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WHEN RECO@ED. RETURN TO:
City of Glendale
City Clerk
5850 West Glendale A venue
Glendale, Arizona 85301
Contract No.
AIRPORT LAND LEASE AGREEMENT
----
This Airport Land Lease Agreement ("Lease") is executed to be effective the _
day of ____ .
20_ ("Effective Date"), between the city of Glendale, an Arizona municipal corporation ("the City"), and
Glendale Aero Services, Inc. ("Lessee").
WHEREAS, the City is the owner of the Glendale Municipal Airport located at 6801 North Glen
Harbor Boulevard (the "Airport"); and
WHEREAS, Lessee desires to lease certain property at the Airport on which to construct a
combination aircraft hangar, office building and ramp aircraft parking space(s), such property containing
approximately 48,600 square feet and being more particularly described in Exhibit A attached to this
Lease (the "Property");
WHEREAS, Lessee desires to use the Property as a hangar operation and to conduct Commercial
Aeronautical Activities, in accordance with Airport Rules and Regulations and Minimum Standards, and subject to
the terms and conditions of this Agreement; and
WHEREAS, the City is willing to lease the Property to Lessee on the terms and conditions
specified below.
THEREFORE, in consideration of the following mutual covenants and conditions, the parties
hereby agree as follows:
1.
LEASE; PRIVILEGES; RESTRICTIONS: RESERVATIONS.
A.
The City hereby leases the Property to Lessee and grants to Lessee the following privileges,
uses and rights, subject to and conditioned upon Lessee's full, timely, complete, and faithful
performance of all terms and conditions of this Lease and RFP 20-34:
1.
The general use of all public facilities and improvements which are now or may
hereafter be constructed at the Airport, including the runways, approach areas,
taxiways and navigational aids.
2.
The right of ingress and egress from the Property over and across designated Airport
property and the public roadways serving the Airport, and the public parking areas,
to be utilized by the Lessee, its agents, employees and invitees.
3 .
In addition to said general privileges, uses and rights, the City grants to Lessee the
right to construct a combination aircraft hangar and office building on the Property,
provided Lessee complies with all applicable federal, state, and local building and fire
codes, and to engage into any acceptable aeronautical business use allowed by the
Federal Aviation Administration ("FAA") and pursuant to entering into a Specialized
Aviation Service Operator (SASO) agreement, provided that Lessee complies with all
provisions of the Airport's Rules and Regulations and Minimum Operating Standards
B.
C.
D.
E.
F.
G.
2.
TERM.
A.
B.
applicable to the aeronautical use selected by Lessee.
Lessee hereby accepts the Property and this Agreement. Lessee shall not use the Property for
any purposes other than those specified above. All rights granted to Lessee under this Lease,
are nonexclusive. The City may, at its sole discretion and at any time permit third parties to
conduct any and all business activities which the City deems appropriate, or conduct such
activities itself, provided that such activities do not require the use of the Property.
With written approval from the Airport Manager, Lessee may also engage in non-aeronautical
business or may sublease to parties engaged in non-aeronautical related businesses.
City does not warrant that the Airport will remain open during the entire term of this Agreement.
City specifically reserves to itself and excludes from this Agreement a non-exclusive easement
over the entire Property for the exercise of all of City's rights under this Agreement, including an
underground utility easement, and for any and all purposes that do not in City's reasonable
discretion materially interfere with Lessee's lawful conduct of the under this Agreement. This
does not give the general public a right to enter the Property.
City is not required to provide any parking. Parking is allowed only in marked parking stalls on
the Property.
Lessee acknowledges that Lessee's use of the Property shall be subject and subordinate to City's
operation of the Airport, which will necessarily directly and indirectly affect Lessee and the
Property. Lessee shall not use the Property in a way that in City's reasonable discretion adversely
affects City's use or operation of the Airport.
The Construction Term of this Lease shall be for a maximum period of two years from the
Effective Date, or when the Certificate of Occupancy is issued, whichever comes first. The original
term of this Lease shall be for a period of 20 years commencing on the date a Certificate of
Occupancy is issued or upon the expiration of the Construction Term, whichever comes first, and
expiring on the same date 20 years later, unless sooner terminated pursuant to the provisions
contained in this Agreement.
Depending on the appraised value of the improvements actually constructed on the Property, Lessee
may renew this Lease according to the terms of only one of the following three paragraphs:
1.
Provided that Lessee, and/or its Assigns, plans and constructs an aeronautical
improvement(s) on the Property with a minimum added value of Two Hundred
Thousand Dollars ($200,000) and receives a Certificate of Occupancy for the
improvement(s) within one (1) year of the Effective Date, the City grants to Lessee an
option to renew this Lease for one five (5) year period subject to the same terms and
conditions as are contained in this Lease, provided that Lessee is not in default of any
of its obligations under this Lease at the time of renewal. Lessee may exercise said
option by delivering to the Airport Manager written notice of its intention to do
so at least one hundred and eighty (180) days prior to the expiration of the original
term of this Lease or any renewal thereof.
2.
Provided that Lessee, and/or its Assigns, plans and constructs an aeronautical
improvement(s) on the Property with a minimwn added value of Three Hundred Fifty
Thousand Dollars ($350,000) and receives a Certificate of Occupancy for the
improvement(s) within two (2) years of the Effective Date, the City grants to Lessee
an option to renew this Lease for one ten (10) year period subject to the same terms
and conditions as are contained in this Lease, provided that Lessee is not in default of
3.
RENT.
any of its obligations under this Lease at the time of renewal. Lessee may exercise
said option by delivering to the Airport Manager written notice of its intention
to do so at least one hundred and eighty (180) days prior to the expiration of the
original term of this Lease or any renewal thereof.
3.
Provided that Lessee, and/or its Assigns, plans and constructs an aeronautical
improvement(s) on the Property with a minimum added value of Five Hundred
Thousand Dollars ($500,000) and receives a Certificate of Occupancy for the
improvement(s) within three (3) years of the Effective Date, the City grants to Lessee
an option to renew this Lease for two successive ten (10) year periods subject to
the same terms and conditions as are contained in this Lease, provided that Lessee is
not in default of any of its obligations under this Lease at the time of renewal.
Lessee may exercise said option by delivering to the Airport Manager written
notice of its intention to do so at least one hundred and eighty (180) prior to
the expiration of the original term of this Lease or any renewal thereof.
A. From the Effective Date of this Lease to the date on which Lessee is issued a Certificate of
Occupancy for the improvements to be constructed by the end of the second year of this Lease or
upon expiration of the Construction Term, whichever comes first, Lessee shall pay, without notice
and free from all claims, deductions or set-offs against the City, one half of the annual rent in the
amount of$12,636.00. On the date on which Lessee is issued a Certificate of Occupancy for
said improvements or upon expiration of the Construction Term, whichever comes first, Lessee's
annual rent increases to $25,272.00 +tax per year, which rent shall be paid at the beginning of
each year of the lease term without notice and free from all claims, deductions or set-offs against
the City.
B. After the third year of this Agreement, Lessee's annual rent shall be increased by the three-year
increase of the latest available Consumer Price Index ("CPI") for the Western Region (All Cities
and All Urban Consumers), as prepared by the U.S. Department of Labor, Bureau of Labor
Statistics. (If such CPI is discontinued, a comparable CPI shall be substituted therefore.)
The annual rent shall be increased in an amount equal to the latest total three-year
percentage increase of the CPI available. Thereafter, at the end of each three-year period,
Lessee's rent shall again be increased by the latest CPI percentage increase for the previous
three years. If the CPI decreases for any three-year period, no rent adjustments shall be made to
Lessee's rent for the next three-year period, and Lessee's rent shall again be increased by the
CPI at the end of succeeding three-year periods when the CPI again increases.
