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HomeMy WebLinkAbout14811 ORD - 03/07/1979• vp 2/7/79: 2d AN ORDINANCE AUTHORIZING AND APPROVING THE GAULT AVIATION, INC. FIXED BASE OPERATOR AND HANGAR LEASE AT THE CORPUS CHRISTI INTERNATIONAL AIRPORT BE EXTENDED 30 YEARS FROM APRIL 1, 1979 THROUGH MARCH 31, 2009, 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, TEXAS: SECTION 1. That authorization is hereby given for extending the Gault Aviation, Inc. Fixed Base Operator and Hangar Lease at the Corpus Christi International Airport for 30 years, from April 1, 1979 through March 31, 2009, all as more fully set forth in the Lease Agreement, a sub- stantial copy of which is attached hereto and made a part hereof, marked Exhibit "A". MICROFILMED 0 ',Ann 14811 JUL 0 0 i �0 all 9 HANGAR AND FIXED BASE OPERATOR'S LEASE This lease is entered into on the day and year below stated between the City of Corpus Christi, a home rule city, situated in Nueces County, Texas, hereinafter called City, and Roger L. Gault, dba Gault Aviation of the County of Nueces, State of Texas, hereinafter referred to as Gault, upon these terms, performable in Nueces County, Texas: ARTICLE I DESCRIPTION OF LEASED SPACE City leases unto Gault an area designated for commercial hangar and fixed base operations located generally on the east side of the terminal building as shown on the attached drawing marked Exhibit "A", which is made a part hereof as if copied verbatim herein and specifically described as follows: Beginning at the northwest corner of the transient apron, thence proceeding fifty feet due west for a place of beginning; Then west for a distance of 247.87 feet for the southwest corner thence ninety degrees due north for a distance of 900 feet for the northwest corner; Thence ninety degrees due east for 587.87 feet for the northeast corner; Thence ninety degrees due south for a distance of 150 feet for a corner; Thence ninety degrees due west for 340 feet to an inside corner; thence ninety degrees due south for a distance of 750 feet to the place of beginning. ARTICLE II PRIVILEGES, RIGHTS, USES AND INTERESTS A. USE OF LEASED PREMISES. Gault shall use the leased premises for commercial hangar and fixed base aviation operations herein defined and for no other use without the specific written permission of the City: (1) Housing aircraft in hangars and related shop and office use; (2) Engaging in any activity related to the business of repairing, leasing, purchasing, or otherwise acquiring, selling, exchanging, dispensing, financing, insuring, or dealing in or distributing aircraft of every class and description, including engines, motors, aircraft instruments, supplies and accessories; • 14411 • (3) Servicing of aircraft with fuels and lubricants; (4) Operation of aerial taxi and sightseeing services and aerial advertising, aerial survey, aerial photography and mapping; (5) Operation of schools of flying, navigation, aviation mechanics, aerial survey, aerial photography, aerial designing, aerial con- struction; (6) Aeronautical and allied research; (7) Operation of the business of nonscheduled transportation of passengers ; and (8) Undertaking of any phase of aviation activity for profit related to or contributing in any way to aircraft sales, servicing and distri- bution or aerial navigation. B. RIGHT TO USE AIR FIELD. Gault shall have the right to use the public areas and public airport facilities including the runways, taxiways, aprons, ramps and navigational aids and facilities in common with others so authorized, subject to and in accordance with the laws of the United States of America and the State of Texas, and the rules and regulations promulgated by their authority with reference to aviation and air navigation, and in accordance with all reasonable and applicable rules, regulations, ordinances and Charter of the City. C. RIGHTS ENUMERATED. Gault shall have the following rights: 1. To sell aircraft fuels, lubricants and propellants on the leased premises, on any other public apron, and within any private hangar area. City reserves the right to lease or rent the apron immediately adjacent to the control tower annex building, known as the transient apron, as shown on the master plan of the Corpus Christi International Airport, to an operator or operators as a separate business for the dispensing of fuels, lubricants and propellants and/or for the operation of tiedown facilities on said apron. In the event that the transient apron is operated as a separate business, then Gault shall not have the right to the use of the tiedowns on said apron or to sell and dispense fuels, lubricants or propellants on said apron. City will not permit any transient apron lessee to interfere with Gault's access rights under this lease. 2. To store aircraft fuels, lubricants, and propellants on the leased premises. -2- • 3. To maintain and operate mobile equipment when reasonable and necessary to fill and dispense aircraft fuels, lubricants and propellants on the leased premises and within the area described above, with right of access to the commercial ramp and connecting taxiways. 