HomeMy WebLinkAbout03-12 - Financing of Computer Hardware and Software System for Police DepartmentRESOLUTION NO. 03-12
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
COSTA MESA, CALIFORNIA, AUTHORIZING THE
EXECUTION AND DELIVERY OF A LEASE WITH OPTION
TO PURCHASE, AND AUTHORIZING CERTAIN ACTIONS
IN CONNECTION THEREWITH FOR THE FINANCING OF
THE COMPUTER HARDWARE AND SOFTWARE SYSTEM
FOR THE COSTA MESA POLICE DEPARTMENT.
THE CITY COUNCIL OF THE CITY OF COSTA MESA DOES HEREBY
RESOLVE AS FOLLOWS:
WHEREAS, the City of Costa Mesa (the "City") is a municipal corporation -
organized and existing under and pursuant to the Constitution and laws of the State of
California (the "State"); and
WHEREAS, the City desires to provide for financing in the approximate amount
of $3,400,000.00 for the acquisition of a computer hardware/software system for the
Police Department (the "Property"); and
WHEREAS, Municipal Finance Corporation (the "Corporation") has proposed a
cost-effective lease purchase financing arrangement at a 3.60% interest rate.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of
Costa Mesa as follows:
SECTION 1. Lease with Option to Purchase. The City Manager is hereby
authorized to enter into a Lease with Option to Purchase (the "Lease") with the
Corporation to finance the Property, subject to approval as to form by the City
Attorney.
SECTION 2. Attestations. The Clerk is hereby authorized and directed to
attest to the signature of the City Manager or of such other person or persons as
may have been designated by the Mayor or City Manager, and to affix and attest the
seal of the City, as may be required or appropriate in connection with the execution
and delivery of the Lease..
SECTION 3. Other Actions. The City Manager or his designee is hereby
authorized and directed, jointly and severally, to take any and all actions and to
execute and deliver any and all agreements, documents and certificates which they
may deem necessary or advisable in order to carry out, give effect to, and comply
with the terms of this Resolution and the Lease. Such actions are hereby ratified,
confirmed, and approved.
SECTION 4. Qualified Tax Exempt Obligations. The Lease is hereby
designated as a "qualified tax-exempt obligation" within the meaning of Section
265(b)(3) of the Internal Revenue Code of 1986, as amended (the "Code"), The
City, together with all subordinate entities of the City, does not reasonably expect to
issue during the calendar year in which the Lease is issued more than
$10,000,000.00 of obligations which it could designate as "qualified tax-exempt
obligations" under Section 265(b) of the Code.
SECTION 5. Reimbursement of Prior Expenditures. The City declares its
official intent to be reimbursed from the proceeds of the Lease approved hereby for a
maximum principal amount of $3,400,000.00 of expenditures occurring no earlier
than sixty days prior to the adoption of this Resolution. All reimbursed expenditures
will be capital expenditures as defined in Section 1.150-1(b) of the Federal Income
Tax Regulations.
SECTION 6. Effect. This Resolution shall take effect immediately upon its
passage.
PASSED AND ADOPTED this 18th day of February, 2003.
ATT% T:
r
Deput ity Clerk of the City of Costa Mesa
STATE OF CALIFORNIA)
COUNTY OF ORANGE ) ss
CITY OF COSTA MESA )
r of the City of Costa Mesa
PPROVED AS TO FORM
City Attorn
I, JULIE FOLCIK, Deputy City -Clerk and ex -officio Clerk of the City Council of the
City of Costa Mesa, hereby certify that the above and foregoing Resolution
No. 03-12 was duly and regularly passed and adopted by the said. City Council at
a regular meeting thereof held on the 18th day of February, 2003, by the following roll
call vote:
AYES: Robinson, Steel, Cowan, Monahan, Mansoor
NOES: None
ABSENT: None
IN WITNESS WHEREOF, I have hereunto set my hand and affixed the seal of
the City of Costa Mesa this 19th day of February, 2003.
Deputy,Qaol-:A-�
ity Clerk and ex -officio Clerk of
the C' y Council of the City of Costa Mesa