HomeMy WebLinkAbout54-99 RESOLUTIONRESOLUTION NO.5 4 - 99
A RESOLUTION APPROVING A LEASE MODIFICATION WITH
REPUBLIC PARIUNG SYSTEMS AT DRAKE FIELD AIRPORT.
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FAYETTEVILLE,
ARKANSAS•
Section 1. That the City Council hereby approves a lease modification with Republic
Parking Systems at 'lake Field Airport. A copy of the lease modification is attached hereto marked
Exhibit "A" and made a part hereof.
resS§9)-AND APPROVED this ft day of April 1999.
t
• I • \ APPROVED:
r • 1•
By.
13
ATTEST'. -
By. Aadee
Heather Woodruff, City Cle
Fred Hanna, Mayor
FAYETTEVILLE
THE CITY Of FAYETTEVILLE. ARKANSAS
DEPARTMENTAL CORRESPONDENCE
To: Dale Frederick, Airport Manager
From: bleather Woodruff
Date: April 9, 1999
Attached is a copy of the resolution approving lease modification with Republic Parking Systems
for your files. 1 am also returning two originals for you to distribute. The original will be
microfilmed and filed with the city clerk.
cc. Yoland Fields, Internal Auditor
File
MODIFICATION TO LEASE
EXHIBIT A
REPUBLIC PARKING SYSTEM OF CHATTANOOGA, TN
VAti
This AGREEMENT made this to day of N , 1999 by and between the City of
Fayetteville, Arkansas, hereinafter called "Lessor", and Republic Parking System, hereinafter
called "Lessee"
WHEREAS, Lessor and Lessee entered into a Lease Agreement, hereinafter called
"Lease" dated April 17, 1990.
WHEREAS, commercial air service at Drake Field has been significantly diminished by
the relocation of four of the five air carriers to another airport
WHEREAS, the loss of said air service has resulted in a severe reduction in the number
of customers using the airport parking facility.
WHEREAS, the parties desire to modify the aforesaid Lease Agreement:
NOW THEREFORE, THE PARTIES MUTUALLY AGREE AS FOLLOWS:
The Lease Agreement shall expire immediately upon the execution of this Modification
of Lease on the day and year first above written
IN WITNESS WHEREOF the parties have executed this Modification of Lease on the day and
year first above written
ATTEST: CITY CLERK
BY
BY
CITY OF FAYETTEVILLE,
FAYETTEVILLE, ARKANSAS
MAYOR
REPUBLIC PARKING SYSTE
N 1 AND TITLE
RON R McDONALD, VICE CHAIRMAN
SUITE 2000 REPUBLIC CENTRE
CHATTANOOGA, TN 37450
STAFF REVIEW FORM
Agenda Request
Contract Review
Grant Review
g es
FOR THE FAYETTN41() r: MED
EVILLE CITY COUNCIL MEETING OF April 6. 1999
!
FROM:
Dale Frederick
Name
Airoort General Government
Division Department
ACTION REQUESTED:
A resolution appproving a lease modification with Republic Parking System
at Drake Field; and to authorize the Mayor and City Clerk to execute said
lease.
COST TO THE CITY: Loss of revenue
Cost of this request Category/Project Budget Category/Project Name
Account Number
Project Number
Funds used to date
Program Name
Remaining Balance Fund
BUDGET REVIEW
-
Bud , eted Item
kg......4._ Budget A4jrme A ached
Budget Coordinator Admitistra ive Services Director
CONTRACT/GRANT/LEASE REVIEW: GRANTING AGENCY:
--/AA<A4,16.3J ty 3-.2449 8,1144:1X1t1 029'
Akmuntitig Manager Date Internal Auditor Date
c,..
Aporhey Date
LJQ o 3-10-0 -99
Purchasing Officer Date
ADA Coordinator Date
STAFF RECOMMENDATION:
Approval of Modification of Lease with Republic Parking System
Division Head
Date
1tlek,
Date
REPUBLN1
PARKING
SIISTEM
EXECUTIVE OFFICES • SUITE 2000* REPUBLIC CENTRE • CHATTANOOGA. TENNESSEE 37450 • 423(756-2771 • FAX 423/265-5728
March 22, 1999
Mr. Dale Fredenck
Airport Manager
Drake Field Airport
113 West Mountain Street
Fayetteville AR 72701
Dear Dale:
letennmen
MAR 2 3 1998
AIRPORT
This is a very difficult letter for me to write. I value the relationship, both business and
personal that we have enjoyed with you the Airport and the City for these many years.
However, as you know, the relocation of four of the five airlines to the Northwest
Arkansas Regional Airport has made the ability to operate a viable paid parking facility
at Drake Field impossible.
We have enjoyed our association with the City and the Airport and are proud of the high
level of service that we have provided to the community. However, the current
circumstances require that we request immediate release from the obligations of the
lease agreement between the City of Fayetteville and Republic Parking System.
I have enclosed a Modification to Lease for your review and signature. If you have any
questions or comments, please contact me.
Sincerely,
Ron R. McDonald
Vice Chairman
••••-• •
MODIFICATION TO LEASE
REPUBLIC PARKING SYSTEM OF CHATTANOOGA, TN
This AGREEMENT made this day of March, 1999 by and between the City of
Fayetteville, Arkansas, hereinafter called "Lessor", and Republic Parking System, hereinafter
called "Lessee"
WHEREAS, Lessor and Lessee entered into a Lease Agreement, hereinafter called
"Lease" dated April 17, 1990.
WI1EREAS, commercial air service at Drake Field has been significantly diminished by
the relocation of four of the five air carriers to another airport.
WHEREAS, the loss of said air service has resulted in a severe reduction in the number
of customers using the airport parking facility.
WHEREAS, the parties desire to modify the aforesaid Lease Agreement:
NOW THEREFORE, THE PARTIES MUTUALLY AGREE AS FOLLOWS:
The Lease Agreement shall expire immediately upon the execution of this Modification
of Lease on the day and year first above written
EN WITNESS WHEREOF, the parties have executed this Modification of Lease on the day and
year first above written
ATTEST: CITY CLERK
BY
BY
CITY OF FAYETTEVILLE,
FAYETTEVILLE, ARKANSAS
MAYOR
REPUBLIC PARKING SYSTE
NAM AND TITLE
RON R McDONALD, VICE CHAIRMAN
SUITE 2000 REPUBLIC CENTRE
CHATTANOOGA, TN 37450
PARKING AGRFFKFNT
This AGREEMENT antored tho 12th_ day of Aar,' 1990,
by and between the City of Fayetteville, horeinafter called City
and Republic Parking System, with ito principal office locatod
at Chattanooga, Tonnossoe, horeinafter called Operator, (subject
to the following Corms and conditions:
(1)
Operator
facilities
Fayottevil
Operator agroos to oporato and City agrees to permit
to havo oxclusive right to oparato, all public perking
in and about tho torminal area at Drako Fiold,
le, Arkansas indicated on Exhibit "A" attached horoto
and made a part horoof. In the evont the City, prior to
termination of the Agroament through expiration of its torm, or
any renewal theroof, shall vacate, movo ro-ostablish, materially
alter the entrance to tho terminal building and airport grounds,
or should the airport torminal building or airport runways be
relocated to an aroa other than immodiately adjacent to the now
existing terminal building or a new airport built at any time
during the term of this Agreement, all or any of the foregoing
resulting in the nocossity of a now parking lot area, then in
such event, City shall provide Operator a comparable parking
facility at the now location at no cost to Operator. City
hereby gives and granto to Operator the exclusive right of
possession and control of the promises as described on Exhibit
"A" hereto attached. City also grants Operator the following
rights and privileges;
(A) The option of establishing an automobile valet or
pickup and delivery service for the accommodation of the public
using the parking lots. The cervico is to consist of receiving
automobiles in front of the terminal building, parking them in
Cho pay parking lots and delivering tho automobiles from tho
parking lot to the public at an area designated by the Airport
Manager. The establiahment of such sorvico shall be approved by
City in writing.
(D) The right to provide a tow -away sorvico for any
violation of parking regulations at the airport. In the
accretion of such right, Operator shall be pormitted to chargo
tow -away foes as approved by tho Airport Manager, plus parking
chargos at the rates established heroin for the period such
vehiclo is atorod in tho parking lot of Oporator. Tho Operator
shall have the right to biro a tow -away servico. All towing
shall be approved in advance by Airport Manager.
