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In dual-frame video coding, both encoder and decoder store a short-term reference (STR) and a long-term reference (LTR) frame for motion compensation. In past work, LTR frames at regular intervals were assigned higher quality than the other frames to improve overall video quality. In this letter, we present a method of LTR frame selection using simulated annealing, and we show that PSNR is improved compared to the case of evenly spaced LTR frames. To reduce delay and computational complexity, we consider a constraint on the size of the look-ahead window.