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HomeMy WebLinkAbout123-00 RESOLUTION• RESOLUTION NO. 123-00 MICROFILMED A RESOLUTION AUTHORIZING THE MAYOR AND CITY CLERK TO EXECUTE A LEASE AGREEMENT WITH WINGS AIR, INC., FOR AN ABOVE -GROUND FACILITY LOCATED SOUTH OF THE TERMINAL BUILDING RAMP WITH AN INITIAL ANNUAL COMPENSATION RATE OF $384, AND FLOWAGE FEES AS SET FORTH BY §91.16 OF THE CODE OF FAYETTEVILLE. BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FAYETTEVILLE, ARKANSAS: Section 1. That the City Council hereby authorizes the Mayor and City Clerk to execute a lease agreem nt with Wings Air, Inc. for an above -ground facility located south of the terminal building ramp as more fully set forth in to the agreement attached hereto marked Exhibit "A" and made a part hereof. Initial annual compensation rate will be $384, and flowage fees as set forth by §91.16 of the Code of Fayetteville. Section 2. following: Approval of said contract set forth in Sectionl. shall be contingent upon the Large Scale Development approval, and License being granted by Air British Petroleum. D AND APPROVED this 5th day of September , 2000. ATTEST: By: e%t/Iiii to � Heather oodruff, City lerk APPROVED. By: Fr d Hanna, Mayor NAME OF FILE: CROSS REFERENCE: "�,-4 /2S DD Date Contents of File Initials c& --&O ',aA- &to-ic /Z3-c2o Smat /XA'rSr T „ ( iiov g -X- at ..7ne C71CZy. stALKAzt .et_f_ k*,02-4 , tam A/fie/4i/ ��ce J 4:zele Ze) Zed al./2-c; dl; �,�% / n� l0. , - �m/ia�� - /.� p -3 -DD S /6 n/��a� {�� f �/2 A '//r/ ll /4 (i /1j��,027.4/ia,J l% -n --.%422 J%GGe-A 4deri-z-� daLL,Jo_ c lam,:�/ 47 ig/.h- OG I / ,/ f1le-i-e_,i.\ �� ,e -,L • EXHIBIT A a� LEASE AGREEMENT Above Ground Fueling Facility This Agreement made and entered into at Fayetteville, Arkansas, the 0534 day of ""P11=111Pc0 , 2000, by and between the City of Fayetteville, Arkansas, 113 W. Mountain, Fayetteville, Arkansas, 72701, hereinafter referred to as the "Lessor," and Wings Air, Inc. Attn.: RM. Schossow, P.O. Box 064, Lowell, Arkansas, 72745, hereinafter referred to as "Lessee," WITNESSETH: 1. Leased Premises. For and in consideration of the rents, covenants and agreements herein entered into and agreed upon by the Lessee as obligations to the Lessor, the Lessor lets, leases and demises unto Lessee, subject to the terms and conditions contained herein, the following described property situated in Washington County, Arkansas: A certain tract of land 108.7 feet by 130 feet located at the Fayetteville Municipal Airport/Drake Field and more particularly set forth and shown on Exhibit "A" attached hereto and made a part hereof. Lessor reserves the right to take such action as may be necessary to protect the aerial approaches of the Fayetteville Municipal Airport/Drake Field, hereinafter referred to as "Airport", against obstruction in accordance with the applicable standards and/or requirements. Lessor also reserves for itself and its hcensees, an Avigation easement in, over and across the airspace above the Leased Premises and the unrestricted right to subject the leased Premises to such Airport noise and vibration as may result from the ffight of aircraft, warm up of engines, testing of motors and other aviation related activities. Lessee, its representatives, agents, invitees and licensees, shall have the right of ingress and egress to and from the leased Premises. 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. 2. Use. Lessee shall have use of the Leased Premises as follows. A. Lessee shall be entitled only to use the Leased Premises for lawful purposes related to the activities of a fueling facility. - Aviation Fuel shall not be sold for non -aeronautical purposes. B. Subject to Federal Aviation Administration, hereinafter referred to as "FAA" and Airport Security and Airport Operational Rules, Airport Minimum Standards, Regulations m and Procedures, Lessee shall be entitled to use, on a nonexclusive basis, public areas of the Airport and runways, taxiways, aprons, lighting navigation aids, and other facilities necessary for = 00 1- • • the operation of aircraft and activities related to Lessee's business as a fueling facility. C. Lessee shall require all of its agents, employees, contractors and invitees entenng the Leased Premises to comply with the Airport Rules and Regulations established by the Airport and the FAA as they currently exist, and as may be amended. D. Lessee shall conduct its operations in an orderly and proper manner so as not to annoy, disturb, or be offensive to others at or surrounding the Airport. E. Lessee shall take all reasonable measures to keep the sound level of its operations as low as reasonably possible. F. Lessee shall not permit the accumulation of any rubbish, trash or other waste material on the Lease premises. G. Except in tanks and in the manner approved by appropriate governmental authonties, Lessee shall not store any gasoline or other material hkely to give off fumes or gases or any material likely to constitute a fire, safety or security hazard on the Leased Premises. H. Lessee shall not cause or permit any hazardous material or hazardous substance to be disposed of on the Leased Premises by Lessee, Lessee's agents, employees, contractors or invitees. 3. Tenn of Agreement. The term of this Agreement shall be: A. Initial Term. A period of one year commencing on the date of this Agreement, and expiring at midnight on SES T. 5 , 7Od unless otherwise terminated, canceled or extended as set forth herein below. B. Option to Extend. Lessee shall have the option to extend the Lease Term for three (3) consecutive three (3) year terms, under the same terms and conditions of this Agreement, provided: (1) Lessee has complied with and performed all conditions, covenants, and terms of this Agreement without any uncorrected defaults if known to Lessee, or any defaults that are not otherwise in the process of being resolved in the manner provided in this Agreement. (2) Notice of Lessee's intent to renew has been made in writing to Lessor at least one hundred twenty (120) days prior to the expiration of the term. (3) A recommendation of renewal has been made by the Airport Board after completion of a performance review made in accordance with the Performance standards set forth in Paragraph 5 of this Agreement. 4. Rental Charges, Fees and Utilities. The following rentals charges and utilities shall be • • paid by Lessor: A. Rental Charges. Lessee shall pay an annual rental charge in the sum of three hundred eighty-four dollars ($384). Such sum may be paid monthly on or before the first day of each month at the rate of thirty-two dollars ($32), with the first payment due upon taking possession. Rental charges shall increase each anniversary year in the amount of three and one- half percent (3 1 /2%), until expiration or termmation of this Agreement. A delinquency charge will be imposed on all payments not received by the close of business on the tenth day after the due date. Such delinquency charge shall be the maximum amount allowable under Arkansas law. All payments shall be delivered to: Fayetteville Municipal Airport, 4500 S. School Ave., Fayetteville, AR 72701. B. Fees. Lessee shall pay flowage fees as set forth in Section 9L16, of the Code of Fayetteville, and as may from time to time hereafter be amended. C. Utihties. Lessee shall be responsible for the installation, relocation, modification and maintenance of all utility services to or on the Leased Premises. This shall include any janitor services, power, gas, telephone, electricity, heating, water, sewer, storm water and all other utility services not enumerated specifically. Lessee shall pay as the same become due, all utility and other charges incurred in the operation, maintenance, use, occupancy, repair and upkeep of the Leased Premises and the improvements located thereon. 