HomeMy WebLinkAbout290-25 RESOLUTIONPage 1
113 West Mountain Street
Fayetteville, AR 72701
(479) 575-8323
Resolution: 290-25
File Number: 2025-1846
A RESOLUTION TO APPROVE A LEASE AGREEMENT WITH THE ARKANSAS AIR AND MILITARY
MUSEUM, INC. FOR PROPERTY LOCATED AT DRAKE FIELD, TO AUTOMATICALLY RENEW FOR
ADDITIONAL ONE-YEAR TERMS
WHEREAS, the Arkansas Air and Military Museum has leased several buildings on Drake Field including the former
terminal building and the original white hanger since 1987; and
WHEREAS, the Arkansas Air and Military Museum have several displays of memorabilia from the Military, including
aircraft, vehicles, and clothing on display for the public; and
WHEREAS, in lieu of rent payments the Museum agrees to allow citizens of Fayetteville free admission to the
Museum on Veteran’s Day and Memorial Day and will work with the Fayetteville Public Schools to provide to age-
appropriate classes free tours and presentations on the history and principles of flight, annually; and
WHEREAS, the Museum will also vigorously pursue advertising and promotions on behalf of Fayetteville to attract
tourists to our city.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FAYETTEVILLE,
ARKANSAS:
Section 1: That the City Council of the City of Fayetteville, Arkansas hereby approves the attached Lease Agreement
and authorizes Mayor Rawn to sign this Lease Agreement with the Arkansas Air and Military Museum, Inc. for the Air
Museum Complex at Drake Field so it can continue its successful operation of the Arkansas Air and Military Museum.
PASSED and APPROVED on December 16, 2025
Approved:
_______________________________
Molly Rawn, Mayor
Attest:
_______________________________
Kara Paxton, City Clerk Treasurer
Mailing address:
113 W. Mountain Street
Fayetteville, AR 72701
www.fayetteville-ar.gov
CITY COUNCIL MEMO
2025-1846
MEETING OF DECEMBER 16, 2025
TO:Mayor Rawn and City Council
THRU:Terry Gulley, Asst Public Works Director - Ops
Chris Brown, Public Works Director
Keith Macedo, Chief of Staff
FROM:Jared Rabren, Airport Director
SUBJECT: Arkansas Air & Military Museum Lease
RECOMMENDATION:
Staff recommends approval and signature of the Mayor on a lease agreement between the City of Fayetteville
and the Arkansas Air and Military Museum for the facilities they currently occupy.
BACKGROUND:
The Arkansas Air and Military Museum has held a lease with the City of Fayetteville since 1987 for use of
several buildings on Drake Field, including the former terminal building and the original white hangar.
DISCUSSION:
The Arkansas Air and Military Museum has numerous displays of memorabilia from the Military, including
aircraft, vehicles, and clothing on display for the public. The museum is a staple for the community and an
important part of the Airport’s public outreach. This lease agreement remains largely unchanged from previous
version, except the term has been updated from 3 years to 1 year with automatic renewals to reduce the
administrative burden on Museum staff.
BUDGET/STAFF IMPACT:
The museum agrees, in lieu of rent payments as compensation to the citizens of Fayetteville for the use of
public property on the airport, to allow citizens of Fayetteville free admission to the Museum on Veterans Day
and Memorial Day. The Museum further agrees to work with the Fayetteville Public Schools to provide to all
fourth-grade classes free tours and presentations on the history and principles of flight, annually. The Museum
will also vigorously pursue advertising and promotions on behalf of the citizens to attract tourists to the
community. They will maintain the building and the new facility, and the grounds leased from the Airport.
