HomeMy WebLinkAboutAgenda Report - March 21, 2012 C-06AGENDA ITEM C (0
CITY OF LODI
COUNCIL COMMUNICATION
AGENDA TITLE: Adopt a Resolution Approving a Five -Year Copier Lease and
Maintenance Agreement and Authorizing the City Managerto Execute the
Agreement with Lucas Business Systems for a Staff Copier and Printing Solutions
for the Public
MEETING DATE: March 21, 2012
PREPARED BY Library Services Director
RECOMMENDED ACTION: Adopt a resolution approving a five-year copier lease and
maintenance agreement and authorizing the City Manager to
execute the agreement with Lucas Business Systems for a staff
copier and printing solutions for the public.
BACKGROUND INFORMATION: The Lodi Public Library currently has a staff networked black -and -
white copier that is more than 12 years old and frequently in need of
service. Staff members also have access to a networked color
printer and individual direct line color printers. On the public side, the library provides two networked
printers —one black -and -white and one color —for library patrons using 24 networked public access
computers. The current expense for toner and ink cartridges for both staff and public copier/printers is
approximately $4,500 annually. Additionally the library has a maintenance agreement with a vendor to
provide service for the staff copier approximately $1,600 per year.
The library received two responses to a requestfor quotation on the leasing and maintenance of printing
and copying equipment for both staff and the public.
Based on the thoroughness of its response, the library is proposing to enter a lease agreement with
Lucas Business Systems to procurethree copier/printers to replace the existing equipment.
1. A networked staff black -and -white and color copier/printer with full capabilities
2. A networked public black -and -white and color copier/printer
3. A networked public printerfor backup
The monthly maintenance cost for the three pieces of equipment is $247. Quarterly pricing for the
estimated 25,000 black -and -white copies and 1,000 color copies is $295. The maintenance agreement
includes all supplies except paper products. Annual total is $4,144.
The total base rate is $20,700 for a five-year lease. Overage copies are billed at the same rate -- $.009
for black -and -white and $.07 for color.
APPROVED:
Konradt Bartlam, City Manager
The library charges $ .15 for b/w and $ .50 for color copies made by library patrons using the public
computers. Estimated annual revenue from the public printing service is $3,500, offsetting the cost of the
lease agreement. The librarywill save an estimated $5,000 overfive years by entering intothe lease.
FISCAL IMPACT:
peryear
FUNDING AVAILABLE:
NM/sb
Attachment
Minimum annual lease costs of $4,144 offset by revenue of approximately $3,500
Revenues and expenditures will be budgeted in the Library Operating Fund
Jordan Ayers, Deputy City Nl6nrger
A&madzk-i-�
Nancy C. Me#inez
Library Services Director
LUCAS
roxx - -_. ,, .•,,.. :. 524 Kansas Avo 1371 Wart Lano,
'JSQO N741 oleal briva
Livermore, CA 94551 Modesto, CA X35351 Stockton, CR 85205
(825) 447.4100 (2.09) :;29,3(i10 (209) 466.3786
Bill To Customer #: Equipment Location #:
Com an
Company Lodi, City Of inc.
Department
Department Lodi Public Library
Address
Address 201 W Locust St
city I State7-zp 7-z
City t State 1 Zip Lodi, Ca 95240
Billing Contact
Kev Operator
Phone #
Phone # 209-333-5542
Fax #
Fax #
E-mail Address
E-mail Address
Date Representative Purchase Type Purchase Terms IT Contact:
1123112 1
Jeff Dunning Lease Lease IT Phone:
Qty
Description Product Code Serial # Sales Amount
1
Xerox WorkCentre 7530 MFP Lease
1
Xerox WorkCentre 6400 MFP
1
Xerox Phaser 3635 MFP
Additional Subtotal
Special $1 Buyout Lease Ior 247.001mo for 60 Months. This Order is Pending the approval of City Tax
p Council, No units will be delivered until approved by Council.
Instructions: TOTAL Lease
Network Support See NetMA Addenddum for Includes Supplies Yes Parts and Labor Only No
ei%.g additional cost Excludes Staples No Excludes Paper Yes
Months Base BIW $225.0000 Volume BIW 25,000 Overages B!W* $0.0090
y
x Quarterly Base Color $70.0000 Volume Color 1,000 Overages Color 1* $0.0700
�ibblorQube
Network Support See NetMA Addenddum for Includes Supplies Parts and Labor Only
T$r$ additional cost Excludes Staples Yes Excludes Paper Yes
Meter 1 - Useful Volume Meter 1 Overages Meter 1
1.IMonthly
I Meter 2 - Everyday Volume Meter 2 Overages Meter 2
Quarterly Meter 3 - Expressive Volume Meter 3 Overages Meter 3
Additional
Comments:
Note: Per Terms of Bid - the Maintenance price will not increase for the 5 year term without prior written approval Irom the Library.
Declined
M n i non n e n rea
ABT/L$5 111Worti for conliact bif11r1(). ABTILBS Rlay Chloe r dditio'r a[ em's to, Rwfur colloctlon should
aslouler' decline inslaflr)lion.
Ari c-
ept7
The (Orr11S and CGlIURfOriB on [he rC'vL'r8e gi(fe lr(= f)ar1 01 ibis agre(trnen[ Tho customer ack1lowledges that the CuStomor haS (ead Ilv$ 8rjry '-n enl, (1Wfe1'81iMr1S it, ilrlf! AC7rf•F1810 lx! Il(lunl! by It"s farms tmi(f
cwld}iliovs rarlhof', 111a cllsfo apol irgfeus Ihol Ibis agrL'vowlif 1'4 tho Conlplolo ao(1 oxclllSivo Stl 1(imv,V 0 Ill(: FlOrpulnonl Igdw?en the f)91'l1eS, .Superseding all prof)osals or p"o, agroo'nows oril or wlillp.n, an(f (111
ollmr coInnifmicnGorls bclWv(m the parties rokiling to the subjeel nlalterof this ag('oemmot
Date:
Credit Approval
Credit Limit: Terms:
Approved by:
FOR DEMO PURPOSES ONLY
TTIo Srjrlin(l of this form acknowiva jos lila! sau [)wvo vgi*)n IF of is fixe solR oroomy of Astro fit,silies5 r(JG 1111{)lof)les�r-uL'a5 f3usiniiss Systems ufllo,'s pflrchas'L' is Complelod A13 T�1_f3S lla8 the nght to (&move
Ulu t?gtnprnc>nf at any !ileo if doomed necessary with or without permission of individual cusforner.
