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Home My WebLink About120-07 RESOLUTIONRESOLUTION NO. 120-07 A RESOLUTION GRANTING A CERTIFICATE OF PUBLIC CONVENIENCE AND NECESSITY TO HOTEL EXECUTIVE TRANSPORTATION, LLC FOR THE OPERATION OF FIVE (5) TO FIFTEEN (15) LIMOUSINES IN THE CITY OF FAYETTEVILLE, ARKANSAS. BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FAYETTEVILLE, ARKANSAS Section 1. That the City Council of the City of Fayetteville, Arkansas hereby grants a Certificate of Public Convenience and Necessity to Hotel Executive Transportation, LLC for the operation of five (5) to fifteen (15) limousines to the City of Fayetteville, Arkansas, in accordance with Chapter 117, Fayetteville Code of Ordinances. PASSED and APPROVED this 3rd day of July, 2007. APPROV 1` ATTESTDA , . /• SONDRA E. SMITH, City Cleric/Treasurer By: �� r 4 irBY:AC) e.AJ 8 aa •G\TY pF •C',p -U• •1A; ;FAYETTEVILLE• F. ti, 'J Greg Tabor Submitted By City of Fayetteville Staff Review Form City Council Agenda Items or Contracts 3 -Jul -07 City Council Meeting Date Police Division Action Required: tefAS 17/3jor) I COY -Ca Lt afiOr) Police Department Schedule a public hearing to determine if a Certificate of Public Convenience and Necessity should be issued to Hotel Executive Transportation. N/A Cost of this request N/A Account Number N/A Project Number Budgeted Item N/A Category/Project Budget N/A Funds Used to Date N/A Remaining Balance Budget Adjustment Attached N/A Program Category / Project Name N/A Program / Project Category Name N/A Fund Name City Attorne w Q Date 41/07 6-zo-e> Finance an nternal Service Director Mayor Date k -ADate n Previous Ordinance or Resolution # Original Contract Date: Original Contract Number: Received in City Clerk's Office ENTERED Received in Mayor's Office ENTERED • Comments: FAYETTEVILLE THE CITY OF FAYETTEVILLE, ARKANSAS POLICE DEPARTMENT TO: Mayor Dan Coody and Members of the City Council FROM: Greg Tabor, Chief of Polices DATE: June 15, 2007 RE• Request for Public Hearing on a Certificate of Public Convenience and Necessity for Hotel Executive Transportation, LLC Recommendation: The council should schedule a public hearing to determine if a Certificate of Public Convenience and Necessity should be issued Necessity for Hotel Executive Transportation, LLC. Background: The council passed an ordinance governing taxi and limousine companies in Fayetteville. There were meetings with city staff, the police department and the fleet division to determine the procedure that will be used to implement the ordinance. Discussion: Attached is a copy of Mr. Mourton's application for certificate and insurance papers with Walker Brothers Insurance. Mr. Mourton intends to operate limousine and taxi service in Fayetteville. FAYETTEVILLE POLICE DEPARTMENT 100-A WEST ROCK STREET FAYETTEVILLE, ARKANSAS 72701 (DELIVERIES) POLICE: 100-A WEST ROCK STREET 72701 PHONE: 479.587 3555 FAX: 479.587.3522 RESOLUTION NO. A RESOLUTION GRANTING A CERTIFICATE OF PUBLIC CONVENIENCE AND NECESSITY TO HOTEL EXECUTIVE TRANSPORTATION, LLC FOR THE OPERATION OF FIVE (5) TO FIFTEEN (15) LIMOUSINES IN THE CITY OF FAYETTEVILLE, ARKANSAS. BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FAYETTEVILLE, ARKANSAS: Section 1. That the City Council of the City of Fayetteville, Arkansas hereby grants a Certificate of Public Convenience and Necessity to Hotel Executive Transportation, LLC for the operation of five (5) to fifteen (15) limousines in the City of Fayetteville, Arkansas, in accordance with Chapter 117, Fayetteville Code of Ordinances. PASSED and APPROVED this 3rd day of July, 2007. APPROVED: ATTEST. By: By: DAN COODY, Mayor SONDRA E. SMITH, City Clerk/Treasurer • Kenneth • Certificate of Public Convenience & Necessity Application/Renewal . As required to comply with Chapter 117 of the Fryedavale Code of Ordinances R. Mourton, 112 West Center St., Suite 701, Fayetteville, AR 72701, (479) 587-0360 Applicant Hotel Executive Name Address Phone Number • Transportation, LLC (479) 636-8294 Name of_Business 112 West Center . Phone Number St., Suite 701, Fayetteville, AR 72701 Business PO Box Location 1444, Fayetteville, AR 72702 Mailing Limited Address Liability Company Name Kenneth Type of Business and address R. Mourton (Sole of Proprietor, all owners, is the sole Corporation; officers end member stockholders: of Hotel LLC) Executive Transportation, LLC. His business address is 112 West Center St., Suite 701. Fayetteville, AR 72701. Name of person to whom complaints should be directed: Joe Washington • Financial status of applicant (Attach financial statement or profit and loss statement) • LJst any unpaid Judgments against any of the owners, officers and stockholders and the nature or ads giving rise to said Judgments: None Describe the experience of all owners, officers and stoddtoldsre In 1M transportation of passengers: Kenneth R. Mourton, the owner of Hotel Executive Transportation, LLC has provided Its financial backing. Joe Washington is the Manager of Operations for Hotel Executive Transportation, LLC. Joe has worked in the ground transportation industry for the last four years. Give any fads you believe tend to prove the necessity of granting a certificate: Considering the recent growth in the Fayetteville area, I believe that another transportation service is needed to accommodate the ever increasing transportation needs of the citizens of Fayetteville. List the number of vehicles that will be under your operation or control: 7 Minimum and Maximum number of vehicles to be peltted: 5 15 nn List the location of proposed depots and terminals: 1615 Acom, Rogers, AR 72756 Minimum Maximum 112 West Center Street, Fayetteville, AR 72701 4 • Describe the color schema or Insignia to be used to designate your vehicle: See attached logo List your days and hours of operation: Seven days a week, 24 hours a day. List any days you do not propose to provide tiidcab seMco to the general public: None. List your proposed passenger rate schedule: See attached etrcdu/ 6-fs-0 7 P Department Reprssentatiw Date OTEL EXECUTIVES TRANSPORTATION Lincoln Town Cars, SUV's, Limo's, Party Buses, & Vans Rogers • Bentonville Based Lincoln Town Cars Luxury $60.00 per hour Specific Rates - Lincoln Town Car - From or to XNA Call for Reservations Bentonville - $35.00 More than 1 additional person, $10.00 per person. Multiple stops additional Rogers - $35.00 More than 1 additional person, $10.00 per person. Multiple stops additional Lowell - $30.00 More than 1 additional person, $10.00 per person. Multiple stops additional Springdale - $40.00 More than 1 additional person, $10.00 per person. Multiple stops additional Fayetteville - $45.00 More than 1 additional person, $10.00 per person. Multiple stops additional Bella Vista - $45.00 More than 1 additional person, $10.00 per person. Multiple stops additional Ft. Smith - $125.00 More than 1 additional person, $10.00 per person. Multiple stops additional Tulsa - $150.00 More than 1 additional person, $25.00 per person. Multiple stops additional Special Walk Rate if dropped by HET $5 $8.00 per stop $8.00 per stop $8.00 per stop $10.00 per stop $10.00 per stop $10.00 per stop $10.00 per stop $30.00 per stop 161 l IA est 1111111 ti1I4I'i Phonc:479-636-T:L\1;27;6 I ix: 479 -6.31 -CARS C•4( uthctI.uI%I)C)r” k.1111111.10111 ek-CaSc cod) eThoi, QS �n C�n-D5-08. KENNETH R. MOURTON BALANCE SHEET DECEMBER 31, 2006 ASSETS CURRENT ASSETS Cash on Hand and in Banks Notes and Accounts Receivable (2 Listed Stocks & Bonds and other market investments (1) Stock Options and Restricted Stock (2) A/R - KTTT, LLC Prepaid Taxes (Estimate) Total Current Assets FIXED ASSETS & INVESTMENTS CKU LLC (1) , 5.4 Acres (1) House & Land - 1.90 acres (1) Fayetteville Country Club Stock(1) Furniture & Fixtures (3) Coors of Western Arkansas, Inc. (1)(4)(7) (Coors, Pabst, Hamms, OLY, R,W&B & B L ) Palm Distributing, LLC(1)(9) United Distributing, LLC (Colorado) (1)(6) Automobiles (1)(14) Land - 154 Acres with a House (1) AOK, LLC (1) Office Furniture & Equipment (3) HR -10 Retirement Trust (1)(5) Cash Surrender Value Life Insurance (1)(5) United Distributing Company, LLC (1)(4)(7)(8) Ball & Mourton Ltd., PLLC - (12) Ball & Mourton Properties, Ltd. - 100% (11) Crazy Inv., LLC (1) Brazil Trading Company(3) Vishwakarta, LLC(1)(6)(7) Hotel Buyers, LLC (1)(6)(7) Hotel Contractors, LLC(1) 401(K) Profit Sharing Plan (1) Canyon Distributing Company and Northern (1)(4)(6)(7)(8) Land - Nevada - Including Improvements (1)(3) Omni Hospitality Management 39% (1)(6) Jewelry Condo - Barra with furniture (1)(14) Land Baton Rouge (1) Vidhata (3) BKT, LLC (1) UCEC Mourton/Bhakta (3) Buzios, LLC (1) Toro the Bull, LLC (3) Hotel Executive Transportation, LLC NE Arkansas Hospitality, LLC K:tdoc tinstmt\krmbs12-31-06 1 $2,197,345.00 322,406.00 1,409,601.00 5,884,603.00 8,750.00 37,200.00 $9,859,905.00 $ 72,154.00 27,500.00 490,000.00 600.00 60,000.00 6,088,469.00 2,501,042.00 156,485.00 5,507.00 1,232,000.00 85,000.00 14,000.00 354,563.00 55,707.00 5,916,045.00 (62,743.00) 6,284,00 712,027.00 40,200.00 2,256,407.00 358,585.00 481,236.00 188,518.00 13,326,230.00 6,250,000.00 43,267.00 14,500.00 983,976.00 300,000.00 102,279.00 94,950.00 5,430.00 44,437.00 261,500.00 60,000.00 69,277.00 151,162.00 \OO TS Land, LLC K&G Investments, LLC KTTT, LLC - Bentonville(1)(6)(7) Total Fixed Assets & Investments TOTAL ASSETS 283,967.00 95,196.00 812,958.00 LIABILITIES & NET WORTH LIABILITIES Accounts Payable Renee Mouton Property Settlement ($50,000.00 over 30 years) Emerald Travel, Ltd. - Negative Net Worth -Bank Loan Account Payable - Coors (Est.) Note Payable David Slone Arvest Bank - Line Bank of America - Laughlin, Nevada Estimated Income Taxes TOTAL LIABILITIES NET WORTH TOTAL LIABILITIES & NET WORTH 25,000.00 50,000.00 45,000.00 464,668.00 492,000.00 102,773.00 1,565,633.00 1,150,000.00 $43,938,715.00 $53,798,620.00 $ 3,895,074.00 $49,903,546.00 $53,798,620.00 1. Estimated Fair Market Value 2. As of December 31, 2006 3. Cost 4. Based upon comparable sales and year end values of assets. 5. From Statement of Account dated December 31, 2006 and September 2006. 6. As of December 31, 2006. 7. Fair Market Value based on appraisal of real estate plus all remaining assets of the company less indebtedness. 8. Based on Balance Sheet as of 12/31/06. 9. Based on appraisals, contracts for sale and actual cash and receivables less obligations. 10. Estimated value. 11. As of December 31, 2005 Financial Statement. 12. Appraisal as of February 8, 2004. 13. Land at Fair Market Value of $1,000,000. 14. Subject to exchange rate. K:tdocfinstmt\krmbsl 2-31-06 2 KENNETH R. MOURTON SCHEDULE OF CONTINGENT LIABILITIES DECEMBER 31, 2006 First Federal of Arkansas Loan to KTTT, LLC - Bentonville (Secured by First Mortgage on Marriott SpnngHill Suites) Arvest Bank, Fayetteville, Arkansas Loan to B&M Properties, Inc. (secured by leasehold improvements) - Line of credit at $100,000.00. Arvest Bank, Fayetteville, Arkansas - Loan to Coors of Westem Arkansas, Inc. (Secured by buildings, inventory and equipment) Line of credit authorized to $550,000. Arvest Bank, Fayetteville, Arkansas - United Distributing Co., LLC Colorado Security Bank - Loan to Vishwakarta, LLC First Federal of Arkansas Loan to Hotel Buyers, LLC Various Guaranties Various credit cards for companies I hold An interest in - estimated Arvest Bank, Fayetteville, Arkansas Loan to Canyon Distributing Company Original Loan $8,500,000, plus truck and trailer leases Greg Margerum et al - Guaranty to secure payment of Health insurance payment - Estimated obligation. Signature Bank, Fayetteville, Arkansas United Distributing Co., LLC (Alabama) - Guaranty Arvest Bank, Fayetteville, Arkansas Northern Distributing Company - Guaranty K:WocV nstmtlkmuc112-31-06 1 3,268,422.46 95,003.00 86,795.70 538,181.00 6,541,740.21 977,413.23 20,000.00 20,000.00 4,747,428.00 75,000.00 1,566,199.00 2,139,414.23 First Federal of Arkansas Loan to Hotel Contractors - Best Westem Arvest Bank, Fayetteville Guaranty of Pam Crawford American Donut Loan) Chambers Bank, Rogers, Arkansas Loan to Vidhata Total Loan $26,800,000.00 amount drawn as of 12-31-06 Liberty Bank, Springdale, Arkansas Loan to Mourton/Bhakta Total Loan $5,571,000 amount drawn as of 12-31-06 Liberty Bank, Springdale, Arkansas Second loan $829,000.00, amount drawn as of 12-31-06 Simmons First, Springdale, Arkansas Loan to BKT, LLC Total loan $10,000,000.00, amount drawn as of 12-31-06 Signature Bank, Fayetteville, Arkansas Loan to Hotel Executive Transportation, LLC Regions Bank, Rogers, Arkansas Loan to Canyon Distributing Company Prescott Warehouse Capital One, Little Rock, Arkansas Loan to Buzios, LLC Allied Bank, Mulberry, Arkansas Loan to A Nuther Round, LLC Capital Bank, Little Rock, Arkansas Loan to AOK, LLC Enterprise Bank, Overland Park, Kansas Loan to CKU Aviation, LLC Signature Bank, Fayetteville, Arkansas Line of Credit to Kenneth R. Mourton Total Line $2,000,000.00, amount drawn as of 12-31=06 Chambers Bank, Fayetteville, Arkansas Loan to NE Arkansas Hospitality, LLC First State Bank, Fayetteville, Arkansas Line of Credit to Kenneth R. Mourton Total Line $500,000.00, amount drawn as of 12-31-06 K:\doc\ instm0lcrmscl 12-3 1-06 • 2 3,692,476.67 144,089.19 10,522,735.80 4,558,556.83 0.00 2,402,354.25 38,511.30 6,869,397.46 974,801.50 2,000,261.68 933,241.50 1,100,000.00 7,165.17 2,300,000.00 0.00 Hotel Executive Transportation, LLC P. O. Box 1948 Fayetteville, AR 72702 Balance Sheet As of December 2006 3/28/2007 3:32:28 PM Assets Current Assets Cash On Hand Signature Total Cash On Hand AIR - Joe Washington Total Current Assets Fixed Assets Office Equipment Office Equip Orig Cost Total Office Equipment Automobiles - Automobiles Orig Cost Automobiles Accum Dep Total Automobiles Equipment Total Fixed Assets Equipment Total Assets Liabilities Current Liabilities Credit Cards MasterCard Visa Three Dogs, LLC Total Credit Cards Payroll Withholding FIT/FMed/FSoc Payable FUTA Payable State Income Tax Payable SUI/SDI Payable Total Payroll Withholding Other Current Liabilities Total Current Liabilities Long Tenn Liabilities Bank Loans N/P - Coors of Westem AR Total Long Term Liabilities Total Liabilities Equity Retained Earnings Current Year Eamings Total Equity Total Liability & Equity $51,810.14 $51,810.14 $11,089.50 $62,899.64 $1,000.00 $1,000.00 $82,365.50 ($42,198.04) $40,167.46 ($101.13) (556.75) $3,279.50 $449.06 $164.87 $63.33 $86.43 $41,167.46 $1,381.00 $105,448.10 $3,121.62 $763.69 ($900.00) $2,985.31 $38,510.70 $6,923.50 $45,434.20 $48,419.51 $4,572.08 $52,456.51 $57,028.59 5105,448.10 H__sl Executive Transportation, LLC. P. 0. Box 1948 Fayetteville, AR 72702 Profit & Loss Statement January 2006 through December 2006 3/28/2007 3:32:19 PM Income Sales Contract Income Other Income Total Sales Total Income Cost Of Sales Auto Insurance Vehicle Gas and Oil Vehicle Repair & Maintenance Total Cost_Of Sales Gross Profit Expenses General & Administrative Exp Legal & Professional Fees Bank Charges Charitable Contributions Credit Card Fees Depreciation Dues & Subscriptions Office Supplies Late Fees Paid Total General & Administrative Exp Advertising & Promotion Exp Advertising Total Advertising & Promotion Exp Operating Expenses Lease Payments Postage Printing Rent Telephone Uniforms Total Operating Expenses Wages & Salaries Wages Employer Payroll Tax Expense Total Wages & Salaries Employee Benefits Group Medical Insurance Travel & Entertainment Total Employee Benefits Contract labor Misc. Taxes & Licenses Total Expenses Operating Profit Other Income Other Expenses Interest Expense Total Other Expenses Net Profit / (Loss) 5184,347.18 5461.67 5184,808.85 $184,808.85 $18,055.78 $13,501.71 57,332.75 538,890.24 $145,918.61 $3,622.13 $73.03 $300.00 51,842.78 517,045.04 $80.00 5633.32 $55.06 523,651.36 52,126.83 52,126.83 $265 $140 51,203 ($1,012 $628 $1,857 .21 .71 .13 .57) .72 .15 53,082.35 531,608.00 53,502.45 535,110.45 53,528.00 5888.39 $4,416.39 513,978.40 51,631.27 55,330.72 589,327.77 556,590.84 54,134.33 $4,134.33 552,456.51 JUN -04-2007 16:40 WALKER BROTHERS INSURANCE 479 306 5110 P.01 WALKER BROTHERS INSURANCE, INC. P.O. BOX 7570, SPRINGDALE, AR 72766-7570 PHONE (479) 306-4677 FAX (479) 306-5110 E-MAIL ADDRESS: Insurance@walkerbr.com DATE- June 4, 2007 TO: City of Fayetteville ATTN: Sgt Barter FAX #: 587-3522 RE: Hotel Executive Transportation LLC NWA Taxi, LLC FROM: Danny Schneider 3 : TOTAL NUMBER OF PAGES INCLUDING THIS PAGE Here is requested proof of Insurance for above 2 entihes. Please let me know if you need anything further. Sincerely, QUI1-17 JUN -04-2007 16:41 WALKER BROTHERS INSURANCE 47 ACORD. CERTIFICATE OF LIABILITY INSURANCEj!13 I 0i;04;;7 IIOMa9 Walker Bros. Insurance, Inc. P.O. Be: 7570 Springdale IS 72766-7570 Phone: 479-306-4677 Fax: 479-306-5110 THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS CERTIFICATE DOES NOT AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. INSURERS AFFORDING COVERAGE NAIC 0 nue NRA Taxi LLC PO Box 1946 nystteville AA 72702 Pawn asses Insurance Company SO wwl1. 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MOUNTAIN PAYa72LVILLa AR 72701 PEW taw if Intoe pa/0111 KCwe4LOKIaW 11x LIPPATION 11•111.011130K IBM WANG w11I1N wLL aOMYA R .N Im1a-i0M NM,ua 110.011010M11)70 IST. art mamma, 10su. ma m aLewK W.ITY OF w1YIea MOM 1111 Lel M MIMI W 1...a1w..wmw1. 10 sa+I.TTa1 elauvit ACORD 26 (2001106) O ACORD CORPORATION 1988 1 JUN -04-2007 16:41 WALKER BROTHERS INSURANCE 479 306 5110 P.03 Aac_O CERTIFICATE OF LIABILITY INSURANCE cgR� """'""' BO171x-;1 06/04/07 IrfaD10a 'altar Broa . Insurance, Inc. P.O. Bea 7570 Springdale AR 72766-7570 T145 CERTIFICATE ONLY AND CONFERS HOLDER. THIS CERTIFICATE ALTER THE COVERAGE 1S ISSUED AS A MATTER OF INFORMATION NO RIGHTS UPON THE CERTIFICATE DOES NOT AMEND, EXTEND OR AFFORDED BY THE POLICIES BELOW. INSURERS AFFORDING COVERAGE NAIC 0 Phenol 679 306 4677 ram: 479-306-5110 Munn! Hotel Lxecutive Transportation LLC LLC 9O Bch 1966 Fayetteville AR 72702 Main A. 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