Title
Authorizing the Managing Director or his Designee, on behalf of the City of Philadelphia, to enter into a Lease Agreement to lease vehicles from the Philadelphia Municipal Authority, with an option to purchase, under certain terms and conditions.
Body
WHEREAS, the Managing Director has determined there is a current need for vehicles that exceeds the current funding capacity of the Office of Fleet Management to purchase such vehicles; and
WHEREAS, the Managing Director has determined that the most prudent course of action is to lease the required vehicles through the Philadelphia Municipal Authority (the "Authority"); and
WHEREAS, the Authority will arrange for financing of the vehicles through a vehicle lease/purchase agreement (the "Lease/Purchase Agreement") with a vendor selected from respondents to a request for proposals wherein an escrow account shall be funded by the vendor to finance the purchase of the vehicles and PMA will lease the vehicles from the vendor over a ten-year term with an option to purchase such vehicles for $1.00 at the end of the term with such Lease/Purchase Agreement being based on the Term Sheet as set forth in Exhibit "A" to this Ordinance attached hereto and made a part hereof, with such changes as the City Solicitor deems necessary or appropriate in the City's best interest; and
WHEREAS, in order to induce the Authority to arrange for the financing of the vehicles, the City will lease the vehicles from the Authority pursuant to a lease agreement between the Authority and the City wherein the City will agree to pay as a lease payment, solely out of its current revenues, amounts necessary to satisfy all of the obligations of the Authority under the
Lease/Purchase Agreement; NOW THEREFORE,
THE COUNCIL OF THE CITY OF PHILADELPHIA HEREBY ORDAINS:
SECTION 1. The Managing Director or his Designee, on behalf of the City, is hereby authorized to enter into a Lease Agreement with a ten-year term (the "Lease A...
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