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HomeMy WebLinkAboutR-2002-118 RESOLUTION NO. 2002-118 A RESOLUTION OF THE CITY OF DANIA BEACH, FLORIDA AUTHORIZING THE APPROVAL OF A LEASE AGREEMENT FOR COMPUTER EQUIPMENT FROM DELL MARKETING, L.P., WITHOUT COMPETITIVE BIDDING AND WITHOUT ADVERTISEMENT FOR BIDS; PROVIDING FOR CONFLICTS; FURTHER, PROVIDING FOR AN EFFECTIVE DATE. r WHEREAS, the Charter of the City of Dania Beach, Part III, Article 3, Section 4, Subsection (J), provides that during unusual conditions or emergencies, the city commission may, by resolution, authorize the purchase by the city manager of designated supplies, services, equipment and materials in amounts in excess of fifteen thousand dollars ($15,000.00) without competitive bids and without advertisement for bids; and WHEREAS, the City Manager has determined that it is necessary to enter into a lease agreement with Dell Marketing, L.P., for computer equipment over a 36 month period with monthly payments of $855.02 with a total price not to exceed $30,850.00; and WHEREAS, the City Manager has determined that the computer equipment can be leased at the least cost from Dell Marketing, L.P; and NOW, THEREFORE, BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY OF DANIA BEACH, FLORIDA- Section 1. - That that certain Lease Agreement between Dell Marketing, L.P. and the City of Dania Beach for the lease of computer equipment, in substantial form as attached, is approved and the appropriate city officials are authorized to execute it. i 1 RESOLUTION NO. 2002-118 Section 2. That the City Manager and City Attorney are authorized to make revisions to said Lease Agreement as are deemed necessary and proper for the best 9 rY p p interests of the City. Section 3. That the City Manager is authorized to pay the lease costs to Dell Marketing, L.P. from the Information Services Division of the Finance Department. Section 4. That all resolutions or parts of resolutions in conflict with this resolution shall be repealed to the extent of such conflict. Section 5. That this resolution shall be in force and take effect immediately upon its passage and adoption. PASSED and ADOPTED th' August, 2002. • R06 RT H. CHUNN, JR. MAY R — COMMISSIONER ATTEST: ROLL CALL: COMMISSIONER BERTINO - YES COMMISSIONER MCELYEA - YES C ARLENE J t SON COMMISSIONER MIKES - YES CITY CLERK VICE-MAYOR FLURY - YES MAYOR CHUNN - YES APPROVED AS TO FORM AND CORRECTNESS: BY: I 1 THoMASUANSBRO CITY ATTORNEY • 2 RESOLUTION NO. 2002-118 AMENDMENT TO MUNICIPAL LEASE AGREEMENT THIS AMENDMENT is made as of this day of ,2002. City of Dania Beach("You"and"Your")and Dell Marketing, L.P. ("We","Us"and"Our")entered into a Municipal Lease Agreement No. 1671633,dated (the"Lease")and hereby mutually agree to amend the terms of the Lease as provided herein. l. Subsection(e)of Section 14(Default; Damages) is hereby deleted in its entirety and replaced with the following: "(e)otherwise breach any provisions of this Master Lease or any Schedule,we may accelerate the remaining balance due on this Master Lease and any Schedule,discounted at the rate of six percent(6%)per annum,and demand the immediate return of the Equipment to us." 2. All references to the state of"Texas"are hereby deleted and replaced with"Florida"in Section 15 (Choice of Law;Venue;Jurisdiction;Non-Jury Trial). 3. All provisions of the Lease not amended by this Amendment shall remain in full force and effect as set forth in the Lease. CITY OF DANIA BEACH DELL MARKETING, L.P. By: By: • Title: Title: Date: Date: R F RightFax 7/19/2002 2 : 31 PAGE 1/12 RightFax PURCHASE ORDER BUNDLE TO SUBMIT AS YOUR PURCHASE ORDER PLEASE COMPLETE, PRINT, SIGN AND FAX TO: ATTN: Order Processing FAX#(800)-391-3355 The Customer agrees to purchase the product(s) itemized on the quote number(s) indicated below at the price(s) indicated, plus applicable taxes and shipping and handling charges, subject to the applicable Dell terms and conditions. Net 30 Payment Terms are subject to Credit Approval. Additional financial information in the form of financial statements from previous years may be required. Is your purchase going to Export outside of the continental United States: YES NO (please select one) Your Dell Customer# is: Your Quote number(s) are: Your Purchase Order Number