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Resolution No. 6762 I RESOLUTION NO. 6762 2 3 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF VERNON APPROVING AND AUTHORIZING THE EXECUTION OF AN ELECTRICAL SERVICE CREDIT AGREEMENT BY AND AMONG THE CITY OF VERNON, THE REDEVELOPMENT AGENCY OF THE CITY OF VERNON AND FOUR M MANUFACTURING GROUP OF CALIFORNIA, INC., DBA BOX USA 4 5 6 7 WHEREAS, Four M Manufacturing Group of California, Inc., 8 dba Box USA ("Company") is a manufacturer of corrugated paper products which intends to relocate its manufacturing facility to 9 10 .. the City of Vernon; and II WHEREAS, Company intends to purchase or lease the 12 property and building located at 3030 South Atlantic Avenue, City 13 of Vernon, California, which is also located within the Vernon 14 Redevelopment Project Area (hereinafter the "Property"); and 15 WHEREAS, the City of Vernon, the Redevelopment Agency of the City of Vernon ("Agency") and Company have agreed that the Agency will provide a credit not to exceed ONE HUNDRED FIFTY 16 17 18 THOUSAND DOLLARS AND NO CENTS ($150,000.00) against future monthly 19 electric bills for demand charges for a period of time not to 20 exceed the first thirty (30) months of operation in order to 21 assist the Company in paying for the costs of reconstruction and 22 23 rehabilitation of electrical facilities needed to provide electricity to the machinery which will be relocated from the 24 Company's facility to the Property in the city of Vernon and to 25 26 reimburse the City the expense of installing external electric service facilities to provide electric service to the Property; 27 and 28 . . I SECTION 4: The City Clerk of the City of Vernon shall 2 certify to the passage of this resolution and thereupon and 3 thereafter the same shall be in full force and effect. 4 APPROVED AND ADOPTED this 5th day of March, 1996. /'~~ ATTA-/~~ BRUCE V. MALKENHORST, City Clerk 5 6 7 8 9 10 II 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 -3- I STATE OF CALIFORNIA ) ) ss COUNTY OF LOS ANGELES ) 2 3 I, BRUCE V. MALKENHORST, City Clerk of the City of Vernon, do hereby certify that the foregoing Resolution, being Resolution No. 6762, was duly adopted by the City Council of the City of Vernon at an adjourned regular meeting of the City Council 4 5 6 7 9 signed by duly held on Tuesday, March 5. 1996, and thereafter was duly the Mayor of the city of ~ ~~~ BRUCE V. MALKENHORST, City Clerk 8 10 II l2 13 14 15 16 17 (SEAL) 18 19 20 21 22 23 24 25 26 27 28 -4- 1 Execution Copy 2 ELECTRICAL SERVICE CREDIT AGREEMENT 3 THIS ELECTRICAL SERVICE CREDIT AGREEMENT is made, entered 4 into and executed in triplicate originals, any copy of which may 5 be considered and used as the original hereof for all purposes, as 6 of this day of 1996, 7 BY .AND BETWEEN THE CITY OF VERNON, a municipal $ corporation (.hereinafter referred to as the "CITY"), 9 4305 Santa Fe Avenue Vernon, California, 90058 10 AND THE REDEVELOPMENT AGENCY OF THE 11 CITY OF VERNON, a municipal corporation (.hereinafter -12 referred to as the "AGENCY"), 4305 Santa Fe Avenue 13 Vernon, California, 90058 14 AND FOUR M MANUFACTURING GROUP OF CALIFORNIA., INC., a California 15 corporation, DBA BOX USA, (hereinafter referred to as 16 "COMPANY"), 115 Stevens Avenue 17 Valhalla, New York 10595-1252 18 RECITALS 19 AGENCY, CITY and COMPANY enter into-this Electrical 20 Service Credit Agreement (hereinafter "Agreement") in recognition 21 of, and concurrence in, the following: 22 A. COMPANY is a manufacturer of corrugated paper 23 products, currently located in the City of Compton, California, 24 and intends to relocate said manufacturing facility to the City of 25 Vernon; and 26 B. COMPANY intends to purchase or lease the property and 27 building located at 3030 South Atlantic Avenue, City of Vernon, 28 California, which is also located within the Vernon Redevelopment l Project Area (hereinafter the "Property"); and 2 C. Said Property has been vacant for at least six (6) 3 years and the building has suffered extensive damage, is blighted 4 and substandard and needs to be rehabilitated and renovated in 5 order to meet the existing building codes and qualify for an 6 occupancy permit; and 7 D. COMPANY will spend at least ONE HUNDRED FIFTY $ THOUSAND DOLLARS AND NO CENTS ($150,000.00) for the rehabilitation 9 of the internal electrical service facilities, in order to meet 10 the requirements of the electrical code; and 11 E. CITY, AGENCY and COMPANY have agreed that the AGENCY 12 will provide a credit not to exceed ONE HUNDRED FIFTY THOUSAND 13 DOLLARS AND NO CENTS ($150,000.00) against future monthly electric, 14 bills-for demand charges for a period of time not to .exceed the 15 first thirty (30) months of operation in order to assist the 16 COMPANY in paying for the costs of reconstruction and 17 rehabilitation of electrical facilities needed to provide 18 electricity to the machinery which will be relocated from the 19 COMPANY'S facility in the City of Compton to the Property in CITY; 20 and 21 F. CITY is a chartered municipal corporation of the 22 State of California that owns and operates a system for the 23 generation, purchase, transmission, distribution, and sale of 24 electric capacity and energy. CITY serves electricity to 25 consumers at retail from the CITY'S distribution system located 26 within its municipal boundaries; and 27 G. The AGENCY was created by the CITY in 1986 in order 28 to assist in the redevelopment of blighted areas and to support -2- 1 the reconstruction and rehabilitation of real property and 2 buildings located in the Project Area; and 3 H. COMPANY has agreed to relocate its manufacturing 4 business to the Property in the CITY and agrees to purchase 5 electricity (capacity and energy) from CITY for use in its 6 industrial process to be conducted by said customer at the 7 Property-for the next ten (10) years in consideration for the 8 AGENCY providing said credit. 9 NOW., THEREFORE, THE PARTIES HERETO DO MUTUALLY AGREE AS 10 SET FORTH HEREIN: 11 1. EFFECTIVE DATE AND OBLIGATIONS. 12 The Agreement shall be effective on the date of 13 execution. The obligations of the CITY and COMPANY to purchase 14 and sell electricity service hereunder will start on the date. 15 COMPANY begins operation of its manufacturing business on the 16 Property (hereinafter "Date of Operation"), but-which in no event 17 shall be later than twelve (12) months following the execution of 18 this Agreement. This Agreement and the obligations hereunder 19 shall expire ,ten (10) years after the Date of Operation unless an 20 Event of Default occurs. 21 A. During the term of this Agreement, CITY will 22 supply, and COMPANY will purchase, the full requirements of the 23 COMPANY for electricity at the Property. COMPANY will-not itself 24 generate electricity or otherwise obtain any electricity from any 25 source other than the CITY. 26 B. AGENCY shall pay CITY on COMPANY'S behalf a total 27 credit not to exceed ONE HUNDRED FIFTY THOUSAND DOLLARS 28 ($150,000.00) for electrical service used by COMPANY during the -3- 1 first thirty (30) months only following .the Date of Operation. 2 This total credit obligation will terminate after said period and 3 any unused credit will be canceled. Said credit shall be granted 4 on a monthly basis (hereinafter "monthly credit") not to exceed 5 fifty percent (50%) of each month's electrical billing for demand 6 charges for on- and mid-peak usage only.- Said monthly credit paid. 7 by the AGENCY shall be deemed a loan by the AGENCY to the COMPANY $ and shall accrue interest at the rate of five and one-half percent 9 (5 1/2~) per year compounded monthly, which loan and interest 10 shall be forgiven on a proportional basis during the one hundred 11 twenty (120) month term of the Agreement upon fulfillment of the 12 terms and conditions of this Agreement. Any Event of Default as 13 set forth in Section 4 hereof shall cause AGENCY's credit 14 obligation to terminate. In such Event of Default., COMPANY will 15 -repay to AGENCY for the total amount of any monthly credit 16 -previously advanced plus interest on a proportional basis for the 17 remainder of the one hundred twenty (120) month term. 18 C. AGENCY shall pay to the CITY the cost to install 19 electrical' service facilities to the customer's meter and the cost 20 of-.said facility, except for the construction of the concrete pad 21 for the transformer and the trench and conduit for the service 22 line and further shall pay the cost of relocating electric service 23 poles. This amount is estimated to be $90,000.00. 24 D. CITY shall negotiate a procedure with COMPANY 25 which will permit the COMPANY to avoid paying premiums for 26 completion bonds associated with the street improvements. This is 27 anticipated to be an estimated cost for the COMPANY of TWELVE 28 THOUSAND DOLLARS ($12,.000.00). -4- 1 E. CITY agrees that COMPANY shall not be 2 disqualified from competing for Community Development Block Grant 3 ("CDBG") funds, if the CITY receives such funds from the State for 4 calendar year 1996. 5 2. CONDITION PRECEDENT TO ELECTRICAL SERVICE CREDIT. 6 AGENCY'S obligation to provide the electrical service 7 credit is subject to the following conditions: 8 A. Prior to the Date of Operation, COMPANY shall 9 have delivered to AGENCY and CITY, a fully executed copy of this 10 Agreement. 11 B. COMPANY shall have relocated substantially all of 12 its equipment and inventory from its current location in the City 13 of Compton to the Property. 14 C. COMPANY shall clearly indicate in its mailing and 15 other documents that the plant is located in Vernon, California. 16 D. COMPANY shall have obtained and paid for all 17 necessary local and state licenses and permits for operation of 18 its manufacturing business including City of Vernon building, 19 electrical and mechanical permits, health permit, certificate of 20 occupancy, business license, etc.. 21 E. COMPANY shall have paid for all electrical 22 services used during the relocation period prior to the Date of 23 Operation and shall notify AGENCY and CITY in writing of the Date 24 of Operation and. shall have paid for the reconstruction and 25 rehabilitation of the internal electrical service facilities. 26 3. PRESENTATIONS AND WARRANTIES. 27 COMPANY represents and warrants that.: 28 A. COMPANY is a corporation duly organized and -5- 1 existing under the laws of the State of California with its 2 principal place of business at 115 Stevens Avenue, Valhalla, New 3 York 10595-1252. 4 B. COMPANY has the power to own or lease property 5 and to carry on business as it is now being conducted. 6 C. COMPANY is duly qualified and authorized to do 7 business and is in good standing in every state, country, or other 8 jurisdiction in which the nature of its business and properties 9 makes such qualification necessary. 10 D. COMPANY has full power and authority (corporate 11 and other) to execute and deliver this Agreement and to perform 12 and observe the terms and provisions of this Agreement. 13 E. All corporate action by COMPANY, its directors or 14 stockholders, necessary for the authorization, execution, 15 delivery, and performance of this Agreement has been duly taken. 16 F. The officers of COMPANY executing this Agreement 17 are duly and properly in office and fully authorized to execute 18 said agreement. 19 G. This Agreement has been duly authorized, 20 executed, and delivered by COMPANY, and is a legal, valid, and 21 binding agreement of COMPANY, enforceable against it in accordance 22 with its terms. 23 H. There is no charter, bylaw, or capital stock 24 provision of COMPANY, and no provision of any indenture or 25 agreement, written or oral, to which COMPANY is a party or under 26 which COMPANY is obligated, nor is there any statute, rule, or 27 regulation, or any judgment, decree, or order of any court or 28 agency binding on COMPANY which would be contravened by the -6- 1 execution and delivery of this Agreement. 2 4. EVENTS OF DEFAULT. 3 The occurrence of. any of the events set forth below (an 4 Event of Default) shall be grounds for AGENCY to terminate its 5 obligation to make or continue to provide credit for electric 6 bills during the first twenty-four (24) months of operation,. at 7 the option of AGENCY or to demand repayment of all the credit.- - 8 advanced. prior to such default. AGENCY shall give COMPANY ten 9 (10) days written notice of any Event of Default and request that 10 COMPANY cure said Default. The termination of the credit 11 obligation by AGENCY will not terminate the obligation of COMPANY 12 under Section 1.A until COMPANY has repaid AGENCY for any credit 13 amounts previously advanced as provided for in 1B. Each of the 14 following shall constitute an Event of Default: 15 A. If COMPANY ceases taking its full requirement of 16 electric service during the term hereof. 17 B. If COMPANY breaches or defaults under any 18 material term, condition, provision, representation, or warranty 19 in this Agreement, if that breach or default shall continue for 20 ten (10) days after its occurrence, or after notice of the breach 21 or default to COMPANY from AGENCY, whichever is later. 22 5. MISCELLANEOUS PROVISIONS. 23 A. Any communications between the parties or notices 24 provided for in this Agreement may be given by mailing them, first 25 class, postage prepaid, to AGENCY, CITY and COMPANY at the address 26 indicated below, or to such other address as any party may 27 indicate to the other in writing after the date of this Agreement. 28 -7- 1 To CITY: Attention: Bruce V. Malkenhorst, City Administrator 2 4305 Santa Fe Avenue Vernon, CA 90058 3 To AGENCY: Attention: Bruce V. 4 .Malkenhorst, Executive Director 4305 Santa Fe Avenue 5 Vernon, CA 90058 6 To COMPANY: Attention: Chris Mehiel, Executive Vice-President 7 Four M Manufacturing Group of California, Inc. 8 115 Stevens Avenue Valhalla, New York 10595-1252 9 B. This Agreement shall bind and inure to the. 10 benefit of the parties and their respective successors and 11 assigns; provided, however, that COMPANY shall not assign this 12 Agreement or any of its rights, duties, or obligations to a 13 nonrelated entity, without the prior written consent of AGENCY and 14 CITY. 15 C. No delay or omission to exercise any right, 16 .power, or remedy accruing to a party on any breach or default of 17 the other party under this Agreement shall impair any such right, 18 power, or remedy, nor shall it be construed to be a waiver of any 19 -such breach or default, or an acquiescence in such breach or 20 default, or waiver of or acquiescence in any similar breach or 21 default occurring later; nor shall any waiver of any single breach 22 or default be considered a waiver of any other prior or subsequent 23 breach or default. Any waiver, permit, consent, or approval of 24 any kind by a party of any breach or default under this Agreement, 25 or any waiver of any provision or condition of this Agreement, 26 must be in writing and shall be effective only to the extent 27 specifically set forth in that writing. All remedies, either 28 -8- 1 under this Agreement or by law or otherwise afforded to a party, 2 shall be cumulative and not alternative. 3 D. In the event of .any legal action or suit in 4 relation to this Agreement or any note or other instrument 5 required under this Agreement, or in the event that a party incurs 6 any legal expense in protecting its rights under-this Agreement 7 in any legal 'proceeding, the other party, in addition to all other $ sums which such party may be called on to pay, if the other party 9 prevails in such action, will pay the other party a reasonable sum 10 for attorney's fees and all other legal costs and expenses. 11 6. BINDING EFFECT. 12 This Agreement shall be binding on .and inure to the 13 benefit of and be enforceable by the parties to it and their 14 .respective successors, assigns, spouses, heirs, and personal and 15 legal representatives. 16 7. SEVERABILITY. 17 If any portion of this Agreement shall be held by a court 18 of competent jurisdiction to be invalid, void, or otherwise 19 unenforceable, the remaining provisions shall remain enforceable 20 to the fullest extent permitted by law. Furthermore, to the 21 fullest extent possible, the provisions of this Agreement 22 (including, without limitation, each portion of this Agreement 23 containing any provision held to be invalid, void or otherwise 24 unenforceable, that is not itself invalid, void or enforceable) 25 shall be construed so as to give effect to the intent manifested 26 by the provision held invalid, void, or unenforceable. 27 8. GOVERNING LAW. 28 This Agreement shall be governed by and construed and -9- 1 enforced in accordance with the laws of the State of California. 2 9. ENTIRE AGREEMENT. 3 This agreement supersedes any and all other agreements, 4 either oral or in writing, between the parties hereto with respect 5 to the subject hereof and contains all of the covenants and 6 agreements between the parties with respect.to said matter. Each 7 party to this agreement acknowledges that no representations, 8 inducements, promises, or agreements, orally or otherwise, have 9 been made by any party, or anyone acting on behalf of any party, 10 which are not embodied herein, and that no other agreement., 11 statement,lor promise not contained in this agreement, except for 12 the Commercial Loan Agreement, shall be valid or binding. Any 13 modification of,this agreement will be effective only if it is in 14 writing signed by the party to be charged. 15 IN WITNESS WHEREOF, the parties to this Agreement have 16 executed this Agreement. by their duly authorized officers 17 effective. as of the day and year .first above written. 18 CITY OF VERNON EONIS C. MALB G, May r 2~ ATTEST: 21 BY : ~ ~ BRUCE V. MALKENHORST, City Clerk- 22 APPROVED AS TO FORM: 23 BY: 24 DAVID B. BREA LEY, City At orney 25 26 27 28 -10- 1 REDEVELOPMENT AGENCY OF THE CITY OF VERNON 2 ~ EONIS C. MALBUR , Chair an 4 ATTEST: 5 BY: 6 BRUCE V. MALKENHORST, Secretary 7 APPROVED AS TO FORMR: 8 BY: ~ DAVID B. BREARLEY, Legal ounsel 9 10 FOUR M MANUFACTURING GROUP OF CALIFORNIA, INC., 11 A California Corpor tion, d a X U 12 r B Y : 13 Chris Mehiel, Executive Vice-President 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 -11- CITY COUNCIL ! DAVID B. BREARLEY LEONIS C. MALBURG ~ City Attorney Ma or FAX: (818) 330-5818 Y THOMAS A. YBARRA S• KEVIN WILSON Mayor Pro-Tem Acting Director of Community Services & Wate FAX: (213) 588-2761 Wm. "BILL" DAMS Councilman KENNETH J. DeDARIO Director of Light & Power H. "LARRY" GONZALES FAX: (213)583-1983 Councilman W. MICHAEL McCORMICK DAVE TELFORD Councilman Fire Chief CITY HALL FAX: (213) 581-1385 BRUCE V. MALKENHORST LOUIS ROSENKRANTZ City Administrator/City Clerk 4305 SANTA FE AVENUE, VERNON, CALIFORNIA 90058 Police Chief FAX: (213) 581-7924 TELEPHONE (213) 583-8811 FAX: (213)581-1178 February 28, 1996 City Council City of Vernon Honorable Members: Four M Corporation, DBA Box USA, is proposing to relocate-their industrial facility to 3030 Atlantic Boulevard for the manufacture of boxes and employ approximately 250 people. The property has been vacant for several years and has deteriorated, and it is estimated that it will cost over 2 million dollars to bring it into conformance with current city codes. The surrounding area (Atlantic Boulevard) also needs work to accommodate this new facility. Staff has met with representatives of Box USA and the following is a brief summary of their needs: - Monetary assistance from the Redevelopment Agency Electrical service credit. in the amount of $150,000 to be taken during the first twenty-four. months of service The Redevelopment Agency is going to consider paying the City costs, not to exceed $90,000, for the installation and cost of electrical service facilities to the Company's meter. An agreement has been prepared which details the costs, projects, and work that is to be done in connection with this relocation .project. This has been reviewed by the Director of Community Services and City Attorney, and it is hereby recommended that an agreement be approved and executed. Very truly yours, Bruce V. Malkenhorst City Clerk 1 RESOLUTION NO. RA-82 2 3 A RESOLUTION OF THE BOARD OF DIRECTORS OF THE REDEVELOPMENT AGENCY OF THE CITY OF VERNON 4 APPROVING AND AUTHORIZING THE EXECUTION OF AN ELECTRICAL SERVICE CREDIT AGREEMENT BY AND AMONG 5 THE CITY OF VERNON, THE REDEVELOPMENT AGENCY OF THE CITY OF VERNON AND FOUR M MANUFACTURING 6 GROUP OF CALIFORNIA,. INC., DBA BOX USA 7 1 WHEREAS, the Redevelopment Agency of the City of Vernon 8 '("Agency") is engaged in activities necessary or appropriate to 9 ~rcarry out the California Community Redevelopment Law (Health & 10 Safety Code 33000, et sect..) within the City of Vernon; and 11 WHEREAS, Four M Manufacturing Group of California, Inc., 12 .dba Box USA ("Company") is a manufacturer of corrugated-paper 13 .products which intends to relocate its manufacturing facility to 14 the City of Vernon; and 15 WHEREAS, Company intends to purchase or lease the 16 property and building located at 3030 South Atlantic Avenue, City 17 of Vernon, California, which is also located within the Vernon 18 Redevelopment Project Area (hereinafter the "Property"); and 19 WHEREAS, the City of Vernon, the Agency and Company have 20 agreed that the Agency will provide a credit not to exceed ONE 21 HUNDRED FIFTY THOUSAND DOLLARS AND NO CENTS ($150,000.00) against 22 future monthly electric bills for demand charges for a period of 23 time. not to exceed the first thirty (30) months of operation in 24 order to assist the Company in paying for the costs of 25 reconstruction and rehabilitation of electrical facilities needed 26 to provide electricity to the machinery which will be relocated 27 from the Company's facility to the Property in the City of Vernon 28 t ~ • r Y 1 1 and to reimburse the City the expenses of installing external. 2 electric service facilities to provide electric service to the 3 Property; and 4 WHEREAS, Company has agreed to relocate its manufacturing 5 business to the Property in the City of Vernon and agrees to 6 purchase electricity (capacity and energy) from the City of -Vernon 7 for use in its industrial process to be conducted by ,said customer $ at the Property for the next ten (10) years in consideration for 9 the Agency providing said credit; and 10 WHEREAS, the City of Vernon, the Agency and the Company 11 intend. to enter into an agreement to establish the terms and 12 conditions for Company to receive said credit and to purchase 13 electricity from the City of Vernon; and 14 WHEREAS, the reconstruction and rehabilitation of the 15 severely damaged building and the electrical facilities needed to 16 provide electricity to the machinery which will be relocated from 17 the Company's facility to the Property in the City of Vernon will 18 contribute to the implementation of the redevelopment program for 19 the City of Vernon, will contribute to the redevelopment of the 20 project area, and will benefit the health, safety, and public 21 welfare of the City of Vernon. 22 NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF DIRECTORS 23 OF THE REDEVELOPMENT AGENCY OF THE CITY OF VERNON AS FOLLOWS: 24 SECTION 1: The Agency hereby finds and determines that 25 the recitals contained hereinabove are true and correct. 26 SECTION 2: The Agency hereby approves the Electrical 27 Service Credit Agreement, a copy of which has been presented to 28 the Agency concurrently with this resolution, and the Agency -2- hereby orders said Agreement to be received and filed by the 2 Secretary. 3 SECTION 3: The Agency hereby authorizes the Chairman and 4 the Secretary to execute said Agreement for, and on behalf of, the 5 Agency of the City of Vernon. 6 SECTION 4: The Secretary of the Agency shall certify to 7 the passage of this resolution and thereupon and thereafter the 8 same shall be in full force and effect. 9 APPROVED AND ADOPTED this 5th day of March, 1996. 10 s/Leonis C. Malbur~ LEONIS C. MALBURG, Chairman 11 ATTEST:. 12 13 BR CE V. MALKENHORS , Secretary 14 15 16 17 18 19 20 21 22 23' 24 25 26 27 28 -3- 1 STATE OF CALIFORNIA ) 2 ) ss COUNTY OF LOS ANGELES ) 3 I, BRUCE V. MALKENHORST, Secretary of the Redevelopment 4 Agency of the City of Vernon, do hereby certify .that the foregoing 5 Resolution, being Resolution No. RA-82, was duly adopted by the 6 Board of Directors of the Redevelopment Agency of the City of 7 Vernon (hereinafter "Agency") at an adjourned regular meeting of 8 the Agency duly held on Tuesday, March 5, 1996, and thereafter caas 9 duly signed by the Chairman of the Agency of the City of Vernon. 10 ~11 s/Bruce V. Malkenhorst BRUCE V. MALKENHORST, Secretary 12 13 (SEAL) 14 15 16 17 18 19 ' 20 21 22 23 24 25 26 27 28 -4- - ~ ~ ` ~ - ~f VIA FEDERAL'EXPRESS; February 29, 1.996, Mr. David B. Brearley City Attorney The:-City. of Vernon ` City'Hall 4305 Santa Fe Avenue Vernon, California ~ 90Q58 Re: Electrical Service Credit Agreement . Dear Mr. Brearley: Per your instruction, enclosed are three executed'copies of the Electrical Service Credit Agreement among the City of Vernon, the Redevelopment Agency'of the City of Vernon and Four M. Thank you in advance for•returning one conformed copy to us. Sincerely,.. _ 'J ` / ~ Timothy D; McMillin Senior Vice President and Chief Financial`Officer TDM:jam Enclosures cc: Harvey L. Friedman, Esq.. Gary Stratheacn 115 s~~-~;~~H:rvS nv~. • ~~LU.~i;r.n~ Nv kU.5U5.~'125.2 - - INTER-OFFICE MEMORANDUM - DATE: March 7, 19.96 TO: Carol Dacey, Custo er Service Manager FROM: Gloria J. Oros o hief Deputy City Clerk SUBJECT: ELECTRICAL SERVICE 'CREDIT AGREEMENT Dear Carol: Attached hereto is a copy of the above referenced agreement with -Four M dba Box USA which is much like that of Command Packaging. As you can see, Item 1 on Page 3 allows the Company 12 months before they are to begin purchasing electricity. Please monitor this date to avoid any delays in the billing process. I would like you to handle said billing in the same manner as we are Command Packaging. Section 1, Subsection B gives you more detailed information on the billing process. GJO/hr Attachment CC: Kenneth DeDario Kevin Wilson Sharon Duckworth Agreement File -