85-0311 Hewlett Packard Lease t5—O311
RESOLUTION
AUTHORIZING EXECUTION OF A LEASE/PURCHASE AGREEMENT WITH
THE HEWLETT-PACKARD COMPANY
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ELGIN, ILLINOIS,
that Robert O. Ma1m, Acting City Manager, be and is hereby authorized and directed to
execute a lease/purchase agreement on behalf of the City of Elgin with the
Hewlett-Packard Company for a Police Information Management System, a copy of
which is attached hereto and made a part hereof by reference.
Richard L. Verbic, Mayor
Presented: March I I, 1985
Adopted:
Vote: Yeas Nays
Recorded:
Attest:
Marie Yearman, City Clerk
LEASE WITH OPTION TO PURCHASE
HEWLETT EQUIPMENT SCHEDULE
ir_t. PACKARD
AGREEMENT NO.: - ( )
REF: MASTER AGREEMENT NO.:412 6- 56201 ( )
LESSOR: HEWLETT-PACKARD COMPANY,Its Successors era Assigns
3000 Hanover Street.20BE
Palo Alto.CA 94304
STATE OF ILLINOIS
LESSEE: ILLINOIS CRIMINAL JUSTICE AUTHORITY-ELGIN POLICE DEPARTMENT
(Ful Lepel Nome al lee...)
150 Dexter Court
(BangAddress)
Elgin Kane Illinois 60120
(ter) (county) (sem) MP)
Tom Flora
(Contsct) (Phone)
EQUIPMENT LOCATION,IF OTHER THAN ADDRESS OF LESSEE:
Street See inside Q,,
County see
The Exhibits checked below are attached and made a part of this Agreement:
HP Product Warranty E Standard HP Software Terms E Other
HP Document No. 5953-3010(50)D HP Document No. HP Document No.
Revision No. R02-84 Revision No. Revision No.
HP Tax-Exempt Rider k HP Early Buyout Schedule E Other
HP Document No. 9320-4892 HP DOCUMent No. Enclosed HP Document No.
Revision No. Rev. 1 Revision No. Revision No.
PH 9320-4894 Rev I
NON-CANCELLABLE AGREEMENT:
THIS AGREEMENT CANNOT BE CANCELLED OR TERMINATED EXCEPT AS EXPRESSLY PROVIDED HEREIN.
The following items are leased on terms specified on this schedule and this schedule a part of and subject to the terms and conditions of
Master Agreement Number 4126 -5620 1 dated January L S 19 which remains in full force and effect.
The term of this E uipment schedule for each item of Equipment covered hereon shall commence upon the date Lessor executes this Schedule and
shall expire months from the due date of the first invoice,or on the expiration of anyl applicable renewal period.As w-rApr ttLe quipment
covered by this schedule throughout the term thereof, Lessee agrees to pay Lessor,its successors or assigns the sum of$ J
which(excludes/004W applicable(sales/use)tax(es),per month beginning upon acceptance of Equipment as defined in paragraph 3 of the above
referenced Master Agreement.
PURCHASE,RENEWAL,RETURN OPTIONS
Provided that no event of default has occurred or is continuing to occur at the end of the initial non-cancellable lease term,Lessee shall have the option
to exercise the following options by providing Lessor with ninety(90)days prior written notice bf its intention:
(i) To purchase all or some of the Equipment covered by this Agreement for:(CHECK ONE)
Ten Percent Price of Equipment to be Purchased Amount
C
(10%)of the: ( Total Net Price Equipment ) X to ) ;Net
Finance
D The then Fair Market Value(FMV)of each item of Equipment to be purchased:
One dollar($1.00)for all items of Equipment;
(Available only for Tax-Exempt or with Special Approval)
plus any accrued late charges and taxes applicable to the transfer of this Equipment;
(ii) To renew all or some of the Equipment covered by this Agreement on a month-to-month basis for the:
/Net Price of Equipment to be Renewed\
1\ Total Net Price Equipment /I X (Original Monthly Payment)
(iii) To return in accordance with paragraph 4 of the above referenced Master Agreement any Equipment covered by this Agreement that is not pur-
chased or renewed.
If Lessee fails to notify Lessor of its intentions ninety(90)days prior to this Agreement's expiration,it is hereby agreed that the Lessee shall renew all of
the Equipment covered by this Agreement in accordance with option(ii)above.
During the renewal period Lessee may return all of the Equipment in accordance with paragraph 4 of the above referenced Master Agreement or pur-
chase
all of the Equipment covered by this Agreement for the price computed in accordance with option(i)above or the then Fair Market Value(FMV)
whichever is less, by providing the Lessor with ninety(90)days prior written notice.
If Lessee exercises its option to purchase the Equipment, it is sold in its then"as is"condition at its location when the option is exercised.
EARLY BUY-OUT OPTION
At its option during the initial non-cancellable lease term,Lessee may purchase all of the Equipment in its then"as is"condition at its location when the
option is exercised.The purchase price shall be determined from the above referenced Early Buy-Out Schedule.
EQUIPMENT UPGRADE/ADD-ON
At its option but subject to Lessor's prior written consent,Lessee may lease additional equipment and/or upgraded equipment for those items
covered under the Agreement on a then currently marketed Lessor upgrade program. Such additional or upgraded equipment shall be
scheduled on a new Equipment Schedule.
I
EARLY BUYOUT/UPGRADE SCHEDULE
CUSTOMER: STATE OF ILLINOIS-ILLINOIS CRIMINAL JUSTICE AUTHORITY
ELGIN POLICE DEPARTMENT
LEASE # 4126-
TYPE OF LEASE: TAX EXEMPT
MONTHLY LEASE RATE: 2.028
EFFECTIVE DATE OF RATES USED: 2/1 /85
*CUSTOMER RESPONSIBLE FOR PROPERTY TAX ( IF APPLICABLE)
*INVESTMENT TAX CREDIT TO CUSTOMER ( IF APPLICABLE)
Buyout is 84. 1% after payment 12 * Buyout is 82. 6% after payment 13
Buyout is 81 . 1% after payment 14 * Buyout is 79. 6% after payment 15
Buyout is 78. 1% after payment 16 * Buyout is 76.6% after payment 17
Buyout is 75.0% after payment 18 * Buyout is 73. 5% after payment 19
Buyout is 71 . 9% after payment 20 * Buyout is 70. 3% after payment 21
Buyout is 68. 7% after payment 22 * Buyout is 67. 1% after payment 23
Buyout is 65. 5% after payment 24 * Buyout is 63. 9% after payment 25
Buyout is 62. 3% after payment 26 * Buyout is 60. 6% after payment 27
Buyout is 59.0% after payment 28 * Buyout is 57. 3% after payment 29
Buyout is 55. 6% after payment 30 * Buyout is 53. 9% after payment 31
Buyout is 52. 2% after payment 32 * Buyout is 50.5% after payment 33
Buyout is 48. 8% after payment 34 * Buyout is 47.0% after payment 35
Buyout is 45. 3% after payment 36 * Buyout is 43.5% after payment 37
Buyout is 41 . 8% after payment 38 * Buyout is 40.0% after payment 39
Buyout is 38.2% after payment 40 * Buyout is 36. 4% after payment 41
Buyout is 34. 6% after payment 42 * Buyout is 32. 8% after payment 43
Buyout is 30.9% after payment 44 * Buyout is 29. 1% after payment 45
Buyout is 27. 2% after payment 46 * Buyout is 25. 3% after payment 47
Buyout is 23. 5% after payment 48 * Buyout is 21 . 6% after payment 49
Buyout is 19.7% after payment 50 * Buyout is 17. 7% after payment 51
Buyout is 15. 8% after payment 52 * Buyout is 13.9% after payment 53
Buyout is 11 . 9% after payment 54 * Buyout is 10. 0% after payment 55
Buyout is 8.0% after payment 56 * Buyout is 6.0% after payment 57
Buyout is 4. 0% after payment 58 * Buyout is 2.0% after payment 59
Buyout is .0% after payment 60
THE ABOVE BUYOUT PERCENTAGES ARE PREDICATED UPON THE FOLLOWING ASSUMPTIONS:
*THAT NO EVENT OF DEFAULT HAS OCCURRED AND I$ CONTINUING AT THE TIME
THE BUYOUT IS QUOTED
*THAT ALL RENTS DUE ARE CURRENT
*THE ABOVE PERCENTS APPLY TO THE AMOUNT FINANCED ONLY AND DO NOT INCLUDE
APPLICABLE TAXES ( IF ANY)
HEWLETT-PACKARD COMPANY STATE OF ILLINOIS-IL CRIMINAL
_ ,JUSTICE AUTHORITY-ELGIN POLICE DEPT
BY: �(BY:
TITLE: \JtITLE:
COMPUTER PRODUCTS
WARRANTY& INSTALLATION
11[ ]; HEWLETT
PATERMS
CKAFiD
1. ALL COMPUTER PRODUCTS For product warranties requiring return to HP,
products moist be returned to a service
Hewlett-Packard (HP) products are warranted facility designated by HP. Buyer shall prepay
against defects in materials and workmanship shipping charges (and shall pay all duties and
for a period of ninety (90) days. If HP taxes) for products returned to HP for
receives notice of such defects during the warranty service. Except for products
warranty period, HP shall, at its option, returned to Buyer from another country, HP
either repair or replace hardware products shall pay for return of products to Buyer.
which prove to be defective.
Installation and warranty services outside the
HP software and firmware products which are country of initial purchase are included in
designated by HF for use with a hardware HP's productprice only if Buyer pays HP
product, when properly installed on that internationaprices. Service outside the
hardware product, are warranted not to fail country of initial purchase is subject to the
to execute _their programming instructions due conditions regarding HP service travel areas
to defects in materials and workmanship for a and initial installation point described
period of ninety (90) days. If HP receives above.
notice of such defects during the warranty
period, HP shall repair or replace software 3. •LIMITATION OF WARRANTY
media and firmware which do not execute their
Trogramming instructions due to such defects. the foregoing warranty shall not apply to
HP does not warrant that the operation of the defects resulting from:
software, firmware or hardware shall be
uninterrupted or error free. 1. Improper or inadequate maintenance by
Buyer;
Products that include HP installation are
warranted from the installation date, all 2. Buyer-supplied software or interfacing;
others from the delivery date. If Buyer
schedules or delays installation more than 30 3. Unauthorized modification or misuse;
days after delivery, then warranty periods
starts on the 31st day from date of delivery. 4. Operation outside of HP environmental
specifications for the product; or
If HP is unable, within a reasonable time, to
repair or replace any product to a condition 5. Improper site-preparation and maintenance.
as warranted, Buyer shall be entitled to a
refund of the purchase price upon return of THE WARRANTY SET FORTH ABOVE IS EXCLUSIVE AND
the product to HP. NO OTHER VAR ANTY, WHETHER WRITTEN OR ORAL, IS
EXPRESSED R IMPLIED. HP SPECIFICALLY
2. PLACE OF PERFORMANCE DISCLAIMS HE IMPLIED WARRANTIES OF
MERCHANTABILXTY AND FITNESS FOR A PARTICULAR
-Within HP service travel areas, warranty and PURPOSE.
installation services for products installed
by HP and certain other products designated by 4. LIMITATIONS OF REMEDIES AND LIABILITY
HP will be performed at Buyer's facility at no
charge. For other products warranty and THE REMEDIES PROVIDED HEREIN ARE BUYER'S SOLE
installation services will require return to AND EXCLUSIV$ REMEDIES. IN NO EVENT SHALL HF
HP. Outside HP service travel areas, warranty BE LIABLE FOR DIRECT, INDIRECT, SPECIAL,
and installation services will be performed at INCIDENTAL OA CONSEQUENTIAL DAMAGES (INCLUDING
Buyer's facility only upon HP's prior LOSS OF PROF',ITS) WHETHER BASED ON CONTRACT,
agreement and Buyer shall pay HP's round trip TORT OR ANY OTHER LEGAL THEORY.
travel expenses and applicable additional
expenses for such services. The foregoing limitation of liability shall
• not apply in the event that any HP product
On-site warranty services are provided only at sold hereunder Is determined my a court of
the initial installation point. If products competent jurisdiction to be defective and to
eligible for on-site warranty and installation have directly caused bodily injury, death or
services are moved from initial installation property damage; provided, that in no event
point, the warranty will remain in effect only shall HP's liability for property damage
if Buyer purchases additional inspection or exceed the greater of $50,000 or the purchase
Installation services at the new site. price of the 'specific product that caused such
damage.
Revision No. R02-84
5953-3010(50)D
WARRANTY a INSTALLATION CLASSIFICATION CODES
HP Computer Products will receive warranty and installation services as defined by the two digit
classification warranty codes listed below. Warranty classification codes for each product are specified
on HF's Product Subject to Discount. Exhibit A-1 (form number 5953*3017). Warranty and installation
service levels are upgraded for Terminals, Peripherals, Accessories and Interfaces to the system level
service. when (1) These Products are purchased with systems on a coordinated delivery and included in the
system configuration, or (2) When products are purchased as an add-on tq an existing HP System covered by a
Support Service Agreement which is expanded to include the add-on products.
WHEN 12 MONTHS SUPPORT SERVICES ARE PURCHASED CONCURRENT WITH THE PRODUCT, THESE SERVICES WILL BE PROVIDED
AT NO ADDITIONAL CHARGE DURING THE WARRANTY PERIOD.
FOR HARDWARE PRODUCTS, ANY INCREASED SUPPORT SERVICES COVERAGE PURCHASED WILL ALSO APPLY DURING THE
WARRANTY PERIOD.
2A WARRANTY d INSTALLATION SERVICES
90-DAY ON-SITE Warranty Service. Services provided are same as that provided in HP's "Standard System
Maintenance Service". Provides for 8:00 a.m. to 9:00 p.m. on-site coverage Monday through Friday exclusive
of HF Holidays, within HP defined Service Travel Areas. See "Response Timetable" below for service
response times. This service includes HP's standard site planning site survey support and installation.
29 WARRANTY i INSTALLATION SERVICES
90-DAY ON-SITE Warranty Service. Services provided are same as that provided in HP's "Standard System
Maintenance Service". Provides for 8:00 a.m. to 9:00 p.m. on-site coverage Monday through Friday exclusive
of HP Holidays within HP defined Service Travel Areas. See 'Response Timetable" below for service response
times. This service includes HP's standard installation.
2C WARRANTY SERVItES
90-DAY ON-SITE Warranty Service. Services provided are same as that provided in HP's "Standard System
Maintenance Service". Provides for 8:00 a.m. to 9:00 p.m. on-site coverage Monday through Friday
exclusive of HP Holidays within HP defined Service Travel Areas. See "Response Timetable" below for
service response times. This service does not include installation.
2D WARRANTY SERVICES
90-DAY ON-SITE Warranty Service. Services provided are same as that provided in HP's "On-Site Maintenance
Service". Provides for 8:00 a.m. to 5:00 p.m. on-site coverage Monday through Friday exclusive of HF
Holidays within HP defined Service Travel Areas. See "Response Timetable" below for service response
times. This service does not include installation.
3A WARRANTY SERVICES
90-DAY Parts and Labor: Travel not included. Buyer contact HP office from which product was purchased for
return address. Shipping freight to HP is at Buyer's expense.
HP may repair on-site at the option of Buyer, Buyer is responsible for travel charges when on-site repair
is requested. Response time for on-site repair is three (3) working days within HP defined Service Travel
Area.
3B WARRANTY SERVICES
90-DAY Return to BP Warranty Service. 90-DAY Parts and Labor, ON-SITE Warranty Service is not available.
Buyer contact HP office from which product was purchased for return address. Shipping freight to HP is at
Buyer's expense.
3C WARRANTY SERVICES
90-DAY Return to HP Warranty Service. Warranty service is limited to replacement of defective software
media or materials only.
4A WARRANTY SERVICES
12 Month Return to HP Warranty. Return freight is at buyer's expense. Product must be returned to an
authorized Hewlett-Packard Service Repair Center.
RESPONSE TIME TABLE
tone No. 1-3 4-5 6 Other
Distance, Miles 0-100 101-200 201-300 -
distance, Km 0-160 161-320 321-480 -
"Standard System Maintenance Service" 4 hrs 8 hrs 12 hrs Quote
"On-Site Product Maintenance Service" Next Within 2 Within 3 Quote
Coverage Day Coverage Day Coverage Days
SPECIAL NOTES:
HP systems operating in sites that become defective due to conditions listed under "Limitations of
Warranty" will not receive normal warranty. Any repairs performed by HP which are caused by the listed
conditions will be charged to the Buyer.
Due to variations in local electrical codes, many HP computer products are shipped without power cables and
connectors. These products must be connected to power by Buyer's electrical contractor in compliance with
local regulations.
Repairs made on products covered by HP warranty will be accomplished at, no additional charge, exclusive of
shipping damage. For products not covered by MP warranty, repairs will be made at Buyer's expense.
INSTALLATION SERVICES
1. SITE PLANNING (WRNTY. A INSTL. CODE 2A ONLY) 1. System and Selected Component Installation
When the Buyer's purchase order is received by HP will begin the installation of the
HP, a representative of HP will contact the Buyer's HP Computer Systems or Selected
Buyer to discuss site preparation Component at a mutually agreed upon time
requirements. This will be accomplished following notification by Buyer that the
either during an on-site visit or by phone and shipment haS been received and delivered to
will encompass technical site planning, the site, and that the site conforms to HP
preparation and installation activities specifications.
relative to the Buyer's HP computer system.
Buyer will also receive sate planning HP Computer Systems, including all
documentation which characterizes the accessories, interfaces, peripherals and
physical, electrical and environmental terminals ordered with a System on a
requirements pertinent to the use of Buyer's coordinated delivery and included on HP's
HP computer products. Site Planning will Configuration Guide and located at the
cover such subjects as the computer room System Site, will be Installed by MP at no
layout, electrical power, air conditioning and additional charge.
all other points outlined in the HP "Site
Preparation Manual" for the Buyer's system. During System installation, HP .will perform
Further consultation may be obtained from HP, . the following tasks:
if necessary.
a. Supervise uncrating and positioning and
2. SITE ENVIRONMENT SURVEY (WRNTY. i INSTL. CODE Tacking of the HP products.
2A ONLY)
All installation sites must be a b. Inventory the shipment against the
Prior to the scheduled delivery pofoBuyer's HP packing, list.
system, a representative of HP will verify c. Interconnect the products.
that the site has been prepared in conformance
with the "Site Preparation Manual" and meets d. Check the primary power line voltage.
ell electrical and environmental requirements.
A survey may take place either on-site or may e. Connect' line power to products shipped
be verified by telephone. with power cable and connector.
3. INSTALLATION SERVICES f. Execute turn-on procedures.
Standard installation services consisting of g. Perform electronic and mechanical
site planning, site environmental survey, and adjustments.
installation are available for all warranty
code 2A HP Computer Systems and associated h. Perform any repairs which may be
computer products. The cost for these services required to make the products
are included in the purchase price of these operational.
computer products. These services can also be
obtained from HP, on an additional charge i. Execute standard HP diagnostic or
basis, for products which do not include these verification program and tests.
services in the purchase price of the product.
Installation services are only included for j. Instruct operator on the daily care and
warranty code 28 products. proper use of hardware products.
2. Software Installation including customer and HP responsibilities,
refer to the individual product
Standard software installation services descriptions.
consist of loading the Fundamental
Operating Software (FOS) on the computer 4. BUYER'S INSTALLATION RESPONSIBILITIES
system and executing applicable
verification tests. Fundamental Operating The Buyer is responsible for performing the
Software includes the operating system and following tasks:
utilities included with the operating
system software or the purchased software 'a. Receive, uncrate, rack or move the
product. products
HP3000 Software includes installation when 'b. Rerack or relocate the products
purchased with the system on a coordinated
delivery or when purchased as add-on 'c. Train programmers
software to a system which is supported by
a "Customer Support Services' Agreement" 'd. Reconfigure or regenerate HP software
(CSS) for all it's installed software systems
Installation services call be ordered at
additional charge for all other HP licensed 'e. Debug application programs
software products which do not include
installation service. 'f. Connect line power to products shipped
without power cable and connector
Software product purchase of second and
subsequent orders (indicated by purchase of 'g. Install products not supplied by HP
the "License to Reproduce", "R" or "f7"
suffix on a product number) do not include h. Fabricate or pull cables
installation.
The Buyer is responsible for installation ' These tasks may be performed by the local HP
and operation of any software or equipment Support Persionnel, HF resources permitting, for
not supplied by HP. For additional an additional charge.
information on installation services,
•
AMENDMENT TO
TAX EXEMPT ORGANIZATION RIDER
The parties agree to amend the Tax Exempt Organizational Rider to
Lease 4126- as follows (each amendment is numbered to
correspond to the respective rider provision) :
1 . Availability of Funds , Non-Appropriation of Funds:
Paragraph 3 is deleted and the following substituted:
Lessee agrees that it will not cancel this agreement
under the provisions of this paragraph if funds are
appropriated for this agreement. In the event of a
general reduction in appropriations lessee agrees not
to give priority to funding any equipment performing
essentially the same application which was acquired
after the equipment covered by this agreeMent. Lessee
agrees that it will not institute a non-appropriation
of funds and will not use these provisions for the
purpose of replacing Lessor's equipment with
functionally similar equipment provided by others.
2. Income Tax Indemnity. This section is deleted.
All other terms and conditions remain the same.
STATE Of ILLINOIS
ILLINOI CRIMINAL JUSTICE
HEWLETT PACKARD COMPANY INFORMATION AUTHORITY
BY )(BY
K.r llopke
TITLE Sales Contracts Manager (TITLE
DATE ybATE
ILLINOIS DEPARTMENT OF CENTRAL
MANAGEMENT SERVICES
BY
TITLE
DATE
TAX EXEMPT ORGANIZATIONS
CAIHEWLETT
� LEASE AGREEMENT RIDER
P� PACKARD
AGREEMENT NUMBER: 4156201
REF: MASTER AGREEMENT NUMBER: 41
The provisions of the aforementioned Agreement notwithstanding; Lessor and Lessee mutually agree that:
1. AVAILABIUTY OF FUNDS, NONAPPROPRIATION OF under Section 103(a)(1)of the Internal Revenue Code of 1954
FUNDS as amended.Should the United States Government disallow,
Lessee reasonably believes that funds can be obtained suffi eliminate,reduce,recapture,or disqualify,in whole or in part,
tient to pay all Rent due during the Agreement Term and any benefits of such exemption as a result of any acts or omis-
hereby covenants that it will do all things lawfully within its slops by lessee or as a result of the inapplicability of such sec-
power to obtain, maintain and properly request and pursue tion at thetime this Agreement is entered into because of the
funds from which the Rent may be made, including making status of Lessee, Lessee shall then indemnify Lessor by pay-
provisions for such payments to the extent necessary in each ment,at Lessor's election,of either:
budget submitted for the purpose of obtaining funding, using
its bona fide best efforts to have such portion of the budget ap- (a) Supplemental Rent to Lessor during the remaining
proved and exhausting all available administrative reviews and period of the Agreement Term in an amount necessary to
appeals in the event such portion of the budget is not ap- permit Lessor to receive(on an after tax basis over the full
proved.It is Lessee's intent to pay Rent for the full Agreement term of the Agreement)the same rate of return that Lessor
Term if funds are legally available therefor and in that regard would have realized had there not been a loss or
Lessee represents that the use of the Equipment is essential to disallowance of such benefits, together with the amount of
its proper,efficient and economic operation. any interest or penalty which may be assessed by the
govemrnental authority with respect to such loss or
In the event no funds or insufficient funds are appropriated and disallowance;or
budgeted or are otherwise legally available by any means
whatsoever in any fiscal period for Rent due under this Agree- (b) A lump sum payable upon demand to Lessor which shall
ment,then the Lessee will immediately notify the Lessor or its be equal to the amount necessary to permit Lessor to re-
assigns of such occurrence and this Agreement shall ter- ceive (On an after tax basis over the full term of the Agree-
minate on the last day of the fiscal period for which appropria- ment)the same rate of return that Lessor would have rea-
tions were received without penalty or expense to Lessee of lized had there not been a loss or disallowance of such
any kind whatsoever,except as to the portions of Rent herein benefit$together with the amount of any interest or penalty
agreed upon for which funds shall have been appropriated and which May be assessed by the governmental authority with
budgeted or otherwise available. In the event of such termina- respect to such loss or disallowance.
tion,Lessee agrees to peaceably surrender possession of the
Equipment to Lessor or its assigns on the date of such ter-
mination, packed for shipment in accordance with manufac-
turer specifications and freight prepaid and insured to any 3. AUTHORITY AND AUTHORIZATION
location in the continental United States designated by Lessor. Lessee represents,covenants and warrants that:(i)Lessee is
Lessor will have all legal and equitable rights and remedies to a fully constituted political subdivision or agency of the state or
take possession of the Equipment. local governmental unit where the Equipment is located;(ii)the
execution, delivery and performance by the Lessee of this
Notwithstanding the foregoing,Lessee agrees(i)that it will not Agreement have been duly authorized by all necessary action
cancel this Agreement under the provisions of this paragraph if on the pall of the Lessee;and(iii)this Agreement constitutes a
any funds are appropriated to it, or by it, for the acquisition, legal,valid and binding obligation of the Lessee enforceable in
retention or operation of the Equipment or other Equipment accordanbe with its terms. Lessee agrees that(i)it will do or
performing functions similar to the Equipment for the fiscal cause to be done all things necessary to preserve and keep the
period in which such termination occurs or the next suc- Agreement in full force and effect,(ii)it has compiled with all
deeding fiscal period thereafter and(ii)that it will not during the bidding requirements where necessary and by due notification
Agreement Term give priority in the application of funds to any presented this Agreement for approval and adoption as a valid
other functionally similar Equipment. This paragraph will not obligation',on its part,and(iii)it has sufficient appropriations or
be construed so as to permit Lessee to terminate this Agree- other funds available to pay all amounts due hereunder for the
ment in order to acquire any other Equipment or to allocate current fiscal period.
funds directly or indirectly to perform essentially the same ap-
plication for which the Equipment is intended.
4. INTEREST RECOGNITION
2. INCOME TAX INDEMNITY Lessee and Lessor recognize and agree that a portion of the
This Agreement has been entered into on the basis that the rent hereynder is interest based on the total equipment cost as
Lessor or any Assignee of the Lessor shall claim that the In- shown on the equipment schedule and calculated at the rate
terest paid hereunder is exempt from Federal income tax of eight percent( 8 %)per annum.
P/N 9320-4892 Re/.I
•
EQUIPMENT:
hem Item Extended
List hem Net Net
Oty. Model Description Price <Discount> Price Price
SHIP TO:
ELGIN POLICE DEPARTMENT
150 DEXTER COURT
ELGIN, IL 60120
ATTN: TOM FLORA
1 2334A HP MULTIMUX $1 , 950 . 00 12% $1 , 716.00 $1 , 716.00
4 OPT 122 4 PORT DIRECT I/F $750.00 12% $660.00 $2, 640.00
1 5061-0083 RACK/HANDLE KIT $80. 00 0% $80. 00 $80. 00
1 2933A 200 CPS PRINTER $2,795. 00 12% $2, 459. 60 $2, 459. 60
1 92214P SUPPORT STAND $275.00 0% $275.00 $275.00
1 2563A DOT MATRIX PRINTER $5,780. 00 12% $5,086. 40 $5,086. 40
1 OPT 049 RS-232 I/F SUBSYSTEM $100. 00 12% $88.00 $88.00
1 OPT 110 SOUND ABATEMENT ATTACH $165. 00 12% $145.20 $145.20
1 OPT 112 PRINTER STAND $295 . 00 12% $259. 60 $259. 60
1 OPT 115 PAPER STACKER $365.00 12% $321 .20 $321 .20
8 2628A MULTIFUNCTION TERMINAL $3, 195.00 12% $2, 811 . 60 $22, 492.80
8 OPT 062 REPLACES W/AMBER CRT $100. 00 12% $88. 00 $704. 00
8 OPT 401 TILT & SWIVEL PEDESTAL $50. 00 12% $44. 00 $352.00
3 2933A 200 CPS PRINTER $2,795. 00 12% $2, 459. 60 $7,378. 80
3 92214P SUPPORT STAND $245.00 0% $245.00 $735. 00
•
EQUIPMENT:
Item Rem Extended
Ust Item Net Net
Qty. Model Description Price <Discount> Price Price
SHIP TO:
IL CRIMINAL JUSTICE AUTHORITY
120 S. RIVERSIDE PLAZA 10TH FLOOR
CHICAGO, IL 60606
ATTN: ED MAIER
1 2334A HP MULTIMUX $1 ,950.00 12% $1 , 716.00 $1 , 716.00
4 OPT 122 4 PORT DIRECT I/F $750.00 12% $660.00 $2,640.00
Net Priceare $49 ,089. 60
Net Price-Software
Total Net Price-Equipment $49 ,089. 60
Other Costs
Less Down Payment
Amount to Finance $49,089. 60
By execution hereof,the signer hereby certifies that he has read this
Agreement anOhe attached Exhibits and that he is duly authorized to
execute this Agrement on behalf of Lessee.
tate of Illinois
LESSOR HEWLETT-PACKARD COMPANY LESSEE: IL Criminal Justice Authority-Elgin
Police Dept.
BY: )(BY:
Authorized Signature Authorized Signature
NAME: R.F. Dopke )(NAME:
T : Sales Contracts Manager
DATE: ATE: