TC Ord. No. 1985-26ORDINANCE NO. 85-26
SERIES OF 1985
AN ORDINANCE AUTHORIZING EXECUTION OF A CERTAIN
EQUIPMENT LEASE AGREEMENT
BE IT ORDAINED BY THE TOWN COUNCIL OF THE TOWN OF AVON,
COLORADO:
Section 1. That a certain Equipment Lease Agreement,
together with its Exhibits, a copy of which agreement is attached
hereto as Addenda I, and the terms of it are hereby approved, and
hereby authorized.
Section 2. The Mayor and Town Clerk are hereby
authorized and directed to execute said Equipment Lease Agreement.
INTRODUCED, PASSED ON FIRST READING, APPROVED AND
ORDERED POSTED, THIS day o 1985, and a
public hearing his ordinance sha 1 be held at the regular
meeting of the -f-)-h Council of the Town of Avon, Colorado, on the
day of ~ 1985, at 7:30 p.m. in the Municipal
Building of the Town of Avon, Colorado.
TOWN OF AVON, COLORADO
17-
AlJnR . Q ong am, Mayor
A
atricia J. e, Town erk
INTRODUCED, PASSED ON SECOND READING, APPROVED AND
ORDERED POSTED THIS 10th day of December , 1985.
Allan R. ottingh , Mayor
EXHIBIT "A"
OPINION Of LESSEE'S COUNSEL
Governmental Unit/Lessee rroram = avow
Date of Agreement: January 1, 1986
Dealer/Lessor rASF. Potapp T FoiapmrwT
Gentlemen:
As counsel for TOWN OF AVON (the governmental unit
identified as LMEE in the captione agreement), I'have examined
duly executed originals of the Agreement dated the I,t day of
Januar , 198r, , by and-between LESSEE and the captioned
dealer as LESSOR, and tFe-proceedings taken by LESSEE to authorize
and execute the Agreement.
Based upon the examination and upon such other examinations as I
have deemed necessary or appropriate,-I am of the opinion that:
1. LESSEE is a body corporate and politic, legally existing under
. the laws of the State of COLORADO
2. The Agreement has been duly authorized, executed, and
delivered by LESSEE.
3. The Agreement is a legal, valid, and binding obligation of
LESSEE, enforceable in accordance with its terms. In the event
that LESSOR obtains a judgment against LESSEE in money damages,
as a result of an event of default under the Agreement, LESSEE
will be.obligated to pay such judgment.
Very truly yours,
Counsel or LESSEE
Form 3481
Printed in u.SA.
Title: Avon W 18B SN 9155504 Sale Price $42215.00 Less 1 Pymt of $101434
Loan Amount: $ 41200.66
Interest Rate M: 7.500
Periodic Payment: $ 1014.34
Term (Months) : 47.
Amortization Period: 47.
Ending Balance: $ 0.0
Fiscal Year End :December
Pmt Payment Date Principal Interest Balance
1
2/l/'1986
756.84
257.50
2
3/ 1 / 1986
761.57
252.77
3
4/ 1 / 1986
766.33
248.01
4
5/ 1 / 1986
771.12
243.22
5
6/ 1 / 1986
775.93
238.41
6
7/ 1 / 1986
780.78
233.56
7
8/ 1 / 1986
785.66
228.68
8
9/ l / 1986
790.57
223.77
9
10/1/1986
795.52
218.82
10
11/1/1986
800.49
213.85
11
12/1/1986
805.49
208.85
Fiscal Year Totals
8590.30
2567.44
40443.82
39682.26
389 15.93
38144.82
37368.88
36588.10
35802.43
3501 1.86
34216.34
33415.85
32610.36
12
1/1/1987
810.53
203.81
31799.84
13
2/ 1 / 1987
815.59
198.75
30984.25
14
3/ 1 / 1987
820.69
193.65
30163.56
15
4/ 1 / 1987
825.82
188.52
29337.74
16
5/ 1 / 1987
830.98
183.36
28506.76
17
6/ 1 / 1987
836.17
178.17
27670.59
18
7/ 1 / 1987
841.40
172.94
26829.19
19
8/ 1 / 1987
846.66
167.68
25982.53
20
9/ 1 / 1987
851.95
162.39
25130.58
21
-10/ 1 / 1987
857.27-
157.07
24273.31
22
1 1 / 1 / 1987
862.63
151.71
23410.68
RECr ;ifE- a' P 0U 12, ;985
Pmt's .
