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HomeMy WebLinkAboutContract 35891 (2) CITY SECRETARY CONTRACT NO. FORT WORTH MEACHAM INTERNATIONAL AIRPORT TERMINAL BUILDING OFFICE LEASE AND RAMP SPACE LICENSE AGREEMENT (TERM) This TERMINAL BUILDING OFFICE LEASE AND RAMP SPACE LICENSE AGREEMENT ("Lease") is made and entered into by and between the CITY OF FORT WORTH ("Lessor"), a home rule municipal corporation situated in Tarrant County, Texas acting by and through Marc Ott, its duly authorized Assistant City Manager, and DON E. HANSEN ("Lessee"), an individual,collectively referred to as the "parties." In consideration of the mutual covenants, promises and obligations contained herein, the parties agree as follows: 1. PROPERTV LEASED/LICENSED. Lessor hereby grants Lessee the following rights to the Leased Premises, as defined in Section 1.1, and the Licensed Premises, as defined in Section 1.2 (together,the"Premises"): 1.1. Leased Premises/Termination of Previous Lease. Lessor demises and leases to Lessee the following real property(hereinafter referred to as the "Leased Premises") in the Terminal Building ("Terminal") at Fort Worth Meacham International Airport("Airport") in Fort Worth,Tarrant County,Texas: 2,100 square feet of tiled first floor office space identified as Suite 119 depicted on Exhibit"A-11',attached hereto and hereby made a part of this Lease for all purposes. The parties hereby agree that execution of this Lease simultaneously terminates the previous Month-to-Month Terminal Building Office Lease for space identified as Suite 119 that was effective as of February 1,2007. 1.2. Licensed Premises. In addition to the lease of the Leased Premises and subject to the terms and conditions of this Lease, Lessor hereby grants Lessee a non-exclusive license to use approximately 172,889.64 square feet of ramp space adjacent to the Terminal, as more specifically depicted and described in Exhibit "A-2" (the "Licensed Premises"), for (i) as an independent contractor of Lessor and, at no cost to Lessor and to the reasonable satisfaction of Lessor, those Airport management and administrative services set forth in Exhibit "13-1" (collectively, the "Public Airport Services") and (ii) as an independent Page 1 of 25 Sandpiper Aviation Office Building Lease/Ramp Space License Agreement IZ ,r � � c, Fort Worth Meacham Airport ( /I� contractor, private fixed base operator ("FBO") services at the Airport solely pursuant to and in accordance with the provisions of Exhibit `13-2" and a valid FBO Permit issued by Lessor, (the'"FBO Permit"). Exhibits "A-2", "B-l" and "B-2" are attached hereto and hereby made a part of this Lease for all purposes. 2. TERM OF LEASE. 2.1 Term. The Term of this Lease shall commence on October 1, 2007 ("Effective Date") and expire at 11:59 P.M. on September 30,2017, unless terminated earlier as provided herein. 2.2. Holdover. If Lessee holds over after the expiration of the Term, this action will create a month-to-month tenancy. In this event, for and during the holdover period, Lessee agrees to pay all applicable rentals, fees and charges at the rates provided by Lessor's Schedule of Rates and Charges or similarly published schedule in effect at the time. 3. RENT. 3.1. Rent for Leased Premises. 3.1.1. Initially. From the Effective Date until September 30, 2017, subject to Section 3.1.3, Lessee shall pay Lessor as annual rent for the Leased Premises the sum of Thirty Thousand Five Hundred Seventy-six and 00/100 Dollars ($30,576.00), payable in equal monthly installments of Two Thousand Five Hundred Forty-eight and 00/100 Dollars ($2,548.00). This rate is based on Lessor's published Schedule of Rates and Charges in effect as of the Effective Date of this Lease. 3.1.2. Annual Adjustments. On October 1, 2007, and on October 1 st of each year thereafter during the Term, Lessee's rental rate shall be subject to increase by Lessor to reflect the upward percentage change, if any, in the Consumer Price Index for the Dallas/Fort Worth Metropolitan Area, as announced by the United States Department of Labor or successor agency (i), for the first increase, since the Effective Date of this Lease and (ii) for each subsequent increase, since the effective date of the last increase; provided, however, that except for the initial rental rate for the Leased Premises payable during the Term of this Lease, Lessee's rental rates shall not (i) Page 2 of 25 Sandpiper Aviation Office Building Lease/Ramp Space License Agreement Fort Worth Meacham Airport be increased in any given year by more than ten percent (10%) over the rental rate paid by Lessee during the immediately preceding twelve (12) months or (ii) exceed the then-current rates prescribed by Lessor's published Schedule of Rates and Charges for the type or types of property at the Airport similar to the type or types of property that comprise the Premises. 3.1.3. Rent Credits. Notwithstanding anything to the contrary herein, Lessee shall have the right to offset against rent payable hereunder for the Leased Premises a number of dollars equal to one hundred percent (100%) of the number of dollars expended by Lessee for those capital improvements made to the Leased Premises and the Licensed Premises and for that certain landscaping installed on the Licensed Premises, all of which is specifically identified in Exhibit "C", attached hereto and hereby made a part of this Lease for all purposes, as well as any other capital improvements or landscaping that are subsequently approved in writing by the Director of Airport Systems or authorized representative prior to the earlier of installation or the date in which the expense is incurred (collectively, "Designated Airport Improvements"); provided,however, that in no event may Lessee offset more than fifty percent (50%) of any monthly rent installment paid hereunder for this purpose. Lessee shall not be entitled to receive a rent credit for any Designated Airport Improvements other than those specifically identified in Exhibit "C" unless Lessee provides Lessor with invoices, receipts and any other documentation reasonably necessary to verify the amount expended by Lessee for such Designated Airport Improvements. In addition,following at least forty-eight (48)hours' advance notice to Lessee, Lessor shall have the right, at any time during normal business hours, to review and audit all financial and business records of Lessee that relate to Designated Airport Improvements, including, but not limited to, construction docurnents, invoices and purchase receipts. Lessee shall make all such records available to Lessor in the Leased Premises and will otherwise fully cooperate with Lessor in undertaking such review or audit. Once Lessor has completed an audit with respect to a given Designated Airport Improvement, Lessor will not conduct a subsequent audit with respect to the same Designated Airport Improvement. Upon the expiration of the Term or prior termination of this Lease, Lessor shall have no obligation to reimburse Lessee for any expense incurred or expended by Lessee for any modification, construction or improvement at the Airport, including, but not limited to, any expenditures for Designated Airport Improvements that Lessee has not yet recouped through the rent credits provided under this Section 3.1.3. 3.2. Payment Dates and Late Fees. All monthly rent payments under this Lease are due on or before the first (1 st) day of each month. Payments must be received during normal working hours by the due date at Page 3 of 25 Sandpiper Aviation Office Building Lease/Ramp Space License Agreement Fort Worth Meacham Airport the location for Lessor's Revenue Office as set forth in Section 18. Rent shall be considered past due if�:e. ssor has not received full payment after the (10th) day of the month for which payment is Lessor will assess a late penalty charge of ten percent (10%) per month on top of the entire month's rent for each month in which rent is past due. 3.3. In-Kind Compensation for Licensed Premises. In lieu of a monetary fee, Lessee shall provide the Public Airport Services throughout the Term as full compensation to Lessor for use of the Licensed Premises. Lessor and Lessee hereby agree that the value of performance of the Public Airport Services equals or exceeds the fair market monetary license fee that Lessee would otherwise be required to pay for use of the Licensed Premises. 4. DEPOSIT. Due to the Lessee's substantial investment in the Premises and significant improvements made to the Terminal, Lessor hereby waives any requirement of Lessee to provide a deposit prior to occupation of the Leased Premises. 5. UTILITIES. Lessor agrees and covenants that it will pay for all utilities in use on the Premises, with the exception of telephone utilities. For any leased space in the basement of the Terminal, Lessee acknowledges that Lessor will not provide or pay for any air conditioning or heating services. Before installing any type of air conditioning or heating devices in the basement of the Terminal, Lessee shall obtain written permission from the Director of Airport Systems or authorized representative and shall, at Lessee's own expense,provide a ventilation system acceptable to Lessor. Lessee agrees that all heating equipment and other electrically-operated equipment which may be used on the Premises shall fully comply with the City of Fort Worth Mechanical, Electrical, Plumbing,Fire and Building Codes,as they exist or may hereafter be amended. 6. MAIINTENAN,CE AND REPAIRS. 6.1. Maintenance and Repairs by Lessor. Lessor shall provide janitorial services to the Leased Premises unless located in the basement of the Terminal. Lessor agrees to perform minor repairs and maintenance on a timely basis as required by the ordinary use of the Leased Premises under the terms of this Lease and which are not caused by any violation thereof by Lessee. Lessor shall have the right and privilege, through its officers, agents, servants or employees to inspect the Page 4 of 25 Sandpiper Aviation Office Building Lease/Ramp Space License Agreement Fort Worth Meacham Airport Premises at any time. If Lessor determines that Lessee is responsible for any maintenance or repairs required on the Premises, it shall notify Lessee in writing. Lessee agrees to undertake such maintenance or repair work within thirty (30) calendar days of receipt of notice. If Lessee fails to undertake the maintenance or repairs recommended within this time, Lessor may, in its discretion, perform the necessary maintenance or repairs on behalf of Lessee. In this event, Lessee will reimburse Lessor for the cost of the maintenance or repairs, and ayment will be due on the date of Lessee's next monthly rental payment following and of the repairs. 6.2. Maintenance and Repairs by Lessee and Lessor. In addition to any specific requirements set forth in Exhibit`B" for maintenance and repairs to the Licensed Premises, Lessee agrees to keep and maintain the Premises in a good, clean and sanitary condition at all times Lessee covenants and agrees that it will not make or suffer any waste of the Premises. Lessee shall not allow any holes to be drilled or made in the brick, plaster or cement work. Lessee will not pile or store boxes, cartons, barrels or other similar items in a manner that is unsafe or unsightly. Upon termination of this Lease, Lessee agrees to return the Premises to Lessor in the same condition as originally received, subject to ordinary wear and tear consistent with normal use over time. Lessee is responsible for all damages caused by the negligence or misconduct of Lessee, its agents, servants, employees,contractors, subcontractors,patrons, licensees, invitees or trespassers. For any portion of the Premises located in the basement of the Terminal, Lessee shall provide,, at Lessee's own expense, and use covered metal receptacles for the temporary storage of all trash and garbage and arrange and pay for the sanitary transport and permanent disposal away from the Airport of all of Lessee's trash, garbage and refuse. Throughout the Term, Lessor agrees to maintain the Terminal in a manner consistent with or exceeding the levels and standards existing as of the Effective Date of this Lease. 6.3. Inspection. Lessor,through its officers, agents, servants or employees, reserves the right to enter the Premises at any time in order to perform any and all duties or obligations which Lessor is authorized or required to do under the terms of this Lease or to perform its governmental duties under federal, state or local rules, regulations and laws (including, but not limited to, inspections under applicable Health, Mechanical, Building, Electrical, Plumbing, and Fire Codes, or other'health, safety and general welfare regulations). Lessee will permit the Fire Marshal of the City of Fort Worth or his agents to make inspection of the Premises at any time, and Lessee will comply with all recommendations made to Lessee by the Fire Marshal or his agents to bring the Premises into compliance with the City of Fort Worth Fire Code and Building Code provisions regarding fire safety, as such provisions exist or may Page 5 of 25 Sandpiper Aviation Office Building Lease/Ramp Space License Agreement Fort Worth Meacham Airport hereafter be added or amended. Lessee shall maintain in a proper condition accessible fire extinguishers of a number and type approved by Fire Underwriters for the particular hazard involved. Lessor shall provide Lessee with advance notice of inspection when reasonable under the circumstances. 7. ACCEPTANCE OF PREMISES. 7.1. Asbestos Abatement Activities. Lessee acknowledges the existence of asbestos-containing material on the Premises. After investigation by Lessor, Lessor represents that, to the best of its knowledge, asbestos-containing materials exist on the Premises to the extent identified in Lessor's Level 11 Asbestos Assessment Report dated October 12, 1992, a public document on file in Lessor's City Secretary's Office and incorporated herein by reference for all purposes. Lessee covenants and agrees to comply with all federal, state and local laws and regulations, now in existence or promulgated in the future, which pertain to asbestos- containing materials. Lessee covenants and agrees to cooperate fully with any asbestos abatement activity plan or asbestos operations and maintenance plan set forth by Lessor. Lessee further covenants and agrees to notify and obtain written approval from Lessor prior to Lessee's undertaking of any repairs, renovations, alterations or improvements to the Premises or of any other activity which might disturb asbestos-containing materials. Lessee agrees that it shall be solely responsible for all expenses of such activities. Lessor retains the right to perform or cause to be performed air sampling on the Premises to check for the presence of airborne asbestos fibers. Lessee agrees to allow Lessor full access to the Premises to perform such tests. Lessor will make the results of any such tests available to Lessee at Lessee's request. 7.2. Lessee's Acceptance of Premises. Lessee; agrees and covenants that it has inspected the Premises and is fully advised of its own rights without reliance upon any representation made by Lessor concerning the condition of the Premises. Lessee accepts the Premises in its present condition as satisfactory for all purposes set forth in this Lease. S. CONSTRUCTION AND IMPROVEMENTS. Lessee may no. undertake or allow any party to undertake any kind of alteration, erection, improvement or other construction work on or to the Premises unless it first requests and receives in writing approval from the Director of Airport Systems or authorized representative. All such approved construction. work on and improvements to the Premises shall comply fully with the Americans with Disabilities Act of 1990, as amended. Page 6 of 25 Sandpiper Aviation Office Building Lease/Ramp Space License Agreement Fort Worth Meacham Airport VGe�)h, r i`li1 .�`JU 9 LJU� 9. PARMNG.i Lessee shall have the right to use the designated public parking areas and, in accordance with policies established by the Director of Airport Systems or authorized representative, to reserve parking space in the permit area known as Lot B on the south side of the Terminal for the parking of company vehicles and the vehicles of its employees, licensees or invitees, subject to all ordinances and regulations of the City of Fort Worth and all other applicable laws. 10. USE OF PREMISES. Lessee agrees to use the Premises exclusively for aviation or aviation-related commercial activities. It is specifically agreed and stipulated that the following concessions are prohibited under this Lease, unless specifically approved by the Director of Airport Systems or authorized representative: (i) ground transportation for hire; (ii) motor vehicle rental, including taxi and limousine service; (iii) food sales; (iv)barber and valet services; and(v) alcoholic beverage sales. Lessee's use of the Licensed Premises is strictly non-exclusive and is authorized under this Agreement solely for the purposes of Lessee's provision of Public Airport Services or FBO services in accordance with this Lease. In the event that such use conflicts with any rule or regulation that is currently in effect or that may hereafter be enacted of the Federal Aviation Administration("FAA") or with the Texas Department of Transportation ("TOOT"), then such rule or regulation shall control, and Lessor reserves the right to modify Lessee's use of the Licensed Premises to comply with such rule or regulation. If Lessor is required to modify Lessee's use of the Licensed Premises under this provision, Lessor shall not be liable to Lessee for any loss or damages as a result of such action. Lessee shall riot store any aircraft of equipment or in any way utilize the Licensed Premises in any manner that will restrict the rights of ingress or egress of other Airport tenants (with the understanding that while members of the flying public (including customers of other City of Fort Worth permitted FBO operators at the Airport) may park their aircraft and otherwise utilize the Licensed Premises, no other Airport tenants shall be permitted to provide FBO services within the boundaries of the Licensed Premises). Lessee shall also monitor and provide reasonable security measures deemed necessary by Lessee or Lessor to all points of access from the Terminal to the Licensed Premises. 11. SIGNS. Lessee may, at its own expense and with the prior written approval of the Director of Airport Systems or authorized representative, create, install and maintain signs in the Terminal Page 7 of 25 Sandpiper Aviation Office Building Lease/Ramp Space License Agreement Fort Worth Meacham Airport indicating Lessee's business. Such signs, however, must be in keeping with the size, color, location and manner of display of other signs throughout the Terminal. In addition, Lessee may, at its own expense, make, install and maintain signs outside the Terminal on Lessor's property subject to prior written approval by the Director of Airport Systems or authorized representative as to the sign's placement, appearance, construction, and conformity with applicable City Code restrictions. Lessee shall maintain all signs in a safe, neat, sightly and physically good condition. Lessee agrees to pay Lessor for any damage, injury or necessary repairs to the Premises resulting from the installation, maintenance or removal of any such sign. Lessee also agrees to remove any sign at its own expense immediately upon receipt of instructions for such removal from the Director of Airport Systems or authorized representative,if such sign does not comply with this Section. Throughout the Term, Lessor shall maintain all signs in the Terminal owned by Lessor in a safe, neat, sightly and physically good condition. 12. RIGHTS AND RESERVATIONS OF LESSOR. Lessor hereby retains the following rights and reservations: 12.1. All fixtures and items permanently attached to any structure on the Premises belong to Lessor, and any additions or alterations made thereon, shall immediately become the property of Lessor. 12.2. Lessor reserves the right to take any action it considers necessary to protect the aerial approaches of the Airport against obstruction, including, but not limited to, the right to prevent Lessee from erecting or permitting to be erected any building or other structure which, in the opinion of Lessor, would limit the usefulness of the Airport, constitute a hazard to aircraft or diminish the capability of existing or future avigational or navigational aids used at the Airport. 12.3. Lessor reserves the right to close temporarily the Airport or any of its facilities for maintenance, improvements, safety or security of either the Airport or the public, or for any other cause deemed necessary by Lessor. In this event, Lessor shall in no way be liable for any damages asserted by Lessee, including, but not limited to, damages from an alleged disruption of Lessee's business operations. 12.4. This Lease shall be subordinate to the provisions of any existing or future agreement between Lessor and the United States Government which relates to the operation or maintenance of the Airport and is required as a condition for the expenditure of federal funds for the development,maintenance or repair of Airport infrastructure. 12.5. During any war or national emergency, Lessor shall have the right to lease any part Page 8 of 25 Sandpiper Aviation Office Building Lease/Ramp Space License Agreement Fort Worth Meacham Airport of the Airport, including its landing area, to the United States Government. In this event, any provisions of this instrument which are inconsistent with the provisions of the lease to the Government shall be suspended. Lessor shall not be liable for any loss or damages alleged by Lessee as a result of this action. However, nothing in this Lease shall prevent Lessee from pursuing any rights it may have for reimbursement from the United States Government. 12.6. Lessor covenants and agrees that during the term of this Lease it will operate and maintain the Airport and its facilities as a public airport consistent with and pursuant to the Sponsor's Assurances given by Lessor to the United States Government through the Federal Airport Act; and Lessee agrees that this Lease and Lessee's rights and privileges hereunder shall be subordinate to the Sponsor's Assurances. 13. INSURANCE. 13.1. Types of Coverage and Limits. Lessee shall procure and maintain at all times, in full force and effect, a policy or policies of insurance as specified herein, naming the City of Fort Worth as an additional insured and covering all public risks related to the leasing, use, occupancy, maintenance, existence or location of the Premises. Lessee shall obtain the following insurance coverage at the limits specified herein: • Commercial General Liability: $3,000,000.00 per occurrence (including Products and Completed Operations); • Automobile Liability: $1,000,000 per accident, including, but not limited to, coverage on any automobile used in Lessee's operations on the Premises; • Environmental Impairment Liability: $1,000,000 per occurrence. In addition, Lessee shall be responsible for all insurance to any approved construction, improvements, modifications or renovations on or to the Premises and for personal property of Lessee or in Lessee's care, custody or control. 13.2. Adjustments to Required Coverage and Limits. Page 9 of 25 Sandpiper Aviation Office Buildnig Lease/Ramp Space License Agreement Fort Worth Meacham Airport Ins't ce requirements, including additional types and limits of coverage and increased lison existing coverages, are subject to change at Lessor's option, and Lessee will accordly comply with such new requirements within thirty (30) days following notice to Lessee. 13.3. Certificates. As a condition precedent to the effectiveness of this Lease, Lessee shall Runish Lessor with a certificate of insurance signed by the underwriter as proof that it has obtained the types and amounts of insurance coverage required herein. Lessee hereby covenants and agrees that not less than thirty (30) days prior to the expiration of any insurance policy required hereunder, it shall provide Lessor with a new or renewal certificate of insurance. In addition, Lessee shall, on demand,provide Lessor with evidence that it has maintained such coverage in full force and effect. 13.4. Additional Requirements. Lessee shall maintain its insurance with underwriters authorized to do business in the State of Texas and which are satisfactory to Lessor. The policy or policies of insurance shall be endorsed to cover all of Lessee's operations at the airport and to provide that no material changes in coverage, including, but not limited to, cancellation, termination, non- renewal or amendment, shall be made without thirty (30) days' prior written notice to Lessor. 14. INDEPENDENT CONTRACTOR It is expressly understood and agreed that Lessee shall operate as an independent contractor as to all rights and privileges granted herein, and not as an agent, representative or employee of Lessor. Lessee shall have the exclusive right to control the details of its operations and activities on the Premises and shall be solely responsible for the acts and omissions of its officers, agents, servants, employees, contractors, subcontractors, patrons, licensees and invitees. Lessee acknowledges that the doctrine of respondent superior shall not apply as between Lessor and Lessee, its officers, agents, employees, contractors and subcontractors. Lessee further agrees that nothing herein shall be construed as the creation of a partnership or joint enterprise between Lessor and Lessee. 15. INDEMNIFICATION. LESSEE SHALL BE LIABLE AND RESPONSIBLE FOR ANY LOSSES, DAMAGES OR INJURIES OF.AJNT KIND, INCL UDING DEATH, TO ANY AND ALL PERSONS, OF Page 10 of 25 Sandpiper Aviation Office Building Lease/Ramp Space License Agreement Fort Worth Meacham Airport ANY KIND OR C.FIARACTER, WHETHER REAL OR ASSERTED, ARISING OUT OF OR IN CONNECTION WITH THE PROVISION OF PUBLIC AIRPORT SERVICES, ANY OTHER USE OF', THE AIRPORT UNDER THIS LEASE OR WITH THE LEASING, MAINTENANCE, USE, OCCUPANCY, EXISTENCE OR LOCATION OF THE PREMISES, TO THE EXTENT THAT SUCH LOSSES, DAMAGES OR INJURIES ARE CAUSED BY THE NEGLIGENT ACTS OR OMISSIONS OR INTENTIONAL MISCONDUCT OF LESSEE,ITS OFFICERS,AGENTS,SERVANTS,EMPLOYEES, CONTRACTORS(OTHER THANLESSOR),SUBCONTRACTORS,INVITEES OR PATRONS. LESSEE COVENANTS AND AGREES TO, AND DOES HEREBY, INDEMNIFY, HOLD HARMLESS AND DEFEND LESSOR, ITS OFFICERS,AGENTS, SERVANTS AND EMPLOYEES, FROMAND AGAINST ANYAND ALL CLAIMS OR LAWSUITS FOR ANY SUCH DAMAGES„ INJURIES OR LOSSES (INCLUDING ALLEGED DAMAGE OR LOSS TO LESSEE'S BUSINESS AND ANY RESULTING LOST PROFITS)AND/OR PERSONAL INJURY, INCLUDING DEATH, TO ANY AND ALL PERSONS, OF ANY KIND OR CHARACTER, WHETHER REAL OR ASSERTED, ARISING OUT OF OR IN CONNECTION WITH THE PROVISION OF PUBLIC AIRPORT SERVICES,ANY OTHER USE OF THE AIRPORT UNDER THIS LEASE OR WITH THE LEASING, MAINTENANCE, USE, OCCUPANCY, EXISTENCE OR LOCATION OF THE PREMSES, TO THE EXTENT CAUSED BY THE NEGLIGENT ACTS OR OMISSIONS OR INTENTIONAL MISCONDUCT OF LESSEE, ITS OFFICERS, AGENTS, SERVANTS, EMPLOYEES, CONTRACTORS (OTHER THAN LESSOR), SUBCONTRACTORS, EMTEES OR PATRONS. LESSEE ASSUMES ALL RESPONSIBILITYAND AGREES TO PAY LESSOR FOR ANY AND ALL INJURY OR DAMAGE TO LESSOR'S PROPERTY WHICH ARISES OUT OF OR IN CONNECTION WITH ANY AND ALL ACTS OR OMISSIONS OF LESSEE, ITS OFFICERS, AGENTS, EMPLOYEES, CONTRACTORS (OTHER THAN LESSOR), SUBCONTRACTORS, LICENSEES, INVITEES OR PATRONS,EXCEPT TO THE EXTENT CAUSED BY THE NEGLIGENT ACTS OR OMISSIONS OR INTENTIONAL MISCONDUCT OF LESSOR. LESSOR DOES NOT GUARANTEE POLICE PROTECTION TO LESSEE OR ITS PROPERTY. EXCEPT TO THE EXTENT CAUSED BY THE NEGLIGENT ACTS OR OMISSIONS OR INTENTIONAL MISCONDUCT OF LESSOR, LESSOR SHALL NOT BE RESPONSIBLE FOR INJURY TO ANY PERSON ON THE PREMISES OR FOR HARM TO ANYPROPERTY WHICH BELONGS TO LESSEE,ITS OFFICERS,AGENTS, SERVANTS, EMPLOYEES, CONTRACTORS, SUBCONTRACTORS, LICENSEES, INVITEES OR PATRONS,AND WHICH MAY BE STOLEN, DESTROYED OR IN ANY WAY DAMAGED; AND LESSEE HEREBY INDEMNIFIES AND HOLDS HARMLESS LESSOR, ITS OFFICERS, AGENTS, SERVANTS AND EMPLOYEES FROM AND AGAINST ANY AND ALL SUCH CLAIMS,. Page 11 of 25 Sandpiper Aviation Office Building Lease/Ramp Space License Agreement Fort Worth Meacham Airport 16. WAIVER OF CHARITABLE IMMUNITY OR EXEMPTION. If applicable, and Lessee, as a charitable association, corporation, partnership, individual enterprise or entity, claims immunity to or an exemption from liability for any kind of property damage or personal damage, injury or death, Lessee hereby expressly waives its rights to plead defensively any such immunity or exemption as against Lessor. 17. TERMINATION. In addition to any termination rights provided herein, this Lease may be terminated as follows: 17.1. Failure to Pay Rent. If Lessee fails to pay rent for the Premises in accordance with Section 3,Lessor shall provide Lessee with a written statement of the amount due. Lessee shall have ten (10) calendar days following notice to pay the balance outstanding. If Lessee fails to pay the full amount within such time,Lessor shall have the right to terminate this Lease immediately. 17.2. Breach or Default by Lessee. If Lessee commits any breach or default under this Lease, other than a failure to pay rent, Lessor shall deliver to Lessee a written notice specifying the nature of such breach or default. Lessee shall have thirty (30) calendar days following notice to cure, adjust or correct the problem to the satisfaction of Lessor. If Lessee fails to cure the breach, default or failure within the time period prescribed, Lessor shall have the right to terminate this Lease immediately. 17.3. Rights of Lessor Upon Termination or Expiration. Upon termination or expiration of this Lease, or any option periods, title to all improvements on the Premises and all fixtures and other items attached to any structure on the Premises shall pass to Lessor. In addition, all rights,powers and privileges granted to Lessee hereunder shall cease and Lessee shall vacate the Premises. Within thirty (30) days following the effective date of termination or expiration, Lessee shall remove from the Premises all trade fixtures, tools, machinery, equipment,materials and supplies placed on the Premises by Lessee pursuant to this Lease. After such time, Lessor shall have the right to take full possession of the Premises, by force if necessary, and to remove any and all parties and property remaining on any part of the Premises. Lessee agrees that it will assert no claim of any kind against Lessor, its agents, servants, employees or representatives, which may stem from Lessor's termination of this Lease or any act Page 12 of 25 Sandpiper Aviation Office Building Lease/Ramp Space License Agreement Fort Worth Meacham Airport incident to Lessor's assertion of its right to terminate or Lessor's exercise of any rights granted hereunder. 17.4. Destruction of Terminal Building. In the event Lessor elects to demolish the existing Terminal Building and establish a new Terminal Building on the Airport during the term of this Lease, Lessor agrees to relocate Lessee to a first floor location in the new Terminal Building with(i) square footage in an amount equal to the amount of square footage subject to this Lease at no additional cost to the Lessee and (ii) ramp visibility,ramp area of approximately 172,000 sq. ft., and a number of parking spaces comparable to that provided under this Lease. 18. NOTICES. Notices required pursuant to the provisions of this Lease shall be conclusively determined to have been delivered when (1) hand-delivered to the other party, its agents, employees, servants or representatives,or(2)deposited in the United States Mail,postage prepaid, addressed as follows: To LESSOR: For Rent: For All Other Matters: CITY OF FORT WORTH DEPT OF AVIATION AVIATION DEPARTMENT MEACHAM INTL AIRPORT 4201 N MAIN ST STE 200 4201 N MAIN ST STE 200 FORT WORTH TX 76106-2736 FORT WORTH TX 76106-2736 To LESSEE: DON E.HANSEN MEACHAM INTL AIRPORT 4201 N MAIN ST. SUITE 119 FORT WORTH TX 76106-2747 Page 13 of 25 Sandpiper Aviation Office Building Lease/Ramp Space License Agreement Fort Worth Meacham Airport 19. ASSIGNMENT AND SUBLETTING. Lessee shall not assign, sell, convey, sublet or transfer any of its rights, privileges, duties or interests granted by this Lease without the advance written consent of Lessor. Any such transaction attempted by Lessee without prior written consent by Lessor shall be null and void. If Lessor consents to any such transaction, the respective assignee or sublessee shall consent to comply in writing with all terms and conditions set forth in this Lease the same as if that party had originally executed this Lease. 20. LIENS BY LESSEE. Lessee acknowledges that it has no authority to engage in any act or to make any contract which may create or be the foundation for any lien upon the property or interest in the property of Lessor. If any such purported lien is created or filed, Lessee, at its sole cost and expense, shall liquidate and discharge the same within thirty (30) days of such creation or filing. Lessee's failure to discharge any such purported lien shall constitute a breach of this Lease and Lessor may terminate this Lease immediately. However, Lessee's financial obligation to Lessor to liquidate and discharge such lien shall continue in effect following termination of this Lease and until such a time as the lien is discharged. 21. TAXES AND ASSESSMENTS. Lessee agrees to pay any and all federal, state or local taxes or assessments which may lawfully be levied against Lessee due to Lessee's use or occupancy of the Premises or any improvements or property placed on the Premises by Lessee as a result of its occupancy. 22. C0MPLL41*i1%E WITH LAWS, ORDINANCES,RULES AND REGULATIONS. Lessee covenants and agrees that it shall not engage in any unlawful use of the Premises. Lessee further agrees that it shall not permit its officers, agents, servants, employees, contractors, subcontractors, patrons, licensees or invitees to engage in any unlawful use of the Premises and Lessee immediately shall remove from the Premises any person engaging in such unlawful activities. Unlawful use of the Premises by Lessee itself shall constitute an immediate breach of this Lease. Lessee agrees to comply with all federal, state and local laws; all ordinances, rules and regulations of the City of Fort Worth and the City of Fort Worth Police, Fire and Health Departments; all rules and regulations established by the Federal Aviation Administration and the Director of Airport Systems; and all rules and regulations adopted by the City Council pertaining to the conduct required at airports owned and operated by the City, as such laws, ordinances, rules and Page 14 of 25 Sandpiper Aviation Office Building Lease/Ramp Space License Agreement Fort Worth Meacham Airport regulations exist or may hereafter be amended or adopted (collectively "Laws"). Lessee hereby assumes full respons bility for the violation of any Law by Lessee, its officers, agents, employees, contractors, subcontr ctors, licensees or invitees and shall pay or fully indemnify the City for any fines or other lawful penalties assessed for any such violation. If Lessor notifies Lessee or any of its officers, agents, employees, contractors, subcontractors, licensees or invitees of any violation of such laws, ordinances, rules or regulations, Lessee shall immediately desist from and correct the violation. 23. NON-DISCRIMINATION COVENANT. Lessee, for itself, its personal representatives, successors in interest and assigns, as part of the consideration herein, agrees as a covenant running with the land that no person shall be excluded from participation in or denied the benefits of Lessee's use of the Premises on the basis of race, color, national origin, religion, handicap, sex, sexual orientation or familial status. Lessee further agrees for itself, its personal representatives, successors in interest and assigns that no person shall be excluded from the provision of any services on or in the construction of any improvements or alterations to the Premises on grounds of race, color, national origin, religion, handicap, sex, sexual.orientation or familial status. Lessee agrees to furnish its accommodations and to price its goods and services on a fair and equal basis to all persons. In addition, Lessee covenants and agrees that it will at all times comply with any requirements imposed by or pursuant to Title 49 of the Code of Federal Regulations, Part 21, Non-Discrimination in Federally Assisted Programs of the Department of Transportation and with any amendments to this regulation which may hereafter be enacted. If any claim arises from an alleged violation of this non-discrimination covenant by Lessee, its personal representatives, successors in interest or assigns, Lessee agrees to indemnify Lessor and hold Lessor harmless. 24. LICENSES AND PERMITS. Lessee shall, at its sole expense, obtain and keep in effect all licenses and permits necessary for the operation of its business at the Airport. 25. GOVERNNENTAL POWERS. It is understood and agreed that by execution of this Lease, the City of Fort Worth does not waive or surrender any of its governmental powers. Page 15 of 25 Sandpiper Aviation Office Building Lease/Ramp Space License Agreement Fort Worth Meacham Airport 26. NO WAIVED. The failure of Lessor to insist upon the performance of any term or provision of this Lease or to exercise any right granted herein shall not constitute a waiver of Lessor's right to insist upon appropriate performance or to assert any such right on any future occasion. 27. VENUE. Should any action, whether real or asserted, at law or in equity, arise out of the terms of this Lease or by Lessee's operations on the Premises, venue for such action shall lie in state courts in Tarrant County, Texas or the United States District Court for the Northern District of Texas, Fort Worth Division. This Lease shall be construed in accordance with the laws of the State of Texas. 28. ATTORNEYS' FEES. In any action brought to enforce the obligations under this Lease, each party shall be responsible for its own attorneys'fees. 29. SEVERABILITY. If any provision of this Lease shall be held to be invalid, illegal or unenforceable, the validity, legality and enforceability of the remaining provisions shall not in any way be affected or impaired. 30. FORCE MAJEURE. Lessor and Lessee shall exercise every reasonable effort to meet their respective obligations as set forth in this Lease, but shall not be held liable for any delay in or omission of performance due to force majeure or other causes beyond their reasonable control, including, but not limited to, compliance with any government law, ordinance or regulation, acts of God, acts of omission, fires, strikes, lockouts, national disasters, wars, riots, material or labor restrictions by any governmental authority, transportation problems and/or any other cause beyond the reasonable control of the parties. 31. HEADINGS NOT CONTROLLING. Page 16 of 25 Sandpiper Aviation Office Building Lease/Ramp Space License Agreement Fort Worth Meacham Airport Headings and titles used in this Lease are for reference purposes only and shall not be deemed a part of this Lease. 32. ENTIRETY OF AGREEMENT. This written instrument, including any documents incorporated herein by reference, contains the entire understanding and agreement between Lessor and Lessee, its assigns and successors in interest, as to the matters contained herein. Any prior or contemporaneous oral or written agreement is hereby declared null and void to the extent in conflict with any provisions of this Lease. The terms and conditions of this Lease shall not be amended unless agreed to in writing by both parties and approved by the City Council of Lessor. [Signature Pages Follow] Page 17 of 25 Sandpiper Aviation Office Building Lease/Ramp Space License Agreement Fort Worth Meacham Airport IN WITNESS WHEREOF,the parties hereto have executed this Agreement in multiples as of the later date below: CITY QJFFORT WOR By arc Ott Assistant City Manager Date: �e `s '© -) STATE OF TEXAS § COUNTY OF TARRANT § BEFORE ME,: the undersigned authority, a Notary Public in and for the State of Texas, on this day personally appeared Marc Ott, known to me to be the person whose name is subscribed to the foregoing instrument, and acknowledged to me that the same was the act of the City of Fort Worth and that he executed the same as the act of the City of Fort Worth for the purposes and consideration therein expressed and in the capacity therein stated. GIVEN UNDER MY HAND AND SEAL OF OFFICE this day 200_Z_. HET 0E LANE j:" 1�rOwMISz'�1 P'!.PIRES Notary Public in and for the State of Texas APPROVED AS TO FORM ATTEST: AND LEGALI gip-- a-----'� By: ti 1 U Maleshia B. Farmer Marty Hendri Assistant City Attorney City Secretary Contract Authorization: M&C: _ C���d�Lf-' Date Approved: CD Ia te'?'2 Page 18 of 25 Sandpiper Aviation Office Building Lease/Ramp Space License Agreement Fort Worth Meacham Airport DON E. HANSEN: ATTEST An Individual By: By: Don E. Hansen, Individually Date: /y ` <;/` Z97 STATE OF TEXAS § COUNTY OF -7".4 A § BEFORE ME, the undersigned authority, a Notary Public in and for the State of Texas, on this day personally appeared Don E. Hansen, known to me to be the person whose name is subscribed to the foregoing instrument, and acknowledged to me that the same was his act and that he executed the same as his act for the purposes and consideration therein expressed and in the capacity therein stated. GIVEN UNDER MY HAND AND SEAL OF OFFICE this D day ,200-. No Publi and for the State of Texas IHIIII/� �r��ervUsy JUDY C. NICKISON Notary Public,State of Texas My Commission Expires December 17, 2007 HINn111' Page 19 of 25 Sandpiper Aviation Office Building Lease/Ramp Space License Agreement Fort Worth Meacham Airport EXHIBITS Exhibit"A-1"—Description and Depiction of Leased Premises P P Exhibit"A-2"—Description and Depiction of Licensed Premises Exhibit`B-1"—Public Airport Services Provided by Lessee Exhibit"B-2"—FBO Provisions Applicable to Licensed Premises Exhibit"C"—Designated Airport Improvements Eligible for Rent Credit Page 20 of 25 Sandpiper Aviation Office Building Lease/Ramp Space License Agreement Fort Worth Meacham Airport Exhibit"A-I" • • 4 , 1 Q D7 a •es• ctt , •14ALL ' m 4 ' � o Meacham International Airport First Floor Terminal Building Exhibit "A-2" qL `IL 1 F 4 r _ _ 17�j j. y 4 * 1pI OW 440 AirCrafl Pa'kirig Ne[irMg,Grid Monetr erimy Area - T .3.Q6q acfes(I72,809,64 sal R) +�* y a � 1 Exhibit"A-2" i H log A • �E °ti lilt ' f ; Yt •i .• S� j •I•� I ■ i i�if Exhibit"A-2" FORTWORTH REAL PROPERTY DESCRIPTION FOR PUBLIC RAMP FBO OPERATIONS AREA MEACHAM INTERNATIONAL AIRPORT ALTERNATE NO. 2 Being a 3.969 acre Tract of land out of Block 1 Meacham Airport Addition according to the plat recorded in Cabinet A, Slide 2446,Plat Records,Tarrant County,Texas and being more particularly described as follows: Beginning at a mark"x" cut in concrete, said"x" being in the southerly line of Lease Site I IN-R,from which a 5/8" iron rod with red plastic cap stamped"City of fort Worth Survey Div." found bears North 48 degrees 43 minutes 35 seconds East, 475.52 feet. Thence: South 41 degrees 23 minutes 24 seconds East,with a fence line,223.44 feet to a metal fence post:found; Thence:North 48 degrees 58 minutes 14 seconds East,continuing with said fence line 27.0 feet to a mark"x" cut in concrete; Thence: departing said fence line with the projection of the face of the existing building, South 41 degrees 03 minutes 20 seconds East, 189.68 feet to a point of intersection of said existing building faces; Thence: continuing with said projection of the building face,North 48 degrees 56 minutes 40 seconds East, 140.55 feet to a gear spike with washer set at fence line; Thence: departing said building face and with said fence line, South 41 degrees 03 minutes 20 seconds East,22.23 feet to the face of existing cinder block building; Thence:with the face of said building,South 48 degrees 56 minutes 40 seconds West, 37.22 feet to a gear spike with washer set at face of cinder block wall; Thence: with said wall, South 41 degrees 03 minutes 20 seconds Test,35.34 feet to a mark"x" cut in concrete at face of wall; Thence: continuing along said wall,North 48 degrees 56 minutes 40 seconds East,45.23 feet to a mark`Y'cut in concrete at fence line; ENGINEERING DEPARTMENT SURVEY DNL4ION THE Cry of FoRT WORTH * 1000 TRROCxMORTON STREET * FoRT Wom,Tmis 76102-6311 (817)871-7925 * Fax(817)871.8845 C�Printed o/�`/ eied paper Exhibit"A-2" Thence: with said fence line, South 41 degrees 03 minutes 20 seconds East, 10.20 feet to a mark"x" cut in concrete at access lane and being 27.0 feet northerly of Lease Site 5-N; Thence: with a line 27.0 feet northerly of and parallel with said Lease Site 5-N, South 48 degrees 35 minutes 24 seconds West, 502.25 feet to a mark"x"cut in concrete for the southwest corner of the herein described Tract; Thence:North 41 degrees 07 minutes 12 seconds West, 482.76 feet to a mark"x"cut in concrete on the projection of the southerly line of Lease site 11N-West; Thence:with the southerly line of said Lease Site I IN-West,North 48 degrees 43 minutes 35 seconds East, at 25.41 feet pass the southwest corner of said 11N-West at 324.92 feet pass a mark"L" in concrete at its southeast comer in all 325.41 feet to the place of beginning and containing 3.969 acres of land more or less. SAVE AND EXCEPT THE FOLLOWING DESCRIBED PARCEL TO INCLUDE ALL AREA WITHIN THE AIRCRAFT LOADING AND UNLOADING FACILITIES: Beginning in an east line of the above describe parcel at its intersection of the face of the existing terminal building with the face of the existing loading and unloading facilities structure from which a mark"x" in concrete at fence line bears North 41 degrees 03 minutes 20 seconds West, 53.44 feet; Thence: with a common line of said terminal building and said.loading structure, South 41 degrees 03 minutes 20 seconds East, 19.0 feet; Thence: departing said terminal building and with the face of said loading facilities structures these following courses and distances: South 48 degrees 56 minutes 40 seconds West, 52.29 feet, South 41 degrees 03 minutes 20 seconds East, 1.68 feet, South 48 degrees 56 minutes 40"West, 20.37 feet,North 40 degrees 26 minutes 38 seconds West, 7.29 feet, South 49 degrees 33 minutes 22 seconds West, 37.59 feet, South 40 degrees 26 minutes 38 seconds East, 8.0 feet, South 49 degrees 33 minutes 22 seconds West, 6,0 feet,North 40 degrees 26 minutes 38 seconds West, 20.48 feet,North 49 degrees 33 minutes 22 seconds West, 6.0 feet, South 40 degrees 26 minutes 38 seconds East, 6.0 feet,North 49 degrees 33 minutes 22 seconds East, 14.51 feet,North 40 degrees 26 minutes 38 seconds West, 5.59 feet,North 49 degrees 33 minutes 22 seconds East, 15.0 feet,North 40 degrees 26 minutes 38 seconds West, 0.75 feet,North 49 degrees 33 minutes 22 seconds East, 8.0 feet, North 41 degrees 03 minutes 38 seconds West, 92.24 feet, South 50 degrees 17 minutes,27 seconds West, 37.85 feet, Exhibit"A-2" South 39 degrees 42 minutes 33 seconds East, 8.0 feet, South 50 degrees 17 minutes 27 seconds West, 6.0 feet,North 39 degrees 42 minutes 33 seconds West, 20.58 feet, North 50 degrees 17 minutes 27 seconds East,6.0 feet, South 39 degrees 42 minutes 33 seconds East, 6.0 feet, North 50 degrees 17 minutes 27 seconds East, 14.0 feet,North 39 degrees 42 minutes 33 seconds West, 6.0 feet,North 50 degrees 17 minutes 27 seconds East, 15.51 feet, North 39 degrees 42 minutes 33 seconds West,0.60 feet,North 50 degrees 17 minutes 27 minutes East, 8.0 feet,North 41 degrees 31 minutes 11 seconds West, 81.20 feet, South 49 degrees 25 minutes 02 seconds West,36.40 feet, South 40 degrees 34 minutes 58 seconds East,8.0 feet, South 49 degrees 25 minutes 02 seconds West, 6.65 feet,North 40 degrees 34 minutes 58 seconds West,21.77 feet,North.49 degrees 25 minutes 02 seconds East,6.30 feet, South 40 degrees 34 minutes 58 seconds East, 6.78 feet,North 49 degrees 25 minutes 02 seconds East, 13.45 feet,North 40 degrees 34 minutes 58 seconds West, 6.0 feet,North 49 degrees 25 minutes 02 seconds East, 16.0 feet,North 40 degrees 34 minutes 58 seconds West, 0.59 feet,North 49 degrees 25 minutes 02 seconds East,3.26 feet, ,North 40 degrees 34 minutes 58 seconds West, 8.0 feet, North 49 degrees 25 minutes 02 seconds East, 25.0 feet, South 40 degrees 59 minutes 28 seconds East, 10.78 feet,North 49 degrees 00 minutes 32 seconds East, 7.0 feet, South 40 degrees 59 minutes 28 seconds East, 5.30 feet,South 49 degrees 00 minutes 32 seconds West, 3.0 feet, South 40 degrees 59 minutes 28 seconds East, 11.50 feet, North 49 degrees 00 minutes 32 seconds East,4.0 feet, South 40 degrees 59 minutes 28 seconds East, 134.55 feet,North 49 degrees 00 minutes 32 seconds East, 7.0 feet, South 40 degrees 59 minutes 28 seconds East, 5.35 feet, South 49 degrees 00 minutes 32 seconds West, 3.0 feet, South 40 degrees 59 minutes 28 seconds East, 10.50 feet, South 49 degrees 00 minutes 32 seconds West,4.0 feet, South 40 degrees 59 minutes 28 seconds East, 19.47 feet and North 48 degrees 56 minutes 40 seconds East, 52.28 feet to the point of beginning and containing 0.166 acres of land more or less leaving a net area of 3.803 acres of land more or less. Bearing Base: South line of Lease site 11N-West;Being North 48 degrees 43 minutes 35 seconds East. Surveyed on the ground in January of 2007. E N FIEi1dS K. HAPI§E�t ��, • A90 4765•Q.,.' Qs .;f 1 Exhibit "B-1" Public Airport Services Provided by Lessee As part of the consideration provided to Lessor in return for Lessee's license to use the Licensed Premises, Lessee (or, as referred to herein, FBO) shall provide the following Public Airport Services at no cost to Lessor and to the reasonable satisfaction of Lessor, as well as other related services reasonably requested by Lessor: I. Security and FOD 1. FBO shall provide security on the parking apron as well manage the ingress and egress of the west Terminal door. This door shall be monitored by FBO staff during business hours and shall be operated by electronic key code after hours. 2. FBO shall keep aircraft apron free of all aircraft chalks, gravel, and any other foreign objects debris at all times as required by the Fort Worth Airport Rules and Regulations. 3. FBO shall at all times keep the apron area safe but at the same time not discriminate or exclude the general public using the apron for aviation related activities approved by the Director of Aviation. 4. US Customs shall continue to transfer, load, and unload cargo and or person from the apron area with full assistance from the FBO. The international aircraft, once cleared customs, may then proceed to the FBO of their choice. II. Landscaping and Lawn Maintenance 1. FBO shall maintain all grass, shrub, plant, and trees west of the City's Terminal Facility. Grass areas shall be manicured on an as needed basis as determined by the Director of Aviation. All landscaped areas shall be maintained year round at the sole cost of the FBO. III. Fees to the Public 1. FBO may charge the going rate established in the City of Fort Worth's Rates and Charges for monthly or daily aircraft tie down space. This fee shall be collected and recorded by the FBO. Monthly the FBO shall furnish the City with a spreadsheet of the monthly tie down fees collected and shall pay the City 40% of all Page 21 of 25 Sandpiper Aviation Office Building Lease/Ramp Space License Agreement Fort Worth Meacham Airport fees collected due on the first of every month for the prior months tie down charges. 2.I FBO, in lieu of a parking fee, shall be allowed to charge the public a "facilities fee" for the usage of their leased office space in the City's Terminal. i Page 22 of 25 Sandpiper Aviation Office Building Lease/Ramp Space License Agreement Fort Worth Meacham Airport Exhibit "B-2" FBO Provisions Applicable to Licensed Premises Because of the location and profile of the Licensed Premises and as part of the consideration provided to Lessor in return for Lessee's license to use the Licensed Premises, in addition to any requirements under Licensee's FBO Permit, Licensee (or, as referred to herein, FBO) shall comply with the following: I. Fixed Based Operation Services 1. Aviation fuels and lubricants (Jet Fuel, Avgas, and Aircraft lubricants and/or oil): a. FBO shall deliver and dispense, upon request, Jet Fuel, Avgas, and Aircraft lubricants. 2. Passenger, Crew, and Aircraft Ground Services, Support, and Amenities. FBO shall: a. meet, direct, and park all aircraft arriving on City's terminal apron b. provide lavatory services c. provide Aircraft ground power units d. provide Aircraft air conditioning units e. make available crew and passenger ground transportation arrangements such as limousine, shuttle, and rental car II. Fueling Equipment 1. FBO shall have two (2) Jet Fuel Refueling Vehicles each having a capacity of at least 2,500 gallons. 2. FBO shall have two (2) Avgas Refueling Vehicles each having a capacity of at least 750 gallons. 3. Aircraft Refueling Vehicles shall be equipped with metering devices that meet all applicable Regulatory Measures. One (1) Refueling Vehicle dispensing Jet Fuel shall have over-the-wing and single point Aircraft servicing capability. 4. Each Refueling Vehicle shall be equipped and maintained to comply with all applicable safety and fire prevention requirements, Page 23 of 25 Sandpiper Aviation Office Building Lease/Ramp Space License Agreement Fort Worth Meacham Airport standards, and regulatory measure including without limitation, those prescribed by: a. Fort Worth Fire Department Fire Code; b. National Fire Protection Association (NFPA) Codes; c. Texas Department of Environmental Quality; d. Applicable Federal Aviation Administration (FAA) Advisory Circulars (AC) including AC 00-34 "Aircraft Ground Handling and Servicing" and AC 150/5210-5 "Painting, Marking and Lighting of Vehicles Used On An Airport"; III. Equipment 1. FBO shall have the following Equipment: a. One (1) compressed air unit b. Two (2) Aircraft tugs (and tow bars) with at least one having a rated draw bar capacity sufficient to meet the towing requirement of the heaviest General Aviation Aircraft frequenting FTW c. One (1) ground power units capable of providing electricity to direct current (DC) powered Aircraft d. One (1) lavatory service cart .e Spill kits including the necessary equipment and materials to contain a fuel spill and keep it from flowing into drains, grass or other areas f. Adequate number of approved and regularly inspected dry chemical fire extinguishers and on all grounding handling and refueling vehicles Page 24 of 25 Sandpiper Aviation Office Building Lease/Ramp Space License Agreement Fort Worth Meacham Airport IV. Hours of Activity 1. Aircraft fueling and passenger, crew, and aircraft ground handling services, support, and amenities shall be offered from 7:00 A.M. until 6:00 P.M., seven (7) days a week (including holidays). 2. FBO shall provide twenty-four (24) hour on call service. V. Personnel 1. Personnel, while on duty, shall be clean, neat in appearance, courteous, and at all times, properly uniformed with the exception of management and administrative personnel. Uniforms shall identify the name of the FBO and the employee and shall be clean, neat, professional, and properly maintained at all times. 2. FBO shall have properly trained and qualified employees, on each shift, providing aircraft fueling, parking, ground services and support sufficient to meet the demands of the public. One (1) supervisory employee shall have been trained in an FAA approved fire safety program (14 CFR Part 139.321). 3. FBO shall have properly trained and qualified employees, on each shift to provide customer service and support sufficient to meet the demands of the public. VI. Licenses and Certification 1. FBO shall have and provide to the Aviation Director evidence of all federal, state, and local licenses, certificates, and permits that are required to conduct the activity. 2. All FBO Employees shall be properly certificated by the FAA (when applicable), current, and hold the appropriate ratings and medical certification for the work being performed. Page 25 of 25 Sandpiper Aviation Office Building Lease/Ramp Space License Agreement Fort Worth Meacham Airport Emhibit"C" The Department of Aviation has reviewed Sandpiper Aviation's invoice submissions for work completed on the Terminal Building. M&C C-21844 approved on November 14, 2006, authorited rent credits in exchange for improvements to the Meacham International Terminal Building in preparation for Sandpiper Aviation to relocate its Fixed Base Operations to Suite 119, At this time, Sandpiper Aviation is eligible to receive rent credits for$100,206.20 (100% of eligible costs). This amount will be realized over the term of the lese,never to exceed 50% of the monthly rent. Any additional work eligible for rent credits must be approved by the Director of Airport Systems prior to receiving credit. City of Fort Worth, Texas Mayor and Council Communication COUNCIL ACTION: Approved on 10/2/2007 DATE: Tuesday, October 02, 2007 LOG NAME: 55SAND LICENSE REFERENCE NO.: **C-22425 SUBJECT: Authorize Execution of a Terminal Building Office Lease and Ramp Space License Agreement with Don E. Hansen at Fort Worth Meacham International Airport RECOMMENDATION: It is recommended that the City Council authorize the City Manager to authorize execution of a Terminal Building Office Lease and Ramp Space License Agreement with Don E. Hansen at Fort Worth Meacham International Airport. DISCUSSION: Mr. Don E. Hansen proposes to relocate his Fixed Base Operations to the Meacham Terminal Building due to the reconfiguration of the facility from a hotel to a hangar and subsequent sale of Sandpiper Airport Inn, Inc. The lease will consist of 2100 square feet of first floor office space located within the terminal building known as Suite 119, formerly referred to as restaurant space. The rate for the space will be calculated at a rate of$14.56 per square foot. This is in accordance with the Aviation Department's Schedule of Rates and Charges. In order to meet the safety requirements for fueling and maneuvering aircraft, Mr. Hansen will also be granted a non-exclusive license to use approximately 172,889.64 square feet of ramp space adjacent to the terminal. Along with completing improvements on Suite 119 to accommodate a Fixed Base Operator, Mr. Hansen has proposed to make significant improvements to the terminal building in exchange for 100 percent rent credits for the capital improvements made to the leased premises and the licensed premises, not to exceed 50 percent of the monthly rent. Mr. Hansen will provide original, detailed invoices and or receipts for work completed. Total revenue received from this lease will be $30,576 per year, or $2,548 per month. Rental rates shall be subject to an increase on October 1st of any given year to reflect the upward percentage change, if any, in the Consumer Price Index for the period since the last adjustment. The term of the lease will commence on October 1, 2007, and expire September 30, 2017, unless either party notifies the other of its intent to cancel the lease in accordance with its terms and conditions. All other terms and conditions will follow standard City and Aviation Department policies. Fort Worth Meacham International Airport is located in COUNCIL DISTRICT 2. The Aviation Advisory Board unanimously approved this communication on September 15, 2007. FISCAL INFORMATION/CERTIFICATION: The Finance Director certifies that the Revenue Office of the Finance Department will be responsible for the collection and deposit of funds due to the City under this agreement. Logname: 55SAND LICENSE Page 1 of 2 TO Fund/Account/Centers FROM Fund/Account/Centers PE40 491282 0551101 $30,576.00 Submitted for Cif Mana is Office by: Marc A. Ott (8476) Originating Department Ff ad: Tom Higgins (Acting) (5403) Additional Information Co tact: Angie Highland (5402) Logname: 55SAND LICENSE Page 2 of 2