Briefly in reply to California Treasure Bill Lockyer's letter published in The Bond Buyer on March 24, the credit issue is not exactly as Mr. Lockyer suggests. At this time in history, the municipal credit marketplace is under what can reasonably be described as moderate stress. Unfortunately that can mean higher borrowing costs - particularly for those borrowers with moderate to weak credit.

The answer is not to throw up a smokescreen and slacken the credit standards in a melee. Actually, that will not drive down borrowing costs either because the credit facts will be the same. It's like trying to say you caught a bigger fish by changing the yardstick, and that does not work. The fish does not get bigger.

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