City of San Luis Obispo to host informational session on budget - KSBY.com | San Luis Obispo and Santa Barbara Area News

City of San Luis Obispo to host informational session on budget gap

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The city is inviting members of the community to participate in an informational session regarding the budget gap. 

The budget gap is projected at $8.9 million. At the meeting, they will discuss what that means for San Luis Obispo and possible solutions to balance the budget more efficiently in the future.

San Luis Obispo is part of the CalPERS public employee pension fund, along with several other members in the state. Pension costs for the program are increasing and causing financial challenges for its members. 

For San Luis Obispo, annual costs for CalPERS will more than double in 10 years, from $7.8 million in 2014-15 to $19 million in 2024-25. 

City representatives say they are committed to being financially responsible for the community. 

City Manager Derek Johnson said, "Because we are legally required to meet the CalPERS costs, we must find ways to offset those increases. By acting now, before the gap reaches to its fullest state, we can be more strategic in adjusting our budget."

The $8.9 million reduction target represents $7.5 million from the General Fund and $1.4 million from the City's Enterprise Funds, including Water, Waste Water, Transit and Parking. 

That session is scheduled for Thursday from 6 p.m. to 8 p.m. at the Ludwick Community Center and is open to the public. 

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