City Manager Scott Ochoa wants his former employer, the city of Monrovia, to restructure a $275,000 home loan officials gave him in 2004 so he can speed up his move to Glendale.
The proposal, which is largely procedural in nature, has reportedly set off a political windstorm in Monrovia, even though officials there say the new agreement may pencil out better for everyone.
The loan dates back to when Ochoa was moving to Monrovia in 2004. At the time, city officials agreed to offer him a second mortgage loan of $275,000 with 5% interest. Other cities, such as La Cañada-Flintridge and Beverly Hills, had given similar loans to their city managers in the past, but some community members disagreed with what they considered a sweetheart deal.
Although the loan was set to last 30 years, the plan was for Ochoa to refinance in about five years and pay the city back, said Monrovia Mayor Mary Ann Lutz. But the housing bubble burst and that never happened.