HomeMy WebLinkAbout270-20 RESOLUTION113 West Mountain Street
Fayetteville, AR 72701
(479) 575-8323
Resolution: 270-20
File Number: 2020-0833
ROSS EXECUTIVE AVIATION, INC.:
A RESOLUTION TO APPROVE A FIVE YEAR LEASE AGREEMENT WITH ROSS
EXECUTIVE AVIATION, INC. FOR OFFICE SPACE IN THE AIRPORT TERMINAL
BUILDING AT 4500 SOUTH SCHOOL AVENUE SUITE D FOR RENT IN THE AMOUNT OF
$275.00 PER MONTH
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 approves a five year
lease agreement with Ross Executive Aviation, Inc., a copy of which is attached to this Resolution and
made a part hereof, for office space in the airport terminal building at 4500 South School Avenue Suite
D for rent in the amount of $275.00 per month.
PASSED and APPROVED on 11/5/2020
Attest:
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Kara Paxton, City Clerk Treasbrei AYE�EvkL
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Page 1 P►inted on 11/d,20
City of Fayetteville, Arkansas 113 West Mountain Street
Fayetteville, AR 72701
�^ (479) 575-8323
Text File
File Number: 2020-0833
Agenda Date: 11/5/2020 Version: 1 Status: Passed
In Control: City Council Meetinq File Type: Resolution
Agenda Number: A.2
ROSS EXECUTIVE AVIATION, INC.:
A RESOLUTION TO APPROVE A FIVE YEAR LEASE AGREEMENT WITH ROSS EXECUTIVE
AVIATION, INC. FOR OFFICE SPACE IN THE AIRPORT TERMINAL BUILDING AT 4500 SOUTH
SCHOOL AVENUE SUITE D FOR RENT IN THE AMOUNT OF $275.00 PER MONTH
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 approves a five year lease
agreement with Ross Executive Aviation, Inc., a copy of which is attached to this Resolution and made a part
hereof, for office space in the airport terminal building at 4500 South School Avenue Suite D for rent in the
amount of $275.00 per month.
City of Fayetteville, Arkansas Page 1 Printed on 111612020
Summer Fallen
Submitted By
City of Fayetteville Staff Review Form
2020-0833
Legistar File ID
11/5/2020
City Council Meeting Date - Agenda Item Only
N/A for Non -Agenda Item
10/2/2020 AIRPORT SERVICES (760)
Submitted Date Division / Department
Action Recommendation:
Airport -Staff requests a resolution to approve and allow the Mayor to sign a terminal lease agreement between the
City of Fayetteville and Ross Executive Aviation.
Account Number
Project Number
Budgeted Item? NA
Does item have a cost? NA
Budget Adjustment Attached? NA
Budget Impact:
Current Budget
Funds Obligated
Current Balance
Item Cost
Budget Adjustment
Fund
Project Title
Remaining Budget $
V20180321
Purchase Order Number: Previous Ordinance or Resolution #
Change Order Number: Approval Date:
Original Contract Number:
Comments:
CITY OF
FAYETTEVILLE
ARKANSAS
MEETING OF NOVEMBER 5, 2020
TO: Mayor Lioneld Jordan and City Council
THRU: Susan Norton, Chief of Staff
FROM: Summer Fallen, Airport Services Manager
DATE: October 2, 2020
SUBJECT: Ross Executive Aviation Terminal lease
CITY COUNCIL MEMO
RECOMMENDATION:
Staff requests a resolution to approve and allow the Mayor to sign a terminal lease agreement
between the City of Fayetteville and Ross Executive Aviation.
BACKGROUND:
The terminal office space is at 4500 S School Ave, Suite D, Fayetteville, AR 72701. It is
currently occupied by Ross Executive Aviation.
DISCUSSION:
Ross Executive Aviation would like to continue to lease Suite D located inside the terminal.
BUDGET/STAFF IMPACT:
This lease will provide $3,300 in revenue annually to the airport.
Attachments:
Staff Review Form
City Council Memo
Terminal Lease Agreement
Mailing Address:
113 W. Mountain Street www.fayetteville-ar.gov
Fayetteville, AR 72701
LEASE AGREEMENT for the OFFICE SPACE in the TERMINAL BUILDING
LESSEE NAME: Ross Executive Aviation
Billing Address: Attn: John P. Ross
10109 Seven Oaks Dr
Fort Smith, AR 72908
Email:
Social Security Number:
Tax I.D. Number:
PHONE NUMBERS:
Home:
Work:
Cell: 479-973-2759
Emergency:
Emergency Contact:
Date of Birth:
Beginning date: December 1, 2020 Beginning rent amount: $275.00
This LEASE is executed this 15 day of , & , by and between the City of
Fayetteville, Arkansas, 113 W Mountain Street, Fayetteville, Arkansas, 72701, hereinafter called
The City, and Ross Executive Aviation, Attn: John P. Ross of 10109 Seven Oaks Dr., Fort
Smith, AR 72908, Ph. 479-973-2759 or 479-646-7272 hereinafter called Ross Executive Aviation.
1. Leased Premises. The City leases to Ross Executive Aviation, and Ross Executive Aviation
leases from the City office space located at 4500 S. School Avenue, Ste. D, Fayetteville, Arkansas,
as reflected on "Exhibit A" attached hereto and make a part hereof. Leased Premise shall be for
Ross Executive Aviation's exclusive use to operate flight instruction and aircraft sales. The terminal
building is a "No Smoking" facility.
2. Lease Term. Subject to earlier termination as hereinafter provided, the initial term of this
Agreement shall be for a period of five (5) Years beginning the first day of December 1, 2020 and
ending November 30`h. 2025, The City or Ross Executive Aviation may terminate this lease at any
time by giving the other party thirty (30) days written notice of termination
Rent will be increased every two years using the CPI rate, plus one percent using the formula on
Lease Attachment #1. A new lease will be negotiated at the end of five years.
3. Rental Fees. Rent for the first two years of this lease, Ross Executive Aviation agrees to pay the
City for the use of the premises the sum of $275.00 per month. The initial lease payment is due
and payable upon the execution of this Lease Agreement, and all subsequent monthly lease payments
shall be due and payable in advance on or before the first day of each calendar month thereafter.
In addition to any remedy available to it hereunder, the City may impose as additional rent a
delinquency charge on all overdue payments, at the maximum rate allowed by law.
4. Utilities, Maintenance and Janitorial Services
A. By The City: The City shall be responsible for the payment of the utilities associated
with Ross Executive Aviation's water, sewer, lights, heating and cooling. The City shall
maintain and keep in good repair so much of the Airport premises as is not under the
exclusive control of Ross Executive Aviation . The City shall provide janitorial services
only for all areas used in common by Airport terminal tenants. The City shall not be
responsible for, or pay for any expense which might arise due to, the installation and /or
removal of equipment used in Ross Executive Aviation's business operation or signs.
B. By Ross Executive Aviation, Inc.: Ross Executive Aviation shall be responsible for the
installation, relocation, modification and maintenance of all utility service other than that
necessary to provide water, sewer, light, heat or air to the Leased Premises. The City shall
maintain and keep in good repair so much of the Airport premises as is not under the
exclusive control of Ross Executive Aviation. Ross Executive Aviation shall maintain
Leased Premises in a clean, orderly, and attractive condition; not allow the accumulation of
rubbish, trash, or other waste material on the Lease Premises and provide for and supply all
janitorial service for their exclusive use area. Ross Executive Aviation shall place any
materials or trash in trash receptacles. Written approval from the Airport Director must be
obtained prior to any improvements or additions to any part of the Leased Premises, or the
installation of any attachment to the building (i.e. antennas, tower or signs). Any signs
installed shall meet all of the City's Sign Regulations, and furthermore, any sign erected on
or attached to the Lease Premises must have the prior written approval of the Airport
Director.
5. Hazardous Substances. Ross Executive Aviation shall not cause or permit any Hazardous
Substance to be used, stored, generated or disposed of on or in the Leased Premises, or in any Airport
Drainage system. If the Airport property becomes contaminated in any manner due to Ross
Executive Aviation's actions, Ross Executive Aviation shall indemnify and hold Harmless the
Airport from any and all claims, including a decrease in value of the Airport property.
6. Insurance. Ross Executive Aviation shall provide the following:
A. Workman's Compensation Insurance, as required by Arkansas Law.
B. Lessee shall obtain and maintain continuously in effect at all times during the term
hereof, at Ross Executive Aviation's sole expense in amounts approved by the Airport's
Minimum Standards.
C. A Certificate of Insurance shall be furnished to the Airport, naming the City as Additional
Insured, and be kept current at all times by the operator until such time as the lease is
canceled. Ross Executive Aviation shall indemnify, protect, defend and hold completely
harmless, the City and their trustees from and against all liability, losses, suits, claims,
judgments, 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 lease, Ross Executive Aviation use or occupancy of the Airport premises,
the rights, licenses, or privileges granted Ross Executive Aviation herein, or the acts or
omissions of Ross Executive Aviation's agents, employees, regardless of where the injury,
death or damage may occur. The City shall give notice to Ross Executive Aviation of any
such liability, loss, suit, claim or demand, and Ross Executive Aviations shall defend same
using counsel reasonably acceptable to the City. No word, sentence, paragraph or phrase
shall be construed to waive that tort immunity set forth under Arkansas Law.
7. Use of Airport. Ross Executive Aviation is granted the use, in common with other airport
terminal tenants, of the airport terminal building and grounds together with all facilities, equipment,
improvements, and services which have been or may hereafter be provided. Ross Executive
Aviation agrees to observe and obey the City's Ordinances and Regulations with respect to use of the
demised premises and Airport; provided, however, such Ordinances and Regulations shall be
consistent with safety and with all the City, county, state, and federal ordinances, rules and
regulations. Ross Executive Aviation agrees to abide by the rulings of the Federal Aviation
Administration with respect to the use of the Leased Premises. "The Minimum Standards for
Fayetteville Executive Airport, Drake Field" herein referred to as Airport's Minimum Standards at
the Fayetteville Executive Airport are made part of this lease by reference as if included word for
word.
Ross Executive Aviation agrees to use the premises only for a business office for Ross Executive
Aviation. Any business other than the business office for Ross Executive Aviation shall require the
Airport Director's approval. Ross Executive Aviation will obtain and keep in force all certifications,
permits and licenses required for the operation of the business office. Ross Executive Aviation
further agrees not to store any flammable material on the premises or in any way endanger or violate
the provisions of Fayetteville's property insurance policy or the requirement of same. Such
violations shall constitute a material breach of this Lease. Upon termination of Lease, Ross
Executive Aviation will leave all premises used in the same or better condition as existed at the
initiation of the Lease.
8. Rights of Ingress and Egress. Ross Executive Aviation shall have full and free right of ingress
to and egress from the Leased Premises for Ross Executive Aviation, its employees, customers,
guests, and other invitees except as reserved below. Such rights shall also extend to persons or
organizations supplying materials or furnishing services to Ross Executive Aviation. The City
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 Ross Executive Aviation. The City may
enter the Leased Premises at any reasonable time for any purpose necessary, or incidental to, the
performance of City's obligations hereunder.
3
Ross Executive Aviation shall take reasonable measures to insure that the conduct of their business
does not adversely affect their neighbors or the common areas of the building. Excessive or
objectionable noise, odors, or light fixtures shall not be allowed to escape from the premises.
9. Events of Default. The following shall be events of default under the Lease, and include any
one or more of the following:
A. Non-payment of the rental amount.
B. if Ross Executive Aviation transfers, subleases or assigns, either voluntarily or by
operation of law, any portion of its interest in this Lease.
C. Ross Executive Aviation voluntarily abandons, deserts, or vacates the Leased Premises.
D. Ross Executive Aviation shall fail to comply with insurance requirements.
10. Termination.
A. The City or Ross Executive Aviation may terminate this lease at any time by giving the
other party thirty (30) days written notice of termination.
B. On the expiration or other termination of this lease, Ross Executive Aviation's right to use
the Leased Premises shall cease, and Ross Executive Aviation shall vacate the premises
without unreasonable delay. All property installed, erected, or placed by Ross Executive
Aviation in, on, or about the premises leased hereunder shall be deemed to be personalty and
shall remain the property of Ross Executive Aviation. Ross Executive Aviation shall have
the right at any time during the term of this Lease, or any renewal or extension thereof, and
for an additional period of fourteen (14) days after the expiration of other termination of this
Lease, to remove any or all of such property, subject, however to Ross Executive Aviation's
obligation to repair all damage, if any, resulting from such removal. Any and all property not
removed by Ross Executive Aviation prior to the expiration of the aforesaid fourteen (14)
day period shall thereupon become a part of the premises on which it is located and title
hereto shall thereupon vest in the City or the City may require removal and restoration by
Ross Executive Aviation.
11. Assigning, Subletting and Encumbering. Ross Executive Aviation shall not sublet the Leased
Premises, nor permit other persons to occupy the Leased Premises, not grant any license or
concession for any part of the Leased Premises, or assign its rights under this Lease without the
written consent of The City. No such subletting or assignment shall release Ross Executive Aviation
from its obligations to pay the rental set forth herein.
12. Mailing and Notice. Any notice or consent required by this lease shall be sufficient if sent by
Certified Mail, return receipt required, postage paid, to the following address:
4
CITY OF FAYETTEVILLE:
Airport Administration Office
4500 S. School Avenue, Suite F
Fayetteville, Arkansas 72701
Ph. 718-7642
ROSS EXECUTIVE AVIATION
Ross Executive Aviation.
Attn: John P. Ross
10109 Seven Oaks Dr.
Fort Smith, AR 72908
Ph. 479-973-2759 or 479-646-7272
13. Nondiscrimination. Ross Executive Aviation agrees that it will not, on the grounds of race, color,
or national origin, discriminate or permit discrimination against any person or group of persons. Ross
Executive Aviation will assure compliance with all regulations in regard to Non-discrimination and
Affirmative Action. Ross Executive Aviation acknowledges that it is the policy of the Airport that it
shall not discriminate on the basis of race, color, notional origin, or sex in the award and performance of
all Airport contracts.
14. This Agreement shall be construed under the laws of the Sate of Arkansas.
IN WITNESS WHEREOF, the parties have executed this Lease on the day and year first above
written.
THE CITYAF F"E1ITEVILLE:
i�
Date
ATTEST: �ijiMlIfft,
By:
ROSS EXECUTIVE AVIATION
Kara Paxton, ity Clerk and Treasurer z to G Y OF •sG�
FAYETTEVILLE;
0.
I have received a copy of the Airport's Minimum Standards
(te nt's initials)
By: �)d)►, 1 . �! 05 S e--,��e,
(Name) (Ti
Signature:
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Date
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