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Home My WebLink About03-201 Resolution No. 03-201 RESOLUTION AUTHORIZING EXECUTION OF A LEASE AGREEMENT WITH WOODSTOCK HARLEY-DAVIDSON FOR TWO POLICE MOTORCYCLES BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ELGIN, ILLINOIS, that David M. Dorgan, City Manager, be and is hereby authorized and directed to execute a Lease Agreement on behalf of the City of Elgin with Woodstock Harley-Davidson for the lease of two police motorcycles, a copy of which is attached hereto and made a part hereof by reference . s/ Ed Schock Ed Schock, Mayor Presented: July 9, 2003 Adopted: July 9, 2003 Omnibus Vote : Yeas : 5 Nays : 0 Attest : s/ Dolonna Mecum Dolonna Mecum, City Clerk LEASE AGREEMENT This Agreement is made and entered into this 974 . day of iv , 2003 , by and between WOODSTOCK HARLEY- DAVIDS3N, an Illinois corporation (hereinafter "Lessor" ) and the CITY OF ELGIN, ILLINOIS, a municipal corporation (hereinafter "Lessee" ) . WHEREAS, Lessor desires to lease certain vehicles to Lessee and Lessee desires to lease from Lessor certain vehicles . NOW, THEREFORE, in consideration of the mutual promises and covenants contained herein, the sufficiency of which is mutually acknowledged, the parties hereto hereby agree as follows : 1 . EQUIPMENT AND USE: Lessee shall lease from Lessor the following described vehicles (hereinafter referred to as "Vehicles" ) . QUANTITY YEAR MODEL VIN# 1 2003 FLHP RoadKing 1HD1FHW113Y729243 1 2003 FLHP RoadKing 1HD1FHW1X3Y730505 Lessee shall use Vehicles for municipal purposes only. Lessee shall at all times use and operate Vehicles in full compliance with all laws, ordinances, insurance regulations and manufacturer' s guidelines . Lessee shall maintain Vehicles and keep Vehicles in good repair and order. Lessee shall have Vehicles serviced in strict compliance with all manufacturing guidelines including, but not limited to, maintaining proper oil and fluid levels, undertaking proper oil changes and having the Vehicle serviced at all recommended mileage intervals . Lessee shall not permit Vehicles to be used as follows : A. To be operated by an unlicensed driver. B. Use or allow Vehicles to be used illegally or contrary to the provisions of any applicable insurance policy. C. Use or allow Vehicles to be used improperly, for hire, or as a public conveyance. D. Use the Vehicles to pull any trailers . E. Expose Vehicles to any act which could result in a seizure, confiscation, forfeiture, or other involuntary transfer, regardless of whether the Vehicle was the subject of formal judicial or administrative proceedings . F. No Vehicle shall be removed from the State of Illinois for more than 30 days without the prior written consent of Lessor. 2 . TERM OF LEASE: This lease shall commence on the '271. day of �V 2003, and terminate on the 07/1. day of Zrigi,/ 2004 . // 3 . CONSIDERATION: Lessee shall pay rental payments of $ 2 , 000 ($1, 000 each times 2) by the first day of the month following execution of this lease. 4 . MAINTENANCE, REPAIR, AND MODIFICATIONS : Lessee shall not modify, paint, or in any manner change or alter Vehicles without first obtaining Lessor' s prior written consent . Should Vehicles be modified, altered, damaged, or changed in any manner, absent normal wear and tear, Lessor reserves the right to repair or return the Vehicles back to its original condition and Lessee shall be liable for all costs and expenses on the same. Lessor consents to the addition of police decals and the equipment typically used on police vehicles, (i .e. emergency strobe lights and siren) to Vehicles . Lessee acknowledges that it has received a copy of the Vehicles' manufacturer' s guidelines for maintenance and care of the same. A copy of said manufacturer' s guidelines is incorporated into this lease in their entirety and is made a part hereof as Group Exhibit "A" All repairs, modifications and/or alterations of Vehicles shall be undertaken by Lessor unless otherwise agreed in writing by Lessor. 2 5 . EXCESS MILEAGE CHARGE: Lessor and Lessee acknowledge that there shall be no mileage restrictions with regards to the use of Vehicles during the lease period. 6 . VEHICLE INSURANCE: Lessee shall maintain insurance for public liability and property damage through Lessee' s self-insurance which shall be applicable to Vehicles during Lessee' s possession of Vehicles . 7 . RISK OF LOSS : Lessee shall have the risk of loss of Vehicles once Lessee has taken possession of Vehicles . 8 . FINES, LIENS, AND ENCUMBRANCES : Lessee agrees to keep Vehicles free from all fines, liens, and encumbrances . If Lessee does not promptly pay any fine and/or remove any liens or encumbrances, Lessor may do so and declare this lease void while seeking all other damages as set forth under the terms of this agreement . Lessee shall reimburse Lessor any and all amounts incurred by Lessor in paying such fines, liens, and encumbrances, specifically excluding any and all attorney' s fess incurred therein. 9 . EARLY TERMINATION: Lessee may terminate this lease at any time if Lessee notifies Lessor at least fifteen (15) days in advance. So long as Lessee is not in default under the terms of this agreement, there shall be no penalty or early termination fee . 10 . PROHIBITION OF TRANSFER OF LESSEE' S INTEREST: Lessee shall not sublease, rent, assign, grant a security interest in, or otherwise transfer Lessee' s interest under this lease in any way that affects Lessee' s possession or use of the Vehicles or equipment or any other right in the Vehicles . Lessee shall not attempt to transfer any other right or interest under this lease or in the Vehicles . Lessor, upon request, may give prior written consent to allow any such transfer. 3 11 . SEVERABILITY: { Should any part or portion of this agreement be determined to be void or otherwise unenforceable for any reason, that portion shall be stricken and the remainder of this agreement shall survive in full force and effect . 12 . GOVERNING LAW: This agreement shall be subject to and governed by the laws of the State of Illinois . Venue for the resolution of any disputes or the enforcement of any rights arising out of or in connection with this agreement shall be in the Circuit Court of Kane County, Illinois . 13 . NO OPTION: This is a lease agreement to lease the Vehicles and this is not a purchase agreement . 14 . RETURN OF VEHICLES : Lessee shall return the Vehicles at the lease end to the Lessor at the address of the Lessor and Vehicles shall be in good operating condition. Lessee shall allow Lessor to inspect Vehicles at any reasonable time and place . If Lessor asks to inspect Vehicles, Lessee shall tell the Lessor the location of the Vehicles. The undersigned acknowledge that they have read this lease and agree to all of its terms and conditions. Furthermore, by signing this lease agreement the party signing on behalf of Lessee represents and warrants to Lessor that they have the authority to sign this lease and bind the Lessee to all of the terms and conditions of this lease . LESSOR LESSEE Date: UULXI ( 03 Date : 77/.570 NAME. David M. Dorgan 4