HomeMy WebLinkAboutC2023-246 - 10/17/2023 - Approved DocuSign Envelope ID: E85A040E-F376-488C-9303-B9FA5530FED6
AIRPORT FACILITIES LEASE AND CONCESSION AGREEMENT
CORPUS CHRISTI INTERNATIONAL AIRPORT
This Lease and Concession Agreement is made by and between the City of Corpus
Christi, Texas a home-rule municipal corporation ("City"), and Tailwind CRP, LLC a Texas
Limited Liability Company with a principal address of 408 Landmark Drive, Wilmington, North
Carolina, 28412 ("Lessee").
RECITALS
The parties recite and declare that:
A. The City is the owner and operator of the Corpus Christi International Airport
located at 1000 International Drive, Corpus Christi, Nueces County, Texas;
B. The provision of high quality and reasonably priced food and beverage services at the
Airport are desirable for the proper accommodation of passengers traveling through the Airport,
as well as employees and visitors;
C. The City desires to make such services available at the Airport, and Lessee is
qualified and able to perform such services under the terms of this Lease and Concession
Agreement.
NOW THEREFORE, in consideration of the foregoing and of the mutual covenants and
agreements herein, the City grants Lessee the rights set forth herein, subject to the terms and
conditions set forth below, with which Lessee agrees to comply.
I. DEFINITIONS
As used in this Lease and Concession Agreement, defined words and terms shall have the
following meanings:
1.1 "Airport"is the Corpus Christi International Airport located in Corpus Christi,Texas.
1.2 "Director of Aviation" means the Director of the Airport as may be designated by the City of
Corpus Christi, or his or her designee.
1.3 "Effective Date" means the date this Agreement is last signed by the parties hereto.
1.4 "Terminal'is the Passenger Terminal Building at the Airport,as it now exists or may hereafter
be modified or expanded.
1.5 "Lease"or"Lease Agreement" is this Airport Facilities Lease and Concession Agreement.
1.6 "Liquor License" shall mean a license to sell alcoholic beverages issued by the Texas
Alcohol and Beverage Commission.
1.7 "Premises" refers to the space in the Terminal which is leased to Lessee as further
Page 1 of 27
DocuSign Envelope ID: E85A040E-F376-488C-9303-B9FA5530FED6
described and depicted in Exhibits "A" & "B" to this Lease Agreement.
1.8 "Gross Revenue" is the total amount of the actual sales price, whether wholly or partly for
cash or on credit, of all sales of food, alcoholic and non-alcoholic beverages, merchandise and
services and all other receipts of all business conducted in whole or part on or from the Airport;
including all orders taken in or from the Premises, although said orders may be filled elsewhere;
catering of aircraft at the Airport, regardless of where the food, beverages or merchandise are
prepared or obtained; and sales by any authorized sublessee, sub-concessionaire or
subcontractor in or from the Premises, and all without credit to Lessee for uncollected or
uncollectible credit accounts. Each sale upon credit shall be treated as a sale for the full price
in the month during which such sale shall be made, irrespective of the time when Lessee shall
receive payment, whether full or partial, from its customer. There shall be excluded from gross
revenue:
1 .8.1 Any sums collected and paid out for any sales or othertax based on the sale of food,
beverages and/or merchandise and required by law, whether now or hereafter in
force, to be paid by Lessee or collected from its customers, to the extent that such
taxes have been added to and included in the gross sales price, provided
however, that any rentals due under this Lease shall not be considered a tax and
shall not be added to the approved price of any items sold or to any customer's
bill for the sale of such items;
1 .8.2 Sales for which the food or beverages are later returned, to the extent of any
refund or credit is given;
1 .8.3 The 20% discount taken off the pre-sales-tax portion of the food, beverage or
merchandise bill from a retail restaurant, coffee shop, or other business inside
the CCIA Airport terminal or gate area for Airport employees, City employees,
Airport tenants,Airline employees and vendors who work at the Airport.
II. USE OF AIRPORT FACILITIES
2.1 Operational Rights. Subject to the terms and conditions of this Lease Agreement, Lessee
is granted the non-exclusive right to conduct and operate a food, beverage, and other
merchandise concession on the Premises at the Airport as identified in Exhibits "A" and "B"
attached hereto and incorporated herein by reference.
2.1.1 Lessee shall have the right to sell to the public in the Terminal and gate areas,
and to cater elsewhere in or on the Airport as provided in this Lease Agreement.
2.1.2 Lessee shall not sell food, beverage, or other merchandise on the Leased
Premises at prices above those prices advertised in the menus located at the
restaurants, bars, coffee shops, or cafes on the Leased Premises. Lessee shall
not charge prices for food, beverage, or other merchandise on the Leased
Premises that are 15% or higher than "street prices" in the City of Corpus Christi,
Texas. "Street prices" are defined as those prices charged by restaurants, bars,
coffee shops, convenience stores, grocery stores, or other retail outlets in Corpus
Christi, Texas for similar food, beverage, or other merchandise sold by Lessee
at the Airport.
Page 2 of 27
DocuSign Envelope ID: E85A040E-F376-488C-9303-B9FA5530FED6
2.1.3 Lessee's Menus should address all parts of the day including breakfast, lunch,
and dinner.
2.1.4 Most food and beverages offered by Lessee on the Leased Premises should be
available "to go" in convenient, environmentally friendly packaging.
2.1.5 "Grab and Go" selections on the Premises should include pre-packaged
sandwiches, salads, and wraps with both hot and cold selections.
2.1.6 Menu offerings shall be of high quality and offer good value to the consumers.
2.1.7 Portion sizes should be reflective of price and consistent with similar non-Airport
retail locations in the City.
2.1.8 Menus should include selections specifically oriented to and priced for children
and senior citizens.
2.1.9 Menus should include items to address dietary restrictions, which may include
but are not limited to "gluten-free", "vegetarian" and "vegan" options.
2.1.10 Lessee must set up and operate a "free unmanned coffee stand" for the secure
side or gate side of the Airport Terminal. This stand should be open on Monday
starting when the TSA checkpoint opens and lasts at least until 9:00 a.m.
2.1.11 Lessee shall provide live music during mutually agreed times and deduct those
performance fees on the following months invoice (up to $500 per performance).
The exact location for the live music performances will be determined at a later
date. The location for the live music and the music genre must be pre-approved
by the Aviation Director or designee. This can be halted at any time if mutually
agreed by the lessee and airport director.
2.1.12 Lessee shall provide free Mimosa drinks every Saturday and Sunday during the
term of this Lease Agreement, for two hours every Saturday and Sunday. There
shall be a one-free Mimosa drink limit per flying customer. This can be halted at
any time if mutually agreed by the lessee and airport director.
2.1.13 Lessee will be permitted to use other designated locations, including the second-
floor Visitor Tiki Booth for special pop-up events and during the Airport Terminal
construction project. These locations must be pre-approved by the Aviation
Director.
2.2 Terminal Buildinq Space and Equipment. The City shall deliver the Premises, fixtures,
equipment, and furnishings specified herein to Lessee as they exist on the Effective Date of this
Lease Agreement. Lessee shall accept the same "AS IS, WHERE IS,WITH ALL FAULTS."The
City will have no obligation to alter or improve the same, except as expressly provided herein. In
consideration of the monthly rental payment to be paid by Lessee and other terms and covenants
set out in this Lease Agreement, the City grants Lessee exclusive use of the color-coded areas
identified and depicted in Exhibit "B" attached hereto and incorporated by reference consisting
of approximately 6,918 square feet and related fixtures and equipment (the "Premises").
Page 3 of 27
DocuSign Envelope ID: E85A040E-F376-488C-9303-B9FA5530FED6
2.3 Alcoholic Beverages.
2.1.2 Lessee shall have the right to sell beer, wine, and other alcoholic beverages
(collectively "Alcoholic Beverages") in the Terminal with the appropriate license
issued by TABC at the prices set forth in Exhibit C, as may be amended from
time to time by the parties in accordance with paragraph 2.1.2 above.
2.1.3 Lessee shall take all reasonable steps to ensure that Alcoholic Beverages are
sold, dispensed, and consumed only in the areas approved by the TABC-issued
license. Lessee agrees to abide by all applicable laws, rules, and regulations
existing or hereinafter enacted pertaining to the selling of Alcoholic Beverages
including the laws, regulations, and license requirements of the Texas Alcoholic
Beverage Commission ("TABC").
2.4 No Exclusive Right. Nothing in this Lease shall be construed as granting Lessee any
exclusive right to operate food, non-alcoholic beverage, or alcohol concessions at the Airport or in
the Terminal. The City retains the right to enter into leases and/or agreements with others for the
provision of food, non-alcoholic beverages, Alcoholic Beverages, or vending services in areas
other than those set aside herein for Lessee's operations.
2.5 Right of Ingress and Egress. Subject to the requirements of Section 3.13 below and the
Airport's security plan as it now exists or may hereafter be amended, Lessee shall have at all
times the full and unrestricted right of ingress to and egress from the Premises and facilities
referred to herein for Lessee, its employees, contractors, agents, customers, guests and other
invitees.
2.6 Public Address and Paging System. Lessee and others similarly authorized shall have the
right to use the public address and paging system in the Terminal for paging, and similar
purposes, at no charge subject to reasonable policies established by the Director of Aviation.
2.7 Parking. In common with all other Airport tenants, Lessee's employees shall be entitled to
use Airport employee vehicle parking areas which are designated as such from time to time,
during times and on days when they are actively employed on the Premises, subject to such
rules and policies as may be adopted by the Director of Aviation. If the City in its discretion
establishes reserved parking spaces or areas for use by managers of Terminal tenants, then
Lessee shall be assigned one (1) such parking space for its use.
2.8 Limitation on Uses. Lessee's use of the Premises and the Airport Terminal authorized and
granted in this Lease Agreement shall be limited to providing services at the Airport expressly
described herein, including a food and beverage service, gift shop, vending machines, and
activities reasonably necessary to support such activities.
III. OBLIGATIONS OF LESSEE
3.1 Rentals and Charges. Lessee agrees to pay City a percentage of gross revenue for the
use of the Premises identified in Exhibit A and B, and for services and privileges granted under
this Lease Agreement, as follows:
Page 4 of 27
DocuSign Envelope ID: E85A040E-F376-488C-9303-B9FA5530FED6
3.1.1 Lessee shall be responsible for the remittance of a percentage of gross revenue
derived from operations on the Leased Premises every month during the term of
this Lease Agreement, or any extensions thereof, at the rates set out in the table
below:
Percentage of Mon hly Grass Sales due
First$1 00f000 20%
$100,001 -$200,000 12%
$200,001 - $300,000 10%
$300,001 + 7%
3.1.2 Minimum Monthly Rent— In any month that Lessee generates less than $100,000
in gross sales for the month, then Lessee shall pay City $20,000 minimum rent
for that month.
3.1.3 Utilities. Lessee shall pay the City each calendar month during the term of this
Lease Agreement, and any extensions of this Lease Agreement, for Lessee's use
of utilities on the Premises, which are separately metered, including but not
limited to water and electricity. For metered utilities, Lessee will be billed by the City
at the rate provided to the City, due upon receipt. Lessee shall arrange for and
pay the cost of installation and usage of telephone service, internet service
and/or Wi-Fi services for the Premises, and any other utilities Lessee desires or
requires for the Premises, which are not provided to the Premises as of the date
of this Lease.
3.1.4 Liquidated Damages. The parties recognize that the Airport operates to serve
the public interest, no other food and beverage concession is currently located in
the vicinity of the Terminal, and the City has an interest in assuring that food,
beverage, and gift shop/merchandise services are available to airline passengers
in accordance with the terms of this Lease. Therefore, if Lessee fails to keep one
of its restaurants, bars, coffee shops, or other businesses open and operational
at the Terminal during the days and times called for in this Lease Agreement
during the initial term of this Lease Agreement or any renewal of the Lease
Agreement, then Lessee agrees to pay City liquidated damage of $100/day
which will be in addition to any other remedies that City has available to it for
Lessee's breach of the Lease Agreement. The liquidated damage fee will
increase to $200/day for the second day and each additional day that Lessee's
businesses or operations under this Lease Agreement remain closed during the
term of this Lease Agreement and any extensions thereof, which will be in
addition to any other remedies that City has available to it for Lessee's breach of
the Lease Agreement.
3.1.5 City will invoice Lessee for any liquidated damages which accrue under this
Lease Agreement and Lessee shall pay the invoice for Liquidated Damages in
full within 20 calendar days of the date that City sends the Invoice to Lessee in
accordance with the Notice Section of this Lease Agreement. Such liquidated
damages shall be considered to be actual damages suffered by the City and not
a penalty.
Page 5 of 27
DocuSign Envelope ID: E85A040E-F376-488C-9303-B9FA5530FED6
3.1.6 Lessee has 5 Business Days to Appeal Assessment of Liquidated Damages.
Lessee may contestthe imposition of liquidated damages by filing a written protest
with the Airport Advisory Board within five (5) business days of receipt of the
invoice for liquidated damages.The protest shall be heard by the Airport Advisory
Board at its next regularly scheduled meeting, and payment of the liquidated
damages by Lessee shall be stayed pending decision by the Airport Advisory
Board. The Airport Advisory Board has the authority to affirm, modify or rescind
the liquidated damages assessed by the City. There are no further appeals
beyond the Airport Advisory Board. THE LIQUIDATED DAMAGES
AUTHORIZED BY THIS SECTION SHALL BE IN ADDITION TO THE OTHER
REMEDIES FOR DEFAULT DESCRIBED IN SECTION 6.3 BELOW, ANY OR
ALL OFWHICH MAY BE EXERCISED BY THE CITY IN ITS DISCRETION.
3.1.7 If City has paid any sum or has incurred any obligation which Lessee had agreed
to pay or reimburse City for, or if the City is required or elects to pay sum(s) or
ensure obligation(s) or expense(s) by reason of the failure, neglect or refusal of
Lessee to perform any of the conditions or agreements contained in the Lease, or
as a result of an act or omission of Lessee contrary to said conditions and
agreements, Lessee shall pay the City the sum(s) so paid or the expense(s) so
incurred, including all interest, costs, damages and penalties, and the same may
be added to any installment of the fees and charges thereafter due hereunder.
3.2 Terms and Conditions of Payment/Late Fees/Interest on Past Due Amounts.
3.2.1 On or before the 15th day of each month (or if that day shall fall on a Saturday,
Sunday, or holiday, the following business day), Lessee shall furnish the Director
of Aviation, or his designee a statement of Gross Revenues received under
Section 3.1 above for the previous month and shall simultaneously pay the City
amounts due thereunder in accordance with Section 3.1 of this Agreement. If any
such gross revenue statement and/or the gross revenue payment is not furnished
and/or made to City by the date due, Lessee shall pay City an additional $200 per
day as a late fee, and not as liquidated damages or penalty. All such payments
shall be made by Lessee to City without notice or demand at its offices in the
Terminal.
3.2.2 Payments due City for liquidated damages, as described under section 3.1.3
above, shall be paid to the City by the first day of the month and shall be
considered "late" if payment is not received by the City by the first day of the
month.
3.2.3 If any rent payment, charge, or other fee due under this Lease Agreement
remains unpaid more than twenty (20) days beyond the due date, as provided in
this Lease Agreement,then the Lessee agrees to pay the City 10% interest(or the
highest interest rate allowed under Texas law, whichever is less) every month on
the amount past due until the past due amount is paid in full. This subsection
shall not impede or interfere with the City's other legal remedies for breach of
this Lease Agreement by Lessee.
Page 6 of 27
DocuSign Envelope ID: E85A040E-F376-488C-9303-B9FA5530FED6
3.3 Annual Reports, Maintenance of Financial Records, Audits:
3.3.1 On or before the 30th day of January in each calendar year during the term of
this Lease Agreement or any extensions thereof,the year following the expiration
of the initial term, and the year following the end of the renewal term (or if that
day shall fall on a Saturday, Sunday or holiday, the following business day),
Lessee shall furnish City a statement of Gross Revenue, un-audited expenses
and other information on Lessee's operations from the immediately preceding
Calendar year on such forms as the Director of Aviation may reasonably require.
All information provided by Lessee, other than its statement of gross revenues,
which Lessee believes to constitute confidential financial information, shall be
clearly and conspicuously designated as such by Lessee, and the City agrees to
keep such information confidential to the maximum extent permitted by law and not
to release such information to any third party unless ordered to do so by the Texas
Attorney General's Office, Open Records Division, or a court of competent
jurisdiction. If any third party seeks access to such information, the City agrees
to promptly give notice to Lessee.
3.3.2 Lessee shall, during the Lease Term, and any extensions thereof, retain and have
available on the Premises or at a location made known to City for a period of twenty
four (24) consecutive months following the end of each month during the Lease
Term, or any extensions thereof, complete and accurate records of all purchases
and sales of food and beverages, all expenses and costs of operation, all
revenue derived from business conducted on or from the Premises for such
month, all original sales records and sales slips or sales checks, cash register
tapes and other pertinent original sales records. Lessee shall ensure that records
shall easily distinguish between or separately identify alcoholic beverage sales,
and sales to customers outside the Terminal.
3.3.3 The City shall have the right at any reasonable time,and upon reasonable notice,
to examine all records maintained by Lessee under Article III of this Lease
Agreement and to have an audit prepared, at City expense, by an independent
Certified Public Accountant. Provided, however, that in the event there is a
discrepancy in excess of five percent(5%) of Gross Revenues between Lessee's
statements, required by Article III of this Lease Agreement,and such independent
audit, Lessee shall bear the cost of such audit and Lessee shall reimburse City
for any audit expenses paid.
3.3.4 Lessee shall prepare a description of its cash handling and sales recording
systems and equipment, which shall be submitted to the City or its designee for
approval. When so approved, such systems and equipment, including any
approved revisions, shall be utilized by Lessee in its operations at the Airport.
3.3.5 Lessee shall accurately record each sale on a point-of-sale register system
acceptable to the City, which acceptance shall not be unreasonably withheld.
Such systems and equipment shall be non-resettable and sufficient to supply an
accurate record of all sales, on tape or otherwise. Such register shall have a
display visible to the customer.
Page 7 of 27
DocuSign Envelope ID: E85A040E-F376-488C-9303-B9FA5530FED6
3.4 Maintenance, Cleaning, and Replacement of Premises and Equipment. Except as
expressly provided to the contrary herein, Lessee shall clean and maintain the Premises, the
furnishings, fixtures, and equipment in the Leased Premises including but not necessarily limited
to the following:
3.4.1 Ensuring that trash generated by its operations, within the Premises, shall be
disposed of promptly and properly in containers designated by the Director of
Aviation, emptying trash containers located on the Premises as required, during
regular business hours, and not permitting such trash containers to overflow or
to remain so full as to be unusable, and otherwise at the request of the Director
of Aviation made to Lessee's manager. Lessee shall empty all trash containers
on the Premises when they are 75% full.
3.4.2 Lessee shall provide stainless steel trash receptacles in all of the Leased
Premises as well as recycling receptacles.
3.4.3 Lessee shall make a good faith effort to recycle, but at a minimum shall cause all
cardboard waste, plastic waste, glass waste and newspaper waste to be
recycled.
3.4.4 Cleaning and maintaining the Premises, including but not limited to the flooring,
walls, counters, furniture, interior glass, fixtures, and equipment installed therein
and thereon, all in good order, condition and repair, in clean condition and
appearance at all times, and otherwise at the request of the Director of Aviation or
his designee, made to Lessee's manager, and upon termination of this Lease
delivering up the Premises to the City in good order, condition and repair, normal
wear and tear excluded. Lessee shall also bus and clean tables in the Premises
as needed, and vacuum and/or mop as appropriate the floors of the Premises
not less than daily.
3.4.5 Spot Cleaning- Lessee shall spot clean the Premises once every hour to remove
food and beverage trash that accumulates within the footprint of their TABC
license which encompasses most of the secured second-floor secured area.
There will be an increased volume of trash produced with the new concession
venues. Airport staff will continue to clean and monitor the area as well.
3.4.6 Establishing an adequate preventative maintenance program for the Premises
which shall be subject to periodic review by the Director of Aviation. The program
shall include, without limitation, the cleaning of the Premises doors/gates inside
and outside, cleaning and repair of all floors, interiorwalls, ceilings, lighting,decor,
and Equipment located on the Premises as identified in Exhibit B, and the
routine maintenance of all such Equipment. Regardless of Lessee's compliance
with its preventive maintenance program, Lessee shall clean such surfaces and
equipment on the Premises immediately upon being instructed to do so by the
Director of Aviation or by other governmental agencies having authority.
3.4.7 Lessee shall provide, maintain, repair and/or replace all equipment, at Lessee's
sole expense, necessary for Lessee's operation of its businesses located in the
Leased Premises. Lessee shall promptly replace any and all equipment located
Page 8 of 27
DocuSign Envelope ID: E85A040E-F376-488C-9303-B9FA5530FED6
in the Leased Premises at such time that the equipment is no longer serviceable.
Prior to replacing any equipment on the Leased Premises, Lessee shall notify
the City's Aviation Director so that the City may verify that the equipment being
purchased by Lessee is adequate for the needs of the business and the Airport.
3.4.8 Repairing and maintaining all piping and plumbing from the wall out and within
the Premises, assuming responsibility for all material deposited in the plumbing
system from the Premises inspecting the grease trap at least monthly and cleaning
and maintaining it as necessary. Any damage caused to the Terminal as a result of
lack of maintenance as outlined will be billed back to Lessee and due and payable
upon demand without the ability to contest.
3.5 Insurance, Performance Bond, and Indemnity.
3.5.1 Liability Insurance. Lessee must secure and maintain at Lessee's sole cost and
expense during the term of this Agreement and any extensions thereof,
insurance coverage with the limits and requirements shown in the Insurance
Requirements Exhibit attached hereto and incorporated herein as Exhibit "C".
The Certificate of Insurance must be sent to the City's Risk Manager and Director
of Aviation and must provide thirty (30) days written notice of cancellation, intent
not to renew, or material change of any coverage required herein. Lessee will
provide copies of all insurance policies to the City Attorney upon the City
Manager's written request.
3.5.2 The City and its elected officials, officers, and employees shall be carried as an
additional insured on all insurance policies obtained by Lessee and where
required by the terms of this Lease Agreement or in the Insurance Requirements
exhibit attached hereto and incorporated herein by reference.
3.5.3 The amount of all required Insurance policies are not deemed to be a limitation
on Lessee's agreement to indemnify and hold harmless City, its elected officials,
officers, and employees, and in the event Lessee or City becomes liable in an
amount in excess of the amount or amounts of the policies, then Lessee must
save City harmless from the whole liability.
3.5.4 City shall have no liability for any premiums charged for such coverage, and the
inclusion of City as a named insured is not intended to, and shall not, make City
a partner or joint venturer with Lessee in its operations at the concession
Premises.
3.5.5 Future Insurance Requirements. Lessee and City understand and agree that the
minimum limits of the insurance herein required may become inadequate, and
Lessee agrees that it shall increase such minimum limits upon receipt of notice
in writing from City.
3.5.6 Adjustment of Claims. Lessee shall provide for the prompt and efficient handling
of all claims for bodily injury, property damage, or theft arising out of the activities
of Lessee under this Lease Agreement.
Page 9 of 27
DocuSign Envelope ID: E85A040E-F376-488C-9303-B9FA5530FED6
3.5.7 Conditions of Insurance Default. City may terminate this Agreement in
accordance with this agreement if Lessee fails to consistently maintain insurance
levels.
3.5.8 Performance Bond. Lessee has provided the City with a Performance Bond for
Calendar Year 2023 in the amount of $117,000 which names the City as
beneficiary and is conditioned on performance of all of the Lessee's covenants set
forth in the Lease Agreement. On or before the expiration date of the current year
performance bond, Lessee shall purchase a new performance bond for the
following calendar year of this Lease Agreement and for every calendar year
during the initial term of this Lease Agreement or any extensions thereof in an
amount equal to 85% percent of the previous calendar year's actual Gross
Revenue generated from the Leased Premises. Failure to provide this annual
performance bond to the City will be considered a material breach of this Lease
Agreement.
3.5.9 The Performance Bond shall be (i) issued by a Surety or Insurance Company
which has been approved by the Department of Treasury to issue performance
bonds on Federal Government Contracts, and is licensed to conduct business in
the State of Texas; (ii) in the form approved by the City; (iii) payable to City of
Corpus Christi, Aviation Department and (iv) delivered to the Office of the
Director of Aviation. In the event of cancellation of the Performance Bond, and the
Lessee's failure to provide a substitute financial guarantee first approved by the
Director within 15 days from the date of the cancellation, then such failure is a
substantial default by the Lessee.
3.5.10 INDEMNITY. Lessee agrees to indemnify, protect, defend, and hold
harmless the City, and any successors, assigns,agents, officers, directors,
employees, and affiliates of City, (collectively referred to herein as
"indemnitees") for, from, and against any and all liabilities, damages,
claims, suits, losses, causes of action, liens, judgments, and expenses
(including court costs, attorneys' fees, and costs of investigation) of any
nature, kind or description arising or alleged to arise by reason of injury to
or death of any person or damage to or loss of property (1) occurring on,
in, or about the Leased Premises, or (2) by reason of any other claim
whatsoever of any person or party occasioned or alleged to be occasioned
in whole or in part by any act or omission on the part of Lessee or any
invitee, licensee, employee, director, officer, servant, Contractor, or
subcontractor, or-(3) by any breach, violation, or non-performance of any
covenant of Lessee under this Agreement (collectively referred to herein
as "liabilities"), even if such liabilities arise from or are attributed to the
concurrent negligence of any indemnitee. The only liabilities with respect
to which Lessee's obligation to indemnify the indemnitees does not apply
is with respect to liabilities resulting solely from the negligence or willful
misconduct of an indemnitee. If any action or proceeding shall be brought
by or against any indemnitee in connection with any such liability or claim,
Lessee, on notice from City, shall defend such action or proceeding, at
Lessee's expense, by or through attorneys reasonably satisfactory to City.
The provisions of this paragraph shall apply to all activities of Lessee with
Page 10 of 27
DocuSign Envelope ID: E85A040E-F376-488C-9303-B9FA5530FED6
respect to the Leased Premises, building or complex, whether occurring
before or after the commencement date of the Agreement Term, or before
or after the expiration or termination of this Agreement. Lessee's
obligations under this paragraph shall not be limited to damages,
compensation, or benefits payable under insurance policies, workers'
compensation acts,disability benefit acts,or other employees' benefit acts.
The terms of this provision shall survive the termination of this Agreement
to the extent any such damage occurs prior to such termination.
3.6 Operation of Lessee's Businesses on the Premises.
3.6.1 Hours of Operation. Lessee hereby covenants and agrees, that with respect to
operations authorized under this Lease, Lessee shall be open for business seven
(7) days a week including all Holidays, during the following hours:
• Location 1- Secured Side Restaurant and Bar: from TSA checkpoint opening
in the morning until the last scheduled departure has boarded (does not
include delayed flights).
• Location 2- Concourse Bar: As allowed by TABC permit (generally 12:00
noon until last scheduled departure).
• Location 3— Coffee shop and Retail Space: from TSA checkpoint opening
time in the morning until the last flight has boarded.
• Location 4 — Landside Restaurant: 8:00 a.m. until 6:00 p.m. or later.
• Gate 6 Development: shall be open during mutually agreed times.
• Location 6 —VIP Lounge/Other Concept: shall be open during mutually
agreed times.
3.6.2 The City may grant exemptions from the schedule set forth above if the City in its
discretion determines that as a result of unanticipated circumstances, such hours
of operation are not necessary to serve the traveling public.
3.6.3 Upon written request from Lessee, the Director of Aviation may grant changes to
the above-referenced hours of operation upon the Director's determination that
said change of hours would be in the best interest of the City. Any changes to
hours of operation shall be set out in writing and signed by authorized
representatives of both the City and Lessee.
3.6.4 Pricing. Lessee shall charge fair and reasonable prices for each unit or service
provided on the Premises. "Reasonable prices" shall be judged primarily by
comparison with other restaurants, bars, coffee shops, and concession
operations at airports of comparable character under similar conditions, with due
consideration for length of seasons, availability and costs of labor and materials,
a reasonable rate of return on capital invested, and other factors affecting pricing
at the Airport. Lessee shall not sell food, beverage, or other essential
merchandise at prices greater than 15% above"street pricing." Street pricing is
defined as retail establishments located in the Corpus Christi city limits that are
selling similar items as Lessee's operations on the Airport premises.
Pagel 1 of 27
DocuSign Envelope ID: E85A040E-F376-488C-9303-B9FA5530FED6
3.6.5 Initial prices to be charged by Lessee on the Premises shall be equivalent to
those menu prices set forth in Exhibit"C." Thereafter, Lessee may adjust prices
as appropriate to account for changes in wholesale prices or shipping costs.
Before raising retail prices on the Leased Premises, Lessee shall notify the Airport
Director, or his designee and obtain their written approval to the retail price
change.
3.6.6 Quality of Foods and Beverages. All foods and beverages offered for sale by
Lessee must be of high quality and comparable to first-class food and beverage
facilities of a similar type in the Corpus Christi area. The Director of Aviation shall
determine if Lessee is providing the quality of food and beverage service
acceptable at the Airport.
