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City Council Meeting Minutes March 9, 1999 Page 4 1 proposed state legislation designed to increase bleacher safety. She added they will be 2 contacting schools to inspect bleachers. 3 4 VIII. PUBLIC HEARINGS -None. 5 6 IX. NEW BUSINESS. 7 A. Resolution 99-024, re: $425,000 General Obligation Improvement Bonds, Series 1999A. 8 Mayor Ranallo welcomed Bob Thistle, Springsted, Inc., and invited him to address the Council 9 with regard to the City's proposed awarding of general obligation improvement bonds as 10 negotiated by Springsted. 11 12 Mr. Thistle reviewed the bond proposal and confirmed that the City's credit rating had been 13 reaffirmed by Moody's at A1. He added it is expected, according to Moody's, that with the 14 City's population incline, ample employment opportunities, low unemployment and modest 15 future borrowing plans, the City's debt burden will remain modest. 16 17 Mr. Thistle confirmed that the low bidder was Dain Rauscher at an interest rate of 4.516%. He 18 added his firm recommends that the City award the bid to Dain Rauscher. 19 20 Motion by Cavanaugh, second by Faust to approve Resolution 99-024, re: $425,000 General Obligation Improvement Bonds, Series 1999A. 23 Motion carried unanimously. 24 25 Cavanaugh asked for clarification with regard to the Y2K issues referenced in the bond proposal. 26 Mr. Thistle stated that the financial community is concerned about Y2K issues and cities are 27 being asked to disclose compliance measures. He added that the language in the bond proposal 28 with regard to Y2K issues had been reviewed by the City's auditors and is a comfort point for the 29 lender. 30 31 Faust asked whether the Y2K issues section within the bond proposal is a SEC disclaimer. Mr. 32 Thistle confirmed this, adding it is also a necessary financial disclaimer. 33 34 Cavanaugh asked, on an unrelated matter, whether Mr. Thistle was familiar with the concept of a 35 financial capacity analysis. Mr. Thistle confirmed that Springsted prepares such documents for 36 their clients, adding it is an essential part of an effective debt management plan. 37 38 B. Discussion of Ad Hoc Committee for Salvation Army Camp property. 39 Ranallo stated the School Board at a recent meeting had appointed representatives to an ad hoc 40 committee to meet monthly or as determined to focus on the sale of the Salvation Army camp, 41 and has recommended that the City Council also appoint representatives. He added both Cavanaugh and Faust had expressed interest in serving on the committee and a decision should be made as to which would be appointed, along with Ranallo, to serve on the committee. 44