HomeMy WebLinkAboutC2013-211 - 7/16/2013 - Approved3AJ y=
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2013-211
7/16/13
Ord.029893
Tailwind CRP LLC INDEXED
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EX14181T A: Premises
EXHIBIT B:
Approved Menu and Prices
EXHIBIT C:
City's Equipment List
EX141BIT D:
Lessee's Capital Improvements,
EXHIBIT E.
Lessee's Equipment List
EXHIBIT F:
Insurance Requirements
a
MIAMOM19111V xll�
This Lease and Concession Agreement is made effective as of August 15, 2013, between the
City of Corpus Christi, a Texas home-rule municipal corporation ("City"), and Tailwlind CRP, LLC, a
Delaware Limited Liability Company, having a principal address of 1740 Airport Boulevard, Suite ! 6,
Wilmington, NC 28405 ("Lessee").
The parties recite and declare that:
X The City is the owner and operator of the Corpus Christi International Airport
("Airport") in Nueces County, Corpus Christi, Texas-, and
B. The provision of high quality and reasonably priced food and beverage services at the
Airport are desirable for the proper accommodation of passengers arriving at and departing from the
Airport, as well as employees and visitors; and
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-
1. DEFINITIONS
As used in this Lease and Concession Agreement, defined words and to shall have the
following meanings:
L "Airport" is the Corpus Christi International Airport located in Corpus Christi, Texas.
L2 "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 "Terminal" is the Passenger Terminal Building at the Airport, as it now exists or may
hereafter be modified or expanded.
1.4 "Lease" is this Airport Facilities Lease and Concession Agreement.
1.5 "Liquor License" shall mean a retail liquor license owned and held by Lessee, for the
service of beer, vAne and liquor in designated locations of the Premises.
Page 5 of 28
I'mi and Bcvuage Concession Lcase 6-20-13
L6 "Premises" consists of exclusive-use space leased to Lessee as described in Exhibit A
attached hereto.
1.7.2 Sales for which the food or beverages are later returned, to the extent of any
refund or credit is given-,
1.7.3 The entire amount of sales of food and non-alcoholic beverages to persons
employed on the Airport, for which Lessee has granted and adequately documented a discount
of Fifteen percent (15%) from the authorized price.
2,1 Operational Rights. Subject to the t and conditions of this Lease, Lessee is
granted the non-exclusive right to conduct and operate a food and beverage concession at the Airport
in the Premises identified in this Agreement.
2.1.1 Lessee shall have the right to sell to the public in the Terminal, and to cater
elsewhere on the Airport, the approved menu items identified on the attached Exhibit B, as
mav be amended from time to time unon reauest of Lessee and anoroval of the Citi, and such
City or its designee pursuant to Lease section 2-1 ,I,
2.1.2 Lessee shall sell pen-nitted items only at the prices listed on the attached
Exhibit B. as mav be amended from time to time noon request of Lessee an a,
RU MIOU"It
Page 6 of 28
Food and Beverage Concession Lease 6-20-13
shall make any such request on or before April I stand November I" in the period prior to the
year for which the price adjustment is requested.
23 Alcoholic era s.
2.3.1 Lessee shall have the right to sell beer, wine and other alcoholic beverages
(collectively "Alcoholic Beverages") in the Terminal, at the approved prices set forth on
Exhibit B, as may be amended by the parties under paragraph 2.1.2 above.
2.3.2 Lessee shall take all reasonable steps to ensure that Alcoholic Beverages are
sold, dispensed and consumed only on the Restaurant Space and Seating Area. The sale of
package goods is prohibited. Lessee agrees to abide by all applicable laws, rules, and
regulations existing or hereinafter enacted pertaining to the selling of Alcoholic Beverages.
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 beverage, Alcoholic Beverage, or vending
services in areas other than those set aside herein for Lessee's operations.
Page 7 of 28
FmA and Beverage Concession Lcuse 6-20-13
2.8 Limitation on Uses. Lessee's uses of the Airport authorized and granted in this Lease
shall be limited to providing services at the Airport expressly described herein, including a
food and beverage service and activities reasonably necessary to support such activities.
111. OBLIGATIONS OF LESSEE
3.1 Rentals and Char yes, Lessee agrees to pay City, for the use oft e Premises identified
in Exhibit A, and for services and privileges granted under this Lease, the following:
3. Ll An amount equal to twelve percent (12%) of all food, sundries and non-
alcoholic beverages Gross Revenues and sixteen percent (16%) of all alcoholic
beverages Gross Revenues, as defined in Section 1.7 herein.
Paige 8 or 28
Food and Beverage Concession Lease 6-20-13
12 Tenns and Conditiqn5 gf Payment.
3
12.2 Payments due under section 3. I.3 above shall be paid in advance, shall be due
on the first day of the month, and shall be paid to the City not later than the fifteenth
(15th) day of said month.
3.2.3 If any fee or charge is not paid vAthin thirty (30) calendar days of the due
date, Lessee, in addition to the late fee described in section 3.2.1 above, shall pay
default interest equal to 1-1/2% per month on the unpaid balance, accruing from the
date due until paid,
OR
Page 9 of 28
Food and Beverage Concession Lease 6-20-13
3.2.7 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.
3.2.8 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.
3.3 Maintenance and Cleaninu of Premises and Eguipment. Except as expressly provided
to the contrary herein, Lessee shall clean and maintain the Premises and Equipment, including
but not necessarily limited to the following:
Page 10 of 28
FoM and Beverage ConcLssion Lease 6-20-13
3.4 Insurance, Performance Bond and Ind emnit .,
9�0
Food and Beverage Concession Lease 6-20-13
copies of all insurance policies to the City Attorney upon the City Manager's written
request.
The amount of all required Insurance policies is not deemed to be a limitation on
Lessee's agreement to indemnify and hold hanniess City, 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.
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.
3.4.2 Future 1nsuEqpgg_RgqqiEgp2gULs. 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.
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 Agreement.
3.4.4 Conditions of Insurance Default. City may terminate this Agreement in
accordance with this agreement if Lessee fails to consistently maintain said insurance
levels.
Page 12 of 28
Food and Beverage Concession Lem 6-20-13
3,5 Hours of Ooeration, 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 follovAng hours:
Main Restaurant/Bar:, 10 ' �00am- last schedul: ;« «z rtur+
Coffee venue:, 4:30am- 1-30pm
Snack Shop'. 6-.00am-6-OOpm
fu
of operation are not necess »::« «f the traveling public.
Page 13 of 28
Food and Beverage Concession Lease 6-20d3
of Aviation. Lessee may make reasonable and nondiscriminatory discounts, rebates or other
similar price reductions to volume purchasers.
3.8 Lessee's Other Obliggji . Lessee hereby covenants and agrees that with respect to
operations authorized under this Lease, it will provide the highest quality of service and
product to the public, Lessee covenants and agrees that:
3.8.1 it will operate the Premises for the use and benefit of the public and furnish
service on a fair, equal and not unjustly discriminatory basis to all customers,
3,8,2 it will obtain the prior approval of the Director of Aviation of all items offered
for sale by Lessee from the Premises,
3.83 it will offer an employee discount of Fifteen percent (15%) to all airport
tenants City employees, and airline employees with respect to food and non-alcoholic
beverages-,
3. 8.4 it will provide and install sufficient additional fixtures, furniture and
equipment, if necessary to meet reasonably anticipated public demand for service
offered-,
3.8.5 it will provide, maintain, train and supervise a staff of employees adequate at
all times to fulfill their obligations under this Lease-,
3.8.6 it will obtain and maintain all necessary certificates required by the Texas State
Board of Health and any and all other permits and licenses required for its operations
hereunder,
3, 8.7 it will display only advertising matter advertising the authorized business of
Lessee at the Airport, which must be in good taste and is compatible with Terminal
d6cor, 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-,
Page 14 or 28
Food and Beverage Concession Lease 6-20-13
3.8.9 it will meet all expenses in connection with the use of the Premises and the
rights and privileges herein granted, including vAshout limitation, taxes, permit fees,
license fees and assessments lawfully levied or assessed upon the Premises or
structures and improvements situated thereon, and that it VAII secure all such permits
and licenses,
3.8.11 it will operate at the Airport only under the name Tailwi nd, Jet stream Burger
Bar, Boarding Time Burritos, Co-Pilot Coffee,Tailwind Bistro, or such other name or
names approved by the City from time to time.