Payment Date
Principal
Interest
Balance
23
12/1/1987
868.02
146.32
-
-
22542.65
Fiscal Year Totals
10067.71
-
-
-
210437
24
1/1/1988
873.45
140.89
21669.21
25
2/ 1 / 1988
878.91
135.43
20790.30
26
3/ 1 / 1988
884.40
129.94
19905.90
27
4/ 1 / 1988
889.93
12441
19015.97
28
5/ 1 / 1988
895.49
1.18.85
18120.48
29
6/ l / 1988
901.09
113.25
17219.39
30
7/ 1 / 1988
906.72
107.62
16312.67
31
8/ 1 / 1988
912.39
101.95
15400.29
32
9/ 1 / 1988
918.09
96.25
14482.20
33
10/1/1988
923.83
90.51
13558.37
34
II/l/1988
929.60
84.74
12628.77
35
12/1/1988
935.41
78.93
11693.36
Fiscal Ye
ar Totals
1.0849.29
1322.79
36
1 / 1 / 1989
941.26
73.08
10752.11
37
2/ 1 / 1989
947.14
67.20
-980497
38
3/1/1989
953.06
61.28
8851.91
39
4/ 1 / 1989
959.02
55.32
7892.89
40
5/ 1 / 1989
965.01
49.33
6927.88
41
6/ 1 / 1989
971.04
43.30
5956.84
42
7/ 1 / 1989
977.11
37.23
4979.73
43
8/ 1 / 1989
983.22
31.12
3996.52
44
9/ 1 / 1989
989.36
24.98
3007.15
45
10/1/1989
995.55
18.79
2011.61
46
II/l/1989
1001.77
12.57
1009.84
47
12/1[1989
1009.84
6.31
0.0
Fiscal Year Totals
11693.36
480.53
Pmt * Payment Date Principal Interest Balance
Grand Totals 41200.66 6475.13
Ending Bal. 0.0
Gentlemen:
We are pleased to inform you that, pursuant to your request, we are agreeable to entering into a leasing trans-
action with you in accordance with the terms of the Agreement, and other documentation enclosed herewith and upon
the following additional terms and conditions. The terms used herein have the same meanings as set forth in the
Agreement.
1. Equipment: Case W180 B articulator
Wheel Loader'
5. Tern: of Agreement
From: - January 1 , 1986
To: nerember 1.1989
2. Location:
AVON, COLORADO
3. Cost of Equipment: $42,215.00
6. Fiscal Year
Fiscal Year of Municipality begins on Jan. 1
4. Payment:
6. Interest applied to principal at the
rate of 7.5 is
D. Total of payments: S 48.688 - -12
c. Each payment: S 1.014.34
d. Due date of each payment: 1st of month
7. Delivery Date: within 10 daUc of j~n
8. Expiration Date of this Commitment Letter:
If the Equipment has not been delivered at the above described Location and accepted by you prior to the above
Expiration Date, or there is, prior to said Expiration Date, in our opinion, an adverse change in your financial
condition them., at our option, we may terminate our obligations under this Commitment Letter.
It is understood that our obligations are contained only in this letter and any amendment to it in writing, signet
by our authorized officer. If you agree to enter into the transaction on the terms set forth in the Letter and in
the Agreement, please indicate your acceptance by delivery to us the enclosed copy of this Letter with your
executed acceptance thereon within fifteen (15) days frou the date of this Letter.
Please be assured of out desire to give you the best and most efficient service.
Very truly yours,
Date: JI CASE COMPANY DBA CASE POWER & EQUIPMENT
Dealer,.
By:
Title: Sal s Manger .
ACCEPTANCE:
tie hereby agree to enter into the transaction described above on-the terms and conditions and with the agreements
and covenants set forth above and agree that the foregoing Commitment Letter shall be a part of the Agreement
referred to in said Commitment Letter.
PWICIPALITY
By:
Title:
Date:
Fnr- 3Loc
Primed in USA AGREEMENT Form No 3328 Rev 1
ADDENDA I
AGREEMENT by and between aT Cur rnMPANV nRA rAsr pniarg t r 11TPMENT
located at_ l anoo_r 99na wre City of ATTRnRA
State of -nT ^ its successors, assigns, and/or nominees (hereinafter called "SELLER") and
the undersigned (hereinafter called the '-MUNICIPALITY'*).
1. DESCRIPTION OF EQUIPMENT.
SELLER has purchased the equipment described below (hereinafter referred to as "Equipment') from the manufacturer and simultaneously
MUNICIPALITY hereby purchases the Equipment from SELLER subject to the terms and conditions set forth below:
CASE W18 8 Articulated Wheel Loader SN 9155504 with extended warranty
2. TERM OF AGREEMENT.
The term of this Agreement shall be 48 months, beginning on .Tan»ary 1 119 86 and ending on
rbnc..,twr 1 19 R9
3. PAYMENT.
a. MUNICIPALITY agrees to pay to Seller a total of payments of $ 46,698.32 consisting of a principal amount of
$ 41,215 O plus Interest applied to the principal at the rate of 7 - 5 % per annum which results in a finance
charge of $ r, 473 39 according to the following schedule:
1. An advance payment in the sum of $ 1 ' n1 4 '14 to be applied to the first rental period.
2. The balance of the total of payments to be payable in 47 payments of $ 1,014.34 each due at the beginning
of each 1 q+ month portion beginning the . 1 st day of 'Pebr»ar; , 1986 -
b. MUNICIPALITY hereby agrees to pay interest on each payment past due more than ten (10) days at the highest contract rate allowed by law.
4. MUNICIPALITY'S OPTION TO PURCHASE.
SELLER hereby grants to MUNICIPALITY the option to purchase the Equipment, provided that MUNICIPALITY gives notice to SELLER, in writing.
of his intention to exercise the option at least 'In days prior to the expiration of this Agreement, and provided further that
MUNICIPALITY'S right to so purchase the Equipment is conditioned on MUNICIPALITY'S complete performance of all the terms and provisions
of this Agreement on its pan to be performed, including full compliance with the payment as specified herein.
a Should MUNICIPALITY exercise the option to purchase, 100 % paid hereunder shall be applied to the purchase price of the Equipment.
Or receipt of the balance of the purchase price by SELLER, together with a sum equal to any new or applicable unpaid sales and use taxes.
SELLER will transfer title of the Equipment to MUNICIPALITY, and will deliver, on written request, written evidence of the transfer of such tale.
b The Purchase Price of the Equipment applicable to this option to purchase is the sum Of $ 42,215.00
5 LOCATION OF EQUIPMENT.
a The Equipment shall be located at during the entire term of this Agreement.
MUNICIPALITY shall not, without the prior writ en consent of SELLER, permit the Equipment to be removed from this location.
b. At the request of SELLER. MUNICIPALITY will join SELLER in executing one or more Financing Statements, pursuant to the Uniform
Commercial Code or other registration law applicable to the location of the Equipment and/or the MUNICIPALITY, in form satisfactory to
SELLER. MUNICIPALITY will pay the cost of filing the Financing Statement(s) in all public offices wherever filing is deemed by SELLER to be
necessary or desirable
6 WARRANTY.
SELLER makes no representations or warranties with respect to the Equipment set forth herein. Any warranties provided by SELLER on the
Equipment set forth herein shall be given to MUNICIPALITY under separate agreement provided by the manufacturer of the Equipment, the
receipt whereof is hereby acknowledged by MUNICIPALITY.
