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HomeMy WebLinkAbout2013-03-12 - Agendas - Final Aldermen Mayor Lioneld Jordan Ward I Position 1 —Adella Gray Faye eel e Ward 1 Position 2—Sarah Marsh City Attorney Kit Williams Ward 2 Position 1—Mark Kinion Ward Position 2—Matthew Petty City Clerk Sondra Smith Ward 3 Position 1—Justin Tennant ARKANSAS ward 3 Position 2—Martin W. Schoppmeyer,Jr. Ward 4 Position 1 —Rhonda Adams Ward 4 Position 2—Alan T.Long Final Agenda City of Fayetteville Arkansas Special City Council Meeting March 12, 2013 A Special Fayetteville City Council meeting called by Mayor Lioneld Jordan will be held on March 12, 2013 at 5:00 PM in Room 326 of the City Administration Building located at 113 West Mountain Street, Fayetteville, Arkansas. Call to Order Roll Call Pledge of Allegiance Mayor's Announcements, Proclamations and Recognitions: City Council Meeting Presentations, Reports and Discussion Items: A. New Business: 1. REW Investments, Inc., Woolsey Aviation, Inc. and Go Fayetteville, LLC (collectively Million Air Fayetteville): An ordinance waiving the requirements of formal competitive bidding and approving a contract in the amount of $57,500.00, plus applicable per gallon fuel costs, with REW Investments, Inc., Woolsey Aviation, Inc. and Go Fayetteville, LLC (collectively Million Air Fayetteville) for the purchase of equipment and supplies necessary to effectuate the City's takeover of airport fixed-base operations. PASSED AND SHALL BE RECORDED AS ORDINANCE NO. 5571 113 West Mountain Fayetteville,AR 72701 (479)575-8323 accessfayelteville.org Telecommunications Device for the Deaf TDD/TTY(479)521-1316 2. State Drug Crime Enforcement and Prosecution Fund Grant: A resolution authorizing acceptance of a State Drug Crime Enforcement and Prosecution Fund Grant for the Fourth Judicial District Drug Task Force in the amount of $60,000.00 and approving a budget adjustment. PASSED AND SHALL BE RECORDED AS RESOLUTION NO. 49-13 B. City Council Tours: 1. March 25, 2013 5:00 PM Fayetteville Public Library 2. April 8, 2013 5:00 PM Westside Wastewater Treatment Plant 3. May 6,2013 5:00 PM Noland Wastewater Treatment Plant and Biosolids Management Site C. Announcements: Adjournment: 5:15 p.m. 113 West Mountain Fayetteville,AR 72701 (479)575-8323 accessfayetteville.org Telecommunications Device for the Deaf TDD/TTY(479)521-1316 NOTICE TO MEMBERS OF THE AUDIENCE All interested persons may address the City Council on agenda items of New and Old Business. Please wait for the Mayor to request public comment and then come to the podium, give your name, address, and comments about the agenda item. Please address only the Mayor. Questions are usually answered by the Mayor, Aldermen or Staff after the public comment period is over. Please keep your comments brief and respectful. Each person is only allowed one turn at the microphone for discussion of an agenda item. All cell phones must be silenced and may not be used within the City Council Chambers. Below is a portion of the Rules of Order and Procedure of the Fayetteville City Council pertaining to City Council meetings: Agenda additions. A new item which is requested to be added to the agenda at a City Council meeting should only be considered if it requires immediate City Council consideration and if the normal agenda setting process is not practical. The City Council may only place such new item on the City Council meeting's agenda by suspending the rules by two-thirds vote. Such agenda addition shall be heard prior to the Consent Agenda. Consent Agenda. Consent Agenda items shall be read by the Mayor and voted upon as a group without discussion by the City Council. If an Alderman wishes to comment upon or discuss a Consent Agenda item, that item shall be removed and considered immediately after the Consent Agenda has been voted upon. Old business and new business. Presentations by staff and applicants. Agenda items shall be introduced by the Mayor and, if an ordinance, read by the City Attorney. City staff shall then present a report. An agenda applicant (city contractor, rezoning or development applicant, etc.) may present its proposal only during this presentation period, but may be recalled by an alderman later to answer questions. Staff and applicants may use electronic visual aids in a City Council meeting as part of their presentation. Public comments. Public comment shall be allowed for all members of the audience on all items of old and new business and subjects of public hearings. No electronic visual aid presentations shall be allowed, but the public may submit photos, petitions, etc. to be distributed to the City Council. If a member of the public wishes for the City Clerk to distribute materials to the City Council before its meeting, such materials should be supplied to the City Clerk office no later than 9:00 a.m. on the day of the City Council meeting. Any member of the public shall first state his or her name and address, followed by a concise statement of the person's position on the question under discussion. Repetitive comments should be avoided; this applies to comments made previously either to the City Council or to the Planning Commission when those Planning Commission minutes have been provided to the Aldermen. All remarks shall be addressed to the Mayor or the City Council as a whole and not to any particular member of the City Council. No person other than the Aldermen and the person having the floor shall be permitted to enter into any discussions without permission of the Mayor. No questions shall be directed to an Alderman or city staff member except through the Mayor. Courtesy and respect. All members of the public, all city staff and elected officials shall accord the utmost courtesy and respect to each other at all times. All shall refrain from rude or derogatory remarks, reflections as to integrity, abusive comments and statements about motives or personalities. Any member of the public who violates these standards shall be ruled out of order by the Mayor, must immediately cease speaking and shall leave the podium. Interpreters or TDD for hearing impaired are available for all City Council meetings, a 72 hour advance notice is required. For further information or to request an interpreter, please call 575-8330. A copy of the complete City Council agenda is available at accessfayetteville.org or in the office of the City Clerk, 113 W. Mountain, Fayetteville,Arkansas. 