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Yesterday, the Port Authority of Allegheny County agreed on a new three-year contract with Amalgamated Transit Union Local 85, which represents 2,300 port authority light-rail and bus operators and mechanics.

Retroactive to July 1, 2005, the contract includes an annual 3 percent wage increase beginning in January, and requires all employees to contribute 1 percent of their base pay toward health-care costs and provide higher co-pays for prescription drugs and medical appointments.

The previous contract between the authority and union expired July 31.