Purchase AW66iriiatl6n
Signature
Date Signature Date
Print Name
Title Print Name Date
Astro Business Technologies 1 Lucas Business Systems
Terms and Conditions
Sill" Ordt•r'11•:'nrs .lad Cnadilions
I, Ibis piu'ch;iw fillet Agieeulcnt sultcs t1C C06le s_'recmenl l0twe0n Customer ami Asliu B usiness'I'echnologiM,u0as Business S)'6lc111s. fiCle0fl0 It'lenod to as "Affl .I1S". \o uthci a;;rcculclzl. Ol
rrprirsc:n(aliafis c.ti uct is c(30aU<!lion woo Illi..., (IMC!; Modificahons m additions art .tvl jera to A13'f:LJ3S's 3giovinew. ill wrilin4, AlV1..LM rejects any lenn5 and eondiliony which add a3, Iirllil or alter
these tarns• hell O,el'stated (-uslonicr-s si}Sualul'e oil an older or aceeplance of delivery shall unlsli(ule (-llstcruler's neccpt:ulec of these terms and condition'.
?. this Purchase (Order Apivenlau shall he effcclil•c ooh' upon written aeecplanee. by Afi'171.13S al its hunle. office witloul noliec In Cwtonlcr. Thix or(Icr Imly net he call vled after acceplance by
AE3'I11.}3S.
3. If Customer's order is accompanied by a deposit pa}'nlcnt, Ouslouwl authorizes Al i'I'iLKS to colleel and deposit such p;gmleni in ABl?I. W3 'p:zQt:llunl peadim; rtlecljoa 01'Caslonu•r"s
oi'ilcl II ART l .Bt� ici"ts (•llsl(1131e'I ti ol'&i. ('Ilsloltlel \ dcposi( jxl-lllenl vill be Il'hlll(fol ,wilhoill interest IIA 13 1 +1.}3S nc: vjlt. C nstcrtil(n' s oldel', ('Sl.t(Sllltl''. dl'p[3sll 11:1wlltc•tll NNillhe Cl'v(hrvd ag zII;l l
the atlinull due Alt I'll -135 on C'llstomcI's Ill '(Iet', In the wall Cuslonler funs Io acaepl (11 pin• fix ordered AlIT/lB5 c(p ipnlalt or programming, A131 11l3S shall hare' the t'ighl to Icluin and ripply such
deposit toward satisfaction of Tesuhinr_ dilal;lgcs incurred b}AR'l ILBS and as pallial colnpcoxation for Ills valle of any bcoel'its CmIlle rcti oil Caslouxr h}• Af3'l ff,BS.
4, All risk of ness or deslruclion or dalllage l0 thQ of klcd ctluipnlertt shah pass to CMLJ0Inel' upon delivet'v,
S. 'I ille will be passed oil to you when your cas€l Ir:lnsoclion is paid ill trill. until sticlt I imc, to scewe all of your oblival ions to us under this Agrccolanl, y(nl hereby gr:ull It,, a secw iq' interest in (ai 111C
l•aluipm0nl i(3 the ex1(111 of your interests in the equipment. Ill ;niylhinf; ullachcd or added lil tea liquipnlelll in any tittle, {e} ally nxeney or property !'runt elle vele of the F(juipnlent, and kit aroq uloiley
from an insuraltee call int it' Itle Fquipincnl iv lo,m nr (L•mlaged. Yi ll agree that Ills security interest will nal be ai'fecled if this Agil n ont is changed in any tray, You Ilerebp appoint us (or out, ngems), as
your true and lawful anomer -in -incl to affix volar signaltu'e to i 1(•(' financing statenu•nls prepared :uul filed oil your behaif by us (Ur nlll Zigcill I with the Sion(' Barco and'fl ed as is Von had signed such
flllall(3111p ti l fil(Illt•Ilix. ff 1ye 1'e(jkleNl, )'(,It ilg!'ex' to .sfl!n rhe illrilfl(If1IL .'(r1leirwiits in order Ire -ns i(r flullifl'!3' record oo, 1' : ktr •emvw ill :3 Golly of 1111.5 Apri•t'tilml shall br sid icivilr illi ;I
f rla le.ing slaleillelll and n3av be file(I as such.
G. Dkil res. sa Ees, use. excise or simile lax which Ina}' apply to this or(irr are not included in the price of ordered equipment and ('uslon)cr agrees to pay same either dila:try t6 the Icvyin}', aulharjly at' to
Alfl'ILBS if AI3 VIM,'; is rcquirc(I to collect nr pay same.
7. Alf111,13S u•nnarlla to (vomer that the eguipnlcnt delivered coder this Agreemera will at the time of delivery be ircc of dcfecis of manufacwle. DuI iTlt: 1110 warranty period applicable to the
e(luipment, ABlYLl35 will provide at no cosi to Customer a(ljuxumenls. repair. labor amt purls replacement, excluding repairs required due to accident, misuse or ncgleel by the ('oslom¢r. 'file forcpoiop
sba311se Cas)oale.;"sole and Vwhisivc Ientedv will respect to egWjnnent provided h1' AWFI.ISS. 'Ihis wal'millee is in hell of' all other wananh v, Cspressed. ialpljed Gild slululon', illchldii1p, am
wan'amce with respecl to Imerehamlahihly or fitoess lite' a patlicular puriwsc.
8, AMABS Bs shall not he iitlble fur c0nsequcolia1, incidenlal or pupil ive danlago or for loss of profi(s'Irising out of or related to equipment or piogl:mlmting ordered by the cllxtomrr. 11'helhcr such
damiages be direct in(lireei, fi resecahic of olhenvixc :uld "iiether lability is claimed to arise by reason of eontracl, loft. str'iel liabilih'. negiig.cneC or other '6'e in no event shall A1317i.11S's handity to
Custowor exceed file price of micieti equipment suaed in this or der.
