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SCHEDULE OF PROPERTY NUMBER 6 I I I I I I I I I I I I I I I I I I I TRANSCRIPT OF PROCEEDINGS CITY OF CLEARWATER, FLORIDA SCHEDULE OF PROPERTY NO.6 TO MASTER LEASE/PuRCHASE AGREEMENT WITH BANe OF AMERICA LEASING & CAPITAL LLC July 30, 2001 Foley & Lardner The Greenleaf Building 200 Laura Street Jacksonville, FL 32202 Telephone: (904) 359-2000 I I I I I I I I I I I I I 1 1 1 I 1 CITY OF CLEARWATER, FLORIDA Schedule of Property No.6 to Master Lease/Purchase Agreement with Banc of America Leasing & Capital LLC INDEX OF DOCUMENTS DESCRIPTION Schedule of Property No.6.................................................................... Truth-in-Bonding Statement................................................................... City Clerk's Certificate......................................................................... Essential Use of Funds Certificate............................................................ Acceptance Certificate............................................................. . . . . . . . . . . . . . 1004.276829.1 TAB 1 2 3 4 5 I I I I I I I I I I I I I I I I I I 104.272339.1 SCHEDuLE OF PROPERTY NO.6 Re: Master Equipment Lease/Purchase Agreement, dated as of February 13,2001, between Banc of America Leasing & Capital, LLC, as Lessor, and the City of Clearwater. Florida, as Lessee 1. Defined Terms. All terms used herein have the meanings ascribed to them in the above-referenced Master Equipment Lease/Purchase Agreement (the "Master Equipment Lease"). 2. Equipment. The following items of Equipment are hereby included under this Schedule of the Master Equipment Lease. SEE LIST OF EQUP:\IE~T ATTACHED HERETO AS EXHIBIT A-2. 3. Payment Schedule. Rental Payments. The Rental Payments shall be in such amounts and payable on such dates as set forth in the Rental Payment Schedule attached to this Schedule as Exhibit A-I. Rental Payments shall commence on the date on which the Equipment listed in this Schedule is accepted by Lessee, as indicated in an Acceptance Certificate substantially in the form of Exhibit B to the Master Equipment Lease or the date on which sufficient moneys to purchase the Equipment are deposited for that purpose with an Acquisition Fund Custodian, whichever is earlier. Purchase Price Schedule. The Purchase Price on each Rental Payment date for the Equipment listed in this Schedule shall be the amount set forth for such Rental Payment date in the "Purchase Price" column of the Rental Payment Schedule attached to this Schedule. The Purchase Price is in addition to all Rental Payments then due under this Schedule (including the Rental Payment shown on the same line in the Rental Payment Schedule). 4. Representations. Warranties and Covenants. Lessee hereby represents, warrants and covenants as follows: (a) That its representations, warranties and covenants set forth in the Master Equipment Lease are true and correct as though made on the date of commencement of Rental Payments on this Schedule. Lessee further represents and warrants that no material adverse change in Lessee's financial condition has occurred since the date of the Master Equipment Lease. (b) That the undersigned Financial Services Administrator is duly authorized to execute this Schedule and other documentation relating to this Schedule on behalf of the Lessee, by a resolution duly adopted by the governing body of the Lessee, and that no other officer, member or official of the Lessee is required to execute this Schedule for this Schedule to be a valid and binding obligation of the Lessee. I I I I I I I I I I I I I I I I I I 104.272339.1 5. The Lease. The terms and provisions of the Master Equipment Lease (other than to the extent that they relate solely to other Schedules or Equipment listed on other Schedules) are hereby incorporated into this Schedule by reference and made a part hereof. The maximum Lease Term, subject to annual appropriation, is 60 months. 