Staff recommends approval of the Memorandum of Understanding with the Civil Air Patrol, Inc. regarding the buildings and grounds at the Leesburg Regional Airport.
In 1979, the City of Leesburg entered into a lease agreement with the Civil Air Patrol (CAP) for the building and grounds at the Leesburg Regional Airport for use by the CAP Leesburg Squadron for CAP purposes. The current CAP building was constructed on the leasehold. Subsequently, the City executed three (3) amendments to the lease to extend the term and provide other modifications to the original document.
At the end of the lease term, the building will become the property of the City.
As a part of the lease agreement, CAP is responsible for the maintenance of the building and grounds within the leased area. In recent years the building and grounds have deterioriated, and the hurricanes of 2004 compounded the damage to the building. Neither the local squadron nor the Florida Wing has the necessary funds available to provide the routine maintenance or the major repairs necessary to return this structure to an acceptable condition.
It is our belief that without proper maintenance, the building will have little or no value to the City on the expiration of the lease term.
To insure that the building is properly maintained, and its value preseserved, the City has entered into negotiations with the CAP to obtain a voluntary termination of the lease agreement and the immediate transfer of title to the building to the City.
As consideration for the termination of the lease, CAP will be allowed to occupy, at no cost, a small portion of the building. This provides CAP with sufficient space to continue its operations.
The City will be able to use the CAP building for an airport office and, in additon, may provide space for meetings and other gatherings for airport users and their clients and customers.
1. Adopt the attached resolution; or
2. Such alternative action as the Commission may deem appropriate
The City will be responsible for utilities and the cost of maintenance upon approval of this agreement. These costs are difficult to determine at the moment. In Addition, Funds have been requested as a part of the Capital Budget for fiscal year 2006-07 in the amount of $100,000 to facilitate the repairs to the facility.
Prepared by: E.F. Smyth, ACM
Attachments: Yes X No ______
Advertised: ____Not Required X
Attorney Review : Yes X No ____
Reviewed by: Dept. Head ________
Finance Dept. __________________
Deputy C.M. ___________________
City Manager _______RS____________
Account No. _________________
Project No. ___________________
WF No. ______________________
A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF LEESBURG, FLORIDA AUTHORIZING THE MAYOR AND THE CITY CLERK TO EXECUTE A MEMORANDUM OF UNDERSTANDING WITH THE CIVIL AIR PATROL, INC. TO TERMINATE THE LEASE AND ALL AMENDMENTS, AND RETURNING POSSESSION AND CONTROL OF THE BUILDING AND GROUNDS TO THE CITY; AND PROVIDING AND 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 Memorandum of Understanding with Civil Air Patrol, Inc., a 501(c)(3) corporation and an auxiliary of the U.S. Air Force, whose address is 680 NE 215 St., Miami, Fl 33179, for termination of the lease agreement and all amendments for the building and property located at 8807 Airport Blvd, Leesburg, Florida 34788, as attached hereto.
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 __10th___ day of _July________ 2006.