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HomeMy WebLinkAboutMotorola Police Department RadiosMOrCYHOLA SOLUTIONS Motorola Solutions Credit Company, LLC April 10, 2015 City of Pasco P.O. Box 293 Pasco, WA 99301 Attn: Eva Lindgren RE: Lease No: 23691 Dear Ms. Lindgren, RECEIVED APR 16 2015 PASCO CITY CLERK Enclosed please find a set of originals of the Lease/Purchase Agreement No. 23691. Should you have any questions, please call Bill Stancik, Manager Customer Finance, at 847-538-4531. We appreciate your business and look forward to working with you. Sincerely, Colleen Kassner Motorola Solutions Credit Co. LLC. 1303 E. Algonquin Rd. ILO 1-9 Schaumburg, IL 60196 c.kassner@motorolasoultions.com 847-576-6314 847-576-4768 (fax) s�)3 Motorola Solutions Credit Co. LLC Remit Instructions Bank Wire Instructions: Harris Trust and Savings Bank 111 W. Monroe St. Chicago, IL 60683 Routingfaba # 071-000-288 Account # 350-955-1 Account Name: Motorola Solutions Credit Co. LLC Bank Phone# 312-461-3273 Regular Mail Instructions: Motorola Solutions Credit Co. LLC P.O. Box 71132 Chicago, IL 60694-1132 Overnight Mail Instructions: Check Payable to Motorola Solutions Credit Co. LLC Harris Bank 311 W. Monroe Street Attn: Lockbox 71132, 7th Floor Chicago, IL 60606 When remitting payment, please make check payable to Motorola Solutions Credit Co. LLC and include invoice number or if remitting by bank wire reference account name, lease number and send to the attention of Colleen Kassner. Colleen Kassner MSCC Finance Motorola Solutions Credit Co. LLC 1303 E. Algonquin Rd. IL01-e floor Phone: 847-576-6314 Fax: 847-576-4768 Email: c.kassner@motorolasolutions.com LESSEE FACT SHEET Please help Motorola Solutions, Inc. provide excellent billing service by providing the following information: I . Complete Billing Address CITY OF PASCO P.O. Box 293 Pasco, WA 99301 Attention: Eva Lindgren, Deputy Director of ACS Phone: (509)544-3065 2. Lessee County Location: Franklin County 91-6001264 3. Federal Tax I.D. Number 4. Purchase Order Number to be referenced on invoice (if necessary) or other "descriptions" that may assist in determining the applicable cost center or department: 5. Equipment description that you would like to appear on your invoicing: PD 800MHz Radios Appropriate Contact for Documentation / System Acceptance Follow-up: 6. Appropriate Contact & City of Pasco, Police Department Mailing Address P.O. Box 293 Pasco, WA 99301 ATTN: Captain Jeff Harpster Phone: (509) 545-3483 Fax. (509)545-3423 7. Payment remit to address: Motorola Credit Corp. P.O. Box 71132 Chicago IL 60694-1132 Thank you ELPAshort f11.01.13 EQUIPMENT LEASE -PURCHASE AGREEMENT Lease Number: 23681 LESSEE: LESSOR: CITY OF PASCO Motorola Solutions, Inc. 525 N. 3rd Ave 1303 E. Algonquin Rd. Pasco WA 99301 Schaumburg, IL 60196 Lessor agrees to lease to Lessee and Lessee agrees to lease from Lessor, the equipment and/or software described in any Schedule A attached hereto (°Equipment") in accordance with the following terms and conditions of this Equipment Lease -Purchase Agreement ("Lease"). 1. TERM. This Lease will become effective upon the execution hereof by Lessor. The Term of this Lease will commence on date specified in Schedule A attached hereto and unless terminated according to terms hereof or the purchase option, provided in Section 18, is exercised this Lease will continue until the Expiration Date set forth in Schedule B attached hereto ("Lease Term'). 2. RENT. Lessee agrees to pay to Lessor or its assignee the Lease Payments (herein so called), including the interest portion, in the amounts specified in Schedule B. The Lease Payments will be payable without notice or demand at the office of the Lessor (or such other place as Lessor or Its assignee may from time to time designate in writing), and will commence on the first Lease Payment Date as set forth in Schedule B and thereafter on each of the Lease Payment Dates set forth in Schedule B. Any payments received later than ten (10) days from the due date will bear interest at the highest lawful rate from the due date. Except as specifically provided in Section 5 hereof, the Lease Payments will be absolute and unconditional in all events and will not be subject to any set-off, defense, counterclaim, or recoupment for any reason whatsoever. Lessee reasonably believes that funds can be obtained sufficient to make all Lease Payments during the Lease Term and hereby covenants that it will do all things lawfully within its power to obtain, maintain and properly request and pursue funds from which the Lease Payments may be made, including making provisions for such payments to the extent necessary in each budget submitted for the purpose of obtaining funding, using its bona fide best efforts to have such portion of the budget approved and exhausting all available administrative reviews and appeals in the event such portion of the budget is not approved. It is Lessee's intent to make Lease Payments for the full Lease Term If funds are legally available therefor and In that regard Lessee represents that the Equipment will be used for one or more authorized governmental or proprietary functions essential to its proper, efficient and economic operation. 3. DELIVERY AND ACCEPTANCE. Lessor will cause the Equipment to be delivered to Lessee at the location specified in Schedule A ("Equipment Location'). Lessee will accept the Equipment as soon as it has been delivered and is operational. Lessee will evidence its acceptance of the Equipment by executing and delivering to Lessor a Delivery and Acceptance Certificate in the form provided by Lessor. Even if Lessee has not executed and delivered to Lessor a Delivery and Acceptance Certificate, if Lessor believes the Equipment has been delivered and is operational, Lessor may require Lessee to notify Lessor in writing (within five (5) days of Lessee's receipt of Lessor's request) whether or not Lessee deems the Equipment (i) to have been delivered and (ii) to be operational, and hence be accepted by Lessee. If Lessee fails to so respond in such five (5) day period, Lessee will be deemed to have accepted the Equipment and be deemed to have acknowledged that the Equipment was delivered and is operational as if Lessee had in fact executed and delivered to Lessor a Delivery and Acceptance Certlficate, 4. REPRESENTATIONS AND WARRANTIES. Lessor acknowledges that the Equipment leased hereunder is being manufactured and installed by Motorola Solutions, Inc. pursuant to contract (the "Contract") covering the Equipment. Lessee acknowledges that on or prior to the date of acceptance of the Equipment, Lessor intends to sell and assign Lessor's right, title and interest in and to this Agreement and the Equipment to an assignee ("Assignee'). LESSEE FURTHER ACKNOWLEDGES THAT EXCEPT AS EXPRESSLY SET FORTH IN THE CONTRACT, LESSOR MAKES NO EXPRESS OR IMPLIED WARRANTIES OF ANY NATURE OR KIND WHATSOEVER, AND AS BETWEEN LESSEE AND THE ASSIGNEE, THE PROPERTY SHALL BE ACCEPTED ELPAshort_f1 1.0 1. 13 BY LESSEE "AS IS" AND "WITH ALL FAULTS". LESSEE AGREES TO SETTLE ALL CLAIMS DIRECTLY WITH LESSOR AND WILL NOT ASSERT OR SEEK TO ENFORCE ANY SUCH CLAIMS AGAINST THE ASSIGNEE. NEITHER LESSOR NOR THE ASSIGNEE SHALL BE LIABLE FOR ANY DIRECT, INDIRECT, SPECIAL, INCIDENTAL, OR CONSEQUENTIAL DAMAGES OF ANY CHARACTER AS A RESULT OF THE LEASE OF THE EQUIPMENT, INCLUDING WITHOUT LIMITATION, LOSS OF PROFITS, PROPERTY DAMAGE OR LOST PRODUCTION WHETHER SUFFERED BY LESSEE OR ANY THIRD PARTY. Lessor is not responsible for, and shall not be liable to Lessee for damages relating to loss of value of the Equipment for any cause or situation (including, without limitation, governmental actions or regulations or actions of other third parties). 