Oxnard Tax Would Cover Pension Costs

Residents may see a 1.4% increase in their property taxes next year to cover new costs to the city’s public safety employee retirement system.

The Oxnard City Council is scheduled today to vote on the increase, which is adjusted annually and is exempt from the 1% tax limitation established by Proposition 13. The city has historically used a portion of the property taxes it collects to pay for its employee pension program.

One of the factors cited for the increased retirement costs was the City Council’s decision earlier this year to approve salary increases for its 179 police personnel. Under the terms of the pay hike, employees will receive a 12% increase in pay during a three-year period.

The pay raises alone will cost the city $1.7 million. But the increased retirement expenses for public safety employees, whose retirement benefits are based in large part on their regular salaries, are more than $3 million, according to city officials.

“If we don’t [approve it], we will have unfunded pensions in the city of Oxnard,” Councilman Dean Maulhardt said. “Yes, I don’t like raising taxes and we are meeting the obligations that were passed into law. It is a very minor increase.”

The meeting starts at 7 p.m.