Item VII (E) Lease-Purchase of New City Vehicles for Fiscal Year 99/00 Agenda 11-02-99
"CENTER OF GOOD LIVING-PRIDE OF WEST ORANGE" Item VII E
•
MAYOR•COMMISSIONER
Oco a S.SCOTT VANDERGRIFT
O
0 CITY OF O C O E E COMMISSIONERS
PP-+. �1► �
Oa 150 N. LAKESHORE DRIVE DANNY HOWELL
SCOTT ANDERSON
OCOEE,FLORIDA 34761-2258 RUSTY JOHNSON
(407)656-2322 NANCY J.PARKER
44:4
Of GOOV N>
CITY MANAGER
ELLIS SHAPIRO
MEMO UDR
TO: The Honorable Mayor and City Commissioners
FROM: Joyce Tolbert, Buyer
DATE: October 26, 1999 U
RE: Lease-Purchase of New City Vehicles for Fiscal Year 99/00
The budget for Fiscal Year 99/00 included the lease-purchase of (2) two new vehicles for the
Police Department and(5) new city vehicles, as per the attached listing.
Ford Motor Credit Company has informed the City, per the attached e-mail, that production
scheduling is being accelerated this year due to Y2K. Therefore all vehicles need to be ordered
by November 19, 1999 in order to start production of the vehicles in January 2000.
The best pricing was found through the Sheriffs Office & Local Governmental Agencies of the
State of Florida Cooperative Bid #99-07-0913. The total cost for all vehicles is $137,548.00,
which does not include the administration fee of$50.00 per vehicle for items purchased through
the Bid#99-07-0913.
Staff contacted Suntrust Bank, Ford Motor Credit Company, and Commercial & Municipal
Capital for non-bank qualified financing. Based upon a lease term of (3) years for the police
vehicles: Suntrust Bank interest rate is 6.28%, Ford Motor Credit interest rate is 5.5%, and CMC
did not respond due to the small dollar amount and the City being non-bank qualified. Based
upon a lease term of(4) years for the other city vehicles: Suntrust Bank interest rate is 6.41%,
Ford Motor Credit interest rate is 5.70%, and CMC did not respond. Therefore, it was determined
that Ford Motor Credit offered the best interest rate. Please see the attached quotes.
The City currently has a Master Lease-Purchase Agreement with Ford Motor Credit Company.
These new purchases will be effected through schedule attachments to the Master Lease-
Purchase Agreement.
RECOMMENDATION
It respectfully is recommended that the City Commission approve the (2) Lease-Purchase
Agreements, which we will receive upon delivery of vehicles, between the City and Ford Motor
Credit Company and authorize execution thereof by the Mayor and City Clerk and further
authorize the Mayor, City Clerk, and Staff to execute all documents necessary to consummate the
transaction contemplated by the Agreement.
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Page 1 of 1
From: Ford Fleet Online <webemail@ford.com>
To: Fleet Customer <fin_dept@ocoee.org>
Date: Wednesday, September 15,1 999 7:52 AM
Subject: Ford Order Scheduling Prepares for Year 2000 Date Change
Fleet-O-Grams #114
Mark Your Calendars -- Ford Order Scheduling Prepares for Year 2000 Date Change
Ford Motor Company is taking steps to avoid any potential concerns that may arise from
the upcoming Y2K date change. As a result, production scheduling for December 1999
and January 2000 is being accelerated and combined into a single 4-week scheduling
period.
Orders for any vehicles you would like produced in December 1999 must be received by
Ford Motor Company no later than Friday, November 5, 1999. Additionally, orders for any
vehicles you would like produced in January 2000 must be received no later than Friday,
November 19, 1999 -- so mark these dates on your calendar! Orders received after
11/19/99 will be scheduled beginning with February 2000 production.
Please use the following priority code table to identify desired production weeks:
Desired Production Week Priority Code
November 29, 1999 M1
December 6, 1999 M2
December 13, 1999 M3
December 20, 1999 M4
December 27, 1999 Holiday Shutdown
January 3, 2000 Al
January 10, 2000 A2
January 17, 2000 A3
January 24, 2000 A4
Ford Motor Company cannot guarantee the production week; however, every effort will be
made to schedule vehicles for the requested timing. Please take into consideration High
Risk and Short Supply/Controlled Commodities, and high demand vehicles.
As always, the best assurance to secure desired production timing is to order early.
We appreciate your business and will do our best to keep you informed of future order
schedule changes. If you have any questions or need additional information, please call us
Toll-Free. . .
In the U.S.: 1-800-34-FLEET (35338)
In Canada: 1-800-668-5515
For a complete list of Fleet 0 Grams, visit our website at www.fleet.ford.com.
Thank you,
Ford Fleet Team
9/17/99
FILE No.257 10/25 '99 PN 05:53 I D:C1C3500 FAX:8132589333 PAGE 1
.86nt By: City of Ocoee; 4078567835; Oct-25-88 5:48PM; Pep 1/1
"CENTER OF GOOD)LIVING.PRIDE OF WEST ORANGE"
MAYOt.CUMMI4610weR
Ocoee
.4' S.SCOTT VANDERORIFI
C°%4
<Jry �# _ CITY, OF OCOEE \ CUMm4SIola
�''� q' 15O N.LAKESHORE DRIVR DANNY HOWELL
o °Con, FI.0RIDA 34761-2258A 01 ON
(407)656 2322 ,I / SCOTT RUSTYANDERSJOFINSON
0/ 00 NANCY J.PARKER
(I. J On MANAOCR
DPLIAS SHAPIR()
Facsimile Cover Sheet
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ATTN: i. - t !,
FAX #: I 3-4 --1Y-9-533
77) Fnl fib.
DATE: 0- 5 -1 ,
Number of Pages (Not Including Cover Sheet):
Special
Instructions: kms, *�■r AA 0 • .� - • la < < 11 a /, )16.7I I1 _. 0 0 a :<.Rn#iii ,W 111111E. ' 1 1
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If you do not receive all the pages of this transmittal, please 1:
at (407)656-2322 Ext. I Q
or fax at(407)656-7835.
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10/25/1999 18:10 Creviston,A acrevis Document ID: fms25-17328 Page: 2
Ford Motor Credit Company The American Road
P.O.Box 1739
Dearborn,Michigan 48121-1739
October 25, 1999
Joyce Tolbert
City of Ocoee
Dear Joyce Tolbert:
Re: Ford Municipal Finance Program-Quotation for City of Ocoee, FL
Please review the following information. Rates and payment factors are applicable for total amounts funded from
S75,000 - $149,999. The quote is good until 01/31/2000.
A Documentation Fee of$300 is required per transaction — not per unit, for the total amounts funded under
S50,000 that can be paid at delivery or funded over the term.
This finance proposal applies to the following options:
Option A: (2) 2000 Crown Victoria Police Sedans at 19567.00
Option B: (1) 2000 Ranger at$11,239.00, (3) 2000 Fl 50's at$19,567.00 and (1) 2000 F350 c/c w/service body at
$28,120.00
(Range) No Payment Dealer Payment
Total Amount Funded of Pymts Timing Rate Factor Amount
$39,488.00 12 Quarterly in Advance 5.50% 0.089734 $3,543.42
$98,060.00 16 Quarterly in Advance 5.70% 0.069350 $6,800.46
The Ford Municipal lease-purchase finance plan requires no security deposit, has no prepayment penalty, no
mileage penalty, nor hidden fees. The program is non-recourse to the dealer, the same as cash sale from the dealer
to the municipal customer. At inception, the new equipment title/registration indicates the municipality as
Registered Owner, and designates Ford Motor Credit Company, P.O. Box 1739, Dearborn, MI 48121-1739, as
First Lienholder. At term end, the municipality buys the equipment $1. The municipality, as Owner of record, is
eligible for the Ford Government Price Concessions or other discounts,to reduce product cost.
Please note: Ford Credit's fmancing is subject to: 1) review and approval of the Municipality's
two most recent audited fmancial statements and 2) mutually acceptable documentation. Sample
forms and documentation are available upon request.
If you need additional information, please call me at 1-800-241-4199, EXT. 15. Thank you for your interest in
the Ford Municipal Finance Plan.
Sincerely,
Ann F. Creviston
Marketing Coordinator
Attachments
10/26/99 10:24 FAX 1 407 237 6704 SUNTRUST 21002/004
MEMO
To: Joyce Tolbert
From: Martha Arias
Subject: Lease Purchase Quote
Date: October 26, 1999
A non-bank qualified rate of 6.28% was quoted for a$39,488 lease purchase with a three-year
term, quarterly payments of$3,579.86 in advance for the acquisition of police vehicles. This
rate will be fixed until November 23, 1999.
A non-bank qualified rate of 6.41% was quoted for a$98,060 lease purchase with a four-year
term, quarterly payments of$6,886.35 in advance for the acquisition of trucks. This rate will
be fixed until November 23, 1999.
If the funding is after November 23, 1999,please see the paragraph below.
If the funding is after November 23, 1999, the above Interest Rates may be adjusted by eighty-
two (82)percent of the change, upward or downward, in the index from the date of this Proposal
to the funding date. The then-prevailing interest rate will be fixed for the Lease Term. The
current yield as of October 26, 1999 of a 3-year United States Treasury Note, as published in the
Wall Street Journal, is six and six hundredths percent (6.06%).