(2) Operator agroos to pay City tho following percentages
of tho parking lot raceipts, oxcluding tow, aorvico and motor
Coos:
50% of the gross annual receipts in oxcoss
of $0 per yoar up to $100,000.00, plus
65% of the gross annual receipts in oxcoss
of 5100,000 per year up to 5150,000.00,
plus
751 of the gross annual receipts in excoss
of 5150,000.00 per yoar up to 5200,000.00,
plus
67.51 of the gross annual recoipts in excess
of 5200,000.00 per year up to 5300,000.00,
plus
90% of the gross annual receipts in excess
of 5300,000.00 per year.
Operator agrees to provide only thoso services directly
related to the storago of automobiles. Any othor service
provided by Operator shall bo approved by tho Airport Manager
prior to the commencement of such scrvico.
The Operator agrees to pay the above prescribed percentages
monthly within fifteen (15) days following tho last day of the
preceding month.
Within thirty (30) days from tho end of each year of
oporation, Operator shall submit to the City an audit of its
operation. In tho event the payments mado during the year by
Operator exceed the amount of rental due City the Operator shall
be allowed to credit such excess against the succeeding month's
shall be entitled to collect and receive any
revenue without limitation,
and employee parking
rental. Operator
and all parking
restaurant validations,
fees,
if any.
including,
MOtars,
parking
(3) Operator shall maintain at all times an up-to-date
record of the true and complete accounts of the sales and
business transacted. Within fifteen (15) days from the last day
of the preceding month, Operator's Chief Financial Officer shall
submit to the City a certified etatement reflecting Operator's
gross receipt for said preceding month.
ehall be
representative
"record" shall
register tapes,
Operator shall
of any sales
Arkansas.
statement
Operator's records
open for inspection by City or any authorized
of City at all reasonable hourn. The term
include, but shall not bo limited to
tickets, and tax returns or reports.
immediately furnish the City a copy
filed by Operator with the State of
agrees to provide the City an annual audited
of revenues received, which
cash
sales
upon request
tax
Operator
reports
statement
prepared by an independent certified public accountant at
Operator's expense. All cash register tapes,
tickets shall be retained by Operator for
days.
shall
be
reports and used
a period of sixty (60)
(a) The term of this Agreement shall be for five (5) years
with City having the option to extend for an additional five (5)
years upon terms and conditions to be negotiated by the parties.
(5) Operator has the right to suspend the payment of fees
and cease operations during any period in excess of seven (7)
consecutive days that the Airport is not operated for use by a
commercial air carrier. The resumption of the payment of fees
and operations will commence upon the resumption of the
operation of a commercial air carrier.
(6) Operator shall, at Its own expense and at all times
during the term of the Agreement and any extension or renewal
thereof, obtain and secure for ito protection public liability
insurance in the amount of $1,000,000 and property damage
insurance in the amount of $1,000,000.
Operator agrees to keep, save and hold harmless City from
any and all claims for injury or damages &rifling out of or in
connection with its operation of the parking facilities.
Operator shall procure and maintain in full force and effect
during the term of this Lease, fire and extended coverage
insurance covering improvement on the leased premines. Evidence
of insurance and notices
performance bond in the amount
City. A
during the
Operator.
of cancellation shall be furnished to
of $10,000 effective
tarn of thio Agreement, shall be furniehed by
(7) Operator
ticket dispensers,
parking facility.
the Operator.
agrees to install tho necessary control booth
fee computer and gates to create a commercial
Said equipment shall remain the property of
(8) Operator shall pay all utility costs incurred in
connection with the operation of all parking equipment;
provided, the City shall, at City's expense, furnish electricity
for the parking lot lights.
(9) City shall designate by proper signs the following
parking areas outside the premises: Airport Limousine, Rental
Car and Taxi spaces. City shall regulate public parking to the
effect that all parking except passenger loading and unloading
shall be required to be in the parking area covered by this
Agreement. The City shall retain control of the parking lot
adjacent to the old Terminal Building and may permit employees
In the old Terminal Building, the FAA Building, and the hangar
areas to park in said lot.
