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HomeMy WebLinkAbout2012-04-03-R • RESOLUTION o1019�;- V-3'K LEASE-PURCHASE NO.001-0606565-301 DATED AS OF MARCH 8,2012 A resolution authorizing the negotiation, execution, and delivery of Lease-Purchase Agreement No. 001-0606565-301 dated March 8,2012 (the"Lease"), in the principal count of$214,047.15,between City of Batesville, 500 E. Main Street,Batesville,Arkansas 72501 and TCF Equipment Finance,Inc., 11100 Wayzata Boulevard Suite#801 Minnetonka, Minnesota 55305; providing 25 Monthly lease payments of 24 @$3,431.13 followed by 1 @ $144,482.00 each from legally available funds; and prescribing other details in connection therewith. WHEREAS,City of Batesville, (the"Lessee") is a Municipalities duly organized and existing pursuant to the Constitution and laws of the State of Arkansas Iand WHEREAS,Lessee is duly authorized by applicable law4o acquire such items of personal property as are needed to carry out its governmental functions and to acquire such personal property by entering into lease-purchase agreements, and WHEREAS, Lessee hereby finds and determines that the execution of a Lease for the purpose of leasing with the option to purchase the property designated and set forth in Exhibit A to the Lease is appropriate and necessary to the function and operations of the Lessee; and • WHEREAS, TCF Equipment Finance, Inc., Minnetonka, Minnesota(the"Lessor"), duly organized, existing, and in good standing under the laws of the State of Minnesota, shall act as Lessor under said Lease; and WHEREAS, the Lease shall not constitute a general obligation indebtedness of the Lessee within the meaning of the Constitution and laws of the State; NOW,THEREFORE,BE IT RESOLVED BY THE CITY COUNCIL OF BATESVILLE ARKANSAS: Section 1. The Mayor and City Clerk acting on behalf of Lessee, are hereby authorized to negotiate, enter into, execute, and deliver the Lease and related documents in substantially the form as presently before the Batesville City Council,which Lease is available for public inspection at the offices of Lessee. Section 2. The Lease shall be in the principal amount of$214,047.15 bearing interest as set forth in Exhibit C of the Lease; said Lease to contain an option to purchase by the Lessee as therein set forth. Section 3. The Lessee's obligations under the Lease shall be expressly subject to annual appropriation by Lessee; and such obligations under the Lease shall not constitute a general Oobligation of Lessee or indebtedness of Lessee within the meaning of the Constitution and laws M • of the State of Arkansas. Section 4. All other related contracts and agreements necessary and incidental to the Lease are hereby authorized. Section 5. Lessee reasonably anticipates to issue not more than$10,000,000 of tax-exempt obligations(other than"private activity bonds"which are not"qualified 501(c)(3)bonds")during the current calender year and hereby designates the Lease as a"qualified tax-exempt obligation" for purposes of Section 265(b)of the Internal Revenue Code of 1986, as amended. Section 6. This resolution shall take effect immediately upon its adoption and approval. ADOPTED AND APPROVED this 3'day of April, 2012. Lessee: City of Batesville By: Mayor Attest: D� ,City Clerk • •