HomeMy WebLinkAbout18100 ORD - 02/22/1984AN ORDINANCE
AUTHORIZING APPROVAL OF THE LEASE AGREEMENT WITH GULF COAST
AVIATION, INC. FOR THE DEVELOPMENT OF A 7.18 ACRE TRACT TO
PROVIDE GENERAL AVIATION SPACE FOR A 20 (TWENTY) YEAR
PERIOD.
SECTION 1. That the City Manager is hereby authorized to execute a
lease agreement with Gulf Coast Aviation, Inc. for the development of a 7.18
acre tract to provide general aviation hangar space for a term of 20 (twenty)
years with an additional 10 year option, 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.
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18100
FEB 11984
LEASE AGREEMENT
THE STATE OF TEXAS §
KNOW ALL BY THESE PRESENTS:
COUNTY OF NUECES §
THIS LEASE AGREEMENT is entered into on the day and year below stated
between the CITY OF CORPUS CHRISTI, TEXAS, a home rule city situated in
Nueces County, Texas (the "City"), and GULF COAST AVIATION, INC., a Texas
corporation ("Lessee"), upon the following terms, performable in Nueces
County, Texas.
ARTICLE I
DEMISE OF LEASED PREMISES
The City does hereby lease to Lessee, subject to all of the terms,
conditions and covenants in the Lease, the parcel or tract of real property
(the "Leased Premises") located generally northwest of the Terminal
Building in the Corpus Christi International Airport (the "Airport"),
within the area shown and described on the attached drawing marked Exhibit
"A", which is made a part hereof for all intents and purposes as if copied
verbatim herein, the Leased Premises being a tract of land extending 500
feet east and west and 625 feet north and south and comprising 312,500
square feet.
ARTICLE II
RIGHTS, PRIVILEGES, USES AND INTERESTS
A. USE OF LEASED PREMISES. Lessee shall have the right to use the
Leased Premises for the following purposes and for no other use without the
specific written permission of the City:
(1) The storage, parking, maintenance and servicing of aircraft
of every class and description in covered and open areas;
(2) The leasing, purchasing or otherwise acquiring, selling,
exchanging, dispensing, financing, insuring or dealing in or with aircraft
of every class and description and parts thereof, including without
limitation engines, motors, aircraft instruments, supplies and accessories;
(3) The storage, maintenance, servicing, overhauling (major and
minor), conversion and modification of aircraft of every class and
description, and aircraft engines, assemblies, accessories and component
parts;
(4) The rental, leasing and chartering of aircraft;
(5) The handling and accommodation of operators, crews, ground'
personnel, employees and travelers arriving at or departing from the Leased
Premises, including but not limited to office space, shops, pilot
operations facility, customer lounge, food or drink service facilities
(from dispensing machines), courtesy car facility or area, sale of flight
insurance, facilities for making reservations at hotels, motels and other
lodging and other services reasonably necessary or desirable for the
operation of the Leased Premises for the other uses and purposes herein set
forth;
(6) The operation of aviation related stores, concessions and
other consumer service activities reasonably required for the accommodation
of operators, crews, travelers arriving at or departing from the Leased
Premises by aircraft, and other persons doing business with or who are the
guests, licensees or invitees of Lessee or others using the Leased
Premises;
(7) The storage, parking, maintenance, servicing and fueling of
automotive vehicles, automotive equipment and other equipment owned or
operated by Lessee and utilized in connection with Lessee's aeronautical
operations;
(8) The fabrication, manufacture, testing and development of
aeronautical materials, equipment, facilities or other items which will be
used or installed in aircraft at the Leased Premises (including without
limitation, avionics) and the installation thereof;
(9) The operation of schools for the training of aeronautical
pilots, mechanics, repairmen, navigators, dispatchers and other
aeronautical personnel;
(10) The operation of underground fuel storage facilities for
aircraft fuels, lubricants and propellants and the dispensing of aircraft
fuels, lubricants and propellants into aircraft, including without
limitation the maintenance and operation of the equipment and facilities
(including but not limited to mobile equipment) necessary to fill and
dispense such aircraft fuels, lubricants and propellants into such
aircraft;
(11) The provision of ground transportation for employees,
aviation customers and other persons who may be lawfully on the Leased
Premises;
(12) The placing and erection of signs and advertising materials
(i) within the hangar, offices and shops on the Leased Premises or (ii) on
the outside of the building, shops and offices located on the Leased
Premises (provided that the size and shape of any signs on the exterior of
any such buildings, shops or offices shall conform to uniform requirements
pertaining thereto promulgated by the Airport Director).