(10) The initial parking rates shall be charged in
accordance with the following schedule:
Short Term Tot
0 to 30 Minutoa
Each Additional 30 Minutos
Maximum Per 24 Hours
lona Term to
$ .50
.50
4.50
0 to 1 Hour $1.00
Each Additional Hour .50
Maximum Par 24 Hours 3.75
Parking ratos ohall not be incroased or docreased without a
writton request by Operator and written consent by tho Airport
Managor. Such consent not to bo arbitrarily withheld.
(11) A minimum of fivo (5) spaces ohall bo reoorvod for tho
exclusive uso of City Officials and City Employoes. There shall
be no chargo to the City or its employees for tho use of theso
spaces and they shall bo accessiblo twenty-four (24) hours per
day.
(12) Oporator agrees to abida by and obsorve all Federal,
State, and local laws and airport rola° and rogulations that are
now in effect or that may hereafter be adopted pertaining to the
operation of aircraft on or about the airport. Operator horeby
agroos that all services furnished on the airport premises by
Oporator will be sold or furnished on a fair, equal and not
unjustly discriminatory basis to all users thereof; that all
prices charged for each unit or service will bo fair, reasonable
not unjustly discriminatory (provided that Operator may make
reasonable and nond
similar types of
Operator will not
or national
iscriminatory discounts, rebates, or other
price reduction to volume purchasers); and
on tho grounds of raco, color, creed, religion
origin discriminato against any person or group of
persons in any manner prohibited by Title VI of tho Civil Rights
Act of 1964 or Part 15 of the Federal Aviation Regulations, or
any amendments or supplementary legislation thereto and all
rulos and regulations adopted thereunder. It is understood and
agreed that the City shall have tho right to tako such action as
the Feders1 Covernmont may direct to enforce this covenant.
Sorvico shall bo prompt, courteous and efficient and shall bo
adoquato to moot tho domands for said servico on tho Airport.
•
(13) City covenants and agrees that during tho term of this
Agreement and any extension of renewal Cheroot, Operator shall
have tho peaceful right to use the promises for parking purposes
and in accordance with all of the rights and privileges as
herein stated. City agrees that there ohall be no froo parking
in and about the terminal area, and the City agroos to assist
and cooperate in every way possible with Operator to prevont any
froo parking in and about the terminal area including, without
limitations the erection of fencing or barricadon for auch
proventivo purposes. City agreos to vigorously onforca tho
loading, unloading and no parking area° to the extant of issuing
tickets for illogal parking and towing of vohicles for exconsivo
violation.
(14) Approximatoly thirty-fivo (35) spaceshall bo
reaorved for the oxclusive use ot Terminal Building Employoos.
Tho parking rate for said spacos shall bo $10.00 por month. Any
chango in the employer, monthly parking rato ohall bo approved in
writing by the Airport Managor.
(15) In the event a restaurant validation program is
instituted, City and Operator agree that the Rostaurant
Concessionaire shall validate parking tickets for its customors
who have actually spent a specified amount in the restaurant.
Such amount to be agreed upon by Operator and Restaurant
Concessionairo. Restaurant Concessionaire will pay Operator for
each ticket validated an amount to be mutually agreed upon, but
not to exceed Chen existing commercial parking rates. Any
program shall be approved by City, in writing.
(16) All the terms, covenants and agreements herein
contained shall be binding upon and shall inure to the benefits
of the heirs, succossors and assigns of tho rospectivo parties
hereto. Noithor the whole nor any part of this Agreement may be
assigned, transferred Of sublet by Oporator, eithor by process
or operation of law, or in any other manner whatsoever, without
tho prior written consont of City, which consent shall not be
unreasonably withheld.
•
(17) In the event Operator shall hold over and remain in
possession of the premises herein leased after the expiration of
this Agreement or any extension provided herein, without any
written renewal thereof, such holding over shall not be deemed
to operate as a renewal or extension of this Agreement °hall
create only a tenancy from month to month which may be
terminated at any time by City.