5. NON -APPROPRIATION OF FUNDS. Notwithstanding anything contained in this Lease to the contrary, in the event the funds appropriated by Lessee's governing body or otherwise available by any means whatsoever in any fiscal period of Lessee for Lease Payments or other amounts due under this Lease are insufficient therefor, this Lease shall terminate on the last day of the fiscal period for which appropriations were received without penalty or expense to Lessee of any kind whatsoever, except as to the portions of Lease Payments or other amounts herein agreed upon foe which funds shall have been appropriated and budgeted or are otherwise available. The Lessee will immediately notify the Lessor or its Assignee of such occurrence. In the event of such termination, Lessee agrees to peaceably surrender possession of the Equipment to Lessor or its Assignee on the date of such termination, packed for shipment in accordance with manufacturer specifications and freight prepaid and insured to any location in the continental United States designated by Lessor. Lessor will have all legal and equitable rights and remedies to take possession of the Equipment. 6. LESSEE CERTIFICATION. Lessee represents, covenants and warrants that: (t) Lessee is a state or a duly constituted political subdivision or agency of the state of the Equipment Location; (ii) the interest portion of the Lease Payments shall be excludable from Lessor's gross income pursuant to Section 103 of the Internal Revenue Code of 1986, as it may be amended from time to time ( the "Code"); (iii) the execution, delivery and performance by the Lessee of this Lease have been duly authorized by all necessary action on the part of the Lessee; (tv) this Lease constitutes a legal, valid and binding obligation of the Lessee enforceable in accordance with its terms; (v) Lessee will comply with the information reporting requirements of Section 149(e) of the Code, and such compliance shall include but not be limited to the execution of information statements requested by Lessor; (vi) Lessee will not do or cause to be done any act which will cause, or by omission of any act allow, the Lease to be an arbitrage bond within the meaning of Section 148(a) of the Code; (vii) Lessee will not do or cause to be done any act which will cause, or by omission of any act allow, this Lease to be a private activity bond within the meaning of Section 141(a) of the Code; (viii) Lessee will not do or cause to be done any act which will cause, or by omission of any act allow, the interest portion of the Lease Payments to be or become includible in gross income for Federal income taxation purposes under the Code; and (ix) Lessee will be the only entity to own, use and operate the Equipment during the Lease Term. Lessee represents, covenants and warrants that (t) it will do or cause to be done all things necessary to preserve and keep the Lease in full force and effect, (ii) it has complied with all public bidding and Bond Commission requirements (as defined in the Code) where necessary and by due notification presented this Lease for approval and adoption as a valid obligation on its part, and (iii) it has sufficient appropriations or other funds available to pay all amounts due hereunder for the current fiscal period. If Lessee breaches the covenant contained in this Section, the interest component of Lease Payments may become includible in gross income of the owner or owners thereof for federal income tax purposes. In such event, notwithstanding anything to the contrary contained in Section 11 of this Agreement, Lessee agrees to pay promptly after any such determination of taxability and on each Lease Payment date thereafter to Lessor an additional amount determined by Lessor to compensate such owner or owners for the loss of such excludibillty (including, without limitation, compensation relating to interest expense, penalties or additions to tax), which determination shall be conclusive (absent manifest error). Notwithstanding anything herein to the contrary, any additional amount payable by Lessee pursuant to this Section 6 shall be payable solely from Legally Available Funds. It is Lessor's and Lessee's intention that this Agreement does not constitute a "true" lease for federal income tax purposes and, therefore, it is Lessor's and Lessee's intention that Lessee be considered the owner of the Equipment for federal income tax purposes. ELPAshort_fl 1.01.13 7. TITLE TO EQUIPMENT; SECURITY INTEREST. Upon shipment of the Equipment to Lessee hereunder, title to the Equipment will vest in Lessee subject to any applicable license; provided, however, that (i) in the event of termination of this Lease by Lessee pursuant to Section 5 hereof; (ii) upon the occurrence of an Event of Default hereunder, and as long as such Event of Default is continuing; or (iii) in the event that the purchase option has not been exercised prior to the Expiration Date, title will immediately vest in Lessor or its Assignee, and Lessee shall immediately discontinue use of the Equipment, remove the Equipment from Lessee's computers and other electronic devices and deliver the Equipment to Lessor or its Assignee. In order to secure all of its obligations hereunder, Lessee hereby (i) grants to Lessor a first and prior security interest in any and all right, title and interest of Lessee in the Equipment and in all additions, attachments, accessions, and substitutions thereto, and on any proceeds therefrom; (ii) agrees that this Lease may be filed as a financing statement evidencing such security interest; and (iii) agrees to execute and deliver all financing statements, certificates of title and other instruments necessary or appropriate to evidence such security interest. 8. USE; REPAIRS. Lessee will use the Equipment in a careful manner for the use contemplated by the manufacturer of the Equipment and shall comply with all laws, ordinances, insurance policies, the Contract, any licensing or other agreement, and regulations relating to, and will pay all costs, claims, damages, fees and charges arising out of the possession, use or maintenance of the Equipment. Lessee, at its expense will keep the Equipment in good repair and furnish and/or install all parts, mechanisms, updates, upgrades and devices required therefor. 8. ALTERATIONS. Lessee will not make any alterations, additions or improvements to the Equipment without Lessor's prior written consent unless such alterations, additions or improvements may be readily removed without damage to the Equipment. 10. LOCATION; INSPECTION. The Equipment will not be removed from, [or if the Equipment consists of rolling stock, its permanent base will not be changed from] the Equipment Location without Lessor's prior written consent which will not be unreasonably withheld. Lessor will be entitled to enter upon the Equipment Location or elsewhere during reasonable business hours to inspect the Equipment or observe its use and operation. 11. LIENS AND TAXES. Lessee shall keep the Equipment free and clear of all levies, liens and encumbrances except those created under this Lease. Lessee shall pay, when due, all charges and taxes (local, state and federal) which may now or hereafter be imposed upon the ownership, licensing, leasing, rental, sale, purchase, possession or use of the Equipment, excluding however, all taxes on or measured by Lessor's income. If Lessee fails to pay said charges and taxes when due, Lessor shall have the right, but shall not be obligated, to pay said charges and taxes. If Lessor pays any charges or taxes, Lessee shall reimburse Lessor therefor within ten days of written demand. 