HomeMy WebLinkAboutResolution No. 2007-06 (2)SUBSTITUTE
Suggested by: Administration
CITY OF KENAI
RESOLUTYON NO. 2007-06
A RESOLUTION OF THE COUNCIL OF THE CITY OF KENAI, ALASKA, APPROVING
THE LEASE FORM FOR LEASES OF AIRPORT RESERVE PROPERTY
WHEREAS, the Kenai Municipal Airport is the owner and lessor of a significant
amount of property within the City of Kenai; and,
WHEREAS, the City of Kenai has undergone as supplemental planning assessment in
order to update airport operations including: planning, finances, accounting,
management and leasing; and,
WHEREAS, as part of the supplement planning process the Airort Reserve was
created; and,
WHEREAS, the procedures for the leasing of airport reserve lands is contained in KMC
21.10; and,
WHEREAS, KMC 21.10.150(a)(3) states the airport reserve lease form should be
approved by the city council by resolution.
NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF KENAI,
ALASKA, that the airport reserve lease form as shown on Attachment A is hereby
approved by the City Council.
PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, this 16th day of May,
2007.
PAT PORTER, MAYOR
ATTEST:
Carol L. Freas, City Clerk
~~
t~reu~of'~
KENA~ SKA
"I/c'fla9e wit~i a Past, Gc'ty witti a Fr~tus~e"
210 Fidalgo Avenue, Kenai, Alaska 99611-7794
Telephone: (907) 283-7535 /Fax: (907) 283-3014
www.oi.kenai.ak.us
EM®R~4DUM
TO: Mayor Porter and the Kenai City Council
FROM: C~ Cary R. Graves, City Attorney
DATF,: Apri126, 2007
RE: Airport Reserve Lease Form Comments
During the Apri14, 2007 Council meeting there were eight questions/comments generated
regarding the draft Airport Lease Form .See Page 8 of the unapproved minutes of the Apri14,
2007 meeting. Here is how the administration has addressed the commentslquestions.
The phrase "the City" was added between the words "hold" and "harmless" in line two of
Article IX.B.
2. Reimbursement for city constructed improvements under Article XV was added to the
"Additional Rent" subsection in Article N.C.4:
3. Marilyn Kebschull researched whether salvage yards were allowed in the airport reserve.
Under the zoning code a salvage yard could be allowed by a conditional use permit under
KMC 14.20.050(h). The wording in Article ILC.3 was changedto read that "The outside
storage on the Premises of junk, salvage aircraft or vehicle parts, non-operational support
equipment, unused or damaged equipment or material or solid waste or debris unless
allowed by a conditional use permit issued under KMC 14.20" is prohibited.
4. KEDS had a concern about amortizing the investment of a lease extension. Ordinance
2230-2007 amending KMC Z 1.10.090 is in the packet for introduction during the May 2,
2007 meeting.
5. KPDS also had a concern about a lessee being able to negotiate the contractual right to a
lease extension. Ordinance No. 2227-2007 addresses that concern. It will be up for a
public hearing during the May 2, 2007 meeting.
6. There was a comment that "Article XIV(c)" was omitted from the Form. It has been
fixed.
7. The phrase "boundary line" was changed to "lot line" in Article XIV.B.7.
8. The notice of construction threshold was changed from $500.00 to $1,000.00 in Article
XIV.F.
Please feel free to let me know of any other comments or questions you may have.
KENAI MUNICIPAL AIRPORT
LEASE OF AIRPORT RESERVE LANDS
THIS LEASE AGREEMENT entered
and between the CITY OF KEI~lAI, ("City") ;
and individually, ("Lessee")
Fox the purposes of this Lease the
1. Airport -the Kenai Municipal Airpo~
lanes, water taxiways, and all City-owned re
Reserve as defined in KMC 21.05.010-020.
2. Airport Manager -the official
authority and responsibility of manag_
Manager" includes that person's authi
of
3. City -the City of Kenai, Alaska, a h rrl~
4. City Manager -the official t whom th
responsibility of managing and dir ctin all aeti
5. Contamination -the
6. Environmental Law -any
ordinance, code, permit, order, d¢
enviromnental matters, including
7. FAA -the
8. Hazardous Substance -fin
hazardous waste, Hazardous Sub.
petroleum, petroleum product, or
9. KMC -the abbreviation for
10. Permanent Improvement - a fixed a di
ATTACHMENT A
LEASE OF AