HomeMy WebLinkAbout2-92 RESOLUTIONV
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RESOLUTION NO. 2-92
A RESOLUTION AUTHORIZING A LEASE MODIFICATION
WITH TRANS STATE AIRLINES TO ADD 486 SQUARE
FEET OF EXCLUSIVE SPACE.
BE IT RESOLVED BY THE BOARD OF DIRECTORS OF THE CITY OF
FAYETTEVILLE, ARKANSAS:
Section 1. That the Mayor and City Clerk are hereby
authorized and directed to execute a lease modification with Trans
State Airlines to add 486 square feet of exclusive space. A copy
of the lease modification and amorization schedule authorized for
execution hereby is attached hereto marked Exhibit "A" and made a
part hereof.
PASSED AND APPROVED this 7th day of January , 1992.
ATTEST:
7
By
City C'erk
APPROVED:
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By:C.
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Mayor
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MODIFICATION OF LEASE AGEZZEMMT
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This AGREEMENT made this 1/ day of �18Nam^ ,
1993, by and between the City of Fayetteville, ArkansasC,lherein-
after called "Lessor", with Trans State Airlines, Inc., hereinafter
called "Lessee", which shall be effective as of January 12, 1993.
WHEREAS, Lessor and Trans State Airlines, Inc., entered into
a lease agreement dated February 1, 1991, which lease has been
modified by subsequent agreements and is incorporated herein by
reference thereto; and
WHEREAS, the parties desire to further modify the aforesaid
lease agreement.
NOW, THEREFORE, THE PARTIES MUTUALLY AGREE AS FOLLOWS:
1. Paragraph 5 of said lease is modified by amending
subparagraph A to read:
A. For the exclusive use of 598.71 square feet of
office space in the terminal building such space being
more particularly identified as a ticket counter,
operations area, storage and office space, and freight
handling, $15.86 per square foot for the calendar year
1993.
2. All provisions of the lease are incorporated herein and
are hereby modified to conform herewith but in all other respects
are to be and shall continue in full force and effect.
IN WITNESS WHEREOF, the parties have executed this
Modification of Lease on the day and year first above written.
ATTEST %%�� ,/
By: 4Z, lJlm.� )2/
Title: Siziw9. 4/1VQDIUL--
CITY OF AYETTEVILLE, ARKANSAS
M yor Fred Hanna
By:
LESS
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By` /�
Title: � t e field tb .— f#G
JJ
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FRANK CRYSTAL AVIATION
A Division of Frank (rvslal c (0.Inc.
INSURANCE
December 26, 1991
City of Fayetteville, Arkansas
113 West Mountain Street
Fayetteville, AR 72702
Attention: County Clerk
Re: Trans States Airlines, Inc.
Certificate of Insurance No. TS91-092
43 Broad Scree;
New York, NY :0004-2;1,7
212) i44-2444
800: 221 -SMI)
Fax (212: 907-;01,z
'telex 222'92
Ft. Laadcrdale
Houston
Kansas City
Dear Sir/Madam:
Enclosed, please find our Certificate of Insurance No. TS91-092.
I trust you will find this to be in order. Any questions, please call me.
Very truly yours,
Pieter Terwilleger
PT:w]v
cc: Ed McEnroc - Trans States Airlines
Ian Gregory - Crawley Warren
INSURED:
CERTIFICATE HOLDER:
CERTIFICATE OF INSURANCE
TRANS STATES AIRLINES, INC.
3990 Fee Fee Road, St. Louis MO 63044
CERTIFICATE NO: TS91-092
aAm December 26. 1991
City of Fayetteville, Arkansas
113 West Mountain Street
Fayetteville, AR 72702
Attention: County Clerk
Me, Frank Crystal f Co., Inc., as insurance brokers, hereby certify that the following described
insurance is in force as of the dates reflected hereon and is underwritten as follows:
SHARE
83.0%
100%
5.0%
2096
POLICY PnWOD:
TYPE OF COVERAGE -
LOCATIONS COVERED:
UNDERWRITER'S)
IUAYDS AND BRr119I WMPANIES
AVIATORS INIVRNAIIONAL INSURANCE GROUP
AVIATION OFFICE OF AMERICA
SOUTHERN MARINE & AVIATION UNOERWRYII?R.S, INC.