6. Acquisition Amount. The Acquisition Amount for the Equipment described in this Schedule to be paid to the Lessee as reimbursement for payments to the Vendors is $1,764,088.85. 7. Utilization Period. The Utilization Period applicable to this Schedule shall end at the close of business, Florida time, on July 30, 2001. Dated: July 30, 2001. Lessor: Banc of America Leasing & Capital, LLC 555 California Street, 4th Floor San Francisco, California 94104 By: Lessee: City of Clearwater, Florida 100 South Myrtle Ave., 3d Floor Clearwater, Florida 33756 By: Margaret Simmons, Financial Services Administrator 2 I I I I I I I I I I I I I I I I I I 104.272339.1 I{J 5. The Lease. The terms and provisions of the Master Equipment Lease (other than to the extent that they relate solely to other Schedules or Equipment listed on other Schedules) are hereby incorporated into this Schedule by reference and made a part hereof. The maximum Lease Term, subject to annual appropriation, is 60 months. 6. Acquisition Amount. The Acquisition Amount for the Equipment described in this Schedule to be paid to the Lessee as reimbursement for payments to the Vendors is $1,764,088.85. 7. Utilization Period. The Utilization Period applicable to this Schedule shall end at the close of business, Florida time, on July 30, 2001. Dated: July 30, 2001. Lessor: Banc of America Leasing & Capital, LLC 555 California Street, 4th Floor San Francisco, California 94104 By: Gail D. Smedal, Vice President Lessee: City of Clearwater, Florida 100 South Myrtle Ave., 3d Floor Clearwater, Florida 33756 By: ~oI.,~ Margaret Simmons, Financial Services Administrator 2 I I I I I I I I I I I I I I I I I I 14.272339.1 EXHIBIT A-I RENTAL PAYMENT SCHEDULE Rental Rental Payment Interest Portion Payment Date Amount (4.0832%) 9/1/01 $ 6,202.69 $ 6,202.69 12/1/01 97,962.40 18,007.82 3/1/02 97,962.40 17,191.64 6/1/02 97,962.40 16,367.14 9/1/02 97,962.40 15,534.21 12/1/02 97,962.40 14,692.78 3/1/03 97,962.40 13,842.77 6/1/03 97,962.40 12,984.07 9/1/03 97,962.40 12,116.62 12/1/03 97,962.40 11,240.30 3/1/04 97,962.40 10,355.04 6/1/04 97,962.40 9,460.75 9/1/04 97,962.40 8,557.32 12/1/04 97,962.40 7,644.68 3/1/05 97,962.40 6,722.71 6/1/05 97,962.40 5,791.34 9/1/05 97,962.40 4,850.45 12/1/05 97,962.40 3,899.97 3/1/06 97,962.40 2,939.78 6/1/06 97,962.40 1,969.79 9/1/06 97,962.40 989.90 Principal Portion $79,954.58 80,770.75 81,595.23 82,428.19 83,269.61 84,119.63 84,978.32 85,845.78 86,722.09 87,607.35 88,501.65 89,405.07 90,317.72 91,239.68 92,171.06 93,111.94 94,062.43 95,022.62 95,992.61 96,972.50 Purchase Price* $1,764,088.85 1,684,134.27 1,603 ,363 .52 1,521,768.26 1,439,340.07 1,356,070.46 1,271,950.83 1,186,972.51 1,101,126.73 1 ,014,404.64 926,797.28 838,295.64 748,890.56 658,572.84 567,333.16 475,162.10 382,050.15 287,987.73 192,965.11 96,972.50 1.00 *The Purchase Option Commencement Date shall be July 30, 2001. The Purchase Price payable (i) on any Rental Payment date is the amount equal to the aggregate principal portion of the remaining Rental Payments after payment of the Rental Payment payable on such Rental Payment Date, and (ii) on any date other than a Rental Payment date is the amount equal to the aggregate principal portion of the remaining Rental Payments plus an amount equal to the interest portion of such Rental Payments accrued thereon to such date. 3 I I I I I I I I I I I I I I I I I I 104.272339.1 ~ FOf purposes of this Lease, "Taxable Rate," with respect to the interest component of Rental Payments, means an annual fate of interest equal to 6.3951 %. Lessee: CITY OF CLEARWATER, FLORIDA By: ~1~.L ~ Margaret Simmons, Financial Services Administfator After payment of the applicable Purchase Price, Lessee will own the related Equipment, free and clear of any obligations under the related Lease. 