HomeMy WebLinkAboutReso. 1986 - 158 - Approving lease/purchase option agreement between the city of redding and anderson-cottonwood diusposal service • •
RESOLUTION NO. 6f( /5
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF REDDING
APPROVING LEASE/PURCHASE OPTION AGREEMENT BETWEEN THE CITY
OF REDDING AND ANDERSON-COTTONWOOD DISPOSAL SERVICE, INC. OF
FIVE DROP BOXES, AND AUTHORIZING THE MAYOR TO SIGN SAME.
BE IT RESOLVED by the City Council of the City of Redding as
follows:
1 . That the City Council of the City of Redding hereby
approves the attached Lease/Purchase Option Agreement between the
City of Redding and Anderson-Cottonwood Disposal, Inc. covering
five drop boxes; and
2 . That the Mayor of the City of Redding is hereby
authorized and directed to sign all necessary documents on behalf
of the City of Redding, and the City Clerk is hereby authorized
and directed to attest the signature of the Mayor and to impress
the official seal of the City of Redding on the aforesaid
document, when appropriate; and
3 . That a true copy of the Lease/Purchase Option Agreement
referred to herein is attached hereto and made a part hereof.
I HEREBY CERTIFY that the foregoing Resolution was
introduced and read at a regular meeting of the City Council of
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the City of Redding on the 7th day of July , 1986 , and
was duly adopted at said meeting by the following vote:
AYES: COUNCIL MEMBERS: Carter, Dahl , Gard, & Ful ton
NOES: COUNCIL MEMBERS: alone
ABSENT: COUNCIL MEMBERS: Johannessen
ABSTAIN: COUNCIL MEMBERS: None
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LEE D. FULTON, M.D. , Mayor_
City of Redding
ATTEST:S
ETHEL A. NICHOLS, City Clerk
FORM. PROVED:
RA DALL A. HAYS, C ty Attorney
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LEASE/PURCHASE OPTION MREEMENT
THIS AGREEMENT, effective the day of , 1986 ,
by and between the CITY OF REDDING, a municipal corporation,
hereinafter referred to as "City, " and ANDERSON-COTTONWOOD
DISPOSAL SERVICE, INC. , a California corporation, hereinafter
referred to as "Disposal" :
WITNESSET H:
WHEREAS , City has a supply of thirty-yard solid waste
containers which, because of current operational needs, are now
surplus; ani
WHEREAS, Disposal is the type of business which has a need
for thirty-yard solid waste containers;
NOW, THEREFORE, in consideration of the premises and the
mutual covenants herein contained, the parties hereto agree as
follows:
1 . Disposal will rent from the City five (5) thirty--yard
"drop boxes" used for solid waste disposal .
2 . hisposal agrees to pay two hundred dollars ($200 . 00) per
drop box per month, payable on or before the 10th day of each
calendar month for each month o : rental . Payments for rental
periods less than one month, if any , either at the beginning or
end of the rental period , shall be prorated.
3 . The rental shell be on a month-to-month basis , subject
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to termination by either party on thirty days written notice .
4 . It shall be the responsibility of Disposal to pay any
required license fes , possessory .interest taxes , or other fees
and charges which may be levied upon the use of the, containers by
Disposal.
5. Disposal shall insure the containers for general liabil-
ity, property damage, and theft. The City of Redding, its
officers, agents and employees , shall be named as additional
insureds. A certificate of insurance indicating the above shall
be supplied to the City. Said certificate shall , as well,
indicate that ten days notice will he given to City in the event
of any cancellation or material change in the policy.
6 . Disposal acknowledges that it has inspected all units
rented, and kinds them to be in satisfactory condition and free
of defects , and acknowledges that no warranties express or
implied have been made regarding the units.
7. Disposal warrants that it shall maintain all units
rented and keep same in good repair, and return same in good
repair at the end of the rental period.
8 .. Disposalagrees to indemnify and save harmless the City
Of Redding , and its officers , agents , and ( I ?+ UvCe s , from any
claim of any kind whatsoever. resulting from the use or mainten-
ance of the rental units .
9 . City grants to Disposal the right to exercise a purchase
option for the five (5) drop boxes, Disposalshall exercise the
purchase option by November 1 , 1986 . it the time of the exercise
of the purchase option, all previously made monthly payments
shall be credited against the purchase price of the drop boxes .
10. Upon notice by Disposal to City of its intent to
exercise the purchase option , City agrees to sell to Disposal
five (5) drop boxes for a price of One Thousand Three Hundred
Fifty Dollars ($1 , 350. 00) each, which price represents 75% of the
original cost of the drop boxes.
11. Should Disposal fail to exercise its option by the time
stated, Disposal agrees to return to City the five (5) drop
boxes.
IN WITNESS WHEREOF, the parties hereto have executed this
Agreement by their duly authorized representatives , effective the
day and yeaZ fiS:st above .TYI 7'ter
CITY OF REDDING
By:
LEE D. FULTON, M. D. , Mayor
ANDERSON- COTTQNWOOD DISPOSAL
• SERVIC}",
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FORM APPROVED:
RAN;)ALL A. HAYS , City Attorney