Frequently Asked Questions

We’ll do our best to make you as much of an expert on municipal lease-to-own financing and police car leasing as you want to be. Police Leasing FAQ's You’ll find answers to the most-often-asked questions that you need to know about government fleet leasing for sheriffs & police departments. Click on any question that interests you or all of them. We welcome every question; we want you to be 100% comfortable. No guessing or assumptions–we’ve got you covered!

What is a tax-exempt municipal lease?

Tax Exempt Leases are Specialized for Governments

A tax-exempt municipal lease is a special kind of financial instrument allowed under I.R.S. regulations (implemented many years ago). Tax exempt municipal leases provide a significant tax incentive to financial institutions and investors to lend to qualified government entities at the lowest interest rates.

Tax-exempt municipal leases offer VERY LOW INTEREST RATES (well below commercial rates) with extremely attractive terms including deferred payments to match your cash flow, very quick credit approvals and streamlined documentation (days, not weeks--start to finish!)

Get a One Page Municipal Leasing Quote Now

Let us show you the numbers with a quick quote now on any combination vehicles & equipment. We'll have real numbers on your desk today – you’ll know within 60 seconds of receiving our quote if municipal leasing is the best choice for your agency!

And whenever you're ready, <blue> we’ll put it all together for you in a matter of days, not weeks or months.

We’ve Got You Covered!

Questions About Police Car Leasing?
Call 800-541-0114
(On your phone? Click to call! Press ext. 15 for Police Car Leasing)

Which agencies qualify for sheriff and police leasing?

Does My Agency Qualify for Municipal Leasing?

Virtually any state, county, city & municipal entity qualifies for Police & Sheriff's municipal leasing under IRS Section 103. This , includes Public Safety, Fire, Rescue, EMS, Water, Port & Parking Authorities and a variety of "special districts" and authorities.

Quick Test:To be designated as "qualifying," the IRS requires that an entity have any one (or more) of the following legal authorities:

The power to police, and/or
The authority to levy and collect taxes, and/or
The legal prerogative of eminent domain

If your entity has one or more of these three legal powers, you're good to go with very low municipal financing.

Get a One Page Municipal Leasing Quote Now

And whenever you're ready, we’ll put it all together for you in a matter of days, not weeks or months.

We’ve Got You Covered!

Questions About Police Car Leasing?
Call 800-541-0114
(On your phone? Click to call! Press ext. 15 for Police Car Leasing Qualifications)

Why is municipal leasing for police vehicles a better option?

Important Benefits to Your Government Agency:

Much Lower Interest Rates on police leasing than conventional loans or commercial leases.
Lease-to-Own. There is no residual, there is no buyout. Your agency owns the equipment from the day you receive it. Vehicles are registered titled in your agency's name at delivery. Your agency OWNS everything covered under the lease.
Easier & Faster. One page application, two day approval (to $100K). 2 Page Application, 3-4 Day approvals (to $10 MM).
Non-Appropriation Language (funding out) included automatically in every police lease (wherever required by law)
Police Lease Interest Rates are Fixed and do not float--from today until the very last day of the lease. Your rate is locked-in. Early buyout options are locked in up front as well. No closing costs, no points.

Get a One Page Police Leasing Quote Now!

And whenever you're ready, we’ll put it all together for you in a matter of days, not weeks or months.

Let us show you some real numbers on any combination vehicles & equipment with a quick quote now. We'll have the numbers on your desk today–you’ll know within 60 seconds of receiving our written quote if municipal leasing is the best choice for your agency!

And whenever you're ready, we’ll put it all together for you in a matter of days, not weeks or months.

We’ve Got You Covered!

Questions About Police Car Leasing?
Call 800-541-0114
(On your phone? Click to call! Press ext. 15 for Police Car Leasing)

When does our police car fleet dealer get paid?

When does our police car dealer get paid?

Upon our receipt of your signed contract the full dollar amount of the lease is deposited into an account in your agency's name, at our bank.

Within 3 business days of receiving your authorization, up to 100% of the lease amount can be disbursed to one or more of your vendors, on your behalf in the form of a bank wire transfer or cashiers check.

Get a Municipal Leasing Quote Now

Let us prepare a quick quote now on any combination equipment & terms and have it on your desk today – you’ll know within 60 seconds of receiving our quote if municipal leasing is the best choice for your agency! (What’s the downside of seeing numbers?)

And whenever you're ready, we’ll put it all together for you in a matter of days, not weeks or months.

We’ve Got You Covered!

