HomeMy WebLinkAbout1999 Ordinance No. 065•
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ORDINANCE NO. 0 b
SERIES OF 1999
BY AUTHORITY
COUNCIL BILL NO. 67
INTRODUCED BY COUNCIL
MEMBER BRADSHAW
AN ORDINANCE OF THE CITY OF ENGLEWOOD, COLORADO AUTHORIZING
AND APPROVING THE LEASE-PURCHASE OF COMPUTER AIDED DISPATCH
AND RECORDS MANAGEMENT SYSTEMS EQUIPMENT FOR THE CITY .
WHEREAS , The City of Englewood, Colorado (t he "City"), i s a home rule
municipality of the State of Colorado (the "State") duly organized and opera ting under
the Home Rule Charter of the City (the "Charter") and the Constitution and laws of t he
State; and
WHEREAS , pursuant to Section 30 , of the Englewood Home Rule Charter, the City
Council of the City (the "Council") has all municipal legislative powers as conferred by
general law , except as provided by the Charter; a nd
WHEREAS , on October 20, 1997, the Englewood City Council approved the contract
with Logistic Systems, Inc. for computer aided dispatch and records management
system equipment for the City communications center (the system component of such
contract and the change orders thereto collectively r eferred to as the "CAD/RMS
Equipment") which system has enhanced the service provided by the Saftey Services
personnel of the City; and
WHEREAS , in accordance with Section 113 of the Charter, the competitive bidding
procedures were complied with in the acquisition of the CAD/RMS Equipment; and
WHEREAS, pursuant to Resolution No. 47 , Series of 1998 , the Council declared its
intent to reimburse itself for funds advanced for the CAD/RMS Equipment and to
participate in a tax-exempt financing of the CAS/RMS Equipment in an amount not to
exceed $851 ,500; and
WHEREAS , the CAD/RMS Equipment has been installed and is operational; and
WHEREAS , pursuant to Section 31 -15 -101 of the Colorado Revised Statutes, the
City has the power to lease -purchase personal property and the Council desires to
spread the cost of acquiring the CAD/RMS Equipment over a five-year period through
the lease-purchase of such equipment; and
WHEREAS, the financial advisor to the City, George K. Baum & Company, shall
assist the City in receiving bids for execution of a Lease Purchase Agreement (the
"Lease Agreement") under which the financial obligation of the City shall constitute
currently budgeted expenditures of the City and shall not extend beyond the current
fiscal year unless the Lease Agreement is annually renewed by the City; and
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WHEREAS, to effect the lease-purchase of the CAD/RMS Equipment at this time,
the City will, upon execution of the Lease Agreement, transfer to The Bank of Cherry
Creek, N.A., as custodial agent, title to the CAD/RMS Equipment in exchange for
reimbursement of the moneys advanced by the City for acquisition of the property and,
in the event that the City Council later determines not to appropriate moneys for
payment of the Lease Agreement the lessor thereunder shall be entitled to physical
delivery CAD/RMS Equipment as security under the Lease Agreement; and
WHEREAS , the Lease Agreement shall not constitute a general obligation or a
multiple-fiscal year direct or indirect debt or other financial obligation whatsoever of
the City within the meaning of any constitutional or statutory limitation or
requirement concerning the creation of indebtedness; and
WHEREAS , the Council is desirous of authorizing and directing the transaction
described above;
NOW, THEREFORE , BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF
ENGLEWOOD , COLORADO, AS FOLLOWS:
Section 1. Approval of transfer of CAD/RMS Equipment to Custodial Trustee. The
City Council hereby approves of the conveyance of title to the CAD/RMS Equipment to
The Bank of Cherry Creek, N .A., as custodial agent, for reimbursement to the City in
the amount of $851 ,500. The City Council hereby determines and declares that the
fair market value of the CAD/RMS Equipment is $851,500 and such amount
represents fair and adequate consideration to the City for the CAD/RMS Equipment.
Section 2. Authorization of Lease Agreement: Direction to Bid . The City Manager
is hereby directed to cause bids to be received by the City for the lease-purchase of the
CAD/RMS Equipment, in substantially the form and with substantially the content as
approved by the City Attorney. The Lease Agreement, which shall have an initial
term ending December 31 , 1999 with five additional one-year renewal terms, shall
contain a schedule setting forth the principal and interest components of each rental
payment. The Aggregate principal component of the Lease Agreement shall not exceed
$851,500. The Council shall approve the Lease Agreement by resolution following the
receipt of bids and such approval shall contain a determination by the City Council
that the rental payments under the Lease Agreement represent the fair value for the
use of the CAD/RMS Equipment.
