R 3616
RESOLUTION NO. 3616
A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF ARROYO GRANDE DECLARING ITS INTENT TO BE
REIMBURSED FROM LEASE PURCHASE FINANCING
WHEREAS, City of Arroyo Grande, County of San Luis Obispo, State of California
("City") is duly authorized and existing under the laws of said State; and
WHEREAS, the City finds it necessary and desirable to acquire certain property for its
own governmental purpose and described as Eden Inforum Gold Financial
Management Systems {"Property"; and
WHEREAS, City Intends to finance all or a portion of the related costs to acquire,
construct, and/or remodel the Property with the proceeds of a lease purchase financing
in the approximate principal amount of $175,700, the interest upon which will be
excluded from lessor's gross income for federal income tax purposes (the "Financing");
and
WHEREAS, prior to the issuance of the Financing, City has incurred or will incur certain
expenditures with respect to the Property from available moneys of the City which
expenditures shall be reimbursed from the proceeds of the Financing; and
WHEREAS, other than (i) expenditures to be paid for reimbursed from sources other
than the Financing or (ii) expenditures constituting a de minimus amount or preliminary
expenditures as defined in Section 1.150-2(f) of the Federal Income Tax Regulations
("Regulations"), City has not made any expenditures for the Property in advance of sixty
days proior to the adoption of this resolution.
NOW, THEREFORE, BE IT RESOLVED, that the City declares its intent to be
reimbursed from the Financing proceeds for expenditures it has made or will make on
the Property either prior to or following the issuance of the Financing in the aggregate
maximum amount of $175,700 (which includes 10% for contingencies). All reimbursed
expenditures will be capital expenditures as defined in Section 1.150-1(b) of the
Regulations.
On motion of Council Member Runels, seconded by Council Member Dickens, and on
the following roll call vote, to wit:
AYES: Council Members Runels, Dickens, Ferrara, Lubin, and Mayor Lady
NOES: None
ABSENT: None
the foregoing Resolution was passed and adopted this 27th day of August, 2002
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RESOLUTION NO. 3616
Page 2
MIC=~~
ATTEST:
VU-
ORE, DIRECTOR OF ADMINISTRATIVE SERVICESI
DEPUTY CITY CLERK
APPROVED AS TO CONTENT:
~
S~~AMS, CITY MANAGER
APPROVED AS TO FORM:
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RESOLUTION NO. 3616
OFFICIAL CERTIFICATION
I, KELLY WETMORE, Director of Administrative Services/Deputy City Clerk of
the City of Arroyo Grande, County of San Luis Obispo, State of California, do
hereby certify under penalty of perjury, that Resolution No. 3616 is a true, full,
and correct copy of said Resolution passed and adopted at a regular meeting of
the City Council of the City of Arroyo Grande on the 27th day of August, 2002.
WITNESS my hand and the Seal of the City of Arroyo Grande affixed this 30th
day of August, 2002.
1JiJ~
ORE, DIRECTOR OF ADMINISTRATIVE SERVICES/
DEPUTY CITY CLERK
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