is: Total Purchase Amount: Is this purchase TAX EXEMPT? YES NO (please select one) • Important information about Tax If tax exempt, please fax Tax Exemption Certificate to (800)-391-3355. The fax must reference the customer# listed on this Purchase Order Bundle If you have any questions regarding your tax status please contact the Tax Department by calling (800) 433-9019 ----Billing/Invoice Address---- ---Delivery Address--- (Required) (Required) ATTN: I Are you changing your Billinglinvoice Address? YES NO If YES, a signed letter on Company letterhead authorizing the change must be included with this paperwork. The letter must include your old and new address information. Required Shipping Information: What floor are you on? Do you have a receiving dock Y_ N_ Service Elevator Y_ Signature/Date(required): Authorized Buyer Name (please print): Title (please print): • Phone#: EXHI �� us Revision: 5/29/2001 Page 1 of 1 11054148 RightFax 7/19/2002 2 : 31 PAGE 2/12 RightFax FED EX FROM Dell Marketing, L.P. Phone: 866-363-3355 Fax: 800-391-3355 Note: A signed Lease Agreement must be returned within 48 business hours. Please call us immediately if there will be any delay. Thermal Paper will not be accepted. To: Vern Johnson, DANIA BEACH, CITY OF Date: July 19, 2002 Congratulations! Your lease application has been approved! In order to receive your equipment as soon as possible, please complete the attached lease documents according to the instructions below. In the event you identify any errors in this package, do NOT correct them. Please call 866-363-3355 for assistance. PLEASE NOTE: YOU WILL NEED TO SEND US A CHECK IN THE AMOUNT OF $55.00` MADE PAYABLE TO DELL MARKETING, L.P. THIS CHECK MUST BE DRAWN ON A BUSINESS ACCOUNT OF THE LESSEE. PLEASE DO NOT SEND A TEMPORARY CHECK, PERSONAL CHECK OR THE CHECK OF AN AFFILIATED OR PARENT COMPANY. Instructions: (No stamped signatures accepted.) 1. Sign and date documents: Should SIGN, TITLE and DATE: 2. Please place ALL of the above mentioned items in a FEDERAL EXPRESS OVERNIGHT ENVELOPE and return as soon as possible to: Dell Government Leasing & Finance One Dell Way Building 8 MSC:8747 Round Rock, TX 78664 Bill to FedEx account #1331-8210-1. Your order cannot be authorized until all of the documents are completed as specified and returned. 3. Upon review of your documents, a Purchase Order will be forwarded to your supplier. " Please Note: The amount due with this contract includes the following: A Lease Processing fee of 855.00 i Thank you for your business. If you need further assistance, do not hesitate to call 866-363-3355. Enjoy your new equipment! Revision: 11/07/01 Page 1 of 1 Reference : 11054148 RightFax 7/19/2002 2 : 31 PAGE 3/12 RightFax TO: DANIA BEACH, CITY OF DATE: July 19, 2002 PLEASE USE THE FOLLOWING GUIDELINES FOR COMPLETING THE FEDERAL EXPRESS BILLING LABEL YOU MAY NEED TO CALL YOUR LOCAL FEDERAL EXPRESS OFFICE TO ARRANGE PICK-UP BY USING THE BILLING # LISTED BELOW, YOU WILL NOT BE RESPONSIBLE FOR SHIPMENT CHARGES EXAMPLE OF FEDEX BILLING LABEL: SECTION 1 (FROM) : YOUR COMPANY'S ADDRESS & PHONE INFORMATION SECTION 2 (LEAVE BLANK) SECTION 3 (TO RECIPIENT) : COMPANY: Fleet Capital Leasing -Global Vendor Finance PHONE: 866-363-3355 ADDRESS: One Dell Way, Building 8, Box 8747 CITY/STATE/ZIP: Round Rock, Texas 78682 SECTION 4 (SERVICES) CHECK BOX (FEDEX PRIORITY OVERNIGHT) SECTION 5 (PACKAGING) CHECK BOX (FEDEX LETTER) SECTION 6 (LEAVE BLANK) SECTION 7 (PAYMENT) CHECK BOX( THIRD PARTY FEDEX ACCT. NO. 1331-8210-1 SECTION 8 (LEAVE BLANK) Revision: 06/13/01 Reference: 11054148 RightFax 7/19/2002 2 : 31 PAGE 4/12 RightFax Dell Marketing, L.P. DATED: 7/19/2002 • One Dell Way, Building 8, Box 8747 Round Rock, TX 78682 EQUIPMENT SCHEDULE CUSTOMER PO#: SCHEDULE NO.: 1671633 THIS EQUIPMENT SCHEDULE INCORPORATES BY REFERENCE THE TERMS AND CONDITIONS OF MASTER LEASE AGREEMENT NO. ("Master Lease") by and between Dell Marketing, L.P. ("We" and "Us") and the Lessee named below("You"). This Schedule ("Schedule") is made pursuant to the above referenced Master Lease Agreement, between us. Each term of the Master Lease Agreement is incorporated as if set out in full in this Schedule. This Schedule constitutes a separate, assignable lease agreement which incorporates the terms of the Master Lease. You acknowledge receipt of a copy of the Master Lease, and also acknowledge that the Master Lease is in full force and effect. LESSEE: SUPPLIER OF EQUIPMENT: DANIA BEACH, CITY OF Dell-SLG 100 W BEACH BLVD One Dell Way, Building 8, Box 8747 DANIA, FL 33004 Round Rock, Texas 78682 EQUIPMENT DESCRIPTION: See attached Schedule A made a part hereof. EQUIPMENT LOCATION: 100 W BEACH BLVD DANIA, FL 33004 Term in Months: Monthly Payment: Security Deposit/Advanced 36 Plus applicable taxes $855.02 payment: $0.00 NOTE: SECURITY DEPOSIT IS DUE UPON THE ACCEPTANCE OF THIS SCHEDULE BY US,AND WILL BE BILLED BY US. We agree to lease to You and You agree to lease from Us the equipment ("Equipment") listed on the attached Schedule A. You promise to pay to Us the Lease payments shown above over the Initial Term shown above (and any renewal therof). The Initial lease Term for this Equipment Schedule commences on the date this Equipment is accepted by You or seven (7) days after shipment, whichever occurs first. This Lease may not be modified or rescinded except by a writing signed by us and you. THE UNDERSIGNED AUTHORIZES US TO PURCHASE THE EQUIPMENT. If we agree, you may sign this Schedule and transmit it to Us by facsimile ("fax") for forwarding to us for acceptance. Dell Marketing L.P.'s fax number is 800-391-3355. If you transmit this Schedule by fax, the fax version of the Schedule, as received by us, will constitute an original lease document and will be binding on you as if it were manually signed. You waive notice of our acceptance of the Schedule and waive receipt of a copy of the accepted Schedule. THIS LEASE MAY NOT BE CANCELED. . Lessee: please initial here to certit}-that_you have received and read this page. Revision: 08/20/01 Page 1 of 2 Reference : 11054148 RightFax 7/19/2002 2 : 31 PAGE 5/12 RightFax Accepted by: DANIA BEACH, CITY OF Dell Marketing, L.P. (LESSEE NAME) (LESSOR NAME) Authorized Signer: By: Print Name Print Name Title: Title: Date: Date: Revision- 08/20/01 Page 2 of 2 Reference : 11054148 RightFax 7/19/2002 2 : 31 PAGE 6/12 RightFax Dell Marketing, L.P. SCHEDULE A (EQUIPMENT) This Schedule A is executed under, and incorporates all of, the terms and conditions of that Master Lease Agreement dated , by and between the Lessee named below and Dell Marketing, L.P. ("Lessor"). Lessee: DANIA BEACH, CITY OF Customer PO#: Mailing Address: 100 W BEACH BLVD DANIA, FL 33004 Equipment Location: 100 W BEACH BLVD DANIA, FL 33004 Federal Tax ID: Phone: 954-924-3636 Fax: 954-921-2604 Supplier: Quantity Dell-SLG Equipment: 4 Dell PowerEdge Equipment: 1 Dell PowerVault Equipment: 1 16 Port Switchbox Equipment: 1 Mini Keyboard w/Trackball Equipment: 1 Monitor Equipment: Equipment: Equipment: • Equipment: Equipment Term in Months: Monthly Payment: Security DepositlAdvanced 36 Plus applicable taxes $855.02 Payment: $0.00 Purchase Option Lessor hereby grants to the above named Lessee, the option to purchase the Equipment ("Option") covered by the aforesaid Lease for: OPTION PRICE: $1.00 plus applicable sales tax, if any. Lessee may exercise such Option upon the expiration of the term of said Lease (either the original term or any modification or extension thereof mutually agreed upon in writing), provided, that, at the time, all rental and other sums payable by the Lessee over the entire term of the Lease have been paid in full and the Lessee is not otherwise in default thereof. Upon receipt of the Option Price, the Lessor will execute and deliver to the Lessee an"as is" bill of sale of said Equipment, at its then location and in its then condition, without any warranty or representation by, or recourse against, the Lessor. Financed Amount $24,725.85 i Lessee: Please initial here to certify that you have received and read this page. Revision: 11/08/01 Page 1 of 2 Reference: 11054148 .RightFax 7/19/2002 2 : 31 PACE 7/12 RightFax LESSEE: DANIA BEACH, CITY OF AUTHORIZED SIGNER: Print Name: Title: Date: Revision: 11/08/01 Page 2 of 2 Reference: 11054148 RightFax 7/19/2002 2 : 31 PAGE 8/ 12 RightFax Dell Marketing, L.P. Municipal Master Agreement: 1671633 • One Dell Way, Building 8, Box 8747 Round Rock, TX 78682 Lessee Legal Name: DANIA BEACH, CITY OF Dear Customer: This Municipal Master Lease ("Master Lease") is written in simple and easy to read