4. To maintain, store and service aircraft which shall include hangar storage of aircraft, major and minor overhauling and repairing of air- craft, repairing,inspection and licensing of same, and purchase and sale of parts, equipment and aircraft accessories. 5. To purchase and sell, within the leased premises, aeron- autical charts, publications, caps, sunglasses, computers, radios, and other aviation related items normally sold and dispensed by commercial fixed base hangar operators. 6. To rent, lease and charter aircraft and to engage in the business of teaching and/or otherwise instructing flying and aircraft mechanics. 7. To place and erect signs and advertising material within the hangars, offices and shops on the leased premises at Gault's discretion, and to place and erect signs and other advertising material on the outside of Gault's buildings, shops and offices; provided that the size and shape of such signs shall conform to the general appearance of the airport premises, subject to the approval of the Airport Manager.to place and erect signs and advertising material at other locations on the airport, provided that written permission is obtained from the Airport Manager prior to the installation of any sign or advertising material at any location outside of or off the leased premises, and subject to the order of the Airport Manager to require the removal of such installations or any of them at any time. D. ACTIVITIES AND USES EXPRESSLY PROHIBITED. The following activities and uses are expressly excluded from this lease and Gault is pro- hibited from any such use or activity except as noted: 1. Ground Transportation for hire. Gault may provide ground transportation for its employees and aviation customers as a service except that said service may not be offered to the general public on a commercial basis. 2. Western Union. Gault may use the wires, lines and services of Western Union for its own purposes in connection with the establishment of a communications system and weather -3- • system or for any other purpose so long as Gault does not engage commercially in the taking or sending of telegrams, money orders, etc. 3. Automobile Rental Service. 4. News and sundry sales except for those aviation related items as mentioned hereinabove. 5. Advertising concessions except those that may be conducted within Gault's hangars, offices and shops. 6. Barber, valet and personal services. 7. The sale of food and/or drink except from dispensing machines located within the hangars, offices and/or shops. However, no cafe or cafeteria type of service shall be operated. 8. The sale of flight and/or trip insurance. 9. Commercially engaging in the business of making reserva- tions for hotels, motels and other lodging. ARTICLE III CONSTRUCTION OF HANGARS Gault will construct a minimum of one (1) hangar on the leased premises in addition to the two existing hangars. Such additional hangar shall contain a minimum of twenty-four thousand (24,000) square feet of floor space within its outer walls. Rental payments on 12,000 square feet of said hangar will begin immediately upon the execution of this lease. For the additional 12,000 square feet, rental payments will begin ninety (90) days after the completion of the ramp or when the new hangar is open for business, whichever first occurs. In the event that additional hangar construction is less than the required 24,000 square feet, then the difference between the two figures will be paid for as though the hangar were of the required size. Prior to the construction of any hangar or improvement on the leased premises, Gault will submit plans and specifications to the City for approval and review with respect to the general appearance, safety and type of construction proposed, life and value. Gault has supplied City with an engineer's appraisal of life of two existing hangars which City has accepted in satisfaction of requirements of Art. VIII Sec. 2(c) of City Charter. Gault will begin construction of additional hangar, as noted above, within one year of the date of the completion of the ramp extension by the City. failing which hangar construction, this lease shall terminate -4- • on the 14th day of July, 1990. Twelve months after date of the completion of the ramp extension by the City, if Gault has not begun construction of an additional hangar as promised, then Gault will pay as liquidated damages to the City the amount of money the City paid towards construction of the ramp exten- sion in front of the leased premises. At Gault's option, liquidated damages may be paid in five equal annual installments without interest with the first such installment to be due immediately. Gault will continue to pay ground rent on the space set aside for the new hangar but not used for that purpose. Also, in the event of such failure to construct the hangar within one