119ain(cmancc Scn'ice
i3cgirm¢tp on Ffleclivc 73Mf , assn» 'fcc}lrxritlgit•,v+i.tttas f3usimt'ss S)',SWMN Pj9W.v In provide. from 8:0(7 AAI In 5:00 I'M M(mlla}' drrough I�ridIl,P, the lwy J]ahilily of maintenance servi;:e while
the ivac}linc.s arc loraled within Alameda, Conira ('ossa. Lake, Sall Francisco, Santa Clara- Sonoma. Solana, San Mateo, Sacramento. Napa. Nientiocino. \1arin Counlies, Aniador, Calaveras, Suulishm',
I'lulluaule, San ,4oagtlin, or Alcrce(l Counties'. Mailitempice service to keep the nr;tdlioes in, or re.,jole (he machines to. goo(l working order includes PT weilliye insimellamx based on life specific needs
of ill(IM(lual nlachinus as (ieicrniinc(l by Axu'o ISusiness 1 M111010gic5%Lucas Business $ysletns, MIinlcnance sen'i(x 11.10 in(:ludes luhr'ic;ll inn. lldjuslllents :mel rr)lacenlc Ills of alllialcnaacC parts. all as
deemed necessary by As(io Idusinrss'faelnolg.ics9.ucas i3usincss Syslems,
[blaintcnamce put Is will he fiEtnished on all exelanpc basis, :incl the replaced patty become the property of Astro Bu.inOes I T:dmologiexd-orl, Busilic'ss Systems, I"le Cklslotner agrees to provide. suitable
covironnlent loo the machines as spocil icd hq Asu'o Business'I echnoiogieslLucas Business Syscros, inclutifnl! adequate sj We. electrical power. air conditianinp and hwilidil}' control, and to provide
A.slio Brysiwm TechnOlol:ies+l,.ocas Business Sx'Slelllx full and flee access to the ulaehinos to pnnide maintenance service. Customer is r¢spousihle to ilnple3nellt apluopr'iate mlcguards fiat Custonler's
dela,
Charge
For- each maclin0. ('llmomer agree., to pa}' a ansitnenunce clmrgv plus applicable taxes for the period of time specif icd !Period) and for each succc"wC I'CI'IPd Nllde Il('. lune -lint` is 1111(1('1' [Ilk Apteenvent.
Por usapc plall nlachitu•s, ('nstnmcr aIIVV s to pity an Additional 13ainlenancc• Charge for' Ills (;nits of Usage lief' Ilerio(t as measured by a eWro llwin(•ss l cclnologicsli.wnt Business 5yslvlw 117eler,
nnllliplied by' the applicablC A(f(liiional \lainlcnutcc Charge Roke L
('astonler agrees to pronlilliY sulrulil to Astro Business -I idmolopic.'I,uvas Business sysicros the meter rea(ling fol' each usage pian nulchin• us of,1110 close of the last Work (law 01" the applicable Perm].
Addiliollal Aiaintenawt: Cl ligT:,. if mey. will he invoiced in Ile month following (he. Period in which they are inculy'A' Plipilenl renes will be specified in the invoice.
Ant, speCiol pricing is gun(' for ollc year only ;uxi revCrzs In tills schedule for year; Iwo and beyond. A.tw liusineas '1'echnolu}'.iex+i,ueas 13msinc•ss Sysiems may increase the \I;IinlenanCC Charge lvitullu
ilolic.e on each annual 11"llh-CM n' d<nc 01"his eonv';ill.
Eiffel pally may (withdraw any or all ruachines from this Apreemcnt at any tion' by providinp wrincn notice one month in advaide'.
sen'iccs nn( Inchlded in Milintenance t hark
I he scrvitcs hste(I in tllis section, ifavailablc and practical lire the Astro Busiitcss'l'CelluologicsiLuc,ix fiusincss Systems to rco(Ir1-. will lc provided by Astra Business
Svsleuls under this Ai:leenle'll. and the C%Womcl agree: to guy Ilowl ecpcuscs and paths price' pills travel, "161111p and service tn10 aI Asuo Buhille—:I cel ilohlllies'Lacas Uusirlm Sysicnls' nppliC;drie
h(all'h• 1';ltC, i111(1 ottlllnrl1i13 Clnll'}',e5. I lie 1611nwinu se "WC, Tile not considered maiuren:ulce service as de.,C61 ed in the scCdotl entilled "Alniuleunnce Service "
lllc repair of danlape, rrplacenlcnl of maintenance pane, or any incrcas,e in service lime, catl%M by oee.i&III, disaster, Iwglcal• ahusc. 1111s11S1•, use o4" Illi' luachines Iia' purpose otter Ilan lite which
dcsiancd. iraospoilaiion, altcra(iums, Elllacllllcnl s. aCCL•SS(rl'IeS. use o1 pan-Asu'o I3WiIrCSS 'I cchnologies'Lurnx Basincss Syslcnzs palms or Supp€icx. nolvAstro litt'iness I echm31ogi0s+Lucas Business
Genera I
Scrwicas provided under this Apeenlail 410 nnt'Issnl'e ll1t1111pn711)IL'(I opotillioll of lle itnlelinC. ail(l Asero Buajuese 'fe.elm0logic./Lucas litlsincss Srslents is not responsible far inilure 10 reltdcr sciviccs
dile In Call," bevond its control.
1`;ui, ae.0 froill lite ICr n1N and t"Imllions of Ihis rlvrecn3C111 in all}' ("ufilolnrr ardor or ollrel "l iuClt n lif,icntion will he of no clfv, l[ 'I his apicenlew is not as.igocd wilhow lti for a'rntrn consclu of Asan
Business l'eclrnnlol!irs'E.ucls ISllsmess SYFlcrlll, An." oticolpi u, nsvign ant, of Ilzr virtu,. (iulias ill obiipations of rbc Agrecnlcol wilhoul such conwill is void.
No ;iclio% WprtlA'ss of its form, wbicll at' ISC,% out 0f this Agreement, ern he hmughl lv eiih0r party Inure Ihinl Im, years after [Ile cause of action Ills arisen. 'll. ill Ill ca.e of an action Ill' nunirn'mcnl.
more than Iwo wears Nuel the (laic Ill last payalenl tvax duct.
The ('aston3ei'r'epresears Ilial the ('u.lollici is either the owner of Ihr lnachhles by lhis ArlCMIC111 ill auth0rizc'd hr lilt' Owner ro inehAV 11WIll unlet this Agreement.
Date: Initial Lodi, City Of Inc. V 11.07.29
Lease Agreement Number: -
State & Local Government Lease Agreement
This State & Local Government Lease Agreement (the "Lease") contains the terms of your agreement with us. Please read it carefully and ask us any
questions you may have. The words you, your and lessee mean you, our customer. The words we, us, our and the lessor, mean CIT Finance LLC.
Product/Equipment Description
Quantity Description
Xamx workcentre 7530 MFP
Xerox WorkCentro 6400 MFP
1 Xerox Phaser 3635 MFP —
For additional equipment and accessories, attach addend[ no.
Title/Purchase Option
If no box is checked of if both boxes are checked, Title Option A
will apply:
® Titie Option A - Title to the Products/Equipment will be in
Lessee's name during the Lease Term
❑ Title Option B- Title to the Products/Equipment will be in
Lessor's name dufing the Lease Term
Check applicable box:
❑ Fair Market Value
® $1.00 Purchase Option ❑ Other
Term and Lease
Lease Payment $247,00 (plus taxes, if applicable)
Term (Months) 60
Payment Frequency Monthly
Variable Payment Schedule if applicable:
(Attach "Payment Schedule Addendum" if necessary)
— payments @ _; followed by — payments @ --__ followed
by _ payments @ _; followed by ^ payments @
Payments are due in Advance
Documentation Fee: $75.00 (due with first invoice)
Total Cash Price: $
Annual Rate of Interest:
Additional Provisions:
PLEASE NOTE Cartain.state and local government le.sseas tno,st ,cigis all
additional adkwlum document.
LESSOR: CIT Finance LLC
10201 Centurion Parkway N. #100
Jacksonville, FL 32256
............ ...... ......._... _... -
Authorized Signature Date Signed
......................................
Printed Name
................................
Print l'itle
Product/Equipment Address
Lessee
Lodi, City of Inc
Lessee Lega{ Name
Lodi Public Library
Lessee "uoing Business As" Name
201 W. Locust St
Billing Street Address
Lodi, Ca. 95240
Bil€ing City, State, Zip
Andrea Woodruff
Billing Contact Name & Phone No.
209-333-5505
lessee Phone Number (if different from above)
U;RMS AND CQNUt i IQNS
BY SIGNING THIS LEASE:
13Y SIGNING THIS LI?ASI?: (i) YOU ACKNOI4%l.iiDC.: T1iA-I- YOU I IAVF. RI:AD
AIN]) UNDI-RSTAND'Nlil'; TI:RMS AND CONDITIONS ON T11H FRONT
AN]) BACK OP TI [IS LEASE: (ii) YOU AGRI-1 TI IAT IFA COPY OI' THIS [,BASF.
IS SIGNIM BY YOU AND THI. 11ZONTOF'THF COPY Is I)FLIVI:R -D TO US HY
FACS1M11,1: TRANSMISSION OR OT-HI;IMSI?. TO 'I'Mi liXTI-'NT ANY
rROVISIONS ARI: MISSING; OR ILI.I;GIBI-1: OR CIiANGF:I) (AND NO`N
INITIAI,kl) BY BOTH YOU AND US), THE, TH MS AND C'ONIA.HONS OF THIS
I.l".ASI' IN US)" ON THF. D; TT" WI: RFCF:IVF THl COPY SIGNI::1) 13Y YOU WILL
BI? T11I-' TFRMS AND CONDITIONS OFT'H1 LI ASI:. (iii) YOU AGRI-:F'NHAT TRIS
LF,ASF: IS A NI T LFASI; TIIAT YOU CANNOT'TFRMINA-I'll OR CA -'I, FXCI.1
AS Sl'ItCIFICAI.I.) PROVII)I-:I) IIFRFIN, YOU IIAVIi AN UNCONDITIONAL
ORLIGAIION TO MAKI'. ALL PAYMENTS DUI: UM)liR THIS LEASE, AND YOU
CANNOT WITHHOLD. SI:T OFF OR RF.DUCF. SLICK PAYMIM'S i'OR ANY
R1?ASON: (is,) YOU AGREI. TIiAT YOU WI1,L USI:'I'I11I EQUIPMENTONLI' I OR
131JSINI?SS PURPO.Y s; (v) YOU WARRANT THAT 1'I -II: 1'I RSON SIGNING 'I'ItIS
I,FASF, FOR YOU HAS ']'IIF. AUTHORITY TO DO SO: (vi) YOU CONFIRM THAT
YOU DI'CIDI:D TO 1:NT-FR INTO THIS LI:ASFi RATHIiR "IRAN PURCHASI: Till:
I::(lu1I)N4 -.N'1- FOR "ITIF. T'O'NAL CASK PRICH: AND (vii) YOU AGIO'H HAT THIS
I.I-:ASI: WII.I, BF GOVERNED BY THii LAWS OF'THE' ST'A'N: OFUTAR YOU
CONSFNT TO THF, JURISI)iCTION OF ANY COURT 1,0C'ATI'.D -1 I11THIN T111:,
STATE OF t'J1i'.7I1. YOU AND Wk FXPRFSSLY WAM ANY TO A
"TRIAL, 13Y JURY.
LESSEE SIGNATURE
Lodi, City of Inc.
Lessee Legal Name
Authorized Signature Date Signed
X
Print Signer's Name
Print Signet's Title
Federal Tax ID Number
Bank SLG200 6-11 Page 1 of 2
1. LEASE; DELIVERY AND ACCEPTANCE. You agree to lease the productsiequiputenl described ors tiro Irons of
this lease agreement (collectively 'Equipmenl( on the terms and conditions Shown an the front and back of this
lease ('Least,"). II you have enterers into any purchase conlracl ('Purchase Contract') with any supplier. you assign
to us your rights under such Purchase Contract, but none o! your obligations (niher Than the obi 10 pay for The
Equipment it is accepted by you as slated below and you timely deliver to as such documents and assurances as we
request}, If you have not entered into a Purchase Contract, you aulhorize is to enter into a Purchase Contract on
your babas. You will arrange for the delivery of The Equipnnent In you. When you raceive the Equipment, you agree
To inspect it to dateline if El is In good working order. This term of this Lease will begin On the date when you sign a
Delivery and Acceptance Certificate of which time the Equipment will be deomall irravocably accepted by you and
will continue for the number of months specified in this Lease, unless earher terminated in accorcir nce with Section
if) of this Lease. the first Lease Payment is due on or before The data ilia Equipment is delivered to you. The
remaining Lease Payments will be due on tine day OI each subsequent month (or such other tinge period stated on
the Imnt of This {.ease) designated by us, it any Lease Payment or oder amount payable to us is not paid within 10
days of its due date. you will pay its a late charge equal to the greater of (i) 5% of each tate payment or (ii) $5.00 for
each late payment (or such lesser amount as is The maximum amount allowable under applicable law).
