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~~^{' <br />Olsen: If you are thinking about a 10 year issue, you <br />would probably be looking for something around 4.20, 15 years <br />possibly 4.40. I am talking negotiated sale. That would in- <br />clude printing arid. legal etc. That would be my best guess <br />today with the information I have now. The market has been <br />holding pretty steady - at least it has been the same for <br />the past three weeks. It might go up. No one can tell. <br />Those in the know say it is supposed to go higher. <br />Shavors Is the interest rate seasonal? <br />Olsen, yes it is. It is usually lower this time of the <br />year. However, last year it did not do much that way, and <br />there isn~t any tendency to do much now. If we get any indi- <br />cation of a change, I will call them about the bonds and get <br />them out of the way right away, If there is a market change,, <br />and if it is better for the municipality, we change the rate. <br />If the market changes and to our detriments we are stuck. <br />Shavor: How do you negotiate these things? Do you expect <br />to have any competition? <br />Olsen: It has happened that. a Council will talk to other <br />firms, The way to get your best set up is to pick a firm <br />and say we will work with you so they can sit down and. ad- <br />vise ,you as to maturities, call featuresi etc.s and say, on <br />this basis, we will dive you an interest of say 4.02. P~~e <br />would like to do a job on it. <br />Nilsens ~Je have always been thinking of 20 years <br />Grahams 't'his is a net interest all the way through to the <br />maturity? <br />Nilsens That is right. <br />Grahams The longer maturities draw higher interest rates. <br />Nilsens Some of this will be assessed and some on connection <br />charge. Some will be immediate connection. <br />Olsens It looks like you have a case here where we could <br />look into a few possibilities - hold some bonds for you -- <br />put some early maturity - some fairly early on the next <br />Shavors What would be the thing to do, get together vrith you, <br />Frank, on this? <br />Grahams I thought it was a good idea since we had. this problem <br />to get you familiar with what could be done. Vern, have you <br />had this problem at different times? Would you state this is <br />a fairly common thing? <br />Ljungren: ?dine have all been negotiated in public sale. <br />Most street improvements and water improvements, except for <br />New Brighton, which was negotiated. <br />Warkentiens I feel that we should try this means. I would <br />just as soon go along with one firm go ngd <br />--~.h~e~-~se eves . rr~ a.z-l'~i ~ .f.~-<-~.~ ~~ T~ ~ ,...e~ c`.-~~ ~ ~-c ~z ,; <br />1 <br />U <br />I <br />i~ <br />