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HomeMy WebLinkAboutO-2002-2205-A e - ORDINANCE NO. 2002- Q1-/)...M5.A AN ORDINANCE APPROVING AND AUTHORIZING A FIRST AMENDMENT TO THE AGREEMENT OF LEASE FOR FIXED BASE OPERATIONS AT THE CITY OF LA PORTE MUNICIPAL AIRPORT BETWEEN THE CITY OF LA PORTE, LESSOR, AND D.E. AVIATION, INC., LESSEE, EFFECTIVE FEBRUARY 1, 2002, MAKING VARIOUS FINDINGS AND PROVISIONS RELATING TO THE SUBJECT, FINDING COMPLIANCE WITH THE OPEN MEETINGS LAW, AND PROVIDING AN EFFECTIVE DATE HEREOF. BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF LA PORTE: Section 10 The City Council hereby approves and authorizes the contract, agreement, or other undertaking described in the title of this ordinance, in substantially the form as shown in the document which is attached hereto and incorporated herein by this reference. The City Manager is hereby authorized to execute such document and all related documents on behalf of the City of La Porte. The City Secretary is hereby authorized to attest to all such signatures and to affix the seal of the City to all such documents. Section 2. The City Council officially finds, determines, recites, and declares that a sufficient written notice of the date, hour, place and subject of this meeting of the City Council was posted at a place convenient to the public at the City Hall of the City for the time required by law preceding this meeting, as required by the Open Meetings Law, Chapter 551, Texas Government Code; and that this meeting has been open to the public as required by law at all times during which this ordinance and the subject matter thereof has been discussed, considered and formally acted upon. The City Council further ratifies, approves and confirms such written notice and the contents and posting thereof. Section 3. This Ordinance shall be effective from and after its passage and approval, and it is so ordered. e e ORDINANCE NO. 2002- PASSED AND APPROVED, this 11th day of February, 2001. CITY OF LA PORTE By: ~~~ ~n L. Malon Mayor ATTEST: '.p --..'~~ Martha A. Gillett City Secretary PJG: 2 e e FIRST AMENDMENT TO 'AGREEMENT AND LEASE FOR FIXED BASE OPERAT~ONS AT CITY OF LA PORTE MUNICIPAL AIRPORT THIS FIRST AMENDMENT TO AGREEMENT AND LEASE, which was made and entered into effective the 1st day of January, 1997, by and between the Ci~y of La Porte, a municipal corporation organized and existing under the laws of the State of Texas, hereinafter referred to as "Lessor" , and D. E. Aviation,' Inc., a Texas business corporation, ac.ting herein by and through its duly authorized officers, hereinafter referred to ~s "Lessee." ' WIT N E SSE T H: o}:l WHEREAS, the parties have heretofore entered into an.Agreement and Lease for Fixed Base Operation at' the City of La Porte Municipal Airport, dated January 1, 1997; and WHEREAS, the parties h~reto desire to enter into a First Amendment to said Agreement and Lease, effective February 1, 2002, for the use of additional premises and facilities at the Airport all as more fully hereinafter set forth; and WHEREAS, the parties agree that the Lease Agreement between the parties dated January 1, 1997, shall remain in full force and effect, except, and to the extent, amended hereby. NOW, THEREFORE, for and in consideration of the mutual covenants and agreements herein contained, the Lessor and the Lessee do hereby mutually undertake, promise and agree,. each for itself and its successors and assigns, as follows: ARTICLE I - TERM OF AGREEMENT AND LEASED PREMISES The term of this First Amendment to Agreement and Lease shall be for the period commencing February 1, 2002, and terminating on the following dates, unless sooner terminated as hereinafter provided: (a) as to the three T-Hangar sites shown on Exhibit "A" attached hereto, incorporated by reference herein and made a part hereof for all purposes, the term of this Agreement shall be for the period commencing February 1, 2002, and terminating January 31, 2022, unless sooner terminated as provided in the Lease Agreement dated the 1st day of January, 1997. . The Lessee reserves the option to renew this lease as to the property described in this subparagraph (a), for two consecutive five year terms provided written notice is provided the Lessor within 30 days of lease termination, or termination of the first option term, as the case may be; and e e (b) as to the 34 tie downs shown on Exhibit "B" attached hereto, incorporated by reference herein and made a part hereof for all purposes, the term of this Agreement shall be for a one year period commencing February 1, 2002, and terminating January 31, 2003, unless sooner terminated as provided in the Lease Agreement dated the 1st day of January, 1997. Said lease term shall continue thereafter on a year to year renewal