HomeMy WebLinkAboutCC RESO 93-138RESOLUTION NO. 93-138
RESOLUTION OF THE CITY COUNCIL
OF THE CITY OF NATIONAL CITY
AUTHORIZING THE MAYOR TO EXECUTE A
HOME AND BUILDING CONTROL AGREEMENT AND
A LEASE -PURCHASE AGREEMENT WITH HONEYWELL, INC.
AND A CONSENT TO ASSIGNMENT TO
LA SALLE NATIONAL BANK, AND AUTHORIZING THE
MAYOR AND STAFF TO EXECUTE RELATED DOCUMENTS
WHEREAS, Section 4217.13 of the Government Code provides that,
notwithstanding any other provision of law, a city may enter into a facility financing
contract on such terms as its city council determines are in the best interest of the city if
the determination is made at a regularly scheduled public hearing upon two weeks' notice,
and if the governing body finds that funds for the repayment of the financing are
projected to be available from funding which otherwise would have been used for
purchase of electrical, thermal or other energy required by the city; and
WHEREAS, the City owns several older facilities which require significant
work to repair and maintain their heating, ventilation and air conditioning (HVAC)
systems; and
WHEREAS, Honeywell, Inc. has presented a proposal based on a review
of several City buildings which deals with the retrofitting of lighting and HVAC systems,
installation of an energy management system, and timely maintenance, repair and
replacement of components; and
WHEREAS, Honeywell, Inc. proposes to retrofit the subject City buildings
with state-of-the-art equipment which is significantly more energy -efficient than existing
equipment; and
WHEREAS, Honeywell, Inc. has guaranteed that the savings in utility costs
and maintenance expenditures will cover the costs of the replacement of the HVAC
equipment; and
WHEREAS, the City Council desires to enter into a Home and Building
Control Agreement and Lease -Purchase Agreement with Honeywell, Inc. for the purpose
of acquiring replacement HVAC equipment; and
WHEREAS, the City Council is willing to agree to an assignment of the
Lease -Purchase Agreement to La Salle National Bank; and
Continued on Page Two
Resolution No. 93-138 Page 2 of 2
WHEREAS, subsequent to the giving of two weeks' public notice, a public
hearing to consider the proposed Home and Building Control Agreement and Lease -
Purchase Agreement with Honeywell, Inc. and related documents, was held by the City
Council of the City of National City in the City Council Chambers, 1243 National City
Boulevard, National City, at 4:00 p.m. on October 5, 1993.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City
of National City that the City Council finds that funds for the repayment of the City's
obligations to Honeywell, Inc. under the proposed Home and Building Control Agreement
and Lease -Purchase Agreement are projected to be available from funding which
otherwise would have been used for purchase of electrical, thermal or other energy
required by the City.
BE IT FURTHER RESOLVED that the reasonably anticipated amount of
qualified tax-exempt obligations which have been and will be issued by the City of
National City does exceed $10,000,000 for the calendar year for which the Lease -
Purchase Agreement is to be a qualified "tax-exempt obligation" under Section 265(b)(3)
of the Internal Revenue Code.
BE IT FURTHER RESOLVED that the City of National City has taken all
reasonable steps under applicable law for the purchase of the replacement HVAC
equipment.
BE IT FURTHER RESOLVED that the Mayor is hereby authorized to
execute a Home and Building Control Agreement and Lease -Purchase Agreement with
Honeywell, Inc. for the acquisition of replacement of HVAC equipment, and the Mayor
and staff are authorized to execute other related documents as necessary. Said Home and
Building Control Agreement and Lease -Purchase Agreement and related documents are
on file in the Office of the City Clerk.
BE IT FURTHER RESOLVED that the Mayor is hereby authorized to
execute a Consent to Assignment of the Lease -Purchase Agreement to LaSalle National
Bank.
PASSED and ADOPTED this 5th day of October, 1993.
ATTEST:
L
Lor Anne Peoples, City Clerk
APPROVED AS TO FORM:
/1/Die4..az.
George H. Eiser, III
City Attorney
eorge H. °OJaters, Mayor