2. NO WARRANTIES. We are leasing the Equipment to you "AS -IS". YOU ACKNOWLEDGE THAT WE DO NOT
MANUFACTURE THE EQUIPMENT, WE DO NOT REPRESENT THE MANUFACTURER OR THE SUPPLIER,
AND YOU HAVE SELECTED THE EQUIPMENT AND SUPPLIER BASED UPON YOUR OWN JUDGMENT. WE
MAKE NO WARRANTIES, EXPRESS OR IMPLfED, INCLUDING WARRANTIES OF MERCHANTABILITY OR
FITNESS FOR A PARTICULAR PURPOSE OR OTHERWISE. YOU AGREE THAT REGARDLESS OF CAUSE,
WE ARE NOT RESPONSIBLE FOR AND YOU WILL NOT MAKE ANY CLAIM AGAINST US FOR ANY
DAMAGES, WHETHER CONSEQUENTIAL, DIRECT, SPECIAL, OR INDIRECT. YOU AGREE THAT NEITHER
SUPPLIER NOR ANY SALESPERSON, EMPLOYEE OR AGENT OF SUPPLIER IS OUR AGENT OR HAS ANY
AUTHORITY TO SPEAK FOR US OR TO BIND US IN ANY WAY. We tronslor to you for the term of this Lease any
warranties made by the manulaclurer or Supplier under a Supply Contract,
3. EQUIPMENT LOCATION; USE AND REPAIR; RETURN, You will keep and use the Equipment only at line
Equipment Location shown on the front of this Lease. You may not move the Equipment willloul our prior written
consent. At your own cost and expense. you will keep Ilse Equipmenl efil le for any manufacturer's codification, in
compliance with all applicable laws and in good condition and working order. except for ordinary wear and tear. You
vdil nal make any nllerafinns, additions or repfacemenis 16 tine Uquipmuru wriihaut our prior wrilmn consem. All
allnmtions, Additions and teplacarnems will become pat of Tile Equipmenl and our property at no cost or expense To
us. We may inspect the Equipment at any reasonable time Unless you purchase the Equipment in accordance vrilh
Ibis Lease, upon lernilmllon 01 Elis Lease you will irantediamfy deliver the Equipment to us in as good condition as
when you [;carved it. except Or ordinary wear and tear, to any place in the United Stales Ilial we tell you, You wit
pay for all expenses of 1leinslAEting. (sling and Shipping. and you will lnsuro Ilse Equipment far its fall replacement
value during shipping,
4. TAXES AND FEES. You will pay when due. ether directly or to us upon our demand, all taxes, fines and
penalties relating to this Lease or Phe Equipmenl that are now or in the future assessed or levied by any state, local
or nine: government aulharhy. We will Ito all personal irapeny. use or other tax returns (unless we Rally you
olhertvise in writing) and you agree to pay us a fee for making such filingsWe do not have to contest any taxes.
fines or penalties. You will pay estimated property taxes with each Lease Payment or annually. as invoiced.
S. LOSS OR DAMAGE. As between you and us, you are responsible for Any loss, Theft or destruction of, or
damage to the. Equipment (collectivey'Loss) Iron any cause if all, whmher or not insured. until if is delivered to us
at the end of this Lease. You are required to make all lease Payments even it Thera is a Loss. You must notify us In
wilting immrdiataly, of any loss. Then, at our option, you will eithar (a) repair the Lquipme d s0 that it is in good
condition and workiny order. 0ligifrta lot any nmourfaclunn's cetOlcation, or Ll) pay its the amounts specified in
Section 9(b) below.
6. INSURANCE. You will provide and maintain at your expense (a) property insurance against the loss, thele or
destruction of. or damage In. the Equipment lot its full replacement value. earning us as loss payee, and (b) public
liability and Third parry property insurance. naming us as an additional insured. If you so request and if vie give our
prior wrillen consent. in lieu of maintaining The insurance described in ilia preceding sentence, you may self insure
against such risks, provided that our interests are protected to line same extent as if The insurance required in
clauses (a) and (b) above had been oblained by third party insurance carriers and provided further Ilial such set
iro tuance program is consisted wilt prrderl business practices wittt respect to Insuring such risk. You will give us
certificales or other evidence of such insurance on the commenconenl date of This Lease and at such limes as we
request. All insurance oblained from a third party insurer will be in a form, amount and with companies acceptable
In is. and will provide that we he given 30 days advance notice of any cancellation or malerial change of such
insurance.
7. TITLE; SECURITY INTEREST. If Title Option A in this Lease has been chasers, you will hold fine to the
Equipment in accordance wilt the Supply Contract. If Title Option B in this Lease has been chosen, we, will had title
to lite Eiquipmed. II (a) you have not terfninatecf this Lease in accordance wish Suction 16 of this Lease and (b) no
Defeat exists, then upon your payment to us of all Lease Payments and other antounts due under this Lease, a! lite
end of line Term of this Lease, you wit be entitled 10 our interest in the E:quipnneru, -AS IS, WHERE IS' without any
erarmny or representation Irani us. express or implied. iter than the absence at any liens by. through or under its
Io secure payment of all rmor m15 dire fit as, to the extent pearnined by lawn, you graTht us and our asslgns a first
priority security iderest in the Equiproom (including any replacements subsh€utions, additions, attachments and
proceeds). You will keep the fquipri Irea of at liens and oncumbrances- You will delivery to us signed financing
stalemems or other documents we raquest to protect our inleresl in the Equipment.
