Local Pension Fix with Sales Tax. Independent Actuary Support. 3 Key Points.

Where: Jacksonville FL

How does the sales tax for pensions work? 1/2 cent sales tax to defer city pension contributions until 2030

What benefits are there to city revenues?

• From 2018 through 2034, the city would spend $857 million less on contributions to its three pension plans
• From 2035 to 2049, the city would spend $2.37 billion more in pension contributions with estimated 1/2 cent sales tax increase revenues being $2.5 billion from 2031 to 2049
• For accounting purposes, the City could use the future sales tax revenue on the current books to offset liabilities

Alternatives to the sales tax increase? property tax increase

Jacksonville | Report on proposed pension fix gives ammunition to supporters and opponents of sales tax