Do You Have Questions About Police Car Leasing?
Call Now 800-541-0114
(On your phone? Click to call! Press ext. 15 for Police Car Leasing)

Can state and county government use a “municipal” lease?

Can State and County Governments Use "Municipal" Leases?

Can my county sheriff's office use a municipal lease? Yes! Municipal" is just an "umbrella" term. Qualifying municipal entities include state, county and local governments (sometimes referred to as "political subdivisions")

Agencies include Municipal, Public Safety, Fire, Rescue, EMS, Water, Port & Parking Authorities as well as a variety of "special districts" and authorities.

Get a One Page Municipal Leasing Quote Now

Let us show you the numbers with a quick quote now on any combination equipment & terms. We'll have it on your desk today -- you’ll know within 60 seconds of receiving our quote if municipal leasing is the best choice for your agency! (We'll provided real numbers for real decisions)

And whenever you're ready, we’ll put it all together for you in a matter of days, not weeks or months.

We’ve Got You Covered!

Questions About Who Can Use a Police or Municipal Leases?
Call 800-541-0114
(On your phone? Click to call! Press ext. 15 for Police Car Leasing)

What kinds of vehicles and equipment can be leased?

Which Vehicles and Equipment Can Be Leased?

Just about any type of essential-use equipment, vehicles, hardware, software or real property (land and buildings) qualifies:

Computers-Laptops & Desktops to Mainframes
Software including SaaS (software as a service), Citation, RMS (records management), Maintenance, HR, Scheduling, Jail & Court Software
Police /Sheriff's Cars, Vans, Buses, Crime Scene, Mobile Command & SWAT vehicles
Networks
Communications Equipment--Mobile & Portable Radios, Towers, Repeaters
CAD Hardware & Software (computer aided dispatch)

Get a One Page Municipal Leasing Quote Now

Let us show you the real numbers with a quick quote now on any combination of police vehicles and equipment. We'll have it on your desk today -- you’ll know within 60 seconds of receiving our quote if municipal leasing is the best choice for your agency!

And whenever you're ready, we’ll put it all together for you in a matter of days, not weeks or months.

We’ve Got You Covered!

Questions About Which Vehicles & Equipment Can Be Leased?
Call 800-541-0114
(On your phone? Click to call! Press ext. 15 for More About Police Car Leasing)

Does our agency have to wait for next year’s budget?

Do We Have to Wait Until the Next Fiscal Year?

My agency's budget year starts July 1st (or September 1st or January 15th...or next year!) Does my department have to wait until then?

No! That's the beauty of First Capital police car fleet leasing--your agency can sign the municipal lease documents today, you can take delivery from your vendor tomorrow and we can pay your vendor in full within 4 business days.

Here's why we call it "cash flow friendly." Payments can be made monthly, quarterly, semi-annually or annually. Your agency's first lease payment to us can be any day that you select. 30, 90, 180 days or even 12 months, from today!

When First Capital pays your vendor is NOT LINKED to when your city makes its lease payments to us!

Get a One Page Municipal Leasing Quote Now

Let us show you the real numbers with a quick quote now on any combination of police vehicles and equipment. We'll have the numbers on your desk today, you’ll know within 60 seconds of receiving our quote if municipal leasing is the best choice for your agency!

And whenever you're ready, we’ll put it all together for you in a matter of days, not weeks or months.

We’ve Got You Covered!

Questions About Police Car Leasing?
Call 800-541-0114
(On your phone? Click to call! Press ext. 15 for Police Car Leasing Questions)

Who actually owns the vehicles and equipment?

Who Owns the Police Fleet Vehicles and Equipment?

You do! Your government OWNS EVERYTHING financed under the government fleet lease--from the day it is delivered. Every vendor invoice is "Bill To:" and "Ship To:" your agency, not us. Every purchase is 100% direct between your agency and the vendors YOU select. Our name does not appear on any vendor paperwork.

You select and order the vehicles and equipment directly from the vendors of your choice. Our bank pays your vendors directly on your behalf and with your authorization--after you receive the police vehicles and/or equipment,

You register the vehicles with the state. Everything is titled in the city's name.

There are never any buyouts, balloons or lease-end monies due. Ever.

The only paperwork difference between government fleet vehicles purchased for cash and vehicles purchased under a municipal lease-to-own contract is that we will have a security interest* in the vehicles until the last lease payment has been received. After which the security interest falls away and your agency is free to sell, re-task to other city departments, trade or continue to use the vehicles forever (literally!) * Note: Security interests do not apply in Florida and Tennessee--under state law.