Please call me at 237-4394 for further discussion. Thank you.
10/26/99 10:24 FAX 1 407 237 6704 SUNTRUST [ 003/004
• AMORTIZATION SCHEDULE
---- Aggregate Of Lending Loans ----
•
Prepared Oct-26-1999 10:07 by1.539 years
M Arias
Aggregate average life 6.28000000%
Rate
StartingDebt Remaining
date Balance TakeDowns . Service Interest Principal Balance
Nov-20-99 0.00 39,488.00 3,579.86 0.00 3,579.86 35,908.14
39,488.00 3,579.86 0.00 3,579.86
Feb-20-00 35,908.14 0.00 3,579.86 563.76 3,016.10 32,892,04
May-20-00 32,892.04 0.00 3,579.86 516.40 3,063.46 29,828.58
Aug-20-00 29,828.58 0.00 3,579.86 468.31 3,111.55 26,717.03
Nov-20-00 26,717.03 0.00 3,579.86 419.46 3,160.40 23,556.63
0.00 14,319.44 1,967.93 12,351.51 ,
Feb-20-01 23,556.63 0.00 3,579.86 369.84 3,210.02 20,346.60
May-20-01 20,346.60 0.00 3,579.86 319.44 3,260.42 17,086.19
Aug-20-01 17,086.19 0.00 3,579.86 268.25 3,311.61 13,774.58
Nov-20-01 13,774.58 0.00 3,579.86 216.26 3,363.60 10,410.98
0.00 14,319.44 1,173.79 13,145.65
Feb-20-02 10,410.98 0.00 3,579.86 163.45 3,416.41 6,994.57
May-20-02 6,994.57 0.00 3,579.86 109.81 3,470.05 3,524.53
Aug-20-02 3,524.53 0.00 3,579.86 55.34 3,524.53 0.00
0.00 10,739.58 328.60 10,410.98
TOTAL 39,488.00 42,958.33 3,470.33 39,488.00
SuperTRUMP 7.03 financial model Page 1 Ivory Consulting Corporation
10/26/99 10:24 FAX 1 407 237 6704 SUNTRUST Z004/004
AMORTIZATION SCHEDULE
---- Aggregate Of Lending Loans ----
Prepared Oct-26-1999 10:07 by M Arias
Aggregate average life 2.074 years
Rate 6.41000000%
Starting Debt Remaining
date Balance TakeDowns • Service Interest Principal Balance
Nov-20-99 0.00 98,060.00 6,886.35 0.00 6,886.35 91,173.65
98,060.00 6,886.35 0.00 6,886.35
Feb-20-00 91,173.65 0.00 6,886.35 1,461.06 5,425.29 85,748.35
May-20-00 85,748.35 0.00 6,886.35 1,374.12 5,512.23 80,236.12
Aug-20-00 80,236.12 0.00 6,886.35 • 1,285.78 5,600.57 74,635.55
Nov-20-00 74,635.55 0.00 6,886.35 1,196.03 5,690.32 68,945.23
0.00 27,545.41 5,316.99 22,228.42 ,
Feb-20-01 68,945.23 0.00 6,886.35 1,104.85 5,781.50 63,163.73
May-20-01 63,163.73 0.00 6,886.35 1,012.20 5,874.15 57,289.57
Aug-20-01 57,289.57 0.00 6,886.35 918.07 5,968.29 51,321.29
Nov-20-01 51,321.29 0.00 6,886.35 822.42 6,063.93 45,257.36
0.00 27,545.41 3,857.54 23,687.87
Feb-20-02 45,257.36 0.00 6,886.35 725.25 6,161.10 39,096.26
May-20-02 39,096.26 0.00 6,886.35 626.52 6,259.83 32,836.42
Aug-20-02 32,836.42 0.00 6,886.35 526.20 6,360.15 26,476.27
Nov-20-02 26,476.27 0.00 6,886.35 424.28 6,462.07 20,014.20
• 0.00 27,545.41 2,302.25 25,243.16
Feb-20-03 20,014.20 0.00 6,886.35 320.73 6,565.62 13,448.58
May-20-03 13,448.58 0.00 6,886.35 215.51 6,670.84 6,777.74
Aug-20-03 6,777.74 0.00 6,886.35 108.61 6,777.74 0.00
0.00 20,659.06 644.85 20,014.20
TOTAL 98,060.00 110,181.64 12,121.64 98,060.00
•
SuperTRUMP 7.03 financial model Page 1 Ivory Consulting Corporation