HomeMy WebLinkAboutAgenda Packet - September 26, 1994 - CC _ (
&MOM 0 OF AZUISA
77.Cave,*Cry
Finance Department • 213 E. Foothill Blvd. • P.O. Box 1395 • Azusa,CA 91702-1395
(818)334.5125
AGENDA ITEM
TO: HONORABLE MAYOR AND MEMBERS OF
THE CITY COUNCIL
FROM: GEOFF CRAIG,DIRECTOR OF FINANCE , •
VIA: HENRY GARCIA,CITY ADMINISTRATOR
SEPTEMBER
DATE: 26, 1994
SUBJECT: LIGHT FUND LOAN FOR PURCHASE OF STREET SWEEPER
Background
At the September 12, adjourned meeting the City Council approved the lease purchase of one
street sweeper from Carde Pacific Corporation. In comparing the cost of lease financing with that
of "internal" financing, it appears that it would be better to borrow the money from the Light
Fund. This report recommends that Council authorize the Mayor to sign a Promissory Note to
the Light Fund for $109,116 in behalf of the General Fund.
Recommendation
Staff recommends that Council authorize the Mayor to sign the attached Promissory Note whereby
the General Fund is borrowing $109,116 from the Light Fund to purchase a street sweeper from
Carde Pacific Corporation. The term of the loan is five years at an annual interest rate of
4.823%. The first payment is due October 3, 1995.
Attachment: 'Q I
GJC:pap \ AO-
f:council\promnote.gf
■■
CITY OF AZUSA
PROMISSORY NOTE
At the times and in the installments hereinafter stated, for value received I, STEPHEN
ALEXANDER,MAYOR OF THE CITY OF AZUSA,promise,ON BEHALF OF THE GENERAL
FUND OF THE CITY OF AZUSA,to pay to the order of THE LIGHT FUND OF THE CITY OF
AZUSA the total sum of ONE HUNDRED AND NINE THOUSAND ONE HUNDRED AND
SIXTEEN DOLLARS ($109,116.00) together with interest at the rate of 4.823% per annum, in
annual payments detailed as follows:
Payment Principal Interest Balance
October 3, 1995 25,079.86 19,817.19 4,108.72 89,298.81
October 3, 1996 25,079.86 20,772.98 3,152.93 68,525.83
October 3, 1997 25,079.86 21,774.86 2,151.05 46,750.97
October 3, 1998 25,079.86 22,825.06 1,100.85 23,925.91
October 3, 1999 25,079.86 23,925.91 1,253.95 0.00
and in the event of default in payment of any amount as herein provided,then the entire amount shall
become due at the option of the City of Azusa. Principal and interest shall be payable in lawful
money of the United States at AZUSA, CALIFORNIA, and in case suit is instituted to collect this
note or any portion thereof,the General Fund promises to pay such additional sum as the Court may
judge reasonable as Attorney's fees in said suit. Demand, presentment for payment, protest and
notice of protest are hereby waived.
Signed this (H day of CC-70 8 /K, , 1994 at Azusa, California.
By Promisor: 7 (1122.sed....b.--
For an eon behalf of the City of Azusa GENERAL FUND
Address: 213 East Foothill Boulevard
Azusa, CA 91702 Telephone: (818)334-5125 extension 224
f:promnote.gf