Get a One Page Municipal Leasing Quote Now

Let us show you the numbers on any combination of law enforcement vehicles and equipment with a quick quote now. We'll have real numbers on your desk today--you’ll know within 60 seconds of receiving our quote if municipal leasing is the best choice for your agency!

And whenever you're ready, we’ll put it all together for you in a matter of days, not weeks or months.

We’ve Got You Covered!

Questions About Police & Equipment Leasing ?
Call 800-541-0114
(On your phone? Click to call! Press ext. 15 for Police & Sheriff Leasing)

Is there an early payoff option in my lease contract?

Can I Payoff The Lease Early?

Yes! All of our municipal leases can be prepaid after any given lease period. Every lease agreement automatically includes an amortization table that shows the interest, principal and payoff amount for each period of the lease.

Future payoff amounts are guaranteed (locked in) up front. An amortization schedule can be prepared in advance should you need to review it

Get a Municipal Leasing Quote Now

Let us prepare a quick quote now on any combination of police or sheriff's vehicles and equipment. You can have real numbers on your desk today – you’ll know within 60 seconds of receiving our quote if municipal leasing is the best choice for your agency!

And whenever you're ready, we’ll put it all together for you in a matter of days, not weeks or months.

We’ve Got You Covered!

Do You Have Questions About Our Police Leasing Contracts?
Call Now 800-541-0114
(Using your phone? Click to call! Press ext. 15 for Police Leasing)

Why not use a bond or go to our bank?

Why Not Use a Municipal Bond or Work with Our Bank?

The laws in most localities generally make it impossible for state, county & municipal governments to borrow (incur debt ) that extends over multiple fiscal (budget) periods. Until those future budgets are formally approved and voted into law, the current governing body has no legal authority to bind a future governing body into making those future payments. Due to these special risks, the unique and non-traditional paperwork and the extremely low interest rates, municipal leasing is something of a financial specialty area. For many bankers, it simply isn't their institution's cup of tea.

Bonds are very complicated legal documents (read: expensive, time consuming and loaded with compliance requirements and interest rate risk). Bonds are generally reserved for the largest 7-8 figure projects like sewers, roads, bridges and building projects, etc. Bonds, unlike their financial "cousins" municipal leases, are backed by "the full faith and credit" of the municipal borrower. BONDS CREATE DEBT and that matters. Bond covenants generally stipulate that if the municipal budget falls short, the borrower will be required to raise taxes as necessary to cover the obligation. This has the ability to reach into the pockets of every tax-payer in the jurisdiction and can get a bit ugly.

There are VAST DIFFERENCES between a municipal lease that comes with non-appropriation provisions (generally treated as an expense) and bonds that create debt your community.

Get a One Page Municipal Leasing Quote Now

And whenever you're ready, we’ll put it all together for you in a matter of days, not weeks or months.

We’ve Got You Covered!

Questions About Police Car Leasing, Bonds & Banks?
Call 800-541-0114
(On your phone? Click to call! Press ext. 15 for Police Car Leasing)

Do you have experience with agencies like ours?

Have You Worked With Other Departments Like Ours?

Experience counts! Lease-to-own financing for governments is what we do. Clients include federal, state, county and municipal governments, special districts and authorities throughout the United States, for more than 33 years!

Small fleets, big fleets--millions of dollars of police cars, hardware, software, vehicles and equipment--throughout tyhe United States. From 2 - 200 sworn officers operating as many or more fleet vehicles. Local law enforcement & public safety, county sheriff's, prisoner transport, jails, public school and college police. We are A+ rated by the Better Business Bureau (BBB).

Get a One Page Municipal Leasing Quote Now

And whenever you're ready, we’ll put it all together for you in a matter of days, not weeks or months.

We’ve Got You Covered!

Questions About Our Police Car Leasing Experience?
Call 800-541-0114
(On your phone? Click to call! Press ext. 15 for Police Car Leasing)

Who is responsible for maintenance and insurance?

Maintenance & Insurance for Your Police Vehicles-Who Pays?

The municipal entity owns the vehicles and equipment from the date of delivery. The responsibility for maintenance and insurance rests with government entity--exactly as it does with any other vehicles or equipment purchased for cash

Get a Municipal Leasing Quote Now

Let us prepare a quick quote now on any combination equipment & terms. We can have real numbers on your desk today–you’ll know within 60 seconds of receiving our quote if municipal leasing is the best choice for your agency! (What’s the downside of seeing a real, no obligation quote?)

