A California Superior Court judge has ruled in favor of Oakland in the city’s lawsuit to get back million of dollars of alleged overpayments to retirees in one of its police and fire retirement systems.

The city said in a statement that the ruling will eliminate $3.83 million in annual overpayments to retirees in the Oakland Police and Fire Retirement System, which was closed to new members in 1976.

Also as result of the ruling, the pension system’s board has been directed to recover millions of dollars in past overpayments to retirees since 2008.

The city estimates the pension board overpaid retirees by about $11.5 million since that year when a reduction in compensation was not reflected in pension payments.

Oakland officials said the city will see significant savings in future obligations to the pension system.

“Retirees under this system deserve to be paid what they are owed,” city attorney Barbara Parker said in the Sept. 28 statement. “The purpose of this plan was to pay retirees a decent pension that keeps pace with what current employees make. Unfortunately, the PFRS board refused to correct ongoing overpayments.”

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