12. RISK OF LOSS: DAMAGE; DESTRUCTION. Lessee assumes all risk of loss or damage to the Equipment from any cause whatsoever, and no such loss of or damage to the Equipment nor defect therein nor unfitness or obsolescence thereof shall relieve Lessee of the obligation to make Lease Payments or to perform any other obligation under this Lease. In the event of damage to any item of Equipment, Lessee will immediately place the same in good repair with the proceeds of any insurance recovery applied to the cost of such repair. If Lessor determines that any item of Equipment is lost, stolen, destroyed or damaged beyond repair, Lessee at the option of Lessor will: either (a) replace the same with like equipment in good repair; or (b) on the next Lease Payment date, pay Lessor the sum of : (1) all amounts then owed by Lessee to Lessor under this Lease, including the Lease payment due on such date; and (ii) an amount equal to all remaining Lease Payments to be paid during the Lease Term as set forth in Schedule B. In the event that Lessee is obligated to make such payment with respect to less than all of the Equipment, Lessor will provide Lessee with the pro rata amount of the Lease Payment and the Balance Payment (as set forth in Schedule B) to be made by Lessee with respect to that part of the Equipment which has suffered the Event of Loss. 13. INSURANCE. Lessee will, at its expense, maintain at all times during the Lease Term, fire and extended coverage, public liability and property damage insurance with respect to the Equipment in such amounts, covering such risks, and with such insurers as shall be satisfactory to Lessor, or, with Lessor's prior written consent, Lessee may self -insure against any or all such risks. All insurance covering loss of or damage to the Equipment ELPAshort fl 1.01. 13 shall be carried in an amount no less than the amount of the then applicable Balance Payment with respect to such Equipment. The initial amount of insurance required is set forth in Schedule B. Each insurance policy will name Lessee as an insured and Lessor or it's Assigns as an additional insured, and will contain a clause requiring the insurer to give Lessor at least thirty (30) days prior written notice of any alteration in the terms of such policy or the cancellation thereof. The proceeds of any such policies will be payable to Lessee and Lessor or it's Assigns as their interests may appear. Upon acceptance of the Equipment and upon each insurance renewal date, Lessee will deliver to Lessor a certificate evidencing such insurance. In the event that Lessee has been permitted to self - insure, Lessee will furnish Lessor with a letter or certificate to such effect. In the event of any loss, damage, injury or accident involving the Equipment, Lessee will promptly provide Lessor with written notice thereof and make available to Lessor all information and documentation relating thereto. 14. INDEMNIFICATION. Lessee shall, to the extent permitted by law, indemnify Lessor against, and hold Lessor harmless from, any and all claims, actions, proceedings, expenses, damages or liabilities, including attorneys' fees and court costs, arising in connection with the Equipment, including, but not limited to, its selection, purchase, delivery, licensing, possession, use, operation, rejection, or return and the recovery of claims under insurance policies thereon. 15. ASSIGNMENT. Without Lessor's prior written consent, Lessee will not either (i) assign, transfer, pledge, hypothecate, grant any security interest in or otherwise dispose of this Lease or the Equipment or any interest in this Lease or the Equipment or; (ii) sublet or lend the Equipment or permit it to be used by anyone other than Lessee or Lessee's employees. Lessor may assign its rights, title and interest in and to this Lease, the Equipment and any documents executed with respect to this Lease and/or grant or assign a security interest in this Lease and the Equipment, in whole or in part. Any such assignees shall have all of the rights of Lessor under this Lease. Subject to the foregoing, this Lease inures to the benefit of and is binding upon the heirs, executors, administrators, successors and assigns of the parties hereto. Lessee covenants and agrees not to assert against the Assignee any claims or defenses by way of abatement, setoff, counterclaim, recoupment or the like which Lessee may have against Lessor. No assignment or reassignment of any Lessor's right, title or interest in this Lease or the Equipment shall be effective unless and until Lessee shall have received a notice of assignment, disclosing the name and address of each such assignee; provided, however, that lt such assignment is made to a bank or trust company as paying or escrow agent for holders of certificates of participation in the Lease, it shall thereafter be sufficient that a copy of the agency agreement shall have been deposited with Lessee until Lessee shall have been advised that such agency agreement is no longer in effect. During the Lease Term Lessee shall keep a complete and accurate record of all such assignments in form necessary to comply with Section 149(a) of the Code, and the regulations, proposed or existing, from time to time promulgated thereunder. No further action will be required by Lessor or by Lessee to evidence the assignment, but Lessee will acknowledge such assignments in writing if so requested. After notice of such assignment, Lessee shall name the Assignee as additional insured and loss payee in any insurance policies obtained or in force. Any Assignee of Lessor may reassign this Lease and its interest in the Equipment and the Lease Payments to any other person who, thereupon, shall be deemed to be Lessor's Assignee hereunder. 16. EVENT OF DEFAULT. The term "Event of Default", as used herein, means the occurrence of any one or more of the following events: (i) Lessee fails to make any Lease Payment (or any other payment) as it becomes due in accordance with the terms of the Lease, and any such failure continues for ten (10) days after the due date thereof; (ii) Lessee fails to perform or observe any other covenant, condition, or agreement to be performed or observed by it hereunder or the Contract and such failure Is not cured within twenty (20) days after written notice thereof by Lessor; (iii) the discovery by Lessor that any statement, representation, or warranty made by Lessee in this Lease or in writing ever delivered by Lessee pursuant hereto or in connection herewith is false, misleading or erroneous in any material respect; (iv) proceedings under any bankruptcy, insolvency, reorganization or similar legislation shall be instituted against or by Lessee, or a receiver or similar officer shall be appointed for Lessee or any of its property, and such proceedings or appointments shall not be vacated, or fully stayed, within twenty (20) days after the institution or occurrence thereof; or (v) an attachment, levy or execution is threatened or levied upon or against the Equipment. 17. REMEDIES. Upon the occurrence of an Event of Default, and as long as such Event of Default is continuing, Lessor may, at its option, exercise any one or more of the following remedies: (i) by written notice to Lessee, declare all amounts then due under the Lease, and all remaining Lease Payments due during the Fiscal ELPAshorkjl1.01.13 Year in effect when the default occurs to be immediately due and payable, whereupon the same shall become immediately due and payable; (ii) by written notice to Lessee, request Lessee to (and Lessee agrees that it will), at Lessee's expense, promptly discontinue use of the Equipment, remove the Equipment from all of Lessee's computers and electronic devices, return the Equipment to Lessor in the manner set forth in Section 5 hereof, or Lessor, at its option, may enter upon the premises where the Equipment is located and take immediate possession of and remove the same; (iii) sell or lease the Equipment or sublease it for the account of Lessee, holding Lessee liable for all Lease Payments and other amounts due prior to the effective date of such selling, leasing or subleasing and for the difference between the purchase price, rental and other amounts paid by the purchaser, Lessee or sublessee pursuant to such sale, lease or sublease and the amounts payable by Lessee hereunder; and (iv) exercise any other right, remedy or privilege which may be available to it under applicable laws of the state of the Equipment Location or any other applicable law or proceed by appropriate court action to enforce the terms of the Lease or to recover damages for the breach of this Lease or to rescind this Lease as to any or all of the Equipment. In addition, Lessee will remain liable for all covenants and indemnities under this Lease and for all legal fees and other costs and expenses, including court costs, incurred by Lessor with respect to the enforcement of any of the remedies listed above or any other remedy available to Lessor. 