3.7 Lessee Agrees to Make Capital Improvements to the Premises. Lessee hereby
covenants and agrees to that it will make at least $1,600,000 of capital improvements to the
Leased Premises during the first 18 months of this Lease Agreement.
3.7.1 Lessee must obtain written approval from the City's Aviation Director, or his
authorized designee of all plans and specifications related to Lessee's capital
improvements to be made to the Leased Premises.
3.7.2 Lessee must also submit all plans and specifications for the capital
improvements to the City's Development Services Department for review,
approval, and permitting prior to beginning construction of the capital
improvements.
3.7.3 Lessee shall pay all costs and expenses related to the capital improvements to
be made on the Leased Premises, including all architectural and design fees,
engineering fees, construction costs, plan review fees, permit fees, and
inspection fees.
3.7.4 Lessee will commence the construction of the capital improvements on the
Leased Premises within 6 months of the Effective Date of this Lease Agreement
and shall complete construction of the capital improvements within 18 months of
the Effective Date of the Lease Agreement.
3.8 Lessee's Other Obligations. Lessee hereby covenants and agrees that with respect to
operations authorized under this Lease Agreement, Lessee will provide the highest quality of
services and products to the public. Lessee further covenants and agrees that:
3.8.1 Lessee will operate the Premises for the use and benefit of the public and furnish
service on a fair, equal, and non-discriminatory basis to all customers; Lessee
will offer an employee discount of percent (20%) to all airport tenants, City
employees, and airline employees with respect to food and non-alcoholic
beverages.
3.8.2 Lessee will provide Airport with $1,000 in coupons each year, in $5, $10, and
$20 denominations that can be awarded to Airport employees or badge holders
as awards or recognition. Lessee will donate such coupons to the Aviation
Page 12 of 27
DocuSign Envelope ID: E85A040E-F376-488C-9303-B9FA5530FED6
Department each year of this Lease Agreement beginning on October 1St after the
Effective Date of this Lease Agreement. These coupons will be deducted from
the following months invoice to the airport.
3.8.3 Lessee will adhere to all standards, rules, and regulations at the Airport, including
all TSA regulations, City ordinance regulations, and the Airport Terminal
Operations Manual.
3.8.4 Lessee will provide, maintain, train, and always supervise a staff of employees
adequate to fulfill Lessee's obligations under this Lease Agreement. Failure to
maintain sufficient staff at all food, beverage, and retail locations on the Premises
may constitute a material breach of this Agreement.
3.8.5 Lessee will provide and install sufficient additional fixtures, furniture, and
equipment, if necessary to meet reasonably anticipated public demand for
services offered.
3.8.6 Lessee will notify the Aviation Director or his designee whenever Lessee makes
significant changes in prices to the food, beverages, and retail products sold on
the Premises.
3.8.7 Lessee will provide hands-free ordering and payment options for food, beverage,
and retail service at all locations.
3.8.8 Lessee will obtain and maintain all necessary certificates required by the Texas
State Board of Health and City Health Department and any and all other permits
and licenses required for its operations hereunder.
3.8.9 Lessee will display only advertising matter which markets the authorized
business of Lessee at the Airport, which must be in good taste and is compatible
with Terminal decor and will obtain the prior approval of the Director of Aviation of
all advertising material, including the use of brand name products on its
packaging, which approval shall not unreasonably be withheld.
3.8.10 While performing services on the Premises or while in the Airport Terminal
building, Lessee's employees shall be neat, appropriately attired, clean, and
courteous; Lessee shall not permit its contractors, agents, or employees to
conduct business in a loud, noisy, boisterous, offensive or objectionable manner,
to smoke on duty in public view or while preparing food, or to solicit business
outside the Premises in any manner whatsoever except through the use of
authorized signs.
3.8.11 Lessee will timely pay all charges and expenses in connection with the use of
the Premises and the rights and privileges herein granted, including without
limitation, taxes, permit fees, license fees, and assessments lawfully levied or
assessed upon the Premises or structures and improvements situated thereon,
and that it will secure all such permits and licenses.
Page 13 of 27
DocuSign Envelope ID: E85A040E-F376-488C-9303-B9FA5530FED6
3.8.12 Lessee shall not interfere with free access and passage of Airport customers or
employees in the Premises or in the Terminal generally; Lessee shall not
interfere with the effectiveness of heating or ventilating systems; except as
permitted by this Lease Agreement, Lessee shall not install locks on any door or
window, a key to which has not been provided to the Director of Aviation; Lessee
shall not permit loitering or sleeping on the Premises; nor do any act which would
invalidate, suspend or increase the rate of fire, property or liability insurance
required by this Lease or carried by the City.
3.8.13 Lessee will operate at the Airport only under the name "Tailwind Hospitality, Inc.,"
"Tailwind CRP, LLC"or"Tailwind" or such other name or names approved by the
Director of Aviation from time to time.
3.8.14 New Government Regulation. In the event City is required to make additional
direct expenditures in connection with the implementation of any future federal
regulation imposed upon the City as a result of Lessee's operation during the
term of this Lease, City may call a conference for the purpose of discussing and
determining methods of compliance and recovery from the City and affected
Lessees of costs so incurred, and Lessee and City agree to attend and negotiate
in good faith regarding its participation in recovery of such costs by all involved
parties.
3.8.15 Manager. Lessee shall select and appoint a person or persons who shall serve
as manager(s) of Lessee's operations at the Airport. Such person(s) must be
vested with full power and authority to accept service of all notices provided for
herein, including those regarding the quality and prices of foods and beverages
and the appearance, conduct, and demeanor of Lessee's agents and employees.
A manager or assistant manager shall be available during regular business
hours, either on the Premises or by telephone.
3.9 Liquor License. Lessee shall take all actions necessary to maintain the Liquor License in
continuous and full force and effect; shall submit renewal applications on a timely basis to renew
the Liquor License; and shall hold and operate the Liquor License in accordance with all
applicable federal and state laws and regulations, during the entire term of this Lease and any
exercised option terms hereof, all at its own cost and expense.
3.9.1 Lessee shall at all times be qualified and capable of holding and renewing the
Liquor License and performing the alcoholic beverage services required under
this Lease Agreement. If Lessee shall be deemed unqualified or incapable of
performing such alcoholic beverage services by TABC or by determination of a
regulatory agency having jurisdiction, the same shall constitute a default
hereunder if not remedied within thirty (30) days following receipt of written
notice.
3.10 Security Requirements.
3.10.1 Lessee shall provide approved escort for vendor employees and delivery
personnel requiring access to the secure area of the Terminal.
Page 14 of 27
DocuSign Envelope ID: E85A040E-F376-488C-9303-B9FA5530FED6
3.10.2 Lessee shall comply with any applicable provisions of the City's Airport Security
Plan (ASP) Security Directives issued by TSA, and any applicable rules and
regulations which may be promulgated by TSA from time to time,which have been
provided to Lessee ("Security Requirements" hereinafter). Lessee shall submit
to inspections by TSA, the City, and/or their security screening contractor, to
ensure compliance with Security Requirements.
3.10.3 Any violation of conformance with Security Requirements will be documented in
writing and a copy of the violation notice provided to the Lessee's Manager in
writing. Lessee will investigate the violation and provide a written response and/or
corrective action within twenty-four (24) hours. A copy of the response will be
provided to the City through the Aviation Director's Office.
3.10.4 To the extent that any action or omission by Lessee, its officers or employees, to
follow Security Requirements results in the City being fined, including any type of
monetary assessment or penalty (collectively, a "Fine"), by TSA or any other
governmental entity having jurisdiction, Lessee shall promptly reimburse the City for
any such Fine, together with the reasonable costs incurred by the City in
defending against the proceeding or actions which has resulted in the Fine. The
City shall notify Lessee if any such Fine has been proposed and give Lessee the
opportunity to join in the defense of any such proceeding. Lessee shall promptly
pay any Fine levied directly against Lessee by TSA or any other governmental
entity having jurisdiction, no later than five (5) days after any protest or appeal
process have run or the time for taking them has expired.
3.10.5 Lessee acknowledges that all products delivered and transported to the secure
portion of the Terminal are subject to inspection.All Lessee employees, officers and
escorted visitors in the secure area of the Terminal are subject to search and may
be required to provide appropriate identification and credentials.
3.10.6 Lessee acknowledges that all Security Requirements which are shown or
provided to it under paragraph 3.12.3 above, are sensitive security information
("SSI") in accordance with 49 CFR Part 1520, that Lessee and any involved
persons are required to protect the same from unauthorized disclosure,and that civil
penalties may be imposed for failure to do so. The Lessee's general manager(the
"Manager") is the designated primary point of contact for receiving any SSI that
the Lessee receives. The Manager will acknowledge receipt of SSI to the City,
and confirm any actions taken by Lessee as required by the SSI.All SSI materials
shall be stored in secured areas, or locked in secured cabinets, within the
Lessee's Premises at the Airport. Materials marked as containing SSI shall be
disposed of byshredding.
IV. OBLIGATIONS OF CITY
4.1 Quiet Enjoyment. The City covenants that upon Lessee paying the rent and performing
the terms and covenants herein contained, Lessee shall peacefully and quietly have, hold, and
enjoy the rights granted herein for the agreed term.
Page 15 of 27
DocuSign Envelope ID: E85A040E-F376-488C-9303-B9FA5530FED6
4.2 Maintenance and Utilities.
4.2.1 During the term of this Lease Agreement and any extensions thereof, City shall
maintain and keep in good repair so much of the Terminal Building, which is not
under the control and use of Lessee pursuant to this Lease Agreement, or under
control and use of other tenants or lease holders in the Airport Terminal Building.
4.2.2 The City shall also be responsible for washing the outside of exterior windows.
4.2.3 The City shall provide dumpsters or similar containers into which trash collected
from Lessee's normal operations, and other Airport operations may be deposited,
and shall arrange and pay for at its expense the periodic collection of the same.
