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HomeMy WebLinkAboutO-1972-932 . e ORDINANCE NO. 932 . AN ORDINANCE AUTHORIZING AND DIRECTING THE MAYOR AND THE CITY CLERK OF THE CITY OF LA PORTE FOR AND ON BEHALF OF THE CITY OF LA PORTE TO EXECUTE AND TO AFFIX THE SEAL OF THE CITY TO AN AGREEMENT OF LEASE BETWEEN THE CITY, AS LESSOR, AND GULF CENTRAL AVIATION, INC., AS LESSEE, FOR A PERIOD OF TWENTY YEARS, BEGINNING ON THE 1ST DAY OF JULY, 1972, and ENDING ON THE 30TH DAY OF JUNE, 1992, WITH OPTIONS FOR RENEWALS, FOR THE LEASE OF A PORTION OF THE CITY OF LA PORTE MUNICIPAL AIRPORT, TOGETHER WITH THE RIGHT TO USE APPURTENANT FACILITIES THEREAT, ACCORDING TO THE TERMS, PROVISIONS, AND CONDITIONS CONTAINED IN SAID AGREEMENT, A COPY OF WHICH IS ATTACHED HERETO AND MADE A PART HEREOF; PROVIDING A SAVINGS CLAUSE; AND PROVIDING AN EFFECTIVE DATE OF THIS ORDINANCE. WHEREAS, GULF.CENTRAL AVIATION, INC., a Texas corporation, desires to lease a portion of the City of La Porte Municipal Airport; and . WHEREAS, the CITY OF LA PORTE has agreed with the said GULF CENTRAL AVIATION, INC., upon the terms, conditions, and agreements of a lease for a period of twenty (20) years, with options to renew said lease for two further five-year periods all as therein provided; NOW, THEREFORE, BE IT ORDAINED BY THE CITY COMMISSION OF THE CITY OF LA PORTE, TEXAS: Section 1. That the Mayor and the City Clerk of the City of La Porte, Texas, be, and they are hereby authorized and directed to execute for and on behalf of said City an agree- ment of lease with Gulf Central Aviation, Inc., for a period . of twenty (20) years, beginning July 1, 1972, and ending June 30, 1992, with options for renewals, for the lease of a portion of the City of La Porte Municipal Airport, according to the terms, provisions, and conditions contained in such agreement, a copy of which is attached hereto, incorporated by reference herein, and made a part hereof for all purposes. Section 2. If any section, paragraph, clause, or sen- tence shall be declared void and unenforceable or unconstitu- tional, it is hereby declared to be the intention of the Commission that the remainder of such Ordinance shall remain in full force and effect. . e e Ordinance No. 932 , Page 2 . Section 3. This Ordinance shall take effect and be in force from and after its passage and approval. PASSED AND APPROVED this the 7th day of August, 1972. CITY OF LA PORTE ," , ~ BYZ,,~~ Ui/AJ E. A. Tomas, Mayor ATTEST :;.:>- ~2k~~~~ . C .' . -.; ~... -e', -,., e . THE STATE OF TEXAS X X COUNTY OF HARRIS X KNOW ALL MEN BY THESE PRESENTS: This Agreement of Lease, made the 1st day of JUly, 1972, by and betwe~n the CITY OF LA PORTE, a municipal corporation, Harris County, Texas, hereinafter called LESSOR, and GULF CENT~ AVIATION, INC." a Texas corporation having its principal office in Harris County, Texas, hereinafter called LESSEE, WIT N E SSE T H: That the Parties hereto, for and in consideration of the premises, and the rents, covenants and agreements contained herein, agree as follows: I. LESSOR hereby leases and rents to LESSEE, the following described portions of the City of La Porte Municipal Airport, hereinafter referred t.o simply as "Airporn", the boundaries of said leased portions being as shown on three surveyor's plats thereof, all attached hereto as "Exhibit A", incorporated by reference herein, and made a part hereof for all purposes, and being more particularly described by metes and bounds, as follows, to-wit: TRACT ONE: Deing a tract of land out of the La Porte Municipal Airport, said Airport being 300 Acres, more or less, out of the W. J. Payne' Subdivision of the W. M. Jones Survey, A-482, Harris County, Texas, ~ore particularly described as follows: BEGINNING for reference at a 1/2" iron pipe found for the Southwest corner of the La Porte Municipal Airport, said point being in the North right-of-way line at Spencer Highway; . , ' THENCE, S89033'E, a distance of 100.01 feet along the North right-of-way line of Spencer Highway to a point for ,corner; , THENCE, North, a distance of 452.47 feet to the POINT OF BEGINNING'of this tract; THENCE, continuing North, a distance of 261.64 feet to a point for the Northwest ,corner of this tract; . THENCE, N52054'48"E, a distance of 129.82 feet to a point for the Northeast corner of this tract; . '. .. . e e THENCE, S37005'12"E, a distance of 208.72 feet to a point for the Southeast corner of this tract, said point being 300 feet Northwesterly of the center line of the Southwest- Northeast Runway of the La Porte Municipal Airport; THENCE, S52054'48"W, parallel to and 300 feet Northwesterly of the center line of said Southwest-Northeast Runway, a distance of 287.58' to the POINT OF BEGINNING of this tract; Said tract containing 1.0000 Acres of land. TRACT TWO: Being e tract of land out of the La Porte Municipal Airport, said Airport being 300 acres, more or less, out of the W. J. Payne Subdivision of the W. M. Jones Survey, A-482, Harris County, Texas, more particularly described as follows: BEGINNING at the most Northeasterly corner of the M. L. Miller One-acre lease area of the La Porte Municipal Air- port; hereinafter referred to as Tract No.1; THENCE, N52054'48"E, a distance of 208.72 feet to a point for corner; THENCE, S37005'12"E, a distance of 208.72 feet to a point for corner; THENCE, S52054'48"W, a distance of 208.72 feet to a point for corner; said point being the Southeast corner of Tract No.1; THENCE, N37005'12"W, a distance of 208.72 feet, along the East line of Tract No.1, to the PLACE OF BEGINNING; Said tract containing One (1) acre of land. TRACT THREE: Being a 1.00~acre tract of land located in the City of La Porte Municipal Airport, La Porte, Harris County, Texas, and being hereinafter referred to as Lease Area Tract No.3, as shown on "Exhibit A", attached hereto and made a part hereof, said 1.00 acre Tract No.3 being more particularly described as follows: COMMENCING at the Southwest corner of the La Porte Munici- pal Airport, La Porte, Harris County, Texas; THENCE, S89033'E, along the South line of the La Porte Municipal Airport, said line being the North right-of-way line of Spencer Highway, a distance of 100.01 feet to a point for corner; THENCE, North, along the East side of a 100 foot wide drain- age and roadway reserve, a distance of 714.11 feet to a point for corner, said point being the Northwest corner of Lease Tract No.1; THENCE, N52054'48"E, along the Northwest line of Lease Tracts No. land 2, a distance of 338.54 feet to the POINT OF BEGINNING of this Lease Tract No.3; -2- . :. . ( . e e THENCE, S37005'12"E, along the No~theast line of Lease Tract No.2, a distance of 208.72 feet to a point for corner, . said point being 300 feet Northwesterly from' the center-line of the N.E. - S.W. Runway of the La Porte Municipal Airport, and the Southeast corner of Lease T~act No.2; THENCE, N52054'48"E, along a line parallel to and 300 feet Northwesterly from the center-line of the N.E. - S.W. Runway, said line also known as the Airport Building Line, a dis- tance of 208.72 feet to a point for corner; THENCE, N37005'12"W, a distance of 208.72 feet to a point for corner; THENCE, S52054'48"W, a distance of 208.72 feet to the POINT OF BEGINNING. II. This lease is made subject to all of the terms, ~gree- ments and conditions contained in that certain Deed from the United States of America, acti~g by and thro~gh War Assets Administrator" grantor, to the City.of La Porte, a municipal corporation" grantee, which Deed is dated the 4th day of June, 1947, and is recorded in the office of the County Clerk of Harris County, Texas, under County Clerk's File No. 433082. Reference ,to such deed is here made for all purposes, and such deed, and all of the covenants, terms, ~greernents and conditions therein con- tained, are hereby incorporated by reference herein, as fully . as tho~gh contained herein. Further, LESSOR herein has heretofore entered into an ~greement with the Federal Aviation ~gency (hereinafter called the "F.A.A."), in which it ~greed that LESSOR will operate the Airport for the use and benefit of the public, on fair and reasonable terms, and without unjust discrimination. In further- ance of this covenant (but without 1imiti~g its, general applica- bility and effect), the CITY ,OF LA PORTE did specifically covenant and ~gree with the F.A.A., which covenants and ~greernents are expressly made a part of this ~greernent, as follows, to-wit: a. That in its operation and the operation of all facilities on the airport, neither it nor any person or o~ganiza- tion occupyi~g space o~ facilities thereon will discriminate against any person or class of persoris by reason of race, color, creed, or national or~gin in the use of any of the facilities -3- . . . . e e provided for the public on the Airport. B. That in any agreement, contract, lease or other arrangement under which a right or privilege at the Airport is granted to any person, firm, or corporation to render to the public any service (including the furnishing or sale of any aeronautical parts, materi~ls, pr supplies) essential to the operation of aircraft at the Airport, the CITY ,OF LA PORTE will insert and enforce provisions requiri~g the contractor: (1) to furnish said service on a fair, ~qual, and not unjustly discriminatory basis to all users thereof, and (2) to cha~ge fair, reasonable, and not unjustly discriminatory prices for each unit or service; Provided, that the contractor may be allowed to make reasonable and nondiscriminatory discounts, rebates, or other similar types of price reductions to volume purchasers. c. That it will not exercise or. grant