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HomeMy WebLinkAboutItem VI (B) 1-3 Leasing Car for City Manager - Approval of purchase through Bid 92-001, Resolution No 93-06, Authorization to Mayor & City Clerk to execute Ford Motor Credit AGENDA 7-6-93 Item VI B 1,2,3 "CENTER OF GOOD LIVING-PRIDE OF WEST ORANGE" MAYUK'LUMMISS1UNhK Ocoee S.SCOTT VANDERGRIFT CITY OF OCOEE COMMISSIONERS YJOHNNSSON v /\ 0. 150 N.LAKESHORE DRE PAUL W.FOSTER 0 DRIVEOCOEE,FLORIDA 34761 VERN COMBS (407)656-2322 SAM WOODSON l444, N`J QTY MANAGER �f G00� ELLIS SHAPIRO MEMORANDUM TO: The Honorable Mayor and Board of City Commissioners �j,� FROM: Monty a Beamer, Director of Administrative Services ?�v DATE: June 29, 1993 SUBJECT: LEASING CAR FOR CITY MANAGER The approval of the Mid-Year Budget Amendment included the purchase of a vehicle for the City Manager. Based upon the prices obtained through competitive bid 92-001 which opened November 4, 1992 and was awarded January 5, 1993, the vehicle may be purchased through the terms and conditions established in the award of 92-001; these terms and conditions included not only the pursuit vehicles to specification but also the leasing arrangement through Ford Motor Credit Company. The cost of the vehicle is $12,783.00 and the leasing arrangement allows six (6) payments (semi-annually for 3 years) at $2,300.38 per payment. All documents will be executed as originally modified by the City Attorney. As with many leasing agreements, there is a requirement for a Resolution which provides formal Commission approval for entry into the Leasing Agreement. Resolution 93-06 was drafted by the City Attorney and has the necessary language to satisfy this requirement. Action Requested The Honorable Mayor and Board of City Commission (1) approve the purchase of the City Manager's vehicle through Bid 92-001 at the cost of$12,783.00 (Don Reid Ford) with financing for 6 payments (semi-annually for 3 years) at $2,300.38 per payment with an initial documentation fee of$150.00 (Ford Motor Credit Company), (2) adopt Resolution 93- 06 and (3) authorize the Mayor and City Clerk to execute necessary documents from Ford Motor Credit Company. MEB:fdg MEB.1/39 Old. „- ,r1D Ford Motor Credit Company The American Road P.O. Box 1739 Dearborn, Michigan 48121-1739 June 28, 1993 The Honorable S. Scott Vandergrift Mayor/Commissioner City of Ocoee 150 North Lakeshore Drive Ocoee, FL 34761 Subject: Lease-Purchase Agreement Number 36895 Dear Mayor Vandergrift: The Lease-Purchase Agreement documents for the equipment being acquired from Don Reid Ford, Inc. are enclosed. Please review the following documents for accuracy and execute where indicated: • Schedule A-I, Page 1 • Delivery and Acceptance Certificate(s) - Please indicate the date the equipment was accepted by you. • Temporary Insurance Form - Please complete. • 8038-GC - Please review and execute where indicated. We will forward the original to the IRS and return a copy with the agreement for your records. Please return all of the documents with original sicinatures by July 8, 1993 to Ford Motor Credit Company at: P. O. Box 1739, Dearborn, MI 481 21-1 739 or any Overnight/Express Delivery to: Commercial Lending, The American Road, Dearborn, MI 48126 Included with the documents should be a check to Ford Motor Credit Company in the amount of $2,450.38 for the first payment of $2,300.38 and the documentation fee of $150.00. Your account number is 3689501, please refer to this number should you require any assistance. I will have the documents executed for Ford Motor Credit Company and return a copy to you. If you have any questions, please call me at (800) 241-4199. Si cer-ly, ',yr/ Eve n J. arpy Enclosures Municipal Financing RESOLUTION NO. 93-06 A RESOLUTION OF THE CITY OF OCOEE, FLORIDA APPROVING A SUPPLEMENTAL AMENDMENT TO AN EQUIPMENT LEASE/PURCHASE AGREEMENT WITH FORD MOTOR CREDIT COMPANY AND DESIGNATING IT AS A QUALIFIED TAX-EXEMPT OBLIGATION WHEREAS, the City has heretofore entered into a certain Florida Equipment Lease-Purchase Agreement (Lease No. 36895) dated as of March 10, 1993 ("the Equipment Lease") with Ford Motor Credit Company ("Lessor") ; and WHEREAS, the City desires to lease additional equipment from Lessor pursuant to and subject to the terms and conditions of the Equipment Lease. NOW THEREFORE, the City Commission of the City of Ocoee, Florida hereby adopts the following resolutions: RESOLVED, that this City enter into a certain supplemental amendment to the Equipment Lease with Lessor in substantially the form attached hereto and by this reference made a part hereof ("the Supplemental Amendment") and that this City lease equipment from Lessor pursuant to the terms of such Equipment Lease and Supplemental Amendment; and that the Mayor and the City Clerk of this City be and hereby are authorized and directed in the name and on behalf of this City to execute the Supplemental Amendment with Lessor in substantially the form presented at this meeting, with such changes therein and additions thereto as shall be approved by such officers who execute the same, and such execution shall be conclusive evidence that each such document so executed has been authorized and approved by this vote. FURTHER RESOLVED, that the City Commission of the City of Ocoee, Florida finds that a true and very real need exists for the acquisition of the Equipment described in the Supplemental Amendment and that such acquisition is in the best interests of the City of Ocoee. FURTHER RESOLVED, that the City Commission of the City of Ocoee, Florida finds that the City of Ocoee has taken the necessary steps, including compliance with any applicable legal bidding requirements, under applicable law to arrange for the acquisition of such equipment. FURTHER RESOLVED, that the obligations of the City under the Supplemental Amendment be hereby designated, pursuant to Section 265 (b) (3) (D) of the Internal Revenue Code of 1986, as amended (hereinafter called the "Code") , as comprising a portion of the $10, 000, 000.00 in aggregate issues which may be designated as "Qualified Tax-Exempt Obligations" eligible for the exception to the general rule of the Code which provides for a total disallowance of a deduction for interest expense allocable to the carrying of tax-exempt obligations. FURTHER RESOLVED, that the Mayor and the City Clerk of this City be and hereby are authorized to execute and deliver such other instruments and take such other actions as they shall deem necessary and desirable for the purpose of carrying out these resolutions and consummating the transactions contemplated by the Supplemental Amendment. FURTHER RESOLVED, that the foregoing resolutions shall remain in full force and effect until written notice of their amendment or rescission shall have been received by Lessor and that receipt of such notice shall not affect any action taken by Lessor prior thereto. FURTHER RESOLVED, that the Clerk of this City be and hereby is authorized and directed to certify to the Lessor the foregoing resolutions and that the provisions thereof are in conformity with the charter of this City. ADOPTED this day of , 1993. ATTEST: APPROVED: CITY OF OCOEE, FLORIDA Jean Grafton, City Clerk S. Scott Vandergrift, Mayor (SEAL) FOR USE AND RELIANCE ONLY BY THE CITY OF OCOEE, FLORIDA. APPROVED AS TO FORM AND LEGALITY this day of , 1993 FOLEY & LARDNER APPROVED BY THE OCOEE CITY COMMISSION AT A MEETING HELD ON THE DATE INDICATED By: ABOVE UNDER AGENDA ITEM City Attorney NO. C:\WFS1\DOC \OCOE\FORDRFSO.DOC16/30/93IODErrEIPER:.d Page 1 SCHEDULE A-I - EQUIPMENT LEASE-PURCHASE AGREEMENT Lease No. 36895 This Equipment Schedule dated as of 07/07/93, is being executed by Ford Motor Credit Company ("Lessor"), and City of Ocoee ("Lessee"), as a supplement to, and is hereby attached to and made