7 MUNICIPALITY RESPONSIBILITIES.
a MUNICIPALITY assumes and will pay all costs and expenses of any character, arising from the use, possession, or maintenance of said
Equipment.
b MUNICIPALITY shall keep the Equipment free of all liens, taxes, encumbrances and seizure or levy; shall not use same illegally, shall not
damage abuse, misuse. abandon or lose said Equipment, shall not pan with possession thereof, whether voluntarily or involuntarily or
transfer any interest therein.
c. MUNICIPALITY at its own cost and expense shall maintain property damage insurance against "all-risk of physical damage" in such amounts
as SELLER may reasonably require Such insurance shall be in a form and with companies as SELLER shall approve, which approval shall not
be unreasonably withheld, shall name SELLER as an additional insured and shall provide that such insurance may not be cancelled or altered
as to SELLER without at least ten (10) days prior written notice to SELLER. MUNICIPALITY shall deliver to SELLER on or before the date on
which the Equipment is delivered evidence satisfactory to SELLER of such insurance.
8 SELLER'S RIGHT OF INSPECTION.
Seller shall have the right at any time to enter the premises occupied by the Equipment and shall be given free access thereto and afforded
necessary facilities for the purpose of inspection.
9. NONAPPROPRIATION.
If funds are not allotted by the MUNICIPALITY for the next fiscal period sufficient to continue making the payments set forth in Section "3"
hereof. MUNICIPALITY may terminate this Agreement upon the expiration of the then current fiscal year. MUNICIPALITY agrees to provide
SELLER immediate notice of its intention to terminate.
10. EXPIRATION OF AGREEMENT.
a Al, the expiration of the term of this Agreement as set forth in Section "2", and if MUNICIPALITY has elected not to exercise an option to
purchase described in Section 'W', MUNICIPALITY shall be responsible for the delivery of the Equipment to a place designated by SELLER.
b At its option, SELLER may enter the premises of MUNICIPALITY for the purpose of effecting the removal of the Equipment to the location
designated by Seller. If SELLER exercises this option, MUNICIPALITY shall be responsible for the costs associated with the removal of the
Equipment to the location designated by SELLER.
11 EVENTS CONSTITUTING MUNICIPALITY DEFAULT.
SELLER may terminate this Agreement immediately upon the occurrence of any of the following events:
a. MUNICIPALITY fails to pay when due any of the payments, or to perform, or rectify breach of, any obligation assumed by MUNICIPALITY in
this Agreement.
b. MUNICIPALITY makes an assignment for benefit of creditors, or is subject to any receivership, insolvency or bankruptcy proceedings.
c Any other event which causes SELLER, in good faith, to deem itself insecure.
12 RIGHTS AND REMEDIES OF SELLER UPON DEFAULT.
Upon the occurrence of any of the events of default described in Section "11", and at any time thereafter. SELLER may, in its discretion, eYerCrSe
any one. or all, of the following rights or remedies
a To accelerate all the payments described herein and declare them immediately due and payable.
b MUNICIPALITY shall be liable to SELLER lot an amount equal to the sum of the payments accelerated pursuant to Subsection 'a'
immediately above, said sum to be immediately due and payable as liquidated damages and not as s-a penalty.
c. To require MUNICIPALITY to assemble Equipment at MUNICIPALITY'S expense, and make it available to SELLER at a place to be designated
by SELLER SELLER may enter the premises of MUNICIPALITY for the purpose of peacefully exercising the rights of SELLER set forth in this
subsection
13 WAIVER.
Failure of SELLER to exercise any right or remedy, including but not limited to, the acceptance of partial or delinquent payments, shalt not be a
waiver of any obligation of MUNICIPALITY or right of SELLER or constitute a waiver of any other similar default subsequently occurring.
14. ASSIGNMENT.
a BY SELLER SELLER may assign this Agreement and in the event of such assignment, MUNICIPALITY shall perform all promises herein
contained to such Assignee as the owner hereof. After MUNICIPALITY receives notice of assignment hereof, MUNICIPALITY shall make all
payments hereunder direct to the holder hereof and SELLER shall not be the agent of the holder for transmission of payments or otherwise
b BY MUNICIPALITY. MUNICIPALITY may not assign, transfer or delegate its rights or obligations under this Agreement without the consent of
SELLER in Writing
15. ENTIRE AGREEMENT.
This Agreement is and shall be deemed the complete and final expression of the agreement between the Parties as to matters herein contained
and relative thereto, and supersedes all previous agreements between the Parties pertaining to such matters. It is clearly understood that no
promise or representation not contained herein was an inducement to either Party or was relied upon by either Party in entering into this
Agreement.