C. Lessee shall pay one-twelfth of the annual rent due for the then current lease year, in advance, on
the first day of each month. When Lessee's rent increases under Section 3(A) due to the issuance
of a Certificate of Occupancy, Lessee shall pay the additional rent due for such Lease year on a
pro-rata basis.
D. If Lessee fails to pay any rent in full on or before the due date, Lessee shall be responsible for
interest on the unpaid principal balance at the rate of 18% per annum from the due date until
payment in full is made.
4.
UTILITIES.
Lessee will pay for all charges, fees, deposits and other amounts for utilities used at the Property.
The
Airport will cooperate in the facilitation of the utility hook-ups for the building/hangar Lessee constructs on
the Property. All utility installation costs and any changes to utility facilities shall be strictly limited to the
Property and shall be undertaken by Lessee at its sole cost and expense.
5.
IMPROVEMENTS.
A. Lessee shall make no improvements or modifications to the Property without the prior written
consent of the City. Before commencing any improvements or modifications, Lessee shall
submit detailed construction plans and specifications to the City, and upon completion of
any improvements or modifications, Lessee shall furnish to the City two complete sets of
detailed plans and specifications of the work as completed. Prior to the start of any
construction of improvements or modifications to the Property, Lessee shall secure all
applicable building permits and approvals from the City. In addition, Lessee shall furnish
any additional information concerning any proposed improvements or modifications, which
the City may deem necessary with regard to the safety of the Property and/or compatibility
with the general use of the Airport.
B. Design Requirements. All of Lessee's improvements shall comply with the following design
requirements:
1.
All Lessee's improvements shall be contained entirely within the Property and without
any encroachment or dependence upon any other property, except that Lessee's
improvements shall include construction of related curbs, gutters, pavement,
landscaping, and other improvements City determines to be appropriate.
2.
All Lessee's improvements shall be designed so as to present uniformity of design,
function, appearance and quality throughout and consistency with other buildings and
improvements located at the Airport.
3.
All Lessee's improvements shall comply with all requirements oflaw. Lessee shall be
responsible to directly obtain all necessary permits and approvals from any and all
necessary governmental agencies.
C.
No later than the end of the second year of this Lease, Lessee shall, at its own cost, finance, design,
and construct one (1) building on the property suitable for Lessee's aeronautical business
operation, in compliance with the Airport's Minimum Operating Standards, consisting of at least
10,000 square feet with a minimum total cost of at least $500,00.00. The building shall be
constructed pursuant to preliminary plans and specifications which have approved by the City.
D.
The City may require modifications to the Property necessary for the safety of air navigation. If
any improvements or modifications to the Property made by Lessee should interfere with any
FAA navigational aid, Lessee shall be responsible for removing the interference at its sole
cost. All improvements and modifications made by Lessee shall be constructed in a good,
workmanlike manner.
E.
City's consent shall not be required for minor changes discovered by Lessee during the course of
construction to be necessary to complete construction as contemplated by the latest plans
approved by the City. Minor changes are those that do not materially alter the structure, size,
layout, location, quality, appearance, functionality or other aspects of any hangar, area, feature,
structure, or other aspects of any improvements. Lessee shall give to the City as much advance
notice of any minor changes as is reasonably possible.
F.
Prior to the start of any construction on the Property, Lessee or its contractor shall provide the
City with payment and performance bonds in amounts equal to the full amount of the written
construction contract pursuant to which such construction is to be done. The payment bond is
solely for the protection of claimants supplying labor or materials for the construction work
and the performance bond is solely for the protection of the City, conditioned upon the faithful
performance of the construction work. Bonds must include a provision allowing the prevailing
party in a suit on such bond to recover as part of its judgment reasonable attorney's fees. Each
bond shall be executed by a surety company acceptable to the City. Each bond shall be filed
with the City Clerk immediately upon execution with a copy to the Airport Manager. The City
will not unreasonably withhold consent to other forms of financial security.
G.
City reserves the right for City and other public agencies to enter the Property or any part thereof at
all reasonable times, for the purposes of inspection, construction, reconstruction, maintenance,
repair or service of any public improvements or public facilities located within or without the
Property.
H.
Lessee shall keep the Property and all improvements free of any liens of any kind or nature for
any work done, labor performed or material furnished on or to the Property. If any such lien is
filed, Lessee shall, at its sole cost, remove such lien from the Property within thirty days of
notice.
I.
Lessee will begin construction of any improvements and modifications to the Property within a
reasonable period of time following the approval of the City and the issuance of a building
permit, if necessary, for the construction. Lessee will diligently pursue construction of the
improvements or modifications and will complete construction in accordance with the
schedule for completion agreed upon by the City.
J.
All improvements and modifications made by Lessee which become fixtures to the Property
become the property of the City, at no cost to the City, upon the expiration or termination of
this Lease, free of any security interest or claims of any kind from Lessee; provided that if
Lessee is not in default of any of its obligations under this Lease and can remove any of its
trade fixtures at its own expense without materially damaging the Property, Lessee may
remove such fixtures at the termination or expiration of this Lease.
K.
A property valuation appraisal must be provided to the City by the Lessee in order to execute the
lease renewal option as stated in Section 2(B). The appraisal must be performed by an Arizona
State Licensed Property Appraiser and the cost of the appraisal will be borne solely by the
Lessee. The appraisal must be completed within six ( 6) months of the completion of the hangar
facility. City shall have the right to audit the appraisal or conduct an additional appraisal in order
to determine the appropriate renewal period.
L.
In the event the Property consists of more or less than any stated acreage or square feet, this
Agreement shall nevertheless continue and Lessee's obligations hereunder shall not be
diminished.
6. ACCEPTANCE; MAINTENANCE; REP AIRS.
A.
Lessee warrants that it has inspected the Property and accepts possession of the Property and
the improvements thereon "as is" in its present condition, and subject to all limitations imposed
upon the use thereof by the rules and regulations of the FAA and by ordinances of the City, and
Lessee acknowledges the suitableness and sufficiency of the Property for the uses permitted
hereunder. Except as may otherwise be specifically provided for herein, the City shall not be
required to maintain or to make any improvements, repairs or restorations upon or to the Property or
to any of the improvements presently located thereon. Under no circumstances shall the City have
any obligation to repair, maintain or restore any improvements placed upon the Property by Lessee.
B.
Lessee shall be solely responsible, at its cost, for all repairs and maintenance whatsoever on
the Property and shall maintain all improvements thereon in a good workmanlike manner, whether
such repair or maintenance be ordinary or extraordinary, structural or otherwise. Additionally,
Lessee, without limiting the generality hereof, shall operate the Property in a first-class manner;
shall furnish prompt, clean, and courteous service; and shall:
1.
Keep at all times, in a clean and orderly condition and appearance, the Property, all
improvements thereon and all of Lessee's fixtures, equipment and personal property
which are located on any part of the Property. Lessee shall be responsible for all janitorial
services on the Property;
2.
Be responsible for the maintenance and repair of all utility services lines and fire
suppression systems placed on the Property and used by Lessee exclusively; and
3.
Repair any damage caused by Lessee, or its agents, employees or invitees, to the Airport
caused by any hazardous materials, including oil, gasoline, grease, lubricants or other
flammable liquids and substances having a corrosive or detrimental effect thereon.
C.
If Lessee fails to maintain, clean, repair, replace, rebuild or repaint within a period of thirty (30)
days after written notice from the City to do any maintenance or repair work required to be done
by Lessee, the City may terminate this Lease or, at its option, enter the Property, without such
entering causing or constituting a termination of this Lease or any interference with the
possession of the Property, and repair, replace, rebuild or paint any part of the Property or the
improvements thereon, and do all things reasonably necessary to accomplish the work required,
and all costs thereof shall be payable to the City by Lessee on demand; provided that if in the
opinion of the City, Lessee's failure to perform any such maintenance endangers the safety of the
public, the employees or property of the City or other tenants at the Airport, and the City so states
in its notice to Lessee, the City may, in its sole discretion, elect to perform such maintenance
at any time after the giving of such notice, and Lessee shall pay to the City all costs of such
work on demand. If the City, its officers, employees or agents undertake any work hereunder,
Lessee hereby waives any claim for damages, consequential or otherwise, resulting there from
except for claims for damages arising from the City's sole negligence. The foregoing shall in
no way affect or alter the primary obligations of the Lessee as set forth in this Lease and shall not
impose upon the City any obligations to be stated otherwise herein.
7. ADDITIONAL OBLIGATIONS OF LESSEE.
A.
Lessee shall at all times employ and designate a manager to supervise and manage its operations
hereunder. Lessee shall employ a sufficient number of trained personnel on duty to provide
for the efficient and proper compliance with its obligations under this Lease. Upon request of
the Airport Manager, Lessee shall provide, and its employees shall wear or carry, badges or other
suitable means of identification.
B.
Lessee shall conduct its operations hereunder in an orderly and proper manner, considering the
nature of such operation, so as not to unreasonably annoy, disturb, endanger or be offensive to
others.
C.
Lessee shall take all reasonable measures:
1.
Not to produce on the Airport any disturbance that interferes with the operation
by the City or the FAA of air navigational, communication or flight equipment on the
Airport; and
2.
To reduce to a minimum vibrations tending to damage any equipment, structure
or building.
D.
Lessee shall control the conduct and demeanor of its officers, agents, employees, and invitees
and, upon objection from the City concerning the conduct or demeanor of any such person,
Lessee shall immediately take all lawful steps necessary to remove the cause of the objection.
E.
Lessee shall comply with all written instructions of the City in disposing of its trash and refuse
and shall use a system of refuse disposal approved by the City.
F.
Lessee shall not commit nor permit to be done anything which may result in the commission of a
nuisance, waste or injury on the Property.
G.
Lessee shall not do, nor permit to be done, anything which may interfere with the effectiveness or
accessibility of the drainage system, sewerage system, fire protection system, sprinkler system,
alann system and fire hydrants and hoses, if any, installed or located on the Property.
H.
Lessee shall take measures to ensure security in accordance with generally accepted security
procedures.
I.
Lessee shall not do, nor permit to be done, any act or thing upon the Property:
1.
Which may constitute a hazardous condition so as to increase the risks attendant
upon the operations permitted by this Lease; or
2.
Which will invalidate or conflict with any fire insurance policies or regulations,
Uniform Fire Code, N.F.P.A. Standard No. 409 for operation of aircraft, and other
provisions as applicable to the Property or other contiguous premises at the
Airport.
J.
Lessee shall provide prompt written notice to the City of any person or entity performing
aircraft maintenance work, flight instruction, air taxi, aircraft charter or aircraft leasing of any
sort on the Airport for commercial purposes without a valid permit from the City.
K.
Lessee shall not overload any floor, structure or structural member on the Property, or any paved
area on the Airport, and shall repair at Lessee's expense any floor, structure, structural member or
any paved area damaged by overloading.
L.
Lessee shall conduct its operations in such a manner as to keep the noise produced by aircraft
engines and component parts thereof or any other noise to a minimum by the use of such
methods or devices as are practicable, considering the extent and type of the operations of
Lessee. In addition, all possible care, caution and precaution shall be used to minimize prop
or jet blast interference to aircraft operations or to buildings, structures and roadways now
located on, or which in the future may be located on, areas adjacent to the Airport.
8. INGRESS AND EGRESS.
The City may, at any time, temporarily or permanently, close or consent to or request the closing of, any
roadway or taxiway at the Airport and any other way at, in or near the Property presently or hereafter used as
such, so long as a reasonable means of ingress and egress remains available to Lessee. Lessee hereby releases
and discharges the City, its officers, employees and agents, and all other governmental authorities from all
claims, demands, or causes of action which Lessee may at any time have against any of the foregoing, arising
out of the closing of any roadway or other area, provided that a reasonable means of access to the
Property remains available to Lessee. Lessee shall not do or permit anything to be done which will
interfere with the free access and passage of others to space adjacent to the Property or to any roadways
near the Property.
9. ASSIGNMENT AND SUBLETTING.
A.
Lessee shall not assign, transfer or sublease any or all of its interest under this Lease, nor permit
any other person to occupy the Property without the prior written consent of the City, such
consent not to be unreasonably withheld. For the purposes of this Lease, any transfer of control or
change in ownership of Lessee shall be considered to be an assignment of interest. The City may, as
a condition of approval, require that any potential transferee submit biographical and fmancial
information to the City at least thirty days prior to any transfer of Lessee's interest.
B.
To obtain City's consent, Lessee shall provide the City with written notice of: the potential assignee's
biographical and fmancial information-which may include but is not limited to: has the assignee
turned a profit for the last two years, does the assignee have a positive credit history and a history
devoid of any illegal or litigious activities-the proposed effective date of the assignment, a
description of the portion of the premises to be assigned, all of the material terms of the proposed
assignment and the consideration therefor, and any other information reasonably required by the City
in order to evaluate the proposed transfer. Any assignment or transfer made without the City's prior
written consent shall, at the City's option, be void.
C.
No assignments of this Agreement are contemplated or bargained for except for those to which
Lessor has given consent in this Agreement. Lessor has the absolute right for any reason or for no
reason in its sole discretion to give or withhold consent to any assignment or to impose any
conditions upon any assignment, except as expressly provided in this Agreement.
D.
Lessee may mortgage, encumber or assign any portion of its right, title and interest in the
leasehold estate created by this Lease to lenders for purposes of financing the initial
construction of the capital improvements required by this Lease. Any such mortgage,
encumbrance or assignment shall be subject to all of Lessee's obligations under this Lease. No
person or entity shall have the right to place any mortgages, deeds of trusts, liens or
encumbrances of any nature on the Property, nor shall any permitted assignment result in a
subordination, in whole or in part, of the City's rights under this Lease.
E.
This Agreement shall control any conflict between this Agreement and the terms of any assignment.
10. ADVERTISING SIGNS.
Lessee may install on the Property, subject to the City's sign ordinance, signs identifying its business. The
number, general type, size, and location of signs must be approved in writing by the City prior to installation.
11. DEFAULT; TERMINATION BY CITY.
A.
The City may terminate this Lease by giving Lessee thirty (30) days written notice after the
happening of any of the following events:
1.
The failure of Lessee to perform any of its obligations under this Lease, provided
that Lessee fails to cure its default within said 30-day notice period;
2.
The taking of possession for a period of ten (10) days or more of substantially all of
the personal property used on the Property belonging to Lessee by or pursuant to
lawful authority of any legislative act, resolution, rule, order or decree or any act,
resolution, rule, order or decree of any court or governmental board, agency, officer,
receiver, trustee or liquidator;
3.
The filing of any lien against the Property because of any act or omission of Lessee
which is not discharged within thirty (30) days of receipt of actual notice by
Lessee.
B.
The City may place Lessee in default of this Lease by giving Lessee 30 days written notice of
Lessee's failure to timely pay the rent provided for in this Lease or any other charges required to
be paid by Lessee pursuant to this Lease or a SASO Agreement. During said 30-day notice period,
Lessee shall cure said default; otherwise, the City may elect to terminate this Lease or do any of the
following:
1.
Institute action(s) to enforce this Lease;
2.
Take possession of the Property, together with improvements, fixtures, and equipment
therein contained without terminating this Lease, and on behalf of Lessee relet the same
or any part thereof for a term, shorter, longer, or equal to the then unexpired remainder of
the Lease term. The City may at any time after taking possession terminate this Lease by
giving notice to Lessee and sue for damages;
3.
Terminate this Lease, without further notice to Lessee, re-enter the Property and
recover damages, including but not limited to, all costs of repossession and reletting
and brokerage commissions for services performed by or for the City;
4.
Exercise the "Remedies of Landlord" as set forth in Arizona Revised Statutes, Title
33;
5.
Exercise any other remedy allowed by law or equity.
C.
If Lessee at any time fails to maintain all insurance coverage required by this Lease, the City
shall have the right, upon written notice to Lessee, to immediately terminate this Lease or to secure
the required insurance at Lessee's expense.
D.
Upon the termination of this Lease for any reason, all rights of Lessee shall terminate,
including all rights of Lessee's creditors, trustees, and assigns, and all others similarly situated as
to the Property.
E.
Lessee acknowledges Lessee's unconditional obligation to comply with this Agreement. No failure by
City to demand any performance required of Lessee under this Agreement, and no acceptance by City
of any imperfect or partial performance under this Agreement, shall excuse such performance or
impair in any way City's ability to insist, prospectively and retroactively, full compliance with this
Agreement. Failure by the City to take any authorized action upon default by Lessee of any of its
obligations hereunder shall not constitute a waiver of said default nor of any subsequent default
by Lessee. Acceptance of rent and other fees by the City under the terms hereof for any period after
a default by Lessee of any of its obligations shall not be deemed a waiver or estoppel of the City's
right to terminate this Lease for any subsequent failure by Lessee to comply with its obligations.
Lessee expressly disclaims and shall not have the right to rely on any supposed waiver or other
change or modification, whether by word, or conduct or otherwise, not conforming to this paragraph.
12. TERMINATIONBYLESSEE.
Lessee may terminate this Lease at any time that it is not in default in its obligations by giving the City thirty
(30) days' written notice after the happening of any of the following events:
A.
Issuance by a court of competent jurisdiction of an injunction in any way preventing or
restraining Lessee's use of any substantial portion of the Property and the remaining in force of
such injunction for a period of thirty (30) consecutive days.
B.
The inability of Lessee to use any substantial portion of the Property for a period of thirty (30)
consecutive days, due to the enactment or enforcement of any law or regulation or because of fire,
earthquake or similar casualty, or Acts of God or the public enemy.
C.
The lawful assumption by the United States Government of the operation, control, or use of the
Airport or any substantial part of it for military purposes in time of war or national emergency.
13. INDEMNIFICATION.
Lessee shall defend, indemnify and hold harmless the City and its elected or appointed officials, agents, boards,
commissions and employees (hereinafter referred to collectively as the "City" in this Section) from all loss,
damages or claims of whatever nature, including attorney's fees, expert witness fees and costs oflitigation,
which arise out of any act or omission of Lessee or its agents, employees and invitees (hereinafter referred to
collectively as "Lessee" in this Section) in connection with Lessee's operations at the Airport and which result
directly or indirectly in the injury to or death of any persons or the damage to or loss of any property, or
arising out of the failure of Lessee to comply with any provisions of this Lease. The City shall in all
instances, except for loss, damages or claims resulting from the sole negligence of the City, be indemnified by
Lessee against all such loss, damages or claims, regardless of whether the loss, damages or claims are caused
in part by the negligence, gross negligence or fault of the City. The City shall give Lessee prompt notice of
any claim made or suit instituted which may subject Lessee to liability under this Section, and Lessee shall
have the right to compromise and defend the same to the extent of its own interest. The City shall have the right,
but not the duty, to participate in the defense of any claim or litigation with attorneys of the City's selection
without relieving Lessee of any obligations hereunder. Lessee's obligations hereunder shall survive any
termination of this Lease or Lessee's activities at the Airport.
14. INSURANCE.
Lessee shall procure and at all times maintain, at its own cost, the types and amounts of insurance required for the
full replacement cost of the improvements and for Lessee's operation at the Airport at the limits required in Exhibit
C. The City shall be named as an additional insured as required in Exhibit C. Insurance policies shall contain a
provision that written notice of cancellation thereof shall be given to the City not less than thirty (30) days before
such cancellation takes effect. Lessee shall deliver an appropriate certificate of insurance for each policy to the City
in a form and from a company acceptable to the City. The City reserves the right to modify insurance requirements
at any time. In case any improvements are fifty percent (50%) or more destroyed (a "Loss"), then Lessee and City
shall agree as to whether or not the building shall be repaired or reconstructed. Should it be agreed not to repair or
reconstruct such building the insurance proceeds shall be divided proportionately as follows:
A.
B.
Lessee's share = Time remaining from date of Loss to end of Lease term, including a renewal period
already acknowledged by City on the date of Loss.
City's share= time elapsed from Effective Date of Lease to date of Loss.
15. QUIET ENJOYMENT.
So long as Lessee shall timely pay the rent required under this Lease and perform all of its other obligations
under this Lease, Lessee shall peaceably have and enjoy the exclusive use of the Property and all the
privileges granted herein for use of the Airport.
16. SURRENDER OF POSSESSION.
Upon the expiration or termination of this Lease, Lessee's right to occupy the Property and exercise the
privileges and rights herein granted shall cease, and it shall surrender the same and leave the Property in good
condition, normal wear and tear excepted. Unless otherwise provided herein, all trade fixtures, equipment, and
other personal property installed or placed by Lessee on the Property shall remain the property of Lessee, and
Lessee shall have the right at any time during the term of this Lease, and for an additional period of ten (I 0)
days after its expiration, to remove the same from the Property; provided that Lessee is not in default of any of
its obligations hereunder and that Lessee shall repair, at its sole cost, any damage caused by such removal.
Any property not removed by Lessee within said 10-day period shall become a part of the Property, and
ownership thereto shall vest in the City.
17. REVERSION.
A.
All improvements and modifications made by Lessee which become fixtures to the Property shall
become the property of the City, at no cost to the City, upon the expiration or termination of
this Lease, free of any security interest or claims of any kind from or through Lessee; provided
that if Lessee is not in default of any of its obligations under this Lease and can remove any of
its trade fixtures at its own expense without materially damaging the Property, Lessee may
remove such fixtures at the termination or expiration of this Lease. None of the improvements
hereafter placed on the Property shall be removed there from at any time without City's written
consent.
B.
Upon the expiration or termination of this Lease for any cause, the City shall have the alternative, in
its sole discretion, to require Lessee to remove any and all improvements and structures from the
Property and repair any damage caused thereby, leaving the Property in a site-ready development
condition, at Lessee's expense. Site-ready development is interpreted to mean pavement of a grade
equal to or superior to the adjoining pavement of the Airport ramps/aprons.
C.
Condition Assessment. Lessee shall conduct, at its sole cost, a condition assessment upon
termination of the lease or one (1) year prior to-but not more than two (2) years prior to-the
expiration of the original term of the Lease and again one (1) year prior to-but not more than two
(2) years prior to-the expiration of any renewal term, if any. The assessment shall be performed by
a professional building inspector or engineer and shall include, but is not limited to, review of all
structural components, electrical, plumbing, heating and air conditioning, and fire suppression
systems, and pavement for which the Lessee is responsible. Lessee shall be responsible for repairing
any defects identified in the Condition Assessment. The City shall have the right to approve the
inspector/engineer prior to the Condition Assessment.
