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Home My WebLink About13021 ORD - 02/11/1976• jkh:1-6-76; lat AN ORDINANCE AUTHORIZING AND DIRECTING THE CITY MANAGER 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, ALL AS MORE FULLY SET FORTH IN THE LEASE AGREEMENT, A SUBSTANTIAL COPY OF WHICH IS ATTACHED HERETO AND MADE A PART HEREOF, MARKED EXHIBIT "A ". BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CORPUS CHRISTI, SECTION 1. That the City Manager be and he is hereby authorized 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, all as more fully set forth in the lease agreement, a substantial copy of which is attached hereto and made a part hereof, marked Exhibit "A ". 13021 • 1 • THE STATE OF TEXAS X COUNTY OF NUECES X This Lease Agreement, made and entered into this the day of , , by and between the City of Corpus Christi, acting herein by and through its City Manager, with authority duly conferred by the City Council, a municipal corporation, organized and existing under the laws of the State of Texas, situated in Nueces County, Texas, hereinafter referred to sometimes as LESSOR, and Ras n Airlines, Inc_ , hereinafter sometimes referrered to as LESSEE, W I T N E S S E T H• 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 and, 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 No. 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: (1) The opera tLon of a transportation system by aircraft for the carriage of persons, property and mail, including all activities reason- ably necessary to such operation, hereinafter referred to as "air transporta- tion"; �lM• Ay (2) The landing, taking off, loading, unloading, repairing, maintaining, conditioning, servicing, parking, storing and testing of aircraft or other equipment, including the use of a reasonable amount of conveniently 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 supplies, 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 mail at said Airport by such motor vehicles or other means of conveyance as Lessee may desire or require in the operatics 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 Lessee's requirements of gasoline, fuel, lubricating oil, grease,food; and other passenger supplies, and any other materials and supplies from 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 operatirn 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; (6) The installation, maintenance and operation of such radio, communication, meterological and aerial navigation equipment and facilities in, 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 operation; provided that the location of such equipment and facilities as might 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 2567- square feet of space, which includes 288 square feet of counter space, 1359 square feet of air conditioned space and 920' square feet of non -air conditioned space in the Terminal Building, as the same is more particularly set forth and shown on plans and speci- fications marked Exhibit "B ", attached and made a part of Ordinance No. 7906 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 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, equipment, vehicles, machinery and other property, subject to Airport security regulations, without charge or obligation to Lessee. ARTICLE II TERM Lessee shall have and hold said premises, facilities, rights, licenses and privileges set forth in paragraphs A to E inclusive, of Article I, for a term commencing on the 8th day of August, 1975, and terminating at the end of the 7th day of August, 1980, 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 quthority 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, MAINTENANCE AND OPERATION OF AIRPORT Lessor agrees that it will develop and improve, and at all times maintain and 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 obstruction, 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 ramp fence line. -4- It is expressly understood that the Lessor will keep the public space in the Terminal Building attractively furnished, and will provide and supply adequate light, electricity and water for the public space; heat during cold weather and air conditioning during warm weather sufficient to keep the building at a reasonable temperature; janitors and other cleaners necessary to keep the Airport and all spaces; 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 exclusive space, domestic water, mechanical equipment 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 promulgated and eu- 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, facil- ities, rights, licenses and privileges granted hereunder, the following rentals, fees and charges: 1. Space rentals - Space rentals for the first year of the contract beginning August 8, 1975, shall be at the follow- ing rates: A. Ticket Counter Area $8.00 per sq. ft. per annum B. Air Conditioned Office Space $7.45 per sq. ft. per annum C. Non -Air Conditioned Space $6.05 per sq. ft, per annum -5- Fuel Adjustment. The fuel cost of $1.62 or $0.55 as the case may be will be computed by multiplying the appro- priate figure by a fraction, the denominator of which shall be the cost of a thousand cubic feet of gas paid by the Lessor at the airport as of May, 1975, and the numerator of which shall be the twelve month average cost of gas from June through May of the appropriate year. All Other Costs Adjustment and Baggage Claim Adjustment. The appropriate rent shall be computed by multiplying by a fraction the denominator of which shall be the arithmetical average as of May, 1975, of the indices (A) of the United States Bureau of Labor Statistics for hourly wage rates of all production workers in manufacturing and (B) of the Commodity Wholesale Price Index, and the numerator of which shall be the arithmetical average of said average indices (A) and (B) for the 12 month period June through May of the preceding year. The Cost of Gas per MCF as of May, 1975, was $1.728. The United States Bureau of Labor Statistics for hourly wage rates of all production workers in manufacturing as of 'fay, 3975, of $4.75 equals an index of 100. The Commodity Wholesale Price Index as of May, 1975, was 183.8 (base year 1957 -59). Total Adjustment. The resultant rent will be the sum total of the recalculated cost of fuel and all other costs. 2. $4.50 per month for each exclusive Public Address micro- phone located in Lessee's exclusive space. 3. $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 inter- communication system by the Southwest Bell Telephone Company, so that the inter - communication system is not provided by Lessor, then this charge shall-not be made. 4. Baggage Claim - The fee for the first year for the baggage claim area containing 3,750 square feet shall be a rate of $1.91 per square foot per annum for a total yearly rental of $7,162.50, to be paid jointly by the Lessee and other certificated carriers holding valid leases with the City for the use of International Airport facilities in accordance with the following formula: Twenty percent of the rent in the amount of $1,432.50 will be shared equally as follows: $1,432.50 divided by the number of airline lessees. The remaining eighty percent of $5,730 will be paid according to the follow- ing formula: Lessee's enplaning passengers divided by the total passengers enplaned by all air carrier lessees, then multiplied by $5,730. The baggage claim area rent will be calculated monthly and paid in the -6- After the first contract year rates will be adjusted on as annual basis using the following method of calculation: Rents under 1. A, B, and C will be separated into three components: Fuel Fixed All Other Total 1. $1.62 $1.59 $4.79 $8.00 2. 1.62 1.46 4.37 7.45 3. 0.55 1.37 4.13 6.05 Fuel Adjustment. The fuel cost of $1.62 or $0.55 as the case may be will be computed by multiplying the appro- priate figure by a fraction, the denominator of which shall be the cost of a thousand cubic feet of gas paid by the Lessor at the airport as of May, 1975, and the numerator of which shall be the twelve month average cost of gas from June through May of the appropriate year. All Other Costs Adjustment and Baggage Claim Adjustment. The appropriate rent shall be computed by multiplying by a fraction the denominator of which shall be the arithmetical average as of May, 1975, of the indices (A) of the United States Bureau of Labor Statistics for hourly wage rates of all production workers in manufacturing and (B) of the Commodity Wholesale Price Index, and the numerator of which shall be the arithmetical average of said average indices (A) and (B) for the 12 month period June through May of the preceding year. The Cost of Gas per MCF as of May, 1975, was $1.728. The United States Bureau of Labor Statistics for hourly wage rates of all production workers in manufacturing as of 'fay, 3975, of $4.75 equals an index of 100. The Commodity Wholesale Price Index as of May, 1975, was 183.8 (base year 1957 -59). Total Adjustment. The resultant rent will be the sum total of the recalculated cost of fuel and all other costs. 2. $4.50 per month for each exclusive Public Address micro- phone located in Lessee's exclusive space. 3. $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 inter- communication system by the Southwest Bell Telephone Company, so that the inter - communication system is not provided by Lessor, then this charge shall-not be made. 4. Baggage Claim - The fee for the first year for the baggage claim area containing 3,750 square feet shall be a rate of $1.91 per square foot per annum for a total yearly rental of $7,162.50, to be paid jointly by the Lessee and other certificated carriers holding valid leases with the City for the use of International Airport facilities in accordance with the following formula: Twenty percent of the rent in the amount of $1,432.50 will be shared equally as follows: $1,432.50 divided by the number of airline lessees. The remaining eighty percent of $5,730 will be paid according to the follow- ing formula: Lessee's enplaning passengers divided by the total passengers enplaned by all air carrier lessees, then multiplied by $5,730. The baggage claim area rent will be calculated monthly and paid in the -6- • same manner as all other rents and fees. Rental after the first year will be calculated as described in para- graph 1 under Baggage Claim Adjustment. 5. Lessee agrees to pay for the electrical energy consumed by Lessee in Lessee's exclusive space on a metered basis at City's cost. 6. 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. 7. Lessee may from time to time lease space for the storage of fuels and propellents at a mutually agreed upon loca- tion on the airfield, upon terms and conditions mutually agreed upon between the parties. 8. 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. 9. Landing fees paid by Lessee will be calculated annually in accordance with the following method: Estimated net annual airfield cost estimate times commercial airline allocated share (752) plus excess liability insurance times airline participation percentage divided by the estimated annual landing weights of all airline users expressed in thousand pound units equals the fees per thousand pounds of certified maximum gross landing weight of Lessee's aircraft landing at the Airport. Landing fees will be computed on the basis of the actual number of landings made at the Airport, but no charge will be made for courtesy, test, or any other non - revenue flights except training flights. Fees will be rounded to the nearest one -half cent. Airline participation percentages will begin with the base year - 1975 -76 at 55 %. An increase of 2% will be added to each subsequent year or the percentage of increase in airport enplaning passengers over the previous calendar year, whichever is greater. 1975 -76 Calculations Airfield — Total activity budget $ 25,396 Security 6 Fire Protestion — Total Activity Budget 128,559 Airport Administration — 20% Activity Budget 9,568 Director of Public Utilities -- 26.4% Activity Budget 1,104 General Administration — 26.4% Activity Budget 16,007 Interest on Bonds — Bond Repayment Schedule 122,012 Depreciation -- Annual Financial Report 111,687 Sub Total $414,333 Less Farm Lease Income -- Budget Estimate (26,000) Security Service Charges — Budget Estimate 45,000) Estimated Net Annual Airfield Cost $342,633 Estimated Excess Liability Insurance $ 5,500 -7- • $342,633 x 757 = $256,975 $256,957 + $5,500 = $262,475 $262,475 x 55% = $144,361 $144,361 a 626,174M - $0.2305/1,000 pounds Rounded to nearest half cent = 2301,000 pounds 10. Capital improvements made to.the terminal complex which are used by and will benefit Lessee and /or its passengers will subject the Lessee to additional space rental, the amount to be negotiated with the Lessor. 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 month at the commencement 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 Lessee, for the privileges of buying, selling, using, storing, withdrawing, handling, . consuming or transporting materials or other supplies to, from or on the Airport; of making or performing agree- ments for work, materials, or services at the Airport; of transporting, loading, unloading or handling persons, property or mail to, from or on said Airport; or for any other of the premises, facilities, rights, licenses, and privileges granted in this lease. Nothing contained herein, however, shall prohibit the Lessor from renting space for or charging a reasonable fee to a catering service providing -8- food prepared on the Airport, or from granting franchises for the operation 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 situs within the corporate limits of Lessor. I£ any taxes other than ad valorem or general sales taxes are paid by Lessee to Lessor as a result of its operation, the fees and charges in Article VII hereof shall be dimimtshe'din 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 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 proceeding 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 Lessee's 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 conduction and operating its transportation -9- • system for the carriage of persons, property and mail by aircraft at the Airport, or in the event 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, and, any such condition or de- fault shall continue for thirty (30) days after the receipt of written notice from Lessor to correct such condition or cure such default, prior to the correction or of curing of such condition or default, if applicable, 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 RI 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 here- under 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 Lessee's Certificate of Public Convenience and Necessity, or Lessee's obligation or right, imposed by contract or otherwise, to the Federal Government for the carriage of United States air mail to, from or through Corpus Christi, Texas; B. Designation-by the U. S. Postal Service, or any other compe- tent governmental authority, 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 Administration 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; -10- • • 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 operation 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 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 condition or event which gave rise to the suspension; and, if Lessee does not so cancel, 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 entirety 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 XIIL 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 exteesion hereof, in good condition in accordance with its express obligations hereunder, except for reasonable wear and tear, fire or other casualty, and Lessee shall have the right at any time during said term, or any 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 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 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 INDEMNIFICATION 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 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 therefor. It is further agreed that in its use and enjoyment 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 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 authorized agents or employees. The Lessor hereunder agrees to maintain in 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, -12- have been, or will be passengers of 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 reimburse Lessee for any and all costs and expenses incurred in defending or settling any such' claims. ARTICLE XVI t NOTICES Notices to the Lessor provided for herein sfiall be sufficient if sent by registered mail, postage prepaid, addressed to: Airport Manager P. 0. Box 9277 Corpus Christi, Texas 78408; and notices to the Lessee, if sent by registered mail, 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 MORE FAVORABLE TERMS Lessor covenants and agrees not to enter-into any lease, contract or agreement with any other air transport operator with 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 ADMINISTRATION Whenever the term "Federal Aviation Administration" is used in this lease, it shall be construed as referring to the Federal Aviation Administration 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. -13- ARTICLE XIS HEADINGS The article and paragraph headings are inserted only as a matter of convenience and for reference and in no way define, limit or describe the scope or intent 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 invalid, the invalidity of any such covenant, condition or provision shall in no way affect any other covenant, condition or provision herein contained; provided, however, that the invalidity of any such covenant, 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. IN WITNESS WHEREOF, the parties hereto have executed these presents as of the day and year first above written. ATTEST: LESSEE: EASTERN AIRLINES, INC. By. Secretary ATTEST: LESSOR: CITY OF CORPUS CHRISTI, TEXAS sy City Secretary R. Marvin Townsend City Manager APPROVED: DAY OF City Attorney -14- I I I a I' i I J Cat E T C O N, G O U �t S E 4• x`2•!03 ^ �L(o7 —Op. cL'e�1:, TRANS—TI �^�"�! -� fi tiY3 �. ��'�S � y; yr� •si„fn�y. ,Fy�.,��t .,- '.R.'