Vote — approved

Thomas Galvin	yes
Kate Brophy McGee	yes
Mark Stewart	yes
Debbie Lesko	yes
Steve Gallardo	yes

Ayes: Thomas Galvin, Kate Brophy McGee, Mark Stewart, Debbie Lesko, Steve Gallardo

Item Text

88. LEASE DOCUMENTS FOR FINANCING OF COUNTY EQUIPMENT AND THE DECLARATION OF OFFICIAL INTENT Authorize the Chairman, or designee, to approve and execute all lease financing documents (to be periodically submitted for Board signature by the Office of Budget and Finance), including the “Declaration of Official Intent,” in an amount not to exceed $43,914,476 (principal), as required for reimbursement of expenditures related to the acquisition of County equipment such as vehicles, radios, computers, and other equipment. Authorize appropriate departmental representatives to co-sign lease documents pertaining to their respective departments. All lease financing documents are subject to County Attorney approval. The Office of Budget and Finance will facilitate the reimbursement from lease financing during fiscal year 2026. Expenditures associated with equipment purchases will be bundled for lease financing at which time the interest rate(s) will be bid and repayment terms and amounts for principal and interest will be known. Lease(s) maturity will be thirteen months. Lease financing will be facilitated by the County’s master personal property lease contract as approved by the Board of Supervisors on December 1, 2020. There is a need for the County to enter lease financing for equipment purchases. Purchased equipment will be financed by the master personal property lease contract for County capital purchases. The Declaration of Official Intent will satisfy the 60-day reimbursement period for reimbursement of original expenditures, as required by Treasury Regulation §1.150-2(d)(1) (1993). Capital outlay expenditures from lease financing proceeds and the corresponding debt service payments for principal and interest are not subject to the County Expenditure Limitation Report (ELR). Lease financing will extend the debt service payments into the subsequent fiscal year (FY 2026-27). The benefit to the County for entering into lease financing is that both the capital outlay expenditures from the lease proceeds and the debt payments are exempt from the ELR. (C-18-25-103-X-00)

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