V. TERM
5.1 Term. Subject to earlier termination as hereinafter provided, the initial term of this Lease
Agreement shall be for ten (10)years commencing on the Effective Date of this Lease Agreement.
At the end of the initial term, City and Lessee may agree in writing to extend this Lease Agreement
for one additional six (6) year renewal term.
5.2 Holdinq Over. Holding over or failure to vacate the Premises at the end of the initial term
or renewal term shall not be construed to be the granting or exercise of an additional term but
shall create only a month-to-month tenancy under the other terms and conditions of this Lease,
which may be terminated by either party upon thirty (30) days notice to the other.
VI. TERMINATION, DEFAULT, SURRENDER AND DAMAGES
6.1 Termination by Lessee. Lessee shall have the right, upon written notice to City,to terminate
the Lease upon the happening of one or more of the following events if said event or events shall
then be continuing:
6.1.1 The issuance by any court of competent jurisdiction of an injunction, order, or
decree against the City which remains in force for a period of at least one hundred
and twenty (120) consecutive days, preventing or restraining the use by Lessee
of all or any substantial part of the Premises, or preventing or restraining the use
of the Airport for normal airport purposes or the use of any part thereof which
may be used by Lessee, and which is necessary for Lessee's operations in the
Airport.
6.1.2 If the City shall materially default in fulfilling any of the terms, covenants, or
conditions to be fulfilled by it under this Lease and shall fail to cure said default
within thirty (30) days following receipt of a written demand from Lessee to do so,
or if such default shall reasonably take more than thirty (30) days to cure, City
shall not have commenced the same within the sixty (60) days and diligently
prosecuted the same to completion.
6.1.3 If all or a material part of the Airport Terminal building shall be destroyed by fire,
explosion, earthquake, or other casualty, or acts of God, and same cannot be
repaired and reopened within one hundred and twenty (120) days.
Page 16 of 27
DocuSign Envelope ID: E85A040E-F376-488C-9303-B9FA5530FED6
6.1.4 If the United States Government or any of its agencies shall occupy the Airport
or any substantial part thereof to such an extent as to interfere materially with
Lessee's operation for a period of ninety (90) consecutive days or more.
6.1.5 If all commercial air service is suspended at the Airport for a period of more than
ninety (90) consecutive days without just cause.
6.2 Default by Lessee.The following shall be considered an act of default by Lessee under this
Lease:
6.2.1 Failure by Lessee to make full payment due hereunder within ten (10) business
days following receipt of written notice of past due amount owed to the City.
6.2.2 Failure by Lessee to keep open and to conduct business at all restaurants, bars,
coffee shops, gift shops, and other businesses on the Premises identified in this
Lease Agreement for a period of seven (7) consecutive days without reasonable
cause including, but not limited to airport closure due to fire, natural disaster, man-
made disaster, work stoppage which suspends all commercial air travel into and
out of the Airport for more than 7 consecutive days, or power outage which lasts
more than 7 consecutive days.
6.2.3 Material default in the performance of any covenant or agreement in this Lease
Agreement required to be performed by Lessee, other than the payment of
money, and the failure of Lessee to remedy such default for a period of thirty (30)
days after receipt from the City of written notice to remedy the same, or if such
default shall reasonably take more than thirty (30) days to cure, Lessee shall not
have provided the City with documents evidencing such cure, and commenced
the same within the thirty (30) days and diligently prosecuted the same to
completion.
6.2.4 The occurrence of any act or omission by the Lessee resulting in suspension or
revocation of Lessee's ability to provide liquor service under the Liquor License
for a period exceeding thirty (30) days, or any default under said License by
Lessee.
6.2.5 Failure to timely submit monthly gross revenue reports to the City, and/or failure
to maintain and submit timely annual financial reports and supporting documents
to the City, as required by Sections 3.2 or 3.3 of this Lease Agreement.
6.2.6 An act occurs which results in the suspension or revocation of any right, power,
license, permit, or authority necessary for the conduct and operation of
business authorized herein for a period of more than fifteen (15)days.
6.2.7 The interest of Lessee under this Agreement is transferred, passes to, or
devolves upon, by operation of law or otherwise, any other person, firm, or
corporation without the prior written consent of the City which consent shall not be
unreasonably withheld.
Page 17 of 27
DocuSign Envelope ID: E85A040E-F376-488C-9303-B9FA5530FED6
6.2.8 An attachment or execution is levied, a receiver is appointed, or any other
process of any court of competent jurisdiction is executed, which is not vacated,
dismissed, or set aside within a period of thirty (30) days, and which does, or as
a direct consequence of such process will interfere with Lessee's use of the
Premises or with its operations under this Lease.
6.2.9 Lessee becomes insolvent, or takes the benefit of any present or future
insolvency statute, or makes a general assignment for the benefit of creditors, or
files a voluntary petition in bankruptcy, or a petition or answer seeking an
arrangement for its reorganization, or the readjustment of its indebtedness under
the federal bankruptcy laws or under any other law or statute of the United States
or of any state, or consents to the appointment of a receiver, trustee or liquidator
of all or substantially all of its property or its property located within the Premises.
6.2.10 Lessee fails to provide services and/or products required to be provided under
this Lease Agreement for any period which, in the reasonable opinion of the City,
materially and adversely affects the City's Airport customer and/or the City's
interest in operating a first-class airport in Corpus Christi.
6.2.11 Any lien is filed against the Premises because of any act or omission of Lessee
and such lien is not removed, released, enjoined or a bond for satisfaction of such
lien is not posted within thirty (30) days to the satisfaction of the City.
6.2.12 Lessee voluntarily abandons, deserts, vacates, or discontinues its operation of
the business herein authorized, including by acts described in the section above.
6.3 Remedies of the City. Upon the occurrence of any event of default under section 6.2
above, the City shall have the right at any time thereafter to pursue one or more of the following
remedies with or without notice or demand. Pursuit of any remedy shall not preclude pursuit of
any other remedy, or any other remedies provided by law, nor shall pursuit of any such remedy
constitute a forfeiture or waiver of any rents due to the City hereunder or of any damages accruing
to the City by reason of the Lessee's violation of any term, condition, or covenant of this Lease. All
property on the Premises is hereby subjected to a contractual landlord's lien to secure
payment of delinquent rent and other sums due and unpaid under this Lease, any and all
exemption laws are hereby expressly waived in favor of such landlord's lien; and it is agreed
that such landlord's lien is not a waiver of any statutory or other lien given or which may be
given to the City but is in addition thereto. Lessee agrees that if it defaults, the City Manager
may, on thirty (30) days' prior written notice, sell Lessee's property found on the Premises at a
public or private sale with proceeds of the sale applied first to the cost of the sale, then to the cost
of storage of the property, if any, and then to the indebtedness of Lessee, with the surplus, if any,
to be mailed to Lessee at the address provided herein. Lessee further agrees to hold harmless
from and indemnify the City including its officers, agents, and employees against any
loss or damage or claim arising out of the City's action in collecting monies owed it under
this paragraph, except for any loss, damage, or claim caused by the willful misconduct of
the City or its employees.
6.3.1 City may also terminate this Lease Agreement, in which event Lessee shall
immediately surrender the Premises to the City, and if Lessee fails to do so, the
City may,without prejudice to any other remedy which it may have for possession
Page 18 of 27
DocuSign Envelope ID: E85A040E-F376-488C-9303-B9FA5530FED6
or arrearage in rents, enter upon and take possession of the Premises and expel or
remove Lessee and any other person who may be occupying the Premises or any
part thereof, without being liable for prosecution or any claim for damages therefore.
Lessee agrees to pay to the City on demand the amount of all loss and damage
which the City has suffered by reason of such termination, up to the date of such
termination.
6.3.2 City may demand that payment for any amounts due be made by certified check,
cashier's check, or money order.
6.3.3 City may file a claim against the Performance Bond as referenced in Subsection
3.5.8 of the Lease Agreement for Lessee's default to require the Surety to supply
a new tenant and operator of the Leased Premises until such time that Surety and
City agree that Lessee is able to resume operations of the Leased Premises.
6.4 Non-Waiver. No waiver, condoning, excusing or overlooking by the City of any default or
breach by Lessee at any time or times in respect of any covenant,provision or condition contained
in this Lease Agreement shall operate as a waiver of the City's rights hereunder in respect of
any continuing or subsequent default, breach or nonobservance,or so as to defeat or affect such
continuing or subsequent default or breach, and no waiver shall be inferred from or implied by
anything done or omitted by the City, except only an express waiver in writing. All rights and
remedies of the City under this Lease shall be cumulative and not alternative.
6.5 Surrender of Possession.
6.5.1 On the expiration or other termination of this Lease as provided herein, Lessee's
rights to use of the Premises, facilities, and described herein shall cease and
Lessee shall vacate the Premises without unreasonable delay.
6.5.2 Lessee shall remove any personal property that Lessee brought onto the
Premises except for those items which are considered fixtures or improvements
to the Leased Premises. Lessee shall remove all personal property from the
Premises within 10 days following termination of the Lease Agreement, whether
it be by expiration of the term of the Lease or termination for default or termination
for other reasons set out in this Lease Agreement. Lessee shall not cause any
damage to the Premises when removing their personal property. Any damages
caused, shall be repaired by Lessee at Lessee's sole expense within 5 calendar
days of causing the damage. Any and all personal property not so removed by
Lessee shall become a part of the Premises and title thereto shall vest with the
City. The City may, however, at its option, require and accomplish the removal of
said personal property at the expense of Lessee.
6.6 Force Majeure. Neither the City nor Lessee shall be deemed in violation of this Lease if it is
prevented from performing any of its obligations hereunder, otherthan the payment of monthly rent,
utility bills and other fees, or production of gross revenue reports or production of annual financial
reports to the City, by reason of strikes, boycotts, labor disputes,embargoes, shortage of aircraft
or fuel or tires as the direct result of governmental decree, acts of God, acts of the public enemy,
acts of superior governmental authority,weather condition, riots,rebellion, sabotage or any other
circumstances for which it is not responsible and which is not under its control.
