2000/09/12 City Council Resolution (4)RESOLUTION NO. 2000- 180
AUTHORIZING THE EXECUTION AND DELIVERY OF A LEASE WITH OPTION TO
PURCHASE, AND AUTHORIZING CERTAIN ACTIONS IN CONNECTION THEREWITH
WHEREAS, the City of Rohnert Park (the "City ") is a city organized and existing under and
pursuant to the Constitution and laws of the State of California (the "State "); and
WHEREAS, the City desires to provide for financing in the approximate amount of $428,000.00
for the acquisition of miscellaneous equipment (the "Property "); and
WHEREAS, Municipal Finance Corporation (the "Corporation ") has proposed a cost - effective
lease purchase financing arrangement at a 5.63% interest rate;
NOW, THEREFORE, it is resolved by the City Council as follows: L1
Sl✓CTION 1. Lease with Option to Purchase. The Mayor, City Manager is hereby
authorized to enter into a Lease with Option to Purchase (the "Lease ") with the Corporation to finance the
Property, subject to approval as to form by the City Attorney.
SECTION 2. Attestations. The Clerk or other appropriate City officer are hereby authorized and
directed to attest the signature of the Mayor or City Manager or of such other person or persons as may
have been designated by the Mayor or City Manager, and to affix and attest the seal of the City, as may be
required or appropriate in connection with the execution and delivery of the Lease.
SECTION 3. Other Actions. The Mayor, City Manager and other officers of the City are each
hereby authorized and directed, jointly and severally, to take any and all actions and to execute and
deliver any and all agreements, documents and certificates which they may deem necessary or advisable
in order to carry out, give effect to and comply with the terms of this Resolution and the Lease. Such
actions are hereby ratified, confirmed and approved.
SECTION 4. Qualified Tax - Exempt Obligation L s. The Lease is hereby designated as a "qualified
tax - exempt obligation" within the meaning of Section 265(b)(3) of the Internal Revenue Code of 1986, as
amended (the "Code "). The City, together with all subordinate entities of the City, do not reasonably
expect to issue during the calendar year in which the Lease is issued more than $10,000,000 of obligations
which it could designate as "qualified tax - exempt obligations" under Section 265(b) of the Code.
SECTION 5. Reimbursement of Prior Expenditures. The City declares its official intent to be
reimbursed from the proceeds of the Lease approved hereby for a maximum principal amount of
$428,000.00 of expenditures occurring no earlier than sixty days prior to the adoption of this Resolution.
All reimbursed expenditures will be capital expenditures as defined in Section 1.150 -1(b) of the Federal
Income Tax Regulations.
SECTION 6. Effect. This Resolution shall take effect immediately upon its passage.
DULY AND REGULARLY ADOPTED by the Council of the City of Rohnert Park this
12th day of September, 2000.
r'
CITY F ORNERY PARK
10
Mayor
FLORES: AYE MACKENZIE: AYE REILLY: AYE SPIRO: AYE VIDAK- MARTINEZ: AYE
AYES: (5) NOES: (0) ABSENT: (0) ABSTAIN: (0)