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<br /> On motion by Mr. Lynch, seconded by Mr. Schil ling, the following consent
<br />agenda items were approved by the following vote. Ayes: Mr. Caravati, Mr. Cox, Mr.
<br />Lynch, Ms. Richards, Mr. Schilling. Noes: None.
<br />
<br />a. Minutes of September 3
<br />
<br />nd
<br />APPROPRIATION
<br />b. : $500,000 - Line of Credit for Fire Engine (2 readi ng)
<br />
<br />BE IT RESOLVED BY THE COUNCIL OF THE CITY OF CHARLOTTESVILLE,
<br />VIRGINIA;
<br />
<br />SECTION 1. Findings and Determinations. The Council (the "Council") of the
<br />City of Charlottesville, Virginia (the "Council") hereby finds and determines as follows:
<br />
<br />(a) On Octobe r 2, 2000, the Council adopted a resolution, entitled "ESOLUTION
<br />AUTHORIZING A REVOLVING LINE OF CREDIT OF $1,500,000 FROM
<br />SUNTRUST BANK AND APPROVING A LEASE - PURCHAE AGREEMENT FOR
<br />$818,000 WITH SUNTRUST BANK" (the "October 2, 2000 Resolution"), (i) appro ving
<br />a Letter Agreement, dated August 30, 2000 (the "2000 Letter Agreement"), by and
<br />between the City and SunTrust Bank for a revolving line of credit in the amount of One
<br />Million Five Hundred Thousand Dollars ($1,500,000) (the "2000 Revolving Line of
<br />Cred it") and the terms, conditions and provisions of the 2000 Letter Agreement; and (ii)
<br />approving an Equipment Lease Purchase Agreement, dated October 2, 2000, by and
<br />between the City and SunTrust Bank in an aggregate principal amount not to exceed
<br />$818,000 for the purpose of financing firefighting equipment.
<br />
<br /> (b) On May 7, 2001, the Council adopted a resolution supplementing the October
<br />2, 2000 Resolution, entitled "RESOLUTION SUPPLEMENTING A RESOLUTION
<br />ADOPTED BY THE COUNCIL ON OCTOBER 2, 2000, ENTITLED " RESOLUTION
<br />AUTHORIZING A REVOLVING LINE OF CREDIT OF $1,500,000 FROM
<br />SUNTRUST BANK AND APPROVING A LEASE - PURCHASE AGREEMENT FOR
<br />$818,000 WITH SUNTRUST BANK" (the "May 7, 2001 Resolution"), for the purpose
<br />of confirming that the October 2, 2000 Resolution c ontemplated that all financing
<br />effected by the City under the 2000 Revolving Line of Credit from time to time would be
<br />in the form of Equipment Lease Purchase Agreements with SunTrust Bank , which may
<br />be executed and delivered by the City Manager or any D eputy or Assistant City Manager
<br />on behalf of the City from time to time without further action by the Council, and that the
<br />rental payments payable by the City under any such Equipment Lease Purchase
<br />Agreements in each fiscal year of the City would be subj ect to appropriation of moneys
<br />for such purpose by the Council from time to time, and further that all financings effected
<br />by the City through Equipment Lease Purchase Agreements entered into under the
<br />Revolving Line of Credit were contemplated to be and w ere designated as "qualified tax -
<br />exempt obligations" for purposes of Section 265(b)(3) of the Internal Revenue Code of
<br />1986.
<br />
<br />(c) The City proposes to enter into a Letter Agreement, dated July 24, 2002 (the
<br />"2002 Letter Agreement"), by and between the City a nd SunTrust Bank, approving a new
<br />revolving line of credit in the amount of Two Million Dollars ($2,000,000) (the "2002
<br />Revolving Line of Credit"), upon the terms, conditions and provisions set forth in the
<br />2002 Letter Agreement.
<br />
<br />SECTION 2. Approval of 2 002 Letter Agreement and 2002 Revolving Line of
<br />Credit. The Council hereby approves the 2002 Letter Agreement and the terms,
<br />conditions and provisions thereof and the 2002 Revolving Line of Credit in the amount of
<br />Two Million Dollars ($2,000,000) contem plated by the 2002 Letter Agreement. The
<br />Council hereby further determines that all financings effected by the City under the 2002
<br />Revolving Line of Credit from time to time shall be in the form of Equipment Lease
<br />Purchase Agreements with SunTrust Bank, w hich may be executed and delivered by the
<br />City Manager or any Deputy or Assistant City Manager on behalf of the City from time
<br />to time without further action by the Council, and that the rental payments payable by the
<br />City under such Equipment Lease purcha se Agreements in each fiscal year of the City
<br />shall be subject to appropriation of moneys for such purpose by the Council from time to
<br />
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