HomeMy WebLinkAbout020776 ORD - 09/19/1989AN ORDINANCE
AUTHORIZING THE EXECUTION CF AN INTERIM LEASE AGREEMENT
WITH DOBBS HOUSES, INC. FOP OFFICE SPACE AT CORPUS
CHRISTI INTERNATIONAL AIRPORT FOP ONE YEAR EFFECTIVE
AUGUST 1, 1989; AND DECLARING AN EMERGENCY.
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY
CORPUS CHRISTI, TEXAS:
SECTION i. That the _pity Manager is hereby author'._ei'_
to execute an interim lease agreement with Dobbs Houses, Inc.
office space at Corpus Christ:. Internacional Airport for one _ea:
effective August 1. 1989, all as more fii_ly fr,e.t fart": in tiles
lease agreement, l ubstant 1 cc.py Cf whi•'h 1: attache hetet:
and made a part hereof. marked Exhibit A.
SECTION 2. That i.ip:.n written inquest cf the Mayor :.
five Council members, copy attached, r._, find and de^iare
emergency 'due to the need for efficient ldminis:ratlon of City
affairs by executing the afaremeriti ned lease agreement at th.=
earliest practicable date, such finding of an emergen['y is mage
and declared requiring suspension cf the Chatter rule as t±
consideration and voting up.)*.i orcii:iance a'. three reg_.
meetings so that this ordinance is _: a ser: and shall t_ ef`e:
uponrst re ding 35 3n YI i'r:, y measure this the —1
ofi�ClllL�_ , 19 Y/
ATTEST:
Secretary MAYOR
THE CITY OF CORPUS CHR:ST7
APPROVED:
DAY OF
HAL GEORGE, CITY ATTORNEY
BY
Assistant City Attorney
_`P.D-RES.'..8i90 D
e-rprvsoisil
ROFRMED
OFFICE SPACE AND FEE AGREEMENT
THIS OFFICE SPACE AND FEE AGREEMENT (this "Agreement") is entered into by
and between the City of Corpus Christi, a municipal corporation having home rule
powers under the laws of the State of Texas (the "City") and Dobbs Houses, Inc.,
a Delaware corporation doing business in Texas ("Dobbs");
WHEREAS, the City owns and operates the City of Corpus Christi
International Airport, located at 1000 International Drive, Corpus Christi,
Nueces County, Texas ("Airport"); and,
WHEREAS, Dobbs is providing concessionaire services at the Airport and is
in need of office space.
NOW, THEREFORE, in consideration of the premises, and the charges, fees,
rentals, covenants and agreements contained herein, the parties agree as
follows:
LEASED PREMISES
The City leases to Dobbs, and Dobbs takes from the City, office space
allocated in the Airport Terminal Building, identified in Exhibit "A", attached
hereto and made a part hereof for all purposes ("Leased Premises").
TERM OF AGREEMENT
The term of this Agreement shall be for one year, effective August 1, 1989
and expiring July 31, 1990, provided, however, that this Agreement may be
terminated upon a thirty (30) day written notice of cancellation.
RENT
The minimum office space rent is $21.47 per square foot annually or $324.55
a month for 181.41 square feet (14'5" x 1217".) This rate is subject to change
pending the outcome of on-going airline rates and fee negotiations for
comparable and like space. A standardized rate is applied to all tenants for
like space. Any new rate negotiated will become effective on the first day of
the month after the new rates are effective.
Rent is required one month in advance and is due on the 1st of each month.
Payments shall be made at Corpus Christi International Airport, 1000
International Drive, Corpus Christi, Texas 78406 or at such other place in the
City as the City may hereafter notify Dobbs, and shall be made in legal tender
of the United States.
All unpaid fees due the City shall bear a service charge of one and
one-half percent per month if same are not paid and received by the City by the
503AG001.agr 1
30th day of the month in which payments are due, and Dobbs agrees that it shall
pay and discharge all costs and expense, including reasonable attorney's fees,
incurred or expended by the City in collection of such delinquent amounts due.
IV.
MAINTENANCE, USE, AND OCCUPANCY OF LEASED PREMISES
Dobbs shall at all time maintain its Leased Premises and all furnishings or
equipment thereon in a neat, orderly, sanitary and presentable condition and
provide its own janitor service. Dobbs shall permit no damage to existing
improvements; no spikes, hooks, nails or any other device shall be driven or
screwed into the walls or other surfaces of the Leased Premises without prior
written approval from the Director of Aviation. Concessionaire shall not do or
permit to be done, any act or thing on its Leased Premises which will invalidate
any fire insurance policies required under this Agreement or carried by the City
covering the Terminal and storage areas which in the City's opinion may
constitute a hazardous condition that will increase the risks normally attendant
upon operations contemplated under this Agreement. Concessionaire shall take
all reasonable steps to keep the Leased Premises free from all danger of fire.
Concessionaire shall not create a fire hazard. Concessionaire shall refrain
from activities which may destroy or damage Leased Premises. At the expiration
of this Agreement, Dobbs agrees to deliver the Leased Premises to the City in
the same condition as when rented, normal wear and tear excepted.
The City shall furnish heating and air conditioning to the Leased Premises
in such degrees as is furnished to other tenants in the same building area, and
the City shall not be liable for any failure to supply the same when such
failure is not due to negligence on its own part. General area light will be
furnished by the City through the Fixtures involved for the general lighting of
the area.
Concessionaire shall comply with all statutes, laws, ordinances, orders,
judgments, decrees, regulations, directions and requirements of all federal,
state, City and other governmental authorities now or hereafter applicable to
the Leased Premises or to any adjoining public ways, with regard to the manner
or use or the condition of Leased Premises and Concessionaire's operations
thereon or of adjoining public ways. Concessionaire shall have liability for
and shall pay any fines assessed against Concessionaire or City due to the acts
or omissions of Concessionaire regarding compliance with said statutes, laws,
ordinances, etc., including, but not limited to, FAA security regulations and
EPA regulations. All other terms in Article IV of the Dobbs Houses, Inc.
Terminal News and Gift Shop Concession Agreement effective October 14, 1989
shall be made a part of this Agreement for all purposes.
503AG001.agr 2
V.
INSURANCE AND INDEMNIFICATION
5.1 Insurance. Dobbs entered into a short-term concession agreement with
the City on the 1st day of August, 1989, which expires upon the 14th day of
October, 1989, which is the effective date of a ten year concession agreement
with the City. Pursuant to said Dobbs Houses, Inc. Terminal News & Gift
Concession Agreement, Dobbs is required to carry a One Million ($1,000,000.00)
Dollar umbrella insurance policy. The Leased Premises under this Office Space
and Fee Agreement shall be insured pursuant to said One Million ($1,000,000.00)
Dollar umbrella insurance policy.
The evidence of insurance of the Leased Premises herein shall be the same
as the evidence of insurance for the Dobbs Houses, Inc. Terminal News & Gift
Concession Agreement. All other insurance terms under said Terminal News & Gift
Concession Agreement shall be applicable to the Leased Premises herein.
5.2 Indemnification. The Concessionaire agrees to indemnify and save
harmless the City, its officers, agents and employees, from and against any and
all loss of or damage to property or injuries to, or death of any persons, and
from any and all claims, damages, suits, costs, expenses, liabilities, action or
proceedings of any kind whatsoever, in any way resulting from, or arising out of
the acts, omissions, or negligence of officers and employees of the
Concessionaire or City arising out of this Agreement for the use and occupancy
of the Leased Premises at said Airport.
VI.
GENERAL PROVISIONS
6.1 Assignment and Subletting. Dobbs agrees not to sublet the Leased
Premises, or any part thereof, or any of the facilities described herein, nor
assign this Agreement or any portion of the term hereof, without the prior
written consent of the City. Such consent shall not be arbitrarily withheld,
provided however any successor, sublessee or assign, in interest in this
Agreement must meet all pertinent requirements as outlined herein.
6.2 Agreements with the United States. This Agreement is subject and
subordinate to the provisions of any agreements heretofore or hereafter made
between the City and the United States, relative to the operation or maintenance
of said Airport, the execution of which has been required as a condition
precedent to the expenditure of Federal funds for the extension, expansion or
development of said Airport.
6.3 Modification for Granting FAA Funds. In the event that the Federal
Aviation Administration requires, as a condition precedent to granting of funds
for the improvement of said Airport, modifications or changes to this Agreement,
Dobbs agrees to consent to such reasonable amendments, modifications, revisions,
supplement or deletions of any of the terms, conditions or requirements of this
Agreement, as may be reasonably required to enable the City to obtain said
Federal Aviation Administration funds.
