HomeMy WebLinkAbout001 - 01/17/1984 - AUTHORIZING THE CITY MANAGER TO AMEND AN AGREEMENT BETWEEN THE CITY AND MERIT FINANCIAL CORPORATION ORDINANCE NO. 1 1984
OF THE COUNCIL OF THE CITY OF FORT COLLINS
AUTHORIZING THE CITY MANAGER TO AMEND 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 provision of Title 31 ,
Chapter 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 entered into an Agreement with Merit Financial
Corporation whereby Merit Financial Corporation is leasing certain equip-
ment to the City; and
WHEREAS, the City has determined that it is in need of three Apple
Computers in order that they may be used by the City Library; and
WHEREAS, the City Council has decided that it is in the best interests
of the City to lease said equipment from Merit Financial Corporation which
is providing financing for the acquisition of said equipment; and
WHEREAS, the City desires to amend the existing equipment lease
agreement with Merit Financial Corporation with respect to the leasing of
said additional 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
3 Apple IIe Computers and
Related Hardware
The agreement shall be for the original terms from
the date of the execution of the agreement through
December 31 , 1984. The agreement shall provide for
renewable one year terms as follows:
Expiration Dates of
Item Renewable One-Year Terms
Apple IIe Computers and December 31, 1984, 1985,
Related Hardware 1986
The City shall make equal quarterly payments for each
of the consecutive terms of such agreement.
hall lease the equipment for the The City soriginal
term and all successive renewal terms, the payment
to Merit Financial Corporation will total the sum
of the principal , Sixteen Thousand Dollars ($16,000) ,
plus a fixed net effective interest rate of 8 .751
percent per annum.
The City shall have the option to purchase the equip-
ment 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 exer-
cised the option to purchase the equipment and have all
right, title and interest to said equipment.
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 amend and execute the 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 de-
scribed equipment be, and they hereby are, appropriated in the General
Fund.
Introduced, considered favorably on first reading, and ordered pub-
lished this 3rd day of January, A.D. 1984, and to be presented for final
passage on the 17th day of January, A.D. 1984.
ATTEST: May r
City Clerk
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Passed and adopted on final reading this 17th day of January, A.D.
1984.
or
ATTEST:
City Clem
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