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HomeMy WebLinkAbout09977 ORD - 11/04/1970eYw:8/25/70 AN ORDINANCE AUTHORIZING AND DIRECTING THE CITY I*NAGER TO EXECUTE A LEASE AGREEMENT BETWEEN THE CITY OF CORPUS CHRISTI AND EASTERN AIR LINES 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 EASTERN AIR LINES, 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. 9977 I THE STATE OF TEXAS �. COUNTY OF NUECES 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 EASTERN AIRLINES, INC. , HEREINAFTER SOMETIMES REFERRED TO AS LESSEE, - WITNESSETHa ARTICLE I 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, DEMISE AND LET UNTO LESSEE, AND LESSEE DOES HEREBY HIRE AND TAKE FROM LESSOR, THE FOLLOW- ING PREMISES ANO, WITHOUT LIMITING THE GENERALITY HEREOF, THE FOLLOWING - FACILITIES, RIGHTS, LICENSES AND PRIVILEGES ON AND 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. 7906 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 GRANTED IN THIS AGREEMENT, THE LESSEE SHALL HAVE THE RIGHT TO USE THE AIRPORT FOR THE FOLLOWING SPECIFIC PURPOSES: (I) THE OPERATION OF A TRANSPORTATION SYSTEM BY AIRCRAFT FOR THE CARRIAGE OF PERSONS, PROPERTY AND NAIL, INCLUDING ALL ACTIVITIES REASON- ABLY NECESSARY TO SUCH OPERATION, HEREINAFTER • REFERRED TO AS "AIR TRANS- PORTATION"; (2) THE LANDING, TAKING OFF, LOADINGS UNLOADING, REPAIR- ING, MAINTAINING CONDITIONINGS SERVICING, PARKING STORING AND TESTING OF AIRCRAFT OR OTHER EQUIPMENT INCLUDING THE USE OF A REASONABLE AMOUNT OF CONVE141ENTLY LOCATED RAMP AREA WHICH LESSOR WILL KEEP IN.GOOD REPAIR, AND INCLUDING THE RIGHT TO ERECT OR INSTALL AND IMINTAIN ON SAID AIRPORT, AT LOCATIONS TO BE MUTUALLY AGREED UPON, ADEQUATE STORAGE FACILITIES FOR GASOLINE OILS GREASES AND OTHER FUEL OR SUPPLIES AT CONVENIENT LOCATIONS IN ACCORDANCE WITH INSURANCE UNDERWRITERS' STANDARDS, TOGETHER WITH THE NECESSARY PIPESj 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 MAIL AT SAID AIRPORT BY SUCH MOTOR 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 FR'A'NCHISE OR FRANCHISES FOR LIMOUSINE SERVICE; (4) THE PURCHASE AT SAID AIRPORT.OF LESSEE'S REQUIREMENTS OF GASOLINE, FUEL] LUBRICATING OILS GREASE] FOOD AND OTHER PASSENGER SUPPLIES AND ANY OTHER MATERIALS AND SUPPLIES FROI4 ANY PERSON OR COMPANY OF LESSEE'S CHOICE, AND THE MAKING OF AGREEMENTS WITH ANY PERSON OR COMPANY OF LESSEE'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 MANAGERS SUCH APPROVAL NOT TO BE ARBITRARILY WITHHELD; (0) THE INSTALLATIONS MAINTENANCE A14D OPERATION OF SUCH RADIO COMMUNICATION, METEOROLOGICAL AND AERIAL NAVIGATION EQUIPMENT AND FACILITIES INS ON AND ABOUT THE PREMISES HEREIN LEASED AND SAID AIRPORT AS MAY BE NECES- SARY OR CONVENIENT IN THE OPINION OF THE LESSEE FOR ITS OPERATIONS; PROVIDED THAT THE LOCATION OF SUCH EQUIPMENT ANO FACILITIES AS MIGHT INTERFERE WITH -2- FULL AND PROPER USE OF THE AIRPORT SHALL BE SUBJECT TO THE APPROVAL OF' THE AIRPORT MA NAGCR, 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 2,567 SQUARE FEET OF SPACES WHICH INCLUDES 288 SQUARE FEET OF COUNTER SPACES 1,'359 SQUARE FEET OF AIR CONDI- TIONED SPACES AND SQUARE FEET OF NON -A -IR CONDITIONED SPACE, SUBJECT TO ACTUAL MEASUREMENT AT THE TIME OF TAKING POSSESSIONS IN THE TERMINAL BUILDINGS AS THE SAME IS MORE PARTICULARLY SET.FORTH.AND SHOWN ON PLANS AND SPECIFICATIONS MARKED EXHIBIT "B", ATTACHED AND MADE A PART OF ORDINANCE N0. 7906 ON FILE IN THE OFFICE OF THE CITY SECRETARY FOR MORE PARTICULAR REFERENCES 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 ITS ANY ADDI- TIONAL SPACE AT THE AIRPORT NOT NECESSARY TO THE LESSORS 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 AIRPORTS 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 LESSEES ITS EMPLOYEES PASSENGERS GUESTS/ -3- PATRONS, INVITEES, SUPPLIERS OF MATERIALS AND FURNISHERS OF SERVICES ITS OR THEIR AIRCRAFT EQUIPMENTS VEHICLES] MACHINERY AND OTHER PROPERTY WITH- OUT CHARGE TO LESSEES OR TO SAID PERSONS OR PROPERTY. ARTICLE 11 TERM LESSEE SHALL HAVE AND HOLD SAID PREMISES, FACILITIES, RIGHTS, LICENSES AND PRIVILEGES SET FORTH IN PARAGRAPHS A TO E INCLUSIVE, OF ARTICLE 8 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 PMlFfENANCE AND OPERATION OF AIRPORT LESSOR AGREES THAT IT WILL DEVELOP AND IMPROVE, AND AT ALL TIMES MAINTAIN A140 OPERATE WITH ADEQUATE AND EFFICIENT PERSONNEL AND KEEP IN GOOD REPAIR SAID AIRPORT AND TERMINAL BUILDING, AND THE APPURTENANCES] FACILITIES AND SERVICES NOW 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 SO 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 KEEP THE PUBLIC SPACE IN THE TERMINAL BUILbING ATTRACTIVELY FURNISHED, AND WILL PROVIDE AND SUPPLY ADEQUATE LIGHTS ELECTRICITY AND WATER FOR THE PUBLIC SPACE; HEAT DURING COLD WEATHER AND AIR CONDITIONING DURING WARN WEATHER SUFFICIENT TO KEEP THE BUILDING AT A REASONABLE TEMPERATURES JANITORS AND OTHER CLEANERS NECESSARY TO KEEP THE AIRPORT AND ALL SPACES, INCLUDING LESSEES 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 PROVIDES IN LESSEES EXCLUSIVE SPACE, DOMESTIC WATERS MECHANICAL, EQUIPMENT AND PIPING NECESSARY FOR COOLING AND HEATING LESSEES 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 FUR141SH 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 14AY FROM TIME TO TIME DURING THE TERN HEREOF BE PROMULGATED 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 HEREUPIDER� THC FOLLOWING RENTALS FEES AND CHARGES: 1. TICKET COUNTER AREA $6.00 PER SQ. FT. PER ANNUM Z. AIR CONDITIONED OFFICE SPACE 5.50 PER SQ. FT. PER ANNUM 3. NON -AIR CONDITIONED SPACE 4.50 PER SQ. FT. PER ANNUM -5- 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 LESSEE S 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. S. LESSEE MAY FROM TIME TO TIME LEASE SPACE FOR THE STORAGE OF FUELS AND PROPELLENTS AT A MUTUALLY AGREED UPON LOCATION ON. THE AIRFIELD, 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 COST, EXCLUSIVE OF LABOR, TO LESSOR OF THE LAMPS ACTUALLY USED. 10. LANDING FEES WILL BE PAID BY LESSEE ACCORDING TO THE FOLLOWING SCHEDULE: FIRST YEAR, 12¢; SECOND YEAR, 12¢; THIRD YEAR, 13¢; FOURTH YEAR, 130; AND FIFTH YEAR, 13¢ PER THOUSAND POUNDS OF THE CERTIFIED MAXIMUM GROSS LANDING WEIGHT 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 DATE, LANDING FEES WILL BE COMPUTED ON THE BASIS OF THE PUBLISHED SCHEDULE EFFECTIVE THE FIRST DAY OF THE MONTH ON FILE WITH THE CIVIL AERONAUTICS BOARD. BUT NO CHARGE WILL BE MADE FOR COURTESY, TEST, TR4NING, OR ANY OTHER NON- REVENUE FLIGHT. 