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HomeMy WebLinkAboutCC Res 5214 2004-02-23 RESOLUTION NUMBER .1:2JJI A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEAL BEACH, CALIFORNIA, AUTHORIZING THE EXECUTION AND DELIVERY OF A LEASE WITH OPTION TO PURCHASE, AND AUTHORIZING CERTAIN ACTIONS IN CONNECTION THEREWITH -:.- .- -.." WHEREAS, the City of seat'~c1 (the'1.~1I.) is a municipal corporation duly organized and existing .. I under and pursuant to the GllDstitution and-IaW(6f the State of California; and , \! "-,s ~ WHEREAS, the City desires to provi~e, for finaIicing in the approximate amount of $93,000.00 for the acquisition of four Dodge Dakota trucks and on' Chevrolet Trailblazer for the lifeguard department (the "Property"); and '- . jY'\"'~;" '....;j VW.-,:,-" -. WHEREAS, Municipal Finance Corporation (the "Corporation") has proposed a cost-effective lease purchase financing arrangement at a 4.25% interest rate; NOW, THEREFORE, IT IS RESOLVED BY THE CITY COUNCIL OF THE CITY OF SEAL BEACH AS FOLLOWS: SECTION 1. Lease with Ootion to Purchase. The Mayor, City Manager or a designee 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. ' I ' 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. Oualified Tax-ExemDt Obligations. The Lease is hereby designated as "qualified tax-exempt obligations" 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 mQre 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 EXDenditures. The City declares its official intent to be reimbursed from the proceeds of the Lease- approved hereby for a maximum principal amount of $68,000.00 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) ofth_e Federal Income. Tax Regulations. , ' , , SECTION 6. Effect. This Resolution shall take effect immediately upon its passage. I PASSED, AP~d AND ADOPTED by the City Council of the City of Seal Beach on~ ~~.(. day of ~ ~ r 2004 by the following,vote: AYES: Councilmembers '6t'd- NOES: Councilmembers ABSENT: Councilmembers Resolution Number ~/~ YJaiJJr",j, ~ May r STATE OF CALIFORNIA) COUNTY OF ORANGE ) SS CITY OF SEAL BEACH ) .. 1, Joanne M. Yeo, City Clerk of Seal Be~ ~omia, do hereby certify that the foregoing resolution is the original copy of Resolution Numb I on file in the office ofthe City Clerk, passed, approved, and ~ted by the City COUll . of the City of Seal Beach, at a regular meeting thereof held on the 'Il "- day of , 2004. , I I I