Section 3. Execution and Delivery of Documents. The Mayor or, in the absence
thereof, the Mayor Pro Tern is hereby authorized and directed to execute the Lease
Agreement, and the signature of the Mayor or Mayor Pro Tern shall conclusively
determine the valid execution of the Lease Agreement by the City. Additionally, the
Mayor, other officials and employees of the City are hereby authorized and directed to
execute and deliver for and on behalf of the City any and all additional agreements,
certificates, documents and other papers and to perform all other acts that may deem
necessary or appropriate in order to implement and carry out the transaction
authorized and contemplated by this Ordinance, including but not limited to an
Internal Revenue Service Form 8038-G.
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Section 4. Obligations of the City. No provision of this Ordinance or the Lease
Agreement shall be construed as creating or constituting a general obligation or a
multiple-fiscal year direct or indirect indebtedness or other financial obligation
whatsoever of the City nor a mandatory payment obligation of the City in any ensuing
fiscal year beyond any fiscal year during which the Lease Agreement shall be in effect.
Section 5. Ratification of Prior Actions. All actions heretofore taken (not
inconsistent with the provisions of this Ordinance) by the City Council or by the officers
and employees of the City regarding the lease-purchase of the CAD/RMS Equipment or
directed toward satisfaction of the City's obligations under the Lease Agreement, when
executed, are hereby ratified, approved and confirmed.
Section 6. Headings. The headings to the various sections and paragraphs to this
Ordinance have been inserted solely for the convenience of the reader, are not a part of
this Ordinance, and shall not be used in any manner to interpret this Ordinance.
Section 7. Severability. It is hereby expressly declared that all provisions hereof
and their application are intended to be and are severable. In order to implement
such intent, if any provision hereof or the application thereof is determined by a court
or administrative body to be invalid or unenforceable , in whole or in part, such
determination shall not affect, impair or invalidate any other provision hereof or the
application of the provision in question to any other situation; and if any provision
hereof or the application thereof is determined by a court or administrative body to be
valid or enforceable only if its application is limited, its application shall be limited as
required to most fully implement its purpose.
Section 8. Repealer. All ordinances , or parts thereof, inconsistent or in conflict
herewith are hereby repealed to the extent only of such inconsistency or conflict.
Introduced, read in full, and passed on first reading on the 1st day of November,
1999.
Published as a Bill for an Ordinance on the 5th day of November, 1999.
Read by title and passed on final reading on the 15th day of November, 1999.
Published by title as Ordinance No.~ Series of 1999, on the 19th day of
November, 1999 .
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I , Loucrishia A. Ellis, City Clerk of the City of Englewood, Colorado, hereby certify
that the above and foregoing is a true copy of the Ordinance passe on final reading
and published by title as Ordinance No. 'JcE' Series of 19 9.
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COUNCIL COMMUNIC ATION
Date Agenda Item Subject
November 1, 1999 Bill For An Ordinance To Approve the
Lease-Purchase of the Computer Aided
10 a iii Dispatch and Records Management
Systems (CAD/RMS ) Equipment
Initiated By Staff Source
City of Englewood , Financial Services Department Frank Gryqlewicz, Director
COUNCIL GOAL AND PREVIOUS COUNCIL ACTION
On October 17, 1998 City Council approved a contract with Logistic Systems , Inc. for the purchase of the computer and
dispatch/records management equipment for the new Communications Center . Additionally , on February 17, 1998 City
Counc il approved Reso lut ion 47 , Series 1998 declaring the intent of the City to reimburse itself with the proceeds of a future
borrowing in an amount not to exceed $851,500.
RECOMMENDED ACTION
Staff recommends Council approve the attached bill for an ordinance authorizing the lease-purchase of the CAD/RMS
System in the amount of $851,500.
BACKGROUND, ANALYSIS, AND ALTERNATIVES IDENTIFIED
The City of Englewood placed a referred measure asking the voters if they wanted to keep the communications operations in
the City on the November 2, 1993 ballot. This referred measure passed by an overwhelming margin. On November 7 , 1995
a ballot question was placed on the ballot to issue debt for the construction of a new communications center; this question
failed overwhelmingly. The City used reserves to build the "bricks and mortar" portion of the center. The cost of the
computer and communications hardware and software was to be financed by a lease-purchase agreement when the final
implementation phase was to be completed .
As implementation has now occurred , this ordinance allows the City to reimburse itself for the cost of the communications
hardware and software.
No other alternatives were identified.
ANANCIAL IMPACT
George K. Baum, as financial advisor to the City, will assist the City in receiving bids for the Lease Purchase Agreement.
Bid opening and bid award is scheduled to occur on or about November 30, 1999. A Resolution awarding the lease will be
presented to City Counc il on December 6, 1999 detailing the final terms of the Lease-Purchase Agreement.
Proceeds from the lease-pur.chase will reimburse the Public Improvement Fund for the funds expended to purchase the
CAD/RMS System .
The lease obligation will be repaid over a five-year period commencing in 2000 and ending in 2004. The Lease Purchase
Agreement is subject to annual appropriation and does not constitute a general obligation or a multi-year financial obligation
of the City .
LIST OF ATTACHMENTS
Proposed bill for an ordinance