MAY 1. 1991 113 MAY 1, 1992 AT 1101 A.M. LOCAL STANDARD 'Ilton
POLICY f
00910552
BO5 80.0181
21019/301
1464641
$1,000.000. Combined Single Limit any one occurrence Bodily Injury and Property
Damage including Personal Injury and Public I.iability.
Worldwide.
ALL PROVISIONS SUBJECT TO POLICY TERMS, CONDITIONS, LIMITATIONS, AND EXCLUSIONS
In respect to a Lease Agreement dated February 1, 1991 between the City of Fayetteville, Arkansas and Trans
States Airlines.
Should the above mentioned policies be cancelled, we, the undersigned, will endeavor to give IQ days (10 days
with respect to non-payment of premium) written notice to the holder of this certificate, but failure to give
such notice shall impose no obligation of any kind upon the undersigned.
FRANK CRYSTAL & CO., INC.
40 BROAD STREET - NEW YORK, NY 10004
(212) 344-2444
Authorized Signature
LETTER AGREEMENT
This AGREEMENT is made and entered into by and
between the signatories of this letter as
representing the City of Fayetteville,
hereinafter referred to as "City", and Trans
State Airlines, Inc., hereinafter referred to
as "Airlines".
Airlines desires and City makes available within the airport
terminal, an area of exclusive use pursuant to pargraph 11 of the
existing lease between the parties dated February 1, 1991 attached
hereto and made a part hereof as Exhibit A. Terms and conditions
are outlined hereunder, for the mutual understanding and agreement
of City and Airlines.
PART I — CONSTRUCTION
A. City agrees to make available to the Airlines, subject to
formal lease modification approval of the City Board of
Directors, an area of exclusive use within the terminal
building.
B. Airlines agrees to construct a ticket counter and airlines
operation facility on such area of exclusive use in
substantially the same manner, terms, conditions and costs as
set forth in the accepted proposal signed by Charles Courtney
on 4 April 1991 and attached hereto as Exhibit B.
C. Airlines agrees to defend, indemnify and hold City harmless
against any expense, claim, loss, or liability as the result
of Airlines use or occupancy of the demised premises or the
carelessness, negligence or improper conduct of Airlines,
Airlines agents, servants, employees, customers, visitors or
licensees.
PART I I — RENTALS Sc CHARGES
A. Upon completion of construction, City shall measure or cause
to be measured the square footage of the exclusive use area
floor space. The rate for said space shall be equal to that
rate which is paid by the other air carriers operating in the
terminal building and be subject to annual renegotiation.
B. City shall issue Airlines a credit, on their monthly billing
invoice, in the amount of the monthly primary lease exclusive
use area rental fee. Said credit shall be issued monthly for
such period until the total costs of construction is
reimbursed or a cumulative total of said credit reaches
$10,000.00, whichever is less. Further, Airlines shall submit
copies of all construction expenses and expenditures to City.
C. Should Airlines, in any manner, vacate the subject exclusive
use area, City will issue no further credits toward
construction costs of the $10,000.00 cumulative total.
D. All other rentals and charges due City, including but not
limited to: landing fees, non-exclusive rental fees, 20% base
fee, fuel flowage fees, enplanement fees and copier charges,
shall be paid by Airlines as set out in lease dated February
1, 1991, attached hereto as Exhibit A.
PART S I Z — TEaT4I24211.9P=O14
A. All construction improvements as set forth in this Letter
Agreement shall be deemed to be the property of City. Upon
expiration or other termination of the aforementioned
exisiting lease, Airlines termination of service to
Fayetteville, or upon Airlines moving to another area within
the airport terminal, City may either, in their sole
discretion, take possession of such improvements or require
Airlines, at Airlines expense, to remove such improvements
from the airport terminal and return exclusive use area to its
original condition. If City should decide to require such
removal, City shall relinquish title to all such improvements
to Airlines.
