HomeMy WebLinkAbout047 - 04/21/1987 - AUTHORIZING AGREEMENT FOR LEASE/PURCHASE OF VEHICLES AND EQUIPMENT ORDINANCE NO. 47, 1987
OF THE COUNCIL OF THE CITY OF FORT COLLINS
AUTHORIZING THE CITY MANAGER TO ENTER INTO
AN AGREEMENT FOR THE LEASE/PURCHASE OF
VEHICLES AND EQUIPMENT
WHEREAS, the City is authorized under the provisions of Title 31,
Article 15, part 8, C.R.S. , to acquire necessary equipment and other
property for its governmental and proprietary Purposes under the provisions
of a long term rental or leasehold agreement with an option to purchase
such equipment and provide for the payment of said property from any
available municipal income; and
WHEREAS, the City has received a proposal from First Continental
Financial Corporation whereby First Continental Financial Corporation will
lease to the City the following described equipment:
QUANTITY DESCRIPTION
19 1987 Police patrol cars
1 1987 Toro diesel riding mower
1 1987 Toro gas riding mower
5 1987 4-door Sedans
and
WHEREAS, the City Council has determined that the City is in need of
the above listed equipment in order that they may be used by various City
departments; and
WHEREAS, the City Council has determined that it is in the best
interest of the City to lease said equipment from First Continental
Financial Corporation, which is providing financing for the acquisition of
said equipment; and
WHEREAS, the City desires to enter into an equipment lease agreement
with First Continental Financial Corporation with respect to the leasing of
said equipment; and
WHEREAS, the terms of the equipment lease agreement will provide as
follows:
The City shall lease from First Continental Financial Corporation the
following equipment:
QUANTITY DESCRIPTION
19 1987 Police patrol cars
1 1987 Toro diesel riding mower
1 1987 Toro gas riding mower
5 1987 4-door sedans
This agreement shall be for an original term from the date of execution of
the agreement through October 31, 1992. The agreement shall provide for
renewable one year terms as follows:
ITEM RENEWABLE
ONE YEAR TERMS
1987 Chevrolet Police Patrol Cars December 31, 1991
1987 Toro riding mower, diesel December 31, 1992
1987 Toro riding mower, gas December 31, 1992
1987 4-door sedans December 31, 1992
The City shall make equal quarterly payments for each of the consecutive
terms of such agreement.
If the City shall lease the equipment for the original term and all
successive renewal terms, the payment to First Continental Financial
Corporation will total the sum of the principal $316,000 plus interest at a
fixed rate equal to 6.225%.
The City shall have an option to purchase the equipment on any quarterly
payment date of any term. The option to purchase shall be exercised by
paying the quarterly payment due on said date and the unpaid principal due
after said date.
If the City shall renew the agreement for all the renewal forms, the City
shall be deemed to have exercised the option to said equipment.
This agreement shall not be pledge of the City's revenues.
NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT
COLLINS:
Section 1 . That the City Manager be, and he hereby is, authorized to
enter into a lease/purchase agreement for the above described equipment in
accordance with the terms and provisions set forth herein above in the
approximate principal amount of $316,000 plus interest at a fixed rate
equal to 6.225%.
Section 2. That all proceeds to the City from the above mentioned
lease/purchase agreement which are necessary to purchase said above
described equipment, be, and they hereby are, appropriated in the funds of
the respective departments acquiring said equipment.
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Introduced, considered favorably on first reading and ordered
published this 17th day of March, A.D. 1987, and to be presented for final
passage on the 21st day of April , A.D. 1987.
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ATTEST:
City Clerk
Passed and adopted on final reading this 21st day of April , A.D. 1987.
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ATTEST: r
City Clerk
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