year as noted above, the City reserves the right to repossess the ground space not used for the new hangar should another tenant be obtained for such property, in which event Gault would stop paying ground rent as well as not incurring any further liability for unpaid installments on the ramp assessment. ARTICLE IV ACCEPTANCE OF PREMISES Gault acknowledges that the premises have been inspected and accepts the leased premises in its present physical condition and will pay the total cost of developing said property. -4a- • ARTICLE V TERM The term of this lease shall be thirty (30) years, beginning on April 1, 1979 and terminating on March 31, 2009, provided Gault has not defaulted in any of the terms, conditions, and provisions hereof. ARTICLE VI RENT Gault will pay City a base rental fixed as of July, 1960 and supplemented as follows: 1. Three cents (3¢) per square foot per year for the area covered by hangars, shops, offices and/or other improvements. 2. One cent (14) per square foot per year for the area within the leased premises between the building setback lines where buildings could legally be constructed. 3. Thirty-three and one-third (33-1/3%) percent of the gross income from parking and/or tiedown facilities located on any ramp that may be constructed in the ramp area, shown on Exhibit "A". 4. Two (24) cents per gallon for each gallon of gasoline and/or other propellants and fuels sold by Gault, except to commercial airline air- craft holding valid operating contracts on the airport. 5. Gault will not be charged for storage tanks within leased premises, except ground rental and will submit storage tank plans to the City for approval prior to installation. Fuel storage sites on property outside the leased premises will require a separate lease. 6. At the end of each three year period after the execution of this lease, either City or Gault may request an adjustment in the ground rental rates, and the flowage fees as above set out, which adjustment shall be com- pyted by multiplying such rate and fee by a fraction, the denominator of which shall be the arithmetical average as of July, 1960 of the indices (A) of the United States Bureau of Labor Statistics for hourly wage rates of all workers in manufacturing and (B) of all commodity wholesale prices, and the numerator of which shall be the arithmetical average of said indices (A) and (B) for the last available twelve (12) monthly indices immediately preceding the request for adjustment. -5- • Should either of said indices change substantially as to form and basis of data or manner of publication, the above adjustment provision may be amended in writing. On the base date, July, 1960, the United States Bureau of Labor Statistics index for hourly wage rates for all manufacturing employees was $2.26 per hour and the commodity wholesale sale price index was 100.8. Such formula must result in a change of at least 1/4¢ peri unit or no adjustment shall be made, and all adjustments shall be made to the nearest 1/44. City retains the right to adjust the rates for fuel flowage fees set forth herein, such rates to be published by ordinance duly adopted by the City Council. City will put this same clause in any renewal, amendment, or extension of any other existing fixed base operator lease as well as any other new fixed base operator lease. Effective as of the date of the execution of this agreement, the rents based on the foregoing formula are as follows: The Improved Area, seven and one-quarter (7 1144) cents per square foot per year; Unimproved area, two and one-half (2 1/24) cents per square foot per year; Flowage fee, four and seventy-five/one-hundred (.0475) cents per gallon. Ground rentals as set out here and above shall be computed on a monthly basis and shall become due and payable on the first day of each calendar month throughout the term of this lease. On the first day of the next calendar month after the rentals.began under this lease, Gault shall prepare a report in writing on a form approved by City showing the total number of gallons of gasoline fuels and/or other propellants sold by Gault and the total gross receipts on the above mentioned apron during the preceding calendar month and shall submit said report to City along with the rental to be paid thereunder prior to the tenth day of said calendar month. Gault shall submit a like report and payment therefor for each succeeding month during the term of this lease. Gault will keep full and accurate records of all -6- • transactions, sales, and income, both from cash sales and credit sales, that in any way concern rental to City; and will hold all books and records cover- ing such sales open to inspection by City at all reasonable times. 7. City appoints its airport manager as its agent to receive all rentals and reports under this lease and Gault will submit said reports and payments to the Airport Manager. City may designate others as agents to inspect Gault's books and records, such inspections to be performed at reason- able times during working hours. 