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02-94�i�! Vl�� Presented By: Referred To: RESOLUTION CITY OF SAINT PAUL, MINNESOTA Council File # o a -g �1 Green Sheet # 113627 o�e� Committee:Date: 1 WIIEREAS, St Paul Harley-DavidsonBuell would like to donate a lease of fourteen 2002 FLHPI 2 Harley-Davidson police solo motorcycles to the St Paul Police Department for twelve months at a wst 3 of $14, valued at $23,520; and 4 5 WHEREAS, the Saint Paul Police Department wishes to accept this donation of a twelve-month lease of 6 Hariey-Davidson motorcycles; and 7 8 BE IT RESOLVED, the City of Saint Paul accepts this donation and extends its sincere thanks to St. Paul 9 Harley-Davidson/Buell. 10 11 BE IT FIJTtTHER RESOLVED, that the Saint Paul Police Department is authorized to enter into the 12 attached agreement which includes an indemnitication clause, with St. Paul Harley-Davidson/Buell, to 13 lease Harley-Davidson motorcycles. A copy of said agreement is to be kept on file and on record in the 14 Office of Financial Services. 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 DEPARTMENT/OFFICEICOUNCIL DATE INITIATED roli�e iisioz GREEN EET No.$' 113627 ONTA T N PH NE INRIAVO INRIAUDA7E � WilliamFinney 292-3588 1 nrsruEx.ou�cro 4 mcwxca MUST BE ON COUNCIL AGENDA BY (DATE) .\ i O� �� ATTORtgY �CLERK ^ u , v1W1NML5QtVILESDW. �FINNiCW.SERV/ALLTG u �TOR(ORASSISTANI)_ �I)NRNRIG1i�5 f�..� TOTAL # OF SIGNATURE PAGES 1 (CLIP ALL LOCATIONS FOR SIGNATURE) CTION REQUES7ED Approval of the attached resolution accepting a donation of a lease of fourteen 2002 FLHPI Hazley-Davidson police solo motorcycies for twelve months at a cost of $14 from St. Paul Hazley-Davidson Buell and authorizing the Saint Paul Police Department to enter into an agreement with St. Paul Hazley-DavidsonBuell. RECOMMENDATION Approve (A) or Reject (R) PERSONAL SERVICE CONTRACTS MUST ANSWER THE FOLLOWING QUES710N5: 1. Has this person/firtn everworked under a contrect forthis depaM1ment? PLANNING COMMISSION YES NO CIB COMMITTEE 2. Has this person/frtn ever been a city employee� �� CNIL SERVICE COMMISSION YES NO , 3 Does ihis persoNfirtn possess a skill not nortnally possessetl by arry currerit ciry employee? YES NO � 4. Is this persoNfirm a targeted vendoR YES NO Explain all yes answers on sepa2te sheet and attach to green sheet INITIA7ING PROBLEM ISSUE, OPPORTUNI7Y (WHO, WHAT, WHEN, WHERE, WHY) St. Paul Hazley-Davidson/Buell would like to donate a lease of fourteen 2002 FI,HPI Harley-Davidson police solo motorcycles to ' the Saint Paul Police Department for twelve months as a cost of $14, valued at $23,520. The Saint Paul Police Department would like to accept tlris donarion. ". ADVANTAGESIFAPPROVED Ability to lease fourteen Hazley Davidson motorcycles for twelve months at a cost of $14.00. JHN ��UO2 CITY ATT�RNEY DISADVANTAGES IF APPROVED � No°e. JAN 1 � 20[l2 ,� DISADVANTAGESIFNOTAPPROVED ��T�/ ��R�EY p! � . � Sf6j'� i V��}� Lost opportunity to lease three Hazley-Davidson motorcycles for twelve months at a reduced cost �� TOTALAMOUNTOFTRANSACTION$ seeattached COSTRiEVENUE BUDGETED(CIRCLE ONE) YES NO ; FUNDINGSOURCE DOi13hOn AC7NITYNUMBER OOl-040O1 � FINANCIAL INFORMATION (EXPLAIN) . oa.- �y ST. PAUL HARI..EY-DAVIDSONBUELL LEASE AGREEMENT This agreement made and entered into between St. Paul Hazley-Davidson(Buell designated as the lessor and CITY OF SAINT PAIJL DEPARTMENT OF POLICE, designated as the Lessee, made this 31st day of December, 2001, for the purpose of leasing to the Lessee 14 Harley-Davidson motorcycies under the following terms and conditions: 1. EQUIPMENT 2002 Harley-Davidson police solo motorcycles. Model # FLHTPI. 2. AGREEMENT TERM This agreement shall be effective as of the date of execution for a period of 12 months. Motorcycles leased under this Agreement are to be used for police and related activities only. 3. PAYMENT PERIOD Lessee shall pay one yeazly payment in the amount of $14 (fourteen dollars) plus the bill for the equipment, uninstalling and re-installing if applicable. Payments include the cost of the equipment, payment of interest and administrative costs less the residual value of the motorcycles. Rental per vehicle shall be payable by the Lessee to Lessor at the signing of this Lease. 4. INSURANCE The Lessee is a self-insured political subdivision of the State of Minnesota parsuant to Minnesota Statute 471.981 thereby providing coverage for the full value and use the motorcycles and providing Workman's Compensation Insurance coverage for all employees related to lease and use of the motorcycies. 5. INDBNIrtiTY The Lessee shall and does hereby indemnify and save the Lessor harmless from any and all liability arising out of the leasing, renting, operation, control, use, deliver and(or return of . O�-'t�t the motorcycles including, but not limited to injuries causing personal injury, property damage, and/or death, but shall be credited with any amounts received by the Lessor with respect thereto from liability insurance secured by the Lessee. That indemnification shall include all costs and expenses including attomey's fees incurred by the Lessor in connection with any suits or actions resultin� from any special liability. This indemnification shall not be construed as a waiver of the municipal tort liability limits set forth in Minnesota Statue 466.01 et seq. And any indemnifications made by the Lessee under this Agreement are accordingly govemed and limited. 6. LIENS The Lessee shall not directly or indirectly create, incur, assume or suffer to exist any mortgage, pledge, lien, charge, encumbrance or claim on or with respect to the equipment, except with respect to the respective rights of the Lessor as herein provided. Lessee shall promptly, at its own expense, take such actions as may be necessary to duly discharge any such mortgage, pledge, lien, charge, encumbrance or claim not excepted above if the same shall arise at any time. 17�._��I:l The Lessee shall comply with all laws and shall pay all tases, if any, including, but not limited to Sales and Use Taxes, Excise Taxes, Personal Property Taxes and Assessments and Penalties, Licenses, Registration Fees, Freight and Transportation chazges, Pemuts and any similar charges imposed on the ownership, possession or use of the motorcycles during the term of this Agreement. 8. CARE AND USE OF EQLTIPMENT The Lessee at its own cost and expense shall maintain the motorcycles in good operating condition, repair and appearance and protect them from deterioration other than normal weaz and tear. All repairs and maintenance shall be made at St. Paul Harley-DavidsonlBuell, 2899 Hudson Blvd., St. Paul, MN 55128. The Lessee shall use the motorcycles for police and related activities only, without abuse, and in a manner contemplated by St. Paul Harley-Davidson/Buell; shall not make modifications, alterations or additions to the motorcycles (other than normal operating accessories or controls) without the written consent of St. Paul Hazley-Davidson/Buell which shall not be unreasonably withheld, St. Paul Harley-Davidson/Buell shall have the right during normal - hours to enter the premises where the motorcycles are located in order to inspect, observe or otherwise pxotect their interest and the Lessee shall cooperate in affording them the opportunity to do the same. The Lessee agrees to maintain the motorcycles pursuant to the Manufacturer's Standard Preventative Maintenance Contract and/or Recommendations. 2 �. �.. oa-�y 9. DAMAGE OR DETERTORATION OF EQUIPMENT In the event the equipment is partially damaged or destroyed prior to the end of the Agreement terms, the Lessee will promptly have the Equipment repaired and restored to its original condition and working order for the purposes intended. All repairs shall be made at St. Paul Harley-Davidson/Buell. 