B. RIGHT TO USE AIRFIELD. Lessee shall have the right to use the
public areas and public airport facilities and services at the Airport,
including but not limited to the runways, taxiways, aprons, ramps, take -off
facilities, navigational aids and facilities and public parking areas in
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common with others so authorized to use the same, 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 nondiscriminatory rules, regulations and
ordinances applicable to the Airport, and the City Charter.
C. PARKING ON LEASED PREMISES. Lessee shall have the right to charge
for parking automobiles and other vehicles at the Leased Premises and may
install and operate such equipment or facilities as Lessee may reasonably
determine necessary to accomplish such purposes and effect such charges.
Lessee may implement and modify such procedures as Lessee may deem
necessary or appropriate from time to time to validate, rebate or otherwise
reduce or eliminate all or part of the parking charges for employees,
customers, invitees, licensees, contractors and concessionaires. It is
understood that any parking area or facilities•on the Leased Premises shall
not be used as a remote parking site for passengers for scheduled air
carriers at the City's Airport.
D. ACTIVITIES AND USES EXPRESSLY PROHIBITED. The following
activities and uses are expressly excluded from this Lease, and Lessee is
prohibited from any such use or activity except as noted.
(1) Western Union Services; (Lessee may use the wires, lines
and services of Western Union for its own purposes in connection with the
establishment and operation of a communication system and weather system or
for any other purpose so long as Lessee does not engage in commercially
taking or sending telegrams, money orders and the like.)
(2) Barber, valet and similar personal services;
(3) Sale of flight or trip insurance for passengers on scheduled
commercial airlines;
(4) The sale of food or drink except from dispensing machines
located within the hangars, offices and shops; provided that no cafe or
cafeteria type of service shall be operated;
(5) The sale of newspapers, magazines or sundry items;
(6) Any facilities for making reservations at hotels, motels or
other lodging shall be utilized only in the course of or incident to the
commercial aviation business operated in or from the Leased Premises;
(7) Ground transportation which may be made available to
customers or other persons who may be lawfully on the Leased Premises shall
be limited to courtesy cars owned or operated by Lessee in the course of
conducting its other business operations in the Leased Premises. Any
charges made,for such courtesy cars shall not exceed charges necessary to
cover costs of providing, operating and maintaining such cars.
E. COMPLIANCE WITH MINIMUM STANDARDS. Lessee agrees to comply with
the "Minimum Standards for Commercial Aeronautical Activities and Airport
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Tenants at the Corpus Christi International Airport" as promulgated by the'
City and as may be amended from time to time during the term hereof.
ARTICLE III
CONSTRUCTION OF HANGARS AND IMPROVEMENTS
A. INITIAL IMPROVEMENTS. Attached hereto as Exhibit "B" is a list of
the plans and specifications (the "Approved Plans") describing the Initial
Improvements contemplated to be constructed on Tract A of the Leased
Premises. Said plans and specifications must be certified by a registered
Professional Engineer in the State of Texas. The Initial Improvements
constructed by Lessee shall be constructed substantially in accordance with
the Approved Plans, and any material changes in the Approved Plans must be
approved by the City (such approval not to be unreasonably withheld). The
estimated construction cost of the Initial Improvements is $1,100,000.
Lessee agrees to begin construction of the Initial Improvements
within ninety (90) days after the effective date of this Lease; provided
that, in the event Lessee is hindered or delayed in the commencement of
such construction by reason of the occurrence of any act of God, natural
disaster, inclement weather, strike, lockout, shortage of material or
labor, restriction by any governmental authority, civil riot, flood or
other cause (whether or not similar to the foregoing) not within the
reasonable control of Lessee, such ninety (90) day period shall be extended
by the period of time in which Lessee shall have been so hindered or
delayed. Lessee shall provide the City written notice of any such
hindrance or delays and the duration of same.
Lessee agrees to diligently prosecute the completion of the
Initial Improvements and complete the same within one year from the
effective date of this Lease: r' , 4,•... - ° = ^•
B. FUTURE IMPROVEMENTS. With respect to any future improvements to
be constructed on the Leased Premises, Lessee will submit plans and
specifications to the City for review and approval. Such construction
shall not commence until such plans and specifications have been approved
by the City, provided that, the City shall not unreasonably withhold its
approval of such future plans and specifications.
C. REMOVAL OF IMPROVEMENTS. Lessee shall not remove any of the
hangars or any other permanent improvements constructed or installed on the
Leased Premises at any time during the term of this Lease. Lessee shall
have the right to remove any and all personal property, equipment and other
trade fixtures from the Leased Premises provided that any such removal
shall be undertaken in a workmanlike manner in accordance with all
applicable codes and ordinances.
