative Council, told the committee that section 1 of H.950 implements the collective bargaining results: for fiscal year 2027 employees receive a 1.9% average step increase plus two scheduled increases (2% in July and another 2% in January), for a total 5.9%; fiscal year 2028 applies a 1.9% step increase plus 3% for a 4.9% total. "It authorizes funds for executive, judicial and legislative branch employees to ensure that their negotiated salary increases are funded for 2 fiscal years," Hare said in her presentation.

Hare explained the bill is permissive for exempt employees: section 2 allows branches to extend collective bargaining provisions to exempt staff as budgets allow, and section 3 directs that any governor-approved adjustments for executive-branch…