03-08-1978 Council Agenda - Laserfiche WebLink

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JURAN & MOODY, INC. MUNICIPAL BONDS EXCLUSIVELY 114 EAST SEVENTH STREET SAINT PAUL, MINNESOTA 55101 TELEPHONE 612/298 -1500 February 17, 1978 Mr. Joseph Chlebeck City Clerk Little Canada City Hall P.O. St. Paul, Minnesota 55117 RE: ADVANCE REFUNDING PROPOSAL FOR CERTAIN OUTSTANDING MUNICIPAL ISSUES OF LITTLE CANADA, MINNESOTA Dear Joe: Thank you for the opportunity to discuss the above subject with you earlier this week. As I indicated, the investor service was hesitant about extending a credit rating to the City in the event that both an improvement bond issue and a refunding issue would be issued simultaneously. The reluctance was do to the existing tax delinquencies of the Montreal Court Properties, and the fact that an advance refunding would necessitate the expenditure of approximately $150,000 to $200,000 to complete the escrow account for the refunding. I also metioned to you that we have been following both the municipal bond Market as well as the government securities market to determine an appropriate time to advance refund bonds within the City. Since the refunding will necessitate additional cash from the City, I would suggest that we wait until the delinquent tax moneys have been collected. As I mentioned in our earlier conversation, the additional funds are required because of the change in the federal regulations established for advance refunding issues. I am available to meet with you and the Council at any time to discuss the above in more detail. If in the meantime you have any questions, please call me at 298 -1526. I want to thank you again for the opportunity of working with you and your staff in preparing the bond issue of 1977, and look forward to working with you and the City in the future. Very truly yours, JURAN & MOODY, INC. Jerome L. Hertel JLuI/ tic FEB 21 1918 CITY OF J LITTLE CANADA