Title
A RESOLUTION AUTHORIZING THE CITY MANAGER TO ENTER INTO A LEASE AGREEMENT WITH REPUBLIC FIRST NATIONAL CORPORATION FOR THE PURPOSE OF FINANCING A STREET SWEEPER FOR PUBLIC WORKS DEPARTMENT OPERATIONS; AND DECLARING AN EMERGENCY
Brief Description: At the July 23, 2024, Council Meeting staff and Council discussed the purchase and/or lease to own of three pieces of equipment for Public Works operations. The City Manager recommended that the purchases be funded utilizing a portion of excess carryover balance in the general fund. The Council allocated $560,000 of the extra funds towards these equipment purchases. The staff has located the pieces of equipment and discussed the funding with the Finance Department and has recommendations for moving forward.
Body
Legislative History
None
Purpose & Explanation
At the July 23, 2024, Council meeting discussion, staff requested the purchase and/or lease to own arrangement for a replacement vac truck, street sweeper, and knuckle boom truck.
Per discussions with the Finance Department, it is our recommendation to purchase the street sweeper utilizing a lease to own agreement through Republic First National Corporation equipment financing.
The price of the sweeper is to exceed $280,000, using the State Terms contract #STS016078. The lease payments will commence in July of 2025.
The lease numbers are as follows:
No. of Payments:
4 (annual)
Payments:
$78,807.63
Factor:
0.28653
APR:
5.69%
Legal Authority for Proposed Legislation
Pursuant to Charter Section 6.04, Contracts & Purchasing:
Competitively bid and advertised for two consecutive weeks; bid tab attached: [Yes/No/NA])
X Joint or Cooperative Purchase Program
Professional Services
Other [provide explanation]
Fiscal Impact
Currently Budgeted (Account #, $)
__ Supplemental Appropriation Required (Account #, $)
X Appropriation Not Required - budget and payment in 2025
Does this legislation require use of an emergency clause?
X Ye...
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