HomeMy WebLinkAboutOrdinance 4505 ORDINANCE NO. 4505
AN ORDINANCE TO AMEND ORDINANCE NO. 4478 TO
ADD AUTHORITY TO USE THE MASTER EQUIPMENT
LEASE/ PURCHASE AGREEMENT TO FINANCE THE COST
OF ACQUIRING ALL EQUIPMENT AND OTHER PROPERTY
LEGALLY OBTAINABLE PURSUANT TO AMENDMENT 78
WHEREAS, it will be financially advantageous to the City to use the
Master Equipment Lease/ Purchase Agreement dated as of June 25, 2003, with
the Banc of America Leasing and Capital LLC to finance the cost of acquiring not
only the fire apparatus (already authorized), but all types of equipment and
property legally obtainable pursuant to Amendment 78.
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF
THE CITY OF FAYETTEVILLE, ARKANSAS:
Section 1 . That the City Council of the City of Fayetteville, Arkansas
hereby amends Ordinance 4478 by adding Section 8 as follows:
"Section 8. The City's authority to use the Master Equipment
Lease/ Purchase Agreement with Banc of America Leasing and
Capital, LLC extends to all equipment and property legally
obtainable pursuant to the terms of Amendment 78 (and is not
restricted to fire apparatus) ."
PASSED and APPROVED this the 19th day of August, 2003.
f AYETrF
APPROVED:
40
d x 1
i� . , DAN COODY, Mayor
• .d;4YL�s�� -
By: I
Sondra Smith, City Clerk
1
a 0
NAME OF FILE: Ordinance No, 4505
CROSS REFERENCE:
Item # Date Document
1 08/06/03 Staff Review Form w/attachments
draft ordinance
memo to Mayor/City Council/Earnest
copy of Ord. No. 4478
copy of ordinance
2 08/27/03 memo to Peggy Vice
3 09/13/03 Affidavit of Publication
NOTES:
STAFAVIEW FORM - FINANCIAL OBLIGATIO �-
x AGENDA REQUEST
CON:'PACT REVIEW
GRANT REVIEW
For the F'aynt t evi I In City Counci l Meet ! ng of : August 19th , 2003
FROM :
Peggy Vice Purchasing Division Internal Services
Name Division Department
ACTION REQUIRED : Approval of an ordinance to amend Ordinance No . 4478 to add authority
to use the master equipment lease/purchase agreement to finance the cost of acquiring all
equipment and other property legally obtainable pursuant to Amendment 78 .
COST TO CITY :
No cost at this time $ -
Cost of this request Category/ Project Budget Program Cat-egory / Project Name
S -
Account Number Funds Used to Date Program / Project Category Name
Project Number Remaining Balance Fund Name
BUDGET REVIEW : Budgeted Ttem Rudget Adjustment Attached
Budget Manager Date
CONTRACT/GRANT/LEASE REVIEW :
Accounting Manager Date internal Auditor Date f
Cit.y Attorney Date Purchasing Manager Date
ST F COMMENDATION :
__p 6 i - c7 3 Received in Mayor ' s Office
Division Head Date Date
Cross Reference :
Department Director Date
Previous O^d/Resfl :AA- U�� 4472
Frnance s Internal Services Dir . G Date Orig . Contract Date :
Orig . Contract Number :
Chief Ar inistr rive Off ' cr Date
iK�I New Item : Yes No
Mayor Date
Waff Revi. ew Form - Page 2 •
Description Amendment 78 Lease fox Copiers Meeting Date August 19th , 2003
Comments : Reterence Comments :
Budget Manaqur
Accountinq Manayez
City Attorney
Purchasing Manager
ADA Coordi nit or
Internal Auditor
Grant :, Coorliin,rtor
ORDINANCE NO,
AN ORDINANCE TO AMEND ORDINANCE NO. 4478 '110
ADD AUTHORITY TO USE THE MASTER EQUIPMENT
LEASE/ PURCHASE AGREEMENT TO FINANCE THE COST
OF ACQUIRING ALL EQUIPMENT AND OTHER PROPERTY
LEGALLY OBTAINABLE PURSUANT TO AMENDMENT 78
WHEREAS, it will be financially advantageous to the City to use the
Master Equipment Lease/Purchase Agreement with the Banc of America Leasing
and Capital LLC to finance the cost of acquiring not only the fire apparatus
(already authorized), but all types of equipment and property legally obtainable
pursuant to Amendment 78.