110 Recyclin -,, Lessee shall provide separate receptacles by which its customers may
I
recycle wastes generated in the Premises. Lessee shall make a good faith effort to recycle, but
at a minimum shall cause to of cardboard, glass, plastic and newspapers generated by and
in conjunction with its operations to be deposited so as to reasonably assure its recycling,
3.12 UqqqLLiqense
3.12.1 Lessee shall take all reasonable 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,
Page 15 or28
Food and Beverage Concession Lease 6-20-13
during the entire term of this Lease and any exercised option terms hereof, all at its
own cost and expense.
3.13 Secwrit Rent urements.
3.13.1 Lessee shall provide approved escort for vendor employees and delivery
personnel requiring access to the secure area of the Terminal.
3.13.4 Any violation of conformance with Security Requirements'Wrill 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,
3. 13.6 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 credentials.
Page 16 of 28
Food and Beverage Concession Lease 6-20-13
3.14 Lessee's Acquisition Regmu!iLregments. As set forth in paragraph 2.2 above, the
City shall deliver the Premises, fixtures, equipment and furnishings specified herein to
Lessee as they are improved. As set forth in paragraph 2.2.7 above, the City shall
also provide the equipment and furnishings identified in Exhibit C.
® OBLIGATIONS OF CITY
granted herein for the agreed term.
4.2 Maintenance and Utilities.
4.2.1 During the term of this Lease, the City shall maintain and keep in good repair
so much of the Terminal Building, not identified in section 2.2 above, as is not under
the exclusive control of individual lessees, in accordance with applicable laws, rules
and regulations.
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.
W1F11,—#X'=
5.1 Term. Subject to earlier termination as hereinafter provided, the primary term of this
Lease shall be for five (5) years commencing on August 15, 2013.
Page 17 oft
rood and Beverage Concession Lease 6-20-13
event the City notifies Tenant of its intent not to exercise the Option term, Lease shall
tenninate upon expiration of the primary term.
5.3 Holdina Over. Holding over or failure to vacate the Premises at the end of the
primary or any 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.
V1. TERMINATION, SURRENDER AND DAMAGES
6.1 Termination bv Lessee. Lessee shall have the right, upon written notice to City, to
terminate the Lease upon the happening of one or more of the olio `n events if said event
or events shall then be continuing:
6.13 If all or a material part of the Airport or the terminal building shall b;
destroyed by fire, explosion, earthquake, other casualty, or acts of God or a public
enemy,
6.1.4 If the United States Govemment or any of its agencies shall occupy the
Lessee's operation for a period of thirty (30) consecutive days or more.
61.5. If all commercial air service is suspended at the Airport for a period of more
than thirty (30) days.
6.2 Default by Lessee. The follovAng shall be considered an act of default by Lessee
under this Lease:
6.2. 1 Failure by Lessee to make any payment due hereunder within fifteen ( 15)
calendar days after written notice of the past due payment is sent to Lessee,
Page 18 of 28
Food and Beverage Concession Lease 6-20-13
stoppage and equipment failures.
6.2.5 Failure to maintain and/or submit adequate records of its business and gross
receipts at the Airport, as required by sections 3,2.E or 3, °5 of this Lease.
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
Lessee's 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, flrm. or
corporation without the prior tten consent of the City which consent shall not be
unreasonably withheld,
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 consequmice-of su -- - -", 1; 1 , I;
"11C
with its operations under this Lease.
Page 19 of 28
Food and Beverage Concession Lemse 6-20-13
6.2. 10 Lessee fas to prvide services and/or products required to be provided under
this lease for any period which, in the reasonable opinion of the City, materially and
adversely affects the public interest at the Airport.,
6.2.11 Any lien is filed against the Premises because of any actor omission or Lessee
and such lien is not removed, enjoined or a bond for satisfaction of such lien is not
posted within thirty (30) days.
6.3.2 Without terminating this Lease, enter upon and take possession of the
Premises and expel or remove Lessee and any other person who may be occupying
the Premises, without being liable for prosecution or a" claim for damaUes therefore,
Page 20 of 28
FaW andBeverage Concession Lease 6-20-13
and re-let the Premises and receive rents therefrom. Lessee agrees to pay the City on
demand any deficiency that may arise by reason of such re-letting.
6.3.4 Demand that payment for any arnaunts due be made by certified check,
cashier's check or money order.
603,5 Draw upon the Performance and described in Section 3.4.5 herein in
satisfaction of any past-due amounts hereunder, to be drawn monthly on the last day
of each month after such termination, for a period of time not to exceed one year, or
until the Premises are re-let to a replacement tenant, whichever event occurs sooners
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.