113 West Mountain Fayetteville,AR 72701 (479)575-8323 accessfayelteville.org Telecommunications Device for the Deaf TDD/TTY(479)521-1316 Special City Council Meeting: March 12,2013 Adjourn: Subject: Roll Adams Long Gray Marsh Kinion Petty Tennant ✓ Schoppmeyer Mayor Jordan Subject: Motion To: Motion By: Seconded: Adams Long Gray Marsh Kinion Petty Tennant Schoppmeyer Mayor Jordan Special City Council Meeting: March 12,2013 Subject: PEW Investments,Inc.,Woolsey Aviation,Inc. and Go Fayetteville,LLC Motion To: n d 44 3 rd Qat' () Motion By: f Seconded: V 40#'Ai W A. 1 Adams V ✓ Vol New Long i/ ✓ ✓ Business Gray ✓ V Marsh t/ Kinion �/ ✓ d P Petty ✓ v' (^ I Tennant ✓ ►/r `J Schoppmeyer i;r„wdotil Mayor Jordan Pew Subject: ¢t"Judicial District Drug Task Force Motion To: Motion By: Seconded: A. 2 Adams New Long Business Gray Marsh Kinion w� Petty Tennant Schoppmeyer ts�� q -'� Mayor Jordan e P evl le Departmental Correspondence ARKANSAS LEGALrr • • DEPARTMENT Kit Williams City Attorney Jason B.Kelley Assistant City Attorney TO: Mayor Jordan THMU: Sondra Smith, City Clerk FROM: Jason Kelley, Assistant City Attorney DATE: March 13, 2013 RE: Resolutions and Ordinances prepared by the City Attorney's Office and passed at the Special City Council meeting of March 12, 2013 1. REW Investments, Inc., Woolsey Aviation, Inc. and Go Fayetteville, LLC (collectively Million Air Fayetteville): An ordinance waiving the requirements of formal competitive bidding and approving a contract in the amount of $57,500.00, plus applicable per gallon fuel costs, with REW Investments, Inc., Woolsey Aviation, Inc. and Go Fayetteville, LLC (collectively Million Air Fayetteville) for'the purchase of equipment and supplies necessary to effectuate the City's takeover of airport fixed-base operations. 2 State Drug Crime Enforcement and Prosecution Fund Grant: A resolution authorizing acceptance of a State Drug Crime Enforcement and Prosecution Fund Grant for the Fourth Judicial District Drug Task Force in the amount of$60,000.00 and approving a budget adjustment. i Aldermen Mayor Lioneld Jordan Ward I Position 1 —Adella Gray Faye eel e Ward 1 Position 2—Sarah Marsh City Attorney Kit Williams Ward 2 Position 1—Mark Kinion Ward Position 2—Matthew Petty City Clerk Sondra Smith Ward 3 Position 1—Justin Tennant ARKANSAS ward 3 Position 2—Martin W. Schoppmeyer,Jr. Ward 4 Position 1 —Rhonda Adams Ward 4 Position 2—Alan T.Long Final Agenda City of Fayetteville Arkansas Special City Council Meeting March 12, 2013 A Special Fayetteville City Council meeting called by Mayor Lioneld Jordan will be held on March 12, 2013 at 5:00 PM in Room 326 of the City Administration Building located at 113 West Mountain Street, Fayetteville, Arkansas. Call to Order Roll Call Pledge of Allegiance Mayor's Announcements, Proclamations and Recognitions: City Council Meeting Presentations, Reports and Discussion Items: A. New Business: 1. REW Investments, Inc., Woolsey Aviation, Inc. and Go Fayetteville, LLC (collectively Million Air Fayetteville): An ordinance waiving the requirements of formal competitive bidding and approving a contract in the amount of $57,500.00, plus applicable per gallon fuel costs, with REW Investments, Inc., Woolsey Aviation, Inc. and Go Fayetteville, LLC (collectively Million Air Fayetteville) for the purchase of equipment and supplies necessary to effectuate the City's takeover of airport fixed-base operations. 2. State Drug Crime Enforcement and Prosecution Fund Grant: A resolution authorizing acceptance of a State Drug Crime Enforcement and Prosecution Fund Grant for the Fourth Judicial District Drug Task Force in the amount of $60,000.00 and approving a budget adjustment. 113 West Mountain Fayetteville,AR 72701 (479)575-8323 accessfayelteville.org Telecommunications Device for the Deaf TDD/TTY(479)521-1316 B. City Council Tours: 1. March 25, 2013 5:00 PM Fayetteville Public Library 2. April 8, 2013 5:00 PM Westside Wastewater Treatment Plant 3. May 6, 2013 5:00 PM Noland Wastewater Treatment Plant and Biosolids Management Site C. Announcements: NOTICE TO MEMBERS OF THE AUDIENCE All interested persons may address the City Council on agenda items of New and Old Business. Please wait for the Mayor to request public comment and then come to the podium, give your name, address, and comments about the agenda item. Please address only the Mayor. Questions are usually answered by the Mayor, Aldermen or Staff after the public comment period is over. Please keep your comments brief and respectful. Each person is only allowed one turn at the microphone for discussion of an agenda item. All cell phones must be silenced and may not be used within the City Council Chambers. Below is a portion of the Rules of Order and Procedure of the Fayetteville City Council pertaining to City Council meetings: Agenda additions. A new item which is requested to be added to the agenda at a City Council meeting should only be considered if it requires immediate City Council consideration and if the normal agenda setting process is not