6. DEFAULT, Each of the lotnwAg is a'Defauli' under this Lease: (a) you lail to pay any lease Payment or any
olhw paymoat within 10 days of its due date: (b) you do not Perform any of your other obligations, including hill not
limiled to, providing and maintaining property insurance required under Section 6 at this Lease on the Equipment,
under this Lesse or in any other agreement with us or with any of our affifiales and this laiture continues for 10 days
after we have notified you of it: (c) you become insolvent, you dissolve, you assign your assets for the benefit a1
your creditors. you sell. Vanster or othenvise dispose of all or subsumliafy all of your assets. or you enter
(voluntarily or involuntarily) any bankruptcy or morymizatian preceeding: or (d) any representation of warranty
made by you under this Lease or in any inslrunlenl you have provided us proves to be incorrect ie any marehal
[aspect.
9. REMEDIES. II a Default occurs, we may do one or more of the following: (a) we may cancel or lorminato This
I ease and any or all other agreanenis that we have entered into wittl you of wilhdmw any offer of credit: (b) subject
lir IEre provisions of Section 16, we may declare an amount equal to all amounts then due under this Lease, and the
unpaid principle balance under this Lease as of the due date of the last Lease Payment paid when due and payable.
whereupon the same shall be imm;diatey due and payable: (c) we may require you to deliver the Equipment to us
as sol lurch in Section 3: (d) we m our agent may peacefully repossess the Equipment withoul court order and you
v+ill not make any claims againsl us for damages or trespass or any other reason: and (o) wo may exercise any other
fight or remedy available at law or in equity. You agree to pay all of cur costs of enforcing our rights against
you, including reasonable attorneys' fees. II we Take possession of the Iquipmed, we may split or othonvlso
dispose of it will or without notice, at a public or private safe, and apply the net proceeds (slier we have deducted all
costs related to the safe or disposition of the Equipment) to The amounts that you owe is. You agree that if notice of
sale is required by law to be given, 10 days' notice shat constitute reasonable notice. You will remain responsible
for any arnoulls that are dun aller we have applied such not proceeds_
10. FINANCE LEASE STATUS. You agree Thal it Article 2A -1 -eases of the Uniform Commercial Code apples to
this Lease, this Lease will be considornd a 'finance lease' as that term is defined in Article 2A. By signing This
Lease, you agree that either (a) you have reviewed. approved. and received a copy of the Soppy Contract or (b) that
we have informed you of tine idontily of the Supplier, that you may have rights under the Soppy Contract. and that
you may contact ilia supplier for A description of those tiglas. TO THE EXTENT PERMITTED BY APPLICABLE
LAW, YOU WAIVE ANY AND ALL RIGHTS AND REMEDIES CONFERRED UPON A LESSEE BY ARTICLE 2A.
11. ASSIGNMENT. YOU MAY NOT ASSIGN, SELL, TRANSFER OR SUBLEASE THE EQUIPMENT OR YOUR
INTEREST IN THIS LEASE. We may. without land calion to you, self, assign, or transfer this Lease and our rights in
the Equipment, You agree that the new owner will have the same rights and herefils that we have now under this
Lease but not our obligations. The rights of the new owner will not be subject to any claim, defense or sol -off that
you may have agairsl us.
11.. LEASE 4Al,1ENT5, PREPAYLIENT WIN, Ynu agree to pay us the Lease Payments, Including bet me
principal and interest potions (the annum at principfa add inleresl Included in each Louse Payment has been, and
will be determined according to the slandard actuarial melted 01).
II you give us 30 days' prior wM en notice and no Default exists, you TROY finality and termilille lhis Lease by paying us on any
Lease Payment due dale the Lease Payment and any other amounts then due under this Lease. Ino unpaid principle balance as
of such date, and a service charge related to the prepayment of this Lease, II you fulfill such conditions, you will he entitled to our
interest in Ilia Equipment as set forth in Section 7. of this Lease.
13. INDEMNIFICATION. To The extent not prohibited by applicable law. with respect to any claims, anions, or suits that are
made against us as a result of your actions. Inactions. negligence or willful misconduct (C,duns), you agree Eo reimburse us for and
if we request, to defend Its against. any Claims.
14. IJISCELtANEOUS. You agree that The lanes and conditions contained in this Lease make up the entire agroomenl between
you and us regarding the lease of the Equipment, this Lease is not binding On us until vie sign It, Any change in any of the terms
Ind conditions o[ this Lease must be in writing and signed by us, You agree, however, that we are authorized, without notice to
you, to supply missing information or correct obvious errors in this Lease. d we delay or fail to enforce any of our rights
under this Lease, we wilt still be enlit€ed to enforce dross rights at a later lime, All notices shall be given in wrdung by the party
sending The notice and shall he effective when deposited in the US. Mail, addressed to The party receiving the nolicu at its address
shown on the Irani of this Lease (or to any other address specified by that party in wrhing) wilt postage prepaid. All of our rights and
Indemnities will survive the termination of this Lease. h is the express indent at fire parties not to violate any applicable usuy laws
or to exceed the maximum amount of lime price differemial or interest, as applicable, permitted to be charged or collected by
applicable fain, and any such excess will be applied to Lease Payments in inverse order of maturity. and any raalauting excess will
be refunded to you. It you do itol peilorrn any of your obligalions under this Lease, we have Ole right. but nor lite obligation, to take
ally action or pay any arnounls that we believe are necessary to protect our interests. You agree to reimburse us immediately upon
our demand for any such amounts that we pay. IF A SIGNED COPY OF THIS LEASE IS DFLIVF.RED TO US BY FACSIMILE
TRANSMISSION. IT WILL BE BiNID1NG ON YOU, HOWEVER, WE WILL NOT BE BOUND #]Y THIS LEASE UNTIL WE ACCEPT
IT BY MANUALLY SIGNING IT OR BY PURCtiASING THE EQUIPMENT SUBJECT TO TIIE LEASE, WHICHEVER OCCURS
FIRST. YOU WAIVE: NOTICE OF OUR ACCEPTANCE: AND VlAEVE YOUR HiGRT TO RECEIVE A COPY 01:'THE: ACCEPIFD
Li,ASE. YOU AGRFF THAI,NOTWITHSIANDING ANY RULE OF EVIDENCE TO THE CONTRARY, IN ANY HEARING, TRIAL
OR PROCEEDING OF ANY KIND WITH RESPECT TO THIS LEASE, WE MAY PRODUCE A COPY OF TI{F. LtwASE
"I FlAi T1FD TO US BY FACSIMILE. TRANSMISSION I'HA'T HAS BEEN MANUA€.1.Y SIGNED I3Y US AND 9UCI1 GOPY
SHAI.I- BE DEEMED TO BE THE ORIGINAL OF THIS LEAST TO THE EXTENT ff ANY) THAT 1HIS LEASE CONSTTTUIES
CHATTEL PAPER UNDER THE UNIFORM COMMERCIAL, CODE, NO SECURITY INTEREST IN THIS LEASE MAY DE
CREAIEO THROUGH THE{ TRAN$PER AND POSSESSION OF ANY COPY OR COUNTERPART HEREOF EXCEPT THE COPY
WITH OUR ORIGINAL SIGNATURE. IF YOU DELIVER THIS LEASE TO US BY FACSIMILE TRANVAISSION, YOU
ACKNOWLEDGE THAT WE AHL RELYING ON YOUR REPRESENTATION THAI THIS LEASE HAS NOT RpFN CHANGRD, It
more Phan one Lessee has signed this Lease. each of you agrees that your liability is joint and several.
