R 3094
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RESOLUTION NO. 3094
A RESOLUTION OF THE CITY COUNCIL OF THE
CITY OF ARROYO GRANDE APPROVING CERTAIN
ENERGY CONSERVATION MEASURES AUTHORIZING
THE EXECUTION OF AGREEMENTS, SIGNATORIES AND
MAKING OTHER DETERMINATIONS IN CONNECTION THEREWITH
WHEREAS, the City Council of the city of Arroyo Grande (the
"City") is authorized pursuant to sections 4217.10 through
4217.18 of the California Government Code (the "Act") to enter
into energy conservation contracts pursuant to which the city may
acquire and finance equipment and services to reduce energy use
or to make for a more efficient use of energy; and
WHEREAS, pursuant to the Act, the city proposes to enter into an
agreement with Honeywell, Inc. (the "Honeywell Contract") for the
acquisition and installation of a mechanical retrofit and energy
management project (the"Project"); and
WHEREAS, Municipal Leasing Associates, Inc. (the "Corporation")
has offered to enter into a Lease With option to Purchase (the
"Lease"), and a Custodial and Agency Agreement (the "Custodial
and Agency Agreement") with the City in order to provide lease
financing (the "Financing") for the Project.
NOW, THEREFORE, BE IT RESOLVED by the city Council of the city of
Arroyo Grande as follows:
section 1. The city Council hereby finds, determines and
declares as' follows:
(a) The anticipated cost to the city for "Conservation Services"
as defined in section 4217.11(c) of the Act and as provided for
by the Honeywell Contract, the Lease and .the Project will be less
than the anticipated marginal cost to the City of Energy that
would have been consumed by the city in the absence of the
project.
(b) To the extent that the Honeywell Contract and/or the Lease
grant easements, rights-of-way, licenses, rights of access, or
other rights in the real property of the city upon which the
Project will be constructed and installed, the difference, if
any, between the fair rental value of such rights and the portion
of the rent under the Lease attributable to such rights, is
anticipated to be offset by benefits provided to the city under
the Honeywell Contract and the Lease.
(c) Funds for the payment of amounts due under the Lease are
projected to be available from funding which otherwise would have
been used for the purchase of energy required by the city in the
absence of the Project.
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RESOLUTION NO. 3094
PAGE 2
section 2. The form, terms and provisions of the Honeywell
Contract, the Lease and the custodial and Agency Agreement are
hereby approved and the city Manager and the city Clerk are
hereby jointly and severally authorized and directed on behalf of
the city and in its name to execute and deliver the Honeywell
Contract, the Lease and the Custodial and Agency Agreement, in
substantially the forms presented to and considered at this
meeting, with such changes therein as may be approved by the
individual(s) executing the Honeywell Contract, the Lease and the
Custodial and Agency Agreement, such approval to be conclusively "--"
evidenced by the execution thereof.
section 3. The Financing be designated by this body as a
qualified tax exempt obligation for the calendar year in which
the lease is issued pursuant to section 265(b) of the Internal
Revenue Code of 1986 (as amended) and City Manager and the City
Clerk are hereby jointly and severally authorized and directed to
execute the "Designation of Qualification" document.
section 4. The city Manager and the City Clerk are hereby
jointly and severaily authorized and directed to execute and
attest such further documents, instruments and certificates as
they may deem necessary or advisable in order to accomplish the
purposes of this Resolution.
section 5. All actions heretofore taken by the City Manager, the
City Clerk, and the other officers and employees of the city in
connection with the Project and the Financing, which are not
inconsistent with this Resolution, are hereby approved, ratified
and confirmed.
section 6. This Resolution shall take effect immediately.
On motion of Council Member Fuller , seconded by Council
Member Lady , and on the following roll call vote, to wit: "---
AYES: Council Members Fuller, Lady, Souza, Brandy and Mayor Dougall
NOES: None
ABSENT: None
the foregoing Resolution was passed and adopted this 26th day of
September, 1995.
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RESOLUTION NO. 3094
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ATTEST: a.~
DAVIS, CITY CLERK
APPROVED AS TO FORM:
-.- ...-
, CITY ATTORNEY
APPROVED AS TO CONTENT:
KIJ&lfL. rf~
ROBERT L. HUNT, CITY MANAGER
I, NANCY A. DAVIS, city Clerk of the city of Arroyo Grande,
County of San Luis Obispo, State of California, do hereby certify
under penalty of perjury that the foregoing Resolution No. 3094is
a true, full, and correct copy of said Resolution Passed and
adopted at a regular meeting of said Council on the 26th day of
September, 1995.
--- WITNESS my hand and the Seal of the city of Arroyo Grande affixed
this 28th day of September , 1995.