Page 19 of 27
DocuSign Envelope ID: E85A040E-F376-488C-9303-B9FA5530FED6
6.7 Damage or Destruction of Premises.
6.7.1 In the event the Premises are substantially destroyed for any reason, this Lease
shall terminate without further liability to the City,other than refund of any prepaid
rent, unless the City elects, within thirty (30) days thereof, to restore or rebuild
the Premises, in which case this Lease will be suspended until the Premises are
restored or rebuilt, and if applicable, a Certificate of Occupancy issued.
6.7.2 In the event that the Terminal is damaged or remodeled in such a manner that
the Premises or any part thereof must be temporarily closed, Lessee may, subject
to City approval, relocate their airport businesses to another part of the Terminal
building until the Leased Premises are reopened to Lessee.
6.7.3 Notwithstanding any of the foregoing, in the event any damage or destruction is
caused by a negligent act or omission by Lessee, its sub-lessees, contractors,
agents or employees, Lessee shall reimburse the City for its actual costs incurred in
repairing the Premises. Nothing in this Lease shall be construed as a waiver of the
right of the City to recover damages from Lessee arising out of the fault or
negligence of Lessee.
VII. NOTICES
7.1 Notices. Notices and demands provided for herein shall be sufficient if hand-delivered to
Lessee's manager on the Leased Premises or to the Director of Aviation at the Airport. Notice
shall also be sufficient if sent by Certified Mail, Return Receipt Requested, postage prepaid; or
sent via nationally recognized overnight courier service to the addresses set forth below or to
such other addresses as the parties may from time to time designate in writing. Notices given in
accordance with these provisions shall be deemed received when hand-delivered, and if not
hand-delivered on the day after they are mailed or deposited with the courier service.
Notice to City: Director of Aviation
Corpus Christi International Airport
1000 International Drive
Corpus Christi, TX 78406
With a Copy to: City Attorney's Office
P.O. Box 9277
Corpus Christi, TX 78469-9277
Notice to Lessee: Tailwind CRP, LLC
408 Landmark Drive
Wilmington, NC 28412
switzer(aD-tailwindconcessions.com
VIII. ASSIGNMENT AND SUBLETTING
8.1 Assignment and Subletting. Lessee shall not at any time assign, sublet, or subcontract its
rights underthis Lease without the written consent ofthe City Manager or their authorized designee,
which consent shall not be unreasonably withheld. No sL!ch assignment, subletting, or
Page 20 of 27
DocuSign Envelope ID: E85A040E-F376-488C-9303-B9FA5530FED6
subcontracting shall release Lessee from its obligations to pay any and all of the rentals and
charges and to otherwise perform Lessee's obligations under this Lease.
8.2 Successors to City.The rights and obligations of the City under this Lease maybe assigned
by the City, at the option of the City,without the necessity for the concurrence of the Lessee in any
such assignment.
IX. ADDITIONAL PROVISIONS
9.1 Rules and Regulations. Lessee agrees to observe and obey all laws, ordinances, rules
and regulations presently existing or hereafter promulgated with respect to Lessee's operations
and use of the Airport and Premises. Lessee shall read all Airport Policies and keep up to date
on any amendments to Airport Policies and Procedures. A copy of the Airport's current Policies
and Procedures will be kept on file in the Director of Aviation's office at the Airport and available
to Lessee during normal business hours.
9.2 Lease Subordinate.
9.2.1 This Lease Agreement shall be subordinate to any existing or future agreement
between the 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.
9.2.2 The City shall be free, now and in the future, to renegotiate any of the terms or
provisions of any Contracts, Leases, or Agreements between the United States
of America, or any Agency of the United States of America and the City on such
terms and conditions as it deems appropriate and in the public interest, without
any consent or approval of Lessee or any other person, and Lessee shall be bound
by the terms of such renegotiated agreement.
9.3 Non-Discrimination. Lessee, in its operations at and use of the Leased Premises and the
Airport, shall not, on the grounds of race, color, national origin, or sex, discriminate or permit
discrimination against any person or group of persons in any manner prohibited by applicable law;
Lessee shall abide by the provisions of the nondiscrimination provision contained in this
Agreement;and shall abide by the provisions of Part 21 of the Rules and Regulations of the Office
of the Secretary of Transportation effectuating Title VI of the Civil Rights Act of 1964.
9.4 Inspection by City.The City,through its authorized employees and agents,shall have the right
at all reasonable times to enter upon the Premises to inspect, to observe the performance by
Lessee of its obligations hereunder, and to do any actwhich the City may be obligated to do or have
the right to do under this Lease, or under any other agreement to which the City is a party or under
applicable law. As to the non-public portions of the Premises, except in the event of an
emergency, the City shall give Lessee prior notice of such inspections.
9.5 Service Entrances. The City shall have no obligation to provide any special service
entrances for Lessee, including those for utilities, other than those which presently exist in the
Leased Premises and in the Terminal.
Page 21 of 27
DocuSign Envelope ID: E85A040E-F376-488C-9303-B9FA5530FED6
9.6 Improvements to the Premises
9.6.1 Lessee shall provide construction plans, specifications, budgets, and schedules for
any and all improvements which it proposes to build on the Premises. Such plans
and specifications shall be subject to prior City approval, which approval shall
not be unreasonably withheld. The City may reject submissions which are not in
accordance with applicable codes, rules, regulations, ordinances, and statutes,
and which, in its judgment, are inadequate or incompatible with Airport conditions
or inconsistent with Airport architectural style and design orwith uses not typically
made of public use airports.
9.6.2 Prior to any construction of improvements, Lessee shall submit to the Director of
Aviation a Certificate of Insurance that satisfies the Insurance Requirements
contained in the Lease Agreement. Lessee must also obtain all necessary
building permits from the City Development Services Department prior to
beginning any construction of Improvements.
9.6.3 Any and all improvements placed or constructed on the Premises by Lessee
shall, upon expiration of the primary or an exercised option term, or sooner
termination of this Lease, be considered part of the Terminal and shall become
the sole property of the City.
9.7 Airport Concessionaire Disadvantaged Business Enterprise ("ACDBE").
9.7.1 It is the policy of the City that disadvantaged business enterprises, including firms
owned and controlled by minorities and/or women as defined in 49 C.F.R. Part
23, shall have maximum opportunity to participate in the performance of its
leases.
9.7.2 In the performance of this Lease, Lessee hereby assures that no person shall be
excluded from participation, denied benefits, or otherwise discriminated against
by Lessee in connection with the award and performance of any contract,
including leases, covered by 49 C.F.R. Part 23 on the grounds of race, color,
national origin, or sex.
9.7.3 Lessee assures that it will include Sections 8.7.1 and 8.7.2 in all City approved
subleases and cause all sub-lessees to similarly include clauses in further
subleases.
9.8 Compliance with State and Federal Laws. The following provisions are in this contract
for compliance with state and federal law, and the City does not opine on their validity or
enforceability. Lessee shall bear the entire sole burden for complying with any of these clauses.
Prior to the enforcement of any of the following clauses, the City will give at least 30 days' notice
of alleged violation thereof and an opportunity for the Lessee to be heard concerning the alleged
violation, effect thereof on the City, and proposed remedial measures:
9.8.1 Lessee warrants that it is and will continue to be an equal opportunity employer
and hereby covenants that no employee or customer will be discriminated against
because of race, religion, sex, age, disability, creed, color, or national origin.
Page 22 of 27
DocuSign Envelope ID: E85A040E-F376-488C-9303-B9FA5530FED6
9.8.2 Lessee shall provide all services and activities required to comply with the Civil
Rights Act of 1964, as amended, the Rehabilitation Act of 1973, Public Law 93-
1122, Section 504, and with the provisions of the Americans with Disabilities Act
of 1990, Public Law 101-336 [S.933].
9.8.3 Lessee agrees to comply with Tex. Gov't Code§2252.908 and submit Form 1295
to the City with the signed agreement. The Parties agree that the City is not
responsible for the information contained in Form 1295.
9.8.4 In accordance with Tex. Gov't Code Sec. 2252.909, Lessee must include in each
contract for the construction, alteration or repair of an improvement to the leased
premises a condition that the contractor execute a payment bond that conforms
to Subchapter I, Chapter 53, Texas Property Code and a performance bond equal
to the amount of the contract and conditioned on the faithful performance of the
contractor's work in accordance with the plans, specifications and contract
documents. Lessee must provide the City with a notice of commencement (of
work) at least 90 days prior to the start of construction, alteration or repair that
complies with Texas Gov't Code Sec. 2252.909
9.9 Bankruptcy. Notwithstanding anything herein to the contrary, and the maximum extent
permitted by applicable law and applicable court orders, in the eventthat a petition for relief under
Title 11 of the United States Code or under any similar or successor federal, state, or local statute
is filed by or against the Lessee (a "Filing"):
9.9.1 Lessee shall give the City immediate written notice of the Filing; Lessee will
promptly confirm the outstanding amount of any obligations hereunder due the
City as of the date of Filing; and Lessee will fully and timely perform all obligations
arising hereunder commencing as of the date of the Filing.
9.9.2 Thereafter, Lessee will promptly determine whether it intends to assume or reject
the unexpired term of this Lease, if any, and shall promptly advise the City of such
determination; and Lessee will not seek to delay the date by which it will make
the determination under this subsection and obtain any necessary third-party
authorization (including court approval)therefore beyond the 60th day following the
date of the Filing without the prior express consent of the City.
9.9.3 If Lessee determines that it wishes to assume this Lease, the Lessee will cure all
defaults, compensate the City for all damages incurred as a result of such
defaults, provide the City with adequate assurances of future performance, and
comply with any and all other statutory or legal requirements prior to the effective
date of such assumption.
