Board authorizes public hearing on state 2% bonus for compensation-board-funded positions

County staff told the board the Virginia Compensation Board authorized a 2% bonus for compensation-board-funded positions for FY2026 and that the locality must adopt an ordinance and hold a public hearing to implement it.

Staff explained mechanics: the county pays the bonus and then receives a state tax-credit for the compensation-board-funded portion; if the county wants the bonus to equal a full 2% of employees' full salaries the locality would need to supplement the state portion with local funds (staff estimated an additional $17,621 to make the bonus a true 2% on full salaries). Options presented were to (1) give the state-funded portion only to compensation-board-funded positions, (2) subsidize those positions to a full 2% of actual salary, or (3) extend a 2% bonus to all county employees funded from contingency. After debate about fairness and administrative mechanics, the board voted to authorize the county administrator to advertise a public hearing on the option that would apply the Compensation Board subsidy to compensation-board-funded positions (state portion only) and to return with public comment and final recommendation.