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HomeMy WebLinkAboutResolution - 2018-R0285 - Amendment 2 To Lease Agreement With Lubbock Aero - 09.13.2018Resolution No. 201 8-IZ028S Item No. 6.16 ` September 13, 2018 BF IT R1�S0LVED 13Y TI II: CITY COUNCII. 01 1 1E CITY 0 F 1,U13BOCK: TI IAT the Mayor of the City oi-Lubbock is hereb), authorized and directed to execute for and on behalf ol' the City at' f_ILbbock, Amendment No. 2 to that certain Lease Agreement dated November 8, 2007 by WILI bem-'ecrn the City 01' [.ubbock and Abilene Aero. Inc. dlbla Lubbock Aero, in connection with certain real property at the Lubbock Preston Smith International Airport, and related documents. Said Amendment is attached hereto and incorporated in this resolution us if fully set forth herein and shall be included in the minutes of the City Council. PaSSell by the City Council on September 13, 2019 DANII•L M. PO1)1" MAY()R Rebi'Ca [iii3'"I.a, City Secret 1y — tl KcI I Campbell. Director o#' Aviation APPROVED AST - Z%1: TteI ,atterLvIii 714c -I;st ssistant City —At (-orney ccducs RHS.Amend ;? Agnnt-Abilcue )%cro, fnc- .Au"ust 8, 201 Y AMENDMENT #2 To LEASE AGREEMENT This Amendment #2 to Lease Agreement ("Amendment') is entered into on this, the 13th day of Semcmber , 2018 by and between the City of Lubbock, Texas, a Texas municipal corporation ("Lessor") and Abilene Aero, Inc. d/b/a Lubbock Aero ("Lessee"), collectively the "Parties". WHEREAS, Parties entered into a lease agreement (the "Lease") dated November 8, 2007 (Resolution No. 2007-R0517) in connection with certain real property described therein and located at the Lubbock Preston Smith International Airport (the "Premises") for an initial term of ten (10) years ending October 31, 2017; and WHEREAS, the Lessee exercised the first of four (4) additional five (5) year periods extending the Agreement to October 31, 2022; and WHEREAS, the Parties now desire to amend the Lease to extend the initial term of the Lease for an additional period of twenty (20) years, under the same terms and conditions of the Lease presently in force and effect; and WHEREAS, the Parties desire that, for the remaining term, the Lease be made subject to certain policies applicable to property leased at the Lubbock Preston Smith International Airport. NOW THEREFORE, the Parties hereto agree as follows: 1. Section 2.01 is amended to read as follows: "The initial term of this Agreement shall be for a period of thirty (30) years and shall begin on the 151 day of November, 2007 and terminate on October 31, 2037. Lessee shall have the option to extend this Agreement for three (3) additional five (5) year periods. Such option must be exercised in writing, thirty (30) days prior to expiration date of original term or expiration of first or second five (5) year option whichever applies. Prior to expiration of the last renewal term of this Lease, Lessor and Lessee shall engage in good faith negotiations to renew and extend this Lease." 2. The first two lines of the text of Section 3.01 are amended to read as follows: "In consideration of the rights and privileges herein granted as singularly related to its use and enjoyment of Leased Premises, Lessee shall pay to the Lessor the following:" 3. Section 3.01 of the Lease is amended by adding a new paragraph (F) to read as follows: "(F) Notwithstanding anything in this Agreement to the contrary, the provisions of 3.01(C) shall continue in effect for the benefit of Lessee through January 31, 2020 however beginning February 1, 2020, Lessee understands and acknowledges that Fuel flowage fees, which pertain to commercial activities rather than the lease of property, may be assessed on a nondiscriminatory basis in accordance with Airport's rates and charges schedules, as approved by the Lubbock City Council. No later than sixty (BQ) days prior to the end of each calendar year, Lessor shall notify Lessee in writing of any changes in such fees and the methodology of determining such fees." 4. Section 3.01 of the Lease is amended by adding a new paragraph (G) to read as follows: "(G) Notwithstanding anything in this Agreement to the contrary, for any term beyond the initial term, rentals and fees for Ground Rentals and Building Rentals hereunder shall be subject to, and determined in accordance with, the Lubbock Preston Smith International Airport Policy on Rents and Rates, as may be amended from time to time. Any such rentals and fees shall be reasonable and shall be applied on a non- discriminatory basis." 5. All other terms, conditions, and provisions of the Lease as heretofore amended and amended hereby, are ratified and approved and shall continue in full force and effect for all purposes. LESSOR LES E DANIEL M. POPE, Mayor Liecutive chard Casler Vice -President Attest: Reb t cca Garza, City Secrets ry APPROVED AS TO CONTENT: Kelly Campbell, Dire tar of Aviation APPRO,YfD AS TO FORM: istant City Attorney CERTIFICATE OF INTERESTED PARTIES FORM 1295 1 of 1 Complete Nos. 1- a and 6 if there we interested parties OFFICE USE ONLY Comptele Nos. 1, 2, 3, 5, and 5 sf there are no inieresterl �xtrties- CERTIFICATION OF FILING Certificate Number. 1 Name of lusiness entity filing form, and the city, ,title irnd country cS the business entity'a place- of haiainP%s. ?t11 i± rl{ d1E;;rr1 L uhback Aero Lubbock, TX Untied states h,ur Filcal: 2 Name of governmental entity or state agency that is a party to the rontract for which the form is being filed. City of Lubbock Date Acknowledged: 3 Provid& the identificntinn number tisrcd by the governm<,rital entliv or state agency to track ur identify deticFlplion or OTT services, goods. or other ptoperly to he provitlnd under the contract_ they conif,ict, and piovide d 8203 Lease amendment i Name of Interested Party City, State. Country (place of business) Nalrlfe of mtere5t (chock applicable) Controlling I Intermediary C1dVJDTd, Jrie Abilene, TX United States 7i Ir•r. R rl:,-1ffi Lubbock, TX United States X 5 Check only if there is NO Interested Party, 5 UNSWORN Ot-E-{CLARATLON — My namo ss ' ` t'- r f t,/� �� .and my dale of both My riddress f _ � f � &] ■ Sr �ii/}r�r I/ 1 oam) t dedafC tlrttief Pefid[}' of perjt r thTf the f0r09" is true and coned. ExecuMd in l o ?,,,7 County. Stale of on the r� I �� Z —yqA jZlp Cody) {wunuy) _day of — 2016 Ir+swtth) tyaw1 F iF[Pri .o.�,�l