The New Milford Paraeducators Union has reached an agreement on a new contract with the New Milford Board of Education.

Union members had ratified the successor, three-year contract on Dec. 16 and signed Jan. 7 with the Board of Education.

The contract covers the three-year period from July 1, 2013, to June 30, 2016, and includes a general 2.5 percent wage increase each year of the contract.

There will be an increase in the employees' individual-coverage health insurance premium cost share from 6 to 7 percent in the second year of the contract.

That will be followed by a 7 to 8 percent increase in the third year.

There will also be a plan design change in the second year of the contract expected to result in significant savings, according to Superintendent of Schools JeanAnn Paddyfote's office.

--Susan Tuz