HomeMy WebLinkAbout041 - 04/20/1982 - AUTHORIZING THE CITY MANAGER TO ENTER INTO AN AGREEMENT BETWEEN THE CITY AND MERIT FINANCIAL CORPORA ORDINANCE NO 41 , 1982
OF THE COUNCIL OF THE CITY OF FORT COLLINS
BEING AN ORDINANCE AUTHORIZING THE CITY MANAGER
TO ENTER INTO AN AGREEMENT BETWEEN THE CITY OF
FORT COLLINS AND MERIT FINANCIAL CORPORATION FOR
THE LEASE AND OPTION TO PURCHASE CERTAIN EQUIPMENT
WHEREAS, the City is authorized under the provisions of Title 31 ,
Chapter 15, part 8, C R S 1973 , as amended, 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 Merit Financial Cor-
poration whereby Merit Financial Corporation will lease to the City the
following described equipment
QUANTITY DESCRIPTION
19 Police Patrol Cars
1 Royfax 15 Copy Machine
1 Sub-Compact Sedan
1 72" Rotary Trim dower
1 4-Wheel Drive Passenger Vehicle
3 Vans
1 Truckster Utility Vehicle
1 Street Crack Sealing Unit
2 3/4 Ton Pickup Trucks
3 Compact Pickups
24 Mobile Radios, Packsets and Chargers
1 Small Motor Grader
1 Tandem Dump Truck
1 Soil Shredder Mixer /
1 Vermeer Tree Spade
1 Idaho Norland Paint Striper
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 Merit Financial Corpora-
tion which is providing financing for the acquisition of said equipment,
and
WHEREAS, the City desires to enter into an equipment lease agreement
with Merit 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 Merit Financial Corporation the following
equipment
QUANTITY DESCRIPTION
19 Police Patrol Cars
1 Royfax 15 Copy Machine
1 Sub-Compact Sedan
1 72" Rotary Trim Mower
1 4-Wheel Drive Passenger Vehicle
3 Vans
1 Truckster Utility Vehicle
1 Street Crack Sealing Unit
2 3/4 Ton Pickup Trucks
3 Compact Pickups
24 Mobile Radios, Packsets and Chargers
1 Small Motor Grader
1 Tandem Dump Truck
1 Soil Shredder, Mixer
1 Vermeer Tree Spade
1 Idaho Norland Paint Striper
The agreement shall be for an original term from the date of execution
of the agreement through December 31 , 1982 The agreement shall
provide for renewable one year terms as follows
RENEWABLE
ONE YEAR
ITEM TERMS
Police Patrol Cars December 31 , 1986
Royfax 15 Copy Machine December 31 , 1986
Sub-conpact Sedan December 31 , 1986
72" Rotary Trim Mower December 31 , 1986
4-Wheel Drive Passenger Vehicle December 31 , 1986
Vans December 31 , 1986
Truckster Utility Vehicle December 31 , 1986
Street Crack Sealing Unit December 31 , 1987
3/4 Ton Pickup Trucks December 31 , 1987
Compact Pickups December 31 , 1987
Mobile Radios, Packsets and Chargers December 31 , 1988
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RENEWABLE
ONE YEAR
ITEM TERMS
Idaho Norland Paint Striper December 31 , 1989
Small Motor Grader December 31 , 1989
Tandem Dump Truck December 31 , 1989
Soil Shredder, Mixer December 31 , 1989
Vermeer Tree Spade December 31 , 1989
The City shall make equal quarterly payments for each of the consecu-
tive terms of such agreement
If the City shall lease the equipment for the original term and
all successive renewal terms, the payment to Merit Financial Corpora-
tion will total the sum of the principal , Five Hundred Fifty-Five
Thousand Dollars ($555,000 00) , plus interest at a fixed rate equal to
11 838%
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 terms,
the City shall be deemed to have exercised the option to purchase
the equipment and have all right, title and interest to said equip-
ment
This agreement shall not be a 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
Section 2 That all proceeds necessary to purchase said above des-
cribed equipment be and they hereby are, appropriated in the funds of the
respective departments acquiring said equipment
Introduced, considered favorably on first reading, and ordered pub-
lished this 6th day of April , AD 1982 , and to be presented for final
passage on the 20th day of April , A D 1982
Mayor
ATTEST
City Clerk
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1982 Passed and adopted on final reading this 20th day of April , A D
Mayor
ATTEST
i ty e r
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