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF
THE CITY OF FAYETTEVILLE, ARKANSAS:
Section 1 . That the City Council of the City of Fayetteville, Arkansas
hereby amends Ordinance 4478 by adding Section 8 as follows:
"Section 8. The City's authority to use the Master Equipment
Lease/ Purchase Agreement with Banc of America Leasing and
Capital, LLC extends to all equipment and property legally
obtainable pursuant to the terms of Amendment 78 (and is not
restricted to fire apparatus). "
PASSED and APPROVED this the 19th day of August, 2003.
APPROVED:
By' ��
DAN Y, Mayor
ATTEST:
By :
Sondra Smith, City Clerk
• 1: 40
THE CITY OF FAYETTEVILLE, ARKANSAS
DEPARTMENTAL CORRESPONDENCE
TO: Fayetteville City Council
TI IROUGH : Dan Coody, Mayor
Hugh Earnest, Chief Administrative Officer
Steve Davis, Finance & Internal Services Directo
FROM : Peggy Vice, Purchasing Manger
DATE : August 1 , 2003
SUBJECT: Amendment 78 Leasing Services- Banc of America
Stall" requests City Council amend Ordinance 94478 (copy attached) to allow the lease/purchasc
of various equipment as required for City operations. These purchases are allowed under
Amendment 78 and could save the City a substantial amount of money on interest costs. Banc of
America Leasing & Capital, LLC requires a $ 100,000 minimum on each transaction.
Several copiers including the main copiers in City Administration, Planning and several outlying
departments are due to be replaced. "they were originally leased for 36 months. The 36 month
]case has expired . We are currently leasing them on a month to month basis until new copiers
can he evaluated and tested. We have estimated the lease/purchasc amount to be a maximum of
$2511,000.
The goal is to lease/purchase copiers that have technology that will:
• Allow staff to scan documents to files and upload them to the website.
• Allow staff to print directly from their computer to the copier without having to scan the
document in.
• Allow staff to scan directly to email for easily sending large documents not on the
computer.
• Allow stafl' to scan a drall agenda to their computer for editing and numbering before
final printing.
• Save money on supplies by staff having the ability to print directly to the copier. This
should greatly reduce purchase of small printer cartridges.
• Save staff time at the copier manually copying agendas and other large documents.
ORDINANCE NO. 4478
AN ORDINANCE AUTHORIZING THE EXECUTION AMS OF M*E�
A MASTER EQUIPMENT LEASE/PURCHASE AGREEMENT HAVING A
NOMINAL PRINCIPAL AMOUNT NOT TO EXCEED $5,000,000.00 FOR
THE PURPOSE OF FINANCING THE COST OF ACQUIRING CERTAIN
FIRE FIGHTING APPARATUS; AND PRESCRIBING OTHER MATTERS
RELATING THERETO
WHEREAS, the City Council of the City of Fayetteville, Arkansas has determined that
there is a great need for a mechanism to finance the costs of acquisition of certain fire fighting
apparatus to benefit the residents of the City; and
WHEREAS, the City is authorized and empowered under the provisions of the
Constitution and laws of the State of Arkansas, including particularly Amendment 78 to the
Constitution of the State of Arkansas and the Local Government Short-Term Financing
Obligations Act of 2001 , codified as Arkansas Code Annotated (2001 Supp.) Sections 14-78- 101
et seq. as from time to time amended, to enter into certain short-term lease/purchase
arrangements to finance the costs of various capital improvements, which lease obligations shall
constitute general obligations of the City under Amendment 78 and the Act; and
WHEREAS, the City has made arrangements for the entry into a Master Equipment
Lease/Purchase Agreement with Banc of America Leasing & Capital, LLC, a Delaware limited
liability, in substantially the form presented to and before this meeting;
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE
CITY OF FAYETTEVILLE, ARKANSAS THAT:
Section 1 . Under the authority of the Constitution and laws of the State of Arkansas,
the Mayor is hereby authorized and directed to execute the Lease/Purchase Agreement, and the
City Clerk is hereby authorized and directed to execute the Lease/Purchase Agreement and to
affix the seal of the City thereto, and the Mayor and the City Clerk are hereby authorized and
directed to cause the Lease/Purchase Agreement to be executed by Banc of America Leasing &
Capital, LLC. The Lease/Purchase Agreement is hereby approved in substantially the form
submitted to this meeting. The Mayor is hereby authorized to confer with with Banc of America
Leasing & Capital, LLC and Kutak Rock LLP, Bond Counsel, in order to complete the
Lease/Purchase Agreement in substantially the form submitted to this meeting, with such
changes as shall be approved by such persons executing the Lease/Purchase Agreement, their
execution to constitute conclusive evidence of such approval.
