HomeMy WebLinkAboutContract 24834 CITY SECRETARY qSc�q
CONTRACT NO.
AMENDMENT NO, 1 TO CITY SECRETARY CONTRACT NO, 24041
UNIMPROVED GROUND LEASE AGREEMENT
This AMENDMENT NO. 1 TO CITY SECRETARY CONTRACT NO. 24041
("Amendment") is made and entered into by and between the CITY OF FORT WORTH
("Lessor" or "City"), a home rule municipal corporation situated in portions of Tarrant and
Denton Counties, Texas, and KIMBELL, INC. ("Lessee" or "Developer"), a Nevada
corporation acting by and through Joe K. Pace, its duly authorized President, and Developer's
lawful successors and/or assigns.
Recitals
The following preliminary statements are true and correct and form the basis of this
Amendment.
A. Lessor and Lessee previously entered into an Unimproved Ground Lease Agreement
("Lease") for the lease and demise of certain real property ("Premises") at Fort Worth Spinks
Airport ("Airport"), owned in fee simple by Lessor and situated in portions of Tarrant and
Johnson Counties, Texas. The Lease is a public document on file in Lessor's City Secretary's
Office as City Secretary Contract No. 24041.
B. In accordance with the Lease, Lessee has had the Premises surveyed. Lessor has approved
the survey, and Lessor and Lessee wish to attach the survey to this Amendment and to
incorporate it into the Lease by adding it to Exhibit "A" of the Lease.
C. In accordance with the Lease and a Community Facilities Agreement ("CFA") entered
into by slid between Lessor and Lessee, Lessee has advertised, bid and awarded, or is preparing
to award, a contract for the Main Work, as defined by the CFA, to the Premises. The CFA is a
public document on file in Lessor's City Secretary's Office as City Secretary Contract No. 24261.
The Lease and the CFA divide costs for the Main Work between Lessor and Lessee as provided
in Exhibit "B" of the Lease. Because the lowest responsive bid for the Main Work was higher
than the costs anticipated by the Lease, Lessor and Lessee wish to amend Exhibit "B" to reflect
the more accurate costs of the Main Work.
D. Lessor and Lessee wish to clarify their respective obligations with regard to the use of
utilities on the Premises and as required for operation of an airplane wash facility, which
comprises a part of Lessee's Mandatory Improvements under the Lease and the CFA.
Agreement
Therefore, in consideration of the mutual recitals, covenants, promises and obligations
contained in the Lease, the CFA and this Amendment, Lessor and Lessee agree as follows:
Page 1
Amendment No. I to City Secretary Contract No.24041 i �� U;��V �
between City of Fort Worth and Kimbell,Inc.
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1. The Boundary Survey Map and Legal Descriptions, attached hereto, is hereby substituted
for, replaces and shall constitute Exhibit "A" of the Lease.
2. The Aircraft Hangar Proposal, attached hereto, is hereby substituted for, replaces and
shall constitute Exhibit "B" of the Lease.
3. Section 7 of the Lease (Utilities) is hereby amended by adding the following language as
the second and third paragraphs of such Section 7:
As part of the Mandatory Improvements, Lessee shall install a water meter
on the airplane wash facility site that will measure water usage from both the
airplane wash facility and the Premises. Lessee shall install a deduct meter or
meters on the Premises that will measure water usage from the Premises only.
Lessee shall not tamper with or in any way alter the deduct meter or meters, and
Lessee shall allow Lessor access to the deduct meter or meters during Lessor's
normal business hours. Lessor shall pay all costs associated with the installation of
the water meter on the airplane wash facility site, which costs are included as part of
Lessor's total costs hereunder as set forth in Exhibit "B". Lessee shall pay all costs
associated with the installation of the deduct meter or meters. Lessor shall be billed
by the supplier for all water usage from the airplane wash facility and from the
Premises. Within ten (10) business days following receipt of an invoice from
Lessor, Lessee shall reimburse Lessor for water usage on the Premises, as measured
by the deduct meter or meters.
As part of the Mandatory Improvements, Lessee shall install an electricity
meter on the Premises that will measure electricity usage from both the Premises
and the airplane wash facility. Lessee shall install a deduct meter on the airplane
wash facility site that will measure electricity usage from the airplane wash facility
only. Lessor shall not tamper with or in any way alter the deduct meter, and Lessor
shall allow Lessee access to the deduct meter during Lessee's normal business
hours. Lessee shall pay all costs associated with the installation of the electricity
meter on the Premises. Lessor shall pay all costs associated with the installation of
the deduct meter on the airplane wash facility site, which costs are included as part
of Lessor's total costs hereunder as set forth in Exhibit "B". Lessee shall be billed
by the supplier for all electricity usage from the Premises and the airplane wash
facility. Within ten (10) business days following receipt of an invoice from Lessee,
Lessor shall reimburse Lessee for electicity usage from the airplane wash facility, as
measured by the deduct meter.
4. Any capitalized terms used in but not defined by this Amendment shall have the same
meanings provided by the Lease and/or the CFA.
5. All provisions and conditions of the Lease that are not expressly amended herein shall
remain in full force and effect.
Page 2
Amendment No. 1 to City Secretary Contract No.24041
between City of Fort Worth and Kimbell,Inc.
EXECUTED in multiples this,'o_Ay of�, 1999.
CITY OF FORT WORTH: KIMBELL, INC.,
a Nevada wipoiation:
By: By:
Ramon Guajardo oe . Pace
Assistant City Manager President
ATTES ATTEST:
By: By: -
Gloria Pearson Harold Wyatt
City Secretary Assistant Secretary
APPROVED AS TO FORM AND LEGALITY:
Peter Vaky
Assistant City Attorney
M&C No. C-17273 2-9-99
Page 3
Amendment No. 1 to City Secretary Contract No.24041
between City of Fort Worth and Kimbell,Inc.
STATE OF TEXAS §
COUNTY OF TARRANT §
BEFORE ME, the undersigned authority, a Notary Public in and for the State of New
Mexico, on this day personally appeared Joe K. Pace, 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
KIMBELL, INC., and that he executed the same as the act of KIMBELL, INC. as its President
for the purposes and consideration therein expressed and in the capacity therein stated.
GIVEN UNDER MY HAND AND SEAL OF OFFICE thisaa�ay of � c ,
1999.
Notary.Pu is in and for the 9tate of Texas
y r°!�, CAROLYN GREENEY
Notary Public
STATE OF TEXAS § *, 5 STATE OF TEXAS
elf Y; My Comm.Exp.0913012000
COUNTY OF TARRANT §
BEFORE ME, the undersigned authority, a Notary Public in and for the State of Texas, on
this day personally appeared Ramon Guajardo, 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 as its Assistant City Manager for the purposes and consideration therein expressed and in
the capacity therein stated.
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GIVEN UNDER MY HAND AND SEAL OF OFFICE this 6x—`� day of ,
1999.
E
y'" SARAN JANE Q� �. NOTARY PUBLIC 8We of TexaaM -4,�tt� Con". Exp,01.29.2002J-C-
o ary Public in and r the State of Texas
Amendment No. 1 to City Secretary Contract No.24041
between City of Fort Worth and Kimbell,Inc.
Aircraft Hangar Proposal(Exhibit B)
Spinks Airport-City of Fort Worth,Kimbell, Inc. Revised 1-13-99
100% 72.19% 27.81%
217,167.31 83,674.5 SF
Ft. Worth Kimbell
I. Pre-Construction ($71,800.) ($ 51,833.) $19,967.
122,431.00 88,382.94 34,048.06
II. Construction
A. Staking $17,000. $12,272. $4,728.
B. Dirt Work ($85,000.) ($61.362.) ($23,638.)
118,952. 53,150.90 65,801.10
C.Taxiways and Parking ($546,335.) ($546,335.) (-)
5871,778. 586,440.88 1,3 37.12
D. Concrete Hangar Piers ($100,000.) - ($100,000.)
N/A N/A
E. Concrete Hangar Slabs ($230,000.) - ($230,000.)
466,274. 466,274.
F. 7 Metal Hangar Buildings ($770,000.) - ($770,000.)
627,922. 627,922.
G. Power/Telephone ($63,000.) ($ 6,300.) ($56,700.)
102,277 5,739.83 96,537.17
H. Airplane Wash Facility ($40,000.) ($40,000.) (-)
(Utiilities,Pad, Slab,Building) 97,639. 46,602.91 51,036.09
I. Utility Extensions ($15,000.) ($10,829.) ($4,171.)
(Fire Protection) 33,144. 17,429.54 15,714.46
J. Security Gates ($10,000.) ($10,000.) 725.0
21,650. 20,925.
K. Concrete Testing $10,500. $ 7,580. $ 2,920.
L. Landscaping $ 7,000. $ 7,000. -
(Turf Areas,No Irrigation)
($1,893,835.) ($701,678.) ($1,192,157.)
2,0901,136.00 757,141.06 1,332,994.94
III. Total ($1,965,635.) ($753,511.) ($1,212,124.)
2,212,567.00 845,524.00 1,367,043.00
IV. Original Appropriation 753,511.
V. Difference 92,013.00
City of Fort Worth, Texas
"CA.40ir And council commu"icatio"
DATE REFERENCE NUMBER LOG NAME I PAGE
2/9/99 C-17273 55HANGERS 1 of 2
SUBJECT AMENDMENT TO CITY SECRETARY CONTRACT NO. 24041, UNIMPROVED GROUND
LEASE AGREEMENT WITH KIMBELL, INC. INCREASING THE CITY'S FINANCIAL
PARTICIPATION IN THE CONSTRUCTION OF T-HANGARS AT FORT WORTH SPINKS
AIRPORT AND ADOPTION OF RELATED SUPPLEMENTAL APPROPRIATION
ORDINANCE
RECOMMENDATION:
It is recommended that the City Council:
1. Adopt the attached supplemental appropriation ordinance increasing estimated receipts and
appropriations by$92,013; and
2. Authorize the City Manager to execute an amendment to City Secretary Contract No. 24041, Fort
Worth Spinks Airport Unimproved Ground Lease Agreement with Kimbell, Inc. for the construction of
T-Hangars, reflecting the City's increased level of financial participation in the development by
$92,013 and construction of the T-Hangars for a total cost not to exceed $845,524.
DISCUSSION:
Under City Secretary Contract No. 24041 ("Lease"), and pursuant to the City Council's approval of M&C
L-12192, Kimbell, Inc. leases 300,000 square feet of unimproved land ("Leased Premises") at the Airport.
The Lease requires Kimbell, Inc. to develop and construct seven T-Hangars on the Leased Premises,
and calls for both the City and Kimbell, Inc. to pay a set percentage of the costs associated with that
construction. The initial estimate of the City's development cost was estimated to be $753,511 and the
City Council authorized this expenditure and appropriated sufficient funds pursuant to M&C L-12192.
Under the Lease, Kimbell, Inc. was responsible for issuing the request for bid for the entire project.
Ten bids were received and one was non-responsive. Several items in the bid tabulations came in over
the amount in the original estimate, and two items came in at a lower amount than was estimated. In
total, Kimbell, Inc.'s share of the development cost is now estimated to be $1,367,043, which is $154,919
more than originally estimated, and the City's share of the development cost is estimated to be $845,524,
which is $92,013 higher than the original amount estimated. Therefore, the Lease needs to be amended
to reflect these costs and the new level of participation by both Kimbell, Inc. and the City. In order for the
City to fulfill its financial obligations under the amended Lease, staff requests approval of the attached
supplemental appropriation ordinance.
The additional funding for this project will come from the excess revenues (over expenditures) generated
from the rental properties located at Alliance Airport.
The property is located in COUNCIL DISTRICT 8.
City of Fort Worth, Texas
"agor And Council communication
DATE REFERENCE NUMBER LOG NAME TAGE
2/9/99 C-17273 55HANGERS 2 of 2
SUBJECT AMENDMENT TO CITY SECRETARY CONTRACT NO. 24041, UNIMPROVED GROUND
LEASE AGREEMENT WITH KIMBELL, INC. INCREASING THE CITY'S FINANCIAL
PARTICIPATION IN THE CONSTRUCTION OF T-HANGARS AT FORT WORTH SPINKS
AIRPQRT AND ADOPTION OF RELATED SUPPLEMENTAL APPROPRIATION
ORDINANCE
FISCAL INFORMATIONICERTIFICATION:
The Finance Director certifies that upon approval of the attached supplemental appropriation ordinance,
the funds required for this contract will be available in the Airports Fund.
RG:k
Submitted for City Manager's FUND ACCOUNT CENTER AMOUNT CITY SECRETARY
Office by: (to) '
PE40 491082 0552001 a .
Ramon Guajardo 6140 PE40 541200 0552001 �►.
Originating Department Head: C pir !' t 0
Lisa A.Pyles 5403 (from)
Additional Information Contact:
Lisa A.Pyles 5403
Adopted Ordinance No.45mfl