Council considers pension bonds

Authorization for the issuance of pension obligation bonds goes before the Huntington Beach City Council when it meets tonight (Monday) at 6 p.m.

Like with many other cities and other public agencies, the cost of paying employee pensions upon retirement has risen dramatically in recent months.  Huntington Beach’s total obligation is estimated at $1.35 billion, the city’s account with the Public Employee Retirement System is about $914 million.

Paying to make up the difference out of general funds would result in drastic cutbacks to police, fire, library and community services, according to City Manager Oliver Chi.

He’s proposing that POBs be issued to finance the city’s pension obligation at 3 percent, which could save around $200 million.

The council will also consider ordinances prohibiting the misuse of disabled person placards and license plates and public nuisance abatement of abandoned, wrecked, dismantled or inoperative vehicles.

The council meets in its chambers in the Civic Center, 2000 Main St. (at Yorktown Avenue).