Cottage Grove awards $10 million in general-obligation bonds at about 3.10%; $1 million premium to fund pavement, equipment and water projects

On March 5, 2025, the Cottage Grove City Council voted to award the sale of $10,000,000 in general-obligation bonds, series 2025A, to Baker Group of Oklahoma City after receiving a low bid at 3.097 percent. Finance Director Brenda Malinowski told the council the sale produced “over a million dollars in premium on that bond” and that the city plans to apply the premium toward pavement management and equipment identified in its financial plan, plus the water tower construction and the River Oaks irrigation project.

The move follows a bond-rating call with S&P during which city staff and its financial advisor discussed the issuance; Malinowski said the city’s strong credit profile helped attract a robust competitive field of 10 bidders. “Our low bid was 3.097%,” Malinowski said. “Our presale report was 3.9%,” and…