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HomeMy WebLinkAbout09976 ORD - 11/04/1970B,Iw:8/25/70 AN ORDINANCE AUTHORIZING AND DIRECTING THE CITY MANAGER TO EXECUTE A LEASE AGREEMENT BETWEEN THE CITY OF CORPUS CHRISTI AND RIO AIRWAYS, INC. COVERING THE RENTAL OF SPACE AT THE INTERNATIONAL AIRPORT AND THE USE OF SAID AIRPORT, A COPY OF SAID LEASE BEING ATTACHED HERETO AND MADE A PART HEREOF. BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CORPUS CHRISTI, TEXAS: SECTION 1. THAT THE CITY IS HEREBY AUTHORIZED AND DIRECTED TO EXECUTE A LEASE AGREEMENT BETWEEN THE CITY OF CORPUS CHRISTI AND RIO AIRWAYS, INC. COVERING THE RENTAL OF SPACE AT THE CORPUS CHRISTI INTERNATIONAL AIRPORT AND THE USE OF SAID AIRPORT, A COPY OF SAID LEASE BEING ATTACHED HERETO AND MADE A PART HEREOF FOR ALL INTENTS AND PURPOSES AS IF COPIED VERBATIM HEREIN. 9976 THE STATE OF TEXAS Q COUNTY OF NUECES Q THIS LEASE AGREEMENT, MADE AND ENTERED INTO THIS THE DAY OF , 1970, BY AND BETWEEN THE CITY OF CORPUS CHRISTI, ACTING HEREIN BY AND THROUGH ITS CITY MANAGER, WITH AUTHORITY DULY CON- , FERRED BY THE CITY COUNCIL, A MUNICIPAL CORPORATION, ORGANIZED AND EXIST- ING' UNDER THE LAWS OF THE STATE OF TEXAS, SITUATED IN NUECES COUNTY, TEXAS, HEREINAFTER REFERRED TO SOMETIMES AS LESSOR, AND R10 AIRWAYS, INC. , HEREINAFTER SOMETIMES REFERRED TO AS LESSEE, W I T N E S S E T H ARTICLE PREMISES ,LESSOR, AS SPONSOR AND OWNER OF THE CORPUS CHRISTI INTERNATIONAL AIRPORT, LOCATED IN NUECES COUNTY, TEXAS, DOES HEREBY, FOR THE USES AND PURPOSES AND FOR THE CONSIDERATION AS HEREINAFTER STATED, DE141SE AND LET UNTO LESSEE, AND LESSEE DOES HEREBY HIRE AND TAKE FROM LESSOR, THE FOLLOW- ING PREMISES AND, WITHOUT LIMITING THE GENERALITY HEREOF, THE FOLLOWING FACILITIES, RIGHTS, LICENSES AND PRIVILEGES ON ANO IN CONNECTION WITH THE AIRPORT, AS MORE PARTICULARLY HEREINAFTER SET FORTH: A. USE OF AIRPORT. THE USE BY LESSEE, ITS EMPLOYEES, PASSENGERS, GUESTS, PATRONS AND INVITEES, IN COMMON WITH OTHER DULY AUTHORIZED'USERS, OF THE PUBLIC PORTIONS OF SAID AIRPORT AND APPURTENANCES, THE SAME BEING ON FILE IN THE OFFICE OF THE CITY SECRETARY AND MADE A PART OF ORDINANCE . ND. 9503 FOR MORE PARTICULAR REFERENCE, TOGETHER WITH ALL FACILITIES, IMPROVEMENTS, EQUIPMENT AND SERVICES WHICH HAVE BEEN OR MAY BE HEREAFTER PROVIDED FOR COMMON USE AT OR IN CONNECTION WITH SAID AIRPORT. B. SPECIFIC RIGHTS AT AIRPORT. IN ADDITION TO ALL RIGHTS ELSE- WHERE GRA14TED IN THIS AGREEMENT, THE LESSEE SHALL HAVE THE RIGHT TO USE THE AIRPORT FOR THE FOLLOWING SPECIFIC PURPOSES: (1) THE OPERATION OF A TRANSPORTATION SYSTEM BY AIRCRAFT FOR THE CARRIAGE OF PERSONS, PROPERTY AND NAIL, 114CLUDING ALL ACTIVITIES REASON- ABLY NECESSARY TO SUCH OPERATION, HEREINAFTER • REFERRED TO AS °AIR TRANS- PORTATION"; (2) THE LANDING, TAKING OFF, LOADING, UNLOADING, REPAIR- ING, MAINTAINING, CONDITIONINGS SERVICING, PARKING STORING AND TESTING OF AIRCRAFT OR OTHER EQUIPMENT INCLUDING THE USE OF A REASONABLE A14OUNT OF CONVE141ENTLY LOCATED RAMP AREA WHICH LESSOR WILL KEEP IN GOOD REPAIR, AND INCLUDING THE RIGHT TO ERECT OR INSTALL AND MAINTAIN ON SAID AIRPORT, AT LOCATIONS TO BE MUTUALLY AGREED UPON, ADEQUATE STORAGE FACILITIES FOR GASOLINE, OIL, GREASES AND OTHER FUEL OR SUPPLIES2 AT CONVENIENT LOCATIONS, IN ACCORDANCE WITH INSURANCE UNDERWRITERS' STANDARDS, TOGETHER WITH THE NECESSARY PIPES, PUMPS., MOTORS, FILTERS AND OTHER APPURTENANCES INCIDENTAL TO THE USE THEREOF; SUCH STRUCTURES AND APPURTENANCES TO BE AND REMAIN THE SEVERABLE PROPERTY OF LESSEE; • (3) THE SALE OF TICKETS DOCUMENTATION OF SHIPMENTS HANDLING OF RESERVATIONS, AND THE LOADING AND UNLOADING OF PERSONS PROPERTY AND MAI L AT SAID AIRPORT BY SUCH I40TOR VEHICLES OR OTHER MEANS OF CONVEYANCE AS LESSEE MAY DESIRE OR REQUIRE IN THE OPERATION OF ITS AIR TRANSPORTATION SYSTEM, WITH THE RIGHT TO DESIGNATE THE PARTICULAR CARRIER OR CARRIERS WHO SHALL OR MAY REGULARLY TRANSPORT LESSEE'-S PASSENGERS AND CARGO TO AND FROM THE AIRPORT, PROVIDED HOWEVER, THAT NOTHING CONTAINED HEREIN SHALL PREVENT THE CITY FROM GRANTING THE - FRANCHISE OR FRANCHISES FOR LIMOUSINE SERVICE; (4) THE PURCHASE AT SAID AIRPORT.OF LESSEES REQUIREMENTS OF GASOLINE, FUELS GREASES FOOD AND OTHER PASSENGER SUPPLIES AND ANY OTHER MATERIALS AND SUPPLIES FROM ANY PERSON OR COMPANY OF LESSEES CHOICE, AND THE MAKING OF AGREEMENTS WITH ANY PERSON OR COMPANY OF LESSE£'S CHOICE FOR WORK TO BE DONE FOR LESSEE; (5) THE INSTALLATION AND OPERATION OF IDENTIFYING SIGNS ON THE LEASED PREMISES, THE GENERAL TYPE AND DESIGN OF SUCH SIGNS TO BE SUBJECT TO THE APPROVAL OF THE AIRPORT MANAGER, SUCH APPROVAL NOT TO BE ARBITRARILY WITHHELD; (D) THE INSTALLATION, MAINTENANCE AND OPERATION OF SUCH.RADIO, COMMUNICATION, METEOROLOGICAL AND AERIAL NAVIGATION EQUIPMENT AND FACILITIES IN, ON AND ABOUT THE PREMISES HEREIN LEASED AND SAID AIRPORT AS 14A Y BE NECES- SARY OR CONVENIENT IN THE OPINION OF THE LESSEE FOR ITS OPERATIONS; PROVIDED THAT THE LOCATION OF SUCH EQUIPMENT AND FACILITIES AS 14IGHT INTERFERE WITH -2- FULL AND PROPER USE OF THE AIRPORT SHALL BE SUBJECT TO THE APPROVAL OF' THE AIRPORT MANAGER, SUCH APPROVAL NOT TO BE ARBITRARILY WITHHELD; THE RIGHTS, LICENSES AND PRIVILEGES GRANTED THE LESSEE UNDER THIS ARTICLE I WITH RESPECT TO THE PERFORMANCE OF GROUND SERVICES AND - ACTIVITIES IN CONNECTION WITH ITS AIR TRANSPORTATION OPERATIONS AT THE AIRPORT MAY BE EXERCISED BY THE LESSEE FOR AND ON BEHALF OF THE LESSEE BY ANY COMPANY OR PERSON DESIGNATED BY LESSEE. -- C. EXCLUSIVE SPACE IN TERMINAL BUILDING. THE EXCLUSIVE USE OF A TOTAL OF APPROXIMATELY a9O SQUARE FEET OF SPACE, WHICH INCLUDES 188 SQUARE FEET OF COUNTER SPACE, 396 SQUARE FEET OF AIR CONDI- TIONED SPACE, AND 306 SQUARE FEET OF NON -A.IR CONDITIONED SPACE, SUBJECT TO ACTUAL MEASUREMENT AT THE TIME OF TAKING POSSESSION, IN THE TERMINAL BUILDING, AS THE SAME IS MORE PARTICULARLY SET. FORTH AND SHOWN ON PLANS t AND SPECIFICATIONS MARKED EXHIBIT "B ", ATTACHED AND MADE A PART OF ORDINANCE NO. 9503 , ON FILE IN THE OFFICE OF THE CITY SECRETARY FOR MORE PARTICULAR REFERENCE, FOR SUCH USES AS LESSEE MAY DESIRE TO MAKE THEREOF IN CONNECTION WITH OR INCIDENTAL TO ITS OPERATION OF AN AIR TRANSPORTATION SYSTEM. THE LESSEE SHALL HAVE THE RIGHT AND OPTION AT ANY TIME AND FROM TIME TO TIME DURING THE TERM HEREOF AND OF ANY EXTENSION OR RENEWAL, TO LEASE FOR THE EXCLUSIVE USE OF ITSELF OR OF ANY AIR•TRANSPORT COMPANY SUBSIDIARY TO OR AFFILIATED WITH IT, ANY ADDITIONAL SPACE AT THE AIRPORT NOT NECESSARY TO THE LESSOR'S OPERATION OF THE AIRPORT AND AT THE TIME NOT LEASED TO OTHERS, WHETHER SUCH SPACE IS ADJACENT TO THE SPACE LEASED HEREUNDER OR OTHERWISE, TOGETHER WITH ANY OR ALL RIGHTS, FACILITIES, LICENSES, AND PRIVILEGES - APPURTENANT TO SUCH SPACE AND TO THE AIRPORT, UPON THE SAME GENERAL TERMS AND CONDITIONS AS ARE HEREIN ESTABLISHED. -- D. PARKING SPACE. THE USE BY LESSEE AND ITS EMPLOYEES, IN COMMON ONLY WITH THE OTHER AIR TRANSPORT OPERATORS WHO MAY BE LESSEES OF SPACE AT THE AIRPORT AND THEIR EMPLOYEES, OF ADEQUATE VEHICULAR PARKING SPACE LOCATED AS NEAR AS POSSIBLE TO SAID TERMINAL BUILDING. A MAXIMUM CHARGE OF $2.50 PER MONTH PER EMPLOYEE MAY BE MADE FOR THE USE OF THIS SPACE. THE CHARGE WILL BE LEVIED ONLY IN THE EVENT THAT ADDITIONAL PARKING SPACE MUST BE BUILT TO ACCOMMODATE EMPLOYEES' VEHICLES. E. RIGHT OF ACCESS, INGRESS AND EGRESS. THE FULL AND UNRESTRICTED RIGHTS OF ACCESS, INGRESS AND EGRESS WITH RESPECT TO THE PREMISES OUTLINED IN PARAGRAPHS A TO D ABOVE, FOR LESSEE, ITS EMPLOYEES, PASSENGERS, GUESTS, -3- PATRONS INVITEES] SUPPLIERS OF MATERIALS AND FURNISHERS OF SERVICE, ITS OR THEIR AIRCRAFT EQUIPMENTS VEHICLES, MACHINERY AND OTHER PROPERTY, WITH- OUT CHARGE TO LESSEES OR TO SAID PERSONS OR PROPERTY. ARTICLE II r TERM LESSEE SHALL HAVE AND HOLD SAID PREMISES FACILITIES RIGHTS] LICENSES AND.PRIVILEGES SET FORTH IN PARAGRAPHS A TO E INCLUSIVEj OF ARTICLE i, FOR A TERM COMMENCING ON THE 8TH DAY OF AUGUST, 1970, AND TERMINATING AT THE END OF THE 7TH DAY OF AUGUST, 1975, UNLESS SOONER TERMINATED AS HEREIN- AFTER PROVIDED. ARTICLE III QUIET ENJOYMENT LESSOR REPRESENTS.THAT IT HAS THE RIGHT TO LEASE SAID PROPERTY AND APPURTENANCES TOGETHER WITH ALL THE FACILITIES, RIGHTS LICENSES AND PRIVI- LEGES HEREIN GRANTED, AND HAS FULL POWER AND AUTHORITY TO ENTER INTO THIS LEASE IN RESPECT THEREOF AND COVENANTS THAT UPON PERFORMANCE OF THE AGREE- MENTS ON THE PART OF LESSEE TO BE PERFORMED HEREUNDER, LESSEE SHALL PEACEABLY HAVE AND ENJOY SAID PREMISES APPURTENANCES, FACILITIES] RIGHTS LICENSES AND PRIVILEGES. ARTICLE IV DEVELOPMENT, PMINTENANCE AND OPERATION OF AIRPORT LESSOR AGREES THAT IT WILL DEVELOP AND IMPROVE] AND AT ALL TIMES MAINTAIN AND OPERATE WITH ADEQUATE AND EFFICIE14T PERSONNEL AND KEEP IN GOOD REPAIR SAID AIRPORT AND TERMINAL BUILDING, AND THE APPURTENANCES, FACILITIES AND SERVICES Noll OR HEREAFTER CONNECTED THEREWITH AND KEEP SAID AIRPORT AND ITS APPROACHES FREE FROM OBSTRUCTIONS CONGESTION AND INTERFERENCE FOR THE SAFE] CONVENIENT AND PROPER USE THEREOF BY LESSEE] AND WILL MAINTAIN AND OPERATE SAID AIRPORT 50 AS TO ENTITLE IT TO THE APPROVED RATING BY THE FEDERAL AVIATION AGENCY AND ALL OTHER APPROPRIATE REGULATORY AUTHORITIES IN RESPECT TO ALL PRESENT AND FUTURE OPERATIONS OF LESSEE. LESSOR SHALL PROVIDE ADEQUATE ILLUMINATION FOR THE LOADING RAMP AREA ADJACENT TO THE TERMINAL BUILDING WITH A MINIMUM OF THREE FOOT CANDLES AT A DISTANCE OF 75 FEET FROM THE RA14P FENCE LINE. -4- • IT IS EXPRESSLY UNDERSTOOD THAT THE LESSOR WILL PEEP THE PUBLIC SPACE IN THE TERMINAL BUILDING ATTRACTIVELY FURNISHED, AND WILL PROVIDE AND SUPPLY ADEQUATE LIGHT, ELECTRICITY AND WATER FOR THE PUBLIC SPACES HEAT DURING COLD WEATHER AND AIR CONDITIONING DURING WAR14 WEATHER SUFFICIENT TO KEEP THE BUILDING AT A REASONABLE TEMPERATURES JANITORS AND OTHER CLEANERS NECESSARY TO KEEP THE AIRPORT AND ALL SPACESj INCLUDING LESSEE'S EXCLUSIVE SPACE, IN THE TERMINAL BUILDING AT ALL TIMES CLEAN, NEAT, ORDERLY, SANITARY AND PRESENTABLE; SUCH PERSONNEL AS MAY BE NECESSARY TO FACILITATE THE USE OF THE AIRPORT AND TERMINAL BUILDING AND THE APPURTENANCES, FACILITIES AND SERVICES AS AFORESAID BY ANY ONE HEREUNDER ENTITLED TO USE THE SAME. LESSOR AGREES THAT IT WILL PROVIDE, IN LESSEE'S EXCLUSI -VE SPACES DOMESTIC WATER, MECHANICAL EQUIPI4 ENT AND PIPING NECESSARY FOR COOLING AND HEATING LESSEE'S EXCLUSIVE SPACE TOGETHER WITH THE NECESSARY HOT AND COLD WATER TO AIR CONDITION AND HEAT SAID SPACE. ARTICLE V SPACE FOR GOVERNMENT AGENCIES THE LESSOR COVENANTS AND AGREES THAT IF IT SHOULD FURNISH SPACE AND FACILITIES. IN THE TERMINAL BUILDING FOR THE USE OF ANY GOVERNMENTAL AGENCY OR DEPARTMENT REQUIRING SPACE THEREIN, SUCH SPACE AND FACILITIES SHALL BE FURNISHED WITHOUT CHARGE TO THE LESSEE. ARTICLE VI RULES AND REGULATIONS LESSEE COVENANTS AND AGREES TO OBSERVE AND OBEY ALL REASONABLE AND LAWFUL RULES AND REGULATIONS NOT IN CONFLICT WITH THE PROVISIONS HEREOF WHICH MAY FROM TIME TO TIME DURING THE TERM HEREOF BE PRO14ULGATED AND EN- FORCED BY LESSOR FOR OPERATION AT SAID AIRPORT. ARTICLE VII RENTALS AND FEES LESSEE AGREES TO PAY LESSOR FOR THE USE OF ALL THE PREMISES, FACILI- TIES, RIGHTS LICENSES AND PRIVILEGES GRANTED HEREUNDER THE FOLLOWING RENTALS, FEES AND CHARGES: 1. TICKET COUNTER AREA $6.00 PER S0. FT. PER ANNUM Z. AIR CONDITIONED OFFICE SPACE 5.550 PER SQ. FT. PER AN14UM 3. NON -AIR CONDITIONED SPACE 4.50 PER SQ. FT. PER ANNUM -5- i` 0 4- $4.50 PER MONTH FOR EACH EXCLUSIVE PUBLIC ADDRESS MICROPHONE LOCATED IN LESSEES EXCLUSIVE SPACE. 5. $4.50 PER MONTH FOR EACH INTER - COMMUNICATION INSTRUMENT LOCATED IN LESSEES EXCLUSIVE SPACE. IN THE EVENT THAT IT BECOMES MUTUALLY AGREEABLE TO INSTALL AN INTERCOMMUNICATION SYSTEM BY THE SOUTHWEST BELL TELEPHONE COMPANY SO THAT THE INTERCOMMUNICA- TION SYSTEM IS NOT PROVIDED BY LESSOR, THEN THIS CHARGE SHALL NOT BE MADE. 6. LESSEE AGREES TO PAY FOR THE ELECTRICAL ENERGY CONSUMED BY LESSEE IN LESSEES EXCLUSIVE SPACE ON A METERED BASIS AT CITY'S COST. 7. LESSEE MAY FROM TIME TO TIME RENT SPACE ON THE AIRFIELD UPON TERMS MUTUALLY AGREED UPON BETWEEN THE PARTIES AND AT SUCH LOCATIONS AS MAY BE MUTUALLY AGREED UPON FOR THE LOCATION OF SHOP SPACE. 8. LESSEE MAY FROM TIME TO TIME LEASE SPACE FOR THE STURAGE OF FUELS AND PROPELLENTS AT A MUTUALLY AGREED UPON LOCATION ON THE AIRFIELDS UPON TERMS AND CONDITIONS MUTUALLY AGREED UPON BETWEEN THE PARTIES. 9. LESSOR WILL RELAMP THE ELECTRICAL OUTLETS WITHIN LESSEE'S EXCLUSIVE AREA FOR THE ACTUAL COSTS EXCLUSIVE OF LABOR, TO LESSOR OF THE LAMPS ACTUALLY USED. 10. LANDING FEES WILL BE PAID BY LESSEE ACCORDING TO THE FOLLOWING SCHEDULE: FIRST YEARS 12¢; SECOND YEARS 12¢; THIRD YEARS 13¢; FOURTH YEARS 13¢; AND FIFTH YEAR. 13¢ PER THOUSAND POUNDS OF THE CERTIFIED MAXIMUM GROSS LANDING WE_IGHT'OF LESSEES AIRCRAFT LANDED AT THE AIRPORT. LANDING FEES WILL BE COMPUTED ON THE _ BASIS•OF THE ACTUAL•NUMBER OF LANDINGS MADE AT THE AIRPORT UNTIL THE INSTRUMENT LANDING SYSTEM AND RUNWAY 13 -31 ARE RE- COMMISSIONED. AFTER THAT DATES LANDING FEES WILL BE COMPUTED ON THE BASIS OF THE PUBLISHED SCHEDULE EFFECTIVE THE FIRST DAY OF THE MONTH ON FILE WITH THE TEXAS AERONAUTICS BOARD. BUT NO CHARGE WILL BE MADE FOR COURTESY] TESTS TPN NING, OR ANY OTHER NON- REVENUE FLIGHT. 11. BAGGAGE CLAIM AREA WILL BE PAID BY LESSEE AT THE RATE OF $243.75 PER ANNUM PLUS PERCENT (%) OF ENPLANING PASSENGERS X $3,900 PER ANNUM. TO EFFECTUATE THIS RENTAL PROVISIONS IT IS UNDERSTOOD AND AGREED THAT THE BAGGAGE CLAIM AREA CONTAINING 3,750 SQ. FT. WILL BE PAID FOR JOINTLY BY BRANIFF AIRWAYS, EASTERN AIR LINES RIO AIRWAYS AND TEXAS INTERNATIONAL AIR- , LINES AT THE RATE OF $1.30 PER SQ. FT. PER ANNUM; 20% OF THE RENT WILL BE SHARED EQUALLY WHICH IS $975 PER YEAR, OR $243 -75 PER AIRLINE. THE REMAINING 80 %, OR $3,900, WILL BE PAID ACCORDING TO THE FOLLOWING FORMULA: ENPLANING PASSENGERS OF INDIVIDUAL AIRLINE X $3,900 TOTAL PASSENGERS ENPLANED BY BRANIFF, EASTERN TEXAS INTERNATIONAL�AND R10 THE BAGGAGE CLAIM AREA RENT WILL BE CALCULATED MONTHLY AND PAID IN THE SAME MANNER AS ALL OF THE OTHER RENTAL FEES. THE ABOVE LISTED RENTALS AND FEES SHALL BECOME DUE AND PAYABLE ON A MONTHLY BASIS. PAYMENTS SHALL BE MADE TO THE AIRPORT MANAGER OR TO SUCH OTHER, AGENCY OF THE CITY AS MAY BE SPECIFICALLY DESIGNATED IN WRITING BY THE LESSOR. THE FQREGOING PAYMENTS SHALL BE MADE ON OR BEFORE THE 15TH DAY OF THE CALENDAR MONTH NEXT SUCCEEDING THAT FOR WHICH PAYMENT IS BEING MADE; PROVIDED THAT IN NO CASE WILL SAID AMOUNT BE PAYABLE UNTIL TEN (10) DAYS AFTER RECEIPT BY THE LESSEE OF A WRITTEN BILL THEREFOR FROM LESSOR; AND PROVIDED THAT LESSEE SHALL NOT BE REQUIRED TO PAY IN RESPECT TO ANY TIME OR TIMES DURING WHICH THE FACILITIES AND PRIVILEGES OF SAID AIRPORT AND PREMISES DO NOT MEASURE UP OR CONFORM TO THE STANDARD SET IN THIS AGREEMENT, OR ARE NOT FOR OTHER REASONS USABLE BY THE LESSEE IN ALL ITS SAID OPERATIONS AND BUSINESS. PAYMENTS SHALL BE PRORATED FOR ANY PORTION OF A CALENDAR i MONTH AT THE COM14ENCEMENT AND TERMINATION OF THIS AGREEMENT. ARTICLE VIII NO FURTHER CHARGES, FEES OR TAXES NO RENTALS4 FEES, LICENSE;. EXCISE OR OPERATING TAXES TOLLS OR OTHER CHARGES, EXCEPT THOSE HEREIN EXPRESSLY PROVIDED, SHALL BE CHARGED .AGAINST OR COLLECTED FROM, DIRECTLY OR INDIRECTLY, THE LESSEE OR ANY OTHER PERSON ENGAGED IN SUPPLYING LESSEE, FOR'THE PRIVILEGES OF BUYING, SELLINGA USING STORING WITHDRAWING] HANDLINGS CONSUMING OR TRANSPORTING MATERIALS OR OTHER SUPPLIES TOE FROM OR ON THE AIRPORT; OF MAKING OR PERFORMING,AGREE- MENTS FOR WORKS MATERIALS OR SERVICES AT THE AIRPORT; OF TRANSPORTING, LOAD- ING, UNLOADING OR HANDLING PERSONS PROPERTY OR MAIL TOE FROM OR ON SAID AIR- PORT; OR FOR ANY OTHER OF THE PREMISES, FACILITIES RIGHTS LICENSES AND PRIVILEGES GRANTED IN THIS LEASE. NOTHING CONTAINED HEREIN, HOWEVER, SHALL PRORIBIT THE LESSOR FROM RENTING SPACE FOR OR CHARGING A REASONABLE FEE TO A .CATERING SERVICE PROVID- ING FOOD PREPARED ON THE AIRPORT, OR FROM GRANTING FRANCHISES FOR THE OPERA- TION OF LIMOUSINE AND TAXICAB AND RENT -A -CAR SERVICES OR FROM CHARGING A FLOWAGE FEE TO OPERATORS VENDING FUELS AND LUBRICANTS ON THE AIRPORT, PROVIDED THAT NO SUCH FLOWAGE FEE WILL BE CHARGED FOR FUELS AND LUBRICANTS DELIVERED. INTO LESSEE'S AIRCRAFT AT THE AIRPORT. THIS PROVISION IS NOT TO LIMIT THE RIGHT OF LESSOR TO LICENSE OR TAX IN A GENERAL OR NON - DISCRIMINATORY WAY ANY OFFICE OR BUSINESS OPERATION LOCATED OR CONDUCTED OUTSIDE THE BOUNDARIES OF THE AIRPORT AND WITHIN THE CORPORATE LIMITS OF LESSOR; AND IT IS NOT TO LIMIT LESSOR'S RIGHT TO IMPOSE GENERAL AND NON - DISCRIMINATORY AD VALOREM TAXATION ON PERSONAL OR REAL PROPERTY HAVING A TAXABLE SITU$ WITHIN THE CORPORATE LIMITS OF LESSOR. IF ANY TAXES OTHER THAN AD VALOREM OR GENERAL SALES TAXES ARE PAID BY LESSEE AS A RESULT OF ITS OPERATIONS, THE FEES AND CHARGES IN ARTICLE VII HEREOF SHALL BE DIMINISHED IN LIKE AMOUNTS. ARTICLE IX DAMAGE OR DESTRUCTION OF LEASED PREMISES IF ANY PROPERTY, PART OR ALL OF WHICH IS LEASED TO LESSEE, SHALL BE PARTIALLY DAMAGED OR WHOLLY DESTROYED BY FIRE OR OTHER CASUALTY] LESSOR AT ITS OWN COST AND EXPENSE SHALL REPAIR OR RECONSTRUCT THE SAME WITH DUE DILIGENCE AND WITHIN A REASONABLE TIME; AND LESSEE'S RENTALS AND OTHER CHARGES WITH RESPECT TO SAID PROPERTY SHALL BE PROPORTIONATELY ABATED FROM -7- THE HAPPENING OF SUCH DAMAGE OR DESTRUCTION UNTIL SUCH TIME AS THE PREMISES SHALL BE PUT IN ORDER. ARTICLE X CANCELLATION BY LESSOR IN THE EVENT THAT LESSEE SHALL FILE A VOLUNTARY PETITION IN BANK- RUPTCY OR THAT PROCEEDINGS IN BANKRUPTCY SHALL BE INSTITUTED AGAINST IT AND LESSEE IS THEREAFTER ADJUDICATED BANKRUPT PURSUANT TO SUCH PROCEEDINGS, OR THAT THE COURT SHALL TAKE JURISDICTION OF LESSEE AND ITS ASSETS PURSUANT TO PROCEEDINGS BROUGHT UNDER THE PROVISIONS OF ANY FEDERAL REORGAN17A TION ACTS OR THAT A RECEIVER OF LESSEETS ASSETS SHALL BE APPOINTEDi OR THAT LESSEE SHALL BE DIVESTED OF, OR BE PREVENTED BY ANY FINAL ACTION OF ANY FEDERAL OR STATE AUTHORITY FROM CONDUCTING AND .OPERATING ITS TRAN §PORTATION SYSTEM FOR THE CARRIAGE OF PERSONS, PROPERTY AND MAIL BY AIRCRAFT AT THE AIRPORT, OR THAT LESSEE. SHALL FAIL TO PERFORM, KEEP AND OBSERVE ANY OF THE TERMS, COVENANTS OR CONDITIONS HEREIN CONTAINED ON THE PART OF THE LESSEE TO BE PERFORMED KEPT OR OBSERVED SHE LESSOR MAY GIVE THE LESSEE NOTICE IN WRITING TO CORRECT SUCH -CONDITION OR CURE SUCH DEFAULTS ANDS IF ANY SUCH CONDITION OR DEFAULT SHALL CONTINUE FPR THIRTY (30) DAYS AFTER THE RECEIPT OF SUCH NOTICE BY THE LESSEES THE LESSOR MAY, AFTER THE LAPSE OF SAID THIRTY (30) DAY PERIOD AND PRIOR TO THE CORRECTION OF OR CURING OF SUCH CONDITION OR DEFAULTS TERMINATE THIS LEASE BY A TWENTY (20) DAY WRITTEN NOTICE, AND THE TERM HEREBY DEMISED SHALL THEREUPON CEASE AND EXPIRE AT THE END OF SUCH TWENTY (20) DAYS IN THE $AME MANNER AND TO THE SAME EFFECT AS IF IT WERE THE EXPIRATION OF THE ORIGINAL TERM. ARTICLE XI CANCELLATION BY LESSEE LESSEE, IN ADDITION TO ANY RIGHT OF CANCELLATION OR ANY OTHER RIGHT. HEREIN GIVEN TO LESSEE, MAY SUSPEND OR CANCEL THIS LEASE IN ITS ENTIRETY OR SUSPEND OR TERMINATE ALL OR ANY OF ITS OBLIGATIONS HEREUNDER AT ANY TIME, BY THIRTY (30) DAYS' WRITTEN NOTICES UPON OR AFTER THE HAPPENING OF ANY ONE OF THE FOLLOWING EVENTS: A. THE SUSPENSION OR TERMINATION OF.LESSEEls CERTIFICATE OF PUOLI-C CONVENIENCE AND NECESSITY, OR LESSEES OBLIGATIONS OR RIGHT, IMPOSED BY CON- TRACT OR OTHERWISE TO THE FEDERAL GOVERNMENT FOR THE CARRIAGE OF UNITED r7 STATES AIR MAIL TOE FRO14 OR THROUGH CORPUS CHRISTI, TEXAS; B. DESIGNATION BY THE POST OFFICE DEPARTMENTS OR ANY OTHER COMPE- TENT GOVERNMENTAL AUTHORITYj OF AN AIRPORT OTHER THAN SAID AIRPORT AS A TERMINAL POINT FOR CORPUS CHRISTIj TEXAS, FOR THE RECEIVING AND DISPATCH- ING OF UNITED STATES AIR MAIL; OR THE LEASING BY LESSEE OF ANOTHER AIRPORT FOR SUCH PURPOSE; , C. ANY FAILURE OR REFUSAL BY THE FEDERAL AVIATION AGENCY TO PERMIT LESSEE TO OPERATE INTO, FROM OR THROUGH SAID AIRPORT SUCH AIRCRAFT AS LESSEE MAY REASONABLY DESIRE $O TO OPERATE; D. THE BREACH BY LESSOR OF ANY OF THE COVENANTS OR AGREEMENTS HEREIN CONTAINED AND THE FAILURE OF LESSOR TO REMEDY SUCH BREACH FOR A PERIOD OF THIRTY (30) DAYS AFTER RECEIPT OF A WRITTEN NOTICE OF THE EXISTENCE OF SUCH BREACH; E. THE INABILITY BF LESSEE TO USE SAID PREMISES AND FACILITIES CONTINUING FOR A LONGER PERIOD THAN THIRTY (30) DAYS WHETHER DUE TO ANY LAW OR ORDER, RULE OR REGULATION OF ANY-APPROPRIATE GOVERNMENTAL AUTHORITY HAVING JURISDICTION OVER THE PREMISES OR THE OPERATIONS OF LESSEE OR DUE TO WARS EARTHQUAKE OR OTHER CASUALTY. IN THE EVENT THAT THE LESSEE SHALL SUSPEND THIS LEASE OR ANY OF ITS OBLIGATIONS AS HEREIN PROVIDED., LESSEE SHALL HAVE THE FURTHER RIGHT, DURING SUCH SUSPENSION, TO CANCEL THIS LEASE OR ANY OF ITS OBLIGATIONS BY GIVING LESSOR THIRTY (30) DAYS' WRITTEN NOTICE OF SUCH CANCELLATION AT ANY TIME PRIOR TO TERMINATION OF THE aONOITION OR EVENT WHICH GAVE RISE TO THE SUSPENSION; AND, IF LESSEE DOES NOT SO CANCELS SUCH SUSPENSION SHALL TERMINATE SIXTY (60) DAYS AFTER TERMINATION OF SUCH CONDITION OR EVENT AND WRITTEN NOTICE THEREOF FROM LESSOR TO LESSEE. THE PERIOD OF ANY SUSPEN- SION OF THIS LEASE IN ITS ENTIRELY SHALL BE ADDED TO THE TERM OF THIS LEASE OR ANY RENEWAL OR EXTENSION THEREOF. ARTICLE X11 NON- WAIVER OF RIGHTS CONTINUED PERFORMANCE BY EITHER PARTY PURSUANT TO THE TERMS OF THIS AGREEMENT AFTER A DEFAULT OF ANY OF THE TERMS, COVENANTS AND CONDITIONS HEREIN CONTAINED TO BE PERFORMED, KEPT OR OBSERVED BY THE OTHER PARTY SHALL NOT BE DEEMED A WAIVER OF ANY RIGHT TO CANCEL THIS LEASE FOR SUCH DEFAULT AND NO WAIVER OF ANY SUCH DEFAULT SHALL BE CONSTRUED OR ACT AS A WAIVER OF -9- ANY SUBSEQUENT DEFAULT. ARTICLE XIII SORRENDLER OF POSSESSION LESSEE AGREES TO YIELD AND DELIVER TO LESSOR POSSESSION OF THE 'PREMISES EXCLUSIVELY LEASED HEREIN AT THE TERMINATION OF THIS LEASE, BY EXPIRATION OR OTHERWISE, OR OF ANY RENEWAL OR EXTENSION HEREOF, IN GOOD CONDITION IN ACCORDANCE WITH ITS EXPRESS OBCIGATIONS HEREUNDER EXCEPT FOR REASONABLE WEAR AND TEARS FIRE OR OTHER CASUALTY, AND LESSEE SHALL HAVE THE RIGHT AT ANY TIME DURING SAID TERMS OR ANY RENEWAL OR EXTENSION HEREOF AND FOR NINETY (p0) DAYS AFTER THE TERMI WiTION HEREOF, TO REMOVE ANY BUILDINGS, STRUCTURES OR FACILITIES IT MAY ERECT OR INSTALL ON THE PREMISES AND TO REMOVE ALL FIXTURES AND EQUIPMENT AND OTHER PROPERTY IN- STALLED OR PLACED BY IT AT ITS EXPENSE, IN, ON OR ABOUT THE PREMISES HEREIN LEASED; SUBJECT, . HOWEVER, TO ANY VALID LIEN WHICH LESSOR MAY HAVE THEREON FOR UNPAID RENTS OR FEES. - ARTICLE XIV ASSIGNMENT OF LEASE LESSEE SHALL NOT AT ANY TIME ASSIGN THIS LEASE OR ANY PART THERE- OF WITHOUT THE CONSENT IN WRITING OF LESSORS PROVIDED, HOWEVER] THAT WITH- OUT SUCH CONSENT LESSEE MAY ASSIGN THIS LEASE TO ANY CORPORATION WITH WHICH THE LESSEE MAY MERGE OR CONSOLIDATE OR WHICH MAY SUCCEED TO THE BUSINESS OF THIS LESSEE, OR MAY SUBLET ANY OF THE SPACE LEASED EXCLUSIVELY TO THE LESSEE HEREUNDER. ARTICLE XV I NDEMN I FI CATI ON THE LESSEES UNDER THE TERMS OF THIS AGREEMENT, BILL NOT -BE IN CONTROL OR POSSESSION OF SAID AIRPORT, EXCEPT AS TO THE PARTS THEREOF LEASED,EXCLUSIVELY TO LESSEE, AND LESSEE DOES NOT ASSU14E RESPONSIBILITY FOR THE CONDUCT OR OPERATION OF THE SAID AIRPORT OR FOR THE PHYSICAL OR OTHER CONDITIONS OF THE SANE. HOWEVER IT IS EXPRESSLY UNDERSTOOD AND AGREED BY AND BETWEEN THE PARTIES HERETO THAT THE LESSEE' IS AND SHALL BE AN INDEPENDENT CONTRACTOR AND OPERATOR, RESPONSIBLE TO ALL PARTIES FOR ALL, OF ITS ACTS OR OMISSIONS AND THE LESSOR SHALL IN NO WAY BE RESPONSIBLE _10_ .0 THEREFOR. IT IS FURTHER AGREED THAT IN ITS USE AND EN.IOYMENT OF THE FIELD, PREMISES AND FACILITIES HEREIN REFERRED TO, THE LESSEE WILL INDEMNIFY AND SAVE HARMLESS THE LESSOR FROM ANY AND ALL CLAIMS OR LOSSES THAT MAY PROXI- MATELY RESULT TO THE LESSOR FROM ANY NEGLIGENCE ON THE PART OF THE LESSEE, •ITS, DULY AUTHORIZED AGENTS OR EMPLOYEES, AND SHALL IN ALL WAYS, HOLD THE LESSOR HARMLESS FROM SAME, PROVIDED THE'LESSOR SHALL GIVE TO THE LESSEE PROI4PT NOTICE OF ANY CLAIM, DAMAGE-OR LOSS, OR ACTION IN RESPECT THERETO, AND AN OPPORTUNITY SEASONABLY TO INVESTIGATE AND DEFEND AGAINST ANY CLAIM OR ACTION BASED UPON ALLEGED NEGLIGENT CONDUCT OF THE LESSEE OR ITS DULY AUTHORIZED AGENTS OR EMPLOYEES. THE LESSOR HEREUNDER AGREES TO MAINTAIN I,N SAFE CONDITION ALL PLACES IN AND ABOUT SAID AIRPORT WHICH ARE USED BY, OR MADE ACCESSIBLE TO, THE PUBLIC, SUCH AS WAITING ROOMS, LAVATORIES, PARKING LOTS, STREETS, SIDE- WALKS AND OTHER APPROACHES, ETC., AND LESSOR FURTHER AGREES TO INDEMNIFY AND HOLD LESSEE HARMLESS FROM ANY AND ALL CLAIMS, MADE BY PERSONS WHO ARE, HAVE BEEN, OR WILL BE PASSENGERS 0'F THE LESSEE, AGAINST THE LESSEE ARISING OUT OF AND AS A RESULT OF THE CONDITION OF ANY OF THE PUBLICLY USED PREMISES IN AND ABOUT SAID AIRPORT AND LESSOR FURTHER AGREES TO RE114BURSE LESSEE FOR ANY AND ALL COSTS AND EXPENSES INCURRED IN DEFENDING OR SETTLING ANY SUCH CLAIMS. ARTICLE XVI NOTICES NOTICES TO THE LESSOR PROVIDED FOR HEREIN SHALL BE SUFFICIENT IF SENT BY REGISTERED MAIL, POSTAGE PREPAID, ADDRESSED TO: AIRPORT MANAGER P.. 0. Box 9277 CORPUS CHRISTI, TEXAS AND NOTICES TO THE LESSEE, IF SENT BY REGISTERED MAIL, POSTAGE PREPAID, ADDRESSED TO LESSEE, RIO AIRWAYS, INC., RT. 2, BOX 901, CORPUS CHRISTI, TEXAS , OR TO SUCH OTHER RESPECTIVE ADDRESSES AS THE PARTIES MAY DESIGNATE IN WRITING FROM TIME TO TIME. ARTICLE XVII COVENANT NOT TO GRANT MORE FAVORABLE TERI•IS LESSOR COVENANTS AND AGREES NOT TO ENTER INTO ANY LEASE, CONTRACT OR AGREEMENT WITH ANY OTHER AIR TRANSPORT OPERATOR WIT" RESPECT TO THE AIRPORT CONTAINING MORE FAVORABLE TERMS THAN THIS LEASE OR TO GRANT TO ANY OTHER AIR TRANSPORT OPERATOR RIGHTS PRIVILEGES OR CONCESSIONS WITH RESPECT TO THE SAID AIRPORT WHICH ARE NOT ACCORDED TO THE LESSEE HERE- UNDER UNLESS THE SAME TERMS, RIGHTS, PRIVILEGES AND CONCESSIONS ARE CON- CURRENTLY MADE AVAILABLE TO THE LESSEE. ARTICLE XVIII FEDERAL AVIATION AGENCY WHENEVER THE TERM "FEDERAL AVIATION AGENCY" IS USED IN THIS LEASE, IT SHALL BE CONSTRUED AS REFERRING TO THE FEDERAL AVIATION AGENCY CREATED BY THE FEDERAL GOVERNMENT ORIGINALLY AS THE CIVIL AERONAUTICS AUTHORITY UNDER THE CIVIL AERONAUTICS ACT OF 1938, OR TO SUCH OTHER AGENCY OR AGENCIES OF THE FEDERAL GOVERNMENT HAVING.FROM TIME TO TIME SIMILAR JURISDICTION OVER THE LESSEE OR ITS BUSINESS. - ARTICLE XIX HEADINGS THE ARTICLE AND PARAGRAPH HEADINGS ARE INSERTED ONLY AS A MATTER OF CONVENIENCE AND FOR REFERENCE AND IN NO WAY DEFINE, L1141T OR DESCRIBE THE SCOPE OR II4TENT OF ANY PROVISION' OF THIS LEASE. " ARTICLE XX . INVALID PROVISION_ IT IS FURTHER EXPRESSLY UNDERSTOOD AND AGREED BY AND BETWEEN THE PARTIES HERETO THAT IN THE EVENT ANY COVENANTS CONDITION OR PROVISION HEREIN CONTAINED IS HELD TO BE INVALID BY ANY COURT OF COMPETENT JURISDIC- TION, OR OTHERWISE APPEARS TO BOTH PARTIES TO BE INVALID, THE INVALIDITY OF ANY SUCH COVENANT, CONDITION OR PROVISION SHALL IN NO WAY AFFECT ANY OTHER COVENANTS CONDITION OR PROVISION HEREIN CONTAINED; PROVIDED] HOWEVER THAT THE INVALIDITY OF ANY SUCH COVENANTS CONDITION OR PROVISION DOES NOT MATERIALLY PREJUDICE EITHER THE LESSOR OR THE LESSEE IN ITS RESPECTIVE RIGHTS AND OBLIGATIONS CONTAINED IN THE VALID COVENANTS, CONDITIONS OR PROVISIONS OF THIS LEASE. -12- That the foregoing ordinance was read for the first time and passed to its second reading on this the.3oAday of .5� �Tx - =�•�� 19 76 , by the following vote: Jack R. Blackmon Gabe Lozano, Sr. Q' V. A. "Dick" Bradley, Jr.� Eduardo E. de Ases Ken McDaniel W. J. "Wrangler" Roberts Ronnie Sizemore That the foregoing ordin a read for s�pond time and kosed to its third reading on this the w day of j i — 19 by the following vote: Jack R. Blackmon Gabe Lozano, Sr. V. A. "Dick" Bradley, Jr. Eduardo E. de Ases Ken McDaniel W. J. "Wrangler" Roberts Ronnie Sizemore That the foregoing ordinanc was read for thV third time and passed finally on this the day of UJ 19Z, by the following vote: Jack R. Blackmon Gabe Lozano, Sr. V. A. "Dick" Bradley, Jr. Eduardo E. de Ases Ken McDaniel W. J. "Wrangler" Roberts �1 Ronnie Sizemore PASSED AND APPROVED, this the day of�' 19 %O A7TTES 7T, City Secret j APP,QVED AS TO L ORM HIS THE DAAY/ OF , 19ZZ: C Attorney R CITY OF CORPUS CHRISTI, TEXAS That the foregoing ordinance was read for the f�'rst time and passed to its second reading on this the "Aday of C , 19 7=, by the following vote: Jack R. Blackmon Gabe Lozano, Sr. V. A. "Dick" Bradley, Jr. Eduardo E. de Ases Ken McDaniel W. J. "Wrangler" Roberts — Ronnie Sizemore L That the foregoing ordinance was read fo the second time and passed to its third reading on this the ,day of , 19 7b , by the following vote: Jack R. Blackmon Gabe Lozano, Sr. V. A. "Dick" Bradley, Jr. Eduardo E. de Ases Ken McDaniel ' W. J. "Wrangler" Roberts 2 Ronnie Sizemore That the foregoing ordinance was read' for the third time and passed finally on this the day of , 19_ZjQ _, by the following vote: Jack R. Blackmon Gabe Lozano, Sr. V. A. "Dick" Bradley, Jr. Eduardo E. de Ases Ken McDaniel W. J. "Wrangler" Roberts Ronnie Sizemore PASSED AND APPROVED, this the C day of i(/7I , 19 2 ATTEST: City Secretary MAYO' THE CITY OF CORPUS CHRISTI, TEXAS APPROVED AS TO LEGAL FORM THIS THE _ DAY OF , 19_ City Attorney PUBLISHER'S AFFIDAVIT STATE OF TEXAS, County of Nueces. Before me, the undersigned, a Notary Public, this day personally came ......... who being first duly sworn, according to law, says that he is the - - ----- of the Corpus Christi Caller and The Corpus Christi Times, Daily Newspapers published at Corpus Christi, Texas, in said County and State, and that the publication of Legal o L q --AV ORDINANCE- -- -CITY & RIO _AIRWAYS . of which the annexed is a true copy, was published in ----tha—Tiums- on the--.5L- day of...... 19--7.G and once each ... . .. day--thereafter AMMMAMm- mere --tAiDe—en-4e4eber 12, 1970. -- 2 —.-.-Mmes. Leland G. Barnes, Cl. Adv. Mgr. Subscribed and sworn to before me f day of . . ......... Kenneth Holt Notary Public, Nueees County, Texas An Orabance P Iharixlnp o a ceding ihs CIty Mono, to execvt o Is.. agreement between the Glty of Corcus Christi and Rlo Airways, Ina, covering the ".W of space of ,he Into 11.nal Airport, some belllg N'. e.dastva ass m M sgaorp foer and the use of other fac111}loa ah sold Irdemotlorml Alrport, all of which re Inclderd to the Fell' of a, feerclol airline; the rental and es for the 1a9 of sold foc711}Ies oa fcll —: ,ahem Agrees to pay Lessor for the :ose of all the premises, fachillos,' 'Igghln, Il.—. and Prl'Omes gr°nfatl rereuntler, the following reMels, fees �and charges: 1. Tlckel Counter Area S&DO per sq. 'A. per amwm 2. Air Conditioned Office St ice 1530 per sq. It. per annum 7. Nan -Alr Cendhloned 0111.1 Space 1438 per sq. ft. oar annum 4. UM per month for each extlu- slvv Pubilc old rose mlcr"hone locpf -, ed In LessaO'e excl.lve apace. ad u I•I d by net Ds, for the Lessee', RM 9. Lessor will *. "B ice ale or- for =W Lessee's exclusive area far the actual cost [halve M la- Dar, to Lasser Of }fleelpmpe °dually ueetl. le. Laing }en will be go DY Lessee x dIN fo the /b Now," so mile: oral Yeor, 12c' second Yeor, 12c; third your, 17[; faudh lest, training, or any /IgM. Moll. .1a1m paid by Lneae of the per sq. Jr. par annum; : 1 will be Shared equall 5975 per Y��eary, or,S2 -- TnlEro °ca ^ "g to ihs ff., mum - rplaning Passengers of alrllne