The robbery happened Thursday, July 21.
Police say the suspect entered the Arana Insurance office on 921 East Main Street.
They say he demanded money from the victim and threatened to cut him with a circular saw blade.
Police say the suspect swung the blade toward the victim's throat.
Vargas was able to roll backward in his wheelchair and avoid injury.
He then complied with suspect's demand and opened the cash drawer.
The suspect removed a small amount of cash and fled on foot.
Vargas was not injured.
Responding patrol officers located the suspect a short distance from the crime location and was taken into custody.
The weapon and victim's money were recovered.
The suspect is identified as Roque Garcia, 48, from Ventura.