8. In addition to all other remedies which City may have to enforce the obligations of Gault, City shall have a lien on all property of Gault placed on said premises for all moneys, rents, shares of gross receipts and other obligations of Gault. 9. By the term "Transient Apron" is meant that apron east of the control tower building approximately two hundred eighty (280) feet in width extending from taxiway "N" southward to a line which is the eastern extension of the south line of the commercial apron running south of the terminal building and control tower building, said transient apron having a length north and south of approximately seven hundred fifty (750) feet. The term "public apron" shall include, in addition to the tran- sient apron above described, the following area: All of that area shown on Exhibit A as "commercial apron" and being an area approximately 300 feet in width extend- ing north and south and extending east and west a distance of approximately 1,050 feet, all of which area lies as shown on Exhibit A south of the airport terminal building and airport control tower building. ARTICLE VII UNDERTAKINGS OF CITY City covenants as follows: A. To operate Corpus Christi International Airport as a public airport during the term of this lease subject to and consistent with and pursuant to the assurances given by the City to the United States Government under the Federal Airport Act, and to Gault by this lease. B. To make water, gas, and wastewater service available upon the same basis as applies to residents within the City of Corpus Christi. Gault -7- • shall pay all charges for water, gas, wastewater, electricity and other public utilities supplied to Gault and/or Gault's premises during the term of this lease as such charges become due and payable. C. To construct a ramp 150' x 750' adjoining the east side of the present ramp, with construction to begin at the earliest practicable date, subject to participation in the cost by the F.A.A. ARTICLE VIII UNDERTAKINGS OF GAULT Gault further covenants as follows: A. At his own expense, to improve the leased premises by the construction of hangars, offices, shops and/or other improvements, as herein- above mentioned, and to maintain said improvements and leased premises in a presentable condition consistent with good business practice and equal in appearance and character to other similar improvements on the airport. B. To remove from the leased premises all waste, garbage, rubbish, junk, worn-out parts and other refuse, and not to deposit the same or allow the same to accumulate, except temporarily in connection with collection for removal, on any part of the leased premises or other property located within the airport site; provided, however, that City may provide garbage service for a reasonable fee consistent with charges made to commercial establishments of a similar nature. To make adequate provision for and to dispose of waste oils and lubricants off the airport property and never put or allow to be put any such waste oils and lubricants into the airport wastewater'system. C. To supply good, prompt and efficient service adequate to meet all the demands for such service at the airport on a fair, equal and nondis- criminatory basis to all users thereof, and to charge a fair, reasonable and nondiscriminatory price for each unit of sale or service; provided that Gault or its tenants and sublessees will be allowed to make reasonable and nondis- criminatory discounts, rebates or other similar type of price reductions to volume purchasers. Nothing herein contained is intended to nor shall be construed as vesting in City the power or authority to regulate Gault's charges for student training, aircraft rental, aircraft storage and aircraft charter service and services specifically related to such service. -8- • ARTICLE IX GENERAL PROVISIONS A. INDEMNIFICATION. Gault is and shall be deemed to be an inde- pendent contractor and operator responsible to all parties for its respective acts or omissions and those of its agents, servants, employees, invitees, tenants and sublessees, and City shall in no way be responsible therefor. In the use of the airport and in the maintenance, erection or construction of any improvements thereon, and the exercise and enjoyment of the rights herein granted, Gault will indemnify and save harmless City from any and all losses or claims for damages that may proximately result to City from any negligence on the part of Gault, Gault's agents, servants, employees, construction con- tractors and invitees, and for those of its tenants and sublessees. Gault will carry public liability insurance in the minimum sum of $500,000 single limit. All insurance shall be carried in a responsible company and shall name City as an assured. Such policy shall, in addition, be endorsed to provide for cross -liability between the assureds. Such policy shall be in a form satisfactory to City. All said policies shall