And whenever you’re ready, we’ll put it all together for you in a matter of days, not weeks or months.

We’ve Got You Covered!

Do You Have Maintenance & Insurance Questions About Police Vehicles?
Call Now 800-541-0114
(On your phone? Click to call! Press ext. 15 for Police Car Leasing)

What’s the difference between municipal and commercial leases?

Municipal & Commercial Leases Are Very Different.

With a municipal lease, the equipment is being sold directly to the government entity (not to the leasing company). This means your government "owns" the equipment. Ownership (title) transfers the day the vehicles/equipment is delivered and accepted by your agency*. Also, our municipal leases are based on tax-exempt municipal interest rates which are almost always the lowest cost type of borrowing available to government entities like yours.

With a commercial vehicle or equipment lease the equipment is sold to a financial institution (who cannot take advantage of government contract pricing or the tax-exempt interest rates--that only your agency is eligible for). A commercial lease is also based on significantly higher commercial interest rates. Most commercial leases are effectively structured as rental agreements with either residual buyouts, nominal or fair-market-value purchase options on the back end.

Any "purchase option" is a clear indication that your agency is not the owner and that you are not benefiting from the very LOW interest rates on the municipal lease that you are eligible for.

Another critical difference is that Commercial leases are "firm term" obligations that do not include the non-appropriation of funds language that is required in almost all jurisdictions require. They are debt.

Get a Municipal Leasing Quote Now

Let us prepare a quick quote now on any combination equipment & terms. We can have real numbers on your desk today – you’ll know within 60 seconds of receiving our quote if municipal leasing is the best choice for your agency!

And whenever you're ready, we’ll put it all together for you in a matter of days, not weeks or months.

We’ve Got You Covered!

Do You Have Questions About the Differences Between Commercial and Municipal Leases?
Call Now 800-541-0114
(Using your phone? Click to call! Press ext. 15 for Government & Municipal)

* Note: First Capital will only retains a security interest during the term of the lease (Not applicable Florida and Tennessee)

What is non-appropriation (“funding out”) language?

Non-Appropriation Language

And why is it so important? Our municipal leases automatically include non-appropriation (or "funding out") language wherever required by law. This unique language effectively relieves the government entity of the obligation to pay in the event funds are not appropriated in any subsequent budget period, for any legal reason. Every governing body must re-affirm their willingness and ability to pay a municipal lease, every year. The government entity does this by including the lease payments in each budget. With just a handful of exceptions, most government entities simply aren't allowed under state and/or local laws, to incur any municipal obligation without non-appropriation language included. Most governments treat multi-year municipal lease obligations (with non-appropriation provisions) as expenses and rather than long term debt.

Get a Municipal Leasing Quote Now

And whenever you're ready, we’ll put it all together for you in a matter of days, not weeks or months.

We’ve Got You Covered!

Do You Have Questions About Non-Appropriation Language?
Call Now 800-541-0114
(On your phone? Click to call! Press ext. 15 for Police Car Leasing)

Can we finance used police cars with municipal leasing?

Absolutely! The term we can offer may be reduced in accordance with the age of the used equipment at the start and at the end of the lease. Call us with the details for these specialized municipal leasing quotes.

Leasing is not available for used high-tech and electronics, e.g. computers, copiers, communications gear, etc. (nor is it available for supplies or other consumables)

Get a Municipal Leasing Quote Now

Let us prepare a quick quote now on any combination equipment & terms. We can have real numbers on your desk today– you’ll know within 60 seconds of receiving our quote if municipal leasing is the best choice for your agency! (What’s the downside of seeing a real, no obligation quote?)

And whenever you're ready, we’ll put it all together for you in a matter of days, not weeks or months.

We’ve Got You Covered!

Do You Have Questions About Used Police Car Leasing?
Call Now 800-541-0114
(On your phone? Click to call! Press ext. 15 for Police Car Leasing)

Questions? 800-541-0114 x-15 Click To Call!

IMPORTANT NOTICE: The information provided on these web pages by First Capital Equipment Leasing Corp. (“FCELC”) is not intended to be and should not be construed as “advice.” FCELC does not act as a municipal advisor, municipal financial consultant, fiduciary or agent to any person or entity pursuant to Section 15B of the Securities Exchange Act of 1934 and the municipal advisor rules of the SEC. FCELC is not recommending that you take an action with respect to the information presented here. You should review and discuss all municipal financing matters with such independent financial, tax and legal advisors as you deem appropriate.