15. FUNDING INTENT. You reasonably believe Thal funds can be obtained to make all Lease Payments during Ilia "farm and
hereby covenant that your chief executive or administrative officer or the administrative office of yours charged with preparing the
budget submitted to your governing body. as applicable. will provide that nothing in this Agreement shall be conslmed to create a
delwiency debt or comnlilmanl of revenues other than Tho current revenues of yours, and provided further that if your governing
body elects not to appropriate funds for such payments, it shall evidence such nonapproprialion by omilhng funds for such
payments due during the applicable fiscal period from The budget it adopts. It is your intend lo make Lease Payments lot the
loll Term if funds are legally available therefore YOU fefiressnl. warranl and covenant to us that the use, of the Equipment is essential
to its proper. elficlont and economic operation. You will provide us with an essential use Covenant to us Ihm, among color things,
you shall use the Equipment only for its govornmen(al purposes,
16. NONAPPROPRIATION OF FUNDS. In the evert suflldenl funds are not approprialed and budgeted by your governing body
mom not othenvise available in any fiscal period for Lease Payments (or any ocher amount out, hereunder). and provided hal you
have exhausted all funds legally available for payment of the Lease Payments, then you shall immediately notify us of such
occurrence and provide us with evkfence of such nonapproprialion acceptable to us (e.g.. written certification by your legal
counsel) and this Agreement shall terminate nn tine last day of due fiscal period for which funds lot Lease Paymoms are available
without penalty or expense In you of any kind whatsoever, except as to fine potions of Lease Payments and those expenses
associated with your surrender of The Equipment pursuant to Seclion 3 for which funds shall have been appropriated and budgeted
cram otherwise available. Upon such termination, title to the Equipment shall vest with us. This Section 16 will not be construed
so as to permit you to terminate this Lease in order to acquire any artier equipment of sorvices or to allocate funds directly of
indirectly to parform essentially the same application for which the Equipment is iniondad. Notwithstanding the loregofng, you
agree that (a) you will Terminate this Lease under Ota provisions of this Swim 16 t any funds are appropriated to you. of by you. (or
the acquisition, relonLon or operation of other equipment of services preforming funclkms similar 10 tile. Equipmenl lot Ilse fiscal
pe«oft in which such termination would occur, (b) you will not during the lead of this Lease give priority at the apphcalion at fluids to
any other functionally similar equipment or services; and (c} to the extent permit ed by lavv. you will net expend or conimil any funds
for ilia purchase. acquisition or use of other equipment or services performing functions similar to The Equipment until the, fiscal
period following the fiscal pednd for which luncis were lust not available for the Equipment. This Section 16 will [tor be construed so
as to permit you to laminate this Lease in order to acquire any ocher equipment or services or to allocale funds directly or indirectly
in perform essentially the same application for which the Equipment is intended.
17. AUTHORITY AND AUTHORIZATION.
You represent, warrant and covenant to us Thal: (a)
at the Code: (b) You have the power and audeni ily to enter into this I ease Ids this Lc aril
delivered by you and conslilutes a valid, legal and you In accordance v+itic its to
€urtiter approval. consent or withholding Of ohjeclions is required train any governmental authority with respect to this t.easel (e) the
entering into And pedarrnance of ibis Lease wit not violate any judgmeri order. fate of regulation applicable to you or result in the
creation of any ll charge, security interest or other encumbrance Rican the Equipment or your assels: (I} here are no actiow
suits or proceedings pending or threatened Against of alieclhng you in arty court or belone any gnuemmenlaf commission, board or
authority. That, if adversely determined, would have a material adverso edecl on your ati lty to pedorm your obligalions under this
Laase; (g) the Ilqulpmenl is langible personal property and seal€ hot become a lixura Of rea€ property under your use thereof: (h)
you have complied with ail bidding nutorenienis and. where necessary, by (file notification have presented the Lease and any
ancillary documents for approval and adoption as a valid obligation on your pan: (L you will do or cause to be done all things
necessary to preserve and keep the Lease in full force and effect: and (j) it has sufficient approprialPone or other funds avilable to
pay all arnounls due under the Lease lot the then current fiscal period. You shat be deemed to have reaffirmed The representatlons
and warranfirs set forth in this Section 17 each time you execute a Lease, Contemporaneously with your execution of this Lease,
you will complete. execute and provide us with an incumbency esit ificale (in form satisfactory to us) and an opinion of counsel (lin
form salisfaclory to us} as To the matters set forth in clauses (a) through (h) of this Section 17.