11. BAGGAGE CLAIM AREA WLLL BE PAID By LESSEE AT THE RATE OF $243.75 PER ANNUM PLUS PERCENT ( %) OF ENPLANING PASSENGERS X $31900 PER ANNUM. TO EFFECTUATE THIS RENTAL PROVISION, 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 114TERNATIONAL AIR- LINES, AT THE RATE OF $1.30 PER SQ. FT. PER ANNUM; 20% OF fT�HE 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 A NDIVIDUAL AIRLINE X $3,900 TOTAL PASSENGERS ENPLANED BY BRANIFF, EASTERN, TEXAS INTERNATIONAL, AND RIO 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 FOREGOING 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 -6- MONTH AT THE COM14ENCEMENT AND TERMINATION OF THIS AGREEMENT. ARTICLE VIII NO FURTHER CHARGES, FEES OR TAXES NO RENTALS, 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 LESSEES FOR THE PRIVILEGES OF BUYING, SELLINGj 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 TO, FROM OR ON SAID AIR - PORT; OR FOR ANY OTHER OF THE PREMISES, FACILITIES RIGHTS LICENSES AND PRIVILEGES GRANTED LN THIS LEASE, NOTHING CONTAINED HEREIN, HOWEVER, SHALL PROHIBIT 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 AI4D 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- DISCRI1INATORY AD VALOREM TAXATION ON PERSONAL OR REAL PROPERTY HAVING A TAXABLE SITUS 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 PRENjISES IF ANY PROPERTY, PART OR ALL OF WHICH IS LEASED TO LESSEES SHALL BE PARTIALLY DAMAGED OR WHOLLY DESTROYED BY FIRE OR OTHER CASUALTYj 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 A13ATCO 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 EVE14T 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 REORGANIZATION ACT, OR THAT A RECEIVER OF LESSEES ASSETS SHALL BE APPOINTED, 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 TRANSPORTATION SYSTEM FOR THE CARRIAGE OF PERSONS, PROPERTY AND 14AIL 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, THE LESSOR MAY GIVE THE LESSEE NOTICE IN WRITING TO CORRECT SUCH-CONDITION OR CURE SUCH DEFAULT, AND, IF ANY SUCH CONDITION OR DEFAULT SHALL CONTINUE FOR THIRTY (30) DAYS AFTER THE RECEIPT OF SUCH NOTICE BY THE LESSEE, THE LESSOR MAY, AFTER THE LAPSE OF SAID THIRTY (30) DAY PERIOD AND PRIOR TO THE CORRECTION OF OR CURING OF SUCH CONDITION OR DEFAULT, 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 SAME 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 NOTICE, UPON OR AFTER THE HAPPENING OF ANY ONE OF THE FOLLOWING EVENTS: A. THE SUSPENSION OR TERMINATION OF,LESSEO S CERTIFICATE OF PUBLIC CONVENIENCE AND NECESSITY, OR LESSEES OBLIGATIONS OR RIGHT, IMPOSED BY CON- TRACT OR OTHERWISE, TO THE FEDERAL GOVERNMENT FOR THE CARRIAGE OF UNITED STATES AIR MAIL TOE FROM 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 CHRISTI, 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 SO 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 OF 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 WAR, 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 SUSPENSIONS 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 aONDITION OR EVENT WHICH GAVE RISE TO THE SUSPENSION; ANDj 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 XII 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 • ANY SUBSEQUENT DEFAULT. ARTICLE X111 SURRENDER 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 OBLIGATIONS HEREUNDER, EXCEPT FOR REAS014ABLE WEAR AND TEAR, FIRE OR OTHER CASUALTY, AND LESSEE SHALL HAVE THE RIGHT AT ANY TIME DURING SAID TERM, OR A14Y RENEWAL OR EXTENSION HEREOF AND FOR NINETY (90) DAYS AFTER THE TERMINATION HEREOF, TO REMOVE ANY BUILDINGS STRUCTURES OR FACILITIES IT MAY ERECT OR INSTALL ON THE PREMISES AND TO RE14OVE ALL FIXTURES AND EQUIPMENT AND OTHER PROPERTY IN- STALLED OR PLACED BY IT AT ITS EXPENSE] INj 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 ASSIGWIENT OF LEASE LESSEE SHALL NOT AT ANY TIME