(18) In the event of the default or unsatisfactory
performance by Operator under the terms of the Agreement, City
shall give notice to Operator of the alleged failure of
performance detailing the particulars thereof. Operator shall
have thirty (30) dayo to correct the said default and in the
event it falls to do no, City shall have the right to terminate
this Agreement, provided
however, the City agrees not
this remedy in an arbitrary and capricious manner.
to
10
(19) If the City shall default in fulfilling any of the
terms, covenants or conditions to be fulfilled by City hereunder
and shall fail to remedy said default within sixty (60) days
after receipt by City of written demand from Operator to do so,
Operator shall have the option either to cancel this Lease or
remedy the default and deduct the expense incurred in remedying
such default from the rent.
(20) ,Notices the Lessor
registered mail,
shall be sufficient if sent by
postage prepaid, addressed to Airport Manager,
113 West Mountain Street, Fayetteville, Arkansas 72702 and
notices to Lessee shall be sufficient if sent by registered
mail, postage prepaid, addressed to James C. Berry, Suite 1600
Republic Centre, Chattanooga, Tennessee 37450, or to such other
addresses as the parties may designate to each other in writing
from time to time.
(21) Operator shall make the expansion, installations and
modifications as shown in the attached diagram identified as
Exhibit "A". All such Improvements, installations and
modifications shall be approved by Airport Manager. A detailed
list of all engineering fees, installation and improvement cost
shall be provided to tho Airport Manager upon completion.
Operator shall deduct from rental due City 1/60 of the total
cost of the engineering fees, expansion, installations, and
modifications on a monthly basis until the total cost has been
recovared by Operator. All such improvements, installations and
modifications heroin shall become the proporty of tho City upon
paymont of said total cost, except thane installations roforred
to in Section (7) above.
(22) Tho Oporator
commorcial parking
providod, tho
mutually agreed upon
expansion.
°hall, at Oporator's oxponae, ompand
areas as the need for expansion :aquas;
terms and conditions of expansion shall bo
by tho City and tho Oporator prior to any
(23) The Oporator shall OrOCC
uniform traffic and parking
to assist the public and
a aufficiont number of
rogulatory signs throughout the arca
ensure a amooth traffic flow. The
design and installation of such signs shall bo approved by the
City prior to installation thoroof.
(24) Operator's employees at the facility shall bo
uniformly dressed, shall be courteous and polite to tho public
at all times, and shall be subject to dismissal upon complaint
of the Fayetteville City Manager. Operator's Resident Manager
shall havo full responsibility for day-to-day operation.
Operator's Diroctor of Oporations shall keep close contact with
tho Resident Manager through rogular inspections to review and
check operations. Oporator's Regional Vico President shall
maintain close communication with the City's Airport Manager to
ensure that satisfactory parking objectives are being not on a
continuing basis.
(25) Operator shall, at Operator's expense, maintain all
signs and equipment in good repair during the torm of this
Lease. operator shall keep the parking area clean of all
rubbish and debris. Oporator shall remove snow from the leased
promises, as soon as possible after any accumulation thereof.
(26) Operator shall provide the highest standard of service
In tho day-to-day operation of tho public parking lots at
Fayettevillo Municipal Airport.
•
(27) Operator.° Resident Manager shall have full
responsibility for day-to-day operation and shall be approvod by
the Airport Manager. His duties shall consist of, but shall not
be limited to, the following:
(a)
Plan, coordinate, schedule: and be responsible for the
work of all supervisors and employeos of Operator of
the Airport.
(b) Abide by and onsure adhorenco to ostabliohed policies,
rulos, procedures and regulations of tho Airport, as
wall as the provisions of tho Managemont Agroomont
between the City and Operator.
(c) Bo responsiblo for all adminiotrativo roquiromonta of
the Operator at the Airport.
(d) Maintain closo liaison with the Fayettevillo Police
Department in handling problems of mutual concern such
as prohibited vehicles, traffic congostion, and
socurity.
(0)
(9)
Initiate and direct the orientation of new employeos
and make effort to improvo tho efficiency of employoes
already on duty.
Maintain proper liaison with the Airport Managor or
his duly designated representative on a day-to-day
basis.
Be responsible for achieving good public relations by
all employees of Operator at the Airport by
instructing Operator's employees to render the utmost
courtesy in dealing with the public.
(h) Assist in setting and enforcing standards for
operator's employeespersonal appoarance, demeanor,
and attitudo.
