From
Chip Nami
Title
Resolution authorizing the City Manager to execute a lease agreement for lease # 1161345-3 for EZGO golf carts, EZGO GPS units, and Range Picker units for Tangle Ridge and Prairie Lakes golf courses
Presenter
Cheryl De Leon, Director of Parks, Arts and Recreation
Recommended Action
Approve
Analysis
Council approved the lease agreement for golf carts at Tangle Ridge and Prairie Lakes golf courses at the April 2, 2019 Council meeting. The leasing agent has requested that the resolution below be included as part of that agreement.
Financial Consideration
None
Body
A RESOLUTION OF THE CITY OF GRAND PRAIRIE, TEXAS, AUTHORIZING THE EXECUTION AND DELIVERY OF A MASTER EQUIPMENT LEASE- PURCHASE AGREEMENT WITH PNC EQUIPMENT FINANCE, LLC, AS LESSOR, AND SEPARATE LEASE SCHEDULES THERETO FOR THE ACQUISITION, PURCHASE, FINANCING AND LEASING OF CERTAIN EQUIPMENT WITHIN THE TERMS HEREIN PROVIDED; AUTHORIZING THE EXECUTION AND DELIVERY OF OTHER DOCUMENTS REQUIRED IN CONNECTION THEREWITH; AND AUTHORIZING ALL OTHER ACTIONS NECESSARY TO THE CONSUMMATION OF THE TRANSACTIONS CONTEMPLATED BY THIS RESOLUTION.
Whereas, the City of Grand Prairie Texas, (the “Lessee”), a body politic and corporate duly organized and existing as a political subdivision, municipal corporation or similar public entity of the State of Texas is authorized by the laws of the State of Texas to purchase, acquire and lease certain equipment and other property for the benefit of the Lessee and its inhabitants and to enter into contracts with respect thereto; and
Whereas, the governing body of the Lessee (the City Council) has determined that a true and very real need exists for the acquisition, purchase and financing of certain property consisting of EZGO Golf Carts, EZGO GPS Units and Range Picker Units (collectively, the “Equipment”) on the terms herein provided; and
Whereas, in order to acquire such Equipment, the Lessee proposes to enter into that certain Master Equipment Lease-Purchase Agreement (the “Master Lease”) with PNC Equipment Finance, LLC, as lessor (the “Lessor”), substantially in the proposed form presented to the City Council at this meeting, and separate Lease Schedules thereto substantially in the form attached to the Master Lease; and
Whereas, the City Council deems it for the benefit of the Lessee and the efficient and effective administration thereof to enter into the Master Lease and the separate Lease Schedules relating thereto from time to time as provided in the Master Lease for the purchase, acquisition, financing and leasing of the Equipment to be therein more specifically described on the terms and conditions provided therein and herein;
NOW THEREFORE, BE IT RESOLVED, by the City Council of the City of GRAND PRAIRIE, Texas that:
Section 1. It is hereby found and determined that the terms of the Master Lease (including the form of Lease Schedule and Payment Schedule attached thereto), as presented in this meeting, are in the best interests of the Lessee for the acquisition, purchase, financing and leasing of the Equipment.
Section 2. The form, terms and provisions of the Master Lease (including the form of Lease Schedule and Payment Schedule attached thereto) are hereby approved in the forms presented at this meeting, with such insertions, omissions and changes as shall be approved by the City Manager of the Lessee, executing the same, the execution of such documents being conclusive evidence of such approval. The Authorized Officer of the Lessee are each hereby authorized and directed to sign and deliver the Master Lease, each Lease Schedule thereto, each Payment Schedule relating thereto and any related exhibits attached thereto if and when required; provided, however, that, without further authorization from the governing body of the Lessee, (a) the aggregate amount of the Rent Payments under all Leases entered into pursuant to the Master Lease shall not exceed $1,071,287.38, and
(b) the maximum term under any Lease entered into pursuant to the Master Lease shall not exceed 5 years. The Authorized Officers may sign and deliver Leases to the Lessor on behalf of the Lessee pursuant to the Master Lease on such terms and conditions as they shall determine are in the best interests of the Lessee up to the maximum aggregate amount of the Rent Payments and the maximum term provided above. The foregoing authorization shall remain in effect for a period of five years from the date hereof during which the Authorized Officers are authorized to sign and deliver Leases pursuant to the Master Lease on the terms and conditions herein provided and to be provided in each such Lease.
SECTION 3. The Authorized Officers and other officers and employees of the Lessee shall take all action necessary or reasonably required to carry out, give effect to and consummate the transactions contemplated by the Master Lease and each Lease Schedule (including, but not limited to, the execution and delivery of the certificates contemplated therein, including appropriate arbitrage certifications) and to take all action necessary in conformity therewith, including, without limitation, the execution and delivery of any closing and other documents required to be delivered in connection with the Master Lease and each Lease Schedule.
SECTION 4. If any section, paragraph, clause or provision of this Resolution shall for any reason be held to be invalid or unenforceable, the invalidity or unenforceability of such section, paragraph, clause or provision shall not affect any of the remaining provisions of this Resolution.
SECTION 5. This Resolution shall be effective immediately upon its approval and adoption.
PASSED AND APPROVED BY THE CITY COUNCIL OF THE CITY OF GRAND PRAIRIE, TEXAS, May 7, 2019.