A $400,000 buyout program for certain employees may be the City Council's answer to the $3.2million budget gap for the fiscal year beginning in July and the $4million deficit expected the following year.

Thousand Oaks will offer $20,000 in a retirement health savings account to 20 employees over age 50 who've worked for the city for at least 15 years.

On March 10 the council voted to appropriate up to $400,000 for the retirement incentive offer from various funds in the 200910 budget.

If all 20 employees take the buyout offer, the city will save about $3.6 million over the next two fiscal years—$1.6 million the first year and $2 million the next, human resource director Connie Hickman said.

Those who take the buyout must agree to do so by April 30 and retire by Dec. 31.

If a position vacated by retirement under this plan must be filled, the city will give priority to inhouse promotions or transfers. By doing this the city plans to freeze one position per retirement, either by not filling the retiree's position or by freezing the position of the person who replaces the retiree.

—Nancy Needham