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HomeMy Public PortalAboutResolution 04-18 Wheel Loader RefinanceRESOLUTION NO. 04-18 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MCCALL, IDAHO, AUTHORIZING THE EXECUTION AND DELIVERY OF A MUNICIPAL LEASE-PURCHASE AGREEMENT AND RELATED DOCUMENTS WITH RESPECT TO THE REFINANCING OF A LEASE OF A CATERPILLAR LOADER 924GZ TO BE USED BY THE CITY; AUTHORIZING THE EXECUTION AND DELIVERY OF DOCUMENTS REQUIRED IN CONNECTION THEREWITH; AUTHORIZING THE TAKING OF ALL OTHER ACTIONS NECESSARY TO THE CONSUMMATION OF THE TRANSACTIONS CONTEMPLATED BY THIS RESOLUTION; AND PROVIDING AND EFFECTIVE DATE. WHEREAS, THE CITY OF MCCALL, DAHO (the "City"), a body politic and corporate duly organized and existing as a political subdivision, municipal corporation or similar public entity of the State of Idaho, is authorized by the laws of the State of Idaho, to lease property for the benefit of the City and its inhabitants and to enter into contracts with respect thereto; and WHEREAS, the City leased a Caterpillar Loader 924GZ for the City to perform essential governmental functions in the principal amounts and under the terms of an Lease Agreement with First Security Bank, dated January 14, 2000; and WHEREAS, the City desires to refinance the January 14, 2000 Lease Agreement in the principal amounts and under the terms proposed in the letter from Wells Fargo Brokerage Services LLC dated December 3, 2004; and WHEREAS, in order to lease such property, the City proposes to enter into that certain Municipal Lease Purchase Agreement (the "Agreement") and related documents provided in the Agreement with Wells Fargo Brokerage Services, LLC (the "Lessor"), the form of which has been presented to the governing body of the City at this meeting; and WHEREAS, the governing body of the City deems it for the benefit of the City and for the efficient and effective administration thereof to enter into the Agreement and the related documents as provided in the Agreement for the funding of the lease to be therein described on the terms and conditions therein provided; NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF MCCALL, IDAHO follows: Section 1. Approval of Documents. The form, terms and provisions of the Agreement and the related documents as provided FORM OF AUTHORIZING RESOLUTION - PAGE 1 in the Agreement are hereby approved in substantially the forms presented at this meeting, with such insertions, omissions and changes as shall be approved by the Mayor of the City, the execution of such documents being conclusive evidence of such approval; and the Mayor of the City is hereby authorized and directed to execute the Agreement and all related documents and to deliver the Agreement and all related documents (including Exhibits) to the respective parties thereto. Section 2. Other Actions Authorized. The officers and employees of the City shall take all action necessary or reasonably required by the parties to the Agreement and all related documents to carry out, give effect to and consummate the transactions contemplated thereby (including without limitation the execution and delivery of Acceptance Certificates, and all other documents as contemplated in the Agreement) and to take all action necessary inconformity therewith, including, without limitation, the execution and delivery of any closing and other documents required to be delivered in connection with the Agreement. Section 3. No General Liability. Nothing contained in this Resolution, the Agreement any related document or any other Instrument shall be construed with respect to the City as incurring a pecuniary liability or charge upon the general credit of the City or against its taxing power, nor shall the breach of any agreement contained in this Resolution, the Agreement, any related documents or any other instrument or document executed in connection therewith impose any pecuniary liability upon the City or any charge upon its general credit or against its taxing power, except to the extent that the rental payments or purchase payments payable under the Agreement are special limited obligations of the City as provided in the Agreement. Section 4. Appointment of Authorized City Representatives. The Mayor and Clerk of the City are each hereby designated to act as authorized representatives of the City for purposes of the Agreement and all related documents until such time as the governing body of the City shall designate any other or different authorized representative for purposes of the Agreement and all related documents. Section 5. Qualified Tax-Exempt Obligation The City hereby represents that the City (including all "subordinate entities" of the City within the meaning of Section 265(b)(3)(E) of the Code) reasonably anticipates not to issue in the 2004 calendar year obligations beating interest exempt from federal income taxation under Section 103 of the Code (other than "private activity bonds" as defined in Section 141 of the Code) in an amount greater than $10,000,000.00. Pursuant to Section 265(b)(3) of the Code, the FORM OF AUTHORIZING RESOLUTION - PAGE 2 City hereby specifically designates the obligations under the Agreement as a "qualified tax- exempt obligation" within the meaning of Section 265(b)(3)(B) of the Code. Section 6. Repealer. All bylaws, orders and resolutions or parts thereof, inconsistent herewith, are hereby repealed to the extent only of such inconsistency. This repealer shall not be construed as reviving any bylaw, order, resolution or ordinance or part thereof. Section 7. Effective Date. This Resolution shall be effective immediately upon its approval and adoption. ADOPTED AND APPROVED by the city council of the City this 15th day of December, 2004. LESSEE: CITY OF MCCALL, IDAHO Kirk Eimers, Mayor ATTEST: Dan Irwin, City Clerk FORM OF AUTHORIZING RESOLUTION - PAGE 3