Legislation # 08-0515 Enactment Number none
Type Resolution Effective Date none
Introduction Date 12/17/2008
Title Resolution Authorizing the Execution and Delivery of an Equipment Lease/Purchase Agreement, and Related Instruments, and Determining Other Matters in Connection Therewith to Finance an Emergency Communications System.
 
Legislation History 08-0515
DateNotice Of ActionDescription
2/11/2009 Approved - Assistant City Manager Mary Bunting provided information on the benefits of the new public radio system.
12/17/2008 Deferred Generally
12/9/2008 Received By Clerk's Office
 
View Attachments 08-0515
FileTypeSizeDescription
LeasePurchaseAgrmtRadios12.08.08.doc Contract 91K Lease Purchase Agreement
Motorola-Hampton contract draft12.08.08.doc Contract 175K Contract Draft
Motorola-Contract clean final 2-3-09.doc Contract 180K NEW - Contract
Motorola- Exhibit B Payment Milestones-2-3-09(2)-Final.xls Exhibit 49K NEW - Exhibit B
Motorola Equip Lease PurchGS 2-4-09-Final.doc Contract 91K NEW - Lease Purchase Agreement
 
Legislation Text 08-0515

 

City of Hampton, Virginia

Resolution

22 Lincoln Street

Hampton, VA 23669

www.hampton.gov

 

File Number: 08-0515

 

Enactment Number: -

 

Resolution Authorizing the Execution and Delivery of an Equipment Lease/Purchase Agreement, and Related Instruments, and Determining Other Matters in Connection Therewith to Finance an Emergency Communications System.

 

WHEREAS, the City Council of the City of Hampton, Virginia has determined that a true and very real need exists for the communications equipment (the "Equipment") described in the Equipment Lease Purchase Agreement (the "Agreement") presented at this meeting;

 

WHEREAS, a plan of financing the acquisition of the Equipment pursuant to the Agreement has been described to City Council, and City Council desires to enter into the Agreement with Motorola Inc. substantially in the form presented at this meeting to arrange for such acquisition and financing;

NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF HAMPTON AS FOLLOWS:

 

1. Authorization of Equipment Lease Purchase Agreement; Essentiality.  The form of the Agreement submitted to this meeting is approved.  The City Manager is authorized to execute and deliver the Agreement in substantially the form presented to this meeting, with such completions, omissions, insertions and changes not inconsistent with this Resolution. The City Council determines that the Equipment to be financed under the Agreement is essential to the operations of the City and expects the Equipment to remain essential to such operations during the term of the Agreement.

2. Terms of Agreement.  The final pricing terms of the Agreement shall be satisfactory to the City Manager; provided, however, that (a) the purchase price or principal component of the rental payments thereunder shall not exceed $15,587,991; (b) the annual rate of interest shall not exceed 4.85%, and (c) the rental payments due under the Agreement shall be payable in ten (10) approximately equal annual installments commencing in or around March 2011.

3. Subject to Appropriation.  The obligations of the City under the Agreement shall be limited obligations payable solely from funds to be appropriated by the City Council for such purpose and shall not constitute a debt of the City within the meaning of any constitutional or statutory limitation or a pledge of the faith and credit of the City beyond any fiscal year for which the City Council has lawfully appropriated funds from time to time.  Nothing herein or in the Agreement shall constitute a debt of the City within the meaning of any constitutional or statutory limitation or a pledge of the faith and credit or taxing power of the City.

4. Annual Budget.  The City Council believes that funds sufficient to make payment of all amounts payable under the Agreement can be obtained.  While recognizing that it is not empowered to make any binding commitment to make such payments beyond the current fiscal year, the City Council hereby states its intent to make annual appropriations for future fiscal years in amounts sufficient to make all such payments and hereby recommends that future City Councils do likewise during the term of the Agreement.  The City Council directs the City Manager, or such other officer who may be charged with the responsibility for preparing the Citys annual budget, to include in the budget request for each fiscal year during the term of the Agreement an amount sufficient to pay all amounts coming due under the Agreement during such fiscal year.

5. Tax Compliance and Arbitrage Covenants.  The City covenants that it shall not take or omit to take any action the taking or omission of which will cause the interest attributable to the rental payments under the Agreement to be arbitrage bonds, within the meaning of Section 148 of the Internal Revenue Code of 1986, as amended, (the Code), or otherwise cause the interest components of the rental payments due under the Agreement to be includable in the gross income for federal income tax purposes of the registered owners thereof under existing law.  Such officers of the City as may be requested are authorized and directed to execute such tax compliance certificates, as may be necessary to demonstrate compliance with this paragraph.

6. Other Actions.  The City Manager and such other officers and agents of the City as may be designated by City Manager are authorized and directed to take such further actions as they deem necessary regarding the execution and delivery of the Agreement including, without limitation, the execution and delivery of closing documents and certificates including, an escrow deposit agreement, IRS Form 8038-G, a Non-Arbitrage Certificate and a Tax Certificate. All such actions previously taken by the City Manager or such officers and agents are hereby approved, ratified and confirmed.

7. Effective Date.  This Resolution shall become effective immediately upon adoption.

 


CERTIFICATE

 

 

The undersigned Clerk of the City Council of the City of Hampton, Virginia, does hereby certify that the foregoing constitutes a true and correct copy of resolution adopted by the City Council of the City of Hampton, Virginia at a meeting held on February 11, 2009. I hereby further certify that such meeting was a regularly scheduled meeting and that, during the consideration of the foregoing Resolution, a quorum was present. The vote of the members of the City Council upon the foregoing Resolution was as follows:

 

Member

 

Present/Absent

 

Vote

Molley Joseph Ward

 

Yes

 

Aye

Joseph H. Spencer, II

 

Yes

 

Aye

Randy A. Gilliland

 

Yes

 

Aye

Ross A. Kearney, II

 

Yes

 

Aye

Angela Lee Leary

 

Yes

 

Aye

George E. Wallace

 

Yes

 

Aye

Paige V. Washington, JR.

 

Yes

 

Aye

 

Adopted at the regular meeting of the City Council of the City of Hampton, Virginia held on February 11, 2009.

 

 

 

Signed by ____________________________ Date _________________

Molly Joseph Ward, Mayor

 

 

 

 

Attested by ____________________________ Date _________________

Katherine K. Glass

Clerk of the Council