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Your Business Information
CITY OF MEj21DIAN 82 6000?25
Futl Legal Nam®ot rertter D8A Interne o[ tattler Tett ID A (FEp~i/IlM
33 E tBIkH9--L~,PD/~Dlu,6rv i4V~ ERIDIAN ID 83642-2631
Btllirrg Address Oily S1aDe 71p•4
Credit Cant t Nerve On Card ~ Defle Type or Card
r0 / Sri 9~3b
Tax Exempt ~ State Tax (e app6cebte) Fiscal Period (Nom - to)
Your Business Needs .
Qty Business Solution Description aleck Items ~ be beduded In customer's payment
flAall St[wm Solution - 4 Q Equipment Mairrterrence (1st year included)
1 DM525 Digital Mailing System P,ovAdes servloe oove-age b-dudhtg oaEeln par4s and labor
arum r r uu wirr trv t r~ ~ gym Maintenance (1st year included)
Fiovi~s-ev~n updates and EerlnJca/sssistance
0 SoR-Guar~da~ Subscription
or 101b Scale PfD1~~~''
a you do not erect m bratude Batt pmteodon ~ you lease, you vrm
I eutom~muy nrc~ve updates et 9re Ber-acrerd rates
^x Inte111LirtkT~ Subscri~lonlMtrter Rental
Provides sbrrpld6ed t~ aad brdrrdes (I~sPwl~
( ) cordaraafiarr services m postai oordinrmtion ~~
Your Payment Plan -- - ~ - .
Number of monttm Mond amount"
First 7 0.89
Required advance check of $ received
Tax Exempt oertiBcate attached
initial rerdal tens
Your Acknowledgement _
By your slgrrelure below. You are tartterirtg biro a Installment Lease Agreerrrent pursuant tiD your Participating Addendrun to the WSCJI Contract #
EPS06t1076-A2-21'hetTemis arld Conditions of such WSCA Installment Lase Agreemert Optlon A govern this transaction.
Slgnahua ~J " ~ ~~ DetQe
KEITH WATTS ~ BUSINESS MANAGER
Print Name Trite F.rrmO Address
Linda-Diane Hi8 0~
Aocot-rrt ~ Dlstr~t Olflce PBGFS AccepQarroe
INSTALLMENT LEASE AGREEMENT OPTION A
The State will have the option to acquire Pitney Bowes Mailing Equipment through an
Installment Lease Agreement, subject to the applicable terms and conditions set forth herein.
The pricing plan for the Installment Lease Agreement is as follows:
Monthly Billing: Quarterly Billing:
Term Lease Rate Term Lease Rate
36 .0317 36 .0960
48 .0247 48 .0750
60 .0205 60 .0625
The terms and conditions are as follows:
1. GENERAL. All Installment Lease Option A Agreements (each referred to herein as
"Installment Agreement") consist of the following terms and conditions in addition to the
applicable terms and conditions of the State Contract. By issuing a Purchase Order under
this Installment Lease Option A, the State is requesting that Contractor leases the
referenced equipment (the "Equipment's for essential governmental purposes. Such
Equipment does not include any referenced IntelliLinkTM Control Center or postage
meter, which remain the property of Contractor or one of its wholly owned subsidiaries.
Any IntelliLinkTM Control Center or postage meter is subject to the applicable USPS
regulations and meter terms and conditions as may be provided by Contractor.
2. TERM. This Agreement shall commence upon acceptance of the Equipment and shall
continue until the earlier of (i) termination at Contractor's Option upon the occurrence of an
event of default, (ii) the occun~ence of an event of non-appropriation or termination for
Contractor default under the State Contract, (iii) termination in accordance with paragraph 3
below, or (iv) the expiration of the specified term.
3. CANCELLATION OR TERMIIVATION. The State intends to enter into each Installment
Agreement for the entire agreed upon term and Contractor has relied upon such represented
intention when determining the applicable pricing plan. If the State cancels or terminates an
Installment Agreement prior to its expiration (other than for non-appropriations or Contractor
default pursuant to the State Agreement), the State shall. pay a termination charge equal to the
net present value of the monthly payments remaining through the completion of the term,
discounted to present value at a note of 6% per year. Notwithstanding the foregoing, the State
may not terminate an Installment Agreement to obtain the same or similar equipment at more
favorable terms.
4. REMEDIES. If the State defaults, Contractor may, at its option and with out demand or
notice, take one or any combination of the following actions: terminate the relevant
Installment Agreement, take possession of the relevant Equipment (including meters), declare
the entire amount of all payments, and other amounts due and to become due, for the then
current fiscal period for which funds have been appropriated to be immediately due and
payable, and pursue any other remedy permitted by law or in equuty.
5. REPRESENTATIONS; MISCELLANEOUS. The State represents and warrants that: (a)
it shall timely file an information reporting return (e.g. Form 8038 - GC or, as necessary,
6.
7.
$.
9.
Form 8038 - G) with the Internal Revenue Service in accordance with Section 149(e) of the
Internal Revenue Code of 1986, as amended (the " Code', and the regulations thereunder and
the State hereby appoints Contractor as its Agent for the purpose of maintaining a registration
system as required by Section 149(x) of the Code; and the State is (and shall continue to be) a
State or local government entity, and that any obligation arising out of this Agreemen
constitutes an obligation by or on behalf of a state or political subdivision thereof, within the
meaning of Section 103 of the Code and the regulations thereunder. The State aclmowledges
that the Agreement is entered into based on the assumption that the interest portion of each
Period Payment is not includible in gross income of the owner thereof for Federal income tax
purposes under Section 103(a) of the Code. A portion of each Period Payment that the State
shall pay includes interest. ff any interest is determined not to be excludible from gross
income in accordance with Section 103(x} of the Code, the State's Period Payment shall be
adjusted in an amount sufficient to maintain Contractor's original after tax yield utilizing
Contractor's consolidated marginal tax rate, which adjusted Period Payments the State agrees
to pay as provided in this Agreement. The late at which the interest portion of Period
Payments is calculated is not intended to exceed the maximum note or amount of interest
permitted by applicable law. If such interest portion exceeds such maximum, then at
Contractor's option, if permitted by law, the interest portion will be reduced to the legally
permitted maximum amount of interest, and any excess will be used to reduce the principal
amount of the State's obligation or be refunded to the State.
ASSIGNMENT. The State may not assign, transfer or sublet any interest in this agreement
or the equipment without Contractor's prior written consent.
TITLE. Title to the equipment passes to the State at the time and place of delivery to the
State of each unit of equipment. The State will have a grace period of sixty (60) days after
the equipment is delivered to aotify Contractor of any defects in the equipment If the State
does not notify Contractor within the grace period, it will be deemed accepted. The
Contractor or its duly authorized assignee shall have a purchase money security interest in the
equipment, until payment of all installments are made. Upon payment of the final
installment, or any concluding payment option, the Contractor or his duly authorized assignee
shall have no further interest in the equipment
PURCHASE OPTION. The State shall have the option to purchase the Equipment at any
time during the Term "as is, where is" by paying the remainder of all installment payments.
INSURANCE. The State is responsible for Equipment loss, damage or destruction from any
cause, whether or not insru~ed. The State shall provide, maintain, and pay for: (a) insurance
against Equipment loss, theft, or damage, for the full replacement value thereof, with loss
payable to Contractor, and (b) public liability and property damage insurance naming
Contractor as an additional insur~i. No Equipment loss, theft or damage shall relieve the
State of its obligation to pay the Period Payments or any other obligation under this
Agreement Notwithstanding the foregoing, the State shall not be responsible for
Equipment loss, damage or destraction if Contractor has delivered non-conforming
goods.
W$CA OPTION A Pam (Rev OS107)
Form 803$-GC Information R®turn for Small Tax-Ex®mpt
Governmental Bond Issu®s, L®as®s, and Installm®nt Sal®s oMS No.,sas-orlo
cam. nrotier~er zooo>
t~ranerrt mtrre Treasruy - Under Internal Revenue Code section 149(e)
~nUemel lietrenue Nervioe Caution: If the Issue p~Ca of the issue iS $900,000 or more u~ Form 8038-G.
' Reporting Authority Check box if Amended Return ~
1 IasueYs name 2 Issuers~~m+plover Identlficatlon number
CITY OF MERIDIAN Pfe~I `
3 Number and atrect (or P.O. box if mail ie not de6vmed to street address) Room/suite
33 E IDAHO
4 C town, or post office atede, and ZIP wde 3 Report number
~RIDIAN ID 8384-2631 g
6 Name and title of officer or legal reoreaentaWe whom the IR3 may tali for more irrlonnatlon 7 Teleuhone number of otficer or legal reorecentatir
~ D~crliption of Obligations Check if retsortina: a single issue LU or on a t~nsolidated basis U
6a Issue prices of obligation(s) (see instructions) .... .. ... ..................... Sa
.. . .. ... .. ... .
b Issue data (single issue) or calendar year (consolidated) (see instructions) - ................. .
9 Amount of the reported obligation(s) on line 8a:
a Used to refunti prior issue(s) ...... ................ .......... 9a
. .. .......... ... ... ...
b Representing a loan from the proceeds of anothertax-exempt obligation (e.g., bond bank) .......... .
10 If the issuer has designated any issue under section 2ti5(b)(3)(B~ixlll) (small issuer exception), check this box ............... -
11 If any obligation is in the form of a lease or installment sale, check this box . ............................. ......... -
12 If the issuer has elected to pay a penalty in lieu of arbitrage rebate, check this box ..................................... -
Under penalties o perjury, I declare
.Sl9n and belief, the ( 1n o t n
Here '
I
General Instructions
Section references are to the Internal
Revenue Code unless otherwise noted.
Purpose of Form
Form 8038fisC is used by the issuers of
tax-euempt govea-mental obligations to pmvide
the IRS with the information requires by section
149(e) and to monitor the requirements of sections
141 through 1s0.
Who Must File
Issuers oftax-exempt governmental
obligations with issue prices of less than
$100,000 must file Form 8038-GO.
Issuers of atax-exempt governmental
obflgation with ao issue price of $100,000 or
mare must file Fonn 8038-G, Information
Kelton for Tax-Exempt Governmental
Obligations.
FIBng a separate return. Issuers have the
option to file a separate Form 8038-GC for any
tax-exempt governmental obligation with an issue
price of less than $100,000.
An issuer of atax-exempt bond used to
finance construction expenditures must file a
separate Form 8038-GC for each issue to give
notice to the IRS that an election was made to pay
a penalty in lieu of arbitrage rebate (seethe line 12
irrsnvctions).
Filing a consolidated return. For all
tax~rrempt governmental obGgatimrs with issue
prices of less than $100,000 that are not reported
on a separate Form 8038-GC,
an i~rer must file a consolidated information
return including all such issues issued within the
calendar year.
I have examined this return and aceomparrying schedules and statemerds, arM to the beat of my Imowledge
D~ate'~ ' Ty~ l n rra ~'nd ~ ~IZL' ~
Thus, an is~rer may file a separate Fonn 8038-GC
for each of a number of small
issues and report the remainder of small issues
issued during the calendar year on one consolidated
Farm 8038-C1C. However, a separate Form 8038-GC
must be filed to give the IRS notice of the election to
pay a perelty in lieu of arbitrage rebate.
When To File
To file a separate return, file Fonn 8038-C1C on
or before the 15th day of the second calendar
month a&er the close of the calendar quarter in
which the issue is issued
To file a cortsopdated return, file Form
8038-LiC on ar before February 15th of the
calendar year following the year in which the issue
is issued
Late Alin®. An issuer may be granted an extension
of time to file Form 8038-CC under Section 3 of
Rev. Prot. 88-10, 1988-1 C.B. 63s, if it is
determined that fire failure to file on time is not due
to willfit! neglect. Type or print a! the top of the
form, `°I7ris Statement Is Submitted in Accordance
with Rev. Prot. 88-10.° Attach to the Form 8038-
GC aletter briefly stating why the fomr was not
submitted to the IRS on time. Also indicate whether
the obligation in question is under examinatiaur by
the IRS. Do not submit copies of any bond
docrmments, leases, or installment sale docrmrents.
See Where To File below.
Where To File
File Form 8038-GC, and any attachments,
with tire Internal Revenue Service Center, Ogden,
UT 84201.
Other Forms That May Be Required
For rebating arbitrage (or paying a penalty in lieu of
arbitrage rebate) to the Federal government, use
Form 8038-T, Arbitrage Rebate and Penalty in
Lieu of Arbitrage Rebate. For private activity bonds,
use Form 8038, Information Return far Tax-
Exempt Private Activity Bond Issues.
Rounding to Whole Dollars
You may show the money items on this
return aswhole-dollar amounts. To do so,
drop arty amount less than s0 cuts and increase any
amount from s0 to 99 cents to
the next higher dollar.
Deftnltlons
ObBgatlons. Thla refers to a single
tax-exempt governmemal obligation if Form 8038-
GC is used for separate reporting or to multiple tax
exempt governmental ob8gations
if the form is used for cxmsoGdated reporting.
Tax-exempt obllgaAon. This is a bond,
installment purchase agreement, or financial lease,
on which the interest is excluded flrom income
ands section 103.
Tax~+xempt governmental obligation. Atax-
exempt obligation that is not a private activity band
(see below) is a tax~rrentpt governmental obligation.
This includes a band issued by a qualified volunteer
fire department under section 1s0(e)
Private activity bond. This includes an obligation
issued as part of m issue in which:
• More than 10°!0 of the procceds ate to be use
for any private activity business use,
and
Ca#. No. 641088 Form 8038-GC (Rev.11-2000)
Form 8038-GC (Rev. 11-2000)
More than 10'/0 of the payment of principal or
interest of the issue is either {a) secured by an
interest in property to be used for a private
business use (or paymects for such property) or
(b) to be derived from payments for property (or
borrowed money) used for a private business use.
It also includes a bond, the proceeds of which
{a) are to be used to make or finance loans
(other than loans described in section 141(c~2))
to persons other than goveromental units and (b)
exceeds the lesser of 5% of the proceeds or $5
million.
Issue. Generally, obligations are treated as part
of the same issue only if they are issued by the
same issuer, on the same date, and as part of a
single transaction, or a series of related
transactions. However, obligations issued during
the same calendar year (a) under a loan
agreement under which amounts are to be
advanced periodically (a "draw-down loan") or
(b) with a germ not exceeding 270 days, may be
treated as part of the same issue if the obligations
are equally and ratably secured under a single
indenture or loan agreemect and are issued under
a common financing arrangemect (e.g., under the
same official statement periodically updates to
reflect changing factual circumstances). Also, for
obligations issued under adraw-down loan that
meets the requirements of the preceding sentence,
obligations issued during different calendar years
may be treated as part of the same issue if all of
the amour to be advanced under the draw-down
loan are reasonably expected to be advanced
within 3 years of the date of issue of the first
obligation. Likewise, obligations (other than
private activity bonds) issued under a single
agreement that is in the form of a lease or
installmem sale may be treated as part of the
same issue if all of the property covered by that
agreement is reasonably expected to be delivered
within 3 years of the date of issue of the first
obligation.
Arbitrage rebate. Generally, interest on a state
or local bond is not tax exempt unless the issuer
of the bond rebates to the Unites States arbitrage
profits earned from investing proceeds of the
bond in higher yielding nonpurpose investments.
See section 148(f).
Construction Issue. This is an issue of
tax-exempt toads that meets both of the
following conditions:
1. At last 75% of the available conshvction
proceeds of the issue are to be used far
construction expenditure with respect to
property to be owned by a governmental unit or
a 501{c~3) organization, and
2 All of the bonds that are part of the issue are
qualified 501(c)(3) bonds, bonds that are not
private activity bonds, or private activity bonds
issued to finance property to be owned by a
governmental unit or a 501(c)(3) organization.
[n lieu of rebating any arbitrage ~ may be owed
to the United Stains, the issuer of a consnuction
Issue may make an irrevocable election to pay a
penalty. The penalty is equal to 1 % of the
amount of construction proceeds that do not meet
certain spending requirements. See section
148(f~4~C) and the Instructions for Form 8038-
Specific Instructions
In general, a Form 8038-GC must be completed
on the basis of available information and
reasonable expectctions as of the date the issue is
issued. However, forms that are filed on a
consolidated basis may be completed on the basis
of information readily available to the issuer at
the close of the calendar year to which the form
relates, supplemented by estimates made in good
faith.
Part I-Reporting Authority
Amended retum. Yf this is an amended Form
8038-GC, check the amended return box.
Complete Part I and only those lines of Form
8038-GC that are being amended. Do not amend
estimated amounts previously reported once the
actual amounts are determined. (See the Part II
instructions below.)
Line 1. The issuer's name is the name of the
entity issuing the obligations, not the name of the
entity receiving the benefit of the financing. In
the case of a lease or installment sale, the issuer
is the lessee or purchaser.
Line 2. An issuer that does not have an
employer idemifiation number (EIN) should
apply for one an Forth SS-4, Application for
Employer Identifiation Number. This farm may
be obtained at Social Security Administration
offices or by calling 1-800-TAX-FORM. If the
EIN has not been received by the due date for
Form 8038-GC, write "Applied for" in the
space for the E1N.
Line b. After the preprinted 5, enter two self-
designated numbers. Number reports
consecutively during any calendar Year (eg.,
534, 535, etc. ).
Part 11-Description
of Obligations
Line 8a. The issue price of obligations is
generally determined under Regulations section
1.148-1(b). Thus, when issued for cash, the issue
price is the price at which a substantial amount of
the obligations are sold to the public. To
determine the issue price of an obligation issued
for property, see sections 1273 and 1274 and the
related regulations.
Ltne 8b. For a single issue, enter the date of
issue, generally the date on which the issuer
physically exchanges the bonds that are part of
the issue for the underwriter's (or other
purchaser's) funds; for a lease or installment sale,
enter the date interest starts to accrue. Far issues
reported on a conrolidated basis, enter the
calendar year during which the obligations were
issued
Page 2
Lines 9a and 8b. For line 9a, emer the amount
of the proceeds that will be used to pay principal.
interest, or cell premium on any other issue of
bonds, including proceeds that will be used to
fund an escrow account for this purpose. Both
line 9a and 9b may apply to a particular
obligation. For example, report on line 9a and 9b
obligations used to refimd prior issues which
represent loans from the proceeds of another tex-
exempt obligation.
Line 11. Check this box if property other than
cash is exchanged for the obligation, e.g.,
acquiring a police car, a fire truck, or telephone
equipment through a series of momhly paymems.
(This type of obligation is sometimes referred to
as a "municipal lease.") Also check this box if
real property is directly acquired in exchange for
an obligation to make periodic payments of
interest end principal. Oo not check this box if
the procxa;ds of the obligation are received in the
form of cash, even if the term "leap" is used in
the title of the issue.
Line 12 Check this box if the issue is a
construction issue and an irrevocable election to
pay a penalty in lieu of arbitrage rebate has base
made on or before the date the bonds were issued.
The penalty is payable with a Form 8038 T for
each 6-month period after the date the bonds are
issued. Do not make any payment of penalty in
lieu of rebate with Form 8038-GC. See Rev.
Pros. 92-22, 1992-I C.B. 736, for rules regarding
the "election document."
Paperwork Reduction Act Notice
We ask fur the information on this form to carry
out the Internal Revenue laws of the United
States. You are required to give us the
information. We need it to ensm~e that you are
complying with these laws.
You are not required to provide the
information requested on a forn- that is subject to
the Paperwork Redaction Act unless the form
displays a valid OMB control number. Books or
records relating to a form or its instructions must
be retained as long as their contains may become
material in the administration of any Internal
Revenue law. Generally, tax returns and return
information are confidential, as required by
section 6103.
The time needed to complete and file this
form varies depending on individual
circumstances. The estimated average time is:
Learning about the
law or the Conn .....................1 hr., S8 min.
Preparing the form .................3 hr., 3 min.
Copying, assembling, and
Sending the form to the IRS ...........16 min.
If you have commems concerning the
accuracy of these time estimates or suggestions
for making this form simpler, we would be happy
to hear from you. You an write to the Tax
Foams Committee, Western Ara Distribution
Cam, Rancho Cordova, CA 95743-0001. Do
not sand the form to this address. lasted, see
Where To Flle on
page 1.