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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 ,%ba%rJeP ,r e ,tor M. q ! · r' 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