Albany Approves $860,000 in Employee Bonuses

The one-time payments of $500 to $1,000 cover roughly 1,070 city workers in place of a cost-of-living raise.

Updated on Nov. 6, 2026 in Jobs — General

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Albany's City Commission unanimously approved one-time employee bonuses of $500 to $1,000, totaling about $860,000, instead of a cost-of-living raise for 2026-2027. AI Illustration. Upload story photo >

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The Albany City Commission unanimously approved one-time bonuses of $500 to $1,000 for city employees, totaling an estimated $860,000. The commission declined to provide a cost-of-living adjustment for the 2026-2027 budget year.

Why it matters

With no cost-of-living adjustment in the new budget year, the one-time checks offer employees a direct payment instead. The city also ties the payments to a health and workplace safety initiative intended to reduce costs for workers' compensation, health insurance and general liability.

The estimated $860,000 in bonuses is funded by $490,000 from the general fund and $257,000 from utility funds, against annual city spending of $26 million to $27 million on workers' compensation, health insurance and general liability. Whether the workplace safety initiative will reduce those costs over time has not been determined.

The players

Terrell Jacobs

Albany City Manager who recommended the one-time employee payments to the city commission.

Albany City Commission

The governing body of the city of Albany that unanimously approved the bonuses and declined a cost-of-living adjustment for the 2026-2027 budget year.

The details

City Manager Terrell Jacobs recommended payments of $500 to $1,000 to city employees. Employees earning under $50,000 receive $1,000, those earning $50,000 to $80,000 receive $750, and those earning over $80,000 and part-time employees receive $400.

Timeline

  1. July 1: The 2026-2027 budget year began without a cost-of-living adjustment.

  2. Nov. 20: Employees receive the bonus checks.

Market Landscape

Cities that skip cost-of-living adjustments in annual budgets often turn to one-time payments to retain staff without adding to recurring salary costs. Albany's approach places it in that pattern, using a safety initiative to tie the payments to measurable savings.

Albany city employees earning under $50,000 receive $1,000, while those earning $50,000 to $80,000 receive $750 and part-time or higher-paid staff receive $400. The payments are one-time and do not change base salaries.

The takeaway

Public employees should weigh one-time bonuses against the absence of a recurring cost-of-living raise when assessing their total compensation. Watching whether the city's health and safety initiative lowers its insurance and liability costs over the coming budget years will show whether the savings reach workers.

Further reading

Find more on Jobs — General coverage affecting public-sector pay.

Source note: This article includes information reported by Albany Herald.

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