5. Performance Standards. Lessee shall meet the following performance standards: A. Minimum Standards. Minimum Standards pursuant to Section 91.15, of the Code of Fayetteville made a part hereof as if set forth word for word herein. B. Emergency Number Posted. Post a toll-free phone number at the fueling site for 24 hour emergency service for the facility. C. Response Time. Provide assistance within one hour of receiving a call. D. Customer Service Training. Provide instruction and training to employees in generally accepted courtesy and proactive customer response methods. E. Customer Service. Employees shall treat customers with generally accepted courtesy and proactive customer response methods. 6. Grievance Committee/Complaints A. A three-person committee is established to hear customer complaints. This committee meets on an as needed basis. Complaints will be considered by this committee and every effort will be made to resolve the problem. If a resolution cannot be found, then the complaint will be forwarded to the Airport Board, and then to the Fayetteville City Council if necessary. -3- • B Lessee will keep a record of all complaints from customers concerning any aspect of the fuel facility. If a complaint is received by the Airport, the Airport will notify the Lessee in writing and provide a copy of the notice to the Chairman of the Grievance Committee. On a monthly basis the lessee will submit a report to the Airport that will include records of any complaints, and what action was taken to mitigate the problem 7. Signage. All signage shall require prior written approval from Lessor. 8. Improvements. All improvements to the Leased Premises, whether by addition or by removal, shall require prior written approval from Lessor. 9. Inspection. Lessor shall have the right to inspect the Leased Premises during all reasonable hours. 10. Maintenance. Lessee at all times shall keep in a clean and orderly condition and appearance all of the Leased Premises and any improvements. Such maintenance shall include but not be limited to mowing and nuisance abatement. 11. Fuel Ledgers and Audits. A. Ledger. A fuel ledger will be submitted on a monthly basis. This ledger will include the date fuel was delivered, the fueling agent, the total gallons delivered and a copy of the bill of lading or other documentation which confirms the total gallons delivered. B. Audit. Lessee agrees to furnish Airport, annually, certified statements which show the total fuel delivered to the Leased Premises for the preceding calendar year. Should the Lessee fail to furnish the Airport with the certified statements within three (3) months, Lessee agrees to pay the Airport the sum of $100 per day until the certified statements are received. 12. Surrender of Possession: Holding Over. At the expiration or termination of this Agreement, Lessee agrees to surrender possession of the Leased Premises peacefully and promptly to the Lessor in as good condition as existed at the effective date of this Agreement, normal wear and tear excepted. Lessee shall, at its own expense, remove all pumps, tanks, equipment or other property installed by Lessee. If Lessee shall hold over after the termination of this Agreement, the Lessor may allow Lessee to remain on the premises as a month-to-month tenant at will. During such tenancy, Lessee shall pay to the Lessor the rentals, fees and charges set by the Airport, or such amount as the parties may otherwise agree to in writing, and Lessee shall be bound by all of the additional provisions of the Agreement insofar as they may be pertinent. 13. Indemnity. Lessee shall mdemnify, protect, defend and hold completely harmless, the City, the Airport, and its trustees, councilors, officers, agents and employees from and against all liability, losses, suits, claims, judgements, fines or demands arising from injury or death of any -4- • • 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 Agreement, including but not limited to hazardous substances, Lessee's use or occupancy of the Airport premises, the rights, licenses, or privileges granted Lessee herein, or the acts of omissions of lessee's officer, agents, employees, contractors, subcontractors or licensees, regardless of where the injury, death or damage may occur. The Lessor shall give notice to Lessee of any such hability, loss, suit, claim or demand, and Lessee shall defend same using counsel reasonably acceptable to the Lessor. No word, sentence, paragraph or phrase shall be construed to waive that tort immunity as set for under Arkansas Law. The provisions of this section shall survive the expiration or early termination of this Agreement. 14. Insurance. Lessee shall maintain in force during the Term and any extended term public liability and property damage insurance in comprehensive form as reasonably may be required by the Lessor and outlined in the Airport Minimum Standards. The insurance shall be issued by an insurer licensed to do business in the State of Arkansas. Proof of insurance shall be provided to the Airport. Further, no change or cancellation of the insurance shall be made without 30 days notice to the Airport 15. Governmental Requirements A. Governmental Requirements - General. Lessee shall comply with all Governmental Requirements applicable to Lessee's use and operation of the Leased Premises. Without limiting the generality of the foregoing, Lessee shall at all times use and occupy the Airport in strict accordance with all laws, rules, regulations, minimum standards, and security plans that may be imposed by the FAA, the Airport, the state, federal or city government with respect to the Airport and operations thereof, including but not limited to procuring all licenses, franchises, certificates permits, and authorizations necessary to conduct business. B. No Liability for Exercise of Powers. The Lessor shall not be liable to Lessee for any diminution or deprivation of its rights which may result from the proper exercise of any power reserved to the Lessor in this Agreement or by reason of governmental requirements; Lessee shall not be entitled to terminate this Agreement by reason thereof, unless the exercise of such power shall interfere with Lessee's rights hereunder so as to constitute a termination of this Agreement by operation of law. C. Nondiscrimination. Lessee, and its successors in interest, and assignees, as part of the consideration hereof, hereby do covenant and agree, as a covenant running with the land, that in the event facilities are constructed, maintained or otherwise operated on property described in this Agreement for a purpose for which a Department of Transportation program or activity is extended or for another purpose involving the provisions of similar services or benefits, Lessee shall remain and operate such facilities and service in compliance with all other requirements imposed pursuant to Title 49 CFR Part 21, Nondiscrimination in Federally -Assisted Programs of the Department of Transportation -Effectuation of Title VI of the Civil Rights Act of 1964, as said regulations may be amended. -5- • • Lessee, and its successors in interest, and assignees, as a part of the consideration hereof, do covenant and agree hereby, as a covenant running with the land, that: (1) no person shall be excluded from participation in, denied the benefits of, or otherwise be subjected to discrimination in the use of said facilities on the grounds of race, color, creed, national origin, sex or disability; (2) in the construction of any improvements on, over or under such land, and the furnishings of services thereon, no person shall be excluded from participation in, denied the benefits of, or otherwise be subjected to discrimination in the use of said facilities on the grounds of race, color, creed, national origin, sex or disability; (3) Lessee shall be responsible for maintaining the Leased Premises and services in a manner which complies with the parties' respective obligations under 14 CFR Part 382, NONDISCRIMINATION ON THE BASIS OF HANDICAP IN AIR TRAVEL, under the Uniform