Page 21 of 28
1f psi and Beverage Concussion Leasse 6-20-13
6.7 Damaae or Destruction of Premises.
6Tl 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, vAthin thirty (30) days thereof, to restore or rebuild the
Premises, in which case this Lease %krill be suspended until the Premises are restored or
rebuilt, and if applicable, a Certificate of Occupancy issued.
qloqna� il
ufea-� Irk I It 5US U I a I I Y at t L I it; I
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City approval, relocate the Premises or such part thereof or may remove the same
temporarily during such repair or remodeling,
6,73) Not %vithstandire any of the foregoing, in the event any darnage 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 oft fault or negligence of Lessee.
T2 Successors to City. The rights and obligations oft e City under this Lease may be
assigned by the City, at the option of the City, vAthout the necessity for the concurrence of
the Lessee in any such assignment.
VIH. OTHER AGRE EMENTS
8.1 Rules and ReLulations. Lessee agrees to observe and obey all laws, ordinances, rules
and regulations presently existing or hereafter promulgated %vith respect to Lessee's
Page 22 of 28
1 ood and Beverage Concession Lease 6-20-13
operations and use of the Airport and Premises. Nothing herein shall limit the right of Lessee
to challenge any rule or regulation, or the application of such rule or regulation to Lessee. A
current copy of which vAlI be kept on file in the Director's office and available to Lessee
during normal business hours.
8.2 Lease Subordinate.
8,2.1 The City shall be free, in the future, to renegotiate the Agreement on such
terrns and conditions as it deems appropriate and in the public interest, without any
terms of such renegotiated agreement.
8.12 This Lease 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 development of the Airport.
&5 Service Entrances. The City shall have no obligation to provide any special service
entrances, including those for utilities, other than those which presently exist in the Terminal,
8.6 1MRfg3&����
Page 23 of 28
Food and Beverage Concession Lease 6-20-13
8.6.2 Prior to any construction of improvements, Lessee shall submit to the Director
of Aviation certificates establishing coverage for workers compensation in the
amounts and form required by Texas law, together %krith all permits and licenses
required for construction of such improvements.
8.6.3 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.
8, 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.
8.8 BankrupLcy. Notwithstanding anything herein to the contrary, and the maximum
extent permitted by applicable law and applicable court orders, in the event that a petition for
relief under Title I I of the United States Code or under any similar or successor federal, state,
or local statute is filed by or against the Lessee (a "Filing7):
8.& 1 Lessee shall ive the City immediate written notice of the Filing; Lessee will
9
of the date of Filing; and Lessee%kill fully and timely perform all obligations arising
hereunder commencing as of the date of the Filing.
Page 24 or 28
Food and Beverage Concession Lease 6-20-13
any and all other statutory or legal requirements prior to the effective date of such
assumption.
8. 8.6 Lessee shall be deemed to have expressly consented to the modification ofthe
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.
8.9 Reservation of City's Rights. Not vAthstanding anything herein to the contrary, the
City reserves the following fights:
8.9.1 For the use and benefit of the public, the right of flight for the passage of
aira in ihe aii inaie abaie ihi urfac.
8,9.2 During time of war or national emergency, the fight to lease the Airport or any
part thereof, including the Premises or any part thereof, to the United States
Government ormili ary r ses and in heevent fsuchlea etotheUnited
8.9.3 The right to direct all activities of Lessee at the Airport in the event of an
emergency.
8.9.4 The right to grant other leases, licenses, its or rights to occupancy or use
of the Airport so long as such other grants do not unreasonably interfere with or
impair Lessee's fights hereunder or Lessee's occupancy or use ofthe 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
Page 25 of 28
Food and Beverage Concession Lease 6-20-13
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.
8.10.1 At the City's option, and providing that any such substitute Premises are not
less in square footage than the current Premises, this Lease shall apply to such
substitute Premises and Lessee agrees to conduct its operations therein pursuant to
this Lease
8.10.2 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
Page 26 of 28
Food and Beverage Concession Lease 6-20-13
9.1 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.
9.2 Time of Essence. Time is of the essence in this Lease.
I L I
bad faith,
9.5 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, This Lease does not in any way represent, nor should it be deemed to imply, any
person or entity not a party.