18. PURCHASE OPTION. Upon thirty (30) days prior written notice from Lessee to Lessor, and provided that no Event of Default has occurred and is continuing, or no event, which with notice or lapse of time, or both could become an Event of Default, then exists, Lessee will have the right to purchase the Equipment on the Lease Payment dates set forth in Schedule B by paying to Lessor, on such date, the Lease Payment then due together with the Balance Payment amount set forth opposite such date. Upon satisfaction by Lessee of such purchase conditions, Lessor will transfer any and all of its right, title and interest in the Equipment to Lessee as is, without warranty, express or implied, except that the Equipment is free and clear of any liens created by Lessor. 19. NOTICES. All notices to be given under this Lease shall be made in writing and mailed by certified mail, return receipt requested, to the other party at its address set forth herein or at such address as the party may provide in writing from time to time. Any such notice shall be deemed to have been received five days subsequent to such mailing. 20. SECTION HEADINGS. All section headings contained herein are for the convenience of reference only and are not intended to define or limit the scope of any provision of this Lease. 21. GOVERNING LAW. This Lease shall be construed in accordance with, and governed by the laws of, the state of the Equipment Location. 22. DELIVERY OF RELATED DOCUMENTS. Lessee will execute or provide, as requested by Lessor, such other documents and information as are reasonably necessary with respect to the transaction contemplated by this Lease. 23. ENTIRE AGREEMENT; WAIVER. This Lease, together with Schedule A Equipment Lease -Purchase Agreement, Schedule B, Evidence of Insurance, Statement of Essential Use/Source of Funds Certificate of Incumbency, Lessee Resolution, Bank Qualified Statement, Information Return for Tax -Exempt Governmental Obligations and the Delivery and Acceptance Certificate and other attachments hereto, and other documents or instruments executed by Lessee and Lessor in connection herewith, constitutes the entire agreement between the parties with respect to the Lease of the Equipment, and this Lease shall not be modified, amended, altered, or changed except with the written consent of Lessee and Lessor. Any provision of the Lease found to be prohibited by law shall be ineffective to the extent of such prohibition without invalidating the remainder of the Lease. The waiver by Lessor of any breach by Lessee of any term, covenant or condition hereof shall not operate as a waiver of any subsequent breach thereof. 24. EXECUTION IN COUNTERPARTS.This Lease may be executed in several counterparts, each of which shall be deemed an original and all of which shall constitute but one and the same instrument. ELPAshort_f11.01.13 IN WITNESS WHEREOF, the parties have executed this Agreement as of the Z` day of March, 2015. LESSEE: CITY OF PASCO Printed Name: i7AJdC—4;3EGS _ _- Title: 1. /Ty %n4N14eyC&- LESSOR: MOTOROLA S LUTIONS, INC. By�� ��- Title: Authorized Signatory CERTIFICATE OF INCUMBENCY I, DOM -4( & /t,2 /r - .,----,,do hereby certify that I am the duly elected or (Printed Name of Secretary/&d) appointed and acting Secretary or Clerk of City of Pasco, an entity duly organized and existing under the laws of the State of Washington that I have custody of the records of such entity, and that, as of the date hereof, the individual(s) executing this agreement is/are the duly elected or appointed officer(s) of such entity holding the office(s) below his/her/their respective name(s). I further certify that (i) the signature(s) set forth above his/her/their respective name(s) and title(s) is/are his/her/their true and authentic signature(s) and (ii) such officer(s) have the authority on behalf of such entity to enter into that certain Equipment Lease Purchase Agreement number 23691, between City of Pasco and Motorola Solutions, Inc.. IN WITNESS WHEREOF, I have executed this certificate and affixed the seal of CITY OF PASCO , hereto this day of h, 015. By: SEAL (Signature of Secretary/Clerk) OPINION OF COUNSEL With respect to that certain Equipment Lease -Purchase Agreement # 23691 by and between Motorola Solutions, Inc. (Lessor) and the Lessee, I am of the opinion that: (1) the Lessee is, within the meaning of Section 103 of the Internal Revenue Code of 1986, a state or a fully constituted political subdivision or agency of the State of the Equipment Location described in Schedule A hereto; (ii) the execution, delivery and performance by the Lessee of the Lease have been duly authorized by all necessary action on the part of the Lessee, (III) the Lease constitutes a legal, valid and binding obligation of the Lessee enforceable in accordance with its terms; and (iv) Lessee has sufficient monies available to make all payments required to be paid under the Lease during the current fiscal year of the Lease, and such monies have been properly budgeted and appropriated for this purpose in accordance with State law. This opinion may be relied upon by the Lessor and any assignee of the Lessor's rights under the Lease. Attorney for CITY OF PASCO ELPAshort fl 1.01.13 SCHEDULE A EQUIPMENT LEASE -PURCHASE AGREEMENT Schedule A 23691 Lease Number: This Equipment Schedule is hereby attached to and made a part of that certain Equipment Lease - Purchase Agreement Number 23691 ("Lease"), between Motorola Solutions, Inc. ("Lessor") and City of Pasco ("Lessee"). Lessor hereby leases to Lessee under and pursuant to the Lease, and Lessee hereby accepts and leases from Lessor under and pursuant to the Lease, subject to and upon the terms and conditions set forth in the Lease and upon the terms set forth below, the following items of Equipment Refer to Equipment Location: City of Pasco Serial Initial Term: 36 Months Commencement Date: 4/1/2015 First Payment Due Date: 4/1/2016 3 annual Payments of $117,090.72 as outlined in the attached Schedule B, plus Sales/Use Tax of $0.00, payable on the Lease Payment Dates set forth in Schedule B. Item Quantity Nomenclature Description 1 27^ M25URS9PWIAN APX650071800 MHZ MID POWER 2 QA01749AB MOBILE la 27 G442A1 ADD: 05 CONTROL HEAD Ib 27 067BC ADD: REMOTE MOUNT MID POWER It 27 W223A ADD: PALM MICROPHONE Id 27 G24AX ENH: 2 YEAR REPAIR SERVICE 6 75 ADVANTAGE It 27 0444AE ADD: APXOONTROL HEAD CCR2.775 WLHL 290000ISOM SOFTWARE If 27 G174AD ADD: ANT 3DB LOW -PROFILE 762-870 I8 27 B18CR ADD: AUXILARY SPKR. 7.5 WATT Ib 27 GAO 1749AB SW KEY SUPPLEMENTAL DATA li 27 QA02756AC ENH: %D0 OR 3600 SINGLE SYSTEM DIG 2 75 H98UCF9PW6AN APX60007001000 MODEL 2.5 PORTABLE 2a 75 QA01749AII SW KEY SUPPLEMENTAL DATA 26 75 QA02818AA ALT:LIION IMPRES FM/CSA 2300M (NNTN8092) 2. 75 QA01222AD ADD: BELT CLIP 3.0" (HLN6875) 2d 75 H885BK ENH: 2 YR SfS LITE 2e 75 QA02756AA ADD: %00 TRUNKING OR 3600 DIGITAL TRUNKING 2f 75 H12213R ALT: 1/4- WAVE 7/800 GPS STUBBY (NAR6595A 3 75 WPLN7080A CHR IMP SUC EXT US/NA/CA/LA. 4 75 PMMN4099A AUDIO ACCESSORY -REMOTE SPEAKER MICROPHONFUMPRES WINDPORMNGRSKIP55 5 2 M25URS9PWIAN APX65007/300 MHZ MID POWER MOBILE 50 2 0442AI ADD: 05 CONTROL HEAD 56 2 067BC ADD: REMOTE MOUNT MID POWER Sc 4 W22RA ADD: PALM MICROPHONE 5d 2 024AX EHH: 2 YEAR REPAIR SERVICE ADVANTAGE 5e 2 061DAC ADD: REMOTE MOUNT CBL 30 FEET 5f 2 G444AE ADD: APX CONTROL HEAD SOFTWARE 58 2 G174AD ADD: ANT 3DB LAW -PROFILE 762-870 Item Quantity Nomenclature Description Sh 4 BISCR ADD: AUXILARY SPKR 7.5 WATT Si 2 QA01749AB SW KEY SUPPLEMENTAL DATA S 2 QA02756AC ENH: 96000R 3600 SINGLE SYSTEM DIG Sk 2 GA00092AC ADD: DUAL.CONTRL HD HARDWARE 6 75 PMLN5657B 1146000 CCR2.775 WLHL 290000ISOM EQUIPMENT LEASE PURCHASE AGREEMENT DELIVERY AND ACCEPTANCE CERTIFICATE The undersigned Lessee hereby acknowledges receipt of the Equipment described below ("Equipment') and Lessee hereby accepts the Equipment after full inspection thereof as satisfactory for all purposes of lease Schedule A to the Equipment