Staff recommends approval of the second lease amendment for the Villages Equipment Company at 32734 Echo Drive.
The Villages presently leases two hanger facilities at the Leesburg International Airport, one located at 32734 Echo Drive and one located at 32738 Echo Drive. The Villages Equipment Company (formerly d.b.a. Villages Travel Company, Inc.) has previously submitted an application to the City for a building permit to install one 12,000 gallon fuel storage tank, together with associated fuel dispensing equipment, on the leased property located at 32734 Echo Drive. As currently written, both of the company’s leases prohibit the storage of fuel onsite excepting what is stored within an aircraft. Commission approval of the attached amendment will also result in the lease for 32734 Echo Drive mirroring the one held by the company for the adjoining property which permits maintenance to be performed on company aircraft, an activity that is presently prohibited from occurring on the property located at 32734 Echo Drive.
A policy has been prepared by the City Attorney and submitted to the City Commission which would allow any airport tenant, upon meeting certain minimum standards, to permanently install and operate their own fuel storage and dispensing equipment separate and apart from that which is presently owned by the City of Leesburg. Passage of the ordinance by the City Commission adopting this policy will not negate the need for the company’s lease agreements to be amended. For this reason the City Attorney has prepared that attached amendment for the Commission’s consideration and approval.
Both the fuel storage policy and the Villages Equipment Company’s lease amendments were discussed by City staff with the Airport Advisory Board at the AAB’s July 14, 2010 meeting. The AAB elected to table taking any action on these items until the Board’s September 8, 2010 meeting. Following further discussion at the September 8th meeting, the AAB voted 3 to 0 to recommend to the City Commission that the Villages Equipment Company’s lease amendment be approved with the addition of language mirroring the text that is included in Section 5 of the fuel storage and dispensing policy. The accompanying document has the inserted text indicated in redline for easier identification.
In summation, the adoption of the prepared amendment for the leases pertaining to 32734 and 32738 Echo Drive will enable the company’s employees to undertake fueling operations at either of its two leased properties, assuming that the minimum standards outlined in the City’s Fuel Storage and Dispensing Policy are met.
1. Approve the second lease amendment as submitted.
2. Such alternative action as the Commission may deem appropriate
Under the City’s fuel storage and dispensing policy, the tenant is still liable for all fuel flowage fees owed to the City.
Prepared by: ______________________
Attachments: Yes____ No ______
Advertised: ____Not Required ______
Attorney Review : Yes___ No ____
Reviewed by: Dept. Head ________
Finance Dept. _____JB___________
Deputy C.M. ___________________
City Manager ___________________
Account No. _________________
Project No. ___________________
WF No. ______________________
A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF LEESBURG, FLORIDA, AUTHORIZING THE MAYOR AND CITY CLERK TO EXECUTE AN AMENDMENT TO A LEASE AGREEMENT ISSUED TO THE VILLAGES EQUIPMENT COMPANY, FOR 32734 ECHO DRIVE, LEESBURG, FLORIDA AT THE LEESBURG INTERNATIONAL AIRPORT; AND PROVIDING AN EFFECTIVE DATE.
BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY OF LEESBURG, FLORIDA:
THAT the Mayor and City Clerk are hereby authorized to execute a second amendment to the leases held by the Villages Equipment Company (formerly d.b.a. Villages Travel Company, Inc.) whose address is 1020 Lake Sumter Landing, The Villages, Fl 32162, allowing as an approved use upon the leased property the installation of certain fuel storage and fuel dispensing equipment as outlined within the accompanying amendment.
THAT this resolution shall become effective immediately.
PASSED AND ADOPTED by the City Commission of the City of Leesburg, Florida, at a regular meeting held the _27th____ day of __September_______ 2010.