ATTACHMENTS: 3. Staff Review Form, 4. AAMM Lease Signed
Page 1
City of Fayetteville, Arkansas
Legislation Text
113 West Mountain Street
Fayetteville, AR 72701
(479) 575-8323
File #: 2025-1846
A RESOLUTION TO APPROVE A LEASE AGREEMENT WITH THE ARKANSAS AIR AND
MILITARY MUSEUM, INC. FOR PROPERTY LOCATED AT DRAKE FIELD, TO
AUTOMATICALLY RENEW FOR ADDITIONAL ONE-YEAR TERMS
WHEREAS, the Arkansas Air and Military Museum has leased several buildings on Drake Field
including the former terminal building and the original white hanger since 1987; and
WHEREAS, the Arkansas Air and Military Museum have several displays of memorabilia from the
Military, including aircraft, vehicles, and clothing on display for the public; and
WHEREAS, in lieu of rent payments the Museum agrees to allow citizens of Fayetteville free
admission to the Museum on Veteran’s Day and Memorial Day and will work with the Fayetteville
Public Schools to provide to age-appropriate classes free tours and presentations on the history and
principles of flight, annually; and
WHEREAS, the Museum will also vigorously pursue advertising and promotions on behalf of
Fayetteville to attract tourists to our city.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
FAYETTEVILLE, ARKANSAS:
Section 1: That the City Council of the City of Fayetteville, Arkansas hereby approves the attached
Lease Agreement and authorizes Mayor Rawn to sign this Lease Agreement with the Arkansas Air and
Military Museum, Inc. for the Air Museum Complex at Drake Field so it can continue its successful
operation of the Arkansas Air and Military Museum.
Comments:
Purchase Order Number:
Change Order Number:
Previous Ordinance or Resolution #
Approval Date:
Original Contract Number:
Project Number
Budget Impact:
FundAccount Number
Project Title
City of Fayetteville Staff Review Form
2025-1846
Legistar File ID
10/7/2025
City Council Meeting Date - Agenda Item Only
Staff recommends approval and signature of the Mayor on a lease agreement between the City of Fayetteville and
the Arkansas Air and Military Museum for the facilities they currently occupy.
N/A for Non-Agenda Item
Action Recommendation:
Submitted By
Jared Rabren AIRPORT SERVICES (760)
Division / Department
9/16/2025
Submitted Date
No
-$
Must Attach Completed Budget Adjustment!
V20210527
Budgeted Item?
Does item have a cost?
Budget Adjustment Attached?
Current Budget
Funds Obligated
Current Balance
Item Cost
Budget Adjustment
Remaining Budget
-$
No
No
-$
LEASE AGREEMENT
This Lease Agreement is made this day of 025, by and between the City of
Fayetteville, Arkansas (the "City") and the Arkansas Air and Military Museum, Inc., of 4290
S. School Avenue, Fayetteville, Arkansas 72701 (the "Museum").
RECITALS
WHEREAS, the City is the owner of an airport known as the Fayetteville Executive Airport -
Drake Field (the "Airport"); and
WHEREAS, the Museum is currently leasing City -owned real property located at 4290 S.
School Avenue, 4330 S. School Avenue, and 4360 S. School Avenue for museum
operations; and
WHEREAS, the prior lease agreement expired on July 19, 2025, and the parties wish to
extend the lease;
NOW, THEREFORE, in consideration of the mutual covenants herein, the parties agree as
follows:
1. Premises. The City leases to the Museum, and the Museum leases from the City,
approximately 3.6 acres of land and buildings in the Museum complex, including
three City -owned buildings at 4290 S. School Avenue, 4330 S. School Avenue, and
4360 S. School Avenue (collectively, the "Premises").
Common Airport Use. The Museum is granted the non-exclusive right, without
charge, to use the Airport, together with all facilities, equipment, improvements,
and services provided from time to time, including landing areas, runways,
taxiways, ramps, aprons, roadways, lighting, control tower, signals, radio aids, and
other conveniences for aircraft operations.
3. Ingress and Egress. The Museum shall have at all times the full and free right of
ingress to and egress from the Premises and related facilities for the Museum, its
employees, customers, passengers, guests, invitees, and persons or organizations
supplying materials or services to the Museum.
4. Term; Renewal. Subject to earlier termination as provided herein, this Agreement
shall automatically renew for successive one-year terms unless either party gives
written notice of non -renewal at least one hundred twenty (120) days before the end
of the then -current term. If further extensions are not granted, all improvements
affixed to City -owned real property shall remain the property of the City.
Page 1 of 5
5. Consideration in Lieu of Rent. In lieu of monetary rent, and as consideration to the
citizens of Fayetteville for the use of public property, the Museum shall:
a. Provide free admission to Fayetteville residents for four (4) hours on
one (1)) Saturday morning each month;
b. Work with public schools to provide free, age -appropriate annual
tours and presentations on the history and principles of flight; and
c. Actively pursue advertising and promotions to attract tourism to the
community.
d. Report annually on attendance and other metrics to the airport board
and to the Parks, Natural Resources, and Cultural Affairs board.
