Idaho Bills

Amends existing law to revise a date and to remove a sunset provision regarding the reemployment of certain retired members.

This legislation permanently removes the sunset provision in Idaho Code §59-1356(5) that restricts retired employees from returning to work. By eliminating this expiration, we can continue to employ PERSI retirees without any negative effect upon the PERSI system, can continue to rely on experienced employees to address ongoing shortages, especially in high-need areas, without increasing retirement system costs.

Amends existing law to revise provisions regarding qualified pre-tax contributions and investment earnings and certain qualified Roth contributions and investment earnings.

This legislation amends Idaho Code §59-1308(9) to replace “after-tax contributions” with “Roth contributions and investment earnings” to align with IRS regulations regarding the type of after-tax contributions referred to in this section. It also adds references to IRS code sections 401(a) and 402A to complement existing reference to 401(k). Additionally, it adds “as now in effect and as hereafter amended” to maintain reference to IRS code if future amendments to IRS code occur.

Amends and repeals existing law to remove obsolete language.

To ensure that state laws are streamlined, up-to-date, and essential for the citizens of Idaho, while best serving the public health, safety, and welfare, the Legislature approved the Idaho Code Cleanup Act, H 14 in the 2025 legislative session. Submitted sections of Idaho Code were reviewed for repeal consideration by the Department of Government Efficiency (DOGE) Task Force on the criteria of obsolete, outdated, and unnecessary. This bill repeals or updates 14 sections of Idaho Code in Title 59 and Title 33 relating to the Public Employee Retirement System (PERSI). These sections have become outdated or duplicative with other (newer) provisions now providing guidance on retirement matters, especially with cities.

Amends existing law to provide for a retired member who is appointed to an elective public office.

Under current law, an individual who is receiving an unreduced retirement benefit pursuant to Idaho Code § 59-1346 and who has been retired for more than six months may again become employed as a result of being elected to a public office—other than an office held prior to retirement—while continuing to receive a Public Employee Retirement System of Idaho (PERSI) retirement benefit. During such employment, the individual does not accrue additional service credit, and no employee or employer contributions are made. This legislation expands that provision to include individuals who are appointed to an elected office, allowing them to continue receiving a PERSI retirement benefit under the same conditions, as if they were elected to the office. Individuals appointed to an elected office are required to run for that office at the next general election. As a result, the maximum duration this provision could apply to an appointed individual is approximately two years. If the individual is elected, they may continue to receive the PERSI benefit as allowed under current law. If the individual is not elected or chooses not to run, the provision would no longer apply. It is anticipated that this change would affect one to two individuals per year.