language. Please read this Master Lease thoroughly and feel free to ask us any questions you may have about it.The words YOU and YOUR refer to the Lessee. The words WE, US, and OUR refer to the Lessor, Dell Marketing, L.P. MASTER AGREEMENT. The terms of this Agreement are master terms which may be incorporated into, and constitute a part of, one or more Schedules between us and you. Each Schedule will constitute a separate, assignable Lease Agreement which incorporates the terms of this Master Lease. When the term "Lease" is used in this Master Lease; it will mean each Schedule individually, together with the terms of this Master Lease. This Master Lease and each Schedule is a complete and exclusive statement of our Agreement concerning the Schedule. IMPORTANT: FOR THE SAKE OF CLARITY, PLEASE DISTINGUISH BETWEEN THE TERMS AND CONDITIONS APPLICABLE TO THE LEASING TRANSACTION (AS STATED IN THIS MASTER LEASE AND EACH SCHEDULE) AND THE TERMS AND CONDITIONS THAT GRANT WARRANTY RIGHTS IN CONNECTION WITH THE MANUFACTURE AND SALE OF THE EQUIPMENT (AS STATED IN DELL'S SERVICE AGREEMENT). THE LEASING RIGHTS AND OBLIGATIONS PROVIDED IN THIS MASTER LEASE AND EACH SCHEDULE ARE NOT AFFECTED, BY THE ORAL STATEMENTS OR REPRESENTATIONS OF THE MANUFACTURER'S SALES FORCE. TERMS/CONDITIONS: 1. LEASE AGREEMENT, PAYMENTS: We agree to lease to you and you agree to lease from us the Equipment ("Equipment") listed on any Schedule entered into by both of us. You promise to pay us the Lease payments shown on any Schedule according to the terms of the Schedule. 2. GENERAL TERMS, EFFECTIVENESS: You agree to all the terms and conditions of this Master Lease and each Schedule. The Equipment will not be used for personal, family or household purposes. If the cost or taxes vary from the estimate, you agree that we may adjust the Lease payment and/or (Purchase) Option Price accordingly upward or downward up to twenty percent (20%). You acknowledge receipt of a copy of this Master Lease and each Schedule and acknowledge that you have selected the Equipment covered by each Schedule. This Master Lease will be effective as of the Effective Date set forth below. INDIVIDUAL SCHEDULE(S) WILL COMMENCE ON THE EARLIER OF THE DATE SPECIFIED ON EACH SCHEDULE OR THE DATE YOU ACCEPT THE EQUIPMENT. UNLESS YOU NOTIFY US OF YOUR REJECTION OF THE EQUIPMENT BEFORE SUCH TIME, THE EQUIPMENT SHALL BE DEEMED ACCEPTED BY YOU SEVEN (7) BUSINESS DAYS AFTER THE DATE OF SHIPMENT, SUBJECT TO ANY RIGHT OF RETURN PROVIDED BY THE MANUFACTURER. You appoint us as your attorney-in-fact for the sole purpose of executing, delivering and recording financing statements on your behalf to show our interest in the Equipment. You agree that we are authorized without notice to you, to supply missing information or correct obvious errors in this Master Lease and any Schedule. Any security deposit you have given us may be used by us to cover any costs or losses we may suffer due to your default of any Lease. The security deposit is refundable upon expiration of the Lease, provided all 3. LATE CHARGES, OTHER CHARGES: If any payment is not made when due, you agree to pay a late charge at the rate of ten percent (10%) of such late payment and each month thereafter, a finance charge of one and one-half percent (1.5%) on any unpaid delinquent balance. You also agree to pay a documentation fee of fifty-five dollars ($55.00). 4. RENEWAL: Unless the Schedule has a $1.00 purchase option, after the original term of a Schedule expires, the Schedule will automatically renew for successive one (1) month terms unless you send us written notice that you do not want it to renew at least sixty (60) days before the end of any term. Lessee: please initial here to certify that you have received and read this page. Revision: 08/24/01 Page 1 of 5 Reference: 11054143 i i RightFax 7/19/2002 2 : 31 PAGE 9/12 RightFax 5, EQUIPMENT OWNERSHIP: Title to the leased Equipment shall not pass to you unless and until you exercise a purchase option and make the required purchase payment. You agree to keep the Equipment free from liens and encumbrances. 