18. NOTICE.
All notices required or permitted to be given under this Lease may be personally delivered or mailed by
certified mail, return receipt requested, postage prepaid, to the following addresses:
TO THE CITY:
City of Glendale
Attention: Airport Manager, (623) 930-2188
6801 N. Glen Harbor Blvd., #201
Glendale, Arizona 85307
TO LESSEE:
Glendale Aero Services, Inc.
Michael S. Laver, President
234 Air Park Boulevard
Aiken, SC 29805-8921
Tel: 803-641-9999
Email: Mike@airlst.com
Any notice given by certified mail shall be deemed to be received on the next business day after the date of
mailing. Either party may designate in writing a different address for notice purposes pursuant to this Section.
19. NO BOYCOTT OF ISRAEL.
The Parties agree that they are not currently engaged in, and agree that for the duration of the Agreement they will
not engage in, a boycott oflsrael, as that term is defined in A.R.S. §35-393.
20. STATUTORY CANCELLATION RIGHT.
This Agreement is subject to cancellation for conflicts of interest under the provisions of A.R.S. §38-511.
21. SEVERABILITY.
Should any provision of this Lease be declared invalid by a court of competent jurisdiction, the remaining
terms shall remain effective, provided that elimination of the invalid provision does not materially prejudice
either party with regard to its respective rights and obligations.
22. TAXES AND LICENSES.
A.
Lessee shall pay any leasehold tax, possessory interest tax, sales tax, personal property tax,
transaction privilege tax or other exaction assessed or assessable as a result of its occupancy of the
Property or conduct of business at the Airport under authority of this Lease, including any such tax
assessable on the City. In the event that laws or judicial decisions result in the imposition of a real
property tax on the interest of the City, such tax shall also be paid by Lessee for the period this
Lease is in effect.
B.
Lessee acknowledges that it may be a "prime lessee'', as defined in A.R.S. Section 42-1901,
and that it may be subject to excise tax liability under this Lease pursuant to A.R.S., Title 42,
Chapter 13 as a prime lessee of a government property improvement. Lessee further
acknowledges that any failure by Lessee to pay taxes due under A.R.S., Title 42, Chapter 13 after
notice and an opportunity to cure shall constitute a default that could result in divesting Lessee of
any interest in or right to occupancy of the Property.
C.
Lessee shall, at its own cost, obtain and maintain in full force and effect during the term of this lease
all licenses and permits required for the operation s authorized by this Lease.
23 . LITIGATION
This Lease shall be governed by the laws of the State of Arizona. In the event of any litigation between the City
and Lessee arising under this Lease, the successful party shall be entitled to recover its attorney's fees, expert
witness fees and other costs incurred in connection with such litigation. Both parties hereby waive any right to
a jury trial which they may otherwise have in the event of litigation arising under this Lease and consent to a
trial to the court.
24. RULES AND REGULATIONS.
Lessee shall at all times comply with all federal, state and local laws, ordinances, rules and regulations
which are applicable to its operations, the Property (including the Americans with Disabilities Act), or the
operation, management, maintenance or administration of the Airport, including all laws, ordinances, rules and
regulations adopted after the effective date of this Lease. Lessee shall display to the City, upon request, any
permits, licenses, or other evidence of compliance with such laws. All rules and regulations and minimum
operating standards for the Airport, as currently existing or as may be amended or adopted, are hereby
incorporated in this Lease.
25. RIGHT OF ENTRY RESERVED.
A.
The City shall have the right at all reasonable times to enter upon the Property for any lawful
purpose, provided such action does not unreasonably interfere with Lessee's use, occupancy or
security of the Property.
B.
Without limiting the generality of the foregoing, the City and any furnisher of utilities and
other services shall have the right, at its own cost, whether for its own benefit or for the benefit of
others at the Airport, to maintain existing and future utility, mechanical, electrical and other
systems and to enter upon the Property at all reasonable times to make such repairs,
replacements or alterations thereto which may, in the opinion of the City, be deemed necessary or
advisable and from time to time to construct or install over, in or under the Property such systems
or parts thereof and, in connection with such maintenance, use the Property for access to
other parts of the Airport otherwise not conveniently accessible; provided that in the exercise
of such right of access, repair, alteration or new construction, the City shall not unreasonably
interfere with the actual use and occupancy of the Property by Lessee.
C.
If any personal property of Lessee shall obstruct the access of the City or any utility company
furnishing utility service to any of the existing utility, mechanical, electrical and other systems,
and thus shall interfere with the inspection, maintenance or repair of any such system, Lessee
shall move such property, as directed by the City or utility company, in order that access may
be had to the system for inspection, maintenance or repair. If Lessee fails to move such property
after direction from the City or utility company to do so, the City or the utility company may
move it, and Lessee shall pay the cost of such moving upon demand, and Lessee hereby waives
any claim for damages as a result therefrom, except for claims for damages arising from the City's
sole negligence.
D.
Exercise of any or all of the foregoing rights by the City or others pursuant to the City's rights
shall not constitute an eviction of Lessee, nor be made the grounds for any abatement of rent or
any claim for damages.
26. SURVIVAL OF LESSEE'S OBLIGATIONS.
If this Lease is terminated by the City in accordance with the provisions herein or if the City reenters or
resumes possession of the Property as provided herein, all of Lessee's obligations under this Lease shall
survive such termination, re-entry or resumption of possession and shall remain in full force and effect for
the full term of this Lease, and the amounts of damages or deficiencies shall become due and payable to the
City to the same extent, at the same times, and in the same manner as if no termination, re-entry or resumption
of possession had taken place. The City may, at its option and at any time, sue to recover the full
deficiency for the entire unexpired term of this Lease. The amount of damages for the period of time
subsequent to termination (or re-entry or resumption of possession) shall include all expenses incurred by the
City in connection with regaining possession, restoring the Property, acquiring a new lease for the Property,
putting the Property in order, maintenance and brokerage fees.
27. REMEDIES TO BE NONEXCLUSIVE.
All remedies provided in this Lease shall be deemed cumulative and additional, not in lieu of or exclusive of,
each other, or of any other remedy available to the City or Lessee at law or in equity, and the exercise of
any remedy, or the existence herein of other remedies, shall not prevent the exercise of any other remedy.
28. NONLIABILITY OF CITY OFFICIALS AND EMPLOYEES.
No member, official, representative or employee of City shall be personally liable to any party, or to any successor
in interest to any party, in the event of any default or breach by City or for any amount which may become due to
any party or successor, or with respect to any obligation of City or otherwise under the terms of this Agreement or
related to this Agreement.
29. TIME IS OF THE ESSENCE.
Time is of the essence with regard to the performance of all of the parties' obligations under this Lease.
30. MISCELLANEOUS.
This Lease constitutes the entire agreement between the parties concerning the matters contained herein and
supersedes all prior negotiations, understandings and agreements between the parties concerning such matters.
This Lease shall be interpreted, applied and enforced according to the fair meaning of its terms and shall not
be construed strictly in favor of or against either party, regardless of which party may have drafted any of its
provisions. No provision of this Lease may be waived or modified except by a writing signed by the party
against whom such waiver or modification is sought to be enforced. The terms of this Lease shall be binding
upon and inure to the benefit of the parties' successors and assigns.
31. EXHIBITS.
The following exhibits, with reference to the term in which they are first referenced, are incorporated by this
reference:
Exhibit A
Property Description
Exhibit B
Insurance Requirements
Exhibit C
FAA Requirements
(Signatures appear on the following pages.)
EXECUTED to be effective on the date specified above.
"City".
ATTEST:
City Clerk
APPROVED AS TO FORM:
City Attorney
LESSEE:
STATE OF ARIZONA
)
)SS.
County of Maricopa
CITY OF GLENDALE,
an Arizona Municipal Corporation
By: Kevin R. Phelps
Its: City Manager
Glendale Aero Services, Inc.
~~~CS»~~
By: Michael S. Laver
Its: President
The foregoing instrument was acknowledged before me this \9th day of ~overnbe r; 2021,
by fl\",c.'nci~\ <:;. k«ver , in his or her capacity as President of Glendale Aero Services, Inc., a Domestic For-
Profit Corporation.
~Q~
Notary Public
My Commission Expires:
EXHIBIT A
(GLENDALE AIRPORT PROPERTY)
L.t.uAL U.t.~t.;Klt'TlUN
FOR
CITY OF GLENDALE MUNICIPAL AIRPORT
f<
-,033 Nonh 44th ~rttl Su1tr 2'ro
Phoenix. A..V.ona 8';018
1<1
602.244 2S66
la
602 244.8947
Web www.t:ntt?llus rnm
EXHIBIT "A"
LEGAL DESCRIPTION
FOR
CITY OF GLENDALE
GLENDALE MUNICIPAL AIRPORT
NEW HANGAR LEASE
That portion of the parcel of land described in Document# 1983-0522847 of the Maricopa
County Recorder, located in the Northeast Quarter of Section 7, Township 2 North, Range 1
East of the Gila and Salt River Base and Meridian, Maricopa County, Arizona, being more
particularly described as follows:
COMMENCING at the Northeast Corner of said Section 7, being monumented with a brass cap
found flush, from which the North Quarter Corner of said Section 7, being monumented with a
brass cap in hand hole, bears North 89 degrees 35 minutes 16 seconds West a distance of
2,640.00 feet, said line being the North line of said Northeast Quarter of Section 7 and the
basis of bearings for this description;
Thence along the East line of said Northeast Quarter, South 01 degree 11 minutes 04 seconds
West a distance of 33.00 feet to a point on a line parallel with and 33.00 feet distant from said
North line of the Northeast Quarter;
Thence along said parallel line, North 89 degrees 35 minutes 16 seconds West a distance of
1,488.25 feet to a point on the west line of said parcel of land as described in Document #
1983-052284 7 of the Maricopa County Recorder;
Thence along said west line, South 00 degrees 24 minutes 44 seconds West a distance of
341.36 feet to a point;
Thence continuing along said west line, South 25 degrees 54 minutes 44 seconds West a
distance of 1,622.84 feet to a point;
Thence South 64 degrees 05 minutes 16 seconds East a distance of 435.00 feet to the POINT
OF BEGINNING;
Thence continuing South 64 degrees 05 minutes 16 seconds East a distance of 108.00 feet to
a point;
Thence North 25 degrees 54 minutes 44 seconds East a distance of 450.00 feet to a point;
Thence North 64 degrees 05 minutes 16 seconds West a distance of 108.00 feet to a point;
Thence South 25 degrees 54 minutes 44 seconds West a distance of 450.00 feet to the POINT
OF BEGINNING.
11/4/2021
PAGE 1 of 4
340.069F
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Containing an area of 48,600 SQUARE FEET or 1.116 ACRES, more or less.
See attached Exhibit "B"
11/4/2021
PAGE 2 of 4
340.069F
P:\300\340069F Glendale Airport-Stake FBO Leasehold
Corners\D_PRODUCTION\Survey\S05_Legal Descriptions\NewFBO-
Hangarlease_Legal_rev1 .docx
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EXHIBIT "B"
CITY OF GLENDALE
GLENDALE AIRPORT
NEW HANGAR LEASE PARCEL
SCALE: N.T.S.
CITY OF GLENDALE
NEW HANGAR PARCEL
SECTION 7, T2N, R1E
LEASE PROPERTY
BASIS Of BEARING
3033 N. 44th Street, Suite 250
-TH_E_N-OR-TH_U_N_E_O_F_li_H_E_N_O_R_li_H_E_A_S_T, Phoenix.
AZ 850l8
"""o-A-TE-:-11__,..3_,....2-1 ---R-EV
..... 'D-:------1
QUARTER OF SECTION 7
~:~
~~~:~:: :~~~~
DRAWN BY: JDS CHK D: DGF PG: 3 OF 4
BEARING N89.35' 16 "W
Website: www.Entellus.com
FILE: 340069F _FBO-Parcel.dw
NEW HANGAR LEASE
LINE TABLE
LINE
BEARING
DISTANCE
L1
S1. 11' 04"W
33.00'
L2
N89. 35' 16"W
1488.25'
L3
so· 24· 44"w
341 .36'
L4
S25' 54' 44"W
1622.84'
L5
S64' 05' 16"E
435.00'
L6
S64' 05' 16"E
108.00'
L7
N25" 54' 44"E
450.00'
LS
N64' 05' 16"W
108.00'
L9
S25' 54' 44"W
450.00'
CITY OF GLENDALE
LEGEND
~
r:m;a NEW HANGAR LEASE
,% <Entellus
_B_A_S_IS_O_F_B_E_A_R_IN_G ________
1 3033 N. 44th Street, Suite 250 r---------..-----~
THE NORTH LINE OF THE
NORTHEAST
Phoenix.
AZ 850l8
DA TE: 11 3 21
REV'D:
Tel
602.244.2566
QUARTER OF SECTION 7
Fax
602.244.8947
DRAWN BY: JDS CHK'D: DGF PG: 4 OF 4
BEARING N89'35'16''W
Website: www.Entellus.com
FILE: 340069F _FBO-PARCEL.DWG
NEW HANGAR PARCEL
SECTION 7, T2N, R1 E
LEASE PROPERTY
New Hanger Lease Parcel Boundary
Polyline Report
Northing
Easting
Bearing
20896.224
84493.727
s 64°05'16"
20849.029
84590.869
N 25°54'44"
21253.788
84787.516
N 64°05'16"
21300.983
84690.374
s 25°54'44"
20896.224
84493.727
Closure Error Distance> 0.00000
Total Distance> 1116.000
Wed Nov
Distance
E 108.000
E 450.000
w 108.000
w 450.000
Polyline Area: 48600.0 sq ft, 1.1157 acres
3 16:46:56 2021
New Hanagar Lease Parcel Tie Line
Polyline Report
Wed Oct 20 16:07:58 2021
Northing
Easting
Bearing
Distance
22909.642
86302.985
s 01°11'04" w 33.000
22876.649
86302.303
N 89°35'16" w 1488.255
22887.353
84814.087
s 00°24'44" w 341.358
22546.004
84811.631
s 25°54'44" w 1622.840
21086.317
84102.460
s 64°05'16" E 435.000
20896.224
84493.727
Closure Error Distance> 2706.89227 Error Bearing> N 41°56'34" E
Closure Precision> 1 in 1.4 Total Distance> 3920.453
Area not calculated because polyline not closed
EXHIBITB
(Insurance Requirements)
INSURANCE Contractor shall procure and maintain for the duration of the contract insurance against claims for
injuries to persons or damages to property which may arise from or in connection with the performance of the work
hereunder and the results of that work by the Contractor, his agents, representatives, employees or sub-Contractors.
MINIMUM SCOPE AND LIMIT OF INSURANCE
Coverage shall be at least as broad as:
1. Commercial General Liability (CGL): Insurance covering CGL on an "occurrence" basis, including products-
completed operations, personal & advertising injury, with limits no less than $1,000,000 per occurrence,
$2,000,000 aggregate. If a general aggregate limit applies, either the general aggregate limit shall apply
separately to this project/location or the general aggregate limit shall be twice the required occurrence limit.
2.