ARTICLE IV
ACCEPTANCE OF PREMISES
The City represents and warrants that there are no underground
pipelines or other easements which would hinder or affect the development
of the Leased Premises for the purposes hereby permitted other than those
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indicated on Exhibit A. Lessee acknowledges that the Leased Premises'
have been accepted and accepts the Leased Premises in its present physical
condition and agrees to pay the total cost incurred by Lessee in developing
the same.
ARTICLE V
TERMS
A. PRIPIARY TERM. This Lease shall be for a term of twenty (20)
years, commencing on the day of , 1984, and expiring on
the day of , 2004, unless extended as provided in
accordance with the option provisions herein.
B. OPTION TERM. The City grants to Lessee the option to extend the
term of this Lease for an additional ten (10) year period commencing on the
expiration of the primary term stated above• under such reasonable and
customary terms and consideration then available for airport property of
comparable use. Lessee's option granted herein shall be exercised by
delivering written notice thereof to the City at least six (6) months prior
to the expiration of the primary term. During the last year of the primary
term of this Agreement, the City agrees to provide Lessee, upon sixty (60)
days written notice, a statement of the terms and consideration which would
be required during such option term.
ARTICLE VI
RENT
A. BASE RENTAL. As used herein the term "Rental Commencement Date"
shall mean the first to occur of the date on which the Leased Premises are
first used by Lessee, its successors, assigns or subtenants for the
operation of aircraft or the first anniversary of the effective date of
this Lease. From and after the Rental Commencement Date, Lessee will pay
the City a base rental calculated in accordance with the following formula
(subject to the provisions of paragraph B of this Article VI):
(1) Seven and one quarter cents ($0.0725) per square foot per
year for the improved areas within the Leased Premises covered by hangars,
offices and other above -ground improvements, specifically including ramps,
taxiways and other exterior paved areas ("Improved Area"). Fuel storage
tanks or other equipment or improvements installed below ground shall also
be deemed to constitute improvements within the intent of this paragraph.
(2) Two and one-half cents ($0.025) per square foot per year for
the unimproved areas within the Leased Premises between the building
setback lines indicated on Exhibit "A" where buildings could legally be
constructed ("Unimproved Area").
(3) Six cents ($0.06) per gallon for each gallon of gasoline or
other propellants and fuels purchased by Lessee, provided that Lessee shall
be entitled to a credit against such flowage fee for gasoline sold to
commercial airline aircraft holding valid operating contracts for
operations at the Airport and for loss of fuels due to theft or leakage.
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In the case of loss of fuels due to theft or leakage, Lessee shall furnish
the City with reasonable documentation of such loss.
Rentals calculated under paragraphs A(1) and A(2) shall be
prorated for any partial calendar years following the Rental Commencement
Date, and preceding the expiration or earlier termination of the term of
this Lease.
B. ADJUSTMENT OF BASE RENTAL. At the end of the first lease year,
the ground rental rates set out in paragraph A shall be adjusted to provide
a total annual return equal to eight percent (8%) of the appraised value of
the Leased Premises. At the end of every three lease years thereafter, the
ground rental rates shall be adjusted to be equal to eight percent (8%) of
the then current appraised value of the Leased Premises. All appraisals
provided under this section shall be performed by an independent appraiser
with the cost to be borne by the City.
The 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. -
C. PAYMENT OF RENTALS.' Ground rentals as set out in paragraphs A(1)
and A(2) above shall be computed on a monthly basis and shall become due
and payable on the first day of each calendar month in advance throughout
the term of this Lease. On the first day of the next calendar month after
rentals begin under this Lease, Lessee shall prepare a written report on a
form -approved by the City showing the total number of gallons of gasoline
fuels and other propellants purchased by Lessee, togetherwith any credit
for sales to commercial airline aircraft or for loss due -to theft or
leakage. Lessee shall submit said report to the City along with,the rental
to be paid thereunder prior to the tenth day of said calendar month.
Lessee shall submit a like report and payment therefor for each succeeding
month during the term of this Lease. Lessee will keep full and accurate
records of all transactions, purchases, sales and income, both from cash
sales and credit sales, that in any way concern rental to the City; and
will hold all books and records covering such sales in any year open to
inspection by the City at all reasonable times for a period of two (2)
years after the close of such year.
In the event that Lessee becomes delinquent in the payment of any
of the rentals or fees due hereunder, Lessee agrees to the payment of a
late payment charge equal to five percent (5%) of the delinquent amount;
and on accounts delinquent for more than thirty (30) days, an additional
late payment charge equal to one and one-half percent (1-1/2%) of the
delinquent balance may be assessed by the City and charged to Lessee at the
beginning of each additional month of such delinquency. All of such late
payment charges shall be assessed and payable as additional rentals
hereunder. -
D. GENERAL PROVISIONS PERTAINING TO RENTALS. The City appoints its
Airport Director as its agent to receive all rentals and reports under this
Lease, and Lessee agrees to submit said reports and payments to the Airport
Director. The City may designate others as agents to inspect Lessee's
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relevant books and records, such inspections to be performed at reasonable
times during working hours.
In addition to all other remedies which the City may have to enforce
the obligations of Lessee under this Lease, the City shall have a lien on
all property of Lessee placed in or on the Leased Premises for all monies,
rents, shares of gross receipts and other obligations of Lessee under this
Lease. So long as Lessee is not in default in the payment of any rent or
other sum of money due under this Lease, any and all property removed by
Lessee from the Leased Premises shall be free and clear of such lien.
ARTICLE VII
UNDERTAKINGS OF CITY
A. OPERATION OF AIRPORT. The City covenants to operate the Airport
as a public airport during the term of this Lease subject to and consistent
with the assurances given by the City by the United States Government under
the Federal Airport Act, and to Lessee by this Lease.
B. UTILITIES. The City shall make water and wastewater service
available to Lessee on or adjacent to the Leased Premises upon the same
basis as applies to the residents within the City of Corpus Christi.
Lessee shall pay all charges for water, wastewater service, electricity and
other public utilities supplied to Lessee at the Leased Premises during the
term of this Lease -as such charges become due and payable.
-CONSTRUCTION AND MAINTENANCE BY THE CITY. The City agrees to
install and construct a roadway and taxiway providing access to the Leased
Premises in the locations indicated on Exhibit "A" within twelve (12)
months from the date of final approval of this Lease. Such roadway and
taxiway shall be constructed in accordance with all applicable laws,
ordinances, statutes, codes, rules and regulations pertaining to the design
and construction of airport taxiways, including without limitation the
applicable Federal Aviation Administration Standards.
D. CONTINGENCY UPON FEDERAL FUNDING. The obligations of the City
imposed in this Article to provide utilities and construct the roadway and
taxiway described above are contingent upon the City's receipt of
sufficient funds from the Federal Aviation Administration for the
performance of such obligations.
ARTICLE VIII
UNDERTAKINGS OF LESSEE
Lessee further covenants as follows:
(1) At its own expense, to improve the Leased Premises by construc-
tion of a hangar, offices, shops and/or other improvements, as hereinabove
mentioned, and to maintain said improvements and Leased Premises in a
presentable condition consistent with good business practice.
(2) To remove from the Leased Premises all waste, garbage, rubbish,
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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; provided, however, that the City may provide garbage
service for a reasonable fee consistent with charges made to commercial
establishments of a similar nature.
(3) To make adequate provision for and to dispose of waste oils and
lubricants off the Airport property and not to put or allow to put any such
waste oils or lubricants into the Airport wastewater system.
(4) To operate the Leased Premises in accordance with the terms of
this Lease free of any unlawful discrimination.
ARTICLE IX
GENERAL PROVISIONS
A. INDEMNIFICATION. Lessee shall be solely responsible to all
parties for its respective acts or omissions and those of its agents,
servants, employees, invitees, tenants and sublessees, and the City shall
in no way be responsible therefor. In the use of the Airport, in the
maintenance, erection or construction of any improvements on the Leased
Premises, and in the exercise and enjoyment of the rights herein granted,
Lessee will indemnify and save harmless the City from any and all lawsuits,
demands, liabilities, losses or claims for damages or personal injuries
which may arise or which may be alleged to have arisen from any negligence
or other act or omission on the part of Lessee, Lessee's agents, servants,
employees, construction contractors and invitees, or which may approxi-
mately result from the negligence of Lessee's tenants or sublessees.
'B.—LIABILITY INSURANCE. Lessee shall carry the following insurance
coverages in the minimum amounts specified:
Comprehensive General Liability, including
products liability/completed operations,
explosion, -collapse and underground
hazards, and contractual liability
endorsements (combined single limit). $ 1,000,000
Aircraft Liability $ 10,000,000
Hangarkeeper's Liability $ 5,000,000
Automobile Liability $ 100,000 per person
• 300,000 per occurrence
50,000 property damage
Worker's Compensation (as required by law)
All liability insurance shall be carried with a responsible company and
shall name the City as an additional insured. Such policy shall, in
addition, be endorsed to provide for cross -liability between assureds and
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in a form reasonably satisfactory to the City. All such policies shall
provide for a minimum of ten (10) days' notice to the City in the event of
cancellation or material change in the terms thereof.