6. City vs. Museum Maintenance - General. The City shall maintain and keep in good
repair those Airport areas not under the Museum's exclusive control. Upon
termination, surrender, or forfeiture, the Museum shall return the Premises in the
same or better condition as at the start of the Lease, reasonable wear and tear
excepted.
7. Museum Services and Utilities. The Museum shall, at its expense, provide
janitorial services for the Premises and pay all utilities, including gas, electricity,
water, sewer, and trash/recycling.
8. Improvements and Signage. The Museum shall bear the cost of all improvements
or additions to the City -owned buildings on the Premises. No improvements,
additions, signs, or antennas shall be made or installed without prior written
approval of the Airport Director, which approval shall not be unreasonably withheld.
All such work shall comply with applicable City ordinances.
9. Maintenance of the Premises. The City is responsible for major maintenance of
existing equipment and building systems, including roof, hangar door motors,
exterior walls, exterior plumbing, paved ramp, and paved parking lot. If the roof,
exterior walls, or exterior plumbing become defective or damaged during the term
due to ordinary wear and tear (and not due to negligence of the Museum, its agents,
or invitees), the City shall, upon notice, diligently repair and restore the defective
portions to good condition. If damage renders a building untenantable, the
consideration under Section 5 shall be equitably adjusted or suspended until
restoration. If the Premises are completely destroyed, the City may reconstruct at
its cost with consideration adjusted as set forth above, or cancel this Agreement
effective as of the date of destruction, with consideration adjusted accordingly. The
Museum shall promptly notify the City of damage requiring City repair, including,
without limitation, leaks (plumbing, roofing, HVAC), storm damage, system
outages, fire, electrical, or mechanical failures.
Page 2 of 5
10. Compliance with Laws; Airport Standards. The Museum shall observe and
comply with applicable City ordinances and regulations regarding the Premises and
the Airport, provided they are consistent with safety, applicable city, county, and
state rules and regulations, current fire codes, and Federal Aviation Administration
(FAA) rules, orders, and approved procedures. "The Minimum Standards for
Fayetteville Executive Airport - Drake Field" (the "Airport Minimum Standards") are
incorporated herein by reference as if set out word for word. By signing below, the
Museum acknowledges it has received a copy of the Airport Minimum Standards.
11. Flammable Materials. The Museum shall not store flammable materials except for
a limited supply of oils and agents necessary for current aircraft operations. The
Museum shall not take any action that endangers the Premises or violates the City's
property insurance requirements. Any such violation constitutes a material breach.
12. Casualty - If the City -owned Premises are partially damaged by fire or other
casualty not due to the Museum's negligence or fault, the City shall diligently repair
at its expense. If damage renders a building untenantable, the consideration under
Section 5 shall be equitably adjusted or suspended until restoration. If the Premises
are completely destroyed, the City may reconstruct at its cost with consideration
adjusted as set forth above, or cancel this Agreement effective as of the date of
destruction, with consideration adjusted accordingly.
13. Property Insurance. The Museum shall maintain, during the term and any
extensions, fire and extended coverage insurance on the Museum's displays,
aircraft, vehicles, and other contents in an amount equivalent to replacement cost.
The Museum shall also maintain insurance required by the Airport Minimum
Standards for its business operations on the Airport. The City shall be named as an
additional insured where applicable, and evidence of coverage shall be on file with
the Airport Administration Office. The City shall maintain fire and extended
coverage on the facilities at 4290 S. School Avenue, 4330 S. School Avenue, and
4360 S. School Avenue in an amount equivalent to replacement cost.
14. Liability Insurance; Events. The Museum shall maintain commercial general
liability insurance of at least $1,000,000 per occurrence for bodily injury and
property damage (including personal injury) and a $2,000,000 general aggregate.
Coverage shall include special events held by the Museum that involve third parties.
Events where alcoholic beverages are served are permitted only with liquor liability
insurance procured by the Museum or the applicable third party.
15. Indemnification. The Museum shall indemnify the City against liability for injuries
to persons or damage to property caused by the Museum's use or occupancy of the
Premises, except for injury, damage, or loss caused by the negligence of the City or
its agents or employees. The City shall provide prompt notice of any claim or suit
Page 3 of 5
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