4 I I I I I I I I I I I I I I I I I I EXHIBIT A-2 LIST OF EQlTIPMENT 104.272339.1 5 ------------------- CITY OF CLEARWATER - THIRD DRAW Equipment: New Vehicles and Miscellaneous Equipment Vendor International Truck and Engine Co. Bobcat Company Wesco Turf Inc. Verizon of Florida Coastline Equipment Duval Ford Allec Industries Maroone Chevrolet Garber Chevrolet Kaiser-Pontiac Buick GMC Inc. McClain Southland Inc. Sheehan Pontiac-GMC Inc. Bill Heard Chevrolet TOTAL 5- YEAR TERM Amount 211,245.00 36,331.00 27,236.40 171,720.00 50,738.00 467,290.75 225,296.00 145,116.00 53,390.00 90,753.70 143,318.00 36,684.00 104,970.00 1,764,088.85 5-YEAR TERM Equipment (5) 2000 International 4700 Dump Trucks 2001 Bobtrack 864 loader with attachments Toro Reelmaster 5400 D five gang mower with attachments 911 Telephone System 2001 Case 580 Super M backhoe/loader with attachments (19) 2001 Ford Crown Victoria police pursuit vehicles (3) 2001 Ford 350 with Allec (1) 2001 Ford 450 with Altec (6) 2001 Chevrolet Silverado Pickups (2) 2001 Chevrolet Tahoe utility (7) 2001 GMC Sonoma Compact Pickups 2001 Mack front loader refuse truck with Hercules 40 cubic yard capacity (2) GMC Savana 2500 Cargo Van (4) 2001 Chevrolet Silverado (1) 2001 Chevrolet Express Van (1) Silverado Pickup - -- - - ----- - - - - - CITY OF CLEARWATER - THIRD DRAW Equipment: New Vehicles and Miscellaneous Equipment VENDOR BREAKDOWN Vendor Name International Truck and Engine Co. International Truck and Engine Co. International Truck and Engine Co. International Truck and Engine Co. International Truck and Engine Co. Sub-Total Bobcat Company Sub-Total Wesco Turf Inc. Sub-Total Verizon of Florida Sub-Total Coastline Equipment Sub-Total Duval Ford Duval Ford Duval Ford Duval Ford Duval Ford Duval Ford Duval Ford Duval Ford Duval Ford Duval Ford Duval Ford Duval Ford Duval Ford Duval Ford Duval Ford Duval Ford Amount 38,812.00 38,812.00 43,727.00 44,947.00 44,947.00 211,245.00 Invoice Date 08/21/00 08/18/00 08/16/00 12/12/00 12/16/00 Location 1900 Grand Ave. 1900 Grand Ave. 1900 Grand Ave. 1900 Grand Ave. 1900 Grand Ave. Description 2000 International 4700 Dump Trucks 2000 International 4700 Dump Trucks 2000 International 4700 Dump Trucks 2000 International 4700 Dump Trucks 2000 International 4 i'00 Dump Trucks 36,331.00 01/24/01 1900 Grand Ave. 2001 Bobtrack 864 loader with attachments 36,331.00 27,236.40 02/12/0 1 1900 Grand Ave. Toro Reelrnasler 5400-0 five gang mower with attacherntJllts 27,236.40 171,720.00 03/10/01 645 Pierce St 171,720.00 911 Telephone System 50,738.00 02/26/01 1900 Grand Ave. 2001 Case 580 Super M backhoelloader with attachments 50,738.00 24,594.25 24,594.25 24,594.25 24,594.25 24,594.25 24,594.25 24,594.25 24,594.25 24,594.25 24,594.25 24,594.25 24,594.25 24,594.25 24,59425 24,t'i94.25 24,594.25 02/26/01 1900 Grand Ave. 2001 Ford Crown Victoria police pursuit vehicles 02/26/01 1900 Grand Ave. 2001 Ford Crown Victoria police pursuit vehicles 03/03/01 1900 Grand Ave. 2001 Ford Crown Victoria police pursuit vehicles 02/26/01 1900 Grand Ave. 2001 Ford Crown Victoria police pursuit vetlicles 02/26/01 1900 Grand Ave. 2001 Ford Crown Victoria police pursuit vehicles 02/26/01 1900 Grand Ave. 2001 Ford Crown Victoria police pursuit vehicles 02/02/01 1900 Grand Ave. 2001 Ford Crown Victoria police pursuit vehicles 02/26/01 1900 Grand Ave 2001 Ford Crown Victoria police pursuit vehicles 02/26/01 1900 Grand Ave. 2001 Ford Crown Victoria police pursuit vehicles 03/06/01 1900 Grand Ave. 2001 Ford Crown Victoria police pursuit vehicles 03/06/01 1900 Grand Ave. 2001 Ford Crown Victoria police pursuit vehicles 03/06/01 1900 Grand Ave. 2001 Ford Crown Victoria police pursuit vehicles 03106/01 1900 Grand Ave. 2001 Ford Crown VictclI ia police pmsuit vehicles 03/06/01 1900 Grand Ave. 2001 Ford Crown Victoria police pursuit vellicles 03/06101 1900 Grand Ave. 2001 Ford Crown Victoria police pursuit vehicles 03/27/01 1900 Grand Ave. 2001 Ford Crown Victoria police pursuit vehicl~s - -- - VIN/Serial Numbers 1 HTSCABL 71 H372955 1 HTSCABL51 H372954 1 HTSCABN71 H372956 1 HTSCABL31 H398341 1 HTSCABL51 H398342 518913403 210000106 JJG0279576 2FAFP71 W41 X143592 2FAFP71 W81 X146687 2FAFP71 WO 1 X15Cl961 2FAFP71WX1X146688 2FAFP71W11X146689 2FAFP71WB1 X146690 2FAFP71VVX1X146691 2F AFP71 WO 1 X 143590 2FAFP71W21X143591 2FAFP71 W91 X15Cl960 2FAFP71 W21 X15Cl959 2FAFP71 WO 1 X15095B 2F AFPI 1 W91 X150951 2FAFF'71 Wl1 X 15CJ9tiL 2FAFPl1 W31 X 150~)54 2FAH-'11 W~JJ X15580~) ------------------- VENDOR BREAKDOWN Invoice Vendor Name Amount Date location Description VIN/Serial Numbers Duval Ford 24,594.25 03/27/01 1900 Grand Ave. 2001 Ford Crown Victoria police pursuit vehicles 2FAFP71W71 X155896 Duval Ford 24,594.25 03/27/01 1900 Grand Ave. 2001 Ford Crown Victoria police pursuit vehicles 2FAFP71 W91 X155897 Duval Ford 24,594.25 03/27/01 1900 Grand Ave. 2001 Ford Crown Victoria police pursuit vehicles 2FAFP71W01 X155898 Duval Ford 24,594.25 03/06/01 1900 Grand Ave. 2001 Ford Crown Victoria police pursuit vetlicles 2FAFP71W51 X150955 Total 491,885.00 less: 1 car totaled (24,594.25) Vin# 2FAFP71 W71 X150956 Sub-total 467,290.75 Altec Industries 60,672.00 03/22/01 1900 Grand Ave. 2001 Ford F-450 with Altec 1 FDXF46F41EB39452 Altec Industries 53,749.00 04/20/01 1900 Grand Ave. 2001 Ford E-350 with Altec 1 FTSE34LX1HA95153 Altec Industries 53,749.00 04/20/01 1900 Grand Ave. 2001 Ford E-350 with Altec 1FTSE34L11HA95154 Altec Industries 57,126.00 OS/23/01 1900 Grand Ave. 2001 Ford F350 1FDXF46F31EC09393 Sub-Total 225,296.00 Maroone Chevrolet 21 ,685.00 04/04/01 1900 Grand Ave. 2001 Chevrolet Silverado 2500 3/4 ton p'up 1 GBHC24U31 Z265080 Maroone Chevrolet 24,780.00 04/04/01 1900 Grand Ave. 2001 Chevrolet Silverado 2500 3/4 ton p'up 1GBHC24U11Z264929 Maroone Chevrolet 21,674.00 04/04/01 1900 Grand Ave. 2001 Chevrolet Silverado 2500 3/4 ton p'up 1GBHC24U51Z265688 Maroone Chevrolet 21,425.00 04/11/01 1900 Grand Ave. Chevrolet Silverado 2500 P'up 1GCHC24U11Z270726 Maroone Chevrolet 31,230.00 04/24/01 1900 Grand Ave. 2001 Chevrolet 2500 4x4 Pickup 3GBKC34G21 M111810 Maroone Chevrolet 24,322.00 04/27/01 1900 Grand Ave. 2001 Chevrolet 3500 1 GCHK24U217284203 Sub-Total 145,116.00 Garber Chevrolet 26,695.00 04/11/01 1900 Grand Ave. 2001 Ctlevrolet Tahow 4x2 utility 1GNEC13V01 R180319 Garber Chevrolet 26,695.00 04/06/01 1900 Grand Ave. 2001 Chevrolet Tahow 4x2 utility 1 GNEC13V21 R176661 Sub-Total 53,390.00 Kaiser - Pontiac Buick GMC Inc. 18,307.00 04/17/01 1900 Grand Ave. 2001 GMC Sonoma Compact p'ups 1 GTDT19W118215721 Kaiser - Pontiac Buick GMC Inc. 12,074.45 04/30/0 1 1900 Grand Ave. 2001 GMC Sonoma Compact p'ups 1GTCS14W818221022 Kaiser - Pontiac Buick GMC Inc. 12,074.45 04/30/01 1900 Grand Ave. 2001 GMC Sonoma Compact p'ups 1 GTCS14W618221696 Kaiser - Pontiac Buick GMC Inc. 12,074.45 04/30/01 1900 Grand Ave. 2001 GMC Sonoma Compact p'ups 1GTCS14WX18222687 Kaiser - Pontiac Buick GMC Inc. 12,074.45 04/30/01 1900 Grand Ave. 2001 GMC Sonoma Compact p'ups 1 GTCS 14W418221809 Kaiser - Pontiac Buick GMC Inc. 12,074.45 04/30/01 1900 Grand Ave. 2001 GMC Sonoma Compact p'ups 1 GTCS 14 W518222628 Kaiser - Pontiac Buick GMC Inc. 12,074.45 04/11/01 1900 Grand