Oakland Focus News | Oakland News Online Blog

When I worked for Elihu Harris as Economic Advisor between 1995 and 1999, Goldman Sachs responded to an RFP issued by our then-treasurer Jan Myzck to issue municipal bonds for Oakland projects. At the time, Goldman was competing with an organization I favored, the minority firm Pryor McClendon Counts (PMC). Goldman proposed using a kind of "swap-option" bond, where our payments were essentially swapped with those of another party -- a counterparty -- with the idea that we would be under the rate of interest of the other bond when it was lower. I prefered PMC's more basic proposal because it had less risk attached, but Goldman won the competition and was the sole-source organization with zero minority participation -- a situation I just plain didn't like at all and since Jan was Black, I was really steamed that she handled matters the way she did. PMC had a good -- great =- proposal but she was in Goldman's back pocket. Elihu hated the outcome of the dea...