9.9.4 If Lessee determines that it wishes to assume this Lease and assign it to a third-
party, Lessee will give the City not less than sixty (60) days' notice of such
intention, provide to the City all pertinent information with respect to the proposed
assignee concurrently with the notice, cure all defaults, compensate the City for
all damages incurred as a result of such defaults, provide the City with adequate
assurances of future performance through the proposed assignee and comply with
any and al! other statutory or legal requirements prior to the effective date of such
Page 23 of 27
DocuSign Envelope ID: E85A040E-F376-488C-9303-B9FA5530FED6
assumption and assignment.
9.9.5 If Lessee wishes to reject the unexpired term of the Lease, if any, Lessee will not
seek to have the effective date of such rejection determined to be a date earlier
than the date on which Lessee shall return control and possession ofthe Premises
to the City in the condition and on the terms set forth herein relevant to the
redelivery of possession to the City, and shall fully and timely pay all rent and
other charges through the date of such rejection.
9.9.6 Lessee shall be deemed to have expressly consented to the modification of the stays
of proceedings in any filing in the event of any post-filing default by the Lessee
under the terms of this Lease for the purpose of allowing the City to exercise any
default rights or remedies arising from such default.
9.10 Reservation of City's Rights. Notwithstanding anything herein to the contrary, the City
reserves the following rights:
9.10.1 For the use and benefit of the public, the right of flight for the passage of aircraft
in the air space above the surface of the Premises, togetherwith the right to cause
in that air space such noise as may be inherent in the operation of aircraft
utilizing the Airport.
9.10.2 During times of war or national emergency, the right to lease the Airport or any
part thereof, including the Premises or any part thereof, to the United States
Government for military purposes, and, in the event of such lease to the United
States for military purposes, the provisions of this Lease shall be suspended
insofar as such provisions may be inconsistent with the provisions of the lease to
the United States.
9.10.3 The right to direct all activities of Lessee at the Airport in the event of an
emergency.
9.10.4 The right to grant other leases, licenses, permits or rights to occupancy or use of
the Airport so long as such other grants do not unreasonably interfere with or
impair Lessee's rights hereunder or Lessee's occupancy or use of the Premises,
and the right to direct changes in the way Lessee conducts its Airport operations
in the event that the City determines, in the exercise of its reasonable judgment,
that one or more aspects of Lessee's method of operation is unreasonably
interfering with the lawful and proper occupancy or use by others of the Airport.
Provided, that this reserved right is not intended to allow the City to deny Lessee
the basic right to use the Premises for any of the uses permitted hereunder.
9.10.5 The right to further develop and/or improve the Airport as the City deems
appropriate, without interference or hindrance by Lessee, and the City shall have
no liability hereunder to Lessee by reason of any interruption to its operations on
the Premises occasioned by such development and/or improvement of the
Airport; provided, that if Lessee shall be unable to conduct reasonably normal
business operations on the Premises by reason of any such development and/or
improvement of the Airport,then rent and other fees payable by Lessee hereunder
Page 24 of 27
DocuSign Envelope ID: E85A040E-F376-488C-9303-B9FA5530FED6
shall be subject to an equitable adjustment during the period of such interruption.
9.10.6 Terminal Remodel and Reconfiguration. The parties acknowledge that the City
operates the Airport to serve the public interest and must accommodate many
activities in a limited space. In the event that during the term of this Lease, the
City determines that the public interest requires modification of the Terminal,
which would eliminate or modify all or any part of the Premises, or the City
constructs a substitute Terminal Premises, then to the extent reasonably
requested by the City, Lessee agrees to consult and cooperate in the design of
substitute Premises in such a remodel; and
• At the City's option, and providing that any such substitute Premises are at
least 90%as large (in square footage)as the current Premises, this Lease shall apply
to such substitute Premises and Lessee agrees to conduct its operations
therein pursuant to this Lease Agreement;
• The City shall bear all reasonable costs of relocation of Tenant to such
substitute location and moving, reinstalling or replacing the Lessee
Improvements, provided, however, that the City shall have no liability to
Lessee with respect to any business interruption or loss as a result of such
relocation;
• If either party does not elect to continue operations in such substitute
Premises under this Lease, then either party may terminate this Lease upon
one hundred eighty (180) days written notice of its intention to do so,
provided, however, that Lessee, if it is not in default in any of the terms and
conditions of this Lease Agreement, shall have the first right of refusal with
respect to any proposed contract or lease for similar food and beverage
services or coffee shop or gift shop service in the modified Terminal building.
X. MISCELLANEOUS PROVISIONS
10.1 Headings. The section headings contained in this Lease are for convenience in reference
and are not intended to define or limit the scope of any provision.
10.2 Time of Essence. Time is of the essence in this Lease Agreement.
10.3 Attorneys' Fees. Lessee agrees to pay reasonable legal fees or costs incurred by City, to
the extent the City is a prevailing party in any legal action brought by the City to enforce the
provisions of this Lease. Lessee shall not be responsible for such fees or costs if a court of
competent jurisdiction finds that the City's action was brought without substantial merit or in bad
faith.
10.4 Non-Waiver. Waiver by either party of or the failure of either party to insist upon the strict
performance of any provision of this Lease shall not constitute a waiver of the right or prevent any
such party from requiring the strict performance of any provision in the future.
10.5 Limitation of Benefit. This Lease does not create in or bestow upon any other person or entity
not a party to this Lease any right, privilege, or benefit unless expressly provided in this Lease.
Page 25 of 27
DocuSign Envelope ID: E85A040E-F376-488C-9303-B9FA5530FED6
This Lease does not in any way represent, nor should it be deemed to imply any standard of
conduct to which the parties expect to conform their operations in relation to any person or entity
not a party.
10.6 Severability. Any covenant, condition, or provision herein contained that is held to be invalid
by any court of competent jurisdiction shall be considered deleted from this Lease, but such
deletion shall in no way affect any other covenant, condition or provision herein contained so long
as such deletion does not materially prejudice the City or Lessee in their rights and obligations
contained, in valid covenants, conditions or provisions.
10.7 Effect of Lease. All covenants, conditions, and provisions in this Lease shall extend to and
bind the successors of the parties hereto, the assigns of the City, and to the permitted assigns,
sub-lessees, and/or subcontractors of Lessee.
10.8 Governing Law and Venue. This Lease shall be governed by and construed in accordance
with the laws of the State of Texas, and any action to enforce or interpret its provisions shall be
brought in a court in and for Nueces County, Texas.
10.9 Entire Agreement. This Lease, together with its Exhibits, embodies the entire agreement
between the parties hereto concerning the subject matter hereof and supersedes all prior
conversations, proposals, negotiations, understandings, and agreements, whetherwritten or oral.
10.10 Nature of Relationship. Nothing contained herein shall be deemed or construed by the
parties hereto or by any third party to create the relationship of principal and agent, partnership,
joint venture, or any association between the City and Lessee, it being expressly understood
and agreed that neither the method of computation of rent nor any other provisions contained in
this Lease nor any acts of the parties hereto shall be deemed to create any relationship between
the City and Lessee other than the relationship of landlord and tenant.
10.11 Modification of Agreement. This Lease may not be altered, modified, or changed in any
manner whatsoever except by a writing signed by both parties.
Page 26 of 27
DocuSign Envelope ID: E85A040E-F376-488C-9303-B9FA5530FED6
EXECUTED IN DUPLICATE ORIGINALS on the dates indicated below.
CITY OF CORPUS CHRISTI TAILWIND CRP, LLC
DocuSigneedd bDigitally signedy:
j ) Jess Bakhaus
Jess BackhaUS Date:2023.09277y16:1207c04'00'
os ron ey;Asst. Director of Procurement Jess Backhaus
Josh Chronley Jess Backhaus
Printed Name Printed Name
Date: 11/30/2023 Sr. Vice President of Operations
Title
Date: 9.27.2023
ATTEST:
Docusigned by:
0 ' Ord.033196 AUTHORIZED BY
Rebecca° uerta, City Secretary
COUNCIL ON 10/17/2023
Date: 11/30/2023 ---
DS
DS
/s 15
Approved as to form:
ra
DocuSigned by:
"a (,%�
ssikash'ffihi� Attorney for
Miles Risley, City Attorney
Page 27 of 27
n
rm
'I
l ?�
-
-.JoeeMikeumRd
An
i i w •
I •
1i
m
I II
k. o ee6
lT I{ (0 z�a�gar+�n
me
! ..
InteenatiomaleDr
i
��u'y �•
Ln
CP O
U— O
cc
' y
0
I �
7A - - /
DocuSign Envelope ID: E85A040E-F376-488C-9303-B9FA5530FED6
A
cu E CD
I.� C> � c Cl)
-II 00
o
ca
1 ..
o .�
r o — .— s x, Q Q
O a� . 4�
U i ¢wn
U
O
-- J
_._ ------� Q' 17
i' O
Ful
IT I !1 CIO
III O
II III m
_ 02
x c�
Lu L o
o
Ip �
06
O
i LL LL i LL: i O
LL
Cr
In M W O O q ao
I� O 0 N O M T1*
Lf O M N q M
M r (D
cc
O O
m �
�y L N
W
U3 — lC N _
Q) m LE Call
3
co 0
CL
cn
Q
c!1 U U m
C C C C C C U
O O O O O O d
4+ 'j ++ ++ = ++ CD `fid
m m m m m m
C
J J J J J J O Z W
� Ir
,, 3
DocuSign Envelope ID: E85A040E-F376-488C-9303-B9FA5530FED6
EXHIBIT C
INSURANCE REQUIREMENTS
I. LESSEE'S LIABILITY INSURANCE
A. Lessee must not commence work under this agreement until all insurance required has been obtained and
such insurance has been approved by the City. Lessee must not allow any subcontractor to commence
work until all similar insurance required of any subcontractor has been obtained.
