04-20-04 Item 14Z ! 1, d it l
To: Honorable Mayor, Vice Mayor Date: April 20, 2004
and City Commission
a
From: Maria V. Davis Subject: Agenda Item #—N �
Cary Manager -- Commission Meeting 04/20/04
Re: Multi Purpose Phase II Copier
REQUEST
A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF
SOUTH MIAMI, FLORIDA, AUTHORIZING THE CITY MANAGER TO ENTER INTO
A, 36 MONTH LEASE AGREEMENT WITH BARLOP BUSINESS SYSTEMS AND ITS
LEASING COMPANY FLEET CAPITAL LEASING, FOR A MULTIFUNCTIONAL
COPIER FOR THE MULTIPURPOSE CENTER PHASE II IN AN AMOUNT OF
$3,300.00 A YEAR FOR THE NEXT THREE YEARS; CHARGING THE
DISBURSEMENTS TO ACCOUNT NUMBER 001 - 2020 - 519.4710 TITLED
"PHOTOCOPY MACHINE "; AND PROVIDING FOR AN EFFECTIVE DATE.
BACKGROUND AND ANALYSIS
The newly opened Multi Purpose Center is currently in need of a copier, printer, scanner and a fax
machine. These have become essential tools in running an effective office on site.
It is difficult to predict the first year's volume for this newly built office due to lack of history. However,
we have been able to estimate the monthly copy needs as: black and white (5,000). Volume printing will
continue utilizing City Hall's large.copier located outside of Finance.
In accordance-with the City's competitive bidding procedures, quotes were requested from other vendors
for comparable equipment. Barlop Business Systems, an authorized dealer for Savin, provided the
second lowest quote. The contract attached to the lowest bid was unacceptable due to its one- sided,
inflexible terms and conditions. Barlop Business Systems, our current vendor for citywide copiers, has
demonstrated their professionalism and excellent response time during the past year.
The attached three -year lease contract will include a new digital copier connected to the network to be
used as a printer, copier, fax and scanner. Among other features, the copier will be able to 'keep track of
usage by employees by the issuance of a security code to each user. A full maintenance contract is also
included in the cost, covering all repairs and toner. All black and white copy overages in excess of 5,000
a month will be billed at $.01 a copy.
Funds for the first year are included in fiscal year 2003/2004's budget, under account 001- 2020- 519.47-
10, Photocopy machine. The current Balance on the account for 2003/2004 before this expense is
$3,960.00.
RECOMMENDATION
Approval is recommended.
1 RESOLUTION NO.
2
3 A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF
4 THE CITY OF SOUTH MIAMI, FLORIDA, AUTHORIZING THE
5 CITY MANAGER TO ENTER INTO A 36 MONTH LEASE
6 AGREEMENT WITH BARLOP BUSINESS SYSTEMS AND ITS
7 LEASING COMPANY FLEET CAPITAL LEASING, FOR A
8 MULTIFUNCTIONAL COPIER, FOR THE MULTIPURPOSE
9 CENTER PHASE II IN AN AMOUNT OF $3,300.00 A YEAR FOR
10 THE NEXT THREE YEARS; CHARGING THE DISBURSEMENTS
11 TO ACCOUNT NUMBER 001 - 2020 - 519.4710 TITLED
12 "PHOTOCOPY MACHINE "; AND PROVIDING FOR AN
13 EFFECTIVE DATE.
14
15 WHEREAS, the Multipurpose Center phase II is a fully functional office in need
16 of a fax, copier, printer, and scanner; and
17
18 WHEREAS, quotes were requested in accordance with city competitive bidding
19 procedures; and
20
21 WHEREAS, Barlop Business Systems is an authorized dealer and distributor of
22 Savin copiers; and
23
24 WHEREAS, Barlop Business Systems' lease contract will provide emergency
25 maintenance calls, regular maintenance and all supplies except staples and paper during
26 the term of this lease; and
27
28
29 NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND CITY
30 COMMISSION OF THE CITY OF SOUTH MIAMI, FLORIDA:
31
32
33 Section 1. That the City Manager is hereby authorized to:
34 A. Sign a 3 year lease agreement with Barlop Business Systems and the leasing
35 company Fleet Capital Leasing,
36 B. Disburse an annual amount of $2,700.00 for the next three years to the leasing
37 Company, Fleet Capital Leasing for the equipment,
38 C. To disburse an annual amount of $ 600.00 for the next three years to Barlop Business
39 Systems, for maintenance.
40
41 All future budgets will reflect the annual lease amounts.
42
43
44 Section 2. That this budgeted disbursement be charged to Account 2020-
45 519.4710 (Photocopy machine).
46
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
Section 3. This resolution shall take effect immediately upon approval.
PASSED AND ADOPTED this 20th day of April 2004.
ATTEST:
CITY CLERK
READ AND APPROVED AS TO FORM:
CITY ATTORNEY
APPROVED:
MAYOR
COMMISSION VOTE:
Mayor Russell:
Vice Mayor Palmer:
Commissioner Wiscombe:
Commissioner Birts- Cooper:
Commissioner Sherar:
JAMy Documents \resolutions \RESOLUTION COPIER Blk wht MPC 4.20.04.doc
Barlop
8376 N.W. 68 Street Phone: (305) 594 -0470 Email: jlopez(a,)barlop.eom
Miami, 11"1 33166 T ax: X05) 591 -2189
March 23, 2004
Ms. Kathy Vazquez
Purchasing Agent
City of South Miami
6130 Sunset Drive
Miami, Fl. 33143
Dear Ms. Kathy Vazquez,
Thank you for the opportunity to present this proposal for a new Savin Imaging System.
In the following sections of this document, you will find a review of the critical
requirements we have discussed, along with details on the proposed solution we are
offering.
At Barlop Business Systems, we are very proud of our reputation for excellent customer
service and support, as well as our industry- leading systems that are helping clients
achieve new levels of productivity in the workplace. This proposal is just one indication
of our commitment to helping each client identify their specific needs, then fill those
requirements with the right systems and services to make their office function better.
Because a digital imaging system represents a significant investment, it is important to
know that you are making the right choice of both equipment and vendor. We are proud
to offer office solutions from Gestetner, one of the oldest and most respected names in
document technology.
I will be in touch with you shortly to review the contents of this proposal. In the
meantime, do not hesitate to contact me at (305) 594 -0470 if you have any immediate
questions.
Once again thank you for the opportunity to present this offer to you. I look forward to
settling any last questions and establishing a long - lasting business relationship between
your company and our dealership.
Sierely,
i
, se ez
Gestether
f1
Proposal l
® The Savin Solution
In response to the requirements outlined above, Barlop Business Systems is proud to
propose the following system(s) for your office environment:.
Savin DSM627SP Digital System
0 27 Copies per Minute Copier /Printer
0 2 x 500 Sheet Paper Trays
o Unlimited Automatic Double Side Copying/Printing/Faxing /Scanning
o 600 DPI Resolution
o 20GB Hard Drive
o Network Printer and Scanner
0 51 Images per Minute Scanning Embedded
o Scan to E -mail Embedded
o Scan to Folder Embedded
o Facsimile Module
• Inbound /Outbound Paperless Faxing
• Lan -Fax
• Fax Forwarding to Hard Disk Drive
• Fax Forwarding to E -Mail
• Unlimited Sorting with Auto Stapling
Monthly Payment: $225.00 /
Lease Term: 36 Month I"
Zero Down Payment -�
Performance Assurance Program o
Plan A. Covers all Parts, Labor and Supplies for 5,000 copies per Month. Overage of
copies @ .01 Cents per Copy. Only Paper and Staples are excluded.
Monthly Payment: $50.00
SySfern Benefits
The Savin system presented in this proposal provides City of South Miami with the
diverse benefits that arise from its advanced digital, multifunction design. Here are some
key benefits to keep in mind as you evaluate this offer:
Model GDSm627sp
Copy Benefits
• Better office productivity: 27 ppm output with first copy time of 4.9 seconds.
• An easy to navigate Touch Screen LCD provides ease -of -use, especially in walk-
up situations.
• 600 x 600 dpi, 256 levels of gray and five imaging modes -Text, Photo,
Text/Photo, Pale Original and Generation Copy provide superior results
regardless of the original.
• 64MB /I92MB Memory eliminates waiting for job completion by scanning your
originals just onetime, returning them to you and then producing your job.
• Automatically rotates images to fit the letter size paper that is loaded - eliminate
trial and error copying.
• Create unique and attention - getting documents easily with features such as
Directional Magnification, Positive/Negative, Combine Originals,
Cover /Slipsheet Insertion, Book/Magazine Copy and User Stamps.
• Keeps completed document sets separated with electronic sorting - no longer
getting jobs mixed together.
• Optional Document Server for storage of copy, print, fax and scan data. The 20
GB hard drive will store up to 9,000 pages.
Print Benefits
• A short paper path allows a fast 4.9 second first print speed.
• The DSm627sp can accommodate a variety of print sizes - from envelopes to 11"
x 17" - professional documents can now be created in house.
• 3,100 sheets of paper from four sources means less time refilling paper trays and
checking that the paper you want is loaded.
• The stackless duplex reduces paper consumption and storage space needed, and
operates at up to 100% of mainframe speed.
• Optional 500 -sheet finisher with I staple position or 1,000 -sheet finisher with 3
staple positions collate and staple, saving time and energy.
• Add the optional Refined Print Command Stream (RPCS) Driver Interface and
the DSm627sp becomes a network printer that is extremely easy to use,
dramatically increasing productivity.
• Network Printing - Standard PCL6 /5e, RPCS and optional Adobe PostScript 3
print drivers provide compatibility with most software and allow you to send print
jobs over the network with all job parameters selected - including paper tray
selection and finishing.
• Network Printing - Powerful 400MHz processor with 192MB RAM standard
swiftly processes complex jobs. A 20 GB Hard Disk Drive enables multiple
original set printing, font storage and proof printing.
Fax Benefits
o Super G3 Fax option- combining a standard 33.6Kbps ITU V.34 Fax Modem and
optional JBIG Compression provides high- quality images at up to 3 seconds per
page
o Adding an additional 33.6Kbps modem option allows true multitasking by having
up to two lines always available to receive and send simultaneously.
o With the LAN -Fax option you can send and receive documents at your desk,
eliminating wasted time printing out documents and then traveling to the fax
machine to send.
o Paperless faxing with Gestetner's Web Image Monitor allows you to view,
download and print received faxes from your desktop.
Scan Benefits
o The scanner option provides high speed black & white scanning: 51 SPM
(ScanRouter), 36 SPM (TWAIN), for fast job turnaround time and reduced
operator scanning time.
o Embedded Scan to email with LDAP support.
o Embedded Scan to Folder (SMB) and Scan to FTP Server capabilities.
o High quality 600 dpi scan resolution, multiple scan settings and 256 levels of gray
combine to precisely scan virtually any original type. Accurate scans are ensured
regardless of the original type.
o A wide variety of hardcopy,documents can be incorporated onto the LAN. The
optional ARDF allows users to scan up to 50 originals at onetime, while
facilitating two -sided scanning. Bound originals can be scanned from the platen
glass and 11 "x17" originals can be scanned through the RADF or from the platen
glass.
o The DSm627sp scanning solution integrates seamlessly with the LAN via a
10 /100BaseT Fast Ethernet connection, eliminating the need for SCSI card and
cable, and making use of an existing network resource.
14U �°,LL'IPAL LEASE AGREEMENT
Nuatcl2 LASING i s a vi
[�—C_N'RACT NUMBER: A Pregram of Fleet Govirol Leasing - Global Vendor Finance
MAILTO Administration Carder, P.O. 9ax7023, TraV, Miclligan48007,7023 r mxmG OUD -43 &•91574
Gear G Istomer: This MuniGlpnal Lease ("Lease") Is written in simple and easy -lo -read language. Flease read this Lease thoroughly and feel free to ask us any q.es- 19.
tions y may have about It, the Words YOU and YOUR rater to the Lessee. The words WE, US and OUR refer to the Lessor, Float Business Credit, LLC. W
Fleet C fpitai Leasing - GloloM Vendor Finance Is a unit of Fleet $uslnass Gredit, LLC.ne; 5
....................................................................................................................................... ---...................... _......._.... .................. ........ ............ ................ ....... ......... - •- - - - --
CUS7, O -NER k R'ILLIN6 c mmcr INFOi RATIO
Lessee I ull le to e Federal Tax tB tl
Billies S nntaet P do . ' Phone Number of Billing Gontsot Person
Billing idr¢as / _ y.$Vdrasf — ...City - -� -- - C.-ty
Equtpint of location Addrefs city County Stale ZiE
_Comptetg o_rLtY.i:f:.diffe -re-nt from bi- tlin -g- .address.......:..._..._._..
_
.......... _ .......:....... - - - . - ---- - -- - - -- - - - - --- -- ---
EQU, PNENT DESCRIPTION
'w11°1rbv wwvn+w.+mxvnxs xxuav�wnuxnvwusRVnSinuam�w '�'
QuanLip Manufacte(ar •Madd Numher� �� OaSC .noon �� _ - i Serial Number, -
• 4
�.. ;.— a...... ... — ...... -. ................................ - - -• — — ..._._._. ............ — . .............. _ .........- _...._ ....._. ......... . ..............._ ................. -- - - - -- - -------------------------
_
TERA tE�SE P�iYAIEI i CNEC�fdIE a
Term nl SEOUrIty D$p9o!t!.Adyar9e PeYm$nt iGn9ck L1nE GntF'7 Lease Erd Purctraae 0pdon0pcion F ease Paymee! BFI!Fnp Cyole
.� l *arose dcaala taxes
�. Security Advance Ph7V(datlnedlrSaaFFahY81 �i$1 _eeesnctlantt. drihlY �t tivartarty�
\ f J Dopoeltiai L� PaYrnahtf$7 n other S— -- Z. n i Seml- Atteuai i i Aanual
TERRA C N�I77CiN5
1149PORPAA f NgTHPA THE StWPIJER N4RAM' SAtb'SI�{}N AAE eilRAl;Ac l� ALn1i0Xi1 70;sPE'VS eN flIIH BF11tdF OR AfAK: ANY C�$ Te THIS STA 5 WILL NN'AF7iCTYdNR R@dtlS OR oBUBriTIONS UNDBi �
irerrlFJis :.
t. LEASE AGREEMERn PAYMEi M-. we agree to isses u: you and you agree to ieasefrdm us the equiprnwlr 3, RENEWAL( Unless the Lease End Purchase Option is S1A0, after the original Lease term exilpfresthle
Rated alx re or kiertiilad in eery ederhed s= qulprrem 3dteduie ( "Equipment ,acitedule' ;, 0golle- with ail Top go Lease 4l aulomaifealty renewY. For succassim one mrmth terns unless (a) you send us mitten notice that
rrants, IN ts, armwents, a0motFes and eunsi tudons tferetor ( "Equllmtenf ); You PWISa to gay us the tease you do r!at wart is to mrieer ar least 60 days, but no mar® rhah 120 days, before the end of any form, or (b) T
papmenta aocording to the ferry a'•the Payrriern Schedule sh%vn above or any Equipment Schedule hereon, plus following renewai vve terminate this Lease upoi 60 days prior written rotim to trou. fie;
all oll or c rergoa (we Sacdaia 4, 8, fl, 13, and 19). 4. LAM CHAR113ft OTHER CHAR098: 'the due date for your payments will be identified an your M
8 3ENEI ALTERMS; PAYMENT ADJUSTMENTS; EFFECTIVENESS: You agree to all the heart, and condibms nvoice. If any payrenf is hot made when due, you agree to pay a hate charge at the rate of 10'f of such ?
on peae t and Rof the Laos. This Lease is a complete and exciosve statement of our agr ernerl. The Equipm" !ate payment or $35, whblever Is greater. You also agnie to pal' $25 nor earn returned check.
vAl rol bi used for porsohal, family or household purposes, If he cog of to Egdprent varies trap the edin , 5. EOUIF ralEN1' OWNERSHP; LOCA71ON: We are and shall remain tie scL- twmer of the Equipment.
you or yo I supplier have puMad to us, you agreo fiat vee nay adjust the Lease payment acoording!y up wd or You agree b beep the Equipment free from liens and encumbranras. You will keep the Equipment only at
downwan up to 1DIA, You aomowtadge roi;*L of a cruv. of (his Leans and acimawledge that you have selected the address shoven on page land you win not move it from that address unless you gel our prior written
the Equip nenl end revimed TAO supply contract uncer 4kh we Will obtain the EgUpnw.l. THIS LWE IS NOT ronsant. T're Equpment shall always coma n personal prapartyt even Jtc;gh the Equirtnc>,•t nano bsWrrle 34
81NDING �N US AND WILL WT COMMENCE UN ILINE ACCEPT IT IN OUR OFFICES IN OAKLAND COUNL attached or aifi>red to real property. If this Lea. is determtned rrof to be a true lease, you hereby grand us
TY, WCH 3AN You aurhodte uses de Wo Insuring esatennervre, and any amendments thereto, to show afarh-dar• a seoirky Were s. In lino Equlpren! relating baok to the date we purchased it,
as, in the Egvlipment and any procaods, You authorize us to insert or correc. rtis,Ang hdoreration on •itia Leam, , B, V. 0 WARRANTIES. WE ARE LEASING IrHE EQUIPMENT TO YOU `AS IS, WITH NO WASRANTIE6,
Including ontract Iwrrbar, Maur legal name, serial nuebera, Equipment l9rAIDII, and any In1pN t ijon clewltiing Me EMPRESS OR IMP.EEQ; INCLUDING WARFANTIES OF MERCHANTABILITY, FITNESS FOR A PAR• a
Erfaipmer ;. Any sawrity deposit you have gkvn us is rL1n- inisTeed bearing and may be used by us to ccwr any TICULAR PURPOSE, DESIGN, CONDITION, OR THE QUALITY OF THE MATERIAL OR WORKfr1Ar+F �
cols or h smeswe may suffer due toyer doEauil of' his L eass.11"o security deposit is refundable upon espir0on SHIP, WE ARE NOT REST ONS16-E FOR ANY REPAIRS OR SERVICE TO THE EQUIPMENT OR ANY
of the L& as. provided all Lasso tarns and carndG9ora have bean pedwred. You agrea that any. Purchase. Order DEFECTS OR FAILURES IN 0- ERATION. Vile assgr to you for the term of this Lease any transferable :a
L-mW Ig a covering the Fqufprraml is Issued for purposes of authorization and your hMmal use oft, and none ' mariAdumr or supplier %mrrsntles we are not liable to you for any breach of tnose warranties, You agrees tea
of Its tern 3 and oencEilpns 641 rrodity this Agrwy ent You agree to p ovitle us your Firsndal Aalerrents upm. that r I on 45LIr aceept3r1n8 of She Equlpmert, you W I have no set -oft or comber -di ms against us
request, t oih$hg In ttb Lease shall to construed to mean that you rrum. pay any Sum which exceeds that vdvdt '
may beet ly' be ch8s,gd, and h there is e.,ch eKoessmin, It sl all be applred to reduce the lawful mmunts payabe IEOnttrtdad mt trade i 7
byycu; ar of any excess shell be retuned to yw,
- -- ...... ............. -------------------- ra
LESSEE AUTHORIZED SI'G'NATURE
THIS LEASE If Na .8E CANCELED
Aunrudn, dSFpter' -� Osve 1 Point Name - --- - -- - -- i title indioatePuyhislnoAOent , Buyer, em.
W —
�� ;
---------------- ---------------- .- ... ...... ....._ -- ----- . ------- .......-------------- . -- --- -- - ---- - - ---- -------- .-- - ......................... tat
ELM] a,
Pti�f NT ACCEPTANCE' CERTIFICATE
You ca tl tt a of the Equipment re erred fo in this Lease has besn relive ed and received by you, end that any and a!I ilsheliatien anti sat up has hen ra nleteAY9U Itava nXBminitl the Equlprnern ants it good opalsting con P on 8 Es saMsfactoryt9 Niu antl you have aocepled tllcl Equlptitent. This Leese cannot be mactltli er !sae IrdaG exsapr by a writ rq snnAd by you and us. ACCdRDiFdGLY Y17i8 AitTHlBtllf U$ T@ PURCtIASE a
PNRFNi' Fop YOUR n.
slop - Stgnar I Date ! PrintNarne Ttile indicsIBRutiWsin
i t at
'• t � 3 , I gA6 u7 ' c'
an B ar
r ,
SYDIR•0511D -1 -03
continued fro I page 1
7.1 r-Q'W- You relment arid vra rarnt to us that you, ;a) are a body corporae
and poft d y organized and existing under the laws cf your State; (b) have taken all requisite action and pos-
sess the roc AsIte authority to execute the Lease; (c.• have fully budgeted and approprialec sufliderd funds for
thea,rrwt I ral year to rrake the Leasepayments hereir; (d) have com plledwlh all bidding requirements rela-
trlg to the se tulsitlor of the Equlpmen:; (e) have proYded accurate finandal Information to us and will annually
provide as y in financial statements, budgets, proofs of appropriation and other such financial Information that
we may rem nnably regllesti arid, (0 will use the Equ(3rmn: only for essential gove•nmertal orprcpdetay sumo-
tiore within I e permissible soaps of your authority.
S. MAIN IEP ANCE, USE; INSTALLATION: Yu are rasponafble, for installation and maintenance A end for
any domagr to, the Equipment. Ycu must service, repair and rriuntain the Eruipment at your expense in the
same condt in as when received, ordinary wear end tors,• exospled: In compliance wth all oppi(cable laws and
regulations, and In compliance with ell insurann- poldes and all maruab, orders, recommendations and
instructions sued by the manurlacomer or vandor. You shall permitthe Equipment to be used byqualified l
sonnaisolen forbudr.em purposes and ihapirpouis forwhich hww desipned. You will rnae no alterations or
modification to the Fqulpmart wiit!nout our prior writter consent. IF the equ)paaert malfunctions, Is damaged,
lost or stoler you agree to mothtue 10 malca alt payments due under this Lease.
0, INSURAP ®Et CASUALTY; Until this Lease is paid In full ano the Equipment has been reUmadto us, you
wile (a) keep the Equppmep t Insured under all Oak property Insurance pollJes naming us as toss payee for the
greater of th , Ramalnlrg Balance (defined balowl or ksfut replacemamvalue against all Waft of bas, includ-
IngtheR;an: ( b) prouldeattlmaimalncorrFrehenslvageneralpublictfaa: lhyinsurancenaningusasadddlpral
Insured. All f Dkies and Insurers shall be acoeptal to us and the Insure -Xs) must agree to provide us at least
Soda , ve prio written mf lga of any material change, cancelistion or non•renowal of coverage. V you do notpro-
ulda c with meplabla evidence of insurance, we may, but wiii have no obligation io, ubtafn Insurance and add
a chwgeto i )ur monthly paymert which will include the Insurance premium charged by our:nsurania provider,
our than pre raking Insurance admin151ra ion lee, togelhar W+th Inlere,14 m such amounts at the overdue rare
provIdedInEsctlan13. Nihe Equipment is damaged, you shat irri edletetyrepairthedamageatyou -expense.
If any Equip tern Is bst, s clan dr da egad beyond r epauir. wu shall, at our option. (3) Tepigra the samewth
Ilke equiprix Vin a condation aaettable la us and convey ciear title to such equlrxnenl to us (rvch equipment
willbecome :culpmerft subject to thisAssaj, or (b) pay us the Remainng Balance. For purposes Dfibli; Lease,
"Remaining Islance' means the sum of (I) ell ¢mounts which are currartfy due to is under this Lease, txr are
unpaid, plus (1I) the present vaiue of the sum of all 3rrnunFs to Carona due during the Lassie term plus the
Lease End F acham Option price for the Equipmem as! forth above, each dismunled al a dlsxunt rare equal
to the 1 -yeas Treasury Constant Matuly rate as published In the Selected Irderesi Rates table of the Federal
Raserverslai atical release H.1Sf514) for the week ending Immedlefey pa or to the date of Lassee Amsplsenra
of this Lease (or if no longer published, a rare reasonably determined try us); provided, that P (ice Leas: End
Purchase Option pxlos Is FMV, then the Remaining Balance wlI l o calcudated by reference to the expnedad
FMV for the Equipment as of the and or the lease term, as reasonably anticipated by us at the commence
ment of the lease. Upon our receipt of the Remaining Balance following the loss or destructich of ary.
Equipment,± ou shall be entilled to whatever Interest vm have in .such Equpmerit, in Its men condition and loca-
lion, withoul %mantles of any idnd.
10, LIABILP V: WE ARE NOT RESPONSIBLE FOS ANY LOSSES OR INJURIES TO YOU OR ANYTHIRD
FARTIES G ,USED BY THE EQUIPMENT OR ITS USE, You amuma the Oak of Ilabfiliv for, and agree b
Indemnify, di fond and howl us, our employees and agents, rrarmless from and agalnsl: (at any arid ell liabllf-
lies, losses, larragas, clams and expenass (including attomay i' leas and legal costs) arising out of the man-
ufacture, pur rase, shipmentandi delivatryoithe Equipment to you; acceptance orre)tx^tlon, ownersMp, llcans-
ing, dilrig, re lldtratfan, leasing, pto€sessirxt, operation, use, return or ot.*dispoeftionof the Equipmant, inSud-
ing, but not it n1let to, any Itabil(tlesthal mayarLve from patent or talent defects In the Equipment, and any shirrs
based on sit tl tat IlaWlty, (b) any and all loss or damage of or to the Equr,plmanl, and (dl any liability to the
manufacture or supplier arising under any purchase orders Issu:dbyerassignec to us.
11. TAXES; SASONAL PROPERTY TAX FEES: Ycu agree to show the Equipment as "Lamsed Propenr of
all personal I wperty taut (PM re:ums. You agree to pay us all PPT assessed against the Equip menu During
the term of; our lease, we may charge you an estimated PPT fee to offset PPT exposure on your feared
Equlpmal hs fee will boa reasonable estimate ortne expected lax lla blltyi Usually %- %otthePPTrssessed
for your Equ )alert fn the priding tax year, Vito may also charge you an administ; ative fee of no more :hen
tl2 per Item of leased EgLipmLnt vwitheach PPT bIl io offset IhecData esaxleted wI1 the Ieponing, p symentt,
and cvlle.lu n of actual or estimated PPT. You agree to re mburse us for applicable sales and/or use lax and
all other lab¢ s, fees, fines arri penallM which may de imposed, levied or assumed by any federal, state or
=1 govern tent or agency which relide to this Louse, the Equpment or its use. Finns and penalties will be
Imaed to arc incurrex) as a reset of your -W ure to act In accordance vdth federal, state and local tar. laws and
odes ardl<o the terms of this Lease. You agree to reimburse us fo• reasonable costs ircurred I mileuhfrg or
paying any L xe5, rfassmants, charges, penalties or lees.
12, AMON AWE YOU MAY NCT SELL, PLEDGE, TRANSFER, ASSIGN OR SUBLEASE THE EQUIP.
MENT OR 1 118 LEASE. Via may still, assign use lranster all or any pal of :his Lease andiorthe Equgxrierd
The newow er will have the some rightsihat we have; but you agree you will not assign against the newowner
any clalrar.,, i a'enses or set -dffs that you may have againm us at any supplier.
f3. DEPAUI Pc DAMAGES: k YOU, or any guarantor of your,oblgatiore; (a) fall to make any Lease payment
within 10da; s of when due, or (b) become Insolvent or commerce bankrupicyor reteivalrhip proceedings T.
nave sudr P tcea:dirgs commenced against you, o (c) terminate your existence by narger. consolidation, sale
of sul)stardk !y all your ease& or (d) default under any other ng cement you have with us or Dur affiliates, or
;e) othet%,A& breechany warranty, covenant or provision of this Lease, you will be in rlePaul, if you are irdersuit
we may, ;nut hall not W obligated to, do any orals of the following; (t) declare imrrtsdiately due and payable the
Remaining ' asom and 0 urpstd amourts due under this Lease, (11) require you to lmmedfaley return all
Equipment U us at your expense, (lit) wth or without notice, demend or legal process, ra -lanes poesalsion of
1ho Equipme it (end you aulhorae us to enter upon t'ne pnemistes w herever the Equipment may be found), (iv)
sell, Raid, u: e, lease or o!henvfea dispose of (he Equipment (v) fmned'aley terminate this' ease (arch any
other ageer wits we have with you), (vi) apply any seaady deposit to reduce amounts due to us hereunder,
and/or (vii) a mdse any yaf ner remedies available io us under appliosble law. You agree io pay our &dual atior.
neyW fees, I !us all actual tile, :ntlt.dlrig all toots of any Equipment rtapossemkia. Any payment or other
......... ........................ ............................... .... .............. .......................-- ......
L -
essee uti Legal Name
A
ACCFJ710 By. signed B1
RM BUSINESS CREDIT, U, 0AMUMNO %OtIWRfI M61 LEER
I,N64PR414PM� Lx—
amount m oro than 30 days colingtem under ltis Lease shall accrue iriere:t until paid at the overdue rate of 1
1t2%par month, or the rravd:rtum amount permitted by applicable law, whichever is less. I we dispose df the
Ev,ulpmem, we will apply the net proceeds at such disposition to reduce the Rernaintrg Balance and other
amounts payable by you, and you shall ranaln responsible for the paymeant of any deficenw.. If the Lease End,
Purchase Door price indicated on the face cf this lease is $1. and the not tom reds we recover following a
dafaLlt Is more than the Remaining Balance and other outstanding amounts payable by you, vie w1l give you
the excess. You waive a ry notice of our repossession or disposition of the Ecuipment. By repossessnq any
Ecuipment, we d) not waive our right to coded any smourds due on this tease, We vdll nit ba napsporrsibie v
you for anyceneequenl(al or incidental damages. Our delay orfallure to erdorce our rights under this Lease will
not pretend usfrom doing so at a later lime. -
14, CHOICE OF LAW; JURISDICTION; VENUE; NC#JURY TRIAL: You and any Guarantor hereto agree
that this Lease will be deemed for all purposes to be fully executed and performed in the Stale of Michigan and
writ be governed by Michigan lawn. YOU AND ANY GUARANTOR EXPRESSLY AND IRREVOCABLY.ACGREE
TO: (a) BE SUBJECT TO THE PERSONAL JURISDIGnON OF THE STATE. OF MICHIGAN IN ANY CON-
TROVERSY THAT MAY ARISE RELATING -TD THIS LEASE, ANY GUARANTY OR THE EQUIPMENT; (b)
ACCEPT VENUE IN ANY FEDERAL OR STATE COURT IN MICHIGAN AND AGREE T}'A,T SUCH COURT
WILL BEA CONVENIENT PLACE FOR ANYTRLALI AND, (o) WAIVE ANY RIGi iTO ATRIAL BY JURY. You
and anyGuarantor further acknowledge and agree that subsections (a) through (c) are conditions precedent to
and are material inducements to our entering into this tease with you and arty Guaranty, with any Guarantor.
1S FINANCE LEASErAMENOMENTS: YOUR OBLIGATION TOPAYA I- AMOUNTS UNDERTHSLEASE
IS A13SOLUTE AND UNCON6TTIGYNAL THIS - EASE IS A "FINANCE LEASP UNDERTHE UNIFORM Cow
CODEAS ADOPTED IN MICHIGAN ('UCC). THIS LEASE MAY NOT BE AMENDED EXCEPT BY
A WRITING WHICH WE HAVE SIGNED. YOU WAIVE ANYAND ALL RIGHTS AND REMEDIES YOU MAY
HAVE UDDER UCC 2A•508 THROUGH2A -522, INCLUDING ANY RIGHTTO: (at CANCELTHIS LEASE: (b)
REJECT TENDER OF THE EQUIPMENT: (c) REVOKE ACCEPTANCE OF THE EQUIPMENT; (d) R£COV-
ER DAMAGES FOR ANY BREACH DF WARRANTY; AND (e) MAKE DEDUGTiONS OR SET Ors, FOR
ANY REASDN, FROM AMOUNTS DUE LIE UNDER THIS LEASE, IFANY PART OFTHIS LEASE IS INCON-
StSTENTYVfTH UCC 2A,THE TERMS OFT) 46 LEASE WILL GOVERN.
16. NON•APPROPRiATNON: If you: 1) are not slotted Funds forths tease In -he next iscal year: 2) have no
h indsfor replacement equipment; and 3) have no funds tmm other sources r1, 2 and 3 shall be herdnaRer cop
lectivaly referred to as "Non- Approprialion"j, you may temtinate this Lease at the end of the den cumard fiscal
year. In suit event, you shall return the Equipment to us, at your side m perIm. You shat) no,., within a period
of Von- Approplatkin,acquire IN any moans equ'pmarA simllar to the Equipment, unless some shall be leased
from us.
17, 8M FILING: You agreethafyou will timely file if Form BCC &GC (or, as neoessary, Form I or any
revised or renumbered form with the Internal Revenue Service in accordance with Section 14U(s) of the Code
aril the Regulaibns thereunder, and agree to appoint us your Agenl for the purpose of maintaining a book entry
system as required by Section 149a) of the Cady -
is, PURCHASE O"ON: If your are nol in default, ym hey al any lure wth W days prior wrttten notice pur-
chase all (cut hat less than all) the Equipment fora price equal to tiro sum of all remain ng payments 10 come
dua during the team (ff any) plus the Lease End Purchase fV5Dr pr ice Indicated on the faca of this Leaseplus
any applicable sales taxes and hags. Any Lease End Purchase Option price for Thal Equipment dsstgrnetad
above as "FMV" shall to for its fair market valuer place and fn use as reasonably daterm ned by us ('FMVj.
You must give us 60 days advance viflhon notice of your Intent to exercise this Dolor. unass the purchase Is
being made atthe eno of the to,1m and the Lease Erd Pu"ifm Optfen is $,...
19 EOUPMENTRETURN: Pyoudo not exercoethe Loam End Purehow0pllmatthe and ofthlsLaasefterm,
you will immedfateycrate, Insure and ship all, cut not less than all, 011ie Equlpsment, Ire good wording condition,
to us at a location and by breams vie designate, Win all elgtartses to be pmped tsy you You mull. give us 60
days prior w illan notice of your Intent to return titre Equipment under this Section. Yo1 agree to pay a ves=-
IN tee not to exceed $100 for each Ism of Equipment which you return to to urdor this Seaton, You must dfa.
assemble and pack the Equipment for shipment in a mamas., authbrlrad by the manufacturer or its rapmsanfa
five and provide for Is reassembyat the rectum bacallon h the condition required bVIhla Lease, at your foWnss.
if you fail to re:um al of the Equipment to us as agreed, you shall pay I9 has the regular Lease payrr ads each
month unit[ all of the Equipments retuned. tt the Equipment Is damaged wren received by us or otherwise not
In the owdron required upon return to us, you agreaie pay for ad cogs of repair or restoration. You will also be
respwrxabie For arty darnage to the Equlptnsr which occurs during shipping,
20, PAX; if Are agree, you may transmit this Lease and rehttert documents to usby releanpy or facsimile ("tax'j.
The tax version of (his Less& and related documents, sha.l constitute an original of the dodurn * and `Leal
evidance" of the pennies' agreamsnt and shall be binding on you as it It were manually signed and personally
de Ivered. You agree that the tax document MII be admissible in any legal acdom To the extent this Lease cam,
stautes cha.lel paper under the UCC, a murky Interest In this Lease may be sealed Ihrcugh the transfer and
rune sskrn of a copy of this Lease manually executed by us without the need to transfer possession of any
other fax or tx;W of this Lassa, or any other related documents or instruments. VL:e have na dldy to verify, or
incufre as to the valkilty, execution, signer's aulhodty or any other matter concerning the propriety of any far.
21. MISCELLANEOUS: tt any pmvalm of this Lease Is unenforceable, invalid or illegal, the remaining provi-
alons will continue to be effadlve.You must bring any action against us fabiling to this Lease vwithin one year
afterihe basis for the claim first arses, and in any event nol later than one yearfolltrw!ng termination of [his
Lease. Time fs o tt , esrce with 'mod to the paymant and ppertorman s, of all ofyour oblgailons uncle: this
Lease.
22, MERGER: THE ABOVE TERMS AND CONDITIONS REPRESENTAND MERGE ALL OF THE TERMS
AND CONDITIONS INTOTHIS LEASE. THIS LEASE: CANNOT BE MODIFIED GRALTERED LINLESs IT IS
IN WRITING AND SIGNED BY ONE OF OUR OFFICERS.
Munkipai lease 4niamem, page 2 et 2
_.-... _..... - .......
-------------------- -
(•�Centract Numuer
- �._.._.. ------ - - - - -- --------------------------- - - - - -- -- - - - - -- -- - -
Mile Ind ante Purchasing Agent, Buyer, etc.
Cummanscment Date
510 /R•05110 -1 -03