Tax Exempt Lease Purchase Financing

REQUEST FOR PROPOSAL

October 27, 2014 Request for Proposal

Syracuse City invites qualified financial institutions to submit a proposal for Tax Exempt Lease Purchase Financing. Proposals must be submitted to the Syracuse City Finance Director, 1979 West 1900 South, Syracuse, Utah, 84075 no later than 12:00 P.M. on Wednesday November 12, 2014. Late proposals will not be accepted. Syracuse City reserves the right to reject any or all proposals and to accept any proposalthat best serves its needs and is in the best interest of the city.

Purpose

Syracuse City is seeking proposals from qualified financial institutions for a four year fully collateralized borrowing line of credit for the purchase of eleven police vehicles and related equipment. The equipment includes computers, radios, light bars, cages, sirens, decals, etc. The total estimated financing cost for all eleven vehicles and related equipment is $400,500.

Scope of Services

It is the intent of Syracuse City to utilize the tax-exempt lease purchase financing to finance vehicles and equipment listed below. It is also the intent of Syracuse City to own the equipment, free of any liens, at the conclusion of the lease term. Syracuse City prefers to make lease payments in annual payments, with the first payment due one year after entering into the lease agreement. The preferred lease will be a four year lease term with the first payment due in 2015 and the final payment due in 2018. Lease funding will be put in an interest bearing escrow account in the City’s name at the inception of the lease and maintained there until notification is received that the vehicles are on site and the proper equipment have been installed by the equipment vendor. Payment will then be made to the dealership.

2015 Vehicle Estimate

2015 Police Interceptor Sedan

Code Description Price P2M AWD Interceptor with options $24,800 Premier- 7496 Equipment, installation, computer, printer, $10,850 decals Total $35,650

Quantity Description Price 8 Vehicles with equipment $35,650

Total Price $285,200 2014 F150 Code Enforcement Truck

Code Description Price X1E F150 4x4 with options $23,300 Premier- 8206 Equipment, installation, computer, printer, $5,200 decals Total $28,500

Total Price $28,500

2015 Police Interceptor Utility (K-9)

Code Description Price K8A AWD Utility with options $27,700 Premier- 7498 Equipment, installation, computer, printer, $15,700 decals Total $43,400

Total Price $86,800

Total price for all eleven vehicles: $400,500

Proposal Requirements

Proposals shall include Lease Period, Rate and APR, based on a 4-Year Amortization Schedule (proposals may include an alternative in addition to the 4 year schedule) , all closing costs and related fees (if any), Expiration Date of Quote, Bidders Name and point of contact, Address Phone and Fax Numbers and email address. If Syracuse City elects not to expend all funds under the lease purchase agreement, Syracuse City reserves the option to prepay the lending institution from the escrow account and adjust future lease payments accordingly without penalty. Items purchased under the lease purchase financing will be by the City’s insurance carrier at the date the item is purchased.

All Documents required for closing of the lease agreement are to be prepared by the financial institution and will be reviewed by the attorney for Syracuse City to insure compliance with applicable requirements. Syracuse City reserves the right to propose revisions to the contract documents based on counsel’s opinion. Interpretations

In order to be fair to all bidders, no oral interpretations will be given to any bidder as to the meaning of the specification documents or any part thereof. Any request for such consideration shall be made in writing to the City. Based upon such inquiry, the City may choose to issue an addendum to this bid. Questions may be directed to Stephen Marshall at [email protected] with the bid name in the subject line.

Submittal

Each bidder is required to submit three copies of the bid at the time and location indicated in this Request for Proposal with the completed Request for Proposal form (see below). Evaluation of Proposals

Proposals will be evaluated by staff and referred to the Syracuse City Council for consideration and approval. Evaluation of the proposals will seek to determine the proposal in the best interests of Syracuse City. The evaluation will include, but not be limited to, a comparison of each proposal’s cost of lease financing (e.g. interest rate, closing costs, all other fees).

The City reserves the right to reject any or all bids or any part thereof, and to waive any minor technicalities. A purchase order will be awarded to the bidder submitting the best responsible proposal meeting the requirements of this specification.

SYRACUSE CITY CORPORATION REQUEST FOR PROPOSAL (THIS IS NOT A REQUEST FOR SERVICES) ______

Please include this sheet as the cover for your proposal. Mark proposals as follows:

Mail / Hand Deliver to: ______

Proposals will be accepted until: (date) ______(time) ______Description of service(s): ______

*********************************************** Company Name: ______Address: ______Telephone: ______Fax: ______Specify Services Provided: ______Proposal Price: ______Time Period of Services: ______Payment Terms:______Proposal Honored Through: ______Contact Person: ______Telephone: ______Additional Comments (attach additional sheets if necessary): ______Syracuse City reserves the right to accept or reject this proposal, or any portion thereof, and call for new proposals if their interests or convenience are better served by such a course.

Authorized Signature: ______Date: ______