a part of that certain Equipment Lease-Purchase Agreement dated as of 03/10/93 ("Lease"), between Lessor and Lessee. Lessor hereby leases to Lessee under and pursuant to the Lease, and Lessee hereby accepts and leases from Lessor under and pursuant to the Lease, subject to and upon the terms and conditions set forth in the Lease and upon the terms set forth below, the following items of Equipment: QUANTITY DESCRIPTION (MANUFACTURER, MODEL AND SERIAL NO.) SUPPLIER 1 1993 Ford Crown Victoria Police Interceptor Don Reid Ford, Inc. Serial No. : 2FACP71W4PX175079 EQUIPMENT LOCATION: City of Ocoee 150 North Lakeshore Drive Ocoee, FL 34761 Initial Term: 36 Months Commencement Date: 07/07/93 Periodic Rent: 5 Consecutive Semi-Annual Payments of $2,300.38 each (including interest), followed by one final payment of $2,300.36 plus any and all other payments due under this Lease-Purchase Agreement. The Periodic Rent Payments also include any applicable sales/use tax due and payable on the Lease Payment Dates, set forth in Schedule A-I, Page 2. EXECUTED as of the date first herein set forth. LESSEE: CITY OF OCOEE LESSOR: FORD MOTOR CREDIT COMPANY BY: BY: S. Scott Vandergrift K. A. Carlson Mayor Manager, Marketing & Sales Schedule A-I Page 2 Payment Schedule Lease Number: 36895 Lease Lease Payment Payment Lease Interest Principal Concluding Number Date Payment Portion Portion Payment 1 7 / 7 /1993 $2,300.38 $0.00 $2,300.38 $10,482.62 2 1 / 7 /1994 2,300.38 332.82 1,967.56 8,515.06 3 7 / 7 /1994 2,300.38 270.35 2,030.03 6,485.03 4 1 / 7 /1995 2,300.38 205.90 2,094.48 4,390.55 5 7 / 7 /1995 2,300.38 139.40 2,160.98 2,229.57 6 1 / 7 /1996 2,300.36 70.79 2,229.57 1.00 TOTALS 13,802.26 1,019.26 12,783.00 LESSOR: FORD MOTOR CREDIT COMPANY P. 0. Box 1739 Dearborn, MI 48121 DELIVERY AND ACCEPTANCE CERTIFICATE The undersigned Lessee hereby acknowledges receipt of the Equipment described below ("Equipment") as fully installed and in good working condition; and Lessee hereby accepts the Equipment after full inspection thereof as satisfactory for all purposes of the Equipment Lease-Purchase Agreement ("Lease") executed by Lessee and Lessor. LEASE LEASE SCHEDULE A-I DELIVERY PURCHASE PURCHASE DATE NUMBER DATE NUMBER DATE ORDER NO. 03/10/93 36895 07/07/93 1 -- -- EQUIPMENT INFORMATION QUANTITY DESCRIPTION (MANUFACTURER, MODEL AND SERIAL NO. ) SUPPLIER 1 1993 Ford Crown Victoria Police Interceptor Don Reid Ford, Inc. Serial No. : 2FACP71W4PX175079 LESSEE: City of Ocoee BY: 150 North Lakeshore Drive Ocoee, FL 34761 (TITLE) DATE ACCEPTED: ,.., 8038-GC teefidstetfi•Information Return for Small Tax-Exempt Governmental Bond Issues, Leases and Installment Sales oMa No.1545.0720 (Rev.October 1989) . -110,Under Section 149(e) I.For calendar year ending 19 Expnes 05/31/92 Department or the Treasury (Use Form 8038-G if the issue price of the issue is$100,000 or more.) Internal Revenue Unice Part I Reportin thority Check box if Amended Return ► ❑ I Is n'a Odee& I Si Go Q 74i/ number 3 Numberand reel o Lae(i�C ‘���" f- 3,_.... ,,e, // • 4 Cit :n•JP 1 'estatZIP c—� .1. 1r6/ Part II Description of Obligations Issue price of the small tax - - -t governmental ob i.ation 15 - 7j' 00 6 h k the box that most nearly approximates the weighted average maturity of the obligations: a Less than 5 years �, %,% ; /i / ,' / ��/ b 0 From 5 to 10 years , ,, �,,/ � iia, c ❑ More than 10 years "''''/ ""''/�' ',/// 'G/�'" %/� /%/ /i// ,i%/ %// 7 Check the box that most nearly approximates the weighted average interest rate on the obligations: �/ /' // iG/'//� aLess than 5% '!' ','/' //// b From 5%to 10% c More than 10% / / / 8 Total issue price of the obligations reported on line 5 that are: a Obligations issued in the form of a lease or installment sale 8a /j 7,_3 b Obligations designated by the issuer under section 265(bX3XBXiXIII) 8b c Obligations issued to refund prior issues 8e d Loans made from the proceeds of another tax-exempt obligation ; 8d a Under penalties of perjury.I declare that I have examined this return and accompanying schedules and statements.and to the best of my knowledge and belief. Please they are true.correct.and complete. Sign Here Signature of officer Date Type or print name and title • General Instructions If you have comments concerning the Who Must File (Section references are to the Internal accuracy of thus time estimate or Each issuer must file Form 8038-GC for all Revenue Code unless otherwise noted.) suggestions for making this form more tax-exempt governmental bonds,leases and b simple,we woulde happy to hear from installment sales issued during the calender Paperwork Reduction Act Notice you.You can write to either the Internal year,with an issue price of less than Revenue Service,Washington.DC 20224, $100,000.Form 8038-G is filed to report We ask for this information to carry out the Attention:IRS Reports Clearance Officer, each issue of governmental obligations with Internal Revenue laws of the United States. T:FP:•or the Office of Management and issue prices of$100,000 or more. We need it to ensure that you are complying Budget,Paperwork Reduction Project with these laws.You are required to give us (1545-0720),Washington,DC 20503. When To File this information. Item You Should Note File Form 8038-GC on or before February The time needed to complete and file this A governmental unit is required to file this 15th after the close of the calendar year in form varies depending on individual form for all small tax-exempt governmental which the issue is issued.Form 8038-GC circumstances.The estimated average time obligations on which it pays interest These must be completed based on the facts as of Is: obligations include bonds,leases and the close of the calendar year. Recordkeeping . . . . 3 hrs.,21 min. installment sales. Late filing.—A Form 8038-GC filed after Learning about the Purpose of Form the due date may be granted an extension law or the form 1 hr.,34 min. Form 8038•GC is to be used by issuers of of time to file under section 3 of Rev. Proc. Preparing88-the form. . . 2 hrs.,37 min. tax-exempt governmental obligations to that the0.1988-1e C.B. in a ifi it is determined that failure to file in a timely manner is Copying, provide IRS with the information required by not due to willful neglect.A late Form py' g,hesombltog,and section 149(e)and to monitor the sending the form to IRS .16 min. requirements of sections 141 through 150. Form 8038–GC (Rev 10-89) 11/2/92 Published by Tax Management Inc.,a Subsidiary of The Bureau of National Affairs,Inc. 8038-GC.1 53 Form 8038-GC (Rev. 10.89) Page 2 8038-GC should be sent to:Internal same issuer,on the same date,and supplemented by estimates made In good Revenue Service,Philadelphia Service pursuant to a single transaction(or series of faith.All entries may be based on good Center.Statistics of Income Unit.P:DA: related transactions).With respect to faith approximations. . Unit F•S01,Philadelphia,PA 19255,Stop draw-down loans,all amounts reasonably Line 5.—Enter the total issue price of all 89335.Type or print at the top of the form, expected to be advanced within 3 years of small tax-exempt governmental obligations • -This Statement Is Submitted in the date of the first draw may be treated as issued during the calendar year.Small Accordance with Rev. Proc.88-10."Attach part of the same issue if the draws are ' governmental obligations means those with to the Form 8038-GC a letter briefly setting equally and ratably secured by the same an issue price of less than$100.000.If the forth the reasons why Form 8038-GC was loan agreement and are pursuant to a obligations are reoffered to the public by an not submitted•to the IRS on time,and also common financing arrangement.All intermediary,the issue price is the indicating whether the obligation in obligations that are issued pursuant to a reoffering price(excluding accrued question is under examination by the IRS. single finance lease or installment interest). Do not submit copies of any bond purchase agreement may be treated as The issue price of an obligation means documents,leases.or installment sale part of the same issue if all of the property the principal amount due on the obligation documents. covered by that agreement is reasonably and does not include interest paid or to be Where To File expected to be delivered within 3 years of paid.Therefore line 5 should include only the date of issue of the first obligation. the principal amount due on obligations File Form 8038-GC with the Internal sold during the calendar year.For example, Revenue Service Center,Philadelphia,PA Specific Instructions only the purchase price of an asset acquired 19255. Part I.—Reporting Authority pursuant to a lease should be included on Definitions Amended Return.—If you are filing an Line 5 and only in the year such lease is amended Form 8038-GC,check the entered into.A lease or installment sale is • A tax-exempt obligation is not limited to amended return box and complete Part 1 treated as issued on the date interest starts the formal issuance of bonds.It alsoto accrue. and only those parts of Form 8038-GC you includes installment purchase agreementsLine 6.—The weighted average maturity is are amending by entering the correct and financial leases. the average maturity on the obligations. information.Do not file an amended Form With respect to bonds,each bond should be • A tax-exempt governmental obligation 8038-GC to amend estimated amounts you is a tax-exempt obligation that is not a previously reported once the actual weighted to its par value.For a lease or private activity bond. amounts are determined.(See the Part II installment sale,enter the total number of • A private activity bond is generally an instruction,below.) years the lease or installment sale will be obligation issued as part of an issue of Line 1.—The issuer's name is the name of outstanding. which:(1)More than 10%of the proceeds the entity issuing the obligations,not the Llne 7.—The weighted average interest are to be used for any private business use; name of the entity receiving the benefit of rate is the average interest rate on the and(2)More than 10%of the payment of the financing. In the case of a lease or obligations.Each bond should be weighted principal or interest of the issue is either installment sale,the issuer is the lessee or in proportion to its par value and its length secured by an interest in property to be purchaser. of maturity. used for a private business use(orLine 2—Issuer's employer identification Line 8.—Enter the total issue price of the payments in respect of such property),or isnumber(EIN).—If the issuer does not have obligations reported on line 5 that are to be derived from payments in respect of an employer identification number,enter described on lines 8a,8b.8c,and 8d.More property(or borrowed money)used for a "none'and attach a completed Form SS-4, than one line may apply to a particular private business use.An obligation is also Application for Employer Identification obligation.For example,obligations issued considered a private activity bond if theto refund prior issues which were Number,to Form 8038-GC.If,however,the amount of the proceeds to be used to make designated by the issuer under section issuer has previously applied for such a or finance loans(other than loans described number,attach a statement giving the date 265(bX3XBX1X1II)should be reported on in section 141(cX2))to certain persons line 8b and line 8c. exceeds the lesser of 5%of the proceeds,or of the application and the office where it $5,000,000.Private activity bonds should was submitted. Signature be reported on Form 8038,Information Part II.