basis, without further action of the parties, unless cancelled by the Lessee by 30 days written notice prior to the ~xpiration of the primary or any renewal term. Lessor reserves the right to cancel this Amended Lease, as to the property described in this subparagraph (b), in the event another party leases from Lessor, the fixed base operator site adjacent to the premises described in this subparagraph (b), and as more fully shown on Exhibit "B" attached hereto, incorporated by reference herein and made a part hereof for all purposes. Lessor shall give Lessee 120 days notice of such cancellation. (c) Lessor grants Lessee in consideration of the payment of a $500.00 lease option fee, a first option, which shall be effective through December 31, 2004, to lease the T- Hangar Site 4, as shown on Exhibit "A", attached hereto, incorporated by reference herein and made a part hereof for all purposes, upon the rental provided for T-Hangar sites in Article III, hereof, and for the term expiring as provided in Article I(a), hereof; provided, however, in the event that Lessor receives a bona fide offer from another party, for the lease of said T-Hangar Site 4, Lessee shall have. 30 days from written notice by Lessor to Lessee, to exercise Lessee's option. If Lessee fails within said 30 day time period, to exercise said option agreement on T-Hangar site 4, and enter into an amended lease with Lessor for T-Hangar Site 4, said option herein granted to Lessee shall be null and void, and Lessor may lease T-Hangar Site 4 to another party, without further rights or claims by Lessee. The term of the original Agreement and Lease, dated January 1, 1997, shall continue to be for the period commencing on January 1, 1997, and terminating December 31, 2017, unless sooner terminated as therein provided. Lessee reserves the option to renew the original Lease for two consecutive five year terms provided written notice is provided the Lessor within 30 days of the lease termination, or the termination of the first option term, as the case may be. The construction schedule for the three T-Hangar sites shown on Exhibit "An, is attached hereto as "Construction Schedule (Exhibit "C")", incorporated by reference herein, and made a part hereof for all purposes. . 2 e e ARTICLE III - RENTALS AND CHARGES Article III shall be amended by adding the following subparagraphs: 1. a For the Leased Premises, as described in Article II, subparagraph (a), of the three T-Hangar sites as shown on Exhibit nAn, and subparagraph (c), the option T-Hangar Site 4, rental shall be paid annually in advance in an amount of $1,645.00 per year, per T-Hangar site, or. $4,935.00 per year for the th~ee T-Hangar sites, based on January 1, 2002, rental rate of $0.14 per square foot per year. Rental for subsequent years u~der this paragraph shall be subject to increase in accordance with any increases in the Consumer Price Index for All Urban Consumers, with 2001 as a base year. Rental for the T- Hangar area shall commence on the earliest to occur of August 1, 2002, or the issuance of a certificate of occupancy by the City of La Porte. 1. b For the Leased Premises, as described in Article II, subparagraph (b), being the 34 tie down areas described on Exhibit liB" to this Amended Lease Agreement, the following rental: A. Lessee shall pay to Lessor, as additional rent, a sum equal to thirty percent (30%) of the gross revenues obtained from rental of tie-down spaces; provided, however, Lessee shall guarantee Lessor a yearly rental of not less that $144.00, multiplied by the 34 tie-downs leased; B. Rental for the 34 tie-downs shall be paid monthly, in a sum equal to 1/12th of the annual rental due, in advance, on the 1st day of each and every month. Cost of living indexing shall not apply to the rental and charges for the tie-down areas. Except and to the extent as amended hereby, the Agreement and Lease for fixed base operation at City of La Porte Municipal Airport, between the City of La Porte, as Lessor, and D.E. Aviation, Inc., as Lessee, shall remain in full force and effect. IN WITNESS WHEREOF, the parties have caused these presents to be signed by their duly authorized representatives. Lessor: BY: 3 e ATTEST: , ~.~ Martha A. Gillett City Secretary L ATTEST: ~~~. . . ~ Secretary 4 e Lessee: By: e e . "" "" "" "" .~ I I I ! IEXHIBll"A"1 e e / / / / Tract 2 (2 Acs.) 251.02' N ,.... cxi on ..., II. 88' ,.. 1:' t - 2Sl.CI5' T ... "8" E.X.H'IBI" '.:... . e e EXHIBIT "e" cessee's Construction Schedule Lessee covenants and agrees with Lessor to keep and maintain the following staged construction milestones in the planning and construction of three (3) T-Hangers shown on Exhibit "A". L Site Plan submitted by February 15, 2002 2. Construction begins by 4-1-02 3. Construction completed by 8-1-02