Automobile Liability: Insurance covering any auto (Code 1 ), or if Contractor has no owned autos, hired,
(Code 8) and non-owned autos (Code 9), with limit no less than $1,000,000 per accident for bodily injury
and property damage.
3. Workers' Compensation: as required by the State of Arizona, with Statutory Limits, and Employer's Liability
Insurance with limit of no less than $1,000,000 per accident for bodily injury or disease.
If the Contractor maintains higher limits than the minimums shown above, the City requires and shall be entitled to
coverage for the higher limits maintained by the Contractor.
Other Insurance Provisions The insurance policies are to contain, or be endorsed to contain, the following
provisions:
Additional Insured Status The City, its officers, officials, employees, and volunteers are to be covered as additional
insured' s on the CGL policy with respect to liability arising out of work or operations performed by or on behalf of
the Contractor including materials, parts, or equipment furnished in connection with such work or operations.
Primary Coverage For any claims related to this contract, the Contractor's insurance coverage shall be primary
insurance as respects the City, its officers, officials, employees, and volunteers. Any insurance or self-insurance
maintained by the City, its officers, officials, employees, or volunteers shall be excess of the Contractor's insurance
and shall not contribute with it.
Notice of Cancellation Each insurance policy required above shall provide that coverage shall not be canceled, except
with notice to the City.
Waiver of Subrogation Contractor hereby grants to City a waiver of any right to subrogation which any insurer of
said Contractor may acquire against the City by virtue of the payment of any loss under such insurance. Contractor
agrees to obtain any endorsement that may be necessary to effect this waiver of subrogation, but this provision applies
regardless of whether or not the City has received a waiver of subrogation endorsement from the insurer.
Acceptability of Insurers Insurance is to be placed with insurers with a current A.M. Best's rating of no less than
A:VII, unless otherwise acceptable to the City.
Verification of Coverage Contractor shall furnish the City with original certificates and amendatory endorsements
or copies of the applicable policy language effecting coverage required by this clause.
All certificates and
endorsements are to be received by the Contract Administrator and approved by the City before work commences.
DO NOT SEND CERTIFICATES TO RISK MANAGEMENT. However, failure to obtain the required documents
prior to the work beginning shall not waive the Contractor's obligation to provide them. The City reserves the right
to require complete, certified copies of all required insurance policies, including endorsements required by these
specifications, at any time.
Special Risks or Circumstances City reserves the right to modify these requirements, including limits, based on the
nature of the risk, prior experience, insurer, coverage, or other special circumstances.
INDEMNIFICATION CLAUSE:
To the extent allowed by law, Contractor shall defend, indemnify, and hold harmless the City of Glendale, and its
departments, boards, commissions, officers, officials, agents, employees and volunteers (hereinafter referred to as
"Indemnitee") from and against any and all claims, actions, liabilities, damages, losses, or expenses (including court
costs, attorneys' fees, and costs of claim processing, investigation and litigation) (hereinafter referred to as "Claims")
for bodily injury or personal injury (including death), or loss or damage to tangible or intangible property caused, or
alleged to be caused, in whole or in part, by the negligent or willful acts or omissions of Contractor or any of its
owners, officers, directors, agents, employees or subcontractors. This indemnity includes any claim or amount arising
out of, or recovered under, the Workers' Compensation Law or arising out of the failure of such contractor to conform
to any federal, state or local law, statute, ordinance, rule, regulation or court decree. It is the specific intention of the
parties that the Indemnitee shall, in all instances, except for Claims arising solely from the negligent or willful acts or
omissions of the Indemnitee, be indemnified by Contractor from and against any and all claims. It is agreed that
Contractor will be responsible for primary loss investigation, defense and judgment costs where this indemnification
is applicable. In consideration of the award of this contract, the Contractor agrees to waive all rights of subrogation
against the City of Glendale, its officers, officials, agents, employees and volunteers for losses arising from the work
performed by the Contractor for the City of Glendale.
WORKERS' COMPENSATION Contractor shall be in full compliance with the provisions of the Arizona Workers'
Compensation Law (Title 23, Chapter 6, Arizona Revised Statutes) as amended, and all rules and regulations of the
Industrial Commission of Arizona made in pursuance thereof. Contractor shall secure payment of compensation to
employees by insuring the payment of such compensation with the State Compensation Fund or any insurance
company authorized by the Insurance Department of Arizona to transact business in the State of Arizona.
Contractor further agrees that he shall require any and all sub-Contractors peiforming work under the agreement to
comply with said Workers' Compensation Law. It is expressly understood and agreed that all persons employed
directly or indirectly by the Contractor, or any of his sub-Contractors, shall be considered the employees of such
Contractor, or his sub-Contractor(s), and not the employees of the City.
EXHIBIT C
(Select FAA Requirements)
A.
Lessee shall, in the event facilities are constructed, maintained or otherwise operated on the Property for
a purpose for which a D.O.T. program or activity is extended or for another purpose involving the
provision of similar services or benefits, maintain and operate such facilities and services in compliance
with all other requirements imposed pursuant to Title 49, Code of Federal Regulations ("C.F.R."),
D.O.T., Subtitle A, Office of the Secretary, Part 21, Nondiscrimination in Federally-Assisted Programs of
the Department of Transportation-Effectuation of Title VI of the Civil Rights Act of 1964, and any
amendments thereto.
B.
Lessee and its sublessees, if any, agree to comply with pertinent statutes, executive orders and such rules as
are promulgated to ensure that no person will, on the grounds of race, creed, color, national origin, sex, age,
or disability be excluded from participating in any activity conducted with or benefiting from federal
assistance. This provision obligates the Lessee or its transferee for the period during which federal
assistance is extended to the airport through the airport improvement program. In cases where federal
assistance provides, or is in the form of personal property; real property or interest therein; structures or
improvements thereon, this provision obligates the party or any transferee for the longer of the following
periods:
(a) The period during which the property is used by the airport sponsor or any transferee for a
purpose for which federal assistance is extended, or for another purpose involving the provision of
similar services or benefits; or
(b) The period during which the airport sponsor or any transferee retains ownership or possession
of the property.
C.
Lessee agrees that: (1) no person on the grounds of race, color, or national origin shall be excluded from
participation in, denied the benefits of or be otherwise subjected to discrimination in the use of the
Property; (2) in the construction of any improvements on, over or under the Property and the furnishing
of services thereon, no person on the grounds of race, color, or national origin shall be excluded
from participation in, denied the benefits of or otherwise be subject to discrimination; and (3) Lessee
shall use the Property in compliance with all other requirements imposed by or pursuant to Title 49,
C.F.R., D.O.T., Subtitle A, Office of the Secretary, Part 21, Nondiscrimination in Federally-
Assisted Programs of the Department of Transportation-Effectuation of Title VI of the Civil Rights Act
of 1964, and any amendments thereto.
D.
During the performance of this contract, Lessee, for itself, its assignees, and successors in interest agrees to
comply with the following non-discrimination statutes and authorities; including but not limited to:
•
Title VI of the Civil Rights Act of 1964 (42 U.S.C. § 2000d et seq., 78 stat. 252), (prohibits
discrimination on the basis of race, color, national origin);
•
49 CFR part 21 (Non-discrimination In Federally-Assisted Programs of The Department of
Transportation-Effectuation of Title VI of The Civil Rights Act of 1964);
•
The Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970, (42
U.S.C. § 4601), (prohibits unfair treatment of persons displaced or whose property has been
acquired because of Federal or Federal-aid programs and projects);
•
Section 504 of the Rehabilitation Act of 1973, (29 U.S.C. § 794 et seq.), as amended, (prohibits
discrimination on the basis of disability); and 49 CFR part 27;
•
The Age Discrimination Act of 1975, as amended, (42 U.S.C. § 6101 et seq.), (prohibits
discrimination on the basis ofage);
•
Airport and Airway Improvement Act of 1982, (49 USC § 471, Section 47123), as amended,
(prohibits discrimination based on race, creed, color, national origin, or sex);
•
The Civil Rights Restoration Act of 1987, (PL 100-209), (Broadened the scope, coverage and
applicability of Title VI of the Civil Rights Act of 1964, The Age Discrimination Act of 1975
and Section 504 of the Rehabilitation Act of 1973, by expanding the definition of the terms
"programs or activities" to include all of the programs or activities of the federal-aid recipients,
sub-recipients and contractors, whether such programs or activities are federally funded or not);
•
Titles II and III of the Americans with Disabilities Act of 1990, which prohibit discrimination
on the basis of disability in the operation of public entities, public and private transportation
systems, places of public accommodation, and certain testing entities (42 U.S.C. §§ 12131 -
12189) as implemented by Department of Transportation regulations at 49 CFR parts 37 and
38;
•
The Federal Aviation Administration's Non-discrimination statute (49 U.S.C. § 47123)
(prohibits discrimination on the basis of race, color, national origin, and sex);
•
Executive Order 12898, Federal Actions to Address Environmental Justice in Minority
Populations and Low-Income Populations, which ensures non-discrimination against minority
populations by discouraging programs, policies, and activities with disproportionately high and
adverse human health or environmental effects on minority and low-income populations;
•
Executive Order 13166, Improving Access to Services for Persons with Limited English
Proficiency, and resulting agency guidance, national origin discrimination includes
discrimination because oflimited English proficiency (LEP). To ensure compliance with Title
VI, you must take reasonable steps to ensure that LEP persons have meaningful access to your
programs (70 Fed. Reg. at 74087 to 74100);
•
Title IX of the Education Amendments of 1972, as amended, which prohibits you from
discriminating because of sex in education programs or activities (20 U.S.C. 1681 et seq).
E.
In the event of breach of any of the above nondiscrimination covenants, the City shall have the right
to terminate this Lease and to reenter and repossess the Property and hold the same as if this Lease
had never been made or issued. This provision does not become effective until the procedures of 49 C.F.R.
Part 21 are followed and completed, including expiration of appeal rights.
F.
The Lessee assures that it will comply with pertinent statutes, Executive orders and such rules as are
promulgated to assure that no person shall, on the grounds of race, creed, color, national origin, sex, age or
handicap be excluded from participating in any activity conducted with or benefiting from Federal
assistance. This provision obligates the Lessee or its transferee for the period during which Federal
assistance is extended to any Airport program, except where Federal assistance is to provide, or is in the
form of personal property or real property or interest therein or structures or improvements thereon. In
these cases the provision obligates the Lessee or any transferee for the longer of the following periods: (i)
the period during which the Property is used by the Lessee or any transferee for a purpose for which Federal
assistance is extended, or for another purpose involving the provision of similar services or benefits; or (ii)
the period during which the Lessee or any transferee retains possession of the Property. In the case of
contractors, this provision binds the contractors from the bid solicitation period through the completion of
the contract. This provision is in addition to that required of Title VI of the Civil Rights Act of 1964.
G.
Lessee shall furnish its accommodations and/or services on a fair, equal and not unjustly discriminatory
basis to all users thereof and it shall charge fair, reasonable and not unjustly discriminatory prices for
each unit or device; provided that Lessee may be allowed to make reasonable and nondiscriminatory
discounts, rebates or other similar types of price reductions to volume purchasers.
H.
Non-compliance with Subsection G shall constitute a material breach thereof, and in the event of such
non-compliance, the City shall have the right to terminate this Lease without liability therefore, or, at
the election of the City or the United States, either shall have the right to judicially enforce Subsection
Q.
I.
Lessee shall insert the above provisions in any lease by which Lessee grants a right or privilege to any
person, firm or corporation to render accommodations and/or services to the public on the Property.
J.
Lessee shall undertake an affmnative action program as required by 14 C.F.R. Part 152, Subpart E,
to insure that no person shall on the grounds of race, creed, color, national origin or sex be excluded
from participating in any employment activities covered in 14 C.F.R. Part 152, Subpart E. Lessee agrees
that no person shall be excluded on these grounds from participating in or receiving the services or
benefits of any program or activity covered by this Subsection. Lessee shall require its covered sub-
organizations to provide assurances to Lessee that they similarly will undertake affmnative action
programs and that they will require assurances from their sub-organizations, as required by 14 C.F.R.
152, Subpart E, to the same effect.
K.
The City reserves the right to further develop or improve the Airport as it sees fit, regardless of the desires
or view of Lessee, and Lessee shall not interfere with, or hinder the Lessor in its plans, policies or actions
for Airport development. This provision in no way precludes Lessee's right to public voice and input during
meetings or solicitations calling for such comments or input.
L.
The City reserves the right, but shall not be obligated to Lessee, to maintain and keep in repair the
landing area of the Airport and all publicly-owned facilities of the Airport, together with the right to
direct and control all activities of Lessee in this regard. This Lease shall be subordinate to the provisions
and requirements of any existing or future agreement between the City and the United States relative to
the development, operation or maintenance of the Airport.
M.
There is hereby reserved to the City, for the use and benefit of the public, a right of flight for the passage
of aircraft in the airspace above the surface of the Property. This public right of flight shall include
the right to cause in said airspace any noise inherent in the operation of any aircraft used for navigation
or flight through said airspace or landing at, taking off from or operation on the Airport.
N.
Lessee shall comply with the notification and review requirements covered in Federal Aviation
Regulations ("F.A.R.") Part 77 in the event future construction of a building is planned for the Property,
or in the event of any planned modification or alteration of any present or future building or structure
situated on the Property.
0.
Lessee shall not erect nor permit the erection of any structure or object, nor permit the growth of any tree
on the Property that exceeds the mean sea level elevations contained in F .A.R. Part 77 or amendments
thereto, or interferes with the runway and/or taxiway "line of sight" of the control tower. If these covenants
are breached, the City reserves the right to enter upon the Property and to remove the offending structure
or object and cut the offending tree, all of which shall be at the expense of Lessee.
P.
Lessee shall not make use of the Property in any manner which might interfere with the landing and
taking off of aircraft from the Airport or otherwise constitute a hazard. If this covenant is breached, the
City reserves the right to enter upon the Property and cause the abatement of such interference at the expense
of Lessee.
Q.
Nothing in this Lease shall be construed to grant or authorize the granting of any exclusive right within
the meaning of Section 308a of the Federal Aviation Act of 1985 (49 U.S.C. 1349a).
R.
This Lease is subordinate to Lessor's obligations to the federal government under existing and future
agreements for federal aid for the development and maintenance of the Airport. Lessee shall do nothing in
its perfonnance of its obligations under this Lease that would cause any noncompliance with such
obligations of the Lessor. Lessor and Lessee agree that, to the extent any provisions of this Lease are in
noncompliance with such obligations, Lessor and Lessee shall take any necessary corrective action in order
to bring the Lease into compliance with such obligations.
S.
This Lease incorporates by reference the requirements of 29 CFR Part 1910 with the same force and effect
as if given in full text. Lessee must provide a work environment that is free from recognized hazards that
may cause death or serious physical harm to the employee. The Lessee retains full responsibility to monitor
its compliance and their subcontractor's compliance with the applicable requirements of the Occupational
Safety and Health Act of 1970 (20 CFR Part 1910). Lessee must address any claims or disputes that pertain
to a referenced requirement directly with the U.S. Department of Labor - Occupational Safety and Health
Administration.