(i)
Prepare reports to Operator's Accounting Department
and conduct spot checks for accuracy of all clerical
records.
(j) Be responsible for tho selection and dismissal of
parking personnel of Operator at the Airport.
(k) Check booths, parking equipment and area
conditions and serviceability.
for
(1) 80 roaponaible for insuring that Operator complies
with all Federal regulations pertaining to
nondiscrimination in tho hiring of employees.
(28) Each
cashier employed by Operator ahall bo
for collecting the propor amount
processed
of money for
responsible
each ticket
in accordance with the following procedure:
Cashier
• shall take parking ticket from the customer, compute the parking
timo and fee, collect the proper fee and deposit it in
drawer and close the drawer to activate raising of the
the and of each shift, the cashier shall
report. The shift report shall include the
processed and a breakdown of the number of
shall seal the shift report and
Each cashier
of money in
prepare
number of tickets
tickets by price,
the proper amount
tho cash
gate. At
the shift
an envelope and deposit said envelope in Operator's
safe. Operator's Resident Manager shall verify each shift
report and shall forward copies of the shift reports, the master
report, and all deposit slips daily to Operator's accounting
department for daily home office audit. Operator's company
auditor shall make periodic unannounced visits and spot checks
to ensure that all accounting and control procedures are being
adhered to.
(29) Each attendant employed by Operator shall be
responsible for the cleanliness of the booth during his shift.
Each attendant shall clean the windows, sweep floor, and clean
the counters during periods when he is not actively cashiering
tickets. Any attendant starting his shift and finding the booth
in an untidy or unclean condition shall report such condition to
his supervisor. The area immediately surrounding each cashier
-10-
.1•••••
booth shall be policod by the attendant on duty and the area
kept clean of trash and debris at all times.
(30) All of Operator's personnel shall be familiar and
trained in the mechanics of the parking equipment. In tho event
of minor malfunctions of the parking equipment, each attendant
shall have the ability to make minor adjustments to tho
equipment so that customer service will not be dioruptod. In
the event of a machino malfunction not being ramodiod by minor
adjustment, tho attendant shall promptly report tho malfunction
to tho Rosidont Managor.
(31) Cashiers receiving complaints from cuntomors shall
promptly notify tho Rosident Manager. The Rooidont Manager
shall handlo the complaint and shall make a report advioing tho
City's Airport Manager of the nature and disposition of tho
complaint within 48 hours after receipt of the complaint.
(32) In the ovent of injury to a customer or to an employe°
of Operator, the Resident Manager shall bo notifiod promptly and
shall be responsible for obtaining any necessary medical
attention. If tho Resident Manager is unavailable, tho cashier
or other employee to whom the injury is reported shall bo
responsible for obtaining any nocesnary medical attention. Tho
Resident Manager shall provide the City's Airport Manager a
general injury report within 48 hours after an injury.
-11-
•
RESOLUTION No. NG-qo
A RESOLUTION APPROVING A PIVE YEAR CONCESSION
AGREEMENT WITH REPUBLIC PARKING SYSTEM FOR
OPERATION OF THE PASSENGER PARKING LOT AT THE
COMMERCIAL TERMINAL BUILDING.
RE IT RESOLVED BY TIM BOARD OF DIRECTORS OF T1M CITY OF
FAYETTEVILLE, ARKANSAS;
Section 1. That the Mayor and City Clerk are hereby
authorized and directed to execute an agreement with Republic
Parking System for a period of five years to operate the passenger
parking lot at the commercial terminal building. A copy of the
contract authorized for execution hereby is attached hereto marked
Exhibit "A" and made a part hereof.
PASSED AND APPROVED this 17th day of April 1990.
APPROVED:
8 igt /42107
llll 5
Mayor
ATTEST:
Bv
City C .rk
V'
IN WITNESS WHEREOF the parties hereto have executed this
Agreement on the data first above written.
ttttttt I 00000
oo So,
I ' • • I 44..
ATTEST:
CITY OF FAYETTEVILLE, ARKANSAS
By:/a/2.42.1
MAYOR
•••, ..............
ATTEST:
BY: \id acc4
REPU 1,,ARKING SYSTEM
BY:
TITLE: PRESIDENT
TITLE: VICE_PRESIDENT
-12-