ACCE1?T2k24CE
The acceptance by both parties of the terms of this agreement
shall enable Airlines to begin construction of a ticket counter and
an operation facility in the designated area for Airlines exclusive
use.
Further, it is understood by both parties that upon completion
of said construction, approval of a Lease Modification is required
by the Board of Directors, City of Fayetteville, Arkansas.
The validity of this agreement and of any of its terms and
provisions as well as rights and duties of the parties hereunder,
shall be governed by the laws of the State of Arkansas.
Nothing contained herein shall
obligations of the
as Exhibit A.
parties contained
CITY OF FAYETTEVILLE,
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By: rci✓
tile: .4 Mar. t r
te: April 26, 1991
ARKANSAS
serve to alter or amend the
in the existing lease hereto
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AMORT Z ZAP Z ON S CHEOULE FOR
CONSTRUCT=OH or COUNTER SPACE von
mans STATE A Z RL Z NE S
Pursuant to the attached agreement entered into the April 28, 1991
between Trans State Airlines and the City of Fayetteville, the
attached is a schedule of the monthly credit to be received against
a $10,000 capitalization for counter improvements:
TOTAL
May,
June,
July,
August,
September,
October,
November,
December,
January,
February,
March,
April,
May,
June,
July,
August,
CREDIT:
1991
1991
1991
1991
1991
1991
1991
1991
1992
1992
1992
1992
1992
1992
1992
1992
$642.33
$642.33
$642.33
$642.33
$642.33
$642.33
$642.33
$642.33
$642.33
$642.33
$642.33
$642.33
$642.33
$642.33
$642.33
$365.05
510.000.00
Pro -rated exclusive space rental in the amount of $277.28 shall be
payable for the remaining August balance. From September 1, 1991,
through December 31, 1991 exclusive rental for this space shall be
paid at the $15.86 rate. This rate is annually negotiable and any
change shall be set forth in accordance with the existing lease
agreement for 1993 and the remaining years in the lease.
EXHIBIT MA"
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MODIFICATION OF LEASE AGREEMENT
1790 This AGREEMENT made this Tez day of ,
X1993"; by and between the City of FayettevillQ, Arka sas, herein-
after called "Lessor", with Trans State Airlines, Inc., hereinafter
called "Lessee", which shall be retroactive effective to May 1,
1991.
WHEREAS, Lessor and Trans State Airlines, Inc., entered into
a lease agreement dated February 1, 1991,; and
WHEREAS, the parties desire to modify the aforesaid lease
agreement.
NOW, THEREFORE, THE PARTIES MUTUALLY AGREE AS FOLLOWS:
1. Paragraph 5 of said lease is modified by amending
subparagraph A to read:
A. For the exclusive use of 486 square feet of office
space in the terminal building such space being more
particularly identified as a ticket counter, operations
center, storage and office space, and freight handling
and storage room, the sum of $15.86 per square foot for
1991 retroactive to May 1, 1991. Lessee shall receive
credit against a capitalization expense of $10,000 for
counter construction until said expense is amortized.
Upon amortization of this expense, payment of the
aforesaid exclusive space rent shall be due and payable
in accordance with paragraph 5 of this contract.
2. All provisions of the lease are incorporated herein and
are hereby modified to conform herewith but in all other respects
are to be and shall continue in full force and effect.
IN WITNESS WHEREOF, the parties have executed this
Modification of Lease on the day and year first above written.
CITy-ctF FAYETT I, ARKANSAS
i- %/ ^ - 0
By:-/I� r .
Cit Manager r
ATTEST
By: ,c/%Me� �GEtnrw�
Title: Cc,t.�t. 2&&k
ATTEST
By: ..-‘‘../.7.4
Title: 4 . ',%1 ',.• L
LES
By:
Title: 2 c 46+t_ a
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I :�� 141`rI 14 11.1.14.
