HomeMy WebLinkAboutReso. 1986 - 034 - Authorizing the execution and delivery of aan equipment lease/purchase agreement and related instruments between the city of redding and maryland national leasing corportation III
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RESOLUTION NO. $G ",3 /
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF REDDING
AUTHORIZING THE EXECUTION AND DELIVERY OF AN EQUIPMENT
LEASE/PURCHASE AGREEMENT AND RELATED INSTRUMENTS BETWEEN THE
CITY OF REDDING AND MARYLAND NATIONAL LEASING CORPORATION.
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WHEREAS , the City Council of the City of Redding ("Lessee")
has determined that a true and very real need exits for the
Equipment described in the Transaction Summary of Lease Proposal
dated January 21 , 1986 , as presented to this melting, said
equipment being one new White Xpeditor Refuse Vehicle
(Demonstrator) , one used White Xpeditor Refuse Vehicle
II
(Demonstrator) and 150 front-load Refuse Containers
("Equipment") ; and
WHEREAS, Lessee has taken the necessary steps, including
those relating to any applicable legal bidding requirements, to
arrange for the acquisition of the Equipment; and
it
WHEREAS, Lessee proposes to enter into a Lease/Purchase
Agreement substantially in the form presented to this meeting;
NOW, THEREFORE, BE IT RESOLVED by the City Council of the
City of Redding as follows:
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1. It is hereby found and determined that the terms of the
Lease/Purchase Agreement, substantially in the form presented to
this meeting and incorporated in this Resolution, are in the best
interests of Lessee for the acquisition of the Equipment, and are
hereby approved.
2 . The Mayor and Clerk of Lessee are hereby authorized to
execute, acknowledge and deliver the Transaction Summary of Lease
Proposal dated January 21 , 1986 , and any subsequent documentation
relating thereto, with any changes , insertions and omissions
therein as may be approved by the officers who execute the
agreements, such approval to be conclusively evidenced by such
execution and delivery of the agreements. The City Clerk of
Lessee is hereby authorized to affix the official seal of Lessee
to the documentation and attest the same.
3 . The Mayor and Clerk of Lessee are hereby authorized and
directed to execute and deliver any and all papers, instruments,
opinions , certificates, affidavits and other documents , and to do
or cause to be done any and all other acts and things necessary
or proper for carrying out this Resolution and the agreements
relating thereto.
I HEREBY CERTIFY that the foregoing Resolution was
introduced and read at a regular meeting of the City Council of
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. III III .
the City of Redding on the 3rd day of February , 1986 , and
was duly adopted at said meeting by the following vote :
AYES: COUNCIL MEMBERS: Fulton, Pugh, & Kirkpatrick
NOES: COUNCIL MEMBERS: None
ABSENT: COUNCIL MEMBERS : Demsher & Gard
ABSTAIN: COUNCIL MEMBERS: None
g2t)Vitj
614-
HOWARD D. KIRKPAT ICK, Mayor
City of Redding
ATTEST: r
?--,7ei a '-
ETHEL A. NICHOLS, City Clerk
FO APPROVED: j
de.:.4tedr a'740:---
NDALL A. HAYS, City Attorney
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CITY OF REDDING, CALIFORNIA �
TRANSACTION SUMMARY
OF LEASE PROPOSAL
January 21 , 1986
LESSOR: Maryland National Leasing
Corporation ( its Assignees or
Nominee)
LESSEE : City of Redding, California
EQUIPMENT: One ( 1) New White Xpeditor.
Refuse Vehicle (Demonstrator ) ,
$98,979 . 39
One ( 1 ) Used White Xpeditor
Refuse Vehicle (Dmonstrator) ,
$89 ,570 .00
One Hundred & Fifty (150 )
Front Load Refuse Containers
$47 , 727 . 03
ESTIMATED FUNDING AMOUNT: $236 ,276 .42
LEASE TERM: Five ( 5) Years
LEASE PAYMENTS : The. Lessee will make sixty
( 60 ) monthly lease payments ,
each in arrears , comprised
of principal and interest.
Based upon the estimated
funding amount ofl $236 , 276. 42 ,
the monthly ease payment
would equal $5 ,014 . 26 , which
which equates to an annual
percentage rate of 9 . 95%
interest ( see attached
Schedule of Payments ) . This
rate will remain firm for
sixty ( 60 ) days provided
this transaction is accepted
by February 1, 1986 .
The lease term will commence
on the date of acceptance of
the refuse vehicles .
PURCHASE OPTION: At the end of the lease
term, the Lessee will have
the option to purchase the
equipment for one dollar
( $1.00 ) . The Lessee will
also have the option to
purchase the equipment after
Transaction SummallOof Lease Proposal P III
January 21, 1986
Page Two •
any lease payment for the
amount indicated on the
attached schedule of
payments .
NON-APPROPRIATION : In order not to increase the
level of the Less6e 's
current indebtedness with
regard to constitlutional
limitations , the lease
agreement will contractually
limit the Lessee 'is obliga-
tion to make lease payments
to the Lessee 's then-current
fiscal period. �
TITLE : The Lessee will retain title
to the equipmentIthroughout
the lease term. (However ,
the Lessor will retain a
first priority security
interest in the equipment
and in the lease until the
Lessee has performed all
duties required by such
lease.
LESSEE 'S RESPONSIBILITIES : All responsibilities imposed
by the ownership or
possession of the equipment
including, but not limited
to, taxes , insurance and
equipment maintenance, shall
be borne by the Lessee.
DOCUMENTATION: In addition to the Master
Lease Agreement, the Lessor
will require theffollowing
ancillary documents :
. Opinion of Counsel
. Incumbency Certificate
. Acceptance Certificate
. Resolution Certificate
. Schedule of Payments
. UCC Financing Statements
. Evidence of Insurance
Final documentation will be
subject to the approval of
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Lessee and Lessor .
Transaction Summa410of Lease Proposal 111 •
January 21, 1986
Page Three
EXPENSES : The Lessee will be respon-
sible for the expenses asso-
ciated with the rendering of
the opinion by Lessee 's
counsel.
FUNDING DATE : Funding is assumed to occur
within sixty ( 60 ) days .
CONDITION PRECEDENT: This proposal is subject to
final acceptance by the
Senior Management Committee
of the Lessor.
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ACCEPTED AND APPROVED:
BY:
TITLE :
DATE :
. .
i
411t,, OF REDDING, CALIFORNIA p
.
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SCHEDULE OF PAYMENTS ;
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Equipment Cost - $236 ,276.42 Interest Rate - 09 .95
PAYMENT PAYMENT PRINCIPAL INTEREST OPTION PURCHASE
NUMBER AMOUNT COMPONENT COMPONENT PRICE
1 $ 5 ,014 . 36 $ 3,055 . 23 $ 1,959 .13; $ 240 ,217. 82
2 $ 5 ,014. 36 $ 3 ,080 .56 $ 1 ,933 . 80; $ 237,044 . 84
3 $ 5 ,014 . 36 $ 3,106 .11 $ 1 ,908 . 25 $ 233 , 845 .55
4 $ 5 ,014 . 36 $ 3,131. 86 $ 1,882 . 50, $ 230 ,619 . 73
5 $ 5 ,014 .36 $ 3 ,157 .83 $ 1 ,856 . 53 $ 227 , 367.17
6 $ 5 ,014 .36 $ 3 ,184 . 01 $ 1,830 . 351 $ 224 ,087 . 64
7 $ 5 ,014. 36 $ 3, 210 . 41 $ 1, 803 . 95 $ 220 ,780 .92
8 $ 5 ,014 .36 $ 3,237 .03 $ 1 ,777 . 331 $ 217 , 446. 78
9 $ 5 ,014 .36 $ 3 ,263 . 87 $ 1,750 . 491 $ 214 ,084. 99
10 $ 5 ,014 .36 $ 3 ,290 .94 $ 1 ,723 . 42 $ 210 ,695 . 32
11 $ 5 ,014 . 36 $ 3 ,318 .22 $ 1 ,696 .14 $ 207 ,277 .56
12 $ 5 ,014 . 36 $ 3 ,345 .74 $ 1 ,668. 621 $ 203 , 831. 44
13 $ 5 ,014 . 36 $ 3 ,373 .48 $ 1,640 . 88 $ 200 , 356 . 76
14 $ 5 ,014 . 36 $ 3 , 401 . 45 $ 1 ,612. 91 $ 196 , 853. 27
15 $ 5 ,014 . 36 $ 3 ,429 .65 $ 1,584 . 71 $ 193 , 320 . 73