provide for a minimum of ten (10) days notice to City in the event of cancellation or material change in the terms thereof. B. NOTICES. Notices to City shall be deemed sufficient if in writing and mailed, postage prepaid, addressed to the Airport Manager, Route 2, Box 902, Corpus Christi, Texas 78410, or to such other address as may have been designated in writing by City from time to time. Notice to Gault shall be deemed sufficient if in writing and mailed, postage prepaid, addressed to Gault at 502 Hoffman, Corpus Christi, Texas, 78411. C. TAXES. Gault will pay any and all real and personal property taxes levied from time to time upon the improvements placed upon the leased premises. D. All of the terms, covenants and agreements herein contained shall be binding upon and shall inure to the benefit of heirs, successors and assigns of Gault and City. E. DESTRUCTION. In the event that Gault's improvements or the airport is damaged or destroyed by acts of God or through enemy attack or for any other reason outside the control of Gault and City to such an extent that the airport cannot be operated as an airport, then this agreement shall terminate. -9- • In the event that the leased premises or Gault's improvements or the airport facilities reasonable and necessary for Gault to conduct Gault's business are partially destroyed or damaged due to acts of God or other acts outside the control of Gault and/or City to such extent that the leased premises may not economically be used for the uses and purposes for which leased, then this agreement and lease shall be suspended during the period of such partial damage or destruction and shall not begin or resume until the damage has been repaired. City shall be the sole judge of the extent of the damage or destruction to the airport and shall have an option to either declare this lease terminated or suspended or to repair the airport facilities or in case of damage or destruction to Gault's improvements, to either declare the lease terminated, suspended or to require Gault to repair his improvements, and fix the time within which such repairs shall be made. F. SUBORDINATION. This lease shall be subordinate to the pro- visions of any existing or future agreement between City and the United States relative to the operation or maintenance of the airport, the execution of which has been or may be required as a condition to the expenditure of federal funds for the development of the airport. Should the effect of such agreement with the United States be to take any of the premises under this lease out from the control of City or to substantially destroy the commercial value of the leased premises, then City must provide adequate premises to Gault or this agreement shall terminate. G. TERMINATION. 1. This lease shall terminate at the end of the term set forth in Article V hereinabove, and Gault shall have no further right or interest in any of the leased premises or rights, uses or other interests contained in this agreement, and Gault will vacate and remove all equipment placed thereon by Gault prior to the execution of this lease, unless Gault and the City renegotiate said lease and enter into a mutually satisfactory lease extending the term hereof. Gault shall have one hundred twenty (120) days within which to remove Gault's equipment and personal property, and in the event Gault fails to do so, the same shall work as an abandonment and title shall pass to City, or City may remove said equipment and personal property and Gault will reimburse City for its expense. -10- • 2. At the termination of this lease all improvements placed on the lease by Gault including existing hangars shall revert to City in accordance with the City Charter, Article VIII, Section 2, as amended. H. CANCELLATION. Default in payment of any of the rentals shall give City the right to terminate this lease at any time after thirty (30) days notice in writing has been given to Gault, unless within said time Gault has fully complied with the rental provisions. Default in any of the other covenants on the part of Gault shall likewise give City the right to terminate this lease at any time after thirty (30) days notice in writing has been given Gault, unless within said time Gault has fully corrected the condition creating the default. City will specify in such default notice the lease provision under which City claims that Gault is in default, and the acts or omissions giving rise to the claimed default. ARTICLE X TRANSFER OF LEASE The written authority of the City shall be obtained by Gault prior to any sale, reassignment, transfer or subassignment of this lease. Should Gault borrow money or otherwise finance the improvements to be constructed hereunder, and should it become necessary for any lender, financing agency or guarantor to foreclose and take over this lease because of Gault's failure to pay, said lender, financing agency or guarantor may operate the lease subject to all of its provisions, provided all obligations