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. '""', Minutes of Regular Council Meeting Page four February II, 1985 Would City's involvement (i.e. staff time) with you be greater than with other firms?..Need Clerk's year-end financial statement, audited '83 statement, cash position on bonds, demographic data, etc. They can secure data from County or other sources if not readily available at City's office. Assessment hearing would be conducted by City Attorney then?..Mattson replied they sometimes attend Public Hearings to provide financial informa- tion, if you felt you wanted him. City Attorney would do legal work. Do you see any conflict of interest in both selling and structuring the bonds and underwriting them?..Not at all, being underwriters makes us aware of the market, what's selling, best ways to sell, would not bid on Arden Hills bonds unless for some reason City specifically requests they do. BriRRs and MorR~n, Mary Ippel I This firm has acted as bond counsel for Arden Hills in the past, with Popovich as financial consultant. She has worked exclusively with municipalities in the. past ten years in issuance of general obligation bonds and in industrial revenue bond area, do not do a lot of fiscal consulting work, are capable of doing it, but feel a firm devoted exclusively to that is more appropriate.' Tradition in industry has been to have these split. Bond counsel would I prepare resolutions calling for sale of bonds, prepare resolutions accepting the bid on the bonds, and prepare various closing certificates and opinions that have to be rendered at closing to the purchaser of the bonds. They also review all improvement proceedings which a city must follow before it has the authority under state law. to issue bonds, to make sure they are valid and the bonds will be tax exempt. If they are asked, can prepare necessary proceeding for the special assessments; this has traditionally been role of City Attorney, but they can do it, or help City clerk in any area. Questions asked of Ms. Ippel were: Would you prefer to act as financial consultant or a bond counsel...she stated she would prefer to act as bond counsel, her area of expertise. Feels City would get "more for its money" having financial consulting done by a I firm that does nothing but this, and bond counselling by a firm that does mostly that. Council asked definition of "structuring" bonds...Ippel replied that State allows 30 year bonds, market will not buy 30 year fixed rate security, what financial consultant has to do is figure out what's selling, what Village's assessments are, and determine maturity and pre-payment penalties, length of bond issue, etc. In how many cases has your firm acted as financial consultant? About 5 per year. This concluded interview portion of meeting. In following discussion, Hicks stated he was impressed with Juran and Moody presentation, and after discussion with Mary Ippel, evidence seems to indicate that someone who deals exclusively in financial consulting area could best serve City as financial consultant. Peck noted that, with the way the market is going, expertise of financial consultant would be very valuable. Hansen concurred with these remarks. Council further discussed conflict of interest problems, felt it need not be a concern. Woodburn noted accep- tance of these proposals seems to require more of Mr.Lynden's services. I.. ,.- It was moved by Hicks, seconded by Peck, that Council secure the services of Juran and Moody as financial consultant for the current bond issue to be considered in the next four to five weeks. Motion carried. (5-0) In dis- cussion, it was noted that it is understood that they will be working with Briggs and Morgan as bond counsel. .