The Pella City Council approved union contracts with electric and public works employees at their meeting this week.
City Administrator Mike Nardini says workers in both departments will see a 2.5% salary increase in each of the next three years, which is similar to other Iowa communities. The council also approved a change in health care providers, which Nardini says will save the city close to $65,000 annually moving forward. They initially voted to withdraw from the Iowa Governmental Health Care Plan in March and city employees will now be part of the Iowa Community Trust.