of Gault are met and all payments owing be paid. ARTICLE XI AIR OPERATIONS AREA SECURITY Gault shall provide for the security of the air operations area to prevent ground entry or movement of unauthorized persons in accordance with Section 9-32 of the City Code of Corpus Christi, Texas, and any regulations imposed upon City by the Federal Aviation Administration. Gault shall indemnify and hold harmless City, its officers and employees, from any charges, fines, or penalties that may be levied by any agency of the United States or the State of Texas by reason of Gault's failure to comply with this requirement. -11- • Physical barriers to prevent access to the air operations area must be in effect during construction upon the leased premises. This covenant is in addition to any of the above indemnification provisions. ARTICLE XII CIVIL RIGHTS In exercising any of the leased rights or privileges, Gault shall not on the grounds of race, sex, creed, or national origin discriminate or permit discrimination against any person or group of persons in any manner prohibited by Part 21 of the Regulations of the Secretary of Transportation. City hereby expressly retains the right to take such action as the United States may direct to enforce this nondiscrimination covenant. EXECUTED IN DUPLICATE ORIGINALS on this the day of , 1979. ATTEST: CITY OF CORPUS CHRISTI City Secretary APPROVED AS TO LEGAL FORM THIS DAY OF , 1979: J. BRUCE AYCOCK, CITY ATTORNEY By Assistant City Attorney Director of Finance ATTEST: By R. Mary n Townsend, City Manager GAULT AVIATION By Roger L. Gault, Owner -12- • That the foregoing ordinance was read for second reading on this the 41 day of following vote: Gabe Lozano, Sr. Bob Gulley David Diaz Ruth Gill Joe Holt Tony Juarez, Jr. Edward L. Sample • first time and passed to its 19 7', by the That the foregoing ordinance was read for e second time and passed to its third reading on this the '% day of . 197by the following vote: Gabe Lozano. Sr. Bob Gulley David Diaz 1 Ruth Gill f Joe Holt Tony Juarez, Jr. `. Edward L. Sample That the fore/ oing ordin a was d for the on this the day of Q4 Gabe Lozano, Sr. Bob Gulley David Diaz Ruth Gill Joe Holt Tony Juarez, Jr. Edward L. Sample PASSED AND APPROVED. this the 7 day of ATTEST: it Secretary APPROVED: J DAY 0 ��� 197 : J. BRUCE AY`SCK. CITY • ORNEY MAY By Assistan,' ii y Attorney time and passed finally by the following vote: • 14811 THE CITY OF , 197, US CHRISTI, TEXAS MOTION TO AMEND B Q B G 1 L. kE y moved and DAVID D/A 2 seconded the motion that the ordinance authorizing the City Manager to execute an agreement to contract and a five (5) year lease agreement with the "Pelican's Pleasure", dba "Captain Boomer's" for the establishment of a barge restaurant to be located at the People's Street T -Head, read on the second of three readings on February 28, 1979, be and the same is hereby amended prior to its third reading as follows: A. Amend the caption and ordinance to delete the words "or the barge dock located at the north end of East Shoreline" and substitute in place thereof the words "substantial copies of which are attached as Exhibits "A" and "B", respectively. B. Delete the Pelican's Pleasure proposal materials, except the Agreement to Contract and the Lease Agreement. C. Add the attached plat indicating the T -Head location of the barge restaurant, to the Agreement to Contract and to the Lease Agreement as Exhibit 1. D. Add the attached hurricane preparedness plan to the Lease Agreement as Exhibit 2. E. Amend paragraph I of the Agreement to Contract to delete the reference to the attached plat as Exhibit "A" and substitute in place of said reference Exhibit "1". F. Amend paragraph 1 of the Lease Agreement to delete the words "Exhibit 'A'" and substitute in place thereof the words "Exhibit '1$11. G. Amend paragraph IV of the Lease Agreement to hereafter read as follows: "IV RENTAL: Second Party shall pay to the City as rental for the above described premises the below listed percentage of the annual gross receipts for the barge restaurant, or the below listed minimum annual amount, whichever is greater: 0-36 months 37-60 months 01.0% or $6,000 ($500/month) 01.5% or $8,400 ($700/month) This rental shall be paid in the following manner: A. Monthly rental installments. The minimum annual rental amount shall be paid in the below listed monthly rental installments: 0-36 months 37-60 months $500 $700 The first monthly rental installment shall be due and payable on or before the tenth (10th) day of the month next following the month, or portion thereof, in which the restaurant first opens for business. Subsequent monthly rental installments shall be due and payable on or before the tenth (10th) day of each calendar month. B. Annual rental adjustment increment. If the applicable per- centage of the annual gross receipts exceeds the applicable minimum annual rental, Second Party shall pay the additional amount owed to the City as the annual rental adjustment increment. This additional amount shall be due and payable on or before the first day of May of the following year. All rental shall be paid to the City of Corpus Christi Collection Section at 321 N. Mesquite Street or to P. 0. Box 9277, Corpus Christi, Nueces County, Texas.