HomeMy WebLinkAbout2001-10-04 - Agendas - Final . AIRPORT BOARD MEETING
October 4, 2001
1 :30 p.m.
Conference Room-Airport Terminal Building
4500 S. School Avenue
I . Call to Order.
2. Minutes of the September 6, 2001 meeting.
3 . Old Business.
a. Report : Airport Manager Search Process.
b. Update: Taxiway/Runway Renovation Project.
C. Update: Scenario development for future development of the Airport
d. Update: T-hangar drainage
4. New Business.
a. Request approval to rent space available in hangars and terminal building (i.e. large
group gatherings, wedding receptions, banquets, business meetings)
• b. Request approval of a Lease Agreement with Christina Crouse for a hair salon in the
terminal.
C. Discussion: Airport has received an inquiry about parking a large number of aircraft
at the airport during airlines' cutbacks and grounding of aircraft.
d. Request approval of low bid from AV-Fuel Corp. to provide fuel for one year for the
City of Fayetteville's FBO operation.
e. Request approval of a change to the City of Fayetteville's "Ordinance 91 . 16
FLOWAGE FEES; RECORDS TO BE KEPT" (existing ordinance is attached).
5 . Other Business.
a. Airport Traffic Report for September 2001 .
b. Update: FBO operation.
C. Update: Air Museum, by George Moore, President Air Museum Board..
d. Update: Arkansas Aviation Technology Center, by Greg McCoy, Director.
C. Update: DHLWorldwide Express, by Mike Lietzke, Local Manager
f Marketing report.
6. Adjourn .
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Agenda Item #4.b.
Hair Salon
• LEASE AGREEMENT
This LEASE is executed this day of by and between the
City of Fayetteville, Arkansas, 113 W. Mountain Street, Fayetteville, Arkansas 72701 , hereinafter
called "Lessor" and of
hereinafter called "Lessee".
1 . Leased Premises. Lessor leases to Lessee, and Lessee leases from Lessor, the property at
4500 S. School Avenue, Fayetteville, Arkansas, as reflected on Exhibit "A" attached hereto and
make a part hereof. Leased Premise shall be for Lessee's exclusive use.
2. Lease Term. Subject to earlier termination as hereinafter provided, the initial term of this
Agreement shall be for a period of one (1 ) year. Lessee agrees to begin rental payments sixty (60)
days after the date of Beneficial Date of Occupancy, or January 1 , 2002, whichever occurs first.
Lessor or Lessee may terminate this lease at any time by giving the other party thirty (30)
days written notice of termination. This agreement may be extended for up to five (5) additional one
year terms in accordance with the following procedure: At least 60 days prior to the scheduled
termination date, Lessor shall give Lessee written notice of the monthly rent payable in the extended
term; at least 30 days prior to the term expiration date, Lessee shall give Lessor written notice if
Lessee exercises this option to extend.
• 3 . Rental Fees. During the term of this lease, Lessee agrees to pay Lessor for the use of the
premises the sum of3$ 30.00 per month beginning the Beneficial Date of Occupancy or January
1 , 2002. However, should the lease term begin on a day other than the first day of a calendar month,
or should the lease end on a day other than the last day of a calendar month, such partial month lease
payment shall be a prorated share of the monthly lease payment. The initial lease payment is due
and payable on the Beneficial Date of Occupancy, or January 1 , 2002, whichever occurs first, and
all subsequent monthly lease payments shall be due and payable in advance on or before the first day
of each calendar month thereafter.
4. Utilities, Maintenance and Janitorial Services
A. By Lessor: Lessor shall be responsible for the payment of the utilities associated with
water, lights, heating and cooling. Lessor shall maintain and keep in good repair so much of the
Airport premises as is not under the exclusive control of individual lessees. Lessor shall provide
janitorial services only for all areas used in common by Airport terminal tenant. The Lessor shall
not be responsible for, or pay for any expense which might arise due to, the installation and /or
removal of equipment used in Lessee's business operation or signs.
B. By Lessee: Lessee shall be responsible for the installation, relocation, modification and
maintenance of all utility service other than that necessary to provide water, light, heat or air to the
Leased Premises. Lessee shall maintain Leased Premises in a clean, orderly, and attractive
A - I -
Agenda Item #4.b.
Hair Salon
• condition; not allow the accumulation of rubbish, trash, or other waste material on the Lease
Premises and provide for and supply all janitorial service for their exclusive use area. Lessee shall
place any materials or trash in trash receptacles. Written approval from the Airport Manager must
be obtained prior to any improvements or additions to any part of the Leased Premises, or the
installation of any attachment to the building (i.e. antennas, tower or signs). Any signs installed
shall meet all City of Fayetteville Sign Regulations, and furthermore, any sign erected on or attached
to the Lease Premises must have the prior written approval of the Lessor.
5 . Hazardous Substances. Lessee shall not cause or permit any Hazardous Substance to be
used, stored, generated or disposed of on or in the Leased Premises, or in any Airport Drainage
system. If the Airport property becomes contaminated in any manner due to Lessee's actions,
Lessee shall indemnify and hold Harmless the Airport from any and all claims, including a decrease
in value of the Airport property.
6. Insurance. Lessee shall provide the following:
A. Workman 's Compensation Insurance, as required by Arkansas Law.
B. Insurance on the contents within the Leased Premises at all times during the term hereof,
in amounts approved by the Airport Manager.
C. A Certificate of Insurance shall be furnished to the Lessor, naming the City of
Fayetteville as additional insured. The Lessee shall indemnify, protect, defend and hold completely
harmless, the Lessor and their trustees from and against all liability, losses, suits, claim judgements,
fines or demands or
from injury or death of any person or damage to any property, including
• all reasonable costs for investigation and defense thereof (including attorney fees, court costs, and
expert fees), of any nature whatsoever arising out of or incident to this lease, Lessee's use or
occupancy of the Airport premises, the rights, licenses, or privileges granted Lessee herein, or the
acts or omissions of Lessee's agents, employees, regardless of where the injury, death or damage
may occur. The Lessor shall give notice to Lessee of any such liability, loss, suit, claim or demand,
and Lessee shall defend same using counsel reasonably acceptable to Lessor. No word, sentence,
paragraph or phrase shall be construed to waive that tort immunity set forth under Arkansas Law.
7. Use of Airport. Lessee is granted the use, in common with other airport terminal tenants,
of the airport terminal building and grounds together with all facilities, equipment, improvements,
and services which have been or may hereafter be provided. Lessee agrees to comply with all city,
county, state, and federal ordinances, rules and regulations with respect to the use of the Leased
Premises. Lessee agrees to abide by the rulings of the Federal Aviation Administration with respect
to the use of the Leased Premises. Lessee agrees to use the premises only for a hair salon. Any
business other than a hair salon shall require the Airport Manager's approval. Lessee will obtain
and keep in force all certifications, permits and licenses required for the operation of a hair salon.
Lessee further agrees not to store any flammable material on the premises or in any way endanger
or violate the provisions of Lessor's property insurance policy or the requirement of same. Such
violations shall constitute a material breach of this Lease. Upon termination of Lease, Lessee will
leave all premises used in the same or better condition as existed at the initiation of the Lease.
A -2-
Agenda Item #4.b.
Hair Salon
• 8. Rights of Ingress and Egress. Lessee shall have full and free right of ingress to and egress
from the Leased Premises for Lessee, its employees, customers, guests, and other invitees except as
reserved below. Such rights shall also extend to persons or organizations supplying materials or
furnishing services to Lessee. Lessor reserves the right to close any means of ingress and egress, so
long as other reasonable means of ingress and egress to the Leased Premises are available to Lessee.
Lessor may enter the Leased Premises at any reasonable time for any purpose necessary or incidental
to the performance of the Lessor's obligations hereunder.
9. Events of Default. The following shall be events of default under the Lease, and include any
one or more of the following:
A. Non-payment of the rental amount.
B. If Lessee transfers, subleases or assigns, either voluntarily or by operation of law, any
portion of its interest in this Leases.
C. Lessee voluntarily abandons, deserts, or vacates the Leased Premises.
D. Lessee shall fail to comply with insurance requirements.
10. Termination.
A. Lessor or Lessee may terminate this lease at anytime by giving the other party thirty (30)
days written notice of termination.