10. EVENTS OF DEFAULT AND REMEDIES Lessee shall be deemed to be in default hereunder upon the happening of any of the following events of default: a. Lessee shall fail to make any periodic payment, or to pay any other payments required to be paid hereunder, or b. Lessee shall fail to keep any such other term, covenant or condition contained herein. Upon the occurrence of an event of default as specified above, and Lessee shall fail to remedy such event of default with all reasonable dispatch within a period of thirty days, Lessor or its assigns shall have the right, at its option without any further demand or notice, to pursue any one or more of the following remedies: a. By written notice to Lessee, declare an amount equal to all payments due during the Agreement Term to be immediately due and payable as liquidated damages and not as a penalty, whereupon the same shall become immediately due and payable. b. Re-enter and take possession of the equipment enforcing this Agreement or terminating this Agreement, and repossess the Equipment and sell or lease the � equipment for the account of Lessee, holding Lessee liable for all payments up to the effective date of such leasing or selling and for the difference in the purchase price, rental and other amounts paid by the lessee or purchaser pursuant to such lease or sale and the amounts payable by Lessee hereunder; and c. Take whatever action at law or in equity may appear necessary or desirable to collect the payments then due, or to enforce performance and observance of any obligation, agreement, or covenant of Lessee under this Agreement. 11. DISPOSITION OF EQUIPMENT ' ' " '�� ♦ o�_�y Upon temunation of this Lease Agreement at the end of the 12-month period, the City of Saint Paul Police Department will have the option ofpurchasin� the 2002 Hazley- Davidson Motorc e overed by the Agreement. from St. Paul Harley-Davidso uell. Said disposition will be immediately prior to the end of the Lease LESSEE �.tJ• Chief of Police, 2'int Paul , Mayor, Saint aul `� . \ �. � , Director of Financial Se �ces' Assistant City-Attomey � LESSOR `','� � l'�� :�;��- Date Date Date /Z-3: -��l Date ��}� �� IC%��' "�"`-^ � � �i�! Vl�� Presented By: Referred To: RESOLUTION CITY OF SAINT PAUL, MINNESOTA Council File # o a -g �1 Green Sheet # 113627 o�e� Committee:Date: 1 WIIEREAS, St Paul Harley-DavidsonBuell would like to donate a lease of fourteen 2002 FLHPI 2 Harley-Davidson police solo motorcycles to the St Paul Police Department for twelve months at a wst 3 of $14, valued at $23,520; and 4 5 WHEREAS, the Saint Paul Police Department wishes to accept this donation of a twelve-month lease of 6 Hariey-Davidson motorcycles; and 7 8 BE IT RESOLVED, the City of Saint Paul accepts this donation and extends its sincere thanks to St. Paul 9 Harley-Davidson/Buell. 10 11 BE IT FIJTtTHER RESOLVED, that the Saint Paul Police Department is authorized to enter into the 12 attached agreement which includes an indemnitication clause, with St. Paul Harley-Davidson/Buell, to 13 lease Harley-Davidson motorcycles. A copy of said agreement is to be kept on file and on record in the 14 Office of Financial Services. 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 DEPARTMENT/OFFICEICOUNCIL DATE INITIATED roli�e iisioz GREEN EET No.$' 113627 ONTA T N PH NE INRIAVO INRIAUDA7E � WilliamFinney 292-3588 1 nrsruEx.ou�cro 4 mcwxca MUST BE ON COUNCIL AGENDA BY (DATE) .\ i O� �� ATTORtgY �CLERK ^ u , v1W1NML5QtVILESDW. �FINNiCW.SERV/ALLTG u �TOR(ORASSISTANI)_ �I)NRNRIG1i�5 f�..� TOTAL # OF SIGNATURE PAGES 1 (CLIP ALL LOCATIONS FOR SIGNATURE) CTION REQUES7ED Approval of the attached resolution accepting a donation of a lease of fourteen 2002 FLHPI Hazley-Davidson police solo motorcycies for twelve months at a cost of $14 from St. Paul Hazley-Davidson Buell and authorizing the Saint Paul Police Department to enter into an agreement with St. Paul Hazley-DavidsonBuell. RECOMMENDATION Approve (A) or Reject (R) PERSONAL SERVICE CONTRACTS MUST ANSWER THE FOLLOWING QUES710N5: 1. Has this person/firtn everworked under a contrect forthis depaM1ment? PLANNING COMMISSION YES NO CIB COMMITTEE 2. Has this person/frtn ever been a city employee� �� CNIL SERVICE COMMISSION YES NO , 3 Does ihis persoNfirtn possess a skill not nortnally possessetl by arry currerit ciry employee? YES NO � 4. Is this persoNfirm a targeted vendoR YES NO Explain all yes answers on sepa2te sheet and attach to green sheet INITIA7ING PROBLEM ISSUE, OPPORTUNI7Y (WHO, WHAT, WHEN, WHERE, WHY) St. Paul Hazley-Davidson/Buell would like to donate a lease of fourteen 2002 FI,HPI Harley-Davidson police solo motorcycles to ' the Saint Paul Police Department for twelve months as a cost of $14, valued at $23,520. The Saint Paul Police Department would like to accept tlris donarion. ". ADVANTAGESIFAPPROVED Ability to lease fourteen Hazley Davidson motorcycles for twelve months at a cost of $14.00. JHN ��UO2 CITY ATT�RNEY DISADVANTAGES IF APPROVED � No°e. JAN 1 � 20[l2 ,� DISADVANTAGESIFNOTAPPROVED ��T�/ ��R�EY p! � . � Sf6j'� i V��}� Lost opportunity to lease three Hazley-Davidson motorcycles for twelve months at a reduced cost �� TOTALAMOUNTOFTRANSACTION$ seeattached COSTRiEVENUE BUDGETED(CIRCLE ONE) YES NO ; FUNDINGSOURCE DOi13hOn AC7NITYNUMBER OOl-040O1 � FINANCIAL INFORMATION (EXPLAIN) . oa.- �y ST. PAUL HARI..EY-DAVIDSONBUELL LEASE AGREEMENT This agreement made and entered into between St. Paul Hazley-Davidson(Buell designated as the lessor and CITY OF SAINT PAIJL DEPARTMENT OF POLICE, designated as the Lessee, made this 31st day of December, 2001, for the purpose of leasing to the Lessee 14 Harley-Davidson motorcycies under the following terms and conditions: 1. EQUIPMENT 2002 Harley-Davidson police solo motorcycles. Model # FLHTPI. 2. AGREEMENT TERM This agreement shall be effective as of the date of execution for a period of 12 months. Motorcycles leased under this Agreement are to be used for police and related activities only. 3. PAYMENT PERIOD Lessee shall pay one yeazly payment in the amount of $14 (fourteen dollars) plus the bill for the equipment, uninstalling and re-installing if applicable. Payments include the cost of the equipment, payment of interest and administrative costs less the residual value of the motorcycles. Rental per vehicle shall be payable by the Lessee to Lessor at the signing of this Lease. 4. INSURANCE The Lessee is a self-insured political subdivision of the State of Minnesota parsuant to Minnesota Statute 471.981 thereby providing coverage for the full value and use the motorcycles and providing Workman's Compensation Insurance coverage for all employees related to lease and use of the motorcycies. 5. INDBNIrtiTY The Lessee shall and does hereby indemnify and save the Lessor harmless from any and all liability arising out of the leasing, renting, operation, control, use, deliver and(or return of . O�-'t�t the motorcycles including, but not limited to injuries causing personal injury, property damage, and/or death, but shall be credited with any amounts received by the Lessor with respect thereto from liability insurance secured by the Lessee. That indemnification shall include all costs and expenses including attomey's fees incurred by the Lessor in connection with any suits or actions resultin� from any special liability. This indemnification shall not be construed as a waiver of the municipal tort liability limits set forth in Minnesota Statue 466.01 et seq. And any indemnifications made by the Lessee under this Agreement are accordingly govemed and limited. 6. LIENS The Lessee shall not directly or indirectly create, incur, assume or suffer to exist any mortgage, pledge, lien, charge, encumbrance or claim on or with respect to the equipment, except with respect to the respective rights of the Lessor as herein provided. Lessee shall promptly, at its own expense, take such actions as may be necessary to duly discharge any such mortgage, pledge, lien, charge, encumbrance or claim not excepted above if the same shall arise at any time. 17�._��I:l The Lessee shall comply with all laws and shall pay all tases, if any, including, but not limited to Sales and Use Taxes, Excise Taxes, Personal Property Taxes and Assessments and Penalties, Licenses, Registration Fees, Freight and Transportation chazges, Pemuts and any similar charges imposed on the ownership, possession or use of the motorcycles during the term of this Agreement. 8. CARE AND USE OF EQLTIPMENT The Lessee at its own cost and expense shall maintain the motorcycles in good operating condition, repair and appearance and protect them from deterioration other than normal weaz and tear. All repairs and maintenance shall be made at St. Paul Harley-DavidsonlBuell, 2899 Hudson Blvd., St. Paul, MN 55128. The Lessee shall use the motorcycles for police and related activities only, without abuse, and in a manner contemplated by St. Paul Harley-Davidson/Buell; shall not make modifications, alterations or additions to the motorcycles (other than normal operating accessories or controls) without the written consent of St. Paul Hazley-Davidson/Buell which shall not be unreasonably withheld, St. Paul Harley-Davidson/Buell shall have the right during normal - hours to enter the premises where the motorcycles are located in order to inspect, observe or otherwise pxotect their interest and the Lessee shall cooperate in affording them the opportunity to do the same. The Lessee agrees to maintain the motorcycles pursuant to the Manufacturer's Standard Preventative Maintenance Contract and/or Recommendations. 2 �. �.. oa-�y 9. DAMAGE OR DETERTORATION OF EQUIPMENT In the event the equipment is partially damaged or destroyed prior to the end of the Agreement terms, the Lessee will promptly have the Equipment repaired and restored to its original condition and working order for the purposes intended. All repairs shall be made at St. Paul Harley-Davidson/Buell. 10. EVENTS OF DEFAULT AND REMEDIES Lessee shall be deemed to be in default hereunder upon the happening of any of the following events of default: a. Lessee shall fail to make any periodic payment, or to pay any other payments required to be paid hereunder, or b. Lessee shall fail to keep any such other term, covenant or condition contained herein. Upon the occurrence of an event of default as specified above, and Lessee shall fail to remedy such event of default with all reasonable dispatch within a period of thirty days, Lessor or its assigns shall have the right, at its option without any further demand or notice, to pursue any one or more of the following remedies: a. By written notice to Lessee, declare an amount equal to all payments due during the Agreement Term to be immediately due and payable as liquidated damages and not as a penalty, whereupon the same shall become immediately due and payable. b. Re-enter and take possession of the equipment enforcing this Agreement or terminating this Agreement, and repossess the Equipment and sell or lease the � equipment for the account of Lessee, holding Lessee liable for all payments up to the effective date of such leasing or selling and for the difference in the purchase price, rental and other amounts paid by the lessee or purchaser pursuant to such lease or sale and the amounts payable by Lessee hereunder; and c. Take whatever action at law or in equity may appear necessary or desirable to collect the payments then due, or to enforce performance and observance of any obligation, agreement, or covenant of Lessee under this Agreement. 11. DISPOSITION OF EQUIPMENT ' ' " '�� ♦ o�_�y Upon temunation of this Lease Agreement at the end of the 12-month period, the City of Saint Paul Police Department will have the option ofpurchasin� the 2002 Hazley- Davidson Motorc e overed by the Agreement. from St. Paul Harley-Davidso uell. Said disposition will be immediately prior to the end of the Lease LESSEE �.tJ• Chief of Police, 2'int Paul , Mayor, Saint aul `� . \ �. � , Director of Financial Se �ces' Assistant City-Attomey � LESSOR `','� � l'�� :�;��- Date Date Date /Z-3: -��l Date ��}� �� IC%��' "�"`-^ � �