503AG001.agr 3
6.4 Governing Law. This Agreement shall be deemed to have been made in,
and be construed in accordance with the laws of the State of Texas, venue shall
be in Corpus Christi, Nueces County, Texas.
6.5 Compliance With Laws and Regulations. Dobbs shall comply with all
statutes, laws, ordinances, orders, judgments, decrees, regulations, directions
and requirements of all federal, state, city and other governmental authorities
now or hereafter applicable to the Leased Premises or to any Leased Premises and
Dobbs' improvements thereon or of adjoining public ways.
6.6 Non -Discrimination. Dobbs in exercising any of the rights or
privileges herein granted, 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 is hereby granted the right to take such
action, anything to the contrary herein notwithstanding, as the United States
may direct to enforce this nondiscrimination covenant.
6.7 Notices/Address. Except as herein otherwise expressly provided, all
notices required to be given to the City hereunder shall be in writing and shall
be sent by certified mail, return receipt requested, to the Director of
Aviation, Corpus Christi International Airport, 1000 International Drive, Corpus
Christi, Texas 78406. All notices, demands and requests by the City to Dobbs
shall be sent by certified mail, return receipt requested, addressed to Dobbs at
5100 Poplar Avenue, Memphis, Tennessee 38137.
6.8 Successors and Assigns. All of the terms, provisions, covenants,
stipulations, conditions and considerations of this Agreement shall extend to
and bind the legal representative, successors, sublessees and assigns of the
respective parties hereto.
6.9 Waivers. No waiver of default by either party of any terms, covenants
and conditions hereof to be performed, kept and observed by the other party
shall be construed as, or operate as, a waiver of any subsequent default of any
terms, covenants or conditions herein contained, to be performed, kept and
observed by the other party.
6.10 Terminal Construction. It is recognized that conditions may change in
the Airport making it necessary and desirable for the benefit of the traveling
public to revise, move, rearrange, or reconstruct all or part of the Terminal.
In such event, it is agreed that the City shall have the right to move Dobbs'
premises to another location, provided the substitute premises are comparable to
the premises described herein and provided further, that any such move for the
convenience of the City shall be at no expense to Dobbs. In such event, Dobbs
will not be required to close down its currently occupied premises until it can
move into the new facility.
6.11 Airlines Contract and Rental Rates. Dobbs shall be subject to all
terms and conditions of any contract between the City and the major airlines at
the Airport, with regard to rental rates.
503AG001.agr 4
6.12 Entire Agreement. This Agreement, together with all exhibits attached
hereto, constitutes the entire Agreement between the parties hereto and all
other representatives of statement heretofore made, verbal or written, are
merged herein and this Agreement may be amended only in writing, and executed by
duly authorized representatives of the parties hereto.
IN WITNESS THEREOF, the parties have executed this Agreement to be
effective as of June 1, 1989.
ATTEST: CITY OF CORPUS CHRISTI
By: By:
Armando Chapa, City Secretary
Juan Garza, City Manager
Approved this day of �;��,�,.; DOBBS HOUSES, INC.
1989, by Hal George, City Attorney
By t /�C.i4ii
Assistant
•(), r-r,�"r�
;i'ty Attorney
By:
ItsVice P e e-nt/General Manager,
Merchandise Concessions
503AG001.agr 5
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EXHIBIT "A"i
Corpus Christi, Texas
day of _,yr <l ' , 193('
TO THE MEMBERS OF THE CITY COUNCIL
Corpus Christi, Texas
For the reasons set forth in the emergency clause of the foregoing ordinance
or resolution, an emergency' exists requiring suspension of the Charter rule
as to consideration aria voting upon ordinances or resolutions at three
regular meetings; I/we, therefore, request that you suspend said Charter rule
and pass this ordinance or resolution finally on the date it is introduced,
or at the present meeting of the City Council.
Respectfully, Respectfully,
99.045.01
Council Members
f'
MAYOR
THE CITY OF CORPUS CHRISTI, TEXAS
The above ordinance ;as passed by ;he rollcwinc vote:
Betty N. Turner (le f
David Berlanga, Sr. (,(i _
Leo Guerrero (4 j
Tom Hunt ((t l ).
Edward A. Martin ((t )(.
Joe McComb (IL 1,
Clif Moss (e )1:
Mary Rhodes (?( ic
Frank Schwing, Jr. (it'
20776