6. NO WARRANTIES: WE ARE LEASING THE EQUIPMENT TO YOU "AS IS", WITH NO WARRANTIES, EXPRESS OR IMPLIED, INCLUDING WARRANTIES OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE. We assign to you for the term of this Master Lease and each Schedule any transferable manufacturer or supplier warranties. Neither us, nor any of our assignees, are liable to you for any breach of those warranties; such warranties being the sole covenant and obligation of the Equipment manufacturer or supplier. You agree that upon your acceptance of the Equipment, you will have no set-offs or counter-claims against us. For the sake of clarity, please distinguish between the general obligations of the manufacturer in connection with the sale and performance of the Equipment, and the limited obligations of us, as lessor, as stated in this Master Lease and each Schedule. Claims connected to the Equipment's performance must be addressed by you directly with the Equipment manufacturer or supplier, separate and apart from the leasing relationship, and you may not withhold lease payments during the pendency of such claims. 7 MAINTENANCE; USE; INSTALLATION: You are responsible for installation and maintenance of, and for any damage to, the Equipment_ You must maintain and use the Equipment in compliance with all laws and regulations. If the Equipment malfunctions, is damaged, lost or stolen, you agree to continue to make all payments due under this Master Lease and each Schedule. 8. EQUIPMENT LOCATION: You will keep the Equipment only at the address shown on the Schedule and you will not move it from that address unless you get our prior written consent. 9. INSURANCE: Until a Schedule is paid in full and the Equipment has been returned to us, you certify that you are self-insured or you will: (a) keep the Equipment insured for its full replacement value against all types of loss, including theft, and name us or our assignees as loss payee; and, (b) provide and maintain an acceptable general public liability insurance policy. If you do not provide us with acceptable evidence of insurance, we may, but will have no obligation to, obtain insurance for you and add a charge to your monthly payment which will include the premium cost and related costs. 10. RISK OF LOSS: You shall bear the entire risk of loss with respect to any Equipment damage, destruction, loss or theft. No event of loss shall relieve you of your obligation to make rental payments under this Lease. If any item of Equipment is damaged you shall promptly notify us and, at your expense, within thirty (30) days of such damage, cause all necessary repairs to be made to return the Equipment to its previous condition. In the event of the condemnation, taking, loss, destruction, theft or damage beyond repair of such Equipment; you shall promptly notify us and on the next rental payment date pay to us an amount equal to the sum of(a) all past due rents and other past due amounts, (b) the present value of the sum of all remaining unpaid rental payments due or to come due under the Lease during the term, discounted at the interest rate implicit in the Lease, less one (1%) percent, plus (c) the amount of our booked Lease end residual value. Upon our receipt of such payment in full, we shall transfer title to the affected Equipment to you, AS IS, WHERE IS, WITHOUT ANY WARRANTY OF ANY KIND, free and clear of all liens, claims and encumbrances. 11. LIABILITY: WE ARE NOT RESPONSIBLE FOR ANY LOSSES OR INJURIES TO YOU OR ANY THIRD PARTIES CAUSED BY THE EQUIPMENT OR ITS USE. You agree to reimburse us for, and to defend us against, any claims for losses or injuries caused by the Equipment and any costs or attorney fees relative to those claims. 12. TAXES,' PERSONAL PROPERTY TAX FEES: You agree to pay us all personal property taxes assessed against the Equipment and a related administration fee or at our sole election we may opt to charge you a liquidated periodic personal property tax fee. In addition we may charge you a one time personal property tax fee prior to lease termination to offset any potential assessed or pending personal property tax exposure. You agree to reimburse us for applicable sales and/or use tax and all other taxes, fees, fines and penalties which may be imposed, levied or assessed by any federal, state or local government or agency which relate to this Master Lease and each Schedule, the Equipment or its use. Fines and penalties will be limited to any incurred as a result of your