HomeMy WebLinkAboutReso 99-152 - Auth execution and Delivery of a lease with option to purchase, and auth certain actions in connection therewith - �s , ^ .. � �
� CITY COUNCIL OF THE
CITY OF REDDING
RESOLUTION NO. _;�2—
AUTHORIZiNG THE EXECUTION AND DELIVERY OF A LEASE WITH OPTION TO
PURCHASE, AND AUTHORIZING CERTAIN ACTIONS IN CONNECTION THEREWITH
The City Council of the City of Redding (the "City Council") finds and resolves as follows:
WHEREAS, the City of Redding (the "City") is a city organized and existing under and pursuant
to the Constiiution and laws of the State of California (the "State"); and
WHEREAS, the City desires to provide for financing in the amount not to exceed $335,000.00 for
the acquisition of one (1) loader/backhoe and two (2) street sweepers (the "Property"); and
WHEREAS, Municipal Finance Corporation (the "Corporation") has proposed a cost-effective
lease purchase financing arrangement at a 5.38% interest rate;
NOW, THEREFORE, it is resolved by the City Council as follows:
SECTION l. Findin�s. The City Council hereby specifically finds and declares that the
statements, findings and determinations of the City set forth in the preambles of the documents approved
herein are true and correct and the City Council hereby declares its intention of entering into the Lease
described in Section 3 hereof.
SECTION 2. Approval of Financing. The City Council hereby approves the financing of the
Property and directs the Mayor and City Manager to take all necessary or desirable actions to cause such
financing. The City Council hereby further approves of the City's entering into a lease purchase
transaction with the Corporation for the purpose of financing the Property.
SECTION 3. Lease with Option to Purchase. The Mayor, City Manager or a designee is hereby
authorized to enter into a Lease with Option to Purchase (the "Lease") with the Corporation, subject to
approval as to form by the City Attorney.
SECTION 4. Attestations. The Clerk or other appropriate City officer are hereby authorized and
directed to attest the signature of the Mayor or City Manager or of such other person or persons as may
have been designated by the Mayor or City Manager, and to affix and attest the seal of the City, as may be
required or appropriate in connection with the execution and delivery of the Lease.
SECTION 5. Other Actions. The Mayor, City Manager and other officers of the City are each
hereby autharized and directed, jointly and severally, to take any and all actions and to execute and
deliver any and all documents which they may deem necessary or advisable in order to carry out, give
effect to and comply with the terms and interact of this Resolution and the Lease. Such actions are hereby
ratified, confirmed and approved. �
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' SECTION 6. Reimbursement of Prior Ex�enditures. The City declares its official intent to be
reimbursed from the proceeds of the Lease approved hereby for a maximum principal amount of
$335,000.00 of expenditures occurring no earlier than sixty days prior to the adoption of this Resolution.
All reimbursed expenditures will be capital expenditures as defined in Section 1.150-1(b) of the Federal
Income Tax Regulations.
SECTION 8. Effect. This Resolution shall take effect immediately upon its passage.
PASSED AND ADOPTED this 16th day of November , 1999, by the following vote:
AYES: Cibula, McGeorge, Pohlmeyer and Anderson
NOES: None
ABSTENTIONS: None
ABSENT: xight ,
Approved: �
obert C. Anderson, Mayor
Attest:
Conni� Strohrnayer, Ci Clerk
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