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2005/08/09 City Council Resolution (4)RESOLUTION NO. 2005- 240 RESOLUTION.OF THE COUNCIL OF THE CITY OF ROHNERT PARK - APPROVING A LEASE WITH OPTION TO PURCHASE AGREEMENT WITH BANC OF AMERICA LEASING & CAPITAL, LLC AND DECLARING INTENT TO BE REIMBURSED FROM THE PROCEEDS WHEREAS, City of Rohnert Park, County of Sonoma, State of California ( "City ") is duly authorized and existing under the laws of said State; and WHEREAS, the City has entered or will enter into agreements for the acquisition of vehicles for the Police and Fire operations, in accordance with the applicable law; and WHEREAS, the Council has determined that it is in the best interests of the City and the citizens it serves to secure lease - purchase financing to provide moneys in the approximate amount of $823,000 necessary to pay for the Property; and WHEREAS, Banc of America Leasing & Capital, LLC has offered the City a cost effective lease- - financing arrangement requiring periodic rental payments including principal plus interest computed at 3.167% annual percentage rate for 5 years financing and 3.20920 annual percentage rate for 7 year financing. NOW, THEREFORE, BE IT RESOLVED, by the Council of the City of Rohnert Park that it does hereby approve that certain "lease with option to purchase" between Banc of America Leasing & Capital, LLC and the City of Rohnert Park; and BE JT FURTHER RESOLVED that the City Manager is authorized and directed to execute said lease for and on behalf of the City. BE IT FURTHEP, RESOLVED that the City Manager and the Finance Director are authorized and directed to execute any related documents necessary to consummate the transactions contemplated by the lease purchase agreement herein approved and authorized. BE IT FURTHER RESOLVED that this approved lease financing be designated as a qualified tax exempt obligation for the calendar year in which the lease is issued pursuant to Section 265(b) of the Internal Revenue Code of 1986 (as amended) and the authorized officers are directed to execute the "Designation of Qualification" document. BE IT FURTHER RESOLVED that the Council of the City of Rohnert Park does hereby declare its official intent to be reimbursed from the proceeds of the Lease With Option. To Purchase Agreement for a maximum amount of $823,000 of expenditures occurring no earlier than sixty days prior August`9, 2005. All reimbursed expenditures will be capital expenditures as defined in Section 1.150 -I(b) of the Federal Income Tax Regulations; and DULY AND REGULARLY ADOPTED this 9th day of August, 2005. G TEST City Clerk CITY OF ROHNERT PARK BREEZE: AYE FLORES: AMY SMITI -E AYE VIDAK MARTINEZ: AYE MACKENZIE: AYE AYES: (5) NOES: (0) ABSENT: (0) ABSTAIN: (0) Incumbency I further certify that the officer(s) referred to in the foregoing resolution is /are now held by the following: TITLE OF OFFICER Mayor City Manager Finance Director Date: NAME OF OFFICER Jake Mackenzie Steve Donley Sandra Lipitz SIGNATURE OF OFFICER City Clerk: