State and Municipal Governments/Governmental
"On-Behalf-Of" Agencies

State and Local Governments ("Municipalities") are dependent on taxes, bond issues, or intergovernmental grants to finance the acquisition of essential purpose equipment and facilities. Because of tax limit legislation, difficulty in passing bond referenda, and demands for equipment and services that strain existing revenue sources, outright purchase frequently is not possible.

Through a United Financial of Illinois, Inc. financing program, a municipality can obtain 100% financing for equipment and installation with no down payment necessary.

A Municipal Leasing Program allows municipalities to benefit from the advantages of financing such as:

• Immediate acquisition of much needed long term capital equipment or facilities

• Retaining all major equipment decisions including selection and delivery schedules

• Making payments over time, thereby matching an asset's expense with its useful service life

• Conserving more current working capital which is then available for other purposes

• Acquisition of new equipment can conserve current operations and maintenance funds that are presently expended to maintain existing equipment

• Acquisition of new state of the art technologies may provide substantial operating efficiencies and increased production capacities over older generation equipment

• Payments are generally subject to an annual appropriation of funding process and are therefore accounted for as an operating expense, not a debt issuance; as a result, voter approval and tax revenue pledges are usually not required

• Title to the property may be transferred to the municipality in advance, subject only to continued remittance of all scheduled future payments

Examples of Municipal Products:

• Municipal Lease Purchase Agreement
  
• Master Municipal Lease Purchase Agreement
  
• OFF Balance Sheet Operating Lease
  
• Rental Agreement
  
• Note and Security Agreement
  
• Energy Savings Performance Contract

The above products may also be offered on a "Master" contract basis to allosw for expansion, add-on or additional systems acquisitions on a more convenient basis.