—Description of Obligations Form 8038-GC must be signed by an Return for Tax-Exempt Private Activity Bond authorized representative of the issuer.Also Issues. This part may be completed based on print the name and title of the person • Issue—Generally,separate obligations information readily available to the issuer signing the Form 8038-GC. should not be treated as part of the same at the close of the calendar year, issue if the obligations are not issued by the AMOS/nal Msesseaerta M Fonts e0$S-OC.Consolidated later than February 15th of the calendar year following the lnfonnnden Return ter Small Tax-Exempt Goverment Bond calendar year io which the issue is issued. Issues.Leases ant instilment Sobs(Rev.octaber.1909) U the issue of which the bond is a part was lamed during the first or second calendar quarters of 1992,however.the deadline for filing a Form$038-GC separately Is extended until November 19, 1992.For thug a Form 903$-GC sopa- Announcement 92-147 rarely for hoods issued during the third quarter of 1992.the filing deadline remains November 19.1992. Pursuant to T.D. $425. Information Reporting for Tax- Bond issuers that choose to file a separate return may Exempt Bond Issues. 1992-30 I.R.B. 7, issuers of govern- adapt and file the 1989 revision of Form 903$-GC until a mental bond issem that have an law price of les than new revision is released.To adapt the 1989 revlaioo of Form $100,000 and that are not private activity hoods, have an 8038-GC for separate tiling,the ismer should(1)strike the option of meeting the information reporting requirements word"Conchdated"is the title.and(2)strike line 3 of the • by filing a Form$038-GC separately for each small issue, form and write Issue price of the small tax-exempt govern- An lamer meat file a Form 80311-GC on a consolidated basis mental obligation"in its place. . for all small goveraaeetal bone.ismer issued during the Issuers that desire to file on a consolidated basis need not same calendar year for which information was not reported alter the 1989 revision of Form$038-GC in any way. on a separate return. U the issue is a construction isms and a irrevocable A Form 1038-GC filed separately must be filed no later election to pay a penalty in Ilan of arbitrage rebate has been than the 15th day of the second calendar month after the made on or before the date the bonds were imesd.continue close of the calendar quarter in which the ism is issued.A to follow the guidelines contained In Rev. Proc. 92-22. Form$039-GC filed on a consolidated basis must be filed no 1992-12 LRB.33,for amending Farm 80 8038-GC.2 Published by Tax Management Inc.,a Subsidiary of The Bureau of National Affairs,Inc. 11/2/92 • INSURANCE FACT SHEET We require a Certificate of Insurance or Declaration Page shown in the name of the Municipal- ity listed below. If Self-Insured for any coverage, a letter on Municipality letterhead is required. If more than one insurance company is used, indicate each & for what type coverage. Per the Agreement, we require Liability & Physical Damage on all vehicles, Liability & Property Damage on all other equipment & FORD MOTOR CREDIT COMPANY named as Loss Payee or Additional Insured. RETURN TO: Ford Motor Credit Company, P.O. Box 1739, Dearbom, MI 48121-1739 TRANS NO: 3689501 UP AGREEMENT NO: 36895 MUNI: City of Ocoee ADDRESS: 150 North Lakeshore Drive CITY: Ocoee, FL 34761 CONTACT: Karen Murphy PHONE: (407)656-2322 EQUIP DESC: One 1993 Ford Crown Victoria Police Interceptor, 2FACP71 W4PX175079 INSURANCE CONTACT: ADDRESS: CITY: STATE: ZIP: PHONE: CONTACT PERSON: POLICY NO: EXPIRATION DATE: LIABILITY AMT: PROPERTY DAMAGE AMT: PHYSICAL DAMAGE AMT: COMPREHENSIVE DEDUCTIBLE: COLLISION DEDUCTIBLE: INSURANCE CONTACT: ADDRESS: CITY: STATE: ZIP: PHONE: CONTACT PERSON: POLICY NO: EXPIRATION DATE: • LIABILITY AMT: PROPERTY DAMAGE AMT: PHYSICAL DAMAGE AMT: COMPREHENSIVE DEDUCTIBLE: COLLISION DEDUCTIBLE: SELF-INSURED FOR: LIABILITY: PROPERTY: PHYSICAL: CONTINUOUS COVERAGE: FROM TO