C. NOTICES. Notices to the City and Lessee shall be in writing and
mailed certified mail, postage prepaid, return receipt requested, addressed
as follows:
TO CITY:
TO LESSEE:
Airport Director
Corpus Christi International Airport
Route 2, Box 902
Corpus Christi, Texas 78410
Gulf Coast Aviation, Inc.
P. 0. Box 747
Corpus Christi, Texas 78401
D. TAXES. Lessee shall be obligated to pay any and all real estate
and personal property ad valorem taxes levied from time to time on the
improvements placed on the Leased Premises; provided that, Lessee shall
have the right to contest the validity or amount of any such taxes in the
manner provided by law.
E. TERMS BINDING. All of the terms, covenants and agreements herein
contained shall be binding upon and shall inure to the benefit of the
heirs, successors and assigns of Lessee and the City.
F. DAMAGE OR DESTRUCTION. In the event that the Airport is destroyed
or damaged to the extent that the Leased Premises cannot reasonably be used
by Lessee for the purposes for which the same are then being used, then,
the City shall undertake to repair and restore the improvements at the
Airport, and until such damaged or destroyed improvements on the Airport
are restored to the extent required to permit such operations on or from
the Leased Premises to be resumed, rental under this Lease shall be abated.
In the event the Airport is damaged but the extent of such damage reduces
the level or extent of business operations from the Leased Premises (rather
than preventing all business operations from the Leased Premises), then the
rental payable under this Lease shall be partially abated to the extent
required to reflect the reduction in business operations from the Leased
Premises. Any such partial abatement shall continue until necessary
repairs have been effected to the Airport.
G. PROPERTY INSURANCE. Lessee, at its own expense shall purchase and
maintain property damage insurance with respect to the hangars and other
permanent improvements on the Leased Premises in an amount equal to at
least eighty percent (80%) of their fair market value and covering
customary risks and expenses. Evidence of Lessee's insurance shall be
delivered to the City within thirty (30) days after the commencement of
construction of said improvements. All such policies shall provide for a
minimum of ten (10) days' advance notice to the City in the event of a
cancellation or reduction in the coverage thereunder. All insurance
proceeds from Lessee's policies for such casualty losses to hangars or
other permanent improvements on the Leased Premises shall be payable solely
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to Lessee. Notwithstanding anything herein to the contrary, after any
destruction or damage to said improvements on the Leased Premises, Lessee
shall have the right to terminate this Lease by delivery of written notice
of termination to the City within sixty (60) days after the occurrence of
such destruction or damage; provided, however, that if any of the hangars
or other permanent improvements are damaged and Lessee elects to terminate
this Lease, then Lessee shall remit to the City an amount from the proceeds
of such policies equal to the extent such proceeds relate to the damaged
hangars and permanent improvements. Any such notice of termination shall
be effective on receipt thereof by the City.
H. MUTUAL WAIVER OF SUBROGATION. Each party hereto waives any and
every claim which may arise in such party's favor against the other party
hereto during the term of this Lease for any and all loss of, or damage to,
any of such party's property located within or upon, or constituting a part
of, the Leased Premises, which loss or damage is or could be covered by
valid and collectible fire and extended coverage insurance policies,
regardless of whether or not such party maintains such insurance. Such
mutual waivers shall be in addition to, and not in limitation or derogation
of, any other waiver or release contained in this Lease with respect to any
loss of or damage to, property of the parties hereto. Inasmuch as such
mutual waivers will preclude the assignment of any aforesaid claim by way
of subrogation or otherwise to an insurance company (or any other person),
each party hereto agrees to give to each insurance company which has issued
to such party policies of fire and extended coverage insurance immediate
written notice of the terms of such mutual waivers, and to cause such
insurance policies to be properly endorsed, if necessary, to prevent the
invalidation of such insurance coverages by reason of such waivers.
I. SUBORDINATION. This Lease shall be subordinate to the provisions
of any existing or future agreement between the City and the United States
of America 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 any such future agreement with the United States of America
be to take any of the Leased Premises out of the control of the City or to
substantially destroy the commercial value of the Leased Premises, or any
part thereof, the City agrees to use its best efforts to provide to Lessee
other comparable premises in the Airport to be leased on the same terms as
this Lease as of the date on which such agreement becomes effective in
respect of the Leased Premises. It is understood that a relocation of the
Airport Terminal Building within the Airport boundaries will not affect the
commercial value of the Leased Premises.