B. On the expiration or other termination of this lease, Lessee's right to use the Leased
Premises shall cease, and Lessee shall vacate the premises without unreasonable delay. All property
installed, erected, or placed by Lessee in, on, or about the premises leased hereunder shall be deemed
• to be personalty and shall remain the property of Lessee. Lessee shall have the right at any time
during the term of this Lease, or any renewal or extension thereof, and for an additional period of
fourteen ( 14) days after the expiration of other termination of this Lease, to remove any or all of such
property, subject, however to Lessee's obligation to repair all damage, if any, resulting from such
removal. Any and all property not removed by Lessee prior to the expiration of the aforesaid
fourteen ( 14) day period shall thereupon become a part of the premises on which it is located and
title hereto shall thereupon vest in Lessor or Lessor may require removal and restoration by Lessee.
11 . Assigning, Subletting and Encumbering. Lessee shall not sublet the Leased Premises, nor
permit other persons to occupy the Leased Premises, not grant any license or concession for any part
of the Leased Premises, or assign its rights under this Lease without the written consent of Lessor.
No such subletting or assignment shall release Lessee from its obligations to pay the rental set forth
herein.
12. Mailing and Notice. Any notice or consent required by this lease shall be sufficient if sent
by Certified Mail, return receipt required, postage paid, to the following address:
LESSOR: LESSEE:
Airport Administration Office Christina Crouse
4500 S. School Avenue, Suite F 315 E. Willoughby Road
Fayetteville, Arkansas 72701 ph.718-7642 Fayetteville, Arkansas 72701 ph. 444-8836
•
-3-
Agenda Item #4.b.
Hair Salon
• 13 . Nondiscrimination. Lessee agrees that it will not, on the grounds of race, color, or national
origin, discriminate or permit discrimination against any person or group of persons. Lessee will
assure compliance with all regulations in regard to Non-discrimination and Affirmative Action. The
Lessee acknowledges that it is the policy of the Fayetteville Municipal Airport that it shall not
discriminate on the basis of race, color, notional origin, or sex in the award and performance of all
Airport contracts.
IN WITNESS WHEREOF, the parties have executed this Lease on the day and year first
above written.
LESSOR:
CITY OF FAYETTEVILLE, ARKANSAS
By:
Dan Coody, Mayor
ATTEST:
By:
Heather Woodruff, City Clerk
•
LESSEE:
By: ��/Hj7LQO
Christina Crouse
Title:
ATTEST:
By:
•
-4-
Agenda Item #4.d.
FAYETTEVILLE
Fuel provider bid
THE CITY OF FAYETTEVILLE, ARKANSAS
•
DAN COODY, MAYOR
4500 School Ave., Suite F
Fayetteville, AR 72701
501.718.7812
AIRPORT MANAGEMENT
GARY DUMAS, ENVIRONMENTAL SERVICES DIRECTOR I AIPRORT MANAGER INTERIM
TO: Airport Board Members /
FROM: James Nicholson, Financial Coordinaton
THRU : Gary Dumas, Utility Services Director / Interim Airport Manager
DATE: October 2, 2001
SUBJECT: AVFUEL Corp, Inc. - Aviation Fuel Contract
Background: In July of 2001 , the City Council approved a temporary, ninety (90) day contract
with Phillips 66 Company, the existing supplier, to supply aviation fuel for Drake Field. The
temporary nature of the contract was due to the closing of the existing Fayetteville Air Service
operation and the limited time available to transition to City operated aircraft fueling services.
The ninety (90) day term provided the time necessary for the preparation, receipt, and
examination of bid proposals from other fuel supplier companies.
Bids were received from four (4) aviation fuel suppliers: Phillips 66, AVFueI Corp. , British
Petroleum (BP), and Exxon. AVFueI Corp. , provided the responsive low bid for the services
• needed at Drake Field.
The term of the contract is for one ( 1 ) year, with two (2) one ( 1 ) year extensions.
Airport administration has reviewed Avfuel Corp's. operation and feels confident that they will
be able to provide the higher standard of service we desire from our aviation fuel supplier in
terms of the quality of products and equipment. In addition , we anticipate that the expected
lower costs will benefit the airport's fuel customers, and the growth of Drake Field's FBO
operation .
Requested Action : Staff requests that the Airport Board make a recommendation of
approval of bid acceptance to the City Council.
GD/jn
Attachments: Bid results
•
Agenda Item #4.d.
ESTIMATED FUEL COST PER GALLON Fuel provider bid
• AVFuel Corp. QUOTED PRICES 08/24/01 Enter Amount of Fuel
Gallons per Month
Jet-A: Per Gallon
0.8395 Fuel Jet-A: 25,000
0. 1360 Differential AvGas: 15,000
0.2190 Fed excise tax
0.001 Envirn Fee Total: 40,000
(0.0050) Co-op fund
----------------
1 . 1905 fuel cost total
----------- ----
Overhead Costs: 0.0360 Truck lease
----------------
1 .2265 SubTotal
0.0239 Credit Card surcharge (VISA/Mastercard)
.............---
1 .2504 Total
AVGas: Per Gallon
1 .0875 Fuel
0. 1117 Freight
0.0433 Truck Maint.
0. 1980 Fed excise tax
0.0010 Envirn Fee
• (0.0050) Co-op fund
1 .4365 fuel cost total
----------------
Overhead Costs: 0.0400 Truck lease
---------------- Combined
1 .4765 SubTotal Avg Cost: 1 .3779
0.0288 Credit Card surcharge (VISA/Mastercard)
----------------
1 .5053 Total
•
Agenda Item #4.d.
ESTIMATED FUEL COST PER GALLON Fuel provider bid
• BP AIR QUOTED PRICES 08/24/01 Enter Amount of Fuel
Gallons per Month
Jet-A: Per Gallon
0.842 Fuel Jet-A: 25,000
0. 1600 Differential AvGas: 15,000
0.2190 Fed excise tax
0.001 Envirn Fee Total: 40,000
(0.0050) Co-op fund
----------------
1 .2170 fuel cost total
----------------
Overhead Costs: 0.0540 Truck lease
----------------
1 .2710 SubTotal
0.0394 Credit Card surcharge (VISA/Mastercard)
----------------
1 .3104 Total
AVGas: Per Gallon
1 .2000 Fuel
0.0550 Differential
0. 1980 Fed excise tax
0.0010 Envirn Fee
• (0.0050) Co-op fund
1 .4490 fuel cost total
----------------
Overhead Costs: 0.0600 Truck lease
---------------- Combined
1 .5090 SubTotal Avg Cost: 1 .4331
0.0468 Credit Card surcharge (VISA/Mastercard)
----------------
1 .5558 Total
•
Agenda Item #4.d.
ESTIMATED FUEL COST PER GALLON Fuel provider bid
• PHILLIPS 66 QUOTED PRICES 08/24/01 Enter Amount of Fuel
Gallons per Month
Jet-A: Per Gallon
0.9603 Fuel Jet-A: 25,000
0.0397 Freight AvGas: 15,000
0.2190 Fed excise tax
0.001 Envirn Fee Total: 40,000
(0.0050) Co-op fund
----------------
1 .2150 fuel cost total
----------------
Overhead Costs: 0.0430 Truck lease
----------------
1 .2580 SubTotal
0.0315 Credit Card surcharge (VISA/Mastercard)
----------------
1 .2895 Total
AVGas: Per Gallon
1 .3278 Fuel
0.0722 Freight
0. 1980 Fed excise tax
0.0010 Envirn Fee
(0.0050) Co-op fund
• 1 .5940 fuel cost total
----------- ----
Overhead Costs: 0.0483 Truck lease
-------......... Combined
1 .6423 SubTotal Avg Cost: 1 .4864
0.0411 Credit Card surcharge (VISA/Mastercard )
----------------
1 .6834 Total
•
FAYETTEVILLE Agenda Item #4.e.
Flowage fees
THE CITY OF FAYETTEVILLE, ARKANSAS
DAN COODY, MAYOR
• 4500 School Ave., Suite F
Fayetteville, AR 72701
501.718.7842
AIRPORT MANAGEMENT
GARY DUMAS, ENVIRONMENTAL SERVICES DIRECTOR / AIPRORT MANAGER INTERIM
TO: Airport Board Members
FROM: James Nicholson, Financial Coordinator
THRU: Gary Dumas, Airport Manager
DATE: October 2, 2001
SUBJECT: City of Fayetteville Ordinance § 91 . 16 - Flowage Fees
Background: Title 9 - General Regulations of the City of Fayetteville Code of Ordinances (see
attached copy of the ordinance) orders that fuel supplier operators remit a .05 per gallon
flowage fee to the City for fuel delivered to the airport. Also, the wholesale Petroleum Product
Distributor is required to remit a .01 per gallon flowage fee. In the past, the Airport received a
combined total of .06 per gallon in flowage fee revenue from fueling operations at the airport.
