S.B. 8 State Agency and Higher Education Compensation Appropriations

What this bill does

This bill appropriates money for state employee pay and benefits for fiscal year 2026, including a 2.5% labor market pay increase for state and higher education employees and a similar increase for judicial branch and constitutional offices. It also funds health and retirement rate changes, a 401(k) match of up to $26 per pay period for qualifying state employees, and benefit changes made by SB 22 from 2025.

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Every vote

• 24 yes, 5 noFinal Senate vote · Mar 3, 2026Who voted how
• 67 yes, 1 no, 7 absentFinal House vote · Mar 4, 2026Who voted how

Hearings and debates

• Mar 3, 2026 Senate floor debate▶ Watch
  Transcript (16 turns)

  1. Senate President (presiding)1:05:28

     and body, um, Senate bill eight and adopt first substitute Senate Bill eight. Thank you. You wanna explain the substitute?

  2. Sen. Scott D. Sandall1:05:37

     Yeah, this bill provides appropriations related to state employee compensation adjustments and, uh, makes other technical changes. Uh, I can present the whole bill now or, Okay. No thank you. Let's

  3. Senate President (presiding)1:05:48

     go ahead and place the substitute. Do you have discussion on the motion to substitute scene? And I'll place the motion. All in favor say aye. Aye. Any opposed? The motion passes. The bill is substituted. Now you can explain the bill.

  4. Sen. Scott D. Sandall1:06:00

     Okay. So, uh, this bill as substituted provides appropriations related to state employee compensation adjustments for fiscal year 2026. This bill makes supplemental appropriations of 8 million across all funding sources, including reductions of 290,100 from general fund and 1.3 million from income tax fund for fiscal year 2027. This bill appropriates 194.9 million across all funding sources including 133.5 million from general fund and income tax fund. The funding mix of for these appropriations includes statutory federal regulatory and non statutory exemptions as approved by E-A-D-E-A-C in December. Some the summaries of this bill, some of the highlights. This bill provides funding for a 2.5% labor market increase for state employees and higher education employees. This bill also provides funding equivalent to a 2.5% labor market increase for employees of the judicial branch and constitutional offices. It provides funding for health and benefit cost changes as recommended by the public employee health programs for state employees. It provides funding for retirement rate changes as recommended by the Utah Retirement Systems. It provides funding for an up to $26 per pay period 401k match for qualifying state employees. And finally, it provides funding for benefit changes made by SB 22 in the 25 general session. With that Mr. President, I'm open for questions.

  5. Senate President (presiding)1:08:02

     Thank you for the presentation. Going to Senator Blouin for discussion.

  6. Sen. Nate Blouin1:08:07

     Thank you. Yeah, I'd like to make a motion to amend, uh, first substitute Senate bill eight, I think it's Senate Amendment one

  7. Senate President (presiding)1:08:13

     Motions in order. You

  8. Sen. Nate Blouin1:08:14

     wanna explain the, the amendment? Yeah. So this amendment, uh, would increase the compensation for employees of the University of Utah from 2.5% to 8%. Uh, the university has not received pay for performance funding increases and the purchasing power of university employees has gone down as a result due to the rapid increases in cost of living within Salt Lake County, uh, this would help restore university employees purchasing power and $113 million of this increase would come from the income tax fund. So I believe that's similar to the amount that we are proposing in a, in a tax cut from the income tax fund.

  9. Senate President (presiding)1:08:54

     Okay. Thank you Senator Sandall to the motion to amend.

  10. Sen. Scott D. Sandall1:08:57

      Thank you. I would resist this motion. Uh, the University of Utah Compensation package was included last year and again this year at a rate that's equal to the rest of our state employees and across the state in our university system. This would imbalance in a great way, uh, the compensation package only at one university.

  11. Senate President (presiding)1:09:18

      Thank you. Do we have discussion on the motion to amend? See no further discussion. I'm gonna go ahead and place the motion. I in favor say aye. Aye. Those opposed No Rule. The motion fails Back to the bill. Further discussion on the bill. Say no further discussion. Do you Senator Sandall summation and a motion.

  12. Sen. Scott D. Sandall1:09:42

      Thank you. I would move that under suspension of the rules. First substitute Senate Bill eight pass.

  13. Senate President (presiding)1:09:47

      Thank you. And the question is, under suspension, the role shall first subject Senate Bill pass Roll call vote.

  14. Senate clerk (roll call)1:09:52

      Senator Vickers Baldy Lewin Bramer plus Cullimore Escamilla Fillmore Grover Aye. Harper Kinins Ipson Johnson k Juab McKay Mikel Milner Musselman Owens Pitcher Plum Rebe Sandal Stevenson Stratton Vickers. Weiler Aye. Wilson Winterton Aye. Millard Milner. President Adams Aye. First substitute Senate Bill eight.

  15. Senate President (presiding)1:11:02

      Having received 24 yay votes, five nay votes, zero being absent, passes this body and will be sent to the house for their consideration.

  16. Senate President (presiding)1:11:29

      All in favor say aye. Aye. Any opposed? Will the motion passes. The bill is

• Mar 4, 2026 House floor debate▶ Watch
  Transcript (6 turns)

  1. Reading Clerk29:38

     of the president, Madam Reading Clerk First substitute Senate Bill eight State Agency and Higher Education Compensation appropriations by Senator Sandall.

  2. Speaker (presiding)29:48

     The House sponsors Representative Brooks Representative Brooks.

  3. Rep. Walt Brooks29:53

     Good morning, Mr. Speaker. This bill provides appropriations that are related to the state employee compensation adjustments. So give you a summary. It provides a 2.5% labor market increase for state employees and higher education employees. Uh, 2.5% marketed increase for judicial branch and constitutional offices. It provides health and benefit, uh, cost changes as recommended by the Public Employees Health Program. Um, it funds the retirement changes that we have in our system by URS and it also provides funding for the 401k match and it also provides funding for the benefit changes made by SB 22, which is the state employee benefits amendments. So with that, I'm open to any questions.

  4. Speaker (presiding)30:39

     Thank you, Representative Brooks. Discussion to the bill. Seeing none. Back to Representative Brooks for summation.

  5. Rep. Walt Brooks30:47

     Waive. Thank You. Summation is waived.

  6. Speaker (presiding)30:49

     Voting will now be open on first substitute SB Representative. Teuscher, would you like to vote? See now, president having voted voting is now closed. First substitute SB eight passes this party with 66 votes. 1 67 yes votes one no vote will be sent to the Senate for the signature of the president, Madam Reen, clerk