° H. Amend paragraph VII(c) of the Lease Agreement to hereafter read as follows: "(c) All employees shall be covered by Workers' Compensation insurance, if applicable, carried at the expense of Second Party. Second Party shall also carry at its own expense any reasonable additional insurance, if any, as may be deemed necessary by the City Attorney to insure against potential maritime related liability." I. Add new paragraph XXV to the Lease Agreement to read as follows: "XXV RENT ABATEMENT. The monthly rental will be abated during the time that the barge restaurant ceases business operations (1) in preparation for movement to a safe moorage in accordance with its hurricane preparedness plan, (2) in preparation for movement whenever the City exercises its option under paragraph VI, or (3) whenever the barge restaurant is rendered substan- tially unusable because of damage resulting from fire, water, wind, or force majeure. Second Party shall resume its barge restaurant business operations within a reasonable time after the above conditions no longer -2- MOTION TO AMEND Boa ('Ul t„E/ moved and (JAI//D Q/A Zseconded the motion that the ordinance authorizing the City Manager to execute an agreement to contract and a five (5) year lease agreement with the "Pelican's Pleasure", dba "Captain Boomer's" for the establishment of a barge restaurant to be located at the People's Street T -Head, read on the second of three 7 readings on February N. 1979, be and the same is hereby amended prior to its third reading as follows: A. Amend the caption and ordinance to delete the words "or the barge dock located at the north end of East Shoreline" and substitute in place thereof t$e words "substantial copies of which are attached as Exhibits "A" and "B", respectively. B. Delete the Pelican's Pleasure proposal materials, except the Agreement to Contract and the Lease Agreement. C. Add the attached plat indicating the T -Head location of the barge restaurant, to the Agreement to Contract and to the Lease Agreement as Exhibit 1. D. Add the attached hurricane preparedness plan to the Lease Agreement as Exhibit 2. E. Amend paragraph I of the Agreement to Contract to delete the reference to the attached plat as Exhibit "A" and substitute in place of said reference Exhibit "1". F. Amend paragraph 1 of the Lease Agreement to delete the words "Exhibit 'A'" and substitute in place thereof the words "Exhibit '1". G. Amend paragraph IV of the Lease Agreement to hereafter read as follows: "IV RENTAL: Second Party shall pay to the City as rental for the above described premises the below listed percentage of the annual gross receipts for the barge restaurant, or the below listed minimum annual amount, whichever is greater: 0-36 months 37-60 months 01.0% or $6,000 ($500/month) 01.5% or $8,400 ($700/month) This rental shall be paid in the following manner: A. Monthly rental installments. The minimum annual rental amount shall be paid in the below listed monthly rental installments: 0-36 months 37-60 months $500 $700 The first monthly rental installment shall be due and payable on or before the tenth (10th) day of the month next following the month, or portion thereof, in which the restaurant first opens for business. Subsequent monthly rental installments shall be due and payable on or before the tenth (10th) day of each calendar month. B. Annual rental adjustment increment. If the applicable per- centage of the annual gross receipts exceeds the applicable minimum annual rental, Second Party shall pay the additional amount owed to the City as the annual rental adjustment increment. This additional amount shall be due and payable on or before the first day of May of the following year. All rental shall be paid to the City of Corpus Christi Collection Section at 321 N. Mesquite Street or to P. 0. Box 9277, Corpus Christi, Nueces County, Texas." H. Amend paragraph VII(c) of the Lease Agreement to hereafter read as follows: "(c) All employees shall be covered by Workers' Compensation insurance, if applicable, carried at the expense of Second Party. Second Party shall also carry at its own expense any reasonable additional insurance, if any, as may be deemed necessary by the City Attorney to insure against potential maritime related liability." I. Add new paragraph XXV to the Lease Agreement to read as follows: "xxv RENT ABATEMENT. The monthly rental will be abated during the time that the barge restaurant ceases business operations (1) in preparation for movement to a safe moorage in accordance with its hurricane preparedness plan, (2) in preparation for movement whenever the City exercises its option under paragraph VI, or (3) whenever the barge restaurant is rendered substan- tially unusable