HomeMy WebLinkAboutReso 1998-18942 RESOLUTION NO. 18942
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA
VISTA AUTHORIZING THE DI RECTOR OF FINANCE TO EXECUTE
A REFUNDING LEASE-PURCHASE PLAN TO REFINANCE THE
EXISTING LEASE-PURCHASE AGREEMENT THAT PROVIDED
FUNDING FOR THE PURCHASE OF (1) A PUBLIC SAFETY
COMPUTER AIDED DISPATCH MOE~ILE E)ATA TERMINAL
SYSTEM, (2) AN 800 MHz COMMUNICATION SYSTEM, AND (3)
MISCELLANEOUS HEATING AND AiR CONDiTIONiNG
EQUIPMENT, APPROVING AN INCREASE IN THE AMOUNT OF
THE REFUNDING LEASE-PURCHASE AGREEMENT TO FINANCE
ADDITIONAL COSTS IN TWO OF THESE PROJECTS, AND
APPROVING AMENDMENTS TO THE CAPITAL PROJECT AND
DEBT SERVICE BUDGETS TO REFLECT THESE ACTIONS
WHEREAS, on March 25, 1997, Council approved the purchase of a Public Safety
Computer Aided Dispatch and Mobile Data Terminal System from Unisys Corporation and an
800 MHz Communication System from Motorola, Inc., with both contracts subject to
obtaining financing; and
WHEREAS, on May 6, 1997, Council approved an additional project to retrofit various
heating and air conditioning equipment and a lease-purchase agreement with CaLease Public
Funding Corporation ("CaLease") at an interest rate of 6.39 percent to provide the necessary
funding for all three projects totaling $3,459,860; and
WHEREAS, approval is requested for a refinancing of the May 6th lease-purchase
financing agreement with CaLease for the purpose of reducing interest costs and to increase
the borrowing to fund additional requirements in the first two projects totaling $305,600
"Refunding Lease-Purchase Plan); and
WHEREAS, the interest rate offered by CaLease for the Refunding Lease-Purchase Plan
is 5.46 percent, which is substantially less than the interest rate in the original lease-purchase
agreement, and a full 0.30 less than the current weighted average yield on the City's
investment portfolio.
NOW, THEREFORE, BE IT RESOLVED the City Council of the City of Chula Vista does
hereby:
1, Approve a Refunding Lease-Purchase Plan on the terms presented which (a)
refinances the existing Lease-Purchase Agreement that provided funding for the
purchase of a Public Safety Computer Aided Dispatch and Mobile Data Terminal
System, an 800 MHz Communication System, and miscellaneous heating and
air conditioning equipment; and (b) increases the borrowed amount by
$305,600.
2. Appropriate anticipated proceeds of $305,600 from the approved Refunding
Lease Purchase Plan to the Capital improvement Fund to acquire the additional
equipment.
Resolution 18942
Page 2
3. Appropriate anticipated proceeds of $3,140,945 from the approved Refunding
Lease Purchase Plan to retire the remaining balance of the existing obligation.
4. Authorize the Director of Finance to execute all Refunding Lease Purchase Plan
Agreements in forms to be kept on file with the City Clerk as Document No.
CO98-052, and to take all other necessary and appropriate actions to
implement this Resolution.
Presented by Approved as to form by
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Resolution 18942
Page 3
PASSED, APPROVED, and ADOPTED by the City Council of the City of Chula Vista,
California, this 31 st day of March 1998, by the following vote:
AYES: Councilmembers: Moot, Padilia, Rindone, Salas and Horton
NAYES: Councilmembers: None
ABSENT: Councilmembers: None
ABSTAIN: Councilmembers: None
ATTEST:
Beverly ATAut~elet, City Clerk
STATE OF CALIFORNIA )
COUNTY OF SAN DIEGO ) ss.
CITY OF CHULA VISTA )
I, Beverly A. Authelet, City Clerk of the City of Chula Vista, California, do hereby certify that
the foregoing Resolution No. 18942 was duly passed, approved, and adopted by the City
Council at a regular meeting of the Chula Vista City Council held on the 31st day of March,
1998.
Executed this 31st day of March, 1998.
helet, City Clerk