Lease Purchase Agreement executed by Lessee and Lessor. Equipment Lease Purchase Agreement Date: March_, 2015 Equipment Lease Purchase Agreement No.: 23691 Lease Schedule A No.: 23691 EQUIPMENT INFORMATION 23691. See Schedule A for a detailed Equipment List. LESSEE: CITY OF PASCO City of Pasco (Schedule Compound Period: Annual Nominal Annual Rate: 3.290% CASH FLOW DATA Event Date Amount Number Period End Date 1 Loan 4/1/2015 $340,202.20 1 2 Payment 4/1/2016 $117,090.72 3 Annual 4/1/2018 AMORTIZATION SCHEDULE - Normal Amortization, 360 Day Year Date Payment Interest Principal Balance Loan 4/1/2015 $340,202.20 14/1/2016 $117,090.72 $ - $117,090.72 $223,111.48 2 4/1/2017 $117,090.72 ' $ 7,340.37 $109,750.35 $113,361.13 3 4/1/2018 $117,090.72 $ 3,729.59 $113,361.13 $ Grand Totals $351,272.16 $ 11,069.96 $340,202.20 INITIAL INSURANCE REQUIREMENT: $340,202.20 Except as specifically provided in Section rive of the Lease hereof, Lessee agrees to pay to Lessor or its assignee the Lease Payments, including the interest portion, in the amounts and dates specified in the above payment schedule. EVIDENCE OF INSURANCE Fire, extended coverage, public liability and property damage insurance for all of the Equipment listed on Schedule A number 23691 to that Equipment Lease Purchase Agreement number 23691 will be maintained by the CITY OF PASCO as stated in the Equipment Lease Purchase Agreement. This insurance shall name MOTOROLA SOLUTIONS, INC. or its assignee as additional insured and loss payee for the term of the Schedule A number 23691.This insurance is provided by: Conover Insurance Services, LLC Name of insurance provider P. O. Box 2528 Address of insurance provider Pasco, WA 99302 City, State and Zip Code (509)545-3800 Phone number of insurance provider In accordance with the Equipment Lease Purchase Agreement Number 23691, CITY OF PASCO , hereby certifies that following coverage are or will be in full force and effect: Type Amount Effective Expiration Policy Date Date Number Fire and Extended Coverage $360,393 3/20/15 7/2/15 RMP5084734228 Property Damage Same - Insured on a mobile equipment endorsement. Public Liability The City of Pasco is a member of the Washington Cities Insurance AuthorityWCIA , whieh+s-a self-insured ( } wool of -over -150 publieentities in the State of Washington. The WCIA has at least $1 million per occurrence limit of liability coverage in its self-insured layer that may be applicable in the event that an incident occurs that is deemed to be attributed to the negligence of the City. WCIA was created by interlocal agreement among the entities and liability is self-funded by the membership. There is therefore no insurance policy involved (or policy number). The City has been a member of WCIA, continuously, for more than 25 years. A�� EVIDENCE OF PROPERTY INSURANCE DATE (MMD°" DEDUCTIBLE 3/20/20155 THIS EVIDENCE OF PROPERTY INSURANCE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE ADDITIONAL INTEREST NAMED BELOW. THIS EVIDENCE DOES NOT AFFIRMATIVELY OR NEGATIVELY AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. THIS EVIDENCE OF INSURANCE DOES NOT CONSTITUTE A CONTRACT BETWEEN THE ISSUING INSURER(S), AUTHORIZED REPRESENTATIVE OR PRODUCER, AND THE ADDITIONAL INTEREST. AGENCY PHONE , (509)545-3800 COMPANY Conover Insurance Continental Casualty Co. 1804 West Lewis Street 23453 Network Place Pasco WA 99301 Chicago IL 60673-1234 FAX NO), (509) 547-7960 E ADDRESS - CODE: 072834 SUB CODE: AGENCYCUSTOMERID9.00086971 INSURED LOAN NUMBER POLICY NUMBER City Of Pasco 23691 RMP5084734228 P. 0. $OX 293 EFFECTIVE DATE EXPIRATION DATE 7/1/2014 7/1/2015 CONTINUED ICF TERMINATED F HECXED Pasco WA 99301 THIS REPLACES PRIOR EVIDENCE DATED: Motorola APX6000 700/800 Model 2.5 Portable Radios & 27 Motorola APX6500 Mobile Radios THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED. NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS EVIDENCE OF PROPERTY INSURANCE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH POLICIES. LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. vwvvnnvc DrrvrtmAl IVN COVERAGEIPERILS/FORMS AMOUNTOFINSURANCE DEDUCTIBLE Mobile Equipment Endorsement; special form, actual cash value 360,393 25,000 LANW:LLA I IUM SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, NOTICE WILL BE DELIVERED IN ACCORDANCE WITH THE POLICY PROVISIONS. Motorola Solutions, Inc. 1303 E. Algonquin Rd. Schaumburg, IL 60196 :xjMORTGAGEE LOSS PAYEE LOAN# 23691 Karen Alley/KARENA ADDITIONAL INSURED Tho A—Rn „ams and I— aro ronlcfcrnd mark¢ of A(,.npn reserved. STATEMENT OF ESSENTIAL USE/SOURCE OF FUNDS To further understand the essential governmental use intended for the equipment together with an understanding of the sources from which payments will be made, plcase address the following pucsiions by completing this form or by sending a separate letter: As is relates to CITY OF PASCO LEASE No. 23691 1. What is the specific use of the equipment? Public Safety communications 2. Why is the equipment essential to the operation of CITY OF PASCO? It is critical that public safety responders from various jurisdictions be able to communicate with each other. 3. Does the equipment replace existing equipment? Yes If so, why is the replacement being made? Existing equipment is out -dated and does not meet current standards. 4. Is there a specific cost justification for the new equipment? Yes. If yes, please attach outline of justification. See attached justification. 5. What is the expected source of funds for the payments due under the Lease for the current fiscal year and future fiscal years? General Fund revenues. Debarred Contractors List 61 'J"jVe �y(i S�&_�� page 1 of I Home Inicio m Pspafiol Contact Search L&I A-Z Index Help My Secure L&I Safety Claims & Insurance Workplace Rights Trades & Licensing Washington State Department of Labor & Industries Debarred Contractors List A debarred contractor may not bid on, or have a bid considered on, any public works contract. You can search and filter this list using the options presented below. Company Name: Motorola Solutions, Inc. WA UBI Number: License Number:': From:!MM/DD/YYYY %To:'MWDDIYYYY Penalty Due: All N Wage Due: All ; [Aup�Qae€etj Download all debarment dataQ ShowF251r—1 per page Showing 0 records FirstPreviousNextLast Company Name UBI License Principals Status RCW Debar Begins Debprends Penalty Due Wages Due There are no records that match your search criteria. Show F25W per page Showing 0records Fli stPreviousNextlast ® Washington State Dept. of Labor a indualdes, Use of this are Is subject to the laws of the state of waahington. https://secure.Ini.wa.gov/debarandstrike/ContractorDebarList.aspx 3/24/2015 Debarred Contractors List Home Inicio en Pspafiol Contact Safety Claims & Insurance Washington State Department of Labor & Industries Debarred Contractors List Page 1 of 1 Search L&I A-Zlndex Help My Secure l&I Workplace Rights Trades & Licensing A debarred contractor may not bid on, or have abid considered on, anypublieworks mutt. You can search and fdterthis list using the options presented below. Company Name:'. WA U&I Number:. License Number Principal:: Status. All RCW All From:!MWDD/YYYY To:IMMID_D/YY_Y_Y Penalty Due: All Wage Due: All : (�pkLw;rsd��l Download all debarment dataO Show HE per page Showing 246 to 255 of 397 records FirstPreAous l ... 252627 ... 40NextLast Company Name UBI License Prlindpals Status ROW Daher Debar Penalty Wages Begins Ends Due Due MIRACLE HARDWOOD 602179732 Debarred 18.27.20009/21/201404/20/2015- - FLOORS MIRACLE HARDWOOD 502179732 STEVEN Debarred 51.48.10304/21/201404/20/201 S- - FLOORS MORIS ML WARWICK INC 603 081 954 Debarred 18.27.200 06/07/2014 06/06/2015 - - ML WARWICK INC 603 081 954 Debarred 51.48.103 06/07/2014 06/06/2015 - - MODERN f CONSTRUCTION 603189377 IVAN BEREZNYOV barred 51.98.020 09/24/201409/24/2015- - INC (1) MODERN S CONSTRUCTION 603 189377 IVAN BEREZNYOV Debarred 51.48.103 09/24/2014 09/24/2015 - - INC MONEAR MARC E 601 487 357 Debarred 18.27.200 09/22/2014 09/22/2015 - - MONEAR MARC E 601 487 357 MARC E rreDebad 51.48.103 09/22/2014 09/22/2015 - - MONEAR Debarred Mowry Rebar, Inc. 602914668MOWRYR1963MR Undl 39.12.05003/13/2014 Yes No !