16 $ 5 ,014 . 36 $ 3 ,458 . 09 $ 1 ,556 . 27, $ 189 , 758. 89
17 $ 5 ,014. 36 $ 3, 486 .77 $ 1 ,527 . 59 $ 186 ,167 .52
18 $ 5 ,014 . 36 $ 3 ,515 .68 $ 1 ,498 .68 $ 182 ,546 . 37
19 $ 5 ,014 . 36 $ 3 ,544 . 83 $ 1,469 .53 $ 178 , 895 .19
20 $ 5 ,014 . 36 $ 3 ,574 . 22 $ 1 ,440 .14 $ 175 ,213 . 75
21 $ 5 ,014 .36 $ 3 ,603 . 86 $ 1,410 . 50 $ 171 ,501. 77
22 $ 5 ,014 . 36 $ 3 ,633 . 74 $ 1,380 . 62 $ 167 , 759 .02
23 $ 5 ,014 . 36 $ 3 ,663 . 87 $ 1 ,350 . 49 $ 163 ,985 . 23
24 $ 5 ,014 . 36 $ 3 ,694 . 25 $ 1 ,320 . 11 $ 160 ,180 .16
25 $ 5 ,014 . 36 $ 3 ,724 . 88 $ 1,289 . 48! $ 156 , 343 . 53
26 $ 5 ,014 . 36 $ 3 ,755 .76 $ 1,258 . 60 $ 152 , 475 .10
27 $ 5 ,014 . 36 $ 3 ,786 .91 $ 1 ,227 . 45 $ 148 ,574 . 58
28 $ 5 ,014 . 36 $ 3 , 818. 31 $ 1,196 .05 $ 144 ,641 . 72
29 $ 5 ,014 . 36 $ 3 , 849 .97 $ 1 ,164 . 39 $ 140 , 676 . 25
30 $ 5 ,014 . 36 $ 3 , 881 . 89 $ 1,132 . 47 $ 136 ,677 . 91
31 $ 5 ,014 . 36 $ 3 ,914 .08 $ 1,100 . 28 $ 132 , 646 . 40
32 $ 5 ,014 . 36 $ 3 ,946 .53 $ 1 ,067 . 83 $ 128 ,581 .48
33 $ 5 ,014 . 36 $ 3 ,979 . 25 $ 1 ,035 .11 $ 124 , 482 . 85
34 $ 5 ,014 . 36 $ 4 ,012. 25 $ 1,002 .11 $ 120 , 350 . 23
35 $ 5 ,014 . 36 $ 4 ,045 .52 $ 968. 84 $ 116 ,183. 35
36 $ 5 ,014 . 36 $ 4 ,079 .06 $ 935 . 30 $ 111 ,981. 91
37 $ 5 ,014 . 36 $ 4 ,112. 88 $ 901 . 44, $ 107 , 745 .65
38 $ 5 ,014 . 36 $ 4 ,146 . 99 $ 867 . 37 $ 103 ,474 . 25
39 $ 5 ,014 . 36 $ 4 ,181 .37 $ 832 . 991 $ 99 ,167 .44
40 $ 5 ,014 . 36 $ 4 ,216 .04 $ 798. 32 $ 94 , 824 . 92
41 $ 5 ,014 . 36 $ 4 ,251 .00 $ 763 . 36' $ 90 ,446 . 39
42 $ 5 ,014 . 36 $ 4 ,286 . 25 $ 728.111 $ 86 ,031 .55
. p . III SCHEDULE OF PAYMENTS 111
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PAYMENT PAYMENT PRINCIPAL INTEREST OPTION PURCHASE
NUMBER AMOUNT COMPONENT COMPONENT PRICE
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43 $ 5 ,014 . 36 $ 4, 321 .79 $ 692.57 $ 81 ,580.10
44 $ 5,014 . 36 $ 4 ,357 .62 $ 656 .74 $ 77 ,091. 76
45 $ 5 ,014 . 36 $ 4 ,393. 75 $ 620. 61 $ 72,566 .19
46 $ 5 ,014 . 36 $ 4 ,430 .19 $ 584 .17 $ 68 ,003.10
47 $ 5 ,014 . 36 $ 4,466 .92 $ 547 .44 $ 63 ,402.17
48 $ 5 ,014 .36 $ 4 ,503.96 $ 510 . 40 $ 58 ,763 . 09
49 $ 5 ,014 . 36 $ 4,541 . 30 $ 473. 06 $ 54 ,085 .55
50 $ 5 ,014 .36 $ 4 ,578. 96 $ 435 .40 $ 49, 369 .22
51 $ 5 ,014 . 36 $ 4 ,616 .92 $ 397 . 44 $ 44 ,613. 80
52 $ 5 ,014. 36 $ 4 ,655 .21 $ 359 .15 $ 39 , 818.93
53 $ 5 ,014 . 36 $ 4 , 693 . 81 $ 320 .55 $ 34 ,984 . 31
54 $ 5 ,014 .36 $ 4, 732 . 73 $ 281 . 63 $ 30 ,109 .59
55 $ 5,014 .36 $ 4 ,771 .97 $ 242. 39 $ 25 ,194. 46
56 $ 5 ,014 . 36 $ 4, 811 . 54 $ 202. 82 $ 20 ,238.58
57 $ 5,014 .36 $ 4 , 851 . 43 $ 162.93 $ 15 ,241.61
58 $ 5 ,014 .36 $ 4, 891 .66 $ 122. 70 $ 10 ,203. 20
59 $ 5 ,014 .36 $ 4 ,932 . 22 $ 82 .14 $ 5 ,123 . 01
60 $ 5 ,014 .36 $ 4 ,973 .12 $ 41 . 24 $ 1. 00
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