THE CHV OF fA+E'TEVI.tE, ARKANSAS
DEPARTMENTAL CORRESPONDENCE
TO: Contract Review Personnel
FROM: Dale Frederick, Airport Manage
DATE: February 26, 1993
SUBJECT: MODIFICATION OF LEASE/TRANS STATE AIRLINES
Due to the construction of the expanded north end gate area, the
hallway that provides ramp and baggage handling access to Trans
State Airlines had to be lengthened.
It is Trans State Airlines desire to utilize this extended hallway
for continued passage way use and additional storage.
This lease modification adds an additional 112.71 square feet to
their exclusively leased space. The approval of this modification
will allow for the inclusion of this space in their lease agreement
and provide additional revenue from rental compensation.
At Trans States request, and additional original has been requested
for signature so they may also have a completed original
modification on file.
Should you have any questions or require additional information,
please do not hesitate to contact this office.
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CITY OF FAYETTEVILLE
REVIEW FORM
PROJECT: ,Ccne, Vtiat. L.7‘..94,/[And S/ie9z_ AlANAL)
PROJECT MANAGER: n0 1ti..ce.,
DEPARTMENT/D1VISION: 0;yvin
Please review the att�a,}ched con ct and/or change order between the City of Fayetteville and
rn..a Si 4.t itr frac) /2e , »ieso.
Authorizing Signature
Date Comments
City Attorney }
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£inatiea Diie�tor ` •; .
Purchasing Manager
Budget Coordinator
,c st - 3 a -9:e
<
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Internal Auditor 1 '
ADA Coordinator J
RETURN TO �n.urar%r.viJN: WHEN REVIEW PROCESS HAS BEEN COMPLETED.
Department Director°
Administrative Services Director
1
INSURED:
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CERTIFICATE OF INSURANCE
TRANS STATES AIRLINES, INC.
9275 Genaire Drive, St. Louis MO 63134
CERTIFICATE HOLDER:
Qty of Fayetteville, Arkansas
113 West Mountain Street
Fayetteville, AR 72702
Attention. County Clerk
f
CERTIFICATE NO: TS93-092
DATE: May 1, 1993
We, Frank Crystal & Co., Inc., as Insurance brokers, hereby certify that the following described Insurance Is In force as of
the dates reflected hereon and Is underwritten as follows:
SHARE,
35.5%
3t0%
15.0%
7.5%
4.0%
100A%
UNDERWRITERS)
LLOYDS AND BRITISH COMPANIES
AIG AVIATION
lA REUNION AERIENNE
CAMAT. AVIATION
SOMERSET AVIATION. INC.
MUTUAL MARINE OFFICE
POLICY PERIOD: MAY 1,1993 TO MAY 1, 1994 AT 12:01 AM, LOCAL STANDARD TIME
TYPE OF COVERAGE: Aircraft Hull and Liability Insurance
LOCATIONS COVERED: Worldwide
?here is no coverage for flights to Libya
POLICY*
AA931254
AV322-6156
AA931254C
AA9312548
80580/01/93
MMO.07428AV593
THIS CERTIFICATE IS SUBJECT TO ALL OF THE TERMS, CONDITIONS AND LIMITATIONS OF THE
POLICIES, AND DOES NOT ALTER, AMEND OR EXTEND THE COVERAGE PROVIDED UNDER THE
POLICIES. IN THE EVENT OF A CONFLICT BETWEEN THE CERTIFICATE AND THE POLICIES, THE
PROVISIONS OF THE POLICIES WILL BE CONTROLLING.
In respect to a Lease Agreement dated February 1, 1991 between the City of Fayetteville, Arkansas and Trans
States Airlines.
Should the above mentioned policies be cancelled, we, the undersigned, will endeavor to give 3Q days (10 days
with respect to non-payment of premium) written notice to the holder of this certificate, but failure to give such
notice shall impose no obligation of any kind upon the undersigned.
FRANK CRYSTAL & CO., INC.
40 BROAD STREET - NEW YORK, NY 10004
(212) 3442444
s
Authorized Signature / •Z