� Penalties Paid CHARLES ROOFING 60127SSMMRCMCC89268 ROOFING Debarred 51.48.10304/19/201904/18/2015- ' Show DOE per page Showing 246 to 255 of 397 records Flrstlerevious 1...252627...40NextLast 0w shmgtcn slate Dept. of Labor & lMusbies. Use of this she is subject to the laws of the stale of Metil https://secure.Ini.wa.gov/debarandstrike/ContractorDebarList.aspx 3/24/2015 System for Award Management �IcE iai M o 6 ca(J ,4 lS NIO�T- MOTOROLA SOLMONS, INC. Entity Dashboard DUNS: 069373090 CAGE Code: 78205 Status: Active Page 1 of 1 USERNAME PASSWORD DD® F root Username? For00t Passwortl? Expiration Date: 05/15/2015 Entity overview Purpose of Registm[ion: All Awards Entity Record Entity Overview Core Data Assertions Endry Information Rens & Certs Name: MOrOROIA SOLUTIONS, INC Business type: BusiresS or OrgantraW POCS POC Nam Wry tougher, Regista. caIStdtus:Atl1V2 g—ort ¢ 5 Activation Date: 05/15/2014 � Expiration Dallas 05/15/2015 service Contract Report BioPreferred Report Exclusions —__ _—_ --_-- Active Exclusions Fxdu9w6 Active Exclusion Records? No Inactive Exclusions Excluded Family Members "irn,—Sf,%RL1i 11 SAM I Spume Tor Awol MwpemM 1.0 IBM vl.P.24.2015011&101 WWW1 Notem all Users: This B a Fe I Government computersystefrl. Ilse of UTIs system constihrtes consent to monitoring at all tares. 1031 COLUMBIA GATEWAY DR R 3 COLUMBIA, MD, 21046-2583, UNirED STATES R—. 'I ® IJSA.g�i;a https://www.sam.gov/portal/SAM/?navigationalstate=JBPNS rOOABXdcACJgYXZheC5... 3/20/2015 RESOLUTION NO. 3� A RESOLUTION of the City of Pasco, Washington, ratifying the Equipment Lease -Purchase Agreement with Motorola Solutions, Inc.; and ratifying the document's execution. WHEREAS, the City Council has adopted a goal of operating its emergency communications services on an 800 MHz platform; and WHEREAS, the City is presently participating in the organization of a bi-county communication service which will be operating on an 800MHz platform: and WHEREAS, the City Council has determined that a true and very real need exists for the acquisition of equipment to facilitate communication on an 80OMHz platform and such other personal property as described in the Equipment Lease -Purchase Agreement with Motorola Solutions, Inc., whereby, Motorola Solutions, Inc., as Lessor, leases to the City of Pasco as Lessee, that equipment described in "Attachment A'; and WHEREAS, funding for acquisition for this equipment is available part from a Homeland Security grant in the approximate amount of $30,000, and the balance ultimately being paid upon purchase of the equipment in the approximate sum of $340,202; and WHEREAS, the City Council authorized the City Manager to enter into a financing arrangement with Motorola to purchase the 800MHz radios; NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF PASCO, WASHINGTON, DO RESOLVE AS FOLLOWS: Section 1. The City Council of the City of Pasco, does ratify entry into the Equipment Lease -Purchase Agreement between Motorola Solutions, lnc., as Lessor, and the City of Pasco, as Lessee, and having determined that it is in the best interest of the City of Pasco for the acquisition of such equipment, and hereby ratifies the authorization and execution of the Equipment Lease -Purchase Agreement. Section 2. The City is authorized to secure and apply a Homeland Security grant in the approximate amount of $30,000 to be applied against the purchase of the equipment, and ultimate purchase of the equipment by councihnanic debt in the approximate amount of $340,202 for the purchase of the 800MHz radios and other equipment as provided in the Equipment Lease -Purchase Agreement as attached. Section 3. The City Manager's execution and delivery of the Equipment Lease - Purchase Agreement to Motorola Solutions, Inc., as Lessor, and other related documentation, as necessary to the consummation of this transaction, is ratified. PASSED by the City Council of the City of Pasco, Washington, at its regular meeting dated this 6th day of April, 2015. /0 /- xt� Matt Watkins, Mayor ATTEST: APPROVED AS TO FORM: r L. CMrCiYy er — Leland B. Kerr, City Attorney Attachment A Item Qoantity Nommelatum Description 1 27 M25UR89PWIAN APX650071900 MHZ MID POWER SW KEY SUPPLEMENTAL DATA 5j 2 MOBILE la 27 G442A1 ADD: OS CONTROL HEAD Ib 27 G67BC ADD: REMOTE MOUNTMID POWER lc 27 W22BA ADD: PALM MICROPHONE Id 27 G24AX ENH: 2 YEAR REPAIR SERVICE CC 2.75 SWLBL 2900&3150MAH ADVANTAGE le 27 0444AE ADD: APR CONTROL HEAD SOFTWARE If 27 G174AD ADD: ANT 3DB LOW -PROFILE 762-870 10 27 BIBCR ADD: AUXILARY SPKR 7.5 WA17 Ih 27 QA01749AD SW KEY SUPPLEMENTAL DATA IP 27 QA02756AC ENH: 9600 OR 3600 SINGLE SYSTEM DIG 2 75 H9SUCF9PW6AN APX6000700/BOO MODE. 2.5 PORTABLE 2s 75 QA01749AB SW KEY SUPPLEMENTAL DATA 2b 75 QA02818AA ALT:LIION IMPRES FWCSA 2300M (NNTN8092) 2e 75 QA01222AB ADD: BELT CLIP 3.0"(HLN6875) 2d 75 H8953K ENH:2 YR SfS LITE 2. 75 QA01756AA ADD: 9600 TRUNKING OR 3600 DIGITALTRUNKING 2f 75 H122BR ALT: IA- WAVE 7/800 GPS STUBBY (NAR6595A 3 75 WPLN7080A CHR IMP SVC EXT US/NA/CA&A. 4 75 PMMN4099A AUDIO ACCESSORY -REMOTE SPEAKER MICROPHONE,IMPRES WINDPORTING RSM, IP55 5 2 M25URR9PWIAN APX650071800 MHZ MID POWER MOBILE 5. 2 G442A1 ADD: OS CONTROL HEAD 56 2 067BC ADD: REMOTE MOUNT MID POWER 5. 4 W22BA ADD: PALM MICROPHONE 5d 2 024AX ENH: 2 YEAR REPAIR SERVICE ADVANTAOE 5e 2 O610AC ADD: REMOTE MOUNT CBL 30 FEET if 2 G444AE ADD: APR CONTROL HEAD SOFTWARE 50 2 0174AD ADD: ANT 3DB LOW -PROFILE 762.870 Item Quantity Nomeneiatarc Description Sh 4 B18CR ADD: AUXILARY SPKR 7.5 WATT 51 2 QA01749AR SW KEY SUPPLEMENTAL DATA 5j 2 QA02756AC ENH: 9600 OR 3600 SINGLE SYSTEM DIG Sk 2 CA00092AC ADD: DUAL-CONTRL HD HARDWARE 6 75 PMLN5657B CARRY ACCESSORY.CASE,M%000 CC 2.75 SWLBL 2900&3150MAH AGENDA REPORT TO: City Council n , FROM: Dave Zabell, City Manager SUBJECT: Purchase of Mobile and Portable 800MHz Radios I. REFERENCE(S): 1. 800MHz Radios — Memorandum from Chief Metzger 2. 800MHz Radios — Motorola Solutions Bids 3. 800MHz Radios — Day Wireless Systems Bid February 17, 2015 Workshop Mtg.: 2/23/15 Regular Mtg.: 3/2/15 II. ACTION REQUESTED OF COUNCIL / STAFF RECOMMENDATIONS: 2/23: Discussion 3/2: MOTION: I move to authorize the City Manager to purchase mobile and portable 800MHz radios, in numbers sufficient to replace the current inventory of such equipment through the state bid for an amount of up to $379,000, utilizing the vendor's zero percent financing option. III. FISCAL IMPACT: Fund: General (2016) Amount: $353,519 IV. HISTORY AND FACTS BRIEF: A) Since 2007 the City has been working in concert with Franklin and Benton Counties and the cities of Kennewick and Richland toward the consolidation of the two Public Safety Answering Points (PSAPs), serving the these agencies and others in the Tri -Cities region. Currently, law enforcement agencies in Benton County operate on 800MHz frequency, while agencies in Franklin County operate on VHF frequencies, the result being that police officers from the two counties are unable to communicate effectively and efficiently with one another by radio. The lack of interoperability between the two radio systems is constant and during interagency incidents, represents a safety issue for the officers involved and the public. B) Consolidation of the two PSAPs into one, operating on an 800MHz platform, is a City Council goal. The consolidation process has yielded an interlocal agreement for Council consideration which will establish an organization called Multi -Agency Three Rivers Information & Communication Services or MATRICS. While the execution of the proposed agreement has yet to occur, its consideration by the legislative bodies of the five agencies is imminent. C) Early on, it was determined that MATRICS will work on an 800MHz platform for Police, which necessitates the need for Pasco to change its mobile and portable units from VHF to 800MHz. As the agencies have worked toward consolidation of emergency communication services, and in anticipation of the transition from VHF to 800MHz radios, since 2007 the City has been deferring replacement of police VHF band radios. In the interim, the inventory of mobile and portable VHF radios serving the Police Department has continued to age and deteriorate to the point that the entire inventory of mobiles and most of the portables are past end of life and need to be replaced. The cost for updating the City's VHF inventory is approximately $331,065 based on state bid prices. 