18. GOVERNMENT USE. YOU RFFRESENT, WARRANT AND COVENANT AS FOLLOWS: (A) YOU SHALE. COMPLY VOTI I
I'HE INFORMATION REPOHIING REQUIREMENTS OF §143(e) OF THE INTERNAL REVENUE CODE 01 1986. AS AMENDED
(CODE). INCLUDING BUT NOT UMITE0 TO. THE. EXECUTION (AND DELIVERY TO US} OF INFORMATION STATEMENT'S
REOUESTL'D BY US; (B) YOU SHALL NOT DO. CAUSE TO BE DONE OR FAIL TO DO ANY ACT IF SUMP ACT OR FAITURE
TO ACT WILL CAUSE THIS AGREEMENT, OR ANY TRANSACTION HEREUNDER. TO BEAN ARBITRAGE BOND WITHIN THE
MEANING OF §148 OF THE CODE; (C) YOU SHALL NOT DO. CAUSE. TO BE DONE OR FAIL TO DG ANY ACT IF SUCH AC I -
OR FAILURE TO ACT WELL CAUSE THIS AGREEMENT, OR ANY TRANSACTION HEREUNDER, TO BE A PRIVATE ACTIVITY
BOND WITHIN THE MEANING OF §141 OF THE CODE: (0) YOU SHALL NOT DO. CAUSE TO BE DONE OR FAIT. TO DO ANY
ACT IF SUCH ACT OR FAILURE TO ACT WILL CAUSE THE INTEREST PORTION OF TILE LEASE PAYMENTS TO BE OR
BECOMF SUBJECT TO FEDERAL. INCOME TAXATION UNDER THE CODE. EXCEPT AS SUCH INTEREST PORTION MAY BE
TAKEN INTO ACCOUNT AS AN ADJUSPAENT IN DETERMINING THE ALTERNAIIVE MINIMUM TAX AND ENVIRONMENTAL
TAX IMPOSED ON CORPCRATIONS� AND (E} YOU SHALL BE THE ONLY ENTITY TO OWN. USE OR OPERATE THE:
EQUIPMENT DURING THE: TERM. YOU SHALL BE DEEMED TO HAVE REAFFIRMED THE REPRESENTATIONS.
WARRANTIES AND COVENANTS SET FORTH IN TIIIS SECTION 18 EACH TIME IT EXECUTES ANY FUNDAMENTAL
AGREEMENT (AS DEFINED IN SECTION 17}. IF YOU RRFACH ANY RFPRLSt:NiA'rION, WARRANTY OR COVENANT
CONTAINED IN THIS {.BASE AND, AS A Iii Of' SUCH BREACH, THE: INTEREST PORTION OF ANY L17ASF PAYl
BECOMES INCL.UOAEILE W GROSS INCOME: OF ANY OWNER THE41:01: FOR FEilERAt. IN=,i[F TAX PURPOSES. YOU
SHAH. PAY US PROMPTLY AFTER SUCH DE I l HFAINATION OF 'IAXAR!1.1'IY AND ON f:ACH LEASE PAYIlf:NT DUI DATE
Tf ILIPEAf'1ER, AN ADDITIONAL. AMOUNT DEIGRMIN1.0 BY US TO COTAf'1SNSATF (15 f'OH THF: LOSS 01' SUCH
FXCIIIDABILHY (INCLEIDING. BUT NOT LP.IIi1;0 30. COMPENSATION RFIA'fING TO INTLRfIST EXPENSE:. PETdAtTIES
OR ADBR IONS TO TAX), WH CH DELI CRMINrATION SHALL El#: COrvK;L.l1SNE AliShh°T 1AANLFFST-ivliROR.
19. CHOICE OF LAW. This Lease shall be governed by the imemal laws (as opposed to corllins of law provisions) of the slate in
which you are located. If any provision of this Lease or any Equipment or Payment Schedule shall be prohibited by or invalid under
that law, such provision shelf be halfeclive only to the extend of such prohibition or invalidity. without invalidating Ilia remainder of
Such provision or the remaining provisions of this Lease or any Equipment or Payment Schedule. This Lease inures to the bonefit
at and is binding upon the pidnAled successors or assigns of yours and ours.
Bank SL0200 6-11 Page 2 o 2
RESOLUTION NO. 2012-23
A RESOLUTION OF THE LODI CITY COUNCIL
APPROVING FIVE-YEAR COPIER LEASE AND MAINTENANCE
AGREEMENT FOR THE LIBRARY STAFF COPIER AND
PRINTING SOLUTIONS FORTHE PUBLICWITH LUCAS
BUSINESS SYSTEMS, AND FURTHER AUTHORIZING THE CITY
MANAGER TO EXECUTETHE CONTRACT
WHEREAS, the Lodi Public Library currently has a staff networked black -and -
white copier that is more than 12 years old and frequently in need cf service; and
WHEREAS, the library provides two networked printers — one black -and -white
and one color —for library patrons using 24 networked public access computers; and
WHEREAS, the current annual expense for these copying and printing solutions
is approximately $6,100; and
WHEREAS, the library received a thorough response to its request for quotation
on leasing and maintenance of copy/print equipment for both staff and public use from
Lucas Business Systems; and
WHEREAS, the proposed equipment includes:
1. A networked staff black -and -white and color copier/printer with full
capabilities; and
2. A networked public black -and -white and color copier/printer; and
3. A networked public printerfor backup.
WHEREAS, the annual total for providing copy/printing capabilities to both staff
and public underthis proposal is $4,144; and
WHEREAS, the estimated annual revenue from the public printing service is
$3,500, offsetting the cost of the lease agreement and resulting in an estimated savings
of $5,000 over five years.
NOW, THEREFORE, BE IT RESOLVED that the Lodi City Council does hereby
approve a five-year copier lease and maintenance agreement for Lodi Public Library
staff copier and printing solutions for the public with Lucas Business Systems; and
BE IT FURTHER RESOLVED that the Lodi City Council hereby authorizes the
City Manager to execute the contract with Lucas Business Systems on behalf of the City
of Lodi in an amount not to exceed $4,144.00 annually.
Date: March 21, 2012
hereby certify that Resolution No. 2012-23 was passed and adopted by the Lodi
City Council in a regular meeting held March 21, 2012, by the following vote:
AYES: COUNCIL MEMBERS — Hansen, Johnson, Katzakian, Nakanishi,
and Mayor Mounce
NOES: COUNCIL MEMBERS — None
ABSENT: COUNCIL MEMBERS — None
ABSTAIN: COUNCIL MEMBERS — None
NIFER ROBISON
ssistant City Clerk
2012-23