Section 2. The nominal principal amount of the Lease/Purchase Agreement may not
exceed $5,000,000.00 in the aggregate, the term of the Lease/Purchase Agreement shall expire
no later than five years from the date of adoption of this ordinance, and the effective interest rate
relating to the City's obligations under the Lease/Purchase Agreement shall not exceed the
maximum rate prescribed by Arkansas law, including Amendment 78 and the Act.
Section 3. It is affirmed that, pursuant to Amendment 78 and the Act, the payment
obligations of the City under the Lease/Purchase Agreement shall constitute general obligations
of the City, and the total annual payments owed by the City under the Lease/Purchase Agreement
in each of the City's fiscal years shall be charged against and paid from the general revenues of
the City for such fiscal years.
Section 4. As required by Amendment 78 and .the Act, the City hereby finds and
determines that:
(a) Each of the components to be financed under the Lease/Purchase Agreement has
an average useful life in excess of one year; and
(b) The aggregate nominal principal amount of all obligations of the City under
Amendment 78 and the Act, including the Lease/Purchase Agreement, will at no
time exceed five percent (5%) of the assessed value of the taxable real and
personal property located within the City, as determined by the last tax
assessment completed prior to the date hereof.
Section 5. The Mayor and City Clerk, for and on behalf of the City, are hereby
authorized and directed to do any and all things necessary to effect the execution and delivery of
the Lease/Purchase Agreement, and to perform all of the obligations of the City under and
pursuant thereto. The Mayor and the City Clerk are further authorized and directed, for and on
behalf of the City, to execute all papers, documents, certificates and other instruments that may
be required for the carrying out of such authority or to evidence the exercise thereof.
Section 6. The provisions of this Ordinance are hereby declared to be severable, and
if any section, phrase or provision shall for any reason be declared to be illegal or invalid, such
declaration shall not affect the validity of the remainder of the sections, phrases or provisions of
this Ordinance.
Section 7. All ordinances, resolutions and parts thereof in conflict herewith are
hereby repealed to the extent of such conflict.
PASSED and APPROVED this the 15`" day of April, 2003.
tE / /C
APPROVED:
By:
D COODY, ayor
ATTR �`A,.
By:
Son ra Smith, City Clerk
2
ORDINANCE NO,
AN ORDINANCE TO AMEND ORDINANCE NO. 4478 TO
ADD AUTI IORITY TO USE THE MASTER EQUIPMENT
LEASE/ PURCHASE AGREEMENT TO FINANCE THE COST
OF ACQUIRING ALL EQUIPMENT AND OTHER PROPERTY
LEGALLY OBTAINABLE PURSUANT TO AMENDMENT 78
WHEREAS, it will be financially advantageous to the City to use the
Master Equipment Lease/ Purchase Agreement dated as of June 25, 2003, with
the Banc of America Leasing and Capital LLC to finance the cost of acquiring not
only the fire apparatus (already authorized), but all types of equipment and
property legally obtainable pursuant to Amendment 78.