3(c) V. DISCUSSION: A) Recent discussions and collaboration between Franklin County Sheriff Jim Raymond and Chief Metzger have resulted in an opportunity to partner in a temporary measure to transition to the 800MHz platform. The proposal involves the installation of a "patch" into Franklin County dispatch center that will allow agencies dispatched by Franklin County, including Pasco to move to the 800MHz platform in advance of the PSAP consolidation. While this "patch" is a short term remedy, and lacks the reliability of the ultimate one PSAP system, it will significantly enhance safety for our officers and the public over the current system. The total cost to replace the aging VHF equipment and upgrade to 800MHz equipment is on the order of $379,000. As a side note, by purchasing these radios now, will result in a savings of $41,600 as unit prices on the state bid are scheduled to increase this month. B) The advantages of moving forward with the use of the "patch" and purchase of the 800MHz mobile and portable units now offers the following benefits: i. Officer Safety: Interoperability with Benton County agencies during interagency operations will be attained. Better coverage within the City's service area, currently an estimated 30% of our city has insufficient coverage from the VHF system. Due to age and use, the reliability of the existing VHF mobile and portable units are coming into question and require replacement. ii. Cost: the unit price cost of the 800MHz radios, through the state bid, is scheduled to increase approximately $300-$400 per radio. This will increase the total cost for the proposed system upgrade by $41,600. Staff has reserved sufficient units pending Council approval. iii. Regardless of the sequence, the purchase of 800MHz mobile and portable radios have always been a necessary step for Pasco in implementing the full 911 consolidation and purchasing them now not only avoids a cost increase, it saves the cost of replacing VHF units (approximately $331,065) that are or are becoming unserviceable in the interim. C) If authorized by Council, the purchase of this equipment may require amendment to the 2015 budget depending on the option selected. The following alternatives are available to fund this purchase: i. Use of Fund Balance: while sufficient funds exist, the purchase would reduce fund balance by $353,519, thanks to $25,000 in grant funding. However, current revenue estimates show even with this expenditure our fund balance will remain above the current general fund balance $6,500,000 approved by Council in the 2015 budget. ii. Low interest loan from the LOCAL program: the LOCAL program is administered by the State of Washington and allows the local governments to stretch the payments over a period of time at low interest rates. For instance, a loan term of three to five years would have an estimated interest rate of 1% to 2% annually. iii. Vendor Financing: Motorola, the state bid supplier, has a zero (0) percent program for one year. This would allow the City to take delivery of the equipment with little or no capital outlay and pay the balance off in the next fiscal year. D) Staff recommends that Council authorize purchase of the 800MHz equipment and implement the transition to 800MHzfor law enforcement communications utilizing the 0% financing available from the vendor. Staff would then prepare the 2016 budget anticipating payoff of the interest free loan in early 2016. TO: Dave Zabell, City Manager FROM: Bob Metzger, Police lfv� RE: 800MHz Radios DATE: February 18, 2015 Since 2007, the police department has been working on mobile radio and dispatch issues. Officers in Benton County are on an 800MHz frequency, while officers in Franklin County are on the VHF frequency. This meant that officers could not communicate with each other. In times of interagency incidents such as the ones that we had in Pasco this past year, that created some big issues for officer and citizen safety. Several studies have been conducted and all of them have shown that a combined radio system with all police agencies on one frequency would be a benefit to both counties. City Council also made this one of their council goals several years ago. With the recent election of Jim Raymond to Franklin County Sheriff, I have been able to discuss this issue with him at length. We both agree that moving police agencies to one frequency in both counties is a good idea and is giving his full support to this. Unfortunately the interlocal agreement and many other issues that have been held up for years are still not finalized, but our need for a better radio system has only gotten more critical. As a temporary measure, and as a way to get us on the 800 platform, Sheriff Raymond and I have agreed to place a "patch" into Franklin County dispatch that will allow us to move over to the 800 system, using Franklin County as our dispatch service provider. This is a short term remedy, or band aid, that will allow time for the intricacies of the full combined dispatch to take place. This will solve our immediate needs and will allow the second part of this, the combined PSAP, to progress at whatever pace is required. I am making this recommendation now for the following reasons: 1. Officer Safety — our current system continues to degrade and we have about 30% of our city with insufficient coverage over the current VHF system. 2. Cost — on February 16, 2015 the cost of 800MHz radios through the state of Washington Bid will go up approximately $300 - $400 per radio. This will increase our total cost for this upgrade by $41,600. Memorandum February 18, 2015 TO: Dave Zabell FROM: Chief Metzger Page 2 3. This is a necessary first step for Pasco in implementing the fu11911 consolidation. 4. We have obtained $30,000 from Homeland Security funding to obtain 800MHz radios. $5,000 of this will be used for the "patch" and the rest, $25,000, can be used to fund the additional 800MHz radios that we need. In March, 2012 we were able to obtain free of charge from Richland through SECOMM, 11 mobiles and 16 portables for a cost savings of $88,768. This was done in anticipation of us going to the fully consolidated MATRICS system. By purchasing these radios now we will save the $41,600 plus the $88,768 that we obtained free of charge, plus the $25,000 from Homeland Security, for a total savings of $155,368. This represents a total savings of 31% of a total budget if we had to purchase all new radios and if we did this after February 16. Attached is the total cost to complete our fleet of vehicles to the 800MHz system. This total cost of $377,742, plus approximately $1,258 for the 800 patch in Franklin County dispatch for a total of approximately $379,000, will be reduced by $25,000 for a total city cost of approximately $354,000, which would be the request being made now. Additionally we have not been replacing our VHF equipment as needed over the past seven years in anticipation of moving to the 800 platform. As such our entire fleet of mobiles and most of our portables are past end of life and will need to be replaced. If we decided to replace the VHF radios we could not use the Homeland Security money for this and the free radios that we received from SECOMM would be of no benefit to us. The cost for updating our VHF system would be $331,065. This represents a difference of $21,677. In summary, to upgrade our radios to the 800 platform as we have been planning to do would only cost an additional $21,677 if we do this now. It is my recommendation that we proceed with the 800 drop into Franklin County and purchase the 800MHz radios at the reduced cost. Please review this information and