M Severabilltv. Any covenant, condition or provision herein contained that is held to b-4
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.
9.7 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.
9.9 Governina Law and Venue. This Lease shall be governed by and construed in
accordance vAth 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.
9.10 Entire Aureement. This Lease, together with its Exhibits, embodies the entire
Page 27 of 28
rood and Beverage Concession Lease 6-20-13
prior conversations, proposals, negotiations, understandings and agreements, whether written
or oral,
&
IN WITNESS WHEREOF, the parties have executed this Lease on the dates stated
below, effective as of the day and year first above written,
M
By:
Arrmm,ando Chaps
City Secretary
Food and Bevauge Concession Lea .w 6-20-13
MM
%ALY jvjaua&;,-&
IL7— I
1AAIL4, g 2013
CONCESSIONAIRE: Tailwind CRP, LLC
B :
Alan Giaquinto, President
Date: t 2013
28��
Page 1 of 1
Exhibit C to Tallwind Lease
EXHIBIT F
INSURANCE REQUMEMENTS
I. LESSEE'S L ABTLITY fNSURANCE
A. Lessee shall not commence business under this agreement until all insurance required herein has been
obtained and approved by the City's Risk Manager or designee.
B. Lessee shall furnish to the Risk Manager or designee two (2) copies of Certificates of Insurance, with
applicable policy endorsements showing the following minimum coverage by an insurance company(s)
acceptable to the Risk Manager or designee. The City must be named as an additional insured for the
General Liability policy, and a waiver of subrogation is required on all applicable policies,
TYPE OF INSURANCE
MINIMUM INSURANCE COVERAGE
30-Day Notice of Cancellation required on all
Bodily injury and property Damage
certificates or by policy endorsement(s)
Per Occurrence / aggregate
Commercial General Liability including:
$1,000,000 Per Occurrence
I. Broad Form
$2,000,000 Aggregate
2. Premises -- Operations
3. Products/ Completed Operations Hazard
4. Contractual Liability
5, Broad Form Property Damage
6. Independent Contractors
BUSINESS AUTOMOBILE LIABILITY
$1,000,000 Combined Single Limit
1, Owned
2. Hired & Non-owned
LIQUOR LIA13ILITY
$ 1, 000,000 Per Occurrence
WORKERS' COMPENSATION
WMCH COMPLIES WITH THE TEXAS WORKERS'
All States Endorsement if Lessee is not domiciled
COMPENSATION ACT AND PARAGRAPH 11 OF TFUS
In Texas.
EXHMIT.
EMPLOYER' S LIABILITY
$500,000 / $500,000 / $500,000
C. In the event of accidents of any kind related to this project, Lessee shall fumish the Risk Manager with
copies of all reports of such accidents within ten (10) days of the accident.
11. ADD IT I ONAL_RiJE �NT S
A. Lessee must obtain workers' compensation coverage through a licensed insurance company in
accordance with Texas law. The contract for coverage must be written on a policy and
EXHIBIT F
endorsements approved by the Texas Department of Insurance. The coverage provided must be in
amounts sufficient to assure that all workers' compensation obligations incurred will be promptly met.
B. Lessee's financial integrity is of interest to the City, therefore, 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- VIL
City of Corpus Christi
Attn: Risk Management
P.O. Box 9277
Corpus Christi, TX 78469-9277
(361) 8264555- Fax #
Workers' compensation and employers' liability policies will provide a waiver of subrogation in
favor of the City,- and
Provide thirty (30) calendar days advance written notice directly to City of any suspension,
cancellation, non-renewal or material change in coverage, and not less than ten (10) calendar days
advance written notice for nonpayment of premium.
E. Within five (5) calendar days of a suspension, cancellation, or non-renewal of coverage, Lessee
shall provide a replacement Certificate of Insurance and applicable endorsements to City. City
shall have the option to suspend Lessee's Lease Agreement should there be a lapse in coverage at
any time during this contract. Failure to provide and to maintain the required insurance shall
constitute a material breach of this contract.
r 3r I ff—I I 1 4. M
any insurance or policy endorsements to the extent and within the time herein required, the City
shall have the right to order Lessee to discontinue sales 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
operations 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.
It is understood and agreed that the insurance required is in addition to and separate from any
other obligation contained in this agreement.
2013 Insurance Requirements
Aviation Department
Food and Beverage Concessionaire RFP
4/1/2013 ds Risk Management