Hermosa Beach, California
Hermosa Beach is a city in California.
- Main article: California government sector lobbying
Hermosa Beach is on the hook for nearly $14 million in unfunded pension liabilities and will face skyrocketing retiree costs that could cripple the city’s ability to provide essential services if changes aren’t made, according to a report released this week. The audit by the county civil grand jury — titled “Whoa! The State of Public Pensions in Los Angeles County” — investigated five public pension plans. The volunteer pool of 23 residents is charged with investigating public agencies to ensure they are being governed honestly and effectively. The report contained no allegations of criminal wrongdoing or negligence. It did note, however, that Hermosa Beach’s contribution level to the retirement funds and health care plans of retired police officers is the highest in the county. Hermosa was the only South Bay city cited.
A Hermosa Beach consultant told council the city will get some relief from its high pension costs within six years. The consultant reported the costs are high in part because it has been paying off a high number of disability-related pensions, which can cost more over time, because the employees often retire at a younger age.
- State-Level Lobbying and Taxpayers: How Much Do We Really Know?, Pacific Research Institute
- The Beach Reporter, Hermosa Beach’s skyrocketing pension costs, July 7, 2011 (dead link)
- Easy Reader News, Hermosa Beach pension costs will decline, March 2, 2012