No one in the Midwest sells more competitive bonds than Ehlers.
We provide comprehensive bond issuance services: assisting clients in all aspects of this process, from structuring debt for the lowest interest rate to soliciting bids to assisting with state and federal reporting requirements.
Ehlers also assumes a big picture financial view by monitoring refinancing opportunities and helping communities upgrade and maintain their credit rating.
Ehlers services include:
Debt Financing Options
Competitive, Negotiated and Private Placement Debt Issuance
As an independent public financial advisor, our mission is to help you find the best financial solution at the lowest cost and the best financing terms. As a result, we are not tied to any single method of financing.
The Government Finance Officers Association’s (GFOA) “Best Practices” specifically state that issuers should have independent financial advisors, who are not underwriters or brokers working with you.
No one in the Midwest sells more competitive bonds than Ehlers. We help you structure bond issues to fit your needs, walk you through the rating agency process, produce the official statement, assist the bond attorney with the resolution for the sale, take competitive bids for the sale, and handle all of the closing details.
While we believe competitive sales are best for most bond sales, negotiated and private placements can benefit issuers in some situations. When an issue is negotiated, it is even more critical to have an independent financial advisor looking after your best interests.
For information on services related to Minnesota School District Cash Flow Borrowing click here.
Lease Purchase Financing
Ehlers has assisted many local governments with competitive process for selecting the best rate and terms for a lease purchase financing for equipment and facilities financings.
Federal & State Grants & Loans
We review the various loan and grant options within the context of your overall financial management plan to analyze the sources of revenue available to pay the debt services. Additionally we can solicit competitive proposals from local banks or a publicly sold bond issue to provide interim financing for the project until it is complete.
Specialized Financing Instruments
How do you weigh the benefits and risks of considering instruments such as forwards, futures, options, and swaps? When carefully evaluated with a knowledgeable expert at your side, these can be another tool in your chest of financial management products.
Debt Planning and Payment
Debt Studies / Debt Service Benchmarking
A proactive approach is the most effective debt management program. Ehlers' debt management review finds opportunities and ensures compliance with the regulations and bond covenants that govern your issues. Key factors in the review include:
- Review debt service fund balances for arbitrage compliance.
- Identify upcoming refunding opportunities.
- Analyze tax levy and other revenue source adjustments for future years.
- Evaluate fiscal implications of the current capital improvements program.
Paying Agent Services
Because bank mergers of the past decade resulted in the disruption of previously reliable paying agent services, Ehlers created a subsidiary corporation called Bond Trust Services Corporation (BTSC). BTSC is fully integrated with the Depository Trust & Clearing Corporation (DTCC) and serves as paying agent for the majority of our debt issues. BTSC also assists our clients with submitting rebate payment requests for Build America Bonds to assure their rebates are received in a timely manner.
Rating Review Process Facilitation
Credit ratings were important before September 2008, but post-credit crunch they are even more important. One of Ehlers' distinguishing strengths is its relationship with the rating agencies; relationships built on trust and credibility.
Ehlers enjoys a very active and strong working relationship with both Moody's Investors Service and Standard and Poor's. We regularly invite them to make visits to clients, we discuss pending legislation, and we are on the phone with them on weekly and sometimes daily basis for rating calls. This relationship is built on trust and credibility.
We have an intimate working knowledge of the rating criteria used by these organizations, and we work very hard to provide our clients and the rating agencies with our best assessment of how these are applied to each client and bond issue for which ratings may be sought. This approach results in a clear understanding of the client’s financial position and "no surprises" to either client or rating analysts.
Post Issuance Complicance
Continuing Disclosure Reporting Ehlers tracks and provides reporting services for thousands of issues. Continuing disclosure compliance is an important and ongoing requirement in the life of most debt issues.
Arbitrage Monitoring Services
With the IRS beginning to survey and audit local government issuers, arbitrage monitoring and rebate reporting require experienced attention as well as the development of a post-issuance compliance policy. Ehlers provides full arbitrage services including arbitrage calculations, arbitrage compliance review and working up front with clients when structuring an issue to seek to minimize or eliminate rebates.
When rebate is unavoidable, special expertise in this area is essential. Arbitrage rebate is more than completing reporting forms. Successful programs provide the needed reporting information and seek ways to minimize rebates.
Why Choose Ehlers
Leaders in Public Finance – ranked 2nd nationally in the number of competitive issues advised in 2012
Independent Advice, with no Conflict-of-Interest: We only look after interests of our clients, not the investors, conforming to GFOA Best Practice.
Customized Financing Options
Our Partner companies complement Ehlers' financial advisory services
Bond Trust Services Corporation - Paying Agent Services
In response to the mergers in the banking industry and the resulting interruptions in service, in 2004 Ehlers created a subsidiary corporation called Bond Trust Services Corporation (BTSC). BTSC is fully integrated with the Depository Trust & Clearing Corporation (DTCC) and serves as paying agent for the majority of our annual bond sales. With the increasing popularity of the Build America Bonds, BTSC also provides services submitting the rebate payment requests to assure they are received in a timely manner.