HomeMy WebLinkAbout020797 ORD - 10/17/1989AN ORDINANCE
AUTHORIZING THE CITY MANAGER TO EXECUTE A
LEASE AMENDMENT WITH LOMA ENTERPRISES, INC.,
DBA DOLLAR RENT -A -CAR, TO EXTEND THE LEASE ON
LOT 7 FOR 10 YEARS FOR CONSTRUCTION OF A
SERVICE FACILITY AT CORPUS CHRISTI
INTERNATIONAL AIRPORT.
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF
CORPUS CHRISTI, TEXAS:
SECTION 1. That the City Manager, or designee, is
hereby authorized to execute a lease amendment with Loma
Enterprises, Inc., dba Dollar Rent -a -Car to extend the lease on
Lot 7 for 10 years for construction of a service facility at
Corpus Christi International Airport all as more fully set forth
in the lease amendment, a substantial copy of which is attached
hereto and made a part hereof, marked Exhibit "A."
/ORD/AG017.ORD/dv
MICROFILMED
AMENDMENT TO DOLLAR RENT -A -CAR
CONCESSION AGREEMENT
WHEREAS, the City of Corpus Christi ("City") and Loma Enterprises, Inc.
d/b/a Dollar Rent-A-Car ("Concessionaire") entered into a three (3) year rent
car concession agreement effective September 17, 1988 ("Agreement"); and
WHEREAS, pursuant to that Agreement, Concessionaire is required to operate
an automotive service facility; and
WHEREAS, an underground fuel storage tank ("UST") is integral to operating
the automotive service facility, and such UST is expensive to install;
NOW, THEREFORE, City and Concessionaire agree as follows:
1. The lease on the automotive service area ("Service Facility") only
shall be extended for ten (10) years from September 17, 1989, provided, however,
that if Concessionaire is not a high bidder when the rent car concessions are
rebid during that ten (10) year period, it will sell the Service Facility to a
high bidder, which does not have a service facility at Corpus Christi
International Airport ("CCIA")
2. Concessionaire's Service Facility will be located on Lot 7, with the
right of first refusal for Lot 7A, as shown in Exhibit "A" attached hereto and
made a part hereof for all purposes.
3. The annual square foot rental rate will be $.12 per square foot with a
review every three (3) years beginning July 14, 1990, the current rate of $.06
per square foot shall be effective until then. The adjustment will be based on
the current market value rental rate at CCIA, with a ten (10%) percent cap on
each increase. There will be no adjustment made which will decrease the rental
rate.
4. Concessionaire will carry, in addition to the insurance required under
Article VII of the Agreement, additional insurance which specifically covers
underground storage tanks and any environmental pollution associated therewith.
Concessionaire will pay any fines or penalties assessed by the Environmental
Protection Agency, its successor, or any other federal, state or local
governmental entity for any acts or omissions by Concessionaire relating to the
UST and/or its contents.
5. Concessionaire shall retroactively be authorized to begin installation
of the UST upon initiation of construction.
502AG052.agr
6. Concessionaire shall post an irrevocable letter credit in the amount
of Ten Thousand ($10,000.00) Dollars which shall be effective during the term of
this Amended Agreement, and any extensions thereof ("Letter"). The Letter may
be in excess of the $10,000.00 required in this Amended Agreement to cover the
letter of credit required in the Agreement. If the Letter is renewable, a
renewed Letter shall be delivered to the Director of Aviation at CCIA thirty
(30) days prior to the expiry of the then current Letter. Failure to provide a
renewal Letter or substitute irrevocable letter of credit as set out above
shall be an event of default and City may at its option terminate this Amended
Agreement. The Letter shall cover costs of removal of the UST and remediation
of any environmental pollution associated therewith.
At the expiration of this Amended Agreement, if Concessionaire removes its
UST and remedies any environmental pollution associated therewith, together with
paying any fines and penalties associated therewith, City shall release the
Letter. Alternatively, if Concessionaire is a successful bidder or sells the
Service Facility to a successful bidder and a new bond is entered into, City
shall release this Letter. If none of the above occur, Concessionaire agrees
that City shall collect on the Letter, which is in an amount estimated to cover
the costs of removal of this UST and any remedial actions, fines, and penalties
associated with this UST.
7. Concessionaire is bound by all other terms and conditions of the
Agreement and any subsequent agreements entered into between the City and
Concessionaire during the ten (10) year term of this Service Facility lease
extension
IN WITNESS THEREOF, the parties have executed this amendment to the
September 17, 1988 Agreement this the day of , 1989.
ATTEST: CITY OF CORPUS CHRISTI
BY BY
Armando Chapa, City Secretary Juan Garza, City Manager
Approved this day of
, 1989 LOMA ENTERPRISES INC., D/B/A
by Hal George, City Attorney DOLLAR RENT -A -CAR, CONCESSIONAIRE
BY
Assistant City Attorney
502AG052.agr
BY
ITS
That the foregoing ordinance was read for the fir7t time and passed to its
second reading on this the 1 day of r j;_ , 19 j" '/, by the
following vote:
Betty N. Turner
David Berlanga, Sr.
Leo Guerrero
Tom Hunt
Edward A. Martin
Joe McComb
Clif Moss
Mary Rhodes
Frank Schwing, Jr.
f
That the foregoing ordinance as read for the $econcl time and p shed to its
third reading on this the J� day of y.Y 7Lpi (I2!) , 19 6 7 , by the
following vote:
Betty N. Turner a / Edward A. Martin ( tgy,
David Berlanga, Sr. (1/ 7 - Joe McComb (dl ,
Leo Guerrero ((t/ /' Clif Moss (dry;
Tom Hunt (ii ', Mary Rhodes (?L/y
Frank Schwing, Jr. lite
That the foregoing ordin ce wa read for th hird time and passed finally on
this the /7 day of(� , 19 y7 , by the following vote:
Betty N. Turner
David Berlanga, Sr.
Leo Guerrero
Tom Hunt
ac
614 A.
PASSED AND APPROVED, this the /f/
ATTEST:
Edward A. Martin �y
Joe McComb
Clif Moss dfr)C
Mary Rhodes ZdtVe
Frank Schwing, Jr. ail-,
day of etaittAi , 19 0 .
City Secretary MAYOR
APPROVED:
,9 DAY OF .1 Loa,b
C,
HAL GEORGE, CITY ATTORNEY
By.Assistant C t Attorney
99.044.01
, 19r,`9 :
THE CITY OF CORPUS CHRISTI, TEXAS
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