J. EXPIRATION OF TERM. This Lease shall expire at the end of the
term set forth in Article V hereinabove, and Lessee shall have no further
right or interest in any of the Leased Premises or rights, uses or other
interests contained in this Lease. Lessee agrees to vacate and remove all
equipment placed thereupon by Lessee unless Lessee and the City enter into
a new lease mutually satisfactory to both parties further extending the
term hereof. Lessee shall have the right to remove its equipment, personal
property and trade fixtures (excluding hangars) from the Leased Premises
within ninety (90) days from the expiration or earlier termination of this
Lease. In the event Lessee fails to do so, Lessee shall be deemed to have
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abandoned the same and title thereto shall pass to the City. In the event
Lessee is deemed to have abandoned any of its equipment, personal property
or other trade fixtures, the City shall have the right to remove the same,
and Lessee will reimburse the City for its reasonable expenditures in
removal.
At the expiration or earlier termination of this Lease, all
underground improvements, paving and other improvements attached to the
real estate, including the hangars and other permanent improvements, shall
revert to City.
K. REMEDIES OF CITY. Default in the payment of any of the rentals
payable under this Lease shall give City the right to terminate this Lease
at any time after the expiration of thirty (30) days after the date of
written notice of default, unless within said time Lessee shall have
tendered all amounts in default.
Default in the performance of any of the other covenants on the part
of Lessee under this Lease shall likewise give City the right to terminate
this Lease at any time after the expiration of thirty (30) days after the
date of written notice of default unless said default shall have been
corrected or waived by City within such thirty (30) day period; provided
that in the event such default cannot reasonably be cured within such
thirty (30) day period due to the inability to cure such default by reason
of the occurrence of any hindrance or delay beyond the control of Lessee,
then such thirty (30) day period shall be extended for such additional
period of time as may be reasonably required to cure the same, provided
that Lessee is diligently proceeding to cure such default.
L. COVENANT OF QUIET ENJOYMENT. The City covenants, represents and
warrants that it has full right and power to execute and perform its
obligations under this Lease and to grant the estate demised herein, and
that Lessee, upon payment of the rents herein reserved, and the performance
of the terms, conditions, covenants and agreements herein contained, shall
peaceably and quietly have, hold and enjoy the Leased Premises during the
full term of this Lease.
M. HOLDING OVER. Should Lessee or any of Lessee's successors in
interest fail to surrender the Leased Premises or any part thereof upon the
expiration or earlier termination of the term of this Lease, such holding
over shall constitute a tenancy from month-to-month at a monthly rental
equal to one hundred fifty percent (150%) of the rental then being payable
by Lessee hereunder.
N. FORCE MAJEURE. In the event the performance by the City or Lessee
of any term, condition or covenant in this Lease is delayed or prevented by
any act of God, inclement weather, strike, lockout, shortage of material or
labor, restriction by any governmental authority, civil riot, flood or any
other cause (whether or not similar to the foregoing) not within the
control of such party, the period for performance of such term, condition
or covenant shall be extended for a period equal to the period of time that
such party is so delayed or hindered.
0. SEVERABILITY. If any provision of this Lease should be held to be
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invalid or unenforceable, the invalid or unenforceable provision shall be
deemed to be severable from the remainder of this Lease and the validity
and enforceability of the remaining provisions of this Lease shall not be
affected thereby.
P. AIR OPERATIONS AREA SECURITY. Lessee shall provide for the
security of the air operations area at the Airport to prevent ground entry
or movement of unauthorized persons from the Leased Premises in accordance
with Section 9-32 of the Code of Ordinances of the City of Corpus Christi
and any regulations imposed upon the City by the Federal Aviation
Administration. Lessee shall indemnify and hold harmless the City, its
officers and employees from any charges, fines or penalties which may be
levied by the United States of America or the State of Texas by reason of
Lessee's failure to comply with this requirement.
Physical barriers to prevent access to air operations area must
be in effect during construction upon the Leased Premises. This covenant
is in addition to the above indemnification provisions.
Q. CIVIL RIGHTS. In exercising any of the rights or privileges
provided hereunder, Lessee 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. The City hereby expressly retains the
right to take such action as the United States of America may direct to
enforce this non-discrimination covenant.
R. RATES AND CHARGES. All rates and charges imposed by Lessee for
services, supplies and any other business operations conducted by Lessee on
the Leased Premises shall be reasonable, and such rates and charges shall
be equally and fairly applied to all persons utilizing the same. Lessee
agrees to provide to the City a list of all such rates and charges and keep
such list current at all times during the term of this Lease.
ARTICLE X
ASSIGNMENT OR TRANSFER OF LEASE
A. ASSIGNMENT OR SUBLEASE. This Lease shall not be assigned in whole
in part by the Lessee except with the written approval of the City. Any
assignment of this Lease or subletting of all or part of the Leased
Premises shall be subject to all of the terms and conditions of this Lease.
B. LEASEHOLD FINANCING.
(1) Lessee shall have the right to collaterally assign or
mortgage Lessee's leasehold estate created hereby in order to secure a
mortgage loan, subject to the approval by the City of such collateral
assignment or mortgage. In the event Lessee mortgages said leasehold
estate, the leasehold mortgagee shall in no event become personally liable
to perform the obligations of Lessee under this Lease unless and until said
mortgagee becomes the owner of the leasehold estate pursuant to fore-
closure, transfer in lieu of foreclosure, or otherwise; and thereafter said
leasehold mortgagee shall remain liable for such obligations only so long
-12-
as such mortgagee remains the owner of the leasehold estate. Notwithstand-
ing the foregoing, it is specifically understood and agreed that no such
mortgaging by Lessee or any actions taken pursuant to the terms of such
mortgage shall ever relieve Lessee of its obligation to pay the rental due
hereunder and otherwise fully perform the terms and conditions of this
Lease.
(2) If and so long as the leasehold estate created under this
Lease is encumbered by a leasehold mortgage and written notice to such
effect has been given to the City, then the City shall give to the
leasehold mortgagee written notice of any default hereunder by Lessee
simultaneously with the giving of such notice to Lessee, and the leasehold
mortgagee shall have the right within the applicable period of time
provided to Lessee hereunder to cure any such default as may be specified
in such notice.
IN WITNESS WHEREOF, the parties have executed and delivered this Lease
on this day of , 1984, in duplicate originals,
both of equal force and effect.
ATTEST:
CITY OF CORPUS CHRISTI, TEXAS
By: By:
City Secretary
APPROVED: l�� �r � ,1984
J. Bruce Aycock, City Attorney
By:
Ass/
ATTEST:
City Attorney
By:
Edward A. Martin, City Manager
Assistant City Manager
GULF COAST AVIATION, INC.
By: By:
Title Title
-13-
11,161
CITY OF CORPUS CHRISTI
DISCLOSURE OF INTERESTS
City of Corpus Christi Ordinance 17112, 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." Corporations whose shares are publicly traded and listed on national or regional stock exchanges or over-the-
counter markets may file a current Securities and Exchange Commission Form 10-K with the City in lieu of answering
the questions below. See reserve side for definitions.
FIRM NAME.
STREET: CITY: 71P•
FIRM is: 1. Corporation ( ) 2. Partnership ( ) 3. Sole Owner ( )
4. Association ( ) 5. Other ( )
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
CERTIFICATE
I certify that all information provided is true and correct as of the date of this statement, that I have not knowingly
withheld disclosure of any information requested; and that supplemental statements will be promptly submitted to the
City of Corpus Christi, Texas as changes occur.
Certifying Person: Title.
(Type or Print)
Signature of Certifying Person: Date.
DEFINITIONS
The following definitions of terms should be used in answering the questions set forth below:
a. "Board member." A member of any board, commission, or committee appointed by the City Council of the
City of Corpus Christi, Texas.
b. "Employee." Any person employed by the City of Corpus Christi, Texas either on a full or parttime basis,
but not as on independent contractor.
c. "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.
d. "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.
e. "Ownership interest." Legal or equitable interest, whether actually or constructively held, in a firm, includ-
ing 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."
That the foregoing ordinance im read fo
second reading on this the jrik day of
following vote:
Luther Jones
Betty N. Turner
David Berlanga, Sr.
Welder Brown
first time and liwsfied to its
, 191' , by the
Leo Guerrero
Dr. Charles W. Kennedy
Joe McComb
Frank Mendez
Mary Pat Slavik
That the foregoing ordinance read for econd time and ed to its
third reading on this the day of , 19 39 , by the
following vote:
Luther Jones
Betty N. Turner
David Berlanga, Sr.
