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HomeMy WebLinkAboutordinance.council.065-85 ORDINANCE NO. 65 (Series of 1985) A ORDINANCE APPROVING AN EQUIPMENT LEASE/PURCRASE AGREEMENT BETWEEN THE CITY OF ASPEN~ COLORADO, AND HONNEN EQUIPMENT COMPANY, SETTING FORTH THE TERMS AND CONDITIONS FOR THE LEASE OF A JOHN DEERE ROAD GRADER BY THE CITY OF ASPEN FROM HONNEN EQUIPMENT COMPANY, DIRECTING THE MAYOR TO EXECUTE SAID AGREEMENT ON BEHALF OF THE CITY OF ASPEN; WHEREAS, there has been submitted to the City Council an Equipment Lease/Purchase Agreement between the City of Aspen and Honnen Equipment Company setting forth the terms and conditions for the lease of a John Deere road grader by the City of Aspen from Honnen Equipment Company. NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF ASPEN, COLORADO: Section 1 That the City Council of the City of Aspen does approve the Equipment Lease/Purchase Agreement between the City of Aspen and Honnen Equipment Company providing for the lease of a John Deere road grader by the City of Aspen from Honnen Equipment Company, which agreement is attached hereto and incorporated herein; and does further authorize the Mayor to execute said Agreement on behalf of the City of Aspen. Section 2 If any section, subsection~ sentence, clause, phrase or portion of this ordinance is for any reason held invalid or unconstitutional in a court of competent jurisdiction, such portion shall be deemed a separate, distinct and independent provision and shall not affect the validity of the remaining portions thereof. Section 3 A public hearing on the ordinance shall be held on the ~ day of ~ , 1985, at the Aspen Community Center, 0100 Lone Pine Road, Aspen, Colorado. INTRODUCED, READ AND ORDERED published as provided by law of the City Council of the City of Aspen on the ~-' day 1985. William L. StiFling ::ATTEST: Kathr~n s. Koch, City Clerk FINALLY adopted, passed and approved this ~-~7~%~ day of ,:~ William L, Stirling ATTEST: ~ ~: Kathryn S. Koch, City Clerk ordocs f RECORD OF PROCEEDINGS 100 Leaves STATE OF COLORADO CERTIFICATE COUNTY OF PITKIN I, Kathryn S. Koch, City Clerk of Aspen, Colorado, do hereby certify that the. above and foregoing ordinance was introduced, read in full, and passed on first reading at a regular meeting of the City Council of the City of Aspen on ~/~~-~3' ~ , 1985, and published in the ~D._~, a weekly newspaper of general circulation published in the City of Aspen,Colorado, in its issue of ~~-~ ~ 1985, and was finally adop~oved at a regular meeting of the City Council on , 1985, and ordered published as Ordinance No. ~". , Series of 1985, of said City as provided by law. IN WITNESS WHEREOF, I have hereunto set my hand and the seal of said City of Aspen, Colorado this _ day of ~~-~1985. Kathryn S.~ch, City Clerk SEAL Deputy City Clerk F- - UNIFORM COMMERCIAL CODE—FINANCING STATEMENT-COLORADO U.C.C.-1 (Rev. 1-78) r, INSTRUCTIONS - C - - , .. - i PLEASE'TYPE this foim.Do nol write in Box 7r"`.." +s_,w> ..•.a%m. - L a-.L;� ..,;, � y-•.Y oa+'x+ __.^'a --s-:7, v2. If collateral is CROPS,state in Box 4,`The above descri re taps are growing or ato be grown on (Describe Real Estate conc2l 4 •ifmllateral is or will become FIXTURES.or is TIMBER A7 BE CUT.-,is MINERALS OR OTHER SUBSTANCES OF VALUE WHICH MAYBE EXTRACTED FROM THE EARTH ' OR ACCOUNTS RESULTING FROM THE SALE THEREOF AT THE WELLHEAD OR MINEHEAD,CHECK IS"This Financing Statement is to be filed for record in the Real Estate records,"in Be.4 and state if applicable."The above goods are,or are to become,fixtures on(describe real estate)."or where appropriate,substitute either,"The above timber is standing on (describe real esta¢),"or,"The above minerals orolher substances of value which may be extracted from the earth or accounts resulting from the sale thereof at the wellhead or minehead of the well canine located on(describe real estate)."Describe real estate concerned sufficient as ifit were contained in a mortgage ofthe real estate to giveconsuuctive notice ofthe mortgage under • the law of this State.If the debtor does not have an interest of record in the realty,give the name of a record owner of the real estate concerned in Box 4. 4. If the space provided for any item on the form is inadequate,the item should be continued on additional sheets,that are 8Vnll. - - Please do not staple or tape additional sheets directly on this farm. 5. Remove Secured Party and Debtor copies.and send 3 copies with interleaved carbon paper still intact to the filing officer. 6. Al the time of original filing,the filing officer will return third copy as an acknowl figment.If acknow edgment copy is to he returned to other than the Secured Party,please enclose a self- addressed envelope.. - IMPORTANT—Read instructions before filling out form -... - This FINANCING STATEMENT is presented for filing pursuant to 3. For Filing Officer(Date,Time.Number and_ the Uniform Commercial Code. - 1. Debtor(s)Name and Mailing Address: 2.Secured Party(ics)Name and Address: r City of Aspen John Deere Leasing Company 130 South Galena" 400 - 19th Street Aspen, Colorado 81611 .. ' Moline„Illinois 61265 <G� 4.This Financing Statement covers the tollowing types(or items)of property: (WARNING:If collateral is crops,fixtures,timber,or minerals or other substances to be extracted or accounts resulting from the sale thereof,read instructions above.) 1 - New John Deere 772A Motorgrader, s/n DW772AX502279 1 - New Henke 7AW-12 Snow Wing, s/n 0063, Check only if applicable - ❑This Statement is to be filed for record in the real estate records. - ❑ Products of collateral are also covered. ; 6.This statement is signed by the Secured Party instead of the Debtor to perfect a security interest in collateral (Please check ❑already subject Loa security interest in anolherjunsi fiction when it was brought into this state.or when the debtors location was changed to this state: appropriate box) ❑ which is proceeds of the original collateral described above in which a security interest wav perfected; ❑ as to which the filing has lapsed:or '❑acquired after a change of name,identity or corporate sounure of the debtor. . 7:check if app-I'i �]-The�atty. � . sc whichever signature line is applicable. Signatures)of Delimits) - Signature(s)of Secured Pzrty'(ies) Form approved by the Secretary of State and (1) FILING OFFICER COPY No.6r0. COLORADO FORM U.C.C. I(REV.1-78) the County Clerks and Recorders Association Bradlirtd Pobli,hlne13031233 6900 DISTRIBUTION SERVICE CENTER-FORMS PURCHASING &— J E, •5 ..,y'n.'Y 3�' 4 ->70.h; h ^^}�) 71}c7,'. _ Description of Equipment a ' ` EXHIBIT A LEASE NO. DATE 12/ 1/85 y DESCRIPTION OF EQUIPMENTRIAL NUMBER-'.a"•-'—. '-. — .. SE R(PIN) r. I - New John Deere Model 772A Motorgrader.:`H * t-. - - DW772AX502279 . - Cab with heater, , v: v6" pump;. Vi Heavy duty battery t, '• 14-' moldboard .with' float control,, a 14 .00x24 12pr 'tires Cold weather disconnect - ` Work lights r Ether starting aid Heavy duty scarifier'.. Strobe light ; Dual electric controls` 1' - New Henke Model 7AW-12 Snow Wing 0063 OC-1275-STOCK-5-85 ORIGINAL `. TF}Ui OF /-EASEt 5ANNUALS LESSE& 014 OF ASW:N ASPEN Cp LEASE NO, LA A UU A�UUNl 8F AM01|N'.T [0 CERMINATIDH H::N[ APOiIED TO IKTERFST AT RENlAL U"!TAi INCLnU�S TA)(/ VATE P8]}1CIPAL 7150% VAX PAT OPTION. y8IC�� .. ......... -............ -- --_--. .....-............. - ------_-- .......... -..............- ..... OE:(� B� 0 , S0 0 , U0 0 ^ 0/) 0 ^ 0O 96, 02s^1'| .]AN 80 24022l52 1 , 19017 () , 00 22,215^30' [E| : 8/ 0 100 0 . 00 0 � UO 0 ^ o; 71/87l ^52 MA10 'm 0^U0 (/ ^ ()O 0 , V0 0 ^0n 75,336^57 WO G/ 0 . 00 0 , 00 0 '011 0 ^ 80 75001 .61L HAy sm, ; '0(/ " . 00 O ^ VU H ,0(/ 76,?/./\.W, } 8q O0 . 00 0 . 00 /) ^0V 0 , 00 W731 +70 ��8- 0^ 0/ 0 ^ 00 0 , oO 0 ,00 77,196^75 A\F.; 801oO 0 ^00 0 ^ 00 0 ^ 00 77661 '79 SB` 0 ,00 (| . 00 0 ^ 00 0 .0(| 78/ 12618� DCl* 0D U , A0 K0/) 0 / 00 /;,501 ,3; NUV 86 </ ,80 (. ^ 0 0 , 00 0 ^ O0 79, 056l92 OEC W. 010; 0 , 80 0^00 0 ^ 00 79 /521 `f/.. 16,~3/>^;6 31550 ^5o 0 ^ ;8 22,215^%? 57,771 ^6�D FE] : 87 0 , UO 0 , W0 0 ^ 01) O . 00 5: , L32 .7i Milli! 0 ^ 0O 0 ' 0y S , 0(/ AR; 87 0 . 00 0 , x0 0 ^00 0 ^ 00 58,G59+06 MAY 87 0 ^ (}(1 (/ 00 0 ` (|0 0^ 00 59,?! 5`?3' 'AIN 0 . 00 0 . o0 000 C , 0 59,577 . 01, 'A W Sell 0^0(/ (/ ^ ()0 0 , i} 0 ^ 0 59,9pXs`O(il At O ; : S( () 30 0 00 V �� 60 2Y? 16 ' � ' ^ � ^ ' ^ SE| ��7 0^ yo (/ ^ 0O 0 . 08 0 ^ ()0 6066(/ ^2� [)CT 87 0 / S0 0 .00 0^ O1 j ; ^ 00 131. VO8V 87 S30 V ^ 00 0100 o ^u0 61,382^39 AEC 87 00 0 . 00 V` O/) 0 . V() 61 ,7'|3^16 ^332 �� O 00 22,215.3� 39,869^ �� 1'`� ^ ^ FEi : 0: O0O O ^ 0S S ^ O0 00 10 , l38^�o p 88 0U0 0 ^ 00 h ' 00 0 , 0V 40387^77 � . 00 00 90 ,687 ^ /)8 MAY 8S o ^ U0 000 0 . S0 0 ^O8 /}k,886,39 0 ^ 00 0 ^ 00 0 ^ 0o 0 ^ 00 '|1 / 135 ,70 WU' E03 V ^8(1 V ^ 00 0 , 00 0100 'f1 ,385^01 :UC W k , 00 0100 3 ^ 00 019 11 ,63q .32 S|]` 88 V^ 03 0 ^ 0O O . ;0 0 ^ 00 /}1 ,BSA^W2 OCl 81: 8IU0 0 . 0; WHO 0l00 o2/ 132,Y3 k0V 88 0 ,00 (| I00 0 ^ 08 0100 42,382�2'} 0E0 81: 0 . 0o 0 . 00 0 ^00 0 , 00 /}2,681 ,55 my! 107 19023.68 0991 .71 (} , 00 22Y215,39 20665.17 P[]1 OY 0 . 00 0 .00 00:-j 0100 20079' ,63 MA|R RY 0 ^00 0 ^ 08 0o 0 ^ 00 20923,79 APR El 0 ^ 00 S , 00 0 ^00 0 ` ;0 20302 +95 MAY ��*"Y 0180 (/ ^ 08 O . 00 V .00 21 , 102^11 J\1N 8Y 0 , 00 0 , o0 00/) 0 ^ 00 2! 311 ^27 XU (�; 0 ^ 00 (� 00 0 0O 0 00 21 140 13 �� ^ ^ ^ ^ xU(� 8� � ` 0h 0l00 0 `O|) Ol |)O 21 1569 x�,:m C0NTINUED nsz [ XHI8IT � Y A Y M ��--71--T-? -T-T-- U L E T[(<� 01: CITY OF ASP8N N CO K[�4\ A\ Tf-',X TE [KASE NO' 000-00-0000 LA AMUUi{[ AFOUHT OF AMO3NT APPLIEO lO TE8MINATII)H 'AYM[/{� APPLIED TO INTER[ST AT R[KTAL TOTAL INCLUPES TAX/ O�TE y�]}1CIPAL 7 �50% TAX PA ()PTIUN i:'8 (:C'-, --'---- ............... ............... ----------- ................. - --------- --~----'----- S8` 8Y 0100 0 . 00 0 ^ 0/} 0 ^ 00 21 ,698,7j (]cl 89 o .0ij 0 , 00 0 ^ (/U 0 l 0 0 21 ,827.91 AoY nY 0 ' U0 0 ^00 V ^ oo 0 ^ 00 21v957 ^ 0/ DEC 8Y U ^00 0 ^ 00 O ^ kO 0 � 0 0 22, 086,23 JAN 2066507 151992 0. 00 22/215.39 0 + 00 � ^ . 101TRIBUTION SER CE CENTER-FORMS PURCHASING • - qq' - - NOTE=,; When glarly dog;plemeinift In thg iLe"pWartlar one character x When iYPing;ignore tBey e)DpM XRSs,dPtl tyga:n tAS ape N a b/ilia - Purchase Order - FOR JOHN DEERE IND T IAL EQUIPMENT PURCHASER'S NAME AND ADDRESS fFir61 Sloper - �r'� 15 41 NAM (FTs 1, Midge huh 1i last Pl I I I _ .�. 0 14EW' u USED � DEMONSTRATOR -- ' i tai&ALC ❑BALE • I ! DA_TE OF ORDER _ OPDCR NO ; (SECOND LINE I FIOWNER NATE) I STREET OR RFD. _ I i i ' i '-' R'c GION �$5 'DEALER ACCT. NO DELI ll OM1 OR.A6'1LI , s� TOWN ! STATE I ZIP CODE I SOC. SEC. NO OF FIRST SIGNER COUNTY OF FIRSI:NEN I C'ISTOM R ArCt i I �. I ' I ( _ nS. rl Pltk3.n-� - E I I I i e SELLER'S NAME&ADDRESS _ _ I nue.n Eau• .,I STREET OR RFD 45iLIndLLi.C.L161 Blvd TOWN STATE ZIP CODE _ rad Junction. Coloradc, j5r Twat,the undersigned hereby order from you the Equipment described below,to be delivered es shown pb e.This eft. iii t to your ability to of.:. s q..:pm... ..rte n. y.. shall be under no liability if delivery of the Equipment ie delayed ar Prevented do.to labor disturbances transportation diffiulties,or to,any rearm beyond yourm hol:.The p -n.shown;ba ow is eub'e_: v your receipt of In.Egmparant poor to any change in price by the manufacturer.It is also subject to any new or Increased texas jmpased.,an the sale of the Equipment after In.he'.ea tale nicerVOIC : - - INVNo DATE I 01 INVOICE PM NT QTY. " EQUIPMENT (Give Model. Size & Description) PRODUCT..O.NO OECU CISH PR:CE s,, I John aere772A hfoto �der;-.Cab with -hna,ter, �._ j.. - --_-f1!! PUMP; dAty hatterv;, ]43 moldboard II float contro 1 - 1G.QQx24� 12pr tires• Cold aid: Heavy duty scarifier; Strobe li ht• Dual -t el�ctric'cp tr F il_Lye_�ox 1599 0. laa_rantyc 'Extended_-powertrain warranty DW 72AX55022.79 --- nhe 7Ai:t—_12- 0063. , 4291nol 1 F.O.B. eCO; John Deere al .Lease A. TOTAL AMOUNT OWED I(We).offer to ae.l oeru'er and convey the folowing demis)at or prior to ins time of delivery of tae above Equipment SALES TAX _ as s tonin tobe apwiad distant the lain once.SLnch grand)shalt be Iran and clear of all seCun r agreementR liars .Ak.A rap and encumbrances a1 ine time of transfer to you.IDe bleadog aa a description and the pried to he showad for seen item. /, y by 8. OUT-OF1 TOT.LASH PRICE POCKEi EXPENSE fl;_ DESCRIPTION OF TRADE-IN - PRODUCT I.Di NO.- AMOUNT. J C. TOTAL(A plus B) - I nP D NOTE AND CASH RECEATD E MAX FLOOR PLAN ALLOWABLE F•- _(C Tess D) - - 4 — '> _ - INDICATE ONE FOR EACH CODE: Mining 2. i0T. TRACE-tit ALLOWANCE PURCHASER'S SIZE(A-G):PURCHASER TYPE CODE 0-7) - 31 iron Wire 3. CASH WITH ORDER 1 MARKETIUSE 111-961. 32 Copper 33 Other Metals .-4.TOTAL (ITEMS 2.&31 -1 MARKET/USE CODE 34-Coal" -PURCHASER TotalMachines SIZE CODE A &Boll Conservation ' l 5. SALANCE-0tiE ITEM LESS(Total Machines in Fleet) g _,. 35 Oil&Gas Extraction.(Excluding Pipelines) / - A 0-5 11 Footl&Crop Production- 36 Crushed Stone Mfg.&Intl..Concern B 6-10 aP �12 Lantl'Improvemi:/Water CtI. 37 Sand&Gravel :_ 61 Food Processor , Utility Company -_ C 11-30 13 Feedlots&Stockyards 38 Other Non-Metallic Mnerals -fit Chem &Rubber Producer 81 Telephone , D 31-50 14 Sugar Refineries Contractors 63 Petroleum Refineries B2 Gas antl/or Electric E 51-100 41 Resjdentlel-Building 64 Asphalt Plants - 53 Water&Se er F 101-200 -42 Non-Residential-Building. b5 Stone,Clay,Glass,Cement 84 Refuse/Sanitary Landfill d3 Sewer&Water Concrete Products - G 201 antl Up Forestry.. , --Miscellaneous PURCHASER TYPE CODE-Shaded 64 Communications 8 Power Line 66 Steel Mill or Primary boxes for Deere&Co.Govt Sales use, Harvest ng !Poll g, Skidding -Metal Producers 9F Landscape Contractors Delimb'n0 C ppn01 45 Concrete (Except Streets e 67 Scrap Yards - .- 92'kIg1way Meint.-Mowing 1 Private '�22 Forest M g ni. and Highways) _ - (R f rest to tie. .' " 46 Excavating Only 68 Machinery&Transport 93 Nursenes •A� 2 Federal Govt g y aired Equipment Preparation) 94 Goli Crs., Park Cemetery B 3 Stale/Province- - - 07 Wrecking d Demolition Transportation Co. 23 Read bu le g 8 Maintenance- 85 n3VlULICIR(1 d30 &CAIS alt.) G 4 County 48 Heavy(Bridge Dam,etc.) T1 Airports&Air Carriers 24 Waning a Handling l 96 Rental/Leasing Fvms 0 5 City.Town,Village Woods (Cop Logs t qg Highway g y&Streets 72 Port Harbors Waterways E` 6 Armed Forces C19Wood Handling v es - 50 Oil&Gas Pipeline 73 Mas Transit .F. ] National Account (Mjue, sorting ecneentratian) 51 Paving Contractor ., 74 Railroads,TruckingThe Warranty,on the reverse side is a part of this contract and the following applies-where pe:niitted.by law':-Neither seller, John Deere Industrial Equipment Company nor the manufacturer makes any other representations,orwarranties,Express of implied (AND EXPRESSLY DISCLAIMS.THE IMPLIED WARRANTIES 0F--MERCHANTABIL1TYAND FlTNESS) or-has_any obliga- tions to the Purchaser.except as provided on the reverse'side.= _ s 1 (we), promiseto pay the balance due (line 5) shown above in cash Or to:execute a.Time Sele-Agreemerit(RetaihGlstallment . Contract), or a Loan Agreement-, for the purchase price of the equipment;plus additional charges shown thereon on or before delivery of the Equipment ordered herein. Despi ysical delivery of the Equipment ! e s II remain n the selleruWdTafit of the for g Is accomplished. ur } ] ,ngder sexy '' --- ccePted r�i� - 9gneture -Le( -Qy 52, _ ...w. . DISTRIBLxTN 7.::.s:-Cr..:.:CENTER-FORMS PURC�,,ING. JOHN DEERE DEALER MUNICIPAL/GOVERNMENTAL LEASE PURCHASE AGREEMENT ,k•O .� •(• •l .l.. .J : �5, LEASE PURCHASE AGREEMENT("this Lease")entered into as of the - 1 day.ot`' December' - . 19 $_",.between Honnen Fnupmant Company.' " - 1"Lessor")and ('ity of Aspen a municipal corporation or political subdivision of the:Stam:of. Col oradn . - - I"Lessee'•1. 1. TERMS AND PAYMENTS lessor hereby leases to Lessee and Lessee:hereby 711- Lessee's failure to comply with any other covenant, condition or agreement of Lessee leases from Lessor, the new John Deere equipment descdhedin Exhibit A ('Equipment') for a ' " hereunder for a period of thirty (30) days after notice thereof;. `period of year(sl ("Lease Term"). Lessee agrees m pay Lease Payments in 7Ti. Lessee shall make, permit or suffer any unauthorized assignment, transfer or other `advance on the dates shown in Exhibit B f"Payment Schedule"), with a portion of each Lease ':is;+:'s;;. . 'disposition of this;Lease, er,any interest herein or of any imm(s) of the Equipment or " Payment to represent payment of interest and a onion to resent payment of nnici al as t;; "interest therein , Ym. P P Ym P P P Y principal j, shown on Exhibit B. r- Y` - ;",7 1 4 '',;Any other event 'the occurrence of which causes lessor to deem nself insecure •�2. PROPERTY TAXES, LICENSE FEES, ETC.:-'16 addition to the Lease '�';).2 Upon the occurrence of any.Event of Default specified herein. Lessor may exercise.any or .Payments to be made pursuant to Section 1, Lessee agrees to pay, and to indemnify and hold all'-r all ofthe following remedies - Lessor liamiless from all license, sales, use,7personal property or other taxes, penalties fines ,_7.2 1;;, 'Enforce this Lease by appropriate'action to collect amounts'due or to become due interest or charges of an kind that me be assessed or charged against the Equipment or use "` t - s.. r9 -Y Y r9 9hereunder acceleration or otherwise:;;'_" thereof - " :722: -Terminate this Agreement and repossess the Equipment, in which even) Lessee shall be 3. LESSEE'S COVENANTS AND REPRESENTATIONS - Lessee _ -'liable for any amountspayablehereunder through the date of such termination and all "- represents and warrants as follows for the benefit of Lessor fall such representations and:. '.;....." `'� costs and expenses (including, but not limited to reasonable attorneys' fees) incurred by warranties being continuing), and is delivering an opinion of its counseldated the date hereof,t -4 "` Lessor in connection therewith. _ _ in loon and substance satisfactory to Lessor,confirming that Lessee has the authority to enter: - ` 1. 1.2.3' Sell the Equipment at public er private sale. In the event the'precords of such sale,less - - into this Lease and make the follovnng'representation-s and warranties:: — - +P.: ' . `';.� . "the costs of repossession (including'reasonable attorneys' fees and the costs of sale) ..-3:1_.Lemile is a public body.cutpome and politic, or a political subdivision thereof,^legally and less any past due Lease Payments or interest riving by lessee (the "disposition existing under.the laws of the State of_ (-.,;In'rarin - " .credii'I, do not equal-The.applicable Termination Value/Option Price an the current 3.2 This Lease has been duly authorized.executed and delivered by Lessee .,_: n Lease Payment date, then Lessee shall be liable for the difference between said -3.3 This Lease is a legal,valid and binding obligation of Lessee, enforceable in accordance with ' .disposition credit and such Termination Value/Option Price + -r•- �zy ; 7.2.4 Pursue and exercise any other remedy available at law or to equity, in which event _. its terms. _+ - . _ - r Lessee shall be liable for any and all costs and expenses (including but not limited to - Lessee further represents and warrants as follows reasonable attomeys,fees) incurred by Lessor in connection therewith:. .;. : > Lessee has received and accepted the Eqmpmem, which is in good condition and repairand S• INTEREST ON DEFAULT.- If Lessee fails to pay any Lease Paymembd specified complies in all respects with Lessee's specifications. :T in Section I within ten-IIO) days after the date due, Lessee shall pay lessor interest an 3.5 Lessee will do all things lawfully within its power to obtain and maintain funds from which.,; such delinquent loose Paymentlsl from the due dale until paid at the fewer of twelve percent '- the Lease "payments may be made. including making provision for such payments to the I. (12%)per annum or the highest rate permitted by law extent necessary to each biannual or annual budget submitted for the purpose of obtaining y ASSIGNMENT AND SUBLEASE R -- funding, using its bona fide best efforts to have such portion of the budget approved.and exhausting all available reviews and appeals in the event such portion of the budget is not -.9.1 lessee shall not assign, transfer, pledge or hypothecate this Lease the Equipment or any approved. To the knowledge.of Lessee, there are no circumstances affecting the Lessee that pan thereat, or any interest therein, or permit the Equipment or any part thereof to be. * ' could reasonably be expected to alter its foreseeable need for the Equipment or adversely used by anyone other than Lessee cr its employees. affect its ability or willingness to budget funds for the payment of sumsdue hereunder. 9.2 Lessee agrees that Lessor may assign this Lease, as well as all right, title and interest'of .There•are no actions, lawsuits or proceedings pending for,'to the knowledge of Lessee," Lessor in and to the Equipment and aft Lease Payments due of to become due hereunder. _ - threatened against or affecting Lessee in any court or before any governmental commission, Lessee's obligation to make Lease Payments under this Lease shall not as to any such - hoard or authority"which, if determined adversely against Lessee, would have a material: assignee he subject to any reduction arising out of any breach of any obligation hereunder adverse effect an the ability of Lessee to mouton its obligations under this Lease.. - - or other liability of tosser to Lessee. -3.7 Lessee does not have budgeted in its current fiscal period sufficient funds to purchase the 10.SECURITY INTEREST - As security for Lessee's covenants and obligations under - '..'.Equipment for cash:.` , • this Lease, Lessee grants,to Lessor and its assignee a security interest in the Equipment and - 4..NON-APPROPRIATION OF FUNDS- . . all attachments,.additions, accessions and substitutions to or for the Equipment. Lessee agrees to execute such additional documents,'including financing statements, affidavits, 4.1 In the event funds are not budgeted and appropriated in any fiscal year for Lease Payments..? notices and similar instruments,in form satisfactory to Lessor, which Lessor deems necessary cry . due under this Lease for the then current or succeeding fiscal year, this Lease shall impose,",�. " or appropriate to establish and maintain its security interest. < '.A no obligation on the Lessee as to such current or succeeding fiscal year and shall became _ a -null and void except as to the lease Payments herein'agreed upon for which funds shall 11. LOSS OR DAMAGE TO EQUIPMENT - All ns of loss or damage to the have been appropriated and budgeted, and no right of amen or damage shall accrue to the - Equipment is assumed by Lessee until it is returned to Lessor. In the event of total lass of -�_ - , ' benefit of Lessor, its successors or assignees,for any funher Payments the Equipment. Lessee shall pay Lessor the Termination Value/Option Price shown an Exhibit >r`r 4.2 If'the provisions of Section 4.1 are utilized by Lessee, Lessee agrees to immediately notify " _ B for the current Lease Payment date, less proceeds of insurance and salvage value of the xs=,' i the Lessor or his assignee of chis Lease if funtls'ere not budgeted and appropriated m �. � Equipment. - {T `peaceably.surrender possession of the Equipment to Lessor or its assignee and that it will'- 12. INSURANCE - a not purchase. lease or rent equipment mirroring functions'siroliar to those performed by 12.1' Lessee, at its own expense. will carry,Comprehensive General Liability insurance including _ the Equipment' for a period of,ninety I90) days from.,the.date of surrender of the _ contractual liability with minimum limits of $1,000,000 bodily injury each,accurrence and "Equipment.' 82501000'property damage each occurrence. Lessee also agrees to have its insurer include y - 5. EARLY TERMINATION/PURCHASE OPTION - In the even[ Lessee Lessor and its assigns as Additional Insureds. should desire to terminate this Lease or purchase the Equipment on any Lease Payment due 12.2 Lessee, at its own expense, shall keep the Equipment insured against all risk of physical -_. date prior to the end of the Lease Term, for reasons other than non appropda[ion of funds as damage for no less than its actual cash value. Such insurance shall include a loss payable described in Section 4,the following options are available -_ ?_'= -'clause made out in favor.of the Lessor, and the proceeds of same insurance,at the option 5.1 Lessee may request Lessor to sell the Equipment for a fair market price and Lessee shall `of-Lessor, shall be applied toward the replacement, restoration or repair of said Equipment. pay Lessor the Termination Value/Option Pace shown.on.Exhibit B less the net proceeds- or to payment of any obligation of Lessee hereunder. PAYMENT OF ANY INSURANCE ',-received from the sale ef,the Equipment' PROCEEDS SHALL NOT AFFECT LESSEE'S OBLIGATIONS UNDER .SECTION- 11, 5.2 Lessee', having complied with the terms and conditions of this Lease shall have.ine option INCLUDING ITS OBLIGATION TO PAY ANY DIFFERENCE BETWEEN TERMINATION ,to.purchase the Equipment b VALUE/OPTION PRICE AND INSURANCE PROCEEDS AND SALVAGE PROCEEDS RECEIVED y paying the Termination Value/Option.Price shown an Exhibit.. BY LESSOR. Alternatively, upon poor approval by Lessor, Lessee may meet this requirement 9. by furnishing Lessor with satisfactory proof of self-insurance and of lessee's ability to In the event that"Lessee makes all Lease Payments as scheduled Lessee shall be deemed to meet its obligations hereunder. have prepedy exemisetl its option to purchase the Equipment and shall acquire all of Lessors '123 Lessee shalldeliver to Lessor certificates or other evidence satisfactory�io Lessor,that z ' right. title-and interest in and to the Equipment ai,the time the final payment is made Until - - insurance is maintained as required under Sections 12.1 and 12:2 until Lessee is no longer such time as all lease payments are made, title to the Equipment shall'remain'in Lessor. liable for loss-or damage`to the Equipment as provided in Section 11" hereof. Such = S.'NEW EQUIPMENT WARRANTY Lessor will offer the standard John Deme� - insurance shall he effective from the date of the Lease and shall include a clause <r - New Equipment Warranty available with the Equipment Lessee hereby acknowledges review end ,obligating the insurer to give Lessor not less than fifteen (151 days poor written notice of_ %`receipt_of a copy of said Warranty." any material change in or cancellation of the insurance. If Lessee.fails to deliver evidence 7. DEFAULT AND LESSOR'S REMEDIES of physical damage insurance or to maintain such insurance in force unid Lessee is no `.7.1 The'accurence of one or more of the-following events shall constitute an Event of Default f'•?: longer liable for loss or damage to the Equipment under Section"11, it is understood that whether occurring voluntarily or involuntarily, by operation of law or pursuant to any order,of the Lessor may, but shall not he ohligaied to purchase such insurance. Lessee agrees to any coon or governmental agency: '. ' Pay the cost thereof at such time as Lessor demands or to have the cost thereof diPddC IN '7.1.0 Failure by Lessee to pay any Lease Paymentthirty 130) days of the time'specified the Lease Payments due hereunder, at the sole discretion of Lessor + ti tz LESSOR. - Honnen lj,quintoent Company - sr LE`S'SEE CT.ty"of Aspen Y , Title = ' •`Branch Manager• ' Title - Mavor . — . .., ASSIGNMENT.. . �TO: JOHN DEERE LEASING COMPANY- Fer!value received Lessor hereby sells.assigns and transfers this Lease to JOHN DEERE LEASING COMPANY and its assigns pursuant to the terms end conditians of the applicable John Deere Dealer leasing Agreement now in effect between us, together with all right, title and interest in and to the Equipment which is the subject of rlis lease... "Dealer (Lessor) Honnen Equipment Company '