.- _ ANAGER CG.O CLOS T + _ Cii GFx RATS Oj S fii x r e 5 ORAGE - - �.. �b.4'd` a"� - � Y* ''yia a'•"ryfi "�..0 � -�,i'i �.4'n h' ��_lk�- �3�'��y �.�t' - rb e'er- .y - k BAGGii BAGGAGE r ` ..r 1 z« I .RM1`t.- fti .�a }'2"'�kY � - "�s+Z��„�.`i"✓�� .7�'". � kl � � � y �i. 4 d i S 1 M- k/:r1 ,lam t ,Y� • F I L jA l` _F� • 0 THAT THE FOREGOING ORDINANCE WAS READ FOR THE FIRST TIME AND PASSED TO ITS SECOND READING ON THIS THE -DAY OF 19', BY THE FOLLOWING VOTE; JASON LUBY 7P. BILL TIPTON EDUARDO OE ASES RUTH GILL BOB GULLEY GABE LOZANO, SR. EDWARD L. SAMPLE THAT THE FOREGOING ORDINANCE VAS READ F THE SECOND TIME AND PASSED FO ITS THIRD READING ON THIS THE ,L DAY OF .a,,�.i , j9X BY THE FOLLOWING VOTE: JASON LUBY DR. BILL TIPTON EDUARDO DE ASES RUTH GILL Boo GULLET GABE LOZANO, SR. EDWARD L. SAMPLE THAT THE FOREGOING ORDIN FINALLY ON THIS THE�DAY OF JASON LUBY DR. BILL TIPTON EDUARDO DE ASES RUTH GILL BOB GULLEY GABE LOZANO, SR. EDWARD L. SAMPLE PASSED AND APPROVED, THI: VIRD TIME AND PASSED p BY THE FOLLOWING VOTE: 7 ,9;� ATTEST: /I bECRErARY MAYOR THE CITY OF CORPUS CHRISTI, TEXAS A VED- -1 DA Y OF , . DA � 9 1ta�C1TY ATTORNEY �� PUBLISHER'S AFFIDAVIT STATE OF TEXAS, County of Nueces. Iss: 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 Legals-.-RQT-IQE.-DF-.FMM-RFAT)TM PASSAGE...11F.-AN ORnI.NAUGF-AUTJiDE-MIRG-�— LEASE EASTERN AIRLINES ... THE CITY COUNCIL OF THE, of which the annexed is a true copy, was published in . ........ ---jGa11,er-,.TJmez ...... on the.-U.- day of 'L-.---.Times. $ — ------ 1.9-33 ------- Rowena 'e. ve fis qu Accounting Subscribed and sworn to before me this U.....—day of .-i7.anuar,7- ................. ... . Eugenia S. Cortez • Notary He, Nueces County, Texas PUBLISHER'S AFFIDAVIT NOTICEOFSECOND READING OF PASSAGE OF AN ORDINANCE _ AUTHORYLING A LEASE STATE OF TEXAS, TO EASTERN AIRLINES ss t The Clty CounclI of the City of County of Nueces. Corpus Christi has on January 16, 1976 polled on second read - IngenordlnanceaWharizingthe Before me, the undersigned, a Notary Public, this day personally came....... m Ee stern A.iet'. of cer sin exclusive space in the Terminal Rnwena._�..._V.ela�cluei r._..__ ... _ .... _ who being first duly sworn, according to law, says Building as w l as use of the Public portlora of the Corpus Christi IfdernaRonal Airport as .A=0Untirig. _ of the Corpus Christi Caller and The Corpus descr bed in sold lease for e .._.___. _......._.�....._.__�.......__. term of five years at rentals ad- lus able on an Newspapers published at Corpus Christi, Texas, in said County and State, and that the cording to formulaesatta out In said lease ranging from 51.91 Fdfl��l a..K..0_Tj9 . O .SECOND READING OF PASSAGE OFAN_ORD_I_NANC_E_AI bao90gecel foot a°ealose °ogp�r 4— _ SE TO EASTERN AIRLINES... square fool per annum for flnkef . of which the annexed is a true copy, was published in __._..__ Csllsr. iyn ' _... C0 n7er area and landing fees of Py l? — TJC per IAA pounds payable do e month' basis. on the _2.0_ day f.._._._ AA1LaZ'Y_._._._. 19 7 �8d rue ISSUED UNDER MY HAND y �+ °- ----�-- ^'— -. AND SEALof the City of Corpus Christi, Texas, this 15th day of January, 1976. BILL G. READ, City . ...1.._.___..TimPB. Secretary Clty of Corp j ^_ I us Christ;, Taxes OEAL) Rowena C. Velasq a Accounting Subscribed and sworn to before me this ---------- of_......!TdAItNX' ._._........ .. 19...7L— Eugenia S. Cortgz - - -• - -- _ tl�Cs S_.__. Not Pub Nneces County, Texas NOTICE OF PIRST-READTW PASSAGE OF AN ORDINANCE AUTHOR - (ZING A LEASE j TO EASTERN AIRLINES The City Council of the City of Corpus Christi has on January e, 1976, passed on first reading an ordinance authorising the City Manearroexeturo a lease to Eastern Airlines of certain excru-sWripilicawthe Terminal Building as well as use of the public portions of the Carpus Christi International Alrpart as described In said lease for a j term of five years at rentals ad- lustable on an annual basis ac- cordhtg to formula sal out In sold lease ranging from s1.91 per square fool per annum for baggage claim era to ie.M per squarefoot per annum for ticket j counter area and landing fen of 23c per 1,000 pounds payable on a moat basis. ISSUED UNDER MY HAND AND SEAL of the Qty of Corpus Christi, Texas, this 9th day of j January, 1976. Bll1 . � BILL G.READ, ' C1Uy SeGcrerory Read City, of Corpus Christi, Texas (SEAL)