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HomeMy WebLinkAbout1999 Resolution No. 102RESDLUTION NO.~ SER.';ES OF 1999 A l tESOJ,UTION m· THE CITY OF ENGLEWOOD, COLORADO APPROVING A MASTER LEJ..SE AGREEMENT FOR COMPUTER AIDED DISPATCH AND RECORDS MANAGEMENT SYS','F.MS EQUIPMENT FOR THE CITY. WHEREAS, pura1111nt to Ordinance No. 65, Series of 1999 ("Ordina11a1 No. 65") the City Council (the "Council") of the City of Englewood , Colorado (the "City"), authorized and approved the lease purchase of computer aided dispatch and records management 1y1tem equipment Cor the City communicationa center (the "CAD/RMS Equipment"); and WHEREAS , Ordinance No . 65 provides that, following the ,eceipt of bido , the Council 1hall approve, by resolution, a lease purchase agreement an,! that such approval 1hall c:nntain a rletermination by the City r,ouncil that the rental payments under the lease purchaae agreement rer,resent the fair value for the use of the CAD/RMS. c4uipment; and WHEREAS, on November 30, 1999, the City received five bido , each of which contaiDe<l ~ propoeed repayment schedule reOect;ing a fixed interest rate; and WHEREAS, a bid retlecting an inten:st rate nf 5.10,., which waa the loweat intereat rate nf the bids received, waa submitted by Sutro &, Co. Incorporated, of Lakewood, Colorado, together with proposed documentation to be uaed in the financing (the "Lease Agreement"); and WHEREAS, counsel to the City and the City's financial advisor have advised the City that the bid submitted by Sutro & Co. lru:orporated wae in conmrm.ity with the requirements of Ordinance No. 65 and . ,lated bid specifications, and the Council i, deairoue of approving the execution and delivery of the Lease Agreement on December 20,1999; NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ENGLEWOOD, COLORADO, THAT: ~-Annroval of LeBRe Amement. The l..ease Agreement, in substantially the tbrm and with substantially the content presented to this meeting of the City Council, is in all respects approved, authorized ar.d confirmed. ~. Dedarntionn and Findings. The City Council hereby determines and declares that thot rental payments under the Leaee Agreement (the "Rental Payments") represent the fair value of th·, use of the CAD/RMS Equipment, and that the Prepayment Price (aa dafined in the Lease Allrfement) represents tbe fair purchase price of the CAD/PMS Equipment. The City Council hereby deten."lines and declares that the Rental Payments do not exceed a reaacnable amount so aa to place the City under an economic or practical compulsion to appropriate moneys to make payments under the Lease Agreement or to exercise its option to purchase the CAD/RMS Equipment purauant to the Lease Agreement. In making such determinationa, the City Council has given conaideration to the current market value of the CAD/RMS Equipment, the cost of acquiring, constructing or equipping property similar to the CAD/RMS Equipment, the uses and purpoeee for which the CAD/RMS Equipment is bein~ and will be employed by the City , the ber.efit to the citizens and residents of the City by reaaon of the uae of the CAD/RMS Equipment purauant to the terme and provisions of the Lease Agreement, the op u .n of the City to purchase the C <\DIRMS Equipment, and the expected eventual vesting of full title to the CAD/RMS Equipment in the City. The City Council hereby determines and declares that the duration of the Leaae Agreement, including all optional ren ewal terms , authorized under this Resolution , does not ex cee d the weighted average useful life of tbe CAD/RMS Equipment. 02-3 $267.01 • flm:lilm.a. llapk-QUJ11j6od Detarmjp•tjgp . The City hen,by desisnatea the Leue A,rMaieut aa a "qualified tu-exempt obligation" for purpoee1 of Section 26~(!,)(3) of the Internal Reven111 Code of 1986, aa amended. Sc!:liolU., Ob)jgetjgpa g( tho Cjty. No provilion of thia Reeolution or the LeBN A,rMment ahall be conatrued aa creating or conatituting a pneral obligation or a multiple-filcal year direct or indirect indebtedneaa or other financial obligation wbateoever of the City nor a mandatory payment obligation of the City in any ensuing fiJcal year beyond any fiacal year during which the Lease Agreement shall be in effect. Sll:lion..A, S.yorabjljty . It ie hen,by expn,aaly declared that all provision■ hereof and their application ar• intended to be and are severable. In order to implement ouch intent, if any provision hereof or the application theN!Df ia determined by a court or administrative body to be invalid or unenforceable , in whole or in part, •Uch determination shall not affect, impair or invalidate any other provision beN10f or the api,lication of the provision in question to any other eituation ; and if any proviaion hereof or the application theN!Df ie determined by a court er administrative body to be valid or enforoeable only if ite application ie limited, ite application shall be limited as required to moet fully implement ite purpose. ADOPTED AND APPROVED thia 6th day of December, 1999. ~4,~ ✓ Th-OmJ.llurna , ~r I, Loucrishin A. Ellie, City Clerk for the City of Engle true cop y of Resolution No~Seriee of 1999. 02-SS267 .01 2 • • COUNCIL COMMUNICATION Dita Agenda Item SUbfect Resolutlon approving a muter leue agreement for Safety Servtces computer aided December 6, 1999 10cil dispatch and reconla management ayllMI -- Initiated By Department of Financial Services I Staff Source Frank Gryglewicz, Director of Financial Services COUNCIL GOAL AND PREVIOUS COUNCIL ACTION On November 15, 1999, City Council approved, on final reading, Ordinance 85, Series of 1999. This ordinance authorized and approved the lease purchase of the computer aided dispatch and records management system (CAO/RMS). Ordinance 65 also provided that following the receipt of bids, the Council •vould approve by rasolution, a lease purchase agreement. This agreement Includes a determination that the rental payments raprasent the fair market value for the use of the CAO/RMS equipment. RECOMMENDED ACTION City staff recommends Council approved the attached resolution approving the master leas1, agreement. BACKGROUND, ANALYSIS, AND ALTERNATIVES IDENTIFIED The City of Englewood received five bids with proposed repayment schedules reflecting fixed interest rates . Sutro & Company of Lakewood, Colorado submitted the lowest bid (5 .10%). No alternatives were identified . FINANCIAL IMPACT The funds for the annual payment of this lease-purchase are included in the City's 2000 Budget. LIST OF ATTACHMENTS Propcsed Resolution