if you have any questions or need further information please let me know. REGULAR MEETING CALL TO ORDER MINUTES PASCO CITY COUNCIL MARCH 2, 2015 The meeting was called to order at 7:00 p.m. by Matt Watkins, Mayor. ROLL CALL: Councilmembers present: Rebecca Francik, Mike Garrison, Tom Larsen, Saul Martinez, Matt Watkins, Robert Hoffmann and Al Yenney. Staff present: Dave Zabell, City Manager; Lee Kerr, City Attorney; Rick White, Community & Economic Development Director; Rick Terway, Administrative & Community Services; Ahmad Qayoumi, Public Works Director; Bob Gear, Fire Chief and Ken Roske, Police Captain. The meeting was opened with the Pledge of Allegiance. CONSENT AGENDA: Approval of Minutes: Minutes of the Pasco City Council Special Session dated February 13, 2015. Minutes of the Pasco City Council Meeting dated February 17, 2015. Minutes of the Pasco City Council Public Meeting dated February 23, 2015. Bills and Communications: To approve claims in the total amount of $2,136,282.51. Purchase of Mobile and Portable 800MHz Radios: To authorize the City Manager to purchase mobile and portable 800MHz radios in the amount up to $370,000, utilizing the vendor's zero percent financing option. MOTION: Ms. Francik moved to approve the Consent Agenda as read. Mr. Garrison seconded. Motion carried by unanimous Roll Call vote. REPORTS FROM COMMITTEES AND/OR OFFICERS: Mr. Garrison attended the Visit Tri City Board of Directors meeting and TRIDEC Board Meeting. Ms. Francik attended the Subgroup for the Public Facilities Group. Mr. Yenney attended DPDA Pasco Cleanup along with high school participants. Mayor Watkins reported while awaiting a plane at SEATAC Airport he had an opportunity to visit with Pasco School Board Representatives. ORDINANCES AND RESOLUTIONS NOT RELATING TO HEARINGS: Ordinance No. 4209, an Ordinance of the City of Pasco, Washington amending Chapter 1.10 of the Pasco Municipal Code regarding Voting Districts. Council and staff discussed the details of the proposed ordinance. MOTION: Ms. Francik moved to adopt Ordinance No. 4209, revising City Council district boundaries to comply with population limitations and, further, authorize publication by summary only. Mr. Yenney seconded. Motion carried by the following Roll Call vote: Yes — Watkins, Yenney, Francik, Garrison, Martinez, Hoffmann. No - Larsen MINUTES REGULAR MEETING PASCO CITY COUNCIL MARCH 2, 2015 Ordinance NoA210, an Ordinance of the City of Pasco, Washington amending the zoning classification of property located in the 9500 block of Sandifur Parkway from C-1 (Retail Business) to CR (Regional Commercial). Council and staff discussed the details of the proposed ordinance. MOTION: Ms. Francik moved to adopt Ordinance No. 4210, rezoning property located in the 9500 block of Sandifur Parkway from C-1 to CR and, further, authorize publication by summary only. Mr. Garrison seconded. Motion carried unanimously. Ordinance No. 4211, an Ordinance of the City of Pasco, Washington amending the zoning classification of property located in the 8800 and 8900 block of Sandifur Parkway from C-1 (Retail Business) to R-1 (Low Density -Residential). Council and staff discussed the details of the proposed ordinance. MOTION: Ms. Francik moved to adopt Ordinance No. 4211, rezoning property located in the 8800 block of Sandifur Parkway from C-1 to R-1 and, further, authorize publication by summary only. Mr. Garrison seconded. Motion carried 6-1. No — Larsen. Ordinance No. 4212, an Ordinance of the City of Pasco, amending Pasco Municipal Code Sections 3.07.190, Stormwater Utility. Council and staff discussed the details of the proposed ordinance. MOTION: Ms. Francik moved to adopt Ordinance No. 4212, adjusting the stormwater utility rates effective April 1, 2015 and, further, authorize publication by summary only. Mr. Yenney seconded. Motion carried 5 — 2. No — Hoffmann and Larsen. Resolution No. 3621, a Resolution accepting the Planning Commission's recommendation and approving a special permit for the location of a Police Community Services Building at 525 N. 3rd Avenue. Council and staff discussed the details of the proposed resolution. MOTION: Ms. Francik moved to approve Resolution No. 3621, approving the special permit for the location of a Police Community Services Building at 525 N. 3'd Avenue as recommended by the Planning Commission. Mr. Martinez seconded. Motion carried unanimously. Resolution No. 3622, a Resolution approving a preliminary plat for Broadmoor Terrace. Council and staff discussed the details of the proposed resolution MOTION: Ms. Francik moved to approve Resolution No. 3622, approving the Preliminary Plat for Broadmoor Terrace. Mr. Garrison seconded. Motion carried 6-1. No — Larsen. Resolution No. 3623, a Resolution, accepting the Planning Commission's recommendation and approving a special permit for the location of a mini -storage facility near the corner of Argent Road and Road 44. Council and staff discussed the details of the proposed resolution MOTION: Ms. Francik moved to approve Resolution No. 3623, approving a special permit for the location of a mini -storage facility near the corner of Argent Road and Road 44 as recommended by the Planning Commission. Mr. Yenney seconded. Motion carried unanimously. MINUTES REGULAR MEETING PASCO CITY COUNCIL MARCH 2, 2015 NEW BUSINESS: Consideration of Multi -Agency Three Rivers Information & Communication Services (MATRICS) Interlocal Agreement: Council and staff discussed the details of the proposed agreement. MOTION: Ms. Francik moved to approve the Interlocal Agreement for the creation of the Multi -Agency Three Rivers Information & Communication Services (MATRICS) with the cities of Richland and Kennewick, and Benton and Franklin Counties. Mr. Martinez seconded. Motion carried unanimously. Broadmoor Area Development Professional Services Agreement: Council and staff discussed the details of the proposed agreement. MOTION: Ms. Francik moved to approve a Professional Services Agreement with Hansen Design in the amount of $127,700 and, further, authorize the City Manager to sign the Professional Services Agreement. Mr. Garrison seconded. Motion carried unanimously. Bid Award: 2015 Water Meter Relocations, Project #M7 -WT -2R-15-02: Council and staff discussed the details of the proposed agreement. Laurie Castellanos, 1814 W Octave St., inquired about back flow devices. MOTION: Ms. Francik moved to award the low bid for the 2015 Water Meter Relocations Project to Puget Sound Utility Services, Inc., in the amount of $100,485.41 _ and, further, authorize the City Manager to execute the contract documents. Mr. Garrison seconded. Motion carried unanimous Roll Call vote. Bid Award: 2014-2015 Chip Seal, Project #C5 -ST -3R-14-01: Council and staff discussed the details of the proposed agreement. MOTION: Ms. Francik moved to award the low bid for the 2014-2015 Chip Seal Project, to include all areas, to Central Washington Asphalt, hic., in the amount of $248,120.86 and, further, authorize the City Manager to execute the contract documents. Mr. Martinez seconded. Motion carried unanimous Roll Call vote. MISCELLANEOUS DISCUSSION: Frances Wilson, 725 W Bonneville, inquired about a statement the Mayor made earlier in the meeting. Jeremy Peterson, 1414 W 6th Avenue — Kennewick, read a statement regarding social injustices. Christine Tucker, 1212 W le Avenue — Kennewick, shared concerns about parks for children on the eastside of Pasco. Councilmembers reminded the public that all council meetings are broadcast online at the City of Pasco webpage www.pasco-wa.gov. EXECUTIVE SESSION: Council adjourned to Executive Session at 8:13 p.m. for approximately 15 minutes to discuss litigation or potential litigation with the City Manager and City Attorney. Mayor Watkins called the meeting back to order at 8:26 p.m. MINUTES REGULAR MEETING PASCO CITY COUNCIL MARCH 2, 2015 ADJOURNMENT: There being no further business, the meeting was adjourned at 8:26 p.m. APPROVED: ATTEST: 4k'4;a�'- Or 7� 4 0 Matt Watkins, Mayor Debra L. ark Clerk PASSED and APPROVED this 16th day of March, 2015.