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF
THE CITY OF FAYETTEVILLE, ARKANSAS:
Section 1 . That the City Council of the City of Fayetteville, Arkansas
hereby amends Ordinance 4478 by adding Section 8 as follows:
"Section 8. The City's authority to use the Master Equipment
Lease/ Purchase Agreement with Banc of America Leasing and
Capital, LLC extends to all equipment and property legally
obtainable pursuant to the terms of Amendment 78 (and is not
restricted to fire apparatus)."
PASSED and APPROVED this the 19th day of August, 2003.
APPROVED:
By:
1NaG
DAN COODY, Mayor
Al "I 'F51':
By :
Sondra Smith, City Clerk
THE CITY OF FAYETTEVILLE. ARKANSAS
DEPARTMENTAL CORRESPONDENCE
TO : Peggy Vice
Purchasing Division
FROM : Sondra Smith
City Clerk
DA'Z'E : 08/27/03
SUBJECT: Ordinance to amend Ordinance No. 4478
For purchase of Copier Machines
Attached is a copy of the Ordinance 4505 to amend Ordinance 4478 .
The original will be microfilmed and filed with the City Clerk .
Thanks !
Sondra Smith
City Clerk
cc : Nancy Smith, Internal Auditor
NORTHV#ST ARKANSAS 4DITION
AAawas JU momt IV (f)RzeW
RECEIVED
SEP 19 2003
CITY OF Fm y ETF Ev iLLE
AFFIDAVIT OF PUBLICATION CITY CLERK'S OFFICE
I , y do solemnly swear that I am
Leg I Clerk of the Arkansas Democrat-Gazette/Northwest Arkansas
Times newspaper, -printed and published in Lowell , Arkansas, and that
from my' own personal knowledge and reference to the files of said
publication , that advertisement of:
was inserted in the regular editions on
** Publication Charge : $
Subscribed and sworn to before me this
17 } � day of SeP �ewi Ger 2003.
Notary Public ORDINANCE NO. °°°°
AN ORDINANCE TO AMEND
OR 'CE
NO. 4478 TO ADD .
�` AUTHORITY TO,yUSE THE MASTER EQUIPMENT
My Commission Expires: 07)AVi)0 LEASEIRING ALL EQUIPMENT TOFINANCE
Ul llt THE COST
n ' '
ACQUIRING ALL EQUIPMENT AND OTHEP PROPERTY
LEGALLY OBTAINABLE PURSUANT TO AMENDMENT ]. City of Fayetteville
WNEpBAS, it vnll be finarwialN aWentageous to Ne Clly to use the Master Equlpmen, Lease/Pumhase
1[ Agreement tlated as of June 25, 2003, with the Bene of America Leasing erb Capital LLC to finance the
** Please do not a from Affidavit. cost of acquiring not only the fire apperetus (alteady authorizedi. but all Nees of equipment and property
pay efelN obtainable pursuant to Amendm t 78.
An Invoice will be sent. NOW, THEREFORE, BE R ORDAINED BY THE CRY COUNCIL OF TNS CITY OF
FAYETTEVILLEt ARKANSAS:
Section 1 . That the City Cour6 of the City of FayetteNNe. Arkansas hereby amends Ordinance 4478 by
adding Secllen 8 as follq :
'Section B. TheCEquipment
Leasa/puchase em -
Leasing Otte
altY
Official Seal eecapital,
t l�sbe a�t to me tatTOS Of Atme�nomenent 78 (and Is not
SEAN-MICHAEL ARGO msttkted to fire apparatus).'
Notary Public-Arkansas
WASHINGTON COUNTY FASBSD and AFFROvED tNs Ina 1 M day of August. 2003.
My Commission Expires 07-25-2013 APPROVED`
By:
DAN GOODY, Nryor
ATTEST:
BY
slefil Smith, CNF Clerk
212 NORTH EAST AVENUE P.O. BOX 1607 • FAYETTEVILLE, ARKANSAS 72702 9 (501 ) 442-1700