failure to act in accordance with federal, state and local tax laws and codes and/or the terms of this Lease. You agree to reimburse us for reasonable costs incurred in collecting or paying any taxes, assessments, charges, penalties or fees. Lessee: please initial here to certify that you have received and read this page. Revision: 08/24/01 Page 2 of 5 Reference: 11054148 RightFax 7/19/2002 2 : 31 PAGE 10/12 RightFax 13. ASSIGNMENT: YOU MAY NOT SELL, PLEDGE, TRANSFER, ASSIGN OR SUBLEASE THE • EQUIPMENT OR THIS MASTER LEASE OR ANY SCHEDULE. We may sell, assign or transfer all or any part of this Master Lease, any Schedule and/or the Equipment. The new owner will have the same rights that we have, but you agree you will not assert against the new owner any claims, defenses or set-offs that you may have against us or any supplier. You agree that any assignment will not materially affect your rights and benefits under this Master Agreement or any Schedule. 14. DEFAULT, DAMAGES: If you (a) fail to make any Lease payment when due or (b) become insolvent or commence bankruptcy or receivership proceedings or have such proceedings commenced against you, or (c) terminate your existence by merger, consolidation, sale of substantially all your assets, or (d) default under any other agreement you have with us or our affiliates, or (e) otherwise breach any provision of this Master Lease or any Schedule, we may accelerate the remaining balance due on this Master Lease and any Schedule and demand the immediate return of the Equipment to us. If you do not return the Equipment to us within ten (10) days of our notice of your default, you will also pay a liquidated Equipment charge equal to the anticipated Lease-end residual value of the Equipment. We may also use any remedies available to us under the Uniform Commercial Code or any other applicable law. You agree to pay our attorney's fees at twenty-five percent (25%) of the amount you owe, plus all actual costs, including all costs of any Equipment repossession. You waive any notice of our repossession or disposition of the Equipment. By repossessing any Equipment, we do not waive our right to collect the balance due on any Lease. We will not be responsible to you for any consequential or incidental damages. Our, delay or failure to enforce our rights under this Master Lease and each Schedule will not prevent us from doing so Pt a latar times 15. CHOICE OF LAW, JURISDICTION, VENUE, NON-JURY TRIAL: You and any guarantor agree that this Agreement and each Schedule will be deemed fully executed and performed in the State of Texas and will be governed by Texas law, however, in the event that we sell or assign this lease to another party, you agree the lease will be construed in accordance with the laws of the state in which such third party maintains its principal place of business. YOU AND ANY GUARANTOR ALSO EXPRESSLY AGREE TO: (a) BE SUBJECT TO THE PERSONAL JURISDICTION OF THE STATE BY WHOSE LAWS THIS LEASE IS TO BE CONSTRUED, (b) ACCEPT VENUE IN ANY FEDERAL OR STATE COURT IN SUCH . STATE, AND (c) WAIVE ANY RIGHT TO A TRIAL BY JURY. Any charge in the Agreement and each Schedule charge which exceeds the amount allowed by law shall be reduced to the maximum allowed. 16. FINANCE LEASE, AMENDMENTS: THIS MASTER AGREEMENT AND EACH SCHEDULE IS A "FINANCE AGREEMENT" UNDER THE UNIFORM COMMERCIAL CODE AS ADOPTED IN MICHIGAN ("UCC"). THIS MASTER AGREEMENT AND EACH SCHEDULE MAY NOT BE AMENDED EXCEPT BY A WRITING WHICH WE HAVE SIGNED. YOU WAIVE ANY AND ALL RIGHTS AND REMEDIES YOU MAY HAVE UNDER UCC 2A-508 THROUGH 2A-522, INCLUDING ANY RIGHT TO: (a) CANCEL THIS MASTER AGREEMENT AND EACH SCHEDULE; (b) REJECT TENDER OF THE EQUIPMENT; (c) REVOKE ACCEPTANCE OF THE EQUIPMENT; (d) RECOVER DAMAGES FOR ANY BREACH OF WARRANTY; AND (e) MAKE DEDUCTIONS OR SET-OFFS, FOR ANY REASON, FROM AMOUNTS DUE US UNDER THIS MASTER AGREEMENT AND EACH SCHEDULE. IF ANY PART OF THIS MASTER AGREEMENT AND EACH SCHEDULE IS INCONSISTENT WITH UCC 2A, THE TERMS OF THIS MASTER AGREEMENT AND EACH SCHEDULE WILL GOVERN. 