Ave. 2001 GMC Sonoma Compact p'ups 1GTCS19W118216057 Sub-Total 90,753.70 McClain Southland Inc 143,318.00 02/13/01 1900 Grand Ave. "DOl Mack llO/lllo&l"r ,dllSU Irllck willi flUrelll,," ~D clll!ie y"rd cdp"city IM008367 Sub-Total 143,318.00 ------------------- VENDOR BREAKDOWN Invoice Vendor Name Amount Date location Description VIN/Serial Numbers Sheehan Pontiac-GMC Inc 18,985.00 04/16/01 1900 Grand Ave. 2001 GMC Savana 2500 cargo van 1 GTFG25M511202177 Sheehan Pontiac-GMC Inc 17,699.00 04/16/01 1900 Grand Ave. 2001 GMC Savana 2500 cargo van 1 GTFG25M411202624 Sub-Total 36,684.00 Bill Heard Chevrolet 16,693.00 05/17/01 1900 Grand Ave. 2001 Chevrolet Silverado 1GCEC14T71Z295411 Bill Heard Chevrolet 16,693.00 05/18/01 1900 Grand Ave. 2001 Chevrolet Silverado 1GCEC14T11Z297185 Bill Heard Chevrolet 16,693.00 05/18/01 1900 Grand Ave. 2001 Chevrolet Silverado 1GCEC14T81Z296163 Bill Heard Chevrolet 16,693.00 05/18/01 1900 Grand Ave. 2001 Chevrolet Silverado 1 GCEC14T51Z299148 Bill Heard Chevrolet 21,230.00 OS/25/01 1900 Grand Ave. 2001 Chevrolet Express Van 1 GAHG39RX11210417 Bill Heard Chevrolet 16,968.00 05/10/01 1900 Grand Ave. 2001 Chevrolet Silverado 1/4 ton p'up 1GCEC14T41Z289386 Sub-Total 104,970.00 GRAND TOTAL 1,764,088.85 I I I I I I I I I I I I I I I I I I I CERTIFICATE REQUIRED BY SECTIONS 218.385(2) AND (3), FLORIDA STATUTES July 30, 2001 The Mayor and Members of the City Council of the City of Clearwater, Florida Clearwater, Florida Re: $1,764,088.85 Clearwater Lease/Purchase of Equipment Ladies and Gentlemen: In connection with the proposed Schedule of Property No.6 (the "Schedule") pursuant to the Master Equipment Lease/Purchase Agreement dated February 13,2001, between the City of Clearwater (the "City") and us, we have agreed to finance the leases of equipment described in the Schedule upon the terms and conditions set forth therein and in the Master Equipment Lease/Purchase Agreement. The purpose of this letter is to furnish the City with information in connection with the obligations described in the Schedule, as required by the provisions of Section 218.385(2) and 218.385(3), Florida Statutes, as amended. 1. The City is proposing to enter into the obligations represented by the Master Equipment Lease/Purchase Agreement and the Schedule for the purpose of financing or refinancing the cost of various items of city equipment. The obligations are expected to be repaid over a period of five (5) years. At the interest rates specified in the Schedule, total interest paid over the life of the obligation is expected to be approximately $201,362. 2. The source of repayment or security for the obligation is a covenant to budget and appropriate funds to satisfy such obligations on an annual basis, subject to the City's right to nonappropriate in any given year and terminate the obligations. Authorizing the obligations and budgeting and appropriating sufficient funds to pay such obligations each year will result in an average of approximately $393,090 of such revenues not being available to finance other services each year for approximately five (5) years. I I I I I I I I I I I I I I I I I I 104.272342.1 We understand that the statements set forth in paragraphs numbered 1 and 2 are for informational purposes only and shall not affect or control the actual terms and conditions of the obligations. BANC OF AMERICA LEASING & CAP IT AL, LLC 2 I I I I I I I I I I I I I I I I I I 104.272343.1 r-Jl CLERK'S CERTIFICATE The undersigned, a duly elected and acting City Clerk of the City of Clearwater, Florida (the "Lessee"), certifies as follows: A. The following listed person is the duly appointed Financial Services Administrator of the Lessee (the "Official") in the capacity set forth opposite