CHAPTER 6
PURCHASING AUTHORITY
ARTICLE 5. LEASE-PURCHASING
SECTION:
§1550 LEASE-PURCHASING
At any regular meeting the City Council shall approve by resolution all lease-purchase agreements. No special notice shall be required of any meeting at which the City Council will consider a resolution approving a lease-purchase agreement.
A. "Lease-purchase agreement," as used in this Section, means an agreement in which a lessor provides equipment or facilities to the City or the funds to purchase equipment and facilities and the City leases the equipment or facilities from the lessor for regular payments over a definite term at the end of which title to the equipment or facilities is conveyed to the City. Under these arrangements the lessor may or may not issue certificates of participation or assign the lease. Lease-purchase agreement does not include a public leaseback, the approval of which is subject to Government Code section 54240 et seq., as it now reads or may be amended.
B. "Public leaseback" means any lease, sublease, contract or other agreement involving land or buildings, structures, or other facilities which are permanently attached to land, where the agreement is made directly or indirectly between the City and a public lease back corporation, if the proceeds of the agreement provided by the local agency will be used in whole or in part by such public leaseback corporation for payment of principal of or interest on its bonds, notes or other evidences of indebtedness. (Ord. 918, §1, adopted 1991)