Welder Brown
Leo Guerrero
Dr. Charles W. Kennedy
Joe McComb
Frank Mendez
Mary Pat Slavik
That the fore of g ordinarle ras read for theey,ird time and passed finally
on this the 2day of-j"‘(/�,y , 19dff , by the following vote:
rr j
Luther Jones T Leo Guerrero
Betty N. Turner j,_l/ Dr. Charles W. Kennedy
David Berlanga, Sr. Joe McComb
Welder Brown Frank Mendez
Mary Pat Slavik
PASSED AND APPROVED, this the Aday of
ATTEST:
C ecretary /41.4 e—
APPROVED:
"7 t.. DAY OF f' , 19%Y:
J. BRUC' tLOCK CITt ATTORNEY
By
Ass'
ant City Attorney
11440 DI
, 19
MAYOR 2
THE CITY OF CORPUS CHRISTI, TEXAS
18100
STATE OF TEXAS, tss:
County of Nueces. 1
PUBLISHER'S AFFIDAVIT
•
4( 0°
Before me, the undersigned, a Notary Public, this day personally came
-MARGARET—RAMAGE. , who being first duly sworn, according to law, says that he is the
COMMUNITY RELATIONS SUPERVISOR of the Corpus Christi Caller and The Corpus Christi Times,
.4y
, Dail Newbpapers published at Corpus Christi, Texas, in said County and State, and that the publication of
NOTICE OF PASSAGE OF ORDINANCE ON SECOND READING AUTHORIZING APPROVAL
of which the annexed is a true copy, was published in
Caller -Times Publishing Co.
on the 20 day of Feb' 1984, and once each day thereafter for one
consecutive • day
tint
Times.
$__....__3..x.6•-- Margaret Ramage
Subscribed and sworn to before me this
Edna Koster
24-th
Feb-ruer
7
otary Public, Nue ounty, Texas
exa-s?
OFOOPASSAGE
ORDINANCE ON.
SECOND READING,'s
AVrHOR�-.ANG APPR0V
qL OF"iHE LEASE
AGREEMENT WITH
ULF COAST AVIATION;
INC. FOR THE DEVEL-
OPMENT OF A 8 ACR
7.1E
GENERAL AVIATION
SPACE FOR A 20 (TWEN-
tl ) sEAR Passed
s edR 00 secopd
ding by the City COUnCIl
rea
offthe Cify of Corpus Chris
#i,•Texas on the 75th day-o!
Fe.ruary, 1984. The full t€
ebk8
able ito thenance publics In aVthe
011lCe of the CityBIIS' G. Read
•� d
? City Secretary
• Corpus Christi, Texas
PUBLISHER'S AFFIDAVIT
" STATE OF TEXAS, )ss c
County of Nueces.
/'/C)C)
Before me, the undersigned, a Notary Public, this day personally came ........ _....__._._....
MARGARET RAMAGE , who being first duly sworn, according to law, says that he is the
COMMUNITY RELATIONS SUPERVISOR
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
NOTICE OF PASSAGE OF ORDINANCE NO, 18100 AUTHORIZING APPROVAL OF THE LEASE
• of which the annexed is a true copy, was published in .
27th Feb.1984 y and once each da3' thereafter for....o.. — ____.
on the day of
consecutive
One
day
Times.
1414.71 Margaret Ramage
Subscribed and sworn to before me this. 29th day o February
N bhc,
Notary Pubhc, ces County, Texas
Edna Koster
19.._. 84
'i .r,; .I c1S n
;'i.,.'1 r iii
7 ' Ir ,
NOT
ORD11,,_ NCE ON 4Y(
FIRST READING., 1
AUTHORIZING APPROV-
AL OF THE LEASE
AGREEMENT WITH
, 1 , ) I GULF COAST AVIATION, f,
INC. FOR THE DEVEL- p,
OPMENT OF A 7.18 ACRE t,
TRACT TO PROVIDE 1
GENERAL AVIATION (
SPACE FOR A 20 (TWEN- 1
TY) YEAR PERIOD. 1
Was passed on first read- i
Ing by the City Council of 1
the City of Corpus Christi,
Texas on the 8th day of
February, 1984. The full text
of said ordinance Is avail- 1
j^ 1abie to the public In the '
Office of the City Secretary.
-s-8111 G. Reed
City Secretary
Corpus Christi, Texas
:i•i 'tt,� f
f ..
STATE OF TEXAS,
County of Nueces.
}ss:
PUBLISHER'S AFFIDAVIT
Before me, the undersigned, a Notary Public, this day personally came
Marzas tklamagD , who being first duly sworn, according to law, says that he is the
Gommuni-ty...Bal.ationa..SupervisDvf 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
NOTICE OF PASSAGE OF QRDINANCE ON FIRST READING 4,JTHORIZ[NG APPRQVAL
of which the annexed is a true copy, was published in
Caller -Times Publishing Co.
13
on the.day of Feb. 19 84 and once each day thereafter for one
_....._..
consecutive. d?Y
One ' Times.
8--••-23•.7.6• MargaretRamage
Subscribed and sworn to before me this 24Zh... !, of .E.e r . - • r.y 19 $.4.
Edna Koster
Notary Public, • es County, Texas