Silverstein, Stewart to oppose Malibu disaster bond district Play

Borrowing money for projects today, against tax revenue going in tomorrow, is a bad idea.

That's the opinion of two city council members as they hashed over a proposal from the city's bond consultants.

The consultants' idea was to create a special Malibu Disaster Area Tax district from the Malibu fire disaster zone. Taxes would not be raised, but the disaster district could sell bonds to finance major capital improvements — things like new water tanks, road repaving and fire safety projects. Long-term expenses.

The idea was that increasing the value of private houses in eastern Malibu would result in more tax revenue, and the increase could be used to pay back the bonds.

Bad idea, said council members Bruce Silverstein and Doug Stewart. They are going to recommend that their colleagues reject the concept when it comes up to the entire city council next week.