Pleasant Grove proposes 401(k) match criteria, scales PR plan to save roughly $48,000
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Summary
City staff proposed a 401(k) employer match with eligibility rules and a two‑year vesting period and recommended replacing a planned full‑time PR hire with expanded contract hours for the existing contractor to save about $48,000 in the budget.
City staff presented two personnel and budget items to the City Council on Tuesday: a proposed city 401(k) match policy with eligibility and vesting rules, and a revision to a planned public‑relations position that would rely more on contract services.
On the retirement proposal, city staff (unidentified) said new employees would be ineligible for the 401(k) match while on probation: six months for general employees and one year for public‑safety employees. The city also proposed excluding a small number of employees who already receive a pension from the Utah Retirement System from the full match (described in the discussion as "double dipping") and setting a two‑year vesting period. "If somebody starts fresh, 6 months probation before they can contribute, then a 2 year vest would be 2 and a half years," city staff said. Staff said about a hundred employees would already be vested or eligible under the proposed approach.
On public relations, staff proposed eliminating a planned full‑time PR hire (previously estimated at roughly $60,000) and instead increasing contract hours for the city’s current PR contractor, Lisa Flinders, from about 60 hours per month to about 80 hours per month. Staff said the increased contract would cost about $12,000 annually and would preserve most core communications work while saving about $48,000 in the base budget. City staff also described a content‑creation role tied to special events and said the contract PR person would participate in the executive staff meeting every two weeks to coordinate messaging.
Staff also announced the city has hired a new Assistant II who will begin May 5; staff said the new hire will participate in monthly PR coordination meetings with the contract PR person and the city manager. The new Assistant II was identified in the meeting as currently employed in a similar role in Lehi and will be introduced to council on May 6.
Why it matters: the retirement policy sets eligibility and vesting rules that affect employee benefits and long‑term costs. The PR staffing change shifts work from a full‑time city hire to an expanded contract, producing near‑term budget savings while maintaining an outreach function built around the contract PR person and a new Assistant II.
Next steps: staff will incorporate the 401(k) language into budget documents for council review and will return to the council with the new PR work plan and anticipated contract amendment; the new Assistant II will be introduced at the May 6 council meeting.