17. EQUIPMENT RETURN: If you do not exercise the Lease End Purchase Option at the end of any Schedule term, as extended or renewed ("Termination Date"), you will immediately crate, insure and ship the Equipment, in good working condition, to us by means we designate, with all expenses to be prepaid by you. If you fail to return the Equipment to us as agreed, you shall pay to us the regular Lease payments each month from the Termination Date until the Equipment is returned. You will be responsible for any damage to the Equipment during shipping. j 18. PURCHASE OPTION: If you are not in default, you may at any time with sixty (60) days prior written notice purchase all (but not less than all) the Equipment for a price equal to the sum of all remaining payments to come due during the term (if any) plus the Lease End Purchase Option price indicated on Schedule A plus any applicable sales taxes and fees. You must give us sixty (60) days advance written notice of your intent to exercise this option unless the purchase is being made at the end of the term and the purchase option is$1.00. . Lessee: please initial here to certify that you have received and read this page. Revision: 08/24/01 Page 3 of 5 Reference: 11054148 RightFax 7/19/2002 2 : 31 PAGE 11/12 RightFax 19. REPRESENTATIONS & WARRANTIES: You represent and warrant to us that: (a) you are a duly organized public body corporate and politic with full power and authority to enter into and perform your obligations under this Master Lease and each Schedule; and that this obligation issued on your behalf is within the meaning of Section 103 of the Internal Revenue Code of 1986 (the "Code"), (b) all necessary actions of your governing body have been taken and all necessary procedures have been complied with to give full effect to the execution, delivery and performance of this Master Lease and each Schedule; (c) this Master Lease and each Schedule is valid, binding and enforceable according to its terms; (d) you have, in accordance with all applicable laws, budgeted and appropriated sufficient funds to make all lease payments and meet all of your other obligations for the current fiscal year and such funds have not been expended for other purpose; (e) you will do all things lawfully within your power to obtain and maintain funds for payment of the lease payments (including providing for such payments in each budget or appropriation request submitted and adopted), to have such portions of budgets or appropriation requests approved, and to exhaust all available reviews and appeals in the event such portion of any budget or appropriation request is not approved, (f) you have complied with all public bidding requirements applicable to this Master Lease and each Schedule and the acquisition of the Equipment, (g) you have provided financial information and other statements to us which are accurate and correct, (h) upon our request, you will annually provide current financial statements, budgets, proofs of appropriation and other financial information relating to your ability to continue this Master Lease and each Schedule; (i) the Equipment will be used only by you and only to perform essential governmental or proprietary functions consistent with the permissible scope of your authority, 0) you agree that you will timely file a Form 8038-GC (or, as necessary, Form 8038-G), or any revised or renumbered form with the Internal Revenue Service in accordance with Section 149(e) of the Code and the Regulations thereunder, and you agree to appoint us as your Agent for the purpose of maintaining a book entry system as required by Section 149(a) of the Code. The person executing this Master Lease and each Schedule warrants that he or she possess the requisite and necessary authority and authorization to execute same on your behalf. 20. NON-APPROPRIATION: If you (a) are not allotted funds for the next fiscal year to continue leasing the Equipment; (b) have no funds for the purchase, lease or rental of equipment performing similar functions to those performed by the Equipment;• and (c) have no funds from any other sources (collectively, a I.Non then you may terminate this Master Lease and each Schedule at the end of the then-current fiscal year, and you will not, in the sole event of Non-appropriation, be obligated to make payments'beyond the end of the then-current fiscal year, except that you will be obligated, to return the Equipment to us at your sole expense. In the event of Non-appropriation, you will furnish to us upon request an opinion of your counsel which explains the basis of the Non-appropriation, together with appropriate documentation evidencing the Non-appropriation. If, within one (1 ) year after termination for Non-appropriation, you appropriate funds to purchase, lease or rent equipment performing functions similar to those performed by the Equipment, then it will be conclusively deemed that monies have been appropriated for the continuance of the Lease and, at our sole option, this Master Lease and each Schedule may be automatically reinstated. 