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HomeMy WebLinkAboutResolution - 2010-R0556 - Notice Of Acknowledgment Of Assignment And Sales With Banc Of America - 11/04/2010Resolution No. 2010-RO556 November 4, 2010 Item No. 5.1 RESOLUTION BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF LUBBOCK: THAT the Mayor of the City of Lubbock is hereby authorized and directed to execute for and on behalf of the City of Lubbock a Notice and Acknowledgment of Assignment dated as of November 4, 2010, between Banc of America Public Capital Corp ("Assignor") and Wells Fargo Equipment Finance, Inc., and all related documents. Said Notice and Acknowledgment of Assignment and Sale is attached hereto and incorporated in this resolution as if fully set forth herein and shall be included in the minutes of the City Council. Passed by the City Council on _ November 4, 2010 ATTEST: Rebec a Garza. City Secretary APPROVED AS TO CONTENT: Andy Burcham, Chief Financial Officer APPROVED AS TO FO TOM MARTIN, MAYOR gs:RES.Notice&Acknowledgement-Wells Fargo Equip Finance October 22, 2010 Resolution No. 2010-RO556 NOTICE AND ACKNOWLEDGMENT OF ASSIGNMENT Dated November 4th , 2010 Tom Martin, Mayor Andy Burcham, Chief Financial Officer City of Lubbock Texas P.O. Box 2000 Lubbock, TX 79457 Dear Mr. Martin and Mr. Burcham: Banc of America Public Capital Corp ("Assignor") hereby gives notice that it has assigned and sold to Wells Fargo Equipment Finance, Inc. ("Assignee") all of Assignor's right, title and interest in, to and under Appendix No. 8872-223, Part 1 Equipment List in the amount of $3,659,070.85 and Part 2 Payment Schedule (the "Lease") to the Master Lease Agreement ("Agreement") dated as of February 12, 2009, by and between Assignor and City of Lubbock, Texas ("Lessee"). For purposes of this Notice and Acknowledgment of Assignment (the "Acknowledgment"), "Lease" means collectively the Lease identified above, together with all exhibits, schedules, addenda and attachments related thereto, and all certifications and other documents delivered in connection therewith. The term "Lease" specifically excludes all other Equipment List and Payment Schedules entered into under the Agreement and rental payments other than with respect to the Lease identified above. Each capitalized term used but not defined herein has the meaning set forth in the Agreement described above. 1. From and after the date of this Acknowledgment, all payments of rent and other sums now or hereafter becoming due pursuant to the Lease or with respect to the equipment described on the Lease (the "Equipment") shall be paid to Assignor as fiscal agent for Assignee or, upon receipt of notice from Assignee of the termination of such fiscal agency, to Assignee as directed in Assignee's invoices. 2. Lessee hereby agrees that: (i) Assignee shall have all the rights of Lessor under the Lease and all related documents, including, but not limited to, the rights to issue or receive all notices and reports, to give all consents or agreements to modifications thereto, to receive title to the Equipment in accordance with the terms of the Lease, to declare a default and to exercise all remedies thereunder; and (ii) except as provided in Section IV of the Lease, the obligations of Lessee to make rental payments and to perform and observe the other covenants and agreements contained in the Lease shall be absolute and unconditional in all events without abatement, diminution, deduction, set-off or defense. 3. Lessee agrees that, as of the date of this Acknowledgment, the following information about the Lease is true, accurate and complete: Number of Rental Payments remaining: Ten (10) Amount of each Rental Payment: $395,586.42 Total Amount of Rents Remaining: $3,955,864.23 Frequency of Rental Payments: Semi-annual Next Rental Payment Due: February 15, 2011 4. The Lease remains in full force and effect, has not been amended and no nonappropriation or event of default (or event which with the passage of time or the giving of notice or both would constitute a default) has occurred thereunder. 5. Lessee hereby agrees to use a book entry system to register Assignee (and any subsequent assignee) as the owner of the Lease so as to meet the applicable requirements of Section 149(a) of the Internal Revenue Code. 6. Notwithstanding anything in the Lease to the contrary (including, without limitation, Section 19 thereof), Lessee acknowledges and agrees that Assignee shall be permitted to retain copies of the Records as it deems necessary in order to comply with its customary document and information retention policies and procedures; provided that the confidentiality obligations set forth in the Lease shall continue with respect to any such copies. 7. Any inquiries of Lessee related to the Lease after the date of this Acknowledgment should be remitted to Assignee at the following address (or such other address as provided to Lessee in writing from time to time by Assignee): Mr. Peter Naas Wells Fargo Equipment Finance, Inc. 733 Marquette Ave. Suite 700 Minneapolis, MN 55402-2315 peter.j.naas@wellsfargo.com [THE REMAINDER OF THE PAGE HAS BEEN INTENTIONALLY LEFT BLANK. SIGNATURE PAGE FOLLOWS.] ACKNOWLEDGED AND AGREED: LESSEE: City of Lubbock, Texas By: Name: Tom Martin Title: Mayor APPROVED AS TO CONTENT: Name: Andy Burcham Title: Chief Financial Officer ASSIGNOR: Banc of America Publi Capital Corp By: Nam . janet E. Ganiey Vice President Title: I ]�SZSIRR: ATTEST: City of Lubbock, Texas By: Name: Rebecca Garza Title: City Secretary NAe: Mitchell Satterwhite Title: Assistant City Attorney ASSIGNEE: Wells Fargo Equipment Finance, Inc. '� i i� i ;- r