The Morning Report
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The city of San Diego has two pending retirees who earn above the $13,000-a-month cap that the IRS sets in its tax code.
Earlier this month, we wrote a story about a number of issues that threatened to jeopardize the San Diego City Employees’ Retirement System’s compliance with IRS tax code. One of them: the fact that some retirees are slated to make above $13,000 a month.
After the story ran, a number of people wanted to know who was receiving above that level and how much they were receiving – something we weren’t able to get from the retirement system while researching the original story. Today we got a Public Records Act request back from SDCERS that says:
- There are two city employees currently enrolled in the DROP program who are earning above the threshold. (In the DROP program, city employees agree to freeze their salary for pension-calculation purposes up to five years before retiring. In exchange, the pension system pays them a pension while they continuing working, accruing the retirement funds and interest in an account that can be accessed at the time of retirement. An employee entering DROP must retire within five years of doing so.)
- It is SDCERS policy to protect its member’s financial information, but because one of the member’s names and pension information had already been published, it would release the information for one of the two members.
- Eugene Gordon, a longtime city attorney, is slated to earn $13,568.89 monthly upon retirement.