The Drake Field Fixed Base Operator (FBO) was required to submit a monthly report to the
Airport Administration detailing the amount of fuel delivered to the airfield . The wholesale
distributor also was required to submit a corresponding report. This arrangement enabled
• verification of records from both parties.
In practice, the wholesale distributor would escrow the .01 fee, remit their portion of the flowage
fees to the City, and invoice the Drake Field FBO operator for the amount. Effectively, the
airfield FBO operator was responsible for the total amount.
On August 1 , 2001 , the City took over the Drake Field FBO operation. The wording of the
ordinance does not differentiate the City from "any person supplying fuel at the Fayetteville
Municipal Airport." Therefore, in order to clarify the ordinance for the current situation, and
also to preserve its potential usefulness at some future time, changes to the wording of the
ordinance are needed.
The suggested new wording is attached for your review as: Exhibit "A"
Requested Action: Staff requests that the Airport Board make a recommendation of
approval to the City Council.
GD/jn
Attachments: Copy of existing Ordinance § 91 . 16
Exhibit "A"
•
Agenda Item #4.e.
Flowage fees
Airports and Aircm t 7
• carry any lighted cigarette, cigar, or pipe within the
9 91.16 FLOWAGE FEES; RECORDS TO BE SEPT. Fayetteville Municipal Airport Terminal.
(Ord. 3556, passed 7-2-91)
(A) PuelsuppGers. Any person supplying aviation
fuel or automotive fuel at the Fayetteville Municipal
Airport shall pay to the city a flowage fee of $0.05 per
gallon for aviation or automotive fuel delivered to the 4 91.99 PENALTY.
Fayetteville Municipal Airport. Such flowage fee shall
be in addition to the flowage fee Imposed by division (A) Whenever in this chapter an act is prohibited
(B) of this section. The supplier shall keep accurate or is made or declared to be unlawful or an offense or
records reflecting the number of gallons of aviation or a misdemeanor, or whenever in such chapter the doing
automotive fuel delivered to Fayetteville Municipal of an act is required or the failure to do any act is
Airport each month and shall remit to the City Finance declared to be unlawful, and no specific penalty Is
Department by the 10th day of each month the flowage provided therefor, the violation of any such provision of
fee payable under this section, together with copies of this chapter shall be punished by a fine of not more
the supplier's bills of lading for the preceding month than $500 or double that sum for each repetition of
reflecting the number of gallons delivered to the such offense, or violation; provided, no penalty shall be
Fayetteville Municipal Airport. greater or less than the penalty provided for the same
or a sirnflar offense under the laws of the state. If the
(B) Petroleum product distributors. Any violation of this chapter is, in Its nature, continuous in
petroleum product distributor supplying aviation or respect to time, the penalty for allowing the
automotive fuel at the Fayetteville Municipal Airport continuation thereof shall not exceed $250 for each day
(Drake Field) shall pay to the city a flowage fee of that the same is unlawfully continued. ('65 Code, § 1 -
$0.01 per gallon of aviation or automotive fuel supplied 5) (Ord. 2128, passed 7-15-75)
• at the Fayetteville Municipal Airport (Drake Field). Said
supplier shall keep accurate records reflecting the (B) Any person convicted of violating § 91 .02(A)
number of gallons of aviation and automotive fuels shall be punished by a fine of not more than $500 or
supplied at the airport each month and shall remit to double that sum for each repetition of such offense.
the City Finance Director by the 10th day of the month ('65 Code, § 2A-2) (Ord. 2851 , passed 9-7-82; Am. Ord.
the flowage fee payable under this section, together 2940, passed 9-12-83)
with a copy of said supplier's records for the
preceding month reflecting the number of gallons
supplied at the airport.
(C) Scheduled aircraft carriers providing own
fuel Any aircraft carrier providing its own fuel to its
own aircraft at the Fayetteville Municipal Airport
(Drake Field) shall pay to the city a flowage fee of
$0.05 per gallon on all aviation fuel and gasoline fuel
delivered to the Fayetteville Municipal Airport (Drake
Field) each month. Such aircraft carrier shall present
the city with bills of lading for all fuel delivered to the
Fayetteville Municipal Airport (Drake Field) and remit
the appropriate general aviation and gasoline tax by
the 10th day of the succeeding month.
('65 Code, § 2A-12) (Ord. 2639, passed 6-30-80; Am
Ord. 2733, passed 6-16-81 ; Am Ord. 2874, passed
14-83; Am. Ord. 3-69, passed 3-5-85) Penalty, see
§ 91 .99
• § 91.17 SMOKING WITHIN AIRPORT TERMINAL.
It shall be unlawful for any person to smoke or
1992S-2
Agenda Item #4.e.
Flowage fees
• EXHIBIT A
Changes in italics
§ 91 . 16 Flowage Fees; Records to be kept
(A) Fuel Suppliers. Any person, business entity, or organization, other than the
City of Fayetteville, supplying aviation fuel or. . .
(B) Petroleum Product Distributor. Any petroleum product distributor supplying
aviation or automotive fuel to any person, business entity, or organization, other than
the City of Fayetteville, at the Fayetteville Municipal Airport. . .
•
Agenda Item #5.a.
Airport Traffic Record
AIRPORT TRAFFIC REPORT FOR YEAR 2001
Fayetteville Municipal Airport-Drake Field (FYV)
Fayetteville, Arkansas
The monthly total for September 2001 is down from August 2001 , but is still up from the same time
frame in the year 2000.
September 2001 had several days the government grounded all flights, and several days in
September that had limitations on the types of aircraft that could fly.
The September Year-to-Date total for Year 2001 is up 67% over Year-to-Date 2000.
Month Year 2001 Year 2000
January 2,355 1 ,266
February 25330 1 ,735
March 2,821 1 ,681
• April 2,634 1 ,613
May 2,901 13472
June 4,293 2,251
July 35549 1 ,858
August 3,741 2, 151
September 2,377 2. 131
TOTALS : 27,001 16, 159
l
Agenda Item #5 .a.
ums: An ATCTe Airport Traffic Record
AIRPORT TRAFFIC RECORD
•
Mal ORIGINAL of tw ftm to WasNrVM 011loe. A130-1 10 tivu Re01ual Ak Traffic Drvlaim
F80W Name LarBlio I More (1.2) year (34) WNW" (5-9)
Fayetteville ATCT Fayetteville, AR 09 01 Fri
Facility Type 10-1 Facially Type Cterped 7 (12) res = Checked Daily Flava CO Op SOS (W dWQ0M (77-76.79)
(") E VFR Tower
Airport Opemdone Count
MNERANT LOCAL Tafel
Day AC AT GA FA Tafel CW Klitary Tafel OperafWre Special Use
(15-16) (17.21) (22-26) (27-31) (32.36) (3741) (4246) (4751)
1 2 41 43 40 40 83
2 20 28 52 52 78
3 31 31 10 10 41
4 09 69 88 88 157
5 2 64 66 72 72 138
6 2 61 63 62 62 125
7 4 49 53 28 28 81
8 2 35 37 38 38 75
8 39 39 54 54 93
10 51 90 141
2 5 7 4 4 11
12 0 0 0 0
13 0 0 0 0 0
14 3 4 7 0 7
13 3 4 7 0 7
18 4 4 0 4
17 6 6 20 20 28
16 2 4 6 2 2
18 _25— 32 57
20 1 45 46 26 26 72
21 3 40 43 42 42 85
22 1 1 40 41 62 62 103
23 28 28 s8 68 96
24 21 21 48 48 69 _
28 2 77 79 92 92 171
26 7 46 53 58 58 111
27 6 68 74 78 78 152
28 5 72 77 72 72 149
29 1 1 2 9 51 42 42 93
30 34f69 72 72 72 144
31 0 0 0
Tot 0 54 1071 0 1125 1252 0 1252 2377
•
FAA Fonn 7250-1 (41W Page 1 RIS: AT 7230-99