9.c Security State Bank proposal for certificates of indebtedness for the purchase of a 2017 plow truckSECURITY STRTE
B R N K OF M R R IlV E
June 26, 2017
Neil Soltis, City Administrator
City of Scandia
14727 — 2091h Street N.
Scandia, MN 55073
Dear Neil:
Thank you for contacting Security State Bank of Marine regarding the financing
for a new plow truck. A common method of financing equipment purchases is with
Certificates of Indebtedness, which are a general obligation debt instrument of the City.
Security State Bank of Marine proposes the following terms and interest rates on
$160,000.00 of Certificates of Indebtedness:
5 year term:
MRRINE OFFICE
$32,000.00
due 1 year from date of issue:
@
2.35%
$32,000.00
due 2 years from date of issue:
@
2.45%
$32,000.00
due 3 years from date of issue:
@
2.55%
$32,000.00
due 4 years from date of issue:
@
2.65%
$32,000.00
due 5 years from date of issue:
@
2.75%
$160,000.00 Total
Interest on each of the Certificates of Indebtedness would be due on an semi-
annual basis. It would be the responsibility of the city or city's bond counsel to draft the
Certificates of Indebtedness, subject to our review. To aid in your potential budgeting, an
estimated amortization schedule is attached that details your payments due under this
financing proposal.
If the above proposal needs to be modified in some manner to better fit your
needs, or if you have any questions, please contact me I'll be happy to discuss any
comments or questions you may have. The terms contained within this proposal are valid
for 45 days from the date of this letter. Thank you once again for giving Security State
Bank of Marine an opportunity to offer a financing proposal.
Sinc rely,
Gregory A. Isaacson
President & CEO
MRRINE OFFICE
PH 651-433-2424
FAX 651-433-3950
120 Judd Street, P.O. Box 35 - Marine on St. Croix, Minnesota 55047
SCRNOIR OFFICE
PH 651-433-2265
FAX 651-433-3205
21190 Ozark Avenue N, P.O. Box 56 Scandia, Minnesota 55073
CHISRGO LRKES OFFICE
PH 651-257-4141
FAX 651-257-5112
30626 Lincoln Road, P.O. Box 684 Lindstrom, Minnesota 55045
FOREST LRKE OFFICE
PH 651-464-1033
FAX 651-464-1031
21450 Forest Lake Blvd N, P.O. Box 902 Forest Lake, Minnesota 55025
24-HOUR GIRL-R-BRNK: 651 -433 -CALL 122551 www.t-hemar-inebanH.com