City officials are asking residents to weigh in on how a potential future surplus from the Sacramento City Employees’ Retirement System (SCERS) could be used to benefit the community.

SCERS, a legacy retirement plan closed to new participants in 1977, currently serves just over 700 retirees and beneficiaries and has only one active employee. All City employees hired after 1977 participate in the California Public Employees’ Retirement System (CalPERS).

As of July 1, 2025, the SCERS plan is overfunded, with approximately $1.10 in assets for every $1.00 in liabilities. City officials say that once all benefits are fully paid and the system no longer has beneficiaries, a surplus could remain.

The City is proactively seeking public input through a community survey hosted on Polco to guide how those funds might be reinvested.

Options include investments in housing, economic development, small business support, homelessness services, public safety initiatives, or allocation to the City’s general fund.

“These funds represent a unique, one-time opportunity, and we want to ensure that any future surplus reflects the priorities and needs of Sacramento residents,” said City Treasurer John Colville.

Officials noted that while any surplus would not be available until all SCERS obligations are fulfilled — a timeline that could extend years into the future — gathering input now allows the City to plan responsibly and transparently.

Residents can participate in the survey online and help inform how potential surplus funds could support Sacramento’s long-term goals.