practical. The City Council may only place such new item on the City Council meeting's agenda by suspending the rules by two-thirds vote. Such agenda addition shall be heard prior to the Consent Agenda. Consent Agenda. Consent Agenda items shall be read by the Mayor and voted upon as a group without discussion by the City Council. If an Alderman wishes to comment upon or discuss a Consent Agenda item, that item shall be removed and considered immediately after the Consent Agenda has been voted upon. Old business and new business. Presentations by staff and applicants. Agenda items shall be introduced by the Mayor and, if an ordinance, read by the City Attorney. City staff shall then present a report. An agenda applicant (city contractor, rezoning or development applicant, etc.) may present its proposal only during this presentation period, but may be recalled by an alderman later to answer questions. Staff and applicants may use electronic visual aids in a City Council meeting as part of their presentation. Public comments. Public comment shall be allowed for all members of the audience on all items of old and new business and subjects of public hearings. No electronic visual aid presentations shall be allowed, but the public may submit photos, petitions, etc. to be distributed to the City Council. If a member of the public wishes for the City Clerk to distribute materials to the City Council before its meeting, such materials should be supplied to the City Clerk office no later than 9:00 a.m. on the day of the City Council meeting. Any member of the public shall first state his or her name and address, followed by a concise statement of the person's position on the question under discussion. Repetitive comments should be avoided; this applies to comments made previously either to the City Council or to the Planning Commission when those Planning Commission minutes have been provided to the Aldermen. All remarks shall be addressed to the Mayor or the City Council as a whole and not to any particular member of the City Council. No person other than the Aldermen and the person having the floor shall be permitted to enter into any discussions without permission of the Mayor. No questions shall be directed to an Alderman or city staff member except through the Mayor. 113 West Mountain Fayetteville,AR 72701 (479)575-8323 accessfayelteville.org Telecommunications Device for the Deaf TDD/TTY(479)521-1316 Courtesy and respect. All members of the public, all city staff and elected officials shall accord the utmost courtesy and respect to each other at all times. All shall refrain from rude or derogatory remarks, reflections as to integrity, abusive comments and statements about motives or personalities. Any member of the public who violates these standards shall be ruled out of order by the Mayor, must immediately cease speaking and shall leave the podium. Interpreters or TDD for hearing impaired are available for all City Council meetings, a 72 hour advance notice is required. For further information or to request an interpreter, please call 575-8330. A copy of the complete City Council agenda is available at accessfayetteville.org or in the office of the City Clerk, 113 W. Mountain, Fayetteville,Arkansas. 113 West Mountain Fayetteville,AR 72701 (479)575-8323 accessfayelteville.org Telecommunications Device for the Deaf TDD/TTY(479)521-1316 A. 1 City of Fayetteville Staff Review Form REW Investments, Inc., Woolsey Aviation, Inc. and Go Fayetteville, LLC City Council Agenda Items (collectively Million Air Fayetteville) and Page 1 of 10 Contracts, Leases or Agreements Special Meeting 3/12/13 City Council Meeting Date Agenda Items Only Ray M. Boudreaux Aviation Transportation Submitted By Division Department Action Required: Action Required:A resolution to approve an Agreement with Woolsey Aviation Inc., DBA Go Fayetteville, Million Air Fayetteville,for transfer of equipment and agreements related to the Drake Field Fixed Based Operation. $ 57,500.00 $ 98,437.00 FBO Capital Expenditures Cost of this request Category/Project Budget Program Category/Project Name VARIOUS $ - 2013 Trk Other Account Number Funds Used to Date Program/Project Category Name 51301 1 $ 98,437.00 Airport Project Number Remaining Balance Fund Name Budgeted Item Budget Adjustment Attached Previous Ordinance or Resolution# 28-13 Departm D' ctor Date z Original Contract Date: Original Contract Number: ti*Aorney Date % Q • 4..9„` 3-a-zot3 Finance and Internal Services Director Date Received in City ENTERED Clerk's Office 3'j1-IS Chief of St Date ENTERED • Received in Mayor's Office ayor to Comments: Cost of this request does not include the cost of fuel and oil inventory to be purchased from Million Air. Revised January 15,2009 A. 1 REW Investments, Inc., Woolsey Aviation, Inc. City Council Meeting of: S70Avea�T" etteville) �" Agenda Item Number: Pe z f 1 o ' ion Air ay Tayve e i leAVIATION DIVISION ARKANSAS FAYETTEVILLE EXECUTIVE AIRPORT•DRAKE FIELD '.. CITY COUNCIL AGENDA MEMO/STAFF CONTRACT REVIEW MEMO TO: Mayor Jordan THRU: Chief of Staff TI3RU: Staff/Contract Review Committee THRU: Terry Gulley,Transportation Director-a/ FROM: Ray M. Boudreaux,Aviation rector DATE: March 11, 2013 SUBJECT: Approve the Termination Agreement with Woolsey Aviation, Inc. (dba:Million Air,Fayetteville and Go Fayetteville LLC) and payments for equipment and inventory. Signature of the Mayor and City Clerk. RECOMMENDATION: Approve the Termination Agreement between the City of Fayetteville and Woolsey Aviation, Inc. (dba Million Air,Fayetteville and Go Fayetteville, LLC.) Authorize payment for the equipment and the Novation of the Contract with Defense Logistics Agency for sales to US Government aircraft in the total amount of$57,500.00 and the purchase of fuel and oil inventory in an amount determined on the last day of the Million Air operation at the wholesale price paid when delivered to Drake Field. Signature of the Mayor and the City Clerk on the Agreement. BACKGROUND: The City Council has approved the termination of the contract with Million Air,Fayetteville (Woolsey Aviation, Inc. and Go Fayetteville,LLC) and the budget for the City to operate the FBO in house. The City will purchase the Ground Support Equipment(GSE)needed to operate the FBO from Million Air and the DLA Contract for service to US Government Aircraft from Million Air. On the final day of operation, inventory of product for sale will be accomplished and the City will purchase, at cost, the inventory remaining in the bulk fuel storage facility(Fuel Farm) and engine oil in inventory in the FBO. This item approves the expenditures. BUDGET IMPACT: The total to be paid to Million Air for the equipment and the DLA contract novation is $57,500.00, the amount negotiated, and will be expensed from the budget approved by the City Council for the FBO. Inventory payment will be expensed from the FBO budget in the amount remaining in the inventory on the last day of the contract. Attachments: Staff Review Termination Agreement 4500 SOUTH SCHOOL AVENUE,SUITE F•AIRPORT TERMINAL BUILDING•FAYETTEVILLE AR 72701 479.718.7642-479.718.7646 FAX•www.accessfayefteville.org/govemmentfaviabon airport_economic_development@ci.fayeHevi Ile.ar.us A. 1 REW Investments, Inc., Woolsey Aviation, Inc. and Go Fayetteville, LLC (collectively Million Air Fayetteville) Page 3 of 10 ORDINANCE NO. AN ORDINANCE WAIVING THE REQUIREMENTS OF FORMAL COMPETITIVE BIDDING AND APPROVING A CONTRACT IN THE AMOUNT OF $57,500.00, PLUS APPLICABLE PER GALLON FUEL COSTS, WITH REW INVESTMENTS, INC., WOOLSEY AVIATION, INC. AND GO FAYETTEVILLE, LLC (COLLECTIVELY MILLION AIR FAYETTEVILLE) FOR THE PURCHASE OF EQUIPMENT AND SUPPLIES NECESSARY TO EFFECTUATE THE CITY'S TAKEOVER OF AIRPORT FIXED-BASE OPERATIONS WHEREAS, the City has determined to terminate its agreement with Million Air, the current Fixed Base Operator(FBO)for the Fayetteville Executive Airport; and WHEREAS, continued FBO services on and after March 15, 2013, including the provision of aviation fuel and appropriate equipment to dispense and store such fuel, are required for the functioning of the Airport; and WHEREAS, the equipment and supplies needed by the City is currently owned by Million Air Fayetteville and is on-site at the airport, and, further, the City has insufficient time to competitively bid necessary equipment and supplies in order to conduct FBO services by March 15, 2013; and WHEREAS, an orderly transition of FBO services from Million Air Fayetteville to the City will provide and opportunity for the City to retain a Defense Logistics Agency (DLA) fueling contract, NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF FAYETTEVILLE,ARKANSAS: Section 1: That the City Council of the City of Fayetteville, Arkansas hereby determines an exceptional situation exists in which competitive bidding is deemed not feasible or practical and therefore waives the requirements of formal competitive bidding and approves a contract in the amount of$57,500.00,plus applicable per gallon fuel costs,with REW Investments, Inc., Woolsey Aviation, Inc. and Go Fayetteville, LLC (collectively Million Air Fayetteville),marked as Exhibit"A"attached hereto and made a part hereof, for the purchase of airport equipment and supplies necessary to effectuate the City's takeover of Airport fixed-base operations. A. 1 REW Investments, Inc., Woolsey Aviation, Inc. and Go Fayetteville, LLC (collectively Million Air Fayetteville) Page 4 of 10 PASSED and APPROVED this 12tt' day of March, 2013. APPROVED: ATTEST: By: By: LIONELD JORDAN, Mayor SONDRA E. SMITH, City Clerk/Treasurer A. 1 REW Investments, Inc., Woolsey Aviation, Inc. and Go Fayetteville, LLC (collectively Million Air Fayetteville) Page 5 of 10 CONTRACT THIS AGREEMENT, made and entered into the day of , 2013, by and between the City of Fayetteville, Arkansas (hereinafter "Fayetteville") and REW Investments, Inc. with and through its wholly-owned subsidiaries Woolsey Aviation, Inc. and Go Fayetteville, LLC each dba Million Air Fayetteville (hereinafter"Million Air"), collectively the"Parties": WITNESSETH: That Million Air and Fayetteville, for the consideration hereinafter fully set out, hereby agree as follows: 1. Million Air states that Woolsey Aviation, Inc. and Go Fayetteville, LLC are wholly-owned subsidiaries of REW Investments, Inc. each of which have done or currently do business as "Million Air Fayetteville", and that the undersigned authorized representative of Million Air has the authority to, and hereby does, bind REW Investments, Inc., Woolsey Aviation, Inc. and Go Fayetteville, LLC to this Contract, with each of them being jointly and severally liable for the performance of Million Air as agreed herein. 2. Million Air and Fayetteville agree that the last day of operation by Million Air pursuant to the current Fixed-Base Operation (FBO) agreement shall be March 15, 2013. By entering this Contract, Million Air and Fayetteville hereby agree and hereby do release each other from any further obligation under the existing FBO agreement and terminate the FBO agreement. 3. Million Air agrees, and hereby does, sell to Fayetteville the equipment listed and attached hereto as Exhibit"A", novation of a Defense Logistics Agency (DLA) fuel contract by December 31, 2013, all fuel currently remaining in Fayetteville's airport`fuel farm" and service trucks on the date of termination(March 15,2013),all aircraft engine oil in inventory on the date of termination (March 15, 2013), and Rather agrees to pay Fayetteville for fuel currently stored by Million Air at Fayetteville's airport and pre-purchased by Fayetteville airport fuel customers. All property transferred to Fayetteville by Million Air shall be free and clear of any and all liens 1 A. 1 REW Investments, Inc., Woolsey Aviation, Inc. and Go Fayetteville, LLC (collectively Million Air Fayetteville) Page 6 of 10 or encumbrances of any kind. The rate of payment for fuel shall be the delivered price of fuel most recently purchased by Million Air for fuel delivered to Fayetteville's airport. Payment for aircraft engine oil shall be at the wholesale rate paid by Million Air. Payment for fuel and aircraft engine oil shall be in addition to any payment required pursuant to Section 7 of this Contract. 4. The Parties agree that Fayetteville will act as fueling agent for Million Air for purposes of the DLA contract. Million Air will take all steps necessary to designate Fayetteville as said fueling agent with the Defense Logistics Agency (DLA), through December 31, 2013. The Parties agree that, through December 31, 2013, Million Air will promote Fayetteville's airport as a training destination for military flights. The Parties agree that Fayetteville shall bill DLA for all fuel purchases pursuant to the DLA contract and that DLA shall make full payment of said bills to Million Air. Million Air shall then pay over to Fayetteville all amounts less and except the total of$0.47 per gallon of fuel sold. Payment for fuel by Million Air as required in this section shall be in addition to any payment required pursuant to Section 7 of this Contract. 5. Fayetteville agrees that it will make all reasonable efforts to hire as many qualified employees of Million Air currently stationed at Fayetteville's airport as are needed by Fayetteville for its own fixed-base operations. Fayetteville will follow all of its standard hiring practices, as well as all applicable provisions of local, state or federal law. The Parties agree that Fayetteville's agreement herein shall not be deemed to create third-party beneficiary rights for any current or future employee of Fayetteville,nor for any Fayetteville job applicant, nor for any employee of Million Air. 6. . Million Air agrees to allow Fayetteville's employees or agents the right to be physically present during Million Air's removal of any of its remaining equipment and/or furnishings at Fayetteville's airport, and further agrees to allow Fayetteville the right of access to spaces and facilities occupied by Million Air at Fayetteville's airport in order to accommodate Fayetteville's set up of telecommunications hardware, including, but not limited to telephone and/or data lines. 2 A. 1 REW Investments, Inc., Woolsey Aviation, Inc. and Go Fayetteville, LLC (collectively Million Air Fayetteville) Page 7 of 10 7. Subject to credits, deductions and off-sets stated herein, Fayetteville agrees to pay and Million Air agrees to accept $80,000.00 to perform as agreed herein. The Parties acknowledge and agree that Million Air currently owes the sum of $45,000.00 to Fayetteville pursuant to the terms of the FBO agreement previously entered between Million Air and Fayetteville and that fifty percent(50%) of said sum owed shall be deducted by Fayetteville from the total $80,000.00 payment due Million Air pursuant to this Contract, leaving a total payment to Million Air by Fayetteville of$57,500.00. Said$57,500.00 owed shall be paid by Fayetteville to Million Air as follows: A. A payment of$45,000.00 within seven(7) days of execution of this Contract. B. A payment of$5,000.00 ninety (90) days after execution of this Contract, so long as Million Air has made timely payments to Fayetteville for fuel purchases pursuant to the DLA contract currently in place between Million Air and DLA and referenced in Section 4, above. If timely payments are not made during the ninety (90) days after execution of this Contract, this $5,000.00 payment shall be deferred and made only upon final novation (assignment) of the DLA fueling contract to Fayetteville. To be timely, payments to Fayetteville for fuel pursuant to this subsection must be made by Million Air within thirty (30) days of the date of the fuel purchase by DLA. C. A payment of $7,500.00 upon final novation (assignment) of the DLA fueling contract to Fayetteville, which shall occur on or before December 31, 2013. If final novation (assignment) of the DLA fueling contract to Fayetteville does not occur by such date, or if payments due for fuel purchases referenced in Section 7(B) are unpaid, all further payments due Million Air pursuant to this Contract shall be forfeited and considered liquidated damages. 8. Changes, modifications, or amendments to any of the terms of this Contract shall not be allowed without a prior formal contract amendment,approved by the Mayor. 9. Freedom of Information Act. Fayetteville contracts and documents prepared while performing contractual work are subject to the Arkansas Freedom of Information Act. If an Arkansas Freedom of Information Act request is presented to Fayetteville, Million Air will do 3 A. 1 REW Investments, Inc., Woolsey Aviation, Inc. and Go Fayetteville, LLC (collectively Million Air Fayetteville) Page 8 of 10 everything possible to provide the requested information in a prompt and timely manner as prescribed in the Act. Only legally authorized photocopying costs, pursuant to the Act may be assessed for this compliance. 10. Assignment. Neither of the Parties may assign this Contract, nor any interest herein,without written consent of the other party. 11. Integration. This Contract reflects the entire agreement of the Parties with regard to the subject matter herein stated. No other written or oral agreements between the Parties have been made. 12. Jurisdiction and Venue. The jurisdiction and venue for any dispute arising pursuant to this Contract shall be the Circuit Court of Washington County, Arkansas or the United States District Court for the Western District of Arkansas, Fayetteville Division, with Arkansas law applying to the case,without regard to conflicts of law principles. AGREED UPON AND EXECUTED BY AND BETWEEEN THE PARTIES ON THE DATE FIRST WRITTEN ABOVE. REW Investments,Inc. City of Fayetteville,Arkansas Woolsey Aviation,Inc. Go Fayetteville,LLC (collectively"Million Air") By: By: Roger Woolsey,President/CEO Lioneld Jordan, Mayor Authorized Agent to Bind All Entities Listed Attest: Attest: City Clerk/Treasurer 4 A. 1 REW Investments, Inc., Woolsey Aviation, Inc. and Go Fayetteville, LLC (collectively Million Air Fayetteville) Page 9 of 10 s CITY OF FAYETTEVILLE FAYETTEVILLE EXECUTIVE AIRPORT SCHEDULE OF MILLION AIR GSE 6-Feb-13 NO. ITEM/DESCRIP MODEL CONDITION 1 Tug '84 Harlan CT120 Unknown-runs 2 Tug Hammond ODV Needs repair 3 GPU Hobart 600 Average 4 GPU Hobart Diesel Needs repair-fuel leak 5 HD Towbar w/heads AERO? Used no apparent defects 6 Towbars GA small(2) AERO? Used no apparent defects 7 Towbars GA hand(2) Used no apparent defects 8 Chocks Lg(27) Used no apparent defects 9 Chocks sm(6) Used no apparent defects 10 Road cones(30) Used no apparent defects 11 Ladders(5) generic 6' Used no apparent defects 12 Fueling Mats(3) Used no apparent defects 13 24V Battery Charger DSR Fair 14 Air compressor Fair to poor 15 Lav Cart Aerospecialties Needs repair-wheels 16 Luggage cart Good 17 De-ice trailer Homemade Unknown 18 Storage shelves(3) Chrome wire Used no apparent defects 19 Airband base station(2) icorn -Al 10 Used no apparent defects 20 Ice machine Manitowoc Average 21 Upright freezer Average 22 Commercial cooler Frigidaire Average 23 Drum pump Average 24 Lobby/office furnishings Various Average 25 Manager's office Good 26 Line shack furniture Average 27 Line service equip wands/ear protect Average 28 Hand held line radio(5) Pro HT850 Average 29 Soda dspnsr&ice mach Average Plus various parts, attachments and appurtenances to the above-listed items. EXHIBIT"A" A. 1 REW Investments, Inc., Woolsey Aviation, Inc. and Go Fayetteville, LLC (collectively Million Air Fayetteville) Page 10 of 10 City of Fayetteville Staff Review Form X. City Council Agenda Items. and Prosecution Fund Grant and Page 1 of 6 Contracts, Leases or Agreements 4/2/2013 City Council Meeting Date Agenda Items Only Greg Tabor Drug Enforcement Police Submitted By Division Department Action Required: Acceptance of the State Drug Crime Enforcement and Prosecution Fund Grant Award for state funding to the 4th Judicial District Drug Task Force and approval of a budget adjustment in the amount of$60,000.00. This grant award will fund a currently frozen position within the Police Department and allow for the assignment of an officer to the Drug Task Force. $ 60,000.00 $ State Drug Fund Grant Cost of this request Program Category/Project Name 1010-2920-5120.00 $- Grant Account Number Funds Used to Date Program/Project Category Name 31301-1 $ General Project Number Remaining Balance Fund Name Budgeted Item Budget Adjustment Attached 0 Previous Ordinance or Resolution# Department iced Date Original Contract Date: Original Contract Number: omey Date -poi Finance and Internal Services Director Date Received in dty-Q 3 13 P03: 18 R C V D Clerk's Office i����Yi*�G1 Chief cf St Date CED - Received in �� 3 Mayor's Office ay Date Comments: Revised January 15,2009 A.2 State Drug Crime Enforcement and Prosecution Fund Grant Taveiemii Page2of6 iie THE CITY OFFAYETTEVILLE,ARKANSAS DEPARTMENT CORRESPONDENCE ARKANSAS CITY COUNCIL AGENDA MEMO To: Mayor Lioneld Jordan and Members of the City Council From: Greg Tabor, Chief of Police Date: March 7, 2013 Subject: Grant Award for 4a'Judicial District Drug Task Force PROPOSAL: The State Drug Crime Enforcement and Prosecution Fund is a new funding source specifically established to supplement Drug Task Force entities in Arkansas. The total grant award is $75,000 with 80% funded by the State Grant and 20%funded by local in-kind match. The 4`h Judicial District Drug Task Force (DTF)will use the State Grant award amount of$60,000 to fund a DTF Investigator to be assigned to the 4`h DTF by the Fayetteville Police Department. This grant funded assignment will move one Full Time Equivalent (FTE)position from Frozen to Active status within the City's 2013 Annual Budget. Furthermore,the twenty percent (20%) in-kind match requirement in the amount of$15,000 will be met through the existing budgeted salary of the 4`h DTF Secretary position. RECOMMENDATION• Staff recommends acceptance of the State Drug Crime Enforcement and Prosecution Fund Grant Award for state funding to the 4`h Judicial District Drug Task Force and approval of a budget adjustment in the amount of$60,000. If you should have any comments or questions regarding this grant application,please contact me at extension 500 or Judy Cohea at extension 581. BUDGETIMPACT: The $60,000 grant award will reimburse the cost of a new officer and operations for the officer assigned to the Drug Task Force. A.2 State Drug Crime Enforcement and Prosecution Fund Grant Page 3 of 6 RESOLUTION NO. A RESOLUTION AUTHORIZING ACCEPTANCE OF A STATE DRUG CRIME ENFORCEMENT AND PROSECUTION FUND GRANT FOR THE FOURTH JUDICIAL DISTRICT DRUG TASK FORCE IN THE AMOUNT OF $60,000.00,AND APPROVING A BUDGET ADJUSTMENT 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 authorizes acceptance of a State Drug Crime Enforcement and Prosecution Fund Grant for the Fourth Judicial District Drug Task Force in the amount of$60,000.00. Section 2. That the City Council of the City of Fayetteville, Arkansas hereby approves a budget adjustment, a copy of which is attached as Exhibit"A". PASSED and APPROVED this 12`t' day of March, 2013. APPROVED: ATTEST: By: By. LIONELD JORDAN, Mayor SONDRA E. SMITH, City Clerk/Treasurer i City of Fayetteville,Arkansas A.2 V12.0724 Budget Adjustment Form State Drug Crime Enforcement F. n Budget Year Division: Police Request Date Acy? tglQgt um er 2013 Department: Police 4/2/2013 BUDGET ADJUSTMENT DESCRIPTION/JUSTIFICATION Establish expense and revenue budgets for the 2013 State Drug Crime Enforcement and Prosecution Fund grant award. Prepared By: Division Head Dto Willie Newman t1�1 Reference: u ge Director Date Budget& Research Use Only Type: A B C D E P Departme ipi Date Yzji,A Q � ✓?' l 1 ZOf 3 General Ledger Date Fin ce Directo Date Posted to General Ledger 'C ief , taff Date Initial Date tom_ 13Checked/Verified ayor Dote Initial Date TOTAL BUDGET ADJUSTMENT 601000 60,000 Increase/(Decrease) Project.Sub Account Name Account.Number Expense Revenue Number State Grants-Operational 1010.0001.4302.01 R1 60,000 31301 1 Personnel Svcs-Contra 1010.2920.5120.00 �D 56,127 31301 . 1 Vehicle&machine maint 1010.2920.5403.00 =} 600 31301 . 1 Travel &training 1010.2920.5304.00 3a 480 31301 1 Fuel 1010.2920.5213.04 as 2,000 31301 . 1 Office supplies/printing 1010.2920.5200.00 793 31301 . 1 EXHIBIT A \\fpd\dfsluseMdminljcohea\Drug Fund Grant-20121Award\BA-Drug Crime Grant 1 Of 1 A.2 State Drug Crime Enforcement and Prosecution Fund Grant Page b of 6 _�UY EYAT y i ARKANSAS DEPARTMENT OF OFFICE OF INTERGOVERNMENTAL SERVICES r z FINANCE AND,ADMINISTRATION 1515 West Seventh Street,Suite 460 P.O.Box 8031 Little Rock,.Arkansas 72203-8031 Phones (501)962.1074 Fw.. (501)682,5206 htty://ww%v.state.ar.us/dIh RSAT Arkansas State Drug Crime Enforcement o DCF ❑ and Proosecution Grant Fund El LLEBG CFDA#: N/A 1, SUBGRANTEE NAME AND ADDRESS(Inoluding Zlp Code) 4. SUBGRANT NUMBER: 13-014-DF The Honorable Llaneld Jordan, '.. City of Fayetteville 100-A West Rock Street 5 START DATE: Match 1,2013 Fayetteville,.Arkansas 72701 END DATE: - FebnlarY26,2014 & AWARD DATE: March 1,2013 2. MODIFICATION EFFECTIVE DATE: 7. ACTION: Initial ❑ Modification 2A. MODIFICATION AMOUNT $ 8. AWARDAMOUNT $75,000.00 FEDERAL $ FEDERAL $ STATE MATCH $ STATE MATCH $ 60,000:00 LOCAL MATCH $ LOCAL MATCH S 15,000:00 3. COMMON NAME:4th Judicial District.Drug Task Force-City of Fayetteville 9: SPECIAL CONDITIONS(check if applicable). - '.. THE ABOVE GRANT PROJECT IS APPROVED SUBJECT TO SUCH CONDITIONS OR LIMITATIONS AS SET FORTH IN IT'S APPLICATION AND ALL CERTIFICATIONS,ASSURANCES AND SPECIAL CONDITIONS PREVIOUSLY AGREED TO. This project Is supported under Act 1086 of 2007:The State Drug Crime Enforcement and Prosecution Grant Fund ACIENCY APPROVAL SUBGRANTEEAPPROVAL 10. -TYPED NAME AND TITLE OF APPROVING IGS OFFICIAL I TYPED NAME AND TITLE OF AUTHORIZED SUBGRANTEE OFFICIAL Doris Smith,Administrator The Honorable Lioneld Jordan Intergovernmental Services 411h Judicial District 11. SIGNATURE'OF APPROVING OFFICIAL 13.SIGNATURE OF AUTHORIZED OFFICIAL 14. DATE A.2 State Drug Crime Enforcement and Prosecution Fund Grant Page 6 of 6 • 7ayMLvi a Departmental Correspondence LEGAL • • DEPARTMENT Kit Williams City Attorney Jason B.Kelley Assistant City Attorney MEMORANDUM TO: MAYOR& CITY COUNCIL FROM: JASON KELLEY, ASST. CITY ATTORNEY CC: KIT WILLIAMS, CITY ATTORNEY U TERRY GULLEY, TRANSPORTATION DIRECTOR RAY BOUDREAUX, AIRPORT MANAGER DATE: MARCH 12, 2013 RE: MILLION AIR TERMINATION/EQUIPMENT PURCHASE CONTRACT I would like to take this opportunity to advise you regarding the pending Million Air termination/equipment purchase contract. The contract provides a mechanism whereby the City will obtain needed equipment and fuel in inventory to conduct fixed-base operations at Drake Field on the date of termination of the FBO agreement with Million Air(March 15,2013). In order for the City to have the ability to sell fuel for military aircraft after March 15, 2013, the termination agreement provides that Million Air, the current holder of the federal contract through the Defense Logistics Agency (DLA), will immediately name the City as its "fueling agent" with DLA for purposes of continuing fuel sales for military aircraft, until such time as the City makes its own agreement with DLA to provide the service. This process, called novation, is similar to a contract assignment, but technically would constitute a new agreement between DLA and the City. The proposed termination contract with Million Air calls for novation to be completed by December 31, 2013. Between execution of the termination contract with Million Air and novation of the DLA contract, the City is agreeing to pump fuel it has paid for into military aircraft and in turn receive payment from Million Air for the purchase price plus $0.47 per gallon. Million Air is agreeing to make payment to the City within forty-five(45)days of the date of fuel purchase. You should know that there is a risk Million Air will not make timely payment, or may not make payment at all, for fuel the City pumps into military aircraft. This is so particularly because failure to make timely payments to the City was the leading factor in deciding to terminate the Million Air FBO agreement. Based on my understanding, however, an agreement must be made in order to have fueling services for all aircraft available at Drake Field after March 15, 2013. In addition, by entering this agreement with Million Air,the City should have its own ability to sell military fuel based on the City's own agreement with DLA by the end of the year. This could be a financial benefit to the City for years to come. To incentivize Million Air to follow