21. NON-SUBSTITUTION. To the extent permitted by law, you agree that if this Master Lease and each Schedule is terminated for Non-appropriation, you will not purchase, lease or rent equipment performing functions similar to those performed by the Equipment for a period of one (1) year after termination date. This Section shall remain in full force and effect notwithstanding any termination of this Master Lease and 22. SAVINGS. If any provision of this Master Lease and each Schedule is unenforceable, invalid or illegal, the remaining provisions will continue to be effective. You will not be required to pay and we will not be permitted to collect any amount in excess of the maximum amount of interest permitted by law ("Excess Interest'). If any Excess Interest is provided for or determined to have been provided for under this Master Lease and each Schedule, then : (A) this subsection shall govern and control; (B)you will not be obligated to pay any Excess Interest, (C) any Excess Interest that we may have received hereunder shall be, at our option (1) applied as a credit against the outstanding lease payment obligations (not to exceed the maximum amount permitted by law), (2) refunded to you, or (3) any combination of the foregoing; (D) any interest rate(s) provided for herein shall be automatically reduced to the maximum lawful rate allowed under applicable law, and this Master Lease and each Schedule shall be deemed to have been, and shall be, reformed and modified to reflect such reduction; and (E) you will not have any action against us for any • damages arising out of the payment or collection of any Excess Interest. Lessee: please initial here to certify that you have received and read this page. Revision: 08/24/01 Page 4 of 5 Reference: 11054148 RightFax 7/19/2002 2 : 31 PAGE 12/12 RightFax 23. PURCHASE ORDERS: You may use purchase orders in lieu of Equipment Schedules provided that ® such purchase order(s) provide that they are issued pursuant to this Master Agreement and contain at least all of the information that would be contained in an Equipment Schedule executed hereunder. Such information includes, but is not limited to, the lease term, quantity, model number, equipment description, serial number (if required), monthly lease payment, and any other monetary obligations. Any terms and conditions contained in any purchase order to be used in lieu of an Equipment Schedule shall not apply and the only terms and conditions which are applicable are those contained in the Master Agreement. Moreover, the terms and conditions of this Master Agreement are incorporated into and become a part of each purchase order to be used in lieu of an Equipment Schedule. 24. FAX EXECUTION PROVISIONS: At our election, we may accept a fax transmission of this Master Agreement and/or Schedule. If we accept a fax transmission, the fax version of this Master Agreement and/or Schedule, as received by us, shall constitute the original Master Agreement and/or Schedule and shall be binding on you as if it were manually signed. We may treat and rely upon any fax version of this Master Agreement and/or Schedule as the original. However, no fax version of the Master Lease Agreement and/or Schedule(s) shall become effective and binding against us until manually signed by us in our Michigan offices. If you elect to sign and transmit this Master Agreement and/or Schedule by fax, you waive notice of our acceptance of this Master Lease Agreement and/or Schedule and waive receipt of the accepted Master Agreement and/or Schedule. (Lessee) (Lessor) DANIA BEACH, CITY OF Dell Marketing, L.P. Authorized Siqner: Authorized Siqner: Print Name: Print Name: Title: Title: • Date: Date: iRevision: 08/24/01 Page 5 of 5 Reference: 11054148