R-87-988 - 4/23/1987WHEREAS, the City of Round Rock has previously entered into
a rental agreement for a telepnone system whicn contained an
option to convert said agreement to a purchase agreement: and
WHEREAS, a contract has been suomittea for the
lease /purchase of the telephone system currently in use oy the
City; and
WHEREAS, the Council of the City of Rouna Rock would iiKe to
enter into said contract; NOW THEREFORE
HE iT RESOLVED BY THE COUNCIL OF THE CITY OF ROUND ROCK,
TEXAS
That the Mayor is herepy authorized ana directed to enter
into saia contract. a copy of wnich is attached nereto and
incorporates herein for all purposes.
RESOLVED this the ...A.3 day of 987.
ATTEST:
u/Y KiC_/
nne Land, City Secretary
RESOLUTION NO LrL/PLI
MIKE ROBINSON, Mayor
City of Round ROCK, Texas
11►
Monthly Payment:
AT &T PHONE SYSTEMS - SYSTEM 75 (CITY HALL, ANNEX,. LIBRARY); MERLIN 3070 (POL_ICE & FIRE); MERLIN 820 (PUBLIC WORKS)
Total Purchase Price
at. end of ).ease:
Less Outright Purchase:
(:asst of Lease
Over Outright Purchase:
Effective Interest Rate
of I._c.a ?.'o Purchase;
CITY OF ROUND ROCK
LEASE:: PLIRCHASE. OPTIONS _. 5 YEAR (._EASE PERIOD
CURRENT* AT &T CREDIT CORP MARYLAND NATIONAL LEASING CITICORP
$4,730,08 )x1, +72.53 $1,324.14 $1,621.4
N/A $100,351.50 $97,448.40 $97,285.20
N/A ($:2,022.71) ($82,022.71) ($82,022.71)
N/A $18,329.09 815, 42 .69 $15,262.49
N/A 8.24% 6.99% 6.937..
Represents a use charge; not a purchase agreement
This monthly charge includes a maintenance fee; whereas the :Lease monthly payments do not.
Approximate monthly maintenance will be 8575
DATE: April 20, 1987
SUBJECT: Council Agenda, April 23, 1987
ITEM: 13D - Consider a resolution authorizing the Mayor to
enter into a contract with AT &T to lease /purchase the
phone system.
The City has been renting the present phone system for the
past six months for evaluation. We now recommend enactment of
the lease purchase provision of the agreement. The monthly cost
will be significantly reduced. This phone system will allow for
growth with the City offices for many years to come. The interest
rate of the low proposal is very competative and acceptable within
less than point of our last bond sale. We have not received
the actual contract at the time of this packet. Staff asked for
approval for the Mayor to sign the contract after it has been
received and approved by the City Attorney and Accounting.