any r~ght or privil~ge which would operate to prevent any person, firm or corporation operating aircraft on the Airport from performing any services on its own aircraft with its 'own employees (in- cludi~g, but not limited to maintenance and repair) that it may choose to perform. d. In the event the CITY OF LA PORTE itself exercises any of the r~ghts and privil~ges referred to in subsection b, the services involved will be provided on the same conditions as would apply to the furnishi~g of such service~ by contractors or concessionaires of the CITY OF LA PORTE under the provisions of such subsection b. III. ' This lease is also subject to all Federal and State statutes and administrative r~gulations touchi~g upon aviation, to the extent that they, affect the City of La Porte Municipal Airport and LESSEE's operations, and LESSOR and LESSEE each . , covenant to abide by all such statutes and administrative regulations. -4- ~ . . . . e e IV. This lease is for the non-exclusive use of the La Porte Municipal Airport by LESSEE, such non-exclusive use to be in common 'with other authorized users thereof. LESSEE shall have full and unrestricted access to and ~gress from the demised premises and the said Airport, and between the premises and the Airport,for LESSEE, aircraft operated by LESSEE, its employees, passe~gers" guests" patrons, invitees, suppliers of materials, and furnishers of service, its or their equipment, vehicles, machinery and other property, without cha!ge to or on said employees, passe~gers, guests, patrons, invitees, suppliers of materials and furnishers of service, or their said equipment, , .,". vehicles, machinery, or other property, and without cha!ge to LESSE~, except as in this instrument expressly provided for. v. LESSEE shall have the r~ght to maintain on said field and within the limits above described, an F.A.A. certified train- \ I, I ing schoo~,and to carryon commercial air activities such as a I charter plane service for both ca!go and passe~gers, s~ght-seeing tours, repair and maintenance shops for aircraft, sale of air- craft, stor~ge of aircraft, and the like;' and, for carryipg on these activities, it is understood and ~greed that LESSEE shall have a right to all necessary use of all landipg strips for the take-off and landipg,of aircraft. VI. The term of this lease is for a period, beginning on the 1st day of July, 1972, and ending on the 30th day of June, 1992 (provided, however, that LESSOR does give and grant to LESSEE the option to renew its lease on said premises for an additional term of five (5) years from and after the 30th day of June, 1992, at an annual rental as hereinafter provided; LESSEEsh~ll also haye the option to renew said lease for a second five-year period commencing on the 1st day of July, 1997. LESSEE shall exercise -5- . . . . e e said option(s) by giving LESSOR written notice of his intention to renew not later than sixty (60) days prior to the expiration of the existing lease or renewal thereof. Annual rental for the term of each renewal option period shall be at the then estab- lished current rental rates at the Airport, provided, however, that such rentals shall not be less than the annual rental during the primary term hereof, as provided in Paragraph VII. Upon the expiration date of this lease or any renewal or extension hereof, no notice to quit possession shall be neces- sary, and LESSEE covenants to peaceably surrender possession of the premises to LESSOR on that date. VII. As rent for the use and occupancy of the leased premises, LESSEE hereby agrees, binds and obligates itself to pay unto LESSOR the sum of Fifty-two Thousand Two Hundred Seventy-two Dollars ($52,272.00), which shall be payable in annual installments as follows: The sum of Two Thousand Six Hundred Thirteen Dollars and Sixty Cents ($2,6l3.60) shall be paid in cash, upon execution of this lease; and The further sum of Two Thousand Six Hundred Thirteen Dollars and Sixty Cents ($2,6l3.60) shall be paid annually in advance, on the first day of July, 1973, and thereafter on the 1st day of July of each and every succeeding calendar year, through and including an annual installment which shall be due and payable on or before the 1st day of JUly, 1991, each of which said annual installments shall be in the sum of Two Thousand Six Hundred Thirteen Dollars and Sixty Cents ($2,613.60). In the event of the exercise by LESSEE of the options to extend the terms of this lease, the annual rental shall be payable in the same manner as herein provided. VIII. Failure to pay anyone or more installments of rent when due, or within ten (10) days after the same shall become due, shall terminate this lease, at the option of the LESSOR. -6- . . ". ',. e e IX. LESSEE shall have the r~ght to sell or assign this lease, or to sublet the leased premise~, or any part thereof, provided that LESSEE shall remain liable and responsible to LESSOR for the payment of all rentals to become due under this lease, and for the performance of all of the ,terms, conditions and ~greements herein contained. X. LESSEE shall have the further r~ght to erect any and all buildings and structures on that portion of the airfield hereinabove described as may be necessary for the conduct of its business, provided that such buildi~gs and structures do not interfere with the operation of the field. No buildi~gs or other structures shall be placed by LESSEE nearer than three hundred (300) feet to the center-line of any runway. The LESSOR shall not construct or ,place, or permit to be constructed or placed, any buildi~g or structure nearer than three hundred (300) feet to the center-line of said runways. All ha~gars and other buildings or structures erected or placed on the hereinabove described property by LESSEE shall be new and of modern des~gn and conform in appearance to those buildings and structures now located on said airfield. All buildings shall be designed to withstand wind 'velocity requirements of the Southern Standard Building Code, Coastal Division, and shall be of steel construc- tion, with concrete slab. Prior to commencement of construction, buildi~g plans and specifications shall be approved by LESSOR. XI. LESSEE shall be obligated to maintain its leased premises in a good state of repair and neat appearance, and keep the grass mowed at all times. LESSEE shall restrict its opera- tions (other than its r~ght to use the common facilities of the Airport) to its leased area hereinabove described. Taxiway access shall be at a point alo~g the Southeast property line of -7- . ~. . e e the demised area, bei~g the line havi~g a dimension of 287.58 feet. LESSEE shall provide necessary permanent sanitary facilities, telephone, personnel, waiti~g room,and other services that may be required to protect the health, welfare and safety of LESSEE's patrons. LESSOR shall have no responsibility to provide utility service of any nature to tne leased premises. In providing utilities service to the leased premises, LESSEE shall not allow any such facilities to be installed nearer than three hundred (300) feet to the center-line of any runway. Fuel stor~ge shall be underground, and tanks and pumps shall be installed in accord- ance with State and local codes applicable thereto. XII. No exclusive r~ghts are, granted to LESSEE to use the said Airport and the LESSOR reserves the r~ght to make leases of portions of said Airport to other parties. XIII. Said airfield is a municipal airport, under the . control and direction of the LESSOR. The LESSOR shall make no use of said airfield which would substantially impair the opera- tions of the LESSEE. XIV. LESSEE ~grees to obtain and maintain at his sole cost and expense, publi~ liability insurance and property damage insurance on the leas~d premises to protect LESSOR and LESSEE against all loss or damage from the claims of all persons who may be in or on these premises by the invitation, consent or -8- . '. -- . e e xv. LESSEE shall use due care and dil~gence in all activi- ties and operations on the premises and the Airport, and will indemni'fy and sav~ LESSOR harmless from any liabilities, loss, costs or other expense of any nature, ,caused solely by any n~gl~gence of LESS~E or any employee or ~gent.of LESSEE and without the contributory n~gligence of LESSOR. LESSOR shall give LESSEE immediate notice of any matter covered hereby and'shall forward to LESSEE every demand, notice, summons or other process received in any claim or l~gal proceedi~g covered hereby. XVI. In case of bankruptcy or insolvency on the part of LESSEE, or in case of any receiver bei~g appointed to take cha~ge of the property, or any portion of the property of LESSEE, in or upon the premises hereby leased, then and in such event the LESSOR may, at its option, declare this lease to be terminated or forfeited by the LESSEE;. and LESSOR shall be entitled in such event to the immediate possession of such premises and no receiver, trustee in bankruptcy, or ass~gns for the benefit of creditors shall acquire in any such case any of the r~ghts of the LESSEE hereunder; the landlord's lien, however, in such event, shall not cease and the liability of the LESSEE for the damages on account of any breach of any obl~gation to be performed by the LESSEE under the terms, of this lease shall continue and remain in full force and effect. XVII. Failure on the part of the LESSEE to perform any of the terms, ~greernents, conditions and covenants imposed by this lease shall, at the option of the LESSOR, cancel the lease and all r~ghts of LESSEE shall be thereupon terminated and all buildi~gs and permanent improvements placed on said Airport by LESSEE shall become the property of the LESSOR; provided, however, LESSEE shall have sixty (60) ~ays written notice from LESSOR in which to -9- e e . correct any default before cancellation, except that no notice shall be required for failure to pay any installment of rental ,as herein provided. In the event that LESSEE fails to correct any such default duri~g such sixty (60) day period,LESSOR, its ~gents or attorneys, shall have the r~ght to 're-enter and remove all persons therefrom without bei~g deemed, guilty of any manner of trespass and without prejudice to any remedies for arrears of rent or breach of covenant, or LESSOR, its ~gents or attorneys, may resume possession of the premises and re-let the same for the remainder of the term for the best rental it may obtain, for account of LESSEE, which shall make good any deficiency. In . addition to all buildings and permanent improvements placed on said Airport by LESSEE becoming the property of the LESSOR, LESSOR shall have a lien as security for the rent aforesaid upon all the improvements, additions, equipment and other personal property which LESSEE may place on and in the leased premises. The failure of the LESSOR to insist in anyone or mOre instances I upon performance of any of the terms or conditions of this lease i shall not be construed as a waiver or relinquishment of the future ,I performance of any. such term or condition. XVIII. .., '. Upon the termination of this lease, and any extensions thereof under the options herein expressly provided (which termination is not by ,reason of failure on the part of the LESSEE to perform any of the terms, agreements, conditions and covenants imposed by this lease), it is understood and agreed between the . parties that their r~ghts, as to any permanent improvements erected on the field by LESSEE, shall be as follows: ~ny permanent improvements erected on the leased premises by LESSEE shall be the property of 'LESSEE. It is further agreed that LESSOR shall have a first option ,to purchase said improvements from LESSEE. For the purpose of arriving at the value'of such improvements for sale purposes, LESSEE and LESSOR shall each select -10- . '. '. . e e an arbiter, ,and such two arbiters shall select a third, and such three arbiters shall agree upon a purchase-sale price for said improvements. If LESSOR does not exercise its option to purchase said improvements, LESSEE shall have the r~ght to sell said improvements to other parties. Any expenses incident to the con- duct of such arbitration shall be borne equally by LESSEE and LESSOR. XIX. LESSOR covenants that LESSOR 'has good r~ght and lawful authority to execute this Lease, that throughout the term hereof LESSEE shall have, hold and enjoy peaceful and uninterrupted possession of all of the Premises and Airport r~ghts herein and hereby leased and, granted, subject always to the payment of the rent and the performance of the covenants, as herein provided to be paid and performed by LESSEE. XX. Notices provided for in this Lease shall be sufficient if sent by registered mail, post~ge prepaid, addressed, if to LESSOR, to the City of La Porte, Attention: Mayor, La Porte, Texas; and, if to LESSEE, to Mr. M. L. Miller, 301 S. Idaho, La Porte, Texa~ 77571, or to such other respective addresses as the Parties hereto may des~gnate in writing from time to time. XXI. This Agreement of Lease is in renewal, rearrangement, and extension, but not in extinguishment, of that certain Lease Agreement by and between the City of La Porte, LESSOR, and M. L. Miller, LESSEE, dated July l, 1967, for Tract One described above; and that certain Agreement of Lease, dated July 1, 1968, by and between the City of La Porte, LESSOR, and Gulf Central Aviation, Inc., a Texas corporation, LESSEE, as to Tract Two, described above. The said M. L. Miller joins in the execution of this l~ase, to evidence his agreement to assign all of his rights as Lessee unde~ said Agreement of Lease dated July 1, 1967, to Gulf Central Aviation, Inc. -11- . . .. . e e XXII. All references herein contained to LESSOR and to LESSEE, shall be deemed to include the heirs, successors, assigns, and legal representatives of each. IN WITNESS WHEREOF, the Parties hereto have hereunto signed and sealed this instrument in several duplicate originals, this the 1st day of July, 1972. '" CITY OF LA PORTE LESS0R BYZ ~ 773~ E. A. ~YOr ./ ATTEST: ?,~:.u~~~// ~t lerk GULF CENTRAL AVIATION, INC. LESSEE By ~~ y:: Jfd~7 ) Tomas F. Helenberg, Vice President ATTEST: ~l~ %l/pJ Secretary-Treasurer . . . '. ". <4 ./ ~" ./ tt V // It ..1)" I ./ 1- . V~ ./ ,It /0'/ ,ltfJ .../' I,~' I .t';~';", ,J (V 1.,~ ~~'t;./ \~ voJY '6"" .~... tJ)/ l' I ~;": '\"'~'" ~~ 1/" 'C) '~ f.c{ Ir, , ' , - fJ(J ~' \..:-. - /"' yA'fl. 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