AGENDA MEMORANDUM

 

 

Meeting Date:           March 26, 2007

 

From:                          Charlie Weller, Airport Manager

 

Subject:                      Resolution authorizing a Lease Agreement with Lawton & Fischer, LLC for property at Leesburg International Airport

 

 

Staff Recommendation:

 

Staff recommends approval of the Lease Agreement for a second Fixed Base Operation at the Airport.

 

 

Analysis:

Leesburg International Airport currently has one Fixed Base Operator, Sunair Aviation, Inc.  Mr. Rhett Lawton and Mr. Neil Fischer have requested to establish a second Fixed Base Operation and propose to lease a vacant 6,000 square foot hangar owned by the City  atCity at 8701 Airport Boulevard.  The building is adjacent to the area where the terminal building will be constructed in approximately four to five years.  The initial lease term is for a four-year period.  After the four year period, it will continue on a month-to-month basis until the area is needed for the terminal building.

 

Salient points of the lease are as follows:

1.      The lease rate is $1,250.00 per month plus applicable taxes with adjustments every two years based on any increase in the Consumer Price Index (all Urban Consumers, U.S. City Average) published by the United States Department of Labor.

 

2.      A fuel flowage rate of $0.04 will be paid to the City of Leesburg on every gallon of fuel transferred.

 

3.      The leased area will be 107,178.944 square feet. The City expects to pave 62,498.472 square feet for use as General Aviation Ramp Space. This area will be contiguous to the existing ramp area that Sunair Aviation, Inc. now has under lease.  Other areas outlined in Exhibit A will be grass tie down area.

 

4.      Lessee will be responsible for making available approved storage tanks for Jet A/ AVGAS 100LL and fuel trucks to service customers.

 

5.      Construction plans will be submitted to the City for review and approval to renovate the hangar located at 8701 Airport Boulevard.

 

6.      Use of the area and building will be for Fixed Base Operations, fuel storage, fuel sales, flight instruction, aircraft rental, airframe and engine repairs, buying and selling aircraft, flight charter operations, aerial photography, rental cars and pilot supplies.

 

7.      Proper insurance as stipulated in the lease.

 

Construction will commence after the lease has been approved by the City Commission and construction plans approved by the City.

 

The Airport Advisory Board reviewed this Agreement and recommended it for approval at their March 21, 2007 meeting.

 

Options:

1.  Approve the Lease Agreement

2.  Such alternative action as the Commission may deem appropriate

 

Fiscal Impact

 

This lease agreement will generate rent revenue of $15,000 plus increases annually to the airport (revenue account 001-0000-362-0200).  The lease agreement also provides for the City to receive $0.04/gallon for every gallon of fuel sold.

 

Submission Date and Time:    3/21/2007 4:26 PM3/20/2007 3:04 PM____

 

Department: ___Airport_____________

Prepared by:  ___Charlie Weller______ _                     

Attachments:         Yes _X__   No _____

Advertised:   ____Not Required ______                     

Dates:   __________________________                     

Attorney Review :       Yes _X_  No ___

                                                

_________________________________           

Revised 6/10/04

 

Reviewed by: Dept. Head ________

 

Finance  Dept. __________________                                     

                              

Deputy C.M. ___________________                                                                         

Submitted by:

City Manager ________RS___________

 

Account No. _________________

 

Project No. ___________________

 

WF No. ______________________

 

Budget  ______________________

 

Available _____________________


 

RESOLUTION NO._______________

 

A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF LEESBURG, FLORIDA AUTHORIZING THE MAYOR AND CITY CLERK TO EXECUTE A LEASE AGREEMENT WITH LAWTON & FISCHER, LLC FOR PROPERTY AT LEESBURG INTERNATIONAL AIRPORT FOR A SECOND FIXED BASE OPERATION; 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 Lease Agreement with Lawton & Fischer, LLC whose address is 8701 Airport Boulevard, Leesburg, Florida 34788 for property at Leesburg International Airport.

 

             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 26th day of March 2007.

 

 

 

                                                                            __________________________

                                                                             Mayor

 

ATTEST:

 

 

__________________________

City Clerk