her name below and that the signature below is true and correct as of the date hereof; B. The Official is duly authorized, on behalf of the Lessee, by a duly adopted resolution of the governing body of the Lessee, to negotiate, execute and deliver Schedule of Property No.6, related documentation and all future Schedules of Property and related documentation under the Master Equipment Lease/Purchase Agreement dated February 13,2001 (collectively, the "Documents") and these Documents are binding and authorized agreements and certificates of the Lessee, enforceable in all respects in accordance with their terms, and no other officer, member or official of the Lessee is required to execute the Documents for such Documents to be valid, binding and enforceable against the Lessee. Name of Official Title Signature Margaret Simmons Financial Services Administrator ~~.L~ Dated: July 30, 2001 ia E. Gouae~u, City Clerk (The signer of this Certificate cannot be listed above as authorized to execute_ the Documents.) I I I I I I I I I I I I I I I I I I 104.272346.1 ESSENTIAL USE/SOURCE OF FUNDS CERTIFICATE Banc of America Leasing & Capital, LLC 555 California Street, 4th Floor San Francisco, California 94104 Re: Master Equipment Lease/Purchase Agreement dated February 13, 2001; Schedule of Property No.6 dated July 30, 2001 This certificate confirms and affirms that the Equipment described in the Agreement and Schedule referenced above is essential to the governmental, municipal or public purposes or functions of the Lessee or to the services Lessee provides its citizens. Further, Lessee has an immediate need for, and expects to make immediate use of, substantially all such Equipment, which need is not temporary or expected to diminish in the foreseeable future. Such Equipment will be used by Lessee only for the purpose of performing one or more of Lessee's governmental or proprietary functions permitted under the Act (as defined in the Agreement referenced above). Lessee expects and anticipates adequate funds to be available for all future payments or rent due after the current budgetary period, subject to annual appropriation. Date: July 30, 2001 Lessee: CITY OF CLEARWATER, FLORIDA By: ~~d.~ Margaret Simmons, Financial Services Administrator ~ I I I I I I I I I I I I I I I I I I 104.272347.1 ACCEPTANCE CERTIFICATE Banc of America Leasing & Capital, LLC 555 California Street, 4th Floor San Francisco, California 94104 Re: Schedule of Property No.6, dated July 30, 2001, to Master Equipment Lease/Purchase Agreement, dated February 13,2001, between Banc of America Leasing & Capital, LLC, as Lessor, and the City of Clearwater, Florida, as Lessee. Ladies and Gentlemen: In accordance with the Master Equipment Lease/Purchase Agreement (the "Agreement"), the undersigned Lessee hereby certifies and represents to, and agrees with Lessor as follows: 1. All of the Equipment (as such term is defined in the Agreement) listed in the above-referenced Schedule of Property (the "Schedule") has been delivered, installed and accepted on the date hereof. 2. Lessee has conducted such inspection and/or testing of the Equipment listed in the Schedule as it deems necessary and appropriate and hereby acknowledges that it accepts the Equipment for all purposes. 3. Lessee is currently maintaining the insurance coverage required by Section 7.02 of the Agreement. 4. No event or condition that constitutes, or with notice or lapse of time, or both, would constitute, an Event of Default (as defined in the Agreement) exists at the date hereof. Date: July 30, 2001 Lessee: City of Clearwater, Florida 100 South Myrtle Ave., 3d Floor Clearwater, Florida 33756 By: trn/1.A_~~1J.~ Margaret Simmons, Financial Services Administrator I'