through on its obligations in the proposed termination agreement, a total of$12,500.00 of the total $57,500.00 due is being held back as a form of"retainage." If Million Air makes timely payments for military fuel purchases by DLA during the first ninety (90) days after execution of the termination agreement, $5,000.00 of "retainage" will be paid by the City to Million Air. If Million Air fails to make timely payments, the "retainage"will continue to be held by the City until novation of the DLA contract occurs. If novation of the DLA contract does not occur, which is another risk, the City would retain not only the $5,000.00 held due to untimely fuel payments, but also the final $7,500.00 due upon final novation as liquidated damages. Should Million Air make timely fuel payments to us, but fail to accomplish novation of the agreement by the end of 2013, the City would only retain the final $7,500.00 due as liquidated damages. In spite of the fact that there is some exposure to the City by entering this termination agreement, the consequences of failing to do so at this point and not having the ability to sell any fuel at the airport as of March 15, 2013, would appear to be a far greater concern. I i i 'XaA4t.0( cut a-- q--Aa 3112-115 .4V,4 -P CONTRACT THIS AGREEMENT, made and entered into the _1 Q� day of �nAR-r- _ , 2013, by and between the City of Fayetteville, Arkansas (hereinafter "Fayetteville") and REW Investments, Inc. with and through its wholly-owned subsidiaries Woolsey Aviation, Inc. and Go Fayetteville, LLC each dba Million Air Fayetteville (hereinafter"Million Air"),collectively the"Parties": WITNESSETH: That .Million Air and Fayetteville, for the consideration hereinafter fully set out, hereby agree as follows: 1. Million Air states that Woolsey Aviation, Inc. and Go Fayetteville, LLC are wholly-owned subsidiaries of REW Investments, Inc. each of which have done or currently do business as "Million Air Fayetteville", and that the undersigned authorized representative of Million Air has the authority to, and hereby does, bind REW Investments, Inc., Woolsey Aviation, Inc. and Go Fayetteville, LLC to this Contract, with each of them being jointly and severally liable for the performance of Million Air as agreed herein. 2. Million Air and Fayetteville agree that the last day of operation by Million Air pursuant to the current Fixed-Base Operation (FBO) agreement shall be March 15, 2013. By entering this Contract, Million Air and Fayetteville hereby agree and hereby do release each other from any further obligation under the existing FBO agreement and terminate the FBO agreement. 3. Million Air agrees, and hereby does, sell to Fayetteville the equipment listed and attached hereto as Exhibit"A", novation of a Defense Logistics Agency (DLA) fuel contract by December 31, 2013, all fuel currently remaining in Fayetteville's airport"fuel famf' and service trucks on the date of termination(March 15,2013), all aircraft engine oil in inventory on the date of termination (March 15, 2013), and further agrees to pay Fayetteville for fuel currently stored by Million Air at Fayetteville's airport and pre-purchased by Fayetteville airport fuel customers. All property transferred to Fayetteville by Million Air shall be free and clear of any and all liens or encumbrances of any kind. The rate of payment for fuel shall be the delivered price of fuel 1 most recently purchased by Million Air for fuel delivered to Fayetteville's airport. Payment for aircraft engine oil shall be at the wholesale rate paid by Million Air. Payment for fuel and aircraft engine oil shall be in addition to any payment required pursuant to Section 7 of this Contract. 4. The Parties agree that Fayetteville will act as fueling agent for Million Air for purposes of the DLA contract. Million Air will take all steps necessary to designate Fayetteville as said fueling agent with the Defense Logistics Agency (DLA), through December 31, 2013. Million Air will make said designation known to DLA immediately upon execution of this Contract, if it has not already done so. The Parties agree that, through December 31, 2013, Million Air will promote Fayetteville's airport as a training destination for military flights. The Parties agree that Million Air shall bill.DLA for all fuel purchases pursuant to the DLA contract and that DLA shall make full payment of said bills to Million Air, Million Air shall then pay over to Fayetteville all amounts less and except the total of $0.47 per gallon of fuel sold. Payment for fuel by Million Air as required in this section shall be in addition to any payment required pursuant to Section 7 of this Contract. 5. Fayetteville agrees that it will make all reasonable efforts to hire as many qualified employees of Million Air currently stationed at Fayetteville's airport as are needed by Fayetteville for its own fixed-base operations. Fayetteville will.follow all of its standard hiring practices, as well as all applicable provisions of local,state or federal law. The Parties agree that Fayetteville's agreement herein shall not be deemed to create third-party beneficiary rights for any current or future employee of Fayetteville,nor for any Fayetteville job applicant, nor for any employee of Million Air. 6. Million Air agrees to allow Fayetteville's employees or agents the right to be physically present during Million Air's removal of any of its remaining equipment and/or furnishings at Fayetteville's airport, and further agrees to allow Fayetteville the right of access to spaces and facilities occupied by .Million Air at Fayetteville's airport in order to accommodate Fayetteville's set up of telecommunications hardware, including, but not limited to telephone and/or data lines. 2 yr