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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