Education Support Staff Union reaches tentative one-year contract with school district

FAIRBANKS, Alaska (KTUU/KTVF) - The Fairbanks North Star Borough School District and the Education Support Staff Association (ESSA) have reached a tentative one-year contract for the 2026-27 fiscal year, according to the district.

The agreement still requires a ratification vote from ESSA members before it takes effect.

The one-year deal would use one-time funding from the Alaska State Legislature, according to the district. It includes a $1.50 per hour increase to the 2025-26 ESSA salary schedule, a one-time payment of $2,500 for eligible employees prorated based on full-time status, and an increase to the district’s health insurance contribution to $2,818 per month for Plan B and Plan C starting Jan. 1, 2027. District contributions to Health Savings Accounts and Health Reimbursement Arrangements would continue at $750 for the 2027 plan year.

The agreement would run from July 1, 2026, through June 30, 2027, said ESSA President April Johnson.

District perspective

In a statement, Superintendent Dr. Luke Meinert said the agreement lets the district use state legislative funding to invest directly in staff.

“This agreement allows us to use funding we received from the Legislature to invest directly in our staff through a meaningful long-term raise, lower health insurance premiums, and a one-time stipend to help with immediate increases in everyday expenses,” Meinert said. “It is a strong investment in the people who do so much every day to support our students and keep our schools running.”

Union president says deal offers immediate relief

Johnson said the one-year agreement was designed as a stopgap after a contentious bargaining process, largely driven by a proposed 81% increase to health insurance premiums.

“Being self-insured, the district is able to have a heavy hand in how premiums are set, and them rolling out an 81% increase to premiums was shocking to my membership,” Johnson said. “So, we really, really needed to find something to alleviate that.”

Johnson said members are already feeling the effects of high health care costs.

“I’ve had members tell me that they found that saying they don’t have healthcare and working with the sliding scale at their provider results in cheaper cost for them, which if you’re offering healthcare, that shouldn’t be the case,” Johnson said.

Johnson said the one-time $2,500 payment will help members cover rising costs, including heating fuel, though it won’t fully offset inflation.

Teachers union still at the table

The Fairbanks Education Association (FEA), which represents teachers, is still negotiating its own contract and is considering either a one-year or three-year agreement, according to FEA President Danette Peterson.

“FEA’s bargaining team is still very interested in negotiating either a one-year contract similar to ESSA’s or a three-year contract, which is what we had initially proposed,” Peterson said. “We are looking for compensation that is commensurate with the cost of inflation and competitive with other districts.”

Peterson said the union is also looking at alternatives to the district’s self-insured health plan.

“We believe that the best option on the table at this point is public health trust, which would save the district millions of dollars as well as provide employees stability in the premiums that they pay with lower deductibles and out-of-pocket maximums,” Peterson said.

Open enrollment for district health insurance runs from Oct. 1 through Oct. 31, placing increased interest in resolving an agreement according to Peterson.

FEA members currently face steep premium increases under the district’s health plan starting Jan. 1, and Peterson said the union would seek retroactive compensation for those increases.

If FEA and the district cannot reach an agreement, Peterson said the next steps would be mediation, followed by non-binding arbitration.

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