ASSIGN THIS LEASE OR ANY PART THERE- OF WITHOUT THE CONSENT IN WRITING OF LESSOR; 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 NDEN N I F CATI ON THE LESSEE, UNDER THE TERMS OF THIS AGREEMENT, WILL NOT BE IN CONTROL OR POSSESSION OF SAID AIRPORT, EXCEPT AS TO THE PARTS THEREOF LEASED, EXCLUSIVELY TO LESSEE, AND LESSEE DOES NOT ASSUME RESPONSIBILITY FOR THE CONDUCT OR OPERATION OF THE SAID AIRPORT OR FOR THE PHYSICAL OR OTHER CONDITIONS OF THE SAME. HOWEVER, IT IS EXPRESSLY UNDERSTOOD AND AGREED BY AND BETWEEN THE PARTIES HERETO THAT THE LESSEE IS AfIO 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- THEREFOR. IT IS FURTHER AGREED THAT IN ITS USE AND ENJOYMENT OF THE FIELO,$ PRE141SES AND FACILITIES HEREIN REFERRED TOE THE LESSEE WILL INDE14NIFY AP16 SAVE HARI4LESS THE LESSOR FRO14 ANY AND ALL CLAIMS OR LOSSES THAT MAY PROXI- MATELY RESULT TO THE LESSOR FRO14 ANY NEGLIGE14CE ON THE PART OF THE LESSEE, ITS DULY AUTHORIZED AGENTS OR EMPLOYEES, AND SHALL IN ALL •WAYS HOLD THE LESSOR HARI4LESS FROM SAME, PROVIDED THE•LESSOR SHALL GIVE TO THE LESSEE PROMPT 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 AUTHORI ZED - AGEI4TS OR EMPLOYEES. THE LESSOR HEREUNDER AGREES TO MAINTAIN IN SAFE CONDITION ALL PLACES IN AND ABOUT SAID AIRPORT',WHICH ARE USED BYE OR I4ADE 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 HARI4LESS FRO14 ANY AND ALL CLAIMSp MADE BY PERSONS WHO ARE] HAVE BEEN, OR WILL BE PASSENGERS O'F THE LESSEE, AGAINST THE LESSEE ARISING OUT OF AND AS AJRESULT OF.THE CONDITION OF ANY OF THE PUBLICLY USED PREMISES IN AND ABOUT SAID AIRPORT AND LESSOR FURTHER AGREES TO REIMBURSE 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 MAID POSTAGE PREPAID, ADDRESSED TO: AIRPORT MANAGER P. O. Box 9277 CORPUS CHRISTI, TEXAS; , AND NOTICES TO THE LESSEES IF SENT BY REGISTERED MAID POSTAGE PREPAID ADDRESSED TO LESSEE, EASTERN AIRLINES BUILDING, 10 ROCKEFELLER PLAZA, .NEW YORK, NEW YORK OR TO SUCH OTHER RESPECTIVE ADDRESSES AS THE PARTIES MAY DESIGNATE IN WRITING FROM TIME TO TIME. ARTICLE XVII COVENANT NOT TO GRANT t -:0RE FAVORABLE TERI.13 LESSOR COVENANTS AND AGREES NOT TO ENTER INTO ANY LEASES CONTRACT OR AGREEMENT WITH ANY OTHER AIR TRANSPORT OPERATOR WITH RESPECT TO THE AIRPORT CONTAINING MORE FAVORABLE TERI•IS THAN THIS LEASE OR TO GRANT TO ANY OTHER AIR TRANSPORT OPERATOR RIGHTS., PRIVILEGES OR CONCESSIONS WITH RESPECT TO THE SAID AIRPORT WHICH ARC 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 LJHENEVER 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 DEFINES LIMIT OR DESCRIBE THE SCOPE OR 114TENT 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 COVENANT, 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 INVALIDS 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 Airst time and passed to its second reading on this the jo&day of , 191`0, by the following vote: Jack R. Blackmon Gabe Lozano, Jr V. A. "Dick" Bradley, Jr L--i] Eduardo E. de Ases Ken McDaniel W. J. "Wrangler" Roberts Ronnie Sizemore That the foregoing ordin as read for fe sec d time and passed to its third reading on this the day of / 19 XS7, 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 fo,��a�oing ordinance was read for thA third time and passed finally on this the day of ��, 19 7a by the following vote: Jack R. Blackmon Gabe Lozano, Sr. V. A. "Dick" Bradley, Jr. kJ Eduardo E. de Ases Ken McDaniele t W. J. "Wrangler" Roberts Ronnie Sizemore //// PASSED AND APPROVED, this the 4{ day of 19 %U ATTEST. City Secretary/ ;A�� OVED AS T/0 FORM THHHIS THE DAY OF , 197e : 7,. ;;_ 1 \11 A ity Attorney MAYOR'' CITY OF CORPUS - CHRISTI, TEXAS • • That the foregoing ordinance was read for the/Hrst time and passed to its second reading on this the - -U%day of , 19 70 , by the following vote: Jack R. Blackmon Gabe Lozano, Sr. V. A. "Dick" Bradley, Jr. z Eduardo E. de Ases Ken McDaniel W. J. "Wrangler" Roberts Ronnie Sizemore That the foregoing ordinance was read fo the sec nd time and passed to its third reading on this the , day of 't , 19 %D , 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 ,Q./ That the foregoing ordinance was read for the third time and passed finally on this the day of 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 PASSED AND APPROVED, this the day of , 19 ATTEST: City Secretary APPROVED AS TQ GAS, FORM THIS THE z DAY OF / 7.�_ 19�: City Attorney CITY OF CORPUS H. nn oMmanea Vawharlr . dl. 1a ecting the Clty Monvger to exe_ute_ i o le.se agreement 4aWleen the Clfy M C. Chrlell and Eastern Alr I u Linen, cwa 1Ing fhe rental of space N ma InlanotIona[ Alroort, same b".1 the exclwlva use of 2,567 square feel and the uae of other fall I'll M e.ld IntamallalMl 't"' I'll all f which era IncltleM to the permlon of commercial airline; the rental and lea E the use of sold f.ellllle9 are y ncaef Counter Are. SUO Per a r AIr;; O;Jtion.tl OfHCa S.. $5.Sp Per aq. N. per annum 3. Non•Alr CvntlHlanetl Office SPace $eSp par aq, N. per .noun W4. Mbl llc adds- MIc phana lucuh etl In Lesaee'a exclusive apace, S. SISID par omh ror a. Inier- rzmmunlcatl.ninstrument Ix.tetl In Leaaee'. excluslVempace. In the evert tool It barnm.a utuallV ggreeabla to InataIT an INolcommunlmllon ys- fem by me Southwest Bell Telephone Companyya�egonthot ma IMercommunl- e r, Then thleaeharee �IMVtledt lachicaal ener8m a stumawY far Iha gy d by Lessee In Lea9ee'a ercl..W. apace on a me- te7ed SIB Y trom�jlme -lo iIM. rent apace on the alrflald upon terms utuollY agrud upao batwecn Ina Part ll at ouch hmtlona as may bbae Y oBreod upon, far the locotlon of aMp Specs, leose " from time t. time Pone for the a,.,.ga W foal. and Prapellenta a} a mutuallyy bgueed pen an an iha alrfje ' Pan terms arq condllione mutwlly agreed upon between the parllee. R per aq. fl. per aMUm; pyref }he rent will yybo aharetl equally, vlhleh Is Thewtnral renlrlg W osaa799pp, will be .old S rding to tho fufIPWlnb for• mule; ElP---g— loWnP---g— a1 Indlvldual TO lx`aenaen enolanetl by Brenlry, Eastern, Texoa Interrrollelml and Rf. x S],9f10 g pu M'CGI[y�jaled .aMhl areo'reM -111 Ins acme ma nnar ae all midi pold In mOnl re.,. of he .Iher In PUBLISHEWS AFFIDAVIT STATE OF TEXAS, County of Nueees. Before me, the undersigned, a Notary Public, this day personally came........_.. -.._. g�t Babes,-- ------ ._._. —, who being first duly sworn, according to law, says that he is the ---- C1assjfjAd._Nan&gAr 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 Notice - - -AN CRDINACE --- CITY & EASTERN AIRLINES of which the annexed is a true copy, was published In . ...... on the-5— day of_...Oat er __ 19-70, and once each..... elay. —thereafter for L__ xmxvAQR&=4Dr-9—t;4aa on--OGt4gbsv—l2, 1970. ....,2.—Times. Lelan G. Barnes, Cl. ........ Adv. Mgr. Subscribed and sworn to before me this-_.. 13 . ..... day of_Or_t4,o91;er_ — ------ 19--7-0.— Kenneth Holt u Notary Public, Nueees County, Texas