Federal Accessibility Standards (UFAS), or substantially equivalent standards; under 49 CFR part 27, NONDISCRIMINATION ON THE BASIS OF HANDICAP IN PROGRAMS AND ACTIVITIES RECEIVING OR BENEFITTING FROM FEDERAL FINANCIAL ASSISTANCE; and under 42 U.S.C.S. §§ 12101, et seq., THE AMERICANS WITH DISABILITIES ACT of 1990, or a substantially equivalent standard; and (4) Lessee will be responsible for any alterations and/or construction made during the initial lease period or any extensions or renewal within the demised space, the subject of this Lease, which may be mandated by or necessary to meet the requirements of the statutes and regulations cited above and other relevant Federal, State or local laws, statutes and regulations cited above and other relevant Federal, State or local laws, statutes and ordinances that relate to disabled accessibility standards. To the extent applicable, Lessee assures that it will undertake an Affirmative Action Program as required by 14 CFR Part 152, Subpart E to ensure that, on the grounds of race, color, creed, national origin or sex, no person shall be excluded from participating in any employment activities covered in 14 CFR Part 152, Subpart E. Lessee assures that it will require that its covered suborganizations provide assurances to the Airport that they similarly will undertake Affirmative Action Programs and that they will require assurances from their suborganizations as required by 14 CFR Part 152, Subpart E to this same effect. 16. Assigning, Subletting and Encumbering. Lessee shall not assign this Agreement in whole or in part, nor sublease all or any part of the Leased Premises, nor permit other persons to occupy said Leased Premises or any part thereof, nor grant any license or concession for all or any part of said Leased Premises, without the prior written consent of the Lessor, which consent shall not be unreasonably withheld. 17. Independent Contractor.. This Agreement shall not be deemed or construed to create any relationship or joint venture or partnership between the parties, to give the Lessor any interest in the business of Lessee, or to grant to Lessee any powers as an agent or representative or the City or Airport for any purpose or to bind the City or the Airport. Lessee shall be an independent contractor owning and operating its business as herein described. 18. Termination for Airport Purposes. Lessee agrees and understands that, by reason of the broad public interest in the efficient maintenance, operation and development of the Airport, the lessor hereby expressly reserves the right to modify or to terminate this Agreement upon a —6- • • determination by the Airport that the Leased Premises are needed for Airport construction of development. In the event the Lessor elects to modify or terminate the Agreement, Lessee shall surrender the Leased Premises, or any portion thereof designated, to the Lessor within ninety (90) days from receipt of notice. The Lessor shall use its best efforts to provide Lessee with comparable replacement premises at the Airport and at a comparable rate not to exceed those rates set forth in this Agreement All other terms and conditions of this Agreement shall apply to the replacement premises. Lessor shall pay the reasonable expenses incurred by Lessee in relocating and/or removal of equipment and slab and foundation improvements upon modification or temrination for airport purposes as set forth herein above. Reasonable expenses are those expenses that are necessary to physically move and relocate the Lessee to a new location on the Airport. 19. Miscellaneous A. Severability. In the event any provisions of this Agreement shall be held invalid or unenforceable by any court of competent jurisdiction, such holding shall not invalidate or render unenforceable any other provision hereof, unless such holding shall materially affect the rights of either party as set forth herein. B. Entire Agreement; Modification. This Agreement expresses the entire understanding of the Lessor and Lessee concerning the Leased Premises. Neither the Lessor nor Lessee has made or shall be bound by any agreement or any representation to the other concerning the Leased Premises or the subject matter hereof which is not set forth expressly in this Agreement. This Agreement may be modified only by a written agreement of subsequent date hereto signed by the Lessor and Lessee. C. Non -Waiver. Neither the waiver nor any forbearance of remedy by the Lessor of any breach of Lessee of any provision hereof shall operate as a waiver for any other breach by Lessee. D. Execution of Counterparts. This Agreement simultaneously may be executed in several counterparts, each of which shall be an original and all of which shall constitute but one and the same instrument. E. Choice of Law. This Agreement shall be construed and enforced in accordance with the laws of the State of Arkansas. F. Force Majeure. Neither the Lessor nor Lessee shall be deemed in violation of this Agreement if it is prevented from performing any of the obligations hereunder by reason of embargoes, shortages of material, acts of God, acts of the public enemy, acts of superior governmental authority, weather conditions, floods, riots, rebellions, sabotage, or any other circumstances for which it is not responsible or which are not within its control, and the time for -7- • • • • performance automatically shall be extended by the period the party is prevented from performing its obligations hereunder. G. Binding Effect. This Agreement shall be to the benefit of and shall be binding upon the Lessor, Lessee and their respective successors and assignees, if such assignment shall have been made in conformity with the provisions of this Agreement. IN WITNESS WHEREOF, the Lessor and Lessee have executed this Agreement on the Sfl day of SeKeY113EC , 2000. ATTEST: City of Fayette e By Fred H eat er Woodruff, City C . k ATTEST By: Title. a, Mayor Wings Air, Inc. By (-- X D \msama Title: 9e. &&Cs Suceenay -8- • I NI Is Ac Qi L • Cl '1 NI p • • • • LEASE AGREEMENT Above Ground Fueling Facility This Agreement made and entered into at Fayetteville, Arkansas, the day of 2000, by and between the City of Fayetteville, Arkancac,113 W. Mountain, Fayetteville, Arkansas, 72701, hereinafter referred to as the "Lessor," and Wings Air, Inc. Attn.: R.M. Schossow, P.O. Box 064, Lowell, Arkansas, 72745, hereinafter referred to as "Lessee," WITNESSETH: 1. Leased Premises. For and in consideration of the rents, covenants and agreements herein entered into and agreed upon by the Lessee as obligations to the Lessor, the Lessor lets, leases and demises unto Lessee, subject to the terms and conditions contained herein, the following described property situated in Washington County, Arkansas: A certain tract of land 108.7 *et by 130 feet located at the Fayetteville Municipal Airport/Drake Field and more particularly set forth and shown on Exhibit "A" attached hereto and made a part hereof. Lessor reserves the right to take such action as may be necessary to protect the aenal approaches of the Fayetteville Municipal Airport/Drake Field, hereinafter referred to as "Anport", against obstruction in accordance with the applicable standards and/or requirements. Lessor also reserves for itself and its licensees, an Avigation easement in, over and across the airspace above the Leased Premises and the unrestricted right to subject the leased Premises to such Airport noise and vibration as may result from the flight of aircraft, warm up of engines, testing of motors and other aviation related activities. Lessee, its representatives, agents, invitees and licensees, shall have the right of ingress and egress to and from the leased Premises. 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 2. Use. Lessee shall have use of the Leased Premises as follows: A. Lessee shall be entitled only to use the Leased Premises for Lawful purposes related to the activities of a fueling facility. - Aviation Fuel shall not be sold for non -aeronautical purposes. B. Subject to Federal Aviation Administration, hereinafter referred to as "FAA" and Airport Security and Airport Operational Rules, Airport Minimum Standards, Regulations and Procedures, Lessee shall be entitled to use, on a nonexclusive basis, public areas of the Airport and runways, taxiways, aprons, hghtmg navigation aids, and other facilities necessary for -1- • • the operation of aircraft and activities related to Lessee's business as a fueling facility. C. Lessee shall require all of its agents, employees, contractors and invitees entering the Leased Premises to comply with the Airport Rules and Regulations established by the Airport and the FAA as they currently exist, and as may be amended. D. Lessee shall conduct its operations in an orderly and proper manner so as not to annoy, disturb, or be offensive to others at or surrounding the Airport. E Lessee shall take all reasonable measures to keep the sound level of its operations as low as reasonably possible. F. Lessee shall not permit the accumulation of any rubbish, trash or other waste material on the Lease premises. G. Except in tanks and in the manner approved by appropriate governmental authorities, Lessee shall not store any gasoline or other material likely to give off fumes or gases or any material likely to constitute a fire, safety or security hazard on the Leased Premises. H. Lessee shall not cause or permit any hazardous material or hazardous substance to be disposed of on the Leased Premises by Lessee, Lessee's agents, employees, contractors or invitees. 3. Term of Agreement. The term of this Agreement shall be: A. Initial Term A period of one year commencing on the date of this Agreement, and expiring at midnight on unless otherwise terminated, canceled or extended as set forth herein below. B. Option to Extend. Lessee shall have the option to extend the Lease Term for three (3) consecutive three (3) year terms, under the same terms and conditions of this Agreement, provided: (1) Lessee has complied with and performed all conditions, covenants, and terms of this Agreement without any uncorrected defaults if known to Lessee, or any defaults that are not otherwise in the process of being resolved in the manner provided in this Agreement. (2) Notice of Lessee's intent to renew has been made in writing to Lessor at least one hundred twenty (120) days prior to the expiration of the term. (3) A recommendation of renewal has been made by the Airport Board after completion of a performance review made in accordance with the Performance standards set forth in Paragraph 5 of this Agreement. 4. Rental Charges, Fees and Utilities. The following rentals charges and utilities shall be -2- • paid by Lessor: A. Rental Charges. Lessee shall pay an annual rental charge in the sum of three hundred eighty-four dollars ($384). Such sum may be paid monthly on or before the first day of each month at the rate of thirty-two dollars ($32), with the first payment due upon taking possession. Rental charges shall increase each anniversary year in the amount of three and one- half percent (3 1/2%), until expiration or termination of this Agreement. A dehnquency charge will be imposed on all payments not received by the close of business on the tenth day after the due date. Such delinquency charge shall be the maximum amount allowable under Arkansas law. All payments shall be delivered to: Fayetteville Municipal Airport, 4500 S. School Ave., Fayetteville, AR 72701. B. Fees. Lessee shall pay flowage fres as set forth in Section 91.16, of the Code of Fayetteville, and as may from time to time hereafter be amended. C. Utilities. Lessee shall be responsible for the installation, relocation, modification and maintenance of all utility services to or on the Leased Premises. This shall include any janitor services, power, gas, telephone, electricity, heating, water, sewer, storm water and all other utihty services not enumerated specifically. Lessee shall pay as the same become due, all utility and other charges incurred in the operation, maintenance, use, occupancy, repair and upkeep of the Leased Premises and the improvements located thereon. 5. Performance Standards. Lessee shall meet the following performance standards: A. Minimum Standards. Minimum Standards pursuant to Section 91.15, of the Code of Fayetteville made a part hereof as if set forth word for word herein. B. Emergency Number Posted. Post a toll-free phone number at the fueling site for 24 hour emergency service for the facility. C. Response Time. Provide assistance within one hour of receiving a call. D. Customer Service Training. Provide instruction and training to employees in generally accepted courtesy and proactive customer response methods. E. Customer Service. Employees shall treat customers with generally accepted courtesy and proactive customer response methods. 6. Grievance Committee/Complaints A. A three-person conitnittee is established to hear customer complaints This committee meets on an as needed basis. Complaints will be considered by this committee and every effort will be made to resolve the problem. If a resolution cannot be found, then the -3- • • • complaint will be forwarded to the Airport Board, and then to the Fayetteville City Council if necessary. B Lessee will keep a record of all complaints from customers concerning any aspect of the fuel facility. If a complaint is received by the Airport, the Airport will notify the Lessee in writing and provide a copy of the notice to the Chairman of the Crrievance Committee. On a monthly basis the lessee will submit a report to the Airport that will include records of any complaints, and what action was taken to mitigate the problem. 7. Signage. All signage shall require prior written approval from Lessor. 8. Improvements. All improvements to the Leased Premises, whether by addition or by removal, shall require prior written approval from Lessor. 9. Inspection. Lessor shall have the right to inspect the Leased Premises during all reasonable hours. 10. Maintenance. Lessee at all times shall keep in a clean and orderly condition and appearance all of the Leased Premises and any improvements. Such maintenance shall include but not be limited to mowing and nuisance abatement. 11. Fuel Ledgers and Audits. A. Ledger A fuel ledger will be submitted on a monthly basis. This ledger will include the date fuel was delivered, the fueling agent, the total gallons delivered and a copy of the bill of lading or other documentation which confirms the total gallons dehvered B. Audit. Lessee agrees to furnish Airport, annually, certified statements which show the total fuel dehvered to the Leased Premises for the precedmg calendar year. Should the Lessee fail to furnish the Airport with the certified statements within three (3) months, Lessee agrees to pay the Airport the sum of $ 100 per day until the certified statements are received. 12. Surrender of Possession: Holdinp Over. At the expiration or termination of this Agreement, Lessee agrees to surrender possession of the Leased Premises peacefully and promptly to the Lessor in as good condition as existed at the effective date of this Agreement, normal wear and tear excepted. Lessee shall, at it's own expense, remove all pumps, tanks, equipment or other property installed by Lessee. If Lessee shall hold over after the termination of this Agreement, the Lessor may allow Lessee to remain on the premises as a month-to-month tenant at will. During such tenancy, Lessee shall pay to the Lessor the rentals, fees and charges set by the Airport, or such amount as the parties may otherwise agree to in writing, and Lessee shall be bound by all of the additional • • • provisions of the Agreement insofar as they may be pertinent. 13. Indemnity. Lessee shall indemnify, protect, defend and hold completely harmless, the City, the Airport, and its trustees, councilors, officers, agents and employees from and against all liability, losses, suits, claims, judgements, fines or demands arising 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 Agreement, including but not limited to hazardous substances, Lessee's use or occupancy of the Airport premises, the rights, licenses, or privileges granted Lessee herein, or the acts of omissions of lessee's officer, agents, employees, contractors, subcontractors or licensees, 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 the Lessor. No word, sentence, paragraph or phrase shall be construed to waive that tort immunity as set for under Arkansas Law. The provisions of this section shall survive the expiration or early termination of this Agreement. 14. Insurance. Lessee shall maintain in force during the Term and any extended term public liability and property damage insurance in comprehensive form as reasonably may be required by the Lessor and outlined in the Airport Minimum Standards. The insurance shall be issued by an insurer licensed to do business in the State of Arkansas. Proof of insurance shall be provided to the Airport. Further, no change or cancellation of the insurance shall be made without 30 days notice to the Airport 15. Governmental Requirements A. Governmental Requirements - General Lessee shall comply with all Governmental Requirements applicable to Lessee's use and operation of the Leased Premises. Without limiting the generality of the foregoing, Lessee shall at all times use and occupy the Airport in strict accordance with all laws, rules, regulations, minimum standards, and security plans that may be imposed by the FAA, the Airport, the state, federal or city government with icapa t to the Airport and operations thereof, including but not limited to procuring all licenses, franchises, certificates, permits, and authorizations necessary to conduct business. B. No Liability for Exercise of Powers. The Lessor shall not be liable to Lessee for any diminution or deprivation of its rights which may result from the proper exercise of any power reserved to the Lessor in this Agreement or by reason of governmental requirements; Lessee shall not be entitled to terminate this Agreement by reason thereof, unless the exercise of such power shall interfere with Lessee's rights hereunder so as to constitute a tennination of this Agreement by operation of law. C. Nondiscrimination. Lessee, and its successors in interest, and assignees, as part of the consideration hereof hereby do covenant and agree, as a covenant running with the land, that in the event facilities are constructed, maintained or otherwise operated on property -5- • • described in this Agreement for a purpose for which a Department of Transportation program or activity is extended or for another purpose involving the provisions of similar services or benefits, Lessee shall remain and operate such facilities and service in compliance with all other requirements imposed pursuant to Title 49 CFR Part 21, Nondiscrimination in Federally -Assisted Programs of the Dwau burnt of Transportation -Effectuation of Title VI of the Civil Rights Act of 1964, as said regulations may be amended. Lessee, and its successors in interest, and assignees, as a part of the consideration hereof, do covenant and agree hereby, as a covenant running with the land, that: (1) no person shall be excluded from participation in, demed the benefits of, or otherwise be subjected to discrimination in the use of said facilities on the grounds of race, color, creed, national origin, sex or disability; (2) in the construction of any improvements on, over or under such land, and the furnishings of services thereon, no person shall be excluded from participation in, demed the benefits of, or otherwise be subjected to discrimination in the use of said facilities on the grounds of nice, color, creed, national origin, sex or disability; (3) Lessee shall be responsible for maintaining the Leased Premises and services in a manner which complies with the parties' respective obligations under 14 CFR Part 382, NONDISCRIMINATION ON THE BASIS OF HANDICAP IN AIR TRAVEL, under the Uniform Federal Accessibility Standards (UFAS), or substantially equivalent standards; under 49 CFR part 27, NONDISCRIMINATION ON THE BASIS OF HANDICAP IN PROGRAMS AND ACTIVITIES RECEIVING OR BENEFITTING FROM FEDERAL FINANCIAL ASSISTANCE; and under 42 U.S.C.S. §§ 12101, et seq., THE AMERICANS WITH DISABILITIES ACT of 1990, or a substantially equivalent standard, and (4) Lessee will be responsible for any alterations and/or construction made during the initial lease period or any extensions or renewal within the demised space, the subject of this Lease, which may be mandated by or necessary to meet the requirements of the statutes and regulations cited above and other relevant Federal, State or local laws, statutes and regulations cited above and other relevant Federal, State or local laws, statutes and ordinances that relate to disabled accessibility standards. To the extent applicable, Lessee assures that it will undertake an Affirmative Action Program as required by 14 CFR Part 152, Subpart E to ensure that, on the grounds of race, color, creed, national origin or sex, no person shall be excluded from participatmg in any employment activities covered in 14 CFR Part 152, Subpart E Lessee assures that it will require that its covered suborganizations provide assurances to the Airport that they similarly will undertake Affirmative Action Programs and that they will require assurances from their suborganizations as required by 14 CFR Part 152, Subpart E to this same effect. 16. Assigning, Subletting and Encumbering. Lessee shall not assign this Agreement in whole or in part, nor sublease all or any part of the Leased Premises, nor permit other persons to occupy said Leased Premises or any part thereof, nor grant any license or concession for all or any part of said Leased Premises, without the prior written consent of the Lessor, which consent shall not be unreasonably withheld. 17. Independent Contractor.. This Agreement shall not be deemed or construed to create -6- • • • • any relationship or joint venture or partnership between the parties, to give the Lessor any interest in the business of Lessee, or to grant to Lessee any powers as an agent or representative or the City or Airport for any purpose or to bind the City or the Airport. Lessee shall be an independent contractor owning and operating its business as herein described. 18. Termination for Airport Purposes. Lessee agrees and understands that, by reason of the broad public interest in the efficient maintenance, operation and development of the Airport, the lessor hereby expressly reserves the right to modify or to terminate this Agreement upon a determination by the Airport that the Leased Premises are needed for Airport construction of development. In the event the Lessor elects to modify or terminate the Agreement, Lessee shall surrender the Leased Premises, or any portion thereof designated, to the Lessor within ninety (90) days from receipt of notice. The Lessor shall use its best efforts to provide Lessee with comparable replacement premises at the Airport and at a comparable rate not to exceed those rates set forth in this Agreement. All other tenns and conditions of this Agreement shall apply to the replacement premises. Lessor shall pay the reasonable expenses incurred by Lessee in relocating and/or removal of equipment and slab and foundation improvements upon modification or temrination for airport purposes as set forth herem above. Reasonable expenses are those expenses that are nernary to physically move and relocate the Lessee to a new location on the Airport. 19. Miscellaneous A. Severability. In the event any provisions of this Agreement shall be held invalid or unenforceable by any court of competent jurisdiction, such holding shall not invalidate or render unenforceable any other provision bereot, unless such holding shall materially affect the rights of either party as set forth herein B. Entire Agreement; Modification. This Agreement expresses the entire understanding of the Lessor and Lessee concerning the Leased Premises. Neither the Lessor nor Lessee has made or shall be bound by any agreement or any representation to the other concerning the Leased Premises or the subject matter hereof which is not set forth expressly in this Agreement. This Agreement may be modified only by a written agreement of subsequent date hereto signed by the Lessor and Lessee. C. Non -Waiver. Neither the waiver nor any forbearance of remedy by the Lessor of any breach of IEcsee of any provision hereof shall operate as a waiver for any other breach by Lessee, D. Execution of Counterparts This Agreement simultaneously may be executed in -7- • • • several counterparts, each of which shall be an original and all of which shall constitute but one and the same instrument. E. Choice of Law. This Agreement shall be construed and enforced in accordance with the laws of the State of Arkansas. F. Force Majeure. Neither the Lessor nor Lessee shall be deemed in violation of this Agreement if it is prevented from performing any of the obligations hereunder by reason of embargoes, shortages of material, acts of God, acts of the pubhc enemy, acts of superior governmental authority, weather conditions, floods, riots, rebellions, sabotage, or any other ¢ircrmistances for which it is not responsible or which are not within its control, and the time for performance automatically shall be extended by the penod the party is prevented from performing its obligations hereunder. G. Binding Effect. This Agreement shall be to the benefit of and shall be binding upon the Lessor, Lessee and their respective successors and assignees, if such assignment shall have been made in conformity with the provisions of this Agreement. IN WITNESS WHEREOF, the Lessor and Lessee have executed this Agreement on the day of 2000. City of Fayetteville By Fred Hanna, Mayor ATTEST: Heather Woodruf City Clerk ATTEST By: Wings Air, Inc. By Title: -8- 1• I•.. ; �: 11.y efir r 1 iii 41:•:‘,.,•:,;1, ,:.•:,.‘"•::`\f‘•::::\A ...":":;%•:;::"%‘ 'mp`IN 'h''` 0 <51 FAYETTEVILLE � AIRPORT DEPARTMENT THE CITY OF FAYETTEVILLE, ARKANSAS TO: FAYETTEVILLE CITY COUNCIL THRU: FRED HANNA, MAYOR FROM: ALETT LITTLE, ECONOMIC DEVELOPMENT DIRECTOR `L DATE: AUGUST 2, 2000 SUBJECT: ABOVE GROUND FUELING FACILITY LEASE AGREEMENT WITH WINGS AIR, INC. The Economic Development Department requests approval of a Lease Agreement with Wings Air, Inc. for an above ground fueling facility. Lease is for one year with three three-year renewal options. Wings Air, Inc. will be responsible for the installation of the self-service fueling equipment. This will allow the pilot to fuel his own aircraft using a credit card. Monthly rental is $32.00 and the annual compensation will be $384.00 The Airport Board will consider this at their regular Airport Board Meeting on August 3, 2000. AL/lp Attachment: Original Lease 4500 SOUTH SCHOOL AVENUE, SUITE F • AIRPORT TERMINAL BUILDING • FAYETTEVILLE, AR 72701 PHONE 501-718-7640 Ext. 5 • FAX 501-718-7646 0 ALL: Aye. McKINNEY: That motion carries. ITEM #3: Old Business a. Re-establishment of 3/4 mile minimums on Localizer 16. McKINNEY: Alett, will you address this? LITTLE: Yes. You and Doc Wallace made a trip in the last week of June and spoke with several people including Dean Alexander and Don Harris. Don Harris is in Fort Worth and Dean Alexander is in Oklahoma City. I have spoken with them since then. My last contact was with Dean on July 25. The information that they do have in Oklahoma City about the obstructions that we have in our approach was not the most up to date information. I had transmitted the study that you all had commissioned from Garver and he has that now. He tells me that he is putting that into his NFDC program. I do not know what anNFDC program is but I do know that it is a modeling program which is three dimensional that will tell them where the obstructions are. I believe the work that you have already paid for from Garver is very similar to this so I think that their work is not going to be extensive. I did try to contact him this week and found that he is on vacation all this week. So, I have nothing further other than I talked to him last week and he does have the correct information now. He is putting that into a modeling format and I will commit to you to get in touch with him upon his return and give you a letter report. McKINNEY: As I recall, Doc, they have continual use of the modeling program and they sequence in and process, so we are in line for the modeling. That's the best thing to say. Once they run the model, he should be able to give us a pretty good idea of what waivers we might need to come back with. b. Recommendation of Lease Agreement with Wings Air for terminal space. c. Recommendation of Lease Agreement with Wings Air for ground lease. LITTLE: The bottom line on this one is that we have reached agreement. The staff does recommend approval of this lease. There have been some changes since your agenda packets were distributed. Those changes were on page two, paragraph 3B1, we added: PA "...as known to Lessee or any defaults that are not otherwise in the process of being resolved in the manner provided in this agreement." The second change is on page two, paragraph 3B3. The original wording was, "a recommendation of renewal has been made by the Airport Board after completion of a perform review." The addition is: "...made in accordance with the performance standards set forth in paragraph five of this agreement." Those two additions have been added since you last saw the lease agreement. What I have given you in memo form is the staff recommendation and request for your recommendation to the City Council. Just to make you aware, we have worked pretty fast and furious and we have worked really well together. We have worked with two separate attorneys and if you remember the other lease and it's volume, this lease is much cleaner and more straight forward. We understand this a whole lot better. There are three areas that Mr. Schossow still has some concerns about. I would like to address those. One is that he is concerned over access to where the fueling facility will be. He does not want his ingress/egress blocked for his customers. We have agreed that he can paint or otherwise mark the area in front of the self serve facility saying, "Do Not Block". I have agreed to give him a Letter of Commitment that says he can do that. The next issue is our process to get to the City Council. This requires the person applying for the lease to execute the lease before it goes forward. The Council wants a complete packet as does this Board. We realize that he has to apply to the Planning office, he has insurance issues, and he must also finalize his agreement with Air BP. If all of those items are not completed by the time we get before the City Council, we will add a paragraph saying the lease will be contingent upon these things being approved and agreements being signed. The third thing which is very minor is the description of the area and I believe that we have significantly improved the exhibit that you have. If you will turn to the exhibit which follows the lease. We have an area which is triangular in shape. In the lease description on page one, we only used the two largest dimensions to describe the area and then added a reference to Exhibit A. Exhibit A is the description and drawing attached to the back of the lease. If there is confusion, we can clarify that. I spoke to the City Attorney and they were fairly unconcerned because of the phrase, "as more particularly described by Exhibit A." We have worked well together. I think this is a good lease. I'm ready to go forward with it. SCHOSSOW: The only other thing that I would like to address is we have withdrawn our 3 intention to put a counter and office in the terminal. The reason for that is this has taken a lot of time to work through this and get to this point. We are looking at probably another 30 days for the Council's approval. We still have to work through the Planning Department process. We need approval from the State Fire Marshall. Once we do all that, it's going to take approximately six weeks to be up and running with the self serve fuel facility. We won't be able to capture the business from the football crowd. What we're intending on doing is coming back sometime next year with terminal lease. That helps our debt service and makes a full service operation a financial feasibility. McKINNEY: Ken, why don't you define that for us? What do you mean by full service? SCHOSSOW: That's for the 100 low lead and full service that we asked for originally. McKINNEY: The fuel truck? SCHOSSOW: The fuel truck, servicing, manned operation, fuel and oil and everything that is required for a fuel and oil sales FBO. McKINNEY: Have you seen a copy of the letter Chuck sent? SCHOSSOW: Yes, I have. McKINNEY: Do you have any type of retort to that? SCHOSSOW: My position is as I have said before, we are providing avionics as well as maintenance in our existing business. If the current FBO wishes to put in an operation just like this, there is nothing to prevent them from doing that. I see this as fair competition. If they want to do that, I would say they need to get this Board's approval granting them the right to do it. This is an opportunity for the airport which they do not have now. This will be a 24 hour operation and someone can pull up and swipe their card and fuel their aircraft instead of flying over Fayetteville when they need fuel during peak hours and late at night. We will post all of our numbers and if there is a problem, they just have to call. McKINNEY: Alett, are there any ties in this lease for the full service aspect? LITTLE: No. This is only for self serve fuel. McKINNEY: Ken, what assurances can you give us that this will happen? n 0 SCHOSSOW: We have every intention to make that happen to the extent that we have added maintenance to our avionics shop. We are now adding a self serve fuel facility. I would submit to you that we are one of the only businesses on the field that is growing right now. If the market is there and proves to be feasible, that is our business plan. I won't give you a 100% guarantee that this will happen. We want to see it happen. This process took a lot of time. We lost our market to spring board into operation. I look at this like a cotton farmer and the crop is gone for this year. McKINNEY: Do you intend to advertise this in a manner where pilots are aware of this service? SCHOSSOW: BP has an extensive marketing program. We are planning to get in publications. I don't have all the information on that yet. We have to acquire a lease before we sign an agreement with BP. They are very aggressive in marketing. Dale and Alett have met with BP's representative and they can attest to that. LYALL: I understand the changes to the Above Ground Fueling Facility. What about the other lease? LITTLE: That one has been removed from the agenda. McKINNEY: That's the one he wants to defer until next year. WALLACE: So, action today is on one lease for a fueling facility. LITTLE: That is correct. BURGGRAF: I would make the stipulation that this lease be sent forward with the response letter from SCS per their request. McKINNEY: Unfortunately, Chuck couldn't be here today. WALLACE: I'm in favor of it. I think it is important particularly to be hand in glove with our staff to be sure that we understand at this point and I assume from Chuck's letter that SCS group may take issue with this at some point further on. My understanding and correct me if I'm wrong, is that first of all, Wings has met all of our Minimum Standards. LITTLE: We have a specific section in our Minimum Standards that addresses fueling services. 5 WALLACE: Basically, they have jumped through all our hoops and met all that criteria. LITTLE: They have yet to acquire their insurance but they are aware of that requirement. WALLACE: The second piece is that should Fayetteville Air Service (SCS) desire to offer the same service, they are free to do so. LITTLE: Or anyone else. WALLACE: It is not our role to keep someone from going into business on the Airport so long as they meet our standards. McKINNEY: Since we are federally funded through grants, we cannot deny service to people who want to put businesses on the Airport. WALLACE: Those two points are very important to me. He has met the standards and this is not unfair competition. McKINNEY: Dale, if you'll help me remember, a couple of years ago, we discussed a similar type self fueling station with Mark Cordine being placed on the east side. I know he contacted Phillips to inquire into buying a used station and they opted not to do that after they ran a survey about who might tentatively use it or use it in the future. They've had this opportunity to put a self fueling station in before and they declined to it. WALLACE: I move recommendation that we forward this to the City Council with our approval BURGGRAF: Why are we sending the letter? McKINNEY: Was that a request that Chuck made? LITTLE: Typically, I forward this type of response to the City Council. I forward letters from citizens and I don't think this letter is outside procedure. The Council will want that kind of background before the meeting. It helps them get the full picture and be prepared to respond to that person if they make an appearance and it certainly helps them be aware of issues even more than the summary of the Minutes. It helps with the decision making process. McKINNEY: Charles made a motion. Is that a second? 6 0 0 LYALL: Second. McKINNEY: Any questions or discussion? All those in favor. ALL: Aye. McKINNEY: That carries. Thank you very much. ITEM #4: New Business a. Presentation by Fayetteville Fire Department for a training school on airport property. McKINNEY: Chief Jackson, this relates back to a prior conversation that we have had. LITTLE: We have the Minutes from June 3, 1999 and October 7, 1999. JACKSON: I want to brief but I need to cover all the bases. I'll begin with a quick history of our service here. The old fire station that we used to operate from was built in 1964 by the City as Fire Station #3. It operated as a City Fire Station throughout its entire life time. In 1986, we removed the engine company from out of there and they came downtown but it was continually operated as an ARFF station. Back then it was called the CFR station but it was Fayetteville Fire Station #3. That continued until the new fire station was built over here. Planning for that began in 1995 or 1996 and we began to work with the FAA trying to get a new facility built because this one was totally inadequate. There was barely room for a two man crew and we were getting a new ARFF truck. We had an '86 model ARFF truck and when we put both trucks in the bay, the southern bay which is smaller, didn't allow for walking space. We contended that we needed a new facility and that project was approved and the station was built. It greatly improved the situation for us. Traditionally, there were two people on duty at Station #3 but we decided to add a third person and put an engine company back in service to cover the south end of town. That was not workable because the engine company was not busy enough to warrant the cost of its operation. During this time, the Airport was going through changes. When the last commercial airline left, it was not necessary under FAA regulations for us to man the ARFF station all the time. We talked to the FAA and they wanted to maintain it as a station with ARFF services and we thought we were the best agency to render those services. It wasn't feasible economically for us to keep our people here so we decided to form a special operations team and call it the ARFF Team. Organizationally, it is very similar to our HazMat Team and our WI 5PR/nrGUALE AU? JET ctratR 002 Airport Rd. Springdale,.AR 72764 (501) 751-4462 Fax (501) 751-2646 800.828-4462 August 3, 2000 Fayetteville Airport Board Drake Field Fayetteville, AR. 72701 Re: Wings Air Ground )..case Dear Mr. McKinney and members of the Tayeueville Airport Hoard; As you know, I hate 101' sonic time represented Fayetteville Air Service. Next to stall' and members of the board, my attendance at these meetings have been consistent. However, today I will he unable to attend, and, for that, I apologize. In any event I write this letter in an effoll to allow the Ronrd, the airport stall' and the public to understand some of Fayellevillc Air Service's con(xms relating in the ground lease and the placcmcJtt of n self -fueling station on I he romp at Drake. Picld Fayetteville Air Service currently is the sole FBO and li el supplier at Drake Field. As part of the lease arrangement with the city, Fayetteville Air Service rents the old terminal building atthe rate of approximately $1,600.00 per month. In addition, Fayetteville Air Service rents the fuel farm from the city at the rate of approximately $640.00. Additionally, Fayetteville Air Service pays the utilities on tile. old lertninat building of approximately $600.00 per month. What allows Fayetteville Air Service to pay these fees to the city is income from the sale of aviation foci, including 100 Low Lead; and Jet A. In addition to providing fuel, pilots and passengers have the following amenities at Fayetteville Air Service: A. Aircrall greeting, parking, marshaling, tic down and towing. H. Air Conditioned facility in the sununcr. C. Heated facility in the. winter. D. Starling of our facility from 6.00 a.m. until 10:00 pin. Monday through Friday, and until 9:00 p.m. on the weekends. C. Coordination of catering orders. T. Provide courtesy cars to pilots. G. Coordination of on -site rental ears. -2- H. Flight planning area with real lime weather radar. 1. Clean batluoom facilities. J. Large screcat television in the public access area. K. Private sleeping room for pilots and passengers. L. Telephone for personal use for pilots and passengers. M. Fax sending, receiving and copy machine usefor the pilots and passengers. N. Conference room use for tilt pilots and passengers. U. Special hotel and motel rates for the pilots. P. Hotel shuttle service. Q. Ground Power Unit use for the pilots. R. Modern Jet A and I 00LL. fuel trucks to deliver the led direct to the aircraft. S. Trained stall'to assist in all wants and necds of the pilots and passengers. All of these items are at no extra charge to the flying publichhese ore services that we offer as a full service FBU. We ofIcr these services because these services are what the flying public need, want and deserve. Profits made from the sale ofavintion fuel are what allows these services to be provided, With the consideration of allowing a company to cone in, provide fed, pay the city only $32.00 per month, provide no staffing, 110 amenities, no ServICC5 to file flying public, threatens the full service FRO operation. To allow the only source of revenue to be taken without giving anything back to the flying public moves Drake Field backwards not forward. Fayetteville Air Service wishes to continue providing full service FIX) treatment to the flying public that arrive and depart Fayetteville Municipal Airport. However, allowing one operator to have a suhstautially lower cost of operation, not holding one operator to the same standard of service as another is inherently wrong (at best), and certainly not in the best interest ol'urakc Field. Fayetteville Air Service has proposed moving into the new terminal building. and working with the City of Fayetteville to improve the areas to not only continue a lull service FBU, but to move the services and facilities to the level of n Phillips 66 Performance Center. Such a move would require an investment not only on the part of Fayetteville Air Service, but also on the part of the City of Fayetteville. However, if the City and this Board is going to allow the pillaging of the financial udle.rs without the return ol'scrvice, then these types of investments will never bejustified. FAYETTEVtI.LE THE CITY OF FAYETTEVILLE. ARKANSAS DEPARTMENTAL CORRESPONDENCE To: Fayetteville City Council Thru: Fred Hanna, Mayor AIW From: Mickey Jackson, Fire Chi 4 r Date: August 11, 2000 Re: Mr. Schossow's Fuel Tank Project I have reviewed this project and it appears to comply with our ordinance pertaining to above ground fuel tanks. The ordinance requires these projects to go through the plat review process for review by all parties who might have an interest or concern. I have discussed with Planning, at Mr. Schossow's request, the possibility of waiving this part of the ordinance (plat review requirement) for this project, and we are both uncomfortable about doing that. If it is the council's desire that going through that process is unnecessary in this case, I will not object. I just didn't feel like I could declare that on my own, and Tim Conklin doesn't either. if you have questions or need other information about this, feel free to give me a call. Thank you. MJ/ca cc: Tim Conklin, Planning Director Alett Little, Airport Manager STAFF REVIEW FORM X AGENDA REQUEST X CONTRACT REVIEW Wings Air, Inc. Lease Agreement GRANT REVIEW For the Fayetteville City Council meeting of August 15. 2000 FROM: Alett Little Airport Economic Development Name Division Department ACTION REQUIRED: Request City Council approval of a Lease Agreement with Wings Air, Inc. for an above ground fueling facility which they will locate south of the terminal bldg. ramp. This will allow self-service fueling by the pilot using a credit card. Annual compensation will be $384 for the ground area with three 3 -year renewal options. Flowage fees will be remitted to the City as set forth in Sec. 91.16 of the Code of Fayetteville. COST TO CITY: S n/a Cost of this Request 5550 0955 4457 00 Account Number Project Number BI),DG VIE _ Budgeted Item Budget Adjustment Attached Date Administrative Services Dir. Date BukBjdllget Manager CONTRACT/GRANT/LEASE REVIEW: Accounting Manager Date Internal A4�itor Date Date Date ADA Coordinator City Attorney Date Date Grants Coordinator Purchasing Officer STAFF RECOMMENDATION: The Airport Board will meet August 3rd and their recommendation will be available at the August 8'" agenda meeting. Date Cross Reference Diytion Head (ji%LGr�t, 8.3 . ro Department Director Date New Item: Yes No Prev. Ord/Res#: Category/Project Budget $ n/a Funds used to date $ n/a Remaining Balance Category/Project Name n/a Program Name Airport Fund Administrative Services Director Date Mayor Date Orig Cont. Date: Orig Cont #: RESOLUTION NO. 123-00 A RESOLUTION AUTHORIZING THE MAYOR AND CITY CLERK TO EXECUTE A LEASE AGREEMENT WITH WINGS AIR, INC., FOR AN ABOVE -GROUND FACILITY LOCATED SOUTH OF THE TERMINAL BUILDING RAMP WITH AN INITIAL ANNUAL COMPENSATION RATE OF $384, AND FLOWAGE FEES AS SET FORTH BY §91.16 OF THE CODE OF FAYETTEVILLE. BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FAYETTEVILLE, ARKANSAS: Section 1. That the City Council hereby authorizes the Mayor and City Clerk to execute a lease agreem. nt with Wings Air, Inc. for an above -ground facility located south of the terminal building ramp as more fully set forth in to the agreement attached hereto marked Exhibit "A" and made a part hereof. Initial annual compensation rate will be $384, and flowage fees as set forth by §91.16 of the Code of Fayetteville. Section 2. Approval of said contract set forth in Section 1. shall be contingent upon the following: Large Scale Development approval, and License being granted by Air British Petroleum. APPROVED this 5th day of September , 2000. 7 ) `' ATTEST: By: Bather oodruff, City lerk APPROVED �jj By: 00 Fr' d,Hanna, Mayor