Like many municipalities, the City of Roseville faces a pension problem.
The city’s annual contribution to the California Public Employees’ Retirement System (CalPERS) has become a bigger part of the budget in recent years, said Roseville spokeswoman Megan MacPherson. The city’s contribution was $21.9 million in the 2009-10 fiscal year and $21.7 million in the current year.
City staff is attempting to devise a long-term solution to mounting pension bills as they finalize the proposed budget for the 2011-12 year, which will be presented to Roseville City Council during a workshop Monday, June 6.
“PERS costs are rising in fiscal year 2011-12 by $2.5 million for the general fund,” said City Treasurer Russ Branson. “This is putting budget pressure on the city during a time of declining revenues. The city recognizes the need to control pension costs and is actively pursuing cost-reduction options.”
City Manager Ray Kerridge said this year’s spending plan is shaping up to be a “status-quo” budget. There will be no layoffs, no furloughs and no major cuts to services. Sales tax is up 2 percent over last year and property taxes have stabilized — signs the local economy may be on the mend.