Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Finance topic
No spam. Unsubscribe anytime.
Rexburg council adopts 401(k) Roth option, accepts FY2025 street report
Summary
The council adopted Resolution 2026-02 to add a Roth 401(k) option and several Secure Act 2 updates while keeping the city's 2% match as pretax; it also accepted the FY2025 annual street report showing $9.6 million carryover and a five-year $13.6 million construction plan.
The Rexburg City Council approved changes to the city's retirement savings plan and accepted the annual streets report during its Jan. 7 meeting.
CFO Matt Nielsen asked the council to adopt Resolution 2026-02 to amend the city’s salary-reduction/retirement plan to permit employee Roth 401(k) (post-tax) contributions and to adopt items from the federal Secure Act 2 checklist. Nielsen said the council also established a mandatory cash-out threshold of $7,000 for small account balances, authorized loan options for federally-declared disasters, added a terminal-illness distribution provision, and recommended keeping the city's 2% matching contribution as pretax to preserve vesting rules and avoid administrative burdens. Council moved, seconded and passed the resolution.
On streets, staff summarized the FY2025 annual street report, saying the city carried over roughly $9.6 million at year end (up from about $7.1 million at the start of the fiscal year) mainly because reconstruction work was deferred into the next fiscal year. The report noted reduced state highway and street grant receipts compared with the prior year, about $1.3 million spent on street-maintenance equipment and a five-year list of roughly $13.6 million in projects. Council formally moved to accept the report.
No changes to appropriations were requested at acceptance; staff noted the carried-over funds have been identified against future projects and that construction capacity limits how much can be delivered in a single year.
