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Council approves utility rate study contract and IT licensing vendor; staff to proceed with procurement

Rexburg City Council · March 31, 2025
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Summary

Rexburg approved a $144,775 contract with FCS for a utility rate study and approved switching its Microsoft licensing to RightSystems (recurring annual contract). The rate study will examine water/sewer rates, capacity fees and water‑rights policy.

At the Nov. 20 meeting the Rexburg City Council approved two staff‑recommended contracts: an FCS utility rate study contract ($144,775) and a Microsoft licensing services contract with RightSystems.

Public Works explained the utility rate study will evaluate water and sewer rates, capacity fees, how the city handles water rights and whether current capacity fee practices should be adjusted to manage long‑term replacement and water‑rights costs. Staff said an outside consultant’s review complements the city’s internal spreadsheets and will provide a formal review of fees and policy considerations.

The council voted to approve the FCS agreement by voice vote after staff explained the scope, which includes potential analysis of water‑rights strategies and capacity fee structures.

Separately, IT Director Todd Smith presented three bids for Microsoft licensing (Softchoice, Idaho state contract NCPA, and local RightSystems) and recommended RightSystems; the council moved, seconded and approved the licensing contract, with staff noting the new arrangement represents a recurring annual cost and is approximately a 4.5% increase over last year’s spending.

Staff said both procurements will follow city procurement rules and return to council with any required contract documents for signature or execution.