16 MODIFICATION.
No letter, or other form communication, passing between the Parties hereto, covering any matter during the effective period of this Agreement.
shall be deemed a part of this Agreement, nor shall it have the effect of amending or modifying this Agreement, unless said communication
distinctly states that said communication is to constitute a part of this Agreement and is to be attached as a rider to this Agreement and is signed
by the Parties hereto.
17. CAPTIONS.
Captions contained in this Agreement are inserted only as a matter of convenience and in no way define, limit or extend the scope or intent of
this Agreement or any provision thereof.
18. NOTICE.
This deposit of written nonce in the mails in an envelope certified or registered with postage prepaid and addressed to the MUNICIPALITY, at the
address shown below, or to SELLER at the address shown below, shall constitute notice pursuant to this Agreement.
19 AUTHORITY TO CONTRACT.
The execution and delivery of this Agreement will not violate or constitute a breach of any agreement or restriction to which MUNICIPALITY is a
party or is subject
IN WITNESS WHEREOF, the Parties hereto have caused this Agreement to be executed on the day of
,19
SELLER MUNICIPALITY:
TT -rnCr rrnnr =y DEA rAsr PMYR,A & .€0.1-1112 ENZ! ~'9ti'I!7 6~T' AwQN
r
By By.
Its Its
Date Date
SELLER'S address for notices under this Agreement
MUNICIPALITY'S address for notices under this Agreement
Street l 8000 p 22nd- AvP Street Box 975
Gty Aurora, City Avon,Colo. 81620
State Colo. 80011 State
zw code
ASSIGNMENT (With Full Recourse)
The wither, Agreement together with the indebtedness and all rights therein described, is hereby assigned with full recourse, transferred, conveyed
anC set over unto J I CASE CREDIT CORPORATION for its successors or assigns, for its or their own use forever, with full power and authority with
rega,d thereto subject nevertheless to the conditions therein contained and to the rights therein granted according to law and subject to the
prov sions o' the current Retail Financing Agreement between Assignor and Assignee, and each assignor represents and warrants the said
mstrume~t as genuine and in all respects what it purports to be and has no knowledge of any fact impairing the validity thereof, and that there are no
set-offs or counterclaims against the same. Payment of the within Agreement according to its terms is hereby guaranteed by the undersigned.
Seller.
By:
(Assrgnori
Title:
STATE OF COLORADO )
COUNTY OF EAGLE ) SS
TOWN OF AVON )
NOTICE IS HEREBY GIVEN OF A PUBLIC HEARING BEFORE THE TOWN COUNCIL
OF THE TOWN OF AVON, COLORADO, AT 7:30 P.M. ON THE 10TH DAY OF
DECEMBER, 1985, AT THE MUNICIPAL BUILDING, 400 BENCHMARK ROAD,
AVON, COLORADO FOR THE PURPOSE OF CONSIDERING THE ADOPTION OF
ORDINANCE NO. 85-26, SERIES OF 1985:
AN ORDINANCE AUTHORIZING EXECUTION OF A CERTAIN EQUIPMENT LEASE
AGREEMENT
A copy of said ordinance is attached hereto and is also on file
at the office of the Town Clerk and may be inspected during
regular business hours.
Following this hearing, the Council may consider final passage
of the ordinance.
This notice given and passed by order of the Town Council of the
Town of Avon, Colorado.
Dated this 27th day of November, 1985.
TOWN AV , COLORADO
BY:
atricia J. Lamle,
POSTED AT THE FOLLOWING PUBLIC PLACES WITHIN THE TOWN OF AVON
ON NOVEMBER 27, 1985:
THE MAIN ENTRANCE OF THE POST OFFICE
THE MAIN ENTRANCE TO CITY MARKET
THE PESTER GAS STATION; AND
THE MUNICIPAL BUILDING IN THE MAIN LOBBY