because of damage resulting from fire, water, wind, or force majeure. Second Party shall resume its barge restaurant business operations within a reasonable time after the above conditions no longer -2- Tony Juarez MOTION TO AMEND moved and Bob Gulley seconded the motion that the ordinance authorizing the City Manager to execute an agreement to contract and a five (5) year lease agreement with the "Pelican's Pleasure," d/b/a "Captain Boomer's" for the establishment of a barge restaurant to be located at the People's Street T -Head, read on the first of three readings on January 31, 1979, be and the same is hereby amended prior to its second reading as follows: A. Amend paragraph IV of the Lease Agreement to hereafter read as follows: "IV RENTAL. Second Party shall pay each month to the City as rental for the above described premises the below listed percentage of the monthly gross receipts for the barge restaurant, or the below listed minimum monthly amount, whichever is greater: 0 - 36 months 01.0% or $500.00 37 - 60 months 01.5% or $700.00 The first monthly payment shall be due and payable on or before the tenth day of the month next following the month, or portion thereof, in which the restau- rant first opens for business. Subsequent rental payment shall be due and payable monthly on or before the tenth day of each calendar month thereafter." B. Amend paragraph VII (c) of the Lease Agreement to hereafter read as follows: "(c) All employees shall. be covered by Workers' Compensation insurance, carried at the expense of Second Party. Second Party shall also carry at its own expense any additional insurance deemed necessary by the City Attorney to insure against potential maritime related liability." C. Addnewparagraph XXV to the Lease Agreement to read as follows: "XXV RENT ABATEMENT. The monthly rental will be abated during the time that the barge restaurant ceases business operations (1) in preparation for movement to a safe moorage in accordance with its hurricane preparedness plan, (2) in preparation for movement whenever the City exercises its option under Para- graph VI, or (3) whenever the barge restaurant is rendered substantially unusable because of damage resulting from fire, water, wind, or force majeure." Passed February 28, 1979 4 4 STATE OF TERAS, County of Nueces. PUBLISHER'S AFFIDAVIT Before me, the undersigned, a Notary Public, this day personally came. who being first duly sworn, according to law, says that he is the AGCQUNTING CLERK _._.. 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 PITRT.TC NOTT CF .SS. HEREBY Gz3CE17i man_. mem .r�?mv rnrn.,CI nr CLITION -0R -AN -AGREEMENT of which the annexed is a true copy, was published in CALLER TIMES on the _..5_ day of ig.WRIABY 19_/2, and once each. thereafter for consecutive.._...r._........._...___ —... Times. _16.80 Subscribed and sworn to before me thie_.,g...._..._.d 19 79 otary Public, Nueces County, Texas W.W. GLENN, PUBIC ""-- Notice r-Notice is hereby, y, ei, that the Oil aundl of the City of Corpus Christi F�, on the 31st t day of January' -a19 approved an first readt f' 1 ordinance adthorliing the exc<_ pion of an agreement to YeeI�e''act and et \ five (sapremrehen Berne' es,” tan - IIdsideratIon tot pending barge tr-,taurant estate - Ito k located on the r•eoplea (street T4iead.N the barn dock torated at the North end East shorettne. The full text of sold ar dyed Is available to the o` cQ uahe mica of the City . a SNES rntiy etort' ryhand this 1st day of Februa' 1979. :a.Blll G. Read a1Y Secretary PUBLISHER'S AFFIDAVIT STATE OF TEXAS, County of Nueces. Before me, the undersigned, a Notary Public, this day personally came CM SMOLDISKI " who being first duly sworn, according to law, says that he is the of the Corpus Christi Caller and The Corpus Christi Mimes, Daily Newspapers published at Corpus C.bristi, Texas, in said County and State, and that the publication of PUBLIC NOTICE IS HEREBY GIVEN THAT THE CITY apt1.010 Q ZEK.S.117-9.F QC of which the annexed is a true copy, was published in —CIALL.11 Tras FEB 7 on the 12 day 19.9—, and once each. Daythereafter for 4 consecutive. !Rime - 1 18.2O GM Smolinski Subscrihed end sworn to before me fhb__ 31 YGC Nueces County, Texas ,LJBL,C F. JTICEeO that' Not.__ s tiere'%i ,he `P. ,- 1,', '' r' ,' nh of Cor,,,,Cor,,,,cris. ,• .= day of Febroary;17; 9, a0prO�Ed on seco-J readin'1, prevlousiy '1 I approved on first reading on the 3151 day of January 1979, an or- 1 dlnance authorizing the execu- - i lion of an ag."eemeot to contract' a five (5) year lease agreement with the "Pelican's Pleasure," 1 dba, "Captain Boomer's" con-i slderatlon pending, estab-I lishment of a barge restaurant, to be located on the Peoples' Street-T-Head or the barge dock located at the North end of East Shoreline. The full text of said contract Is aval:able to the pub- i 110 in the Office of the City Sec- retary. // WITNESS my hand this eth , iday of February, 1979. p-5-B1I1 G. Read, ICity Secretary Corpus Christi, Texas i