Council Adopts Steps to Reduce Plaza Debt

With loans taken out to build the Civic Arts Plaza still hanging over city finances, Thousand Oaks City Council members have adopted a series of measures to reduce that debt.

Together, the measures approved Tuesday by a majority of the council will raise about $13 million.

The revenue will go to several of the city funds that were tapped to help pay for the plaza. In June 1994, the city helped complete the plaza’s financing by approving $13 million in loans from various city funds. According to a report by Finance Director Robert S. Biery, the outstanding loans, plus interest, now total $13,552,255.

One debt-reduction step entails refinancing city Redevelopment Agency bonds. Another involves using money from a fund designed to ensure the viability of such bonds.

Although council members agreed on several of the measures, they split over whether to declare one loan, from the capital fund, an outright expenditure that would not need to be paid back. Councilwoman Jaime Zukowski said the money was not intended as a gift and should be repaid. But Councilman Michael Markey said that since the capital fund is intended to finance capital improvement projects, such as new buildings, the money could legitimately be used for the plaza.

That measure was among those approved in the package.