Commission tables decision on reopening City of Dickinson Retirement Savings Plan

The Dickinson City Commission on July 15 voted to table consideration of discontinuing participation in the North Dakota Public Employees Retirement System (NDPRS) defined-contribution plan and to reopen and amend the City of Dickinson Retirement Savings Plan.

HR Director Nomenick told commissioners that House Bill 1602 gives the city the option to opt out of the NDPRS DC plan and reopen the city's own defined-contribution (DC) plan overseen by Bravera. She said existing employees in the North Dakota Public Employees Retirement System defined-benefit plans would not be affected and that there would be "no fees assessed to us if we opt out of that NDPRS DC plan." Nomenick described differences in contribution structures: under the city's current DC plan both employee and employer contribute a fixed 7%, while earlier PERS terms required a 4.4% employee contribution and a 5.26% city contribution with optional additional employee contributions that could increase the city's share.

Commissioners asked for more detail on fiscal impacts, including how much the city might save or pay under either option and requested a fact sheet; Nomenick said she would provide a fact sheet and short explanatory videos. Commissioner Frederick moved to table the item until the next meeting; Commissioner Bair seconded. The motion to table passed unanimously.

Nomenick said 12 city employees currently remain in the separate NDPRS DC plan and noted that reopening the city's plan would consolidate employees into one plan and could provide predictable budgeting and greater local control over plan features. She also said the city has an approximate 60-day processing interval from decision to implementation.