B. Lessee must furnish to the City's Risk Manager and Contract Administer one (1) copy of Certificates of
Insurance (COI) with applicable policy endorsements showing the following minimum coverage by an
insurance company(s) acceptable to the City's Risk Manager. The City must be listed as an additional
insured on the General Liability and Auto Liability policies by endorsement,and a waiver of subrogation
is required on all applicable policies. Endorsements must be provided with COI. Project name and/or
number must be listed in Description Box of COI.
TYPE OF INSURANCE MINIMUM INSURANCE COVERAGE
Commercial General Liability Including: $2,000,000 Per Occurrence
1. Commercial Broad Form
2. Premises—Operations
3. Products/ Completed Operations $5,000,000 Per Occurrence El
4. Contractual Liability
5. Independent Contractors $10,000,000 Per Occurrence ❑
6. Personal Injury-Advertising Injury Required ® Not Required ❑
AUTO LIABILITY (including) $1,000,000 Combined Single Limit
1. Owned
2. Hired and Non-Owned
3. Rented/Leased Required ® Not Required ❑
WORKERS' COMPENSATION Statutory
EMPLOYER'S LIABILITY $1,000,000/$1,000,000/$1,000,000
Required ® Not Required ❑
LIQUOR LIABILITY $1,000,000 Per Occurrence
(Required When Selling Liquor/Alcohol) Required ® Not Required ❑
CRIME/EMPLOYEE DISHONESTY $50,000 Per Occurrence
Lessee shall name the City of Corpus Christi,
Texas as Loss Payee
(Insurance Limit Subject to Change Based on Risk Required ® Not Required ❑
Management Annual Review of Actual Receipts)
DocuSign Envelope ID: E85A040E-F376-488C-9303-B9FA5530FED6
PERSONAL PROPERTY INSURANCE Lessee, at their own expense, shall be responsible for
insuring all owned, leased or rented personal property.
Required ® Not Required ❑
Subcontractors
Lessee shall require and verify that all subcontractors maintain insurance meeting all the requirements
stated herein, and Lessee shall ensure that City is an additional insured on insurance required from
subcontractors. For CGL coverage subcontractors shall provide coverage with a format at least as
broad as CG 20 38 04 13.
Required ® Not Required ❑
C. In the event of accidents of any kind related to this agreement,Lessee must furnish the Risk Manager with
copies of all reports of any accidents within 10 days of the accident.
II. ADDITIONAL REQUIREMENTS
A. Applicable for paid employees, Lessee must obtain workers' compensation coverage through a licensed
insurance company. The coverage must be written on a policy and endorsements approved by the Texas
Department of Insurance. The workers' compensation coverage provided must be in an amount sufficient
to assure that all workers' compensation obligations incurred by the Lessee will be promptly met.
B. Lessee shall obtain and maintain in full force and effect for the duration of this Agreement, and any
extension hereof, at Lessee's sole expense, insurance coverage written on an occurrence basis, by
companies authorized and admitted to do business in the State of Texas and with an A.M. Best's rating of
no less than A- VII.
C. Lessee shall be required to submit a copy of the replacement certificate of insurance to City at the address
provided below within 10 days of the requested change.Lessee shall pay any costs incurred resulting from
said changes. All notices under this Article shall be given to City at the following address:
City of Corpus Christi
Attn: Risk Manager
P.O. Box 9277
Corpus Christi, TX 78469-9277
D. Lessee agrees that with respect to the above required insurance,all insurance policies are to contain
or be endorsed to contain the following required provisions:
• List the City and its officers, officials, employees, volunteers, and elected representatives as additional
insured by endorsement, as respects operations, completed operation and activities of, or on behalf of,the
named insured performed under contract with the City, with the exception of the workers' compensation
policy;
• Provide for an endorsement that the "other insurance" clause shall not apply to the City of Corpus Christi
where the City is an additional insured shown on the policy;
• Workers'compensation and employers' liability policies must provide a waiver of subrogation in favor of
the City; and
DocuSign Envelope ID: E85A040E-F376-488C-9303-B9FA5530FED6
• Provide 30 calendar days advance written notice directly to City of any, cancellation, non-renewal,
material change or termination in coverage and not less than 10 calendar days advance written notice for
nonpayment of premium.
E. Within 5 calendar days of a cancellation,non-renewal,material change or termination of coverage,Lessee
shall provide a replacement Certificate of Insurance and applicable endorsements to City. City shall have
the option to suspend Lessee's performance should there be a lapse in coverage at any time during this
agreement. Failure to provide and to maintain the required insurance shall constitute a material breach of
this agreement.
F. In addition to any other remedies the City may have upon Lessee's failure to provide and maintain any
insurance or policy endorsements to the extent and within the time herein required,the City shall have the
right to order Lessee to remove the exhibit hereunder, and/or withhold any payment(s) if any, which
become due to Lessee hereunder until Lessee demonstrates compliance with the requirements hereof.
G. Nothing herein contained shall be construed as limiting in any way the extent to which Lessee may be
held responsible for payments of damages to persons or property resulting from Lessee's or its
subcontractor's performance of the work covered under this agreement.
H. It is agreed that Lessee's insurance shall be deemed primary and non-contributory with respect to any
insurance or self insurance carried by the City of Corpus Christi for liability arising out of operations
under this agreement.
I. It is understood and agreed that the insurance required is in addition to and separate from any other
obligation contained in this agreement.
2023 Insurance Requirements Exhibit
Airport Facilities Lease and Concession Agreement—Tailwinds CRP, LLC
08/03/2023 Risk Management—Legal Dept.
Version 3;Exhibit revised to reflect modifications to the original scope of work.
Note: This Exhibit applies to the lease agreement only,and does not apply to any construction. A separate review
of insurance requirements and separate Exhibit will be required for construction operations, if applicable.
DocuSign Envelope ID: E85A040E-F376-488C-9303-B9FA5530FED6
gyUS C.
oho ATTACHMENT D: DISCLOSURE OF INTEREST FORM
CITY OF CORPUS CHRISTI
•Ca..o,11 DISCLOSURE OF INTEREST
1852
Corpus Christi Code§ 2-349, as amended, requires all persons or firms seeking to do business with
the City to provide the following information. Every question must be answered. If the question
is not applicable, answer with "NA". See next page for Filing Requirements,
COMPANY NAME: Tailwind CRP LLC
P. O. BOX: STREET ADDRESS: 408 Landmark Drive
CITY: Wilmington STATE: North Carolina ZIP: 28403_
FIRM IS: 1. Corporation 2.Partnership 3.Sole Owner ❑
4. Association ❑ 5.Other B
LLIr
DISCLOSURE QUESTIONS
If additional space is necessary, please use the reverse side of this page or attach separate
sheet.
1. State the names of each "employee" of the City of Corpus Christi having an "ownership
interest" constituting 3% or more of the ownership In the above named "firm."
Name Job Title and City Department (if known)
2. State the names of each "official" of the City of Corpus Christi having an "ownership
interest" constituting 3% or more of the ownership in the above named "firm."
Name Title
3. State the names of each "board member" of the City of Corpus Christi having an
"ownership interest" constituting 3% or more of the ownership in the above named "firm."
Name Board, Commission or Committee
4. State the names of each employee or officer of a "consultant" for the City of Corpus Christi
who worked on any matter related to the subject of this contract and has an "ownership
interest" constituting 3% or more of the ownership in the above named "firm."
Name Consultant
Page 1 of 21
RFQ Revised 4.19.2019
DocuSign Envelope ID: E85A040E-F376-488C-9303-B9FA5530FED6
FILING REQUIREMENTS
If a person who requests official action on a matter knows which the requested action will confer
an economic benefit on any City official or employee which is distinguishable from the effect
which the action will have on members of the public In general or a substantial segment thereof,
you must disclose which fact in a signed writing to the City official,employee or body which has
been requested to act in the matter, unless the interest of the City official or employee in the
matter is apparent. The disclosure must also be made in a signed writing filed with the City
Secretary. [Ethics Ordinance Section 2-349 (d)]
CERTIFICATION
I certify which all information provided is true and correct as of the date of this statement, which
I have not knowingly withheld disclosure of any information requested; and which supplemental
statements will be promptly submitted to the City of Corpus Christi, Texas as changes occur.
Certifying Person: Jess Backhaus Title: Sr. Vice President of Operations
Signature of cL+ /�I' Digitally signed by Jess Backhaus ^.^�.^O^^
Jess BackhaUS Date:2023.09.27 16:13:32-04'00' U/ L L L
Certifying Person: Date:
DEFINITIONS
a. "Board member." A member of any board, commission, or committee of the city,
including the board of any corporation created by the city.
b. "Economic benefit". An action which is likely to affect an economic interest if it is likely to
have an effect on which interest which is distinguishable from its effect on members of the
public in general or a substantial segment thereof.
c. "Employee." Any person employed by the city,whether under civil service or not,including
part-time employees and employees of any corporation created by the city.
d. "Firm." Any entity operated for economic gain, whether professional, industrial or
commercial, and whether established to produce or deal with a product or service,
including but not limited to, entities operated in the form of sole proprietorship, as self-
employed person, partnership, corporation, joint stock company, joint venture,
receivership or trust, and entities which for purposes of taxation are treated as non-profit
organizations.
e. "Official." The Mayor, members of the City Council, City Manager, Deputy City Manager,
Assistant City Managers, Department and Division Heads, and Municipal Court Judges of
the City of Corpus Christi, Texas.
f. "Ownership Interest."Legal or equitable interest,whether actually or constructively held, in
a firm, including when such interest is held through an agent, trust, estate,or holding entity.
"Constructively held" refers to holdings or control established through voting trusts, proxies,
or special terms of venture or partnership agreements.
g. "Consultant." Any person or firm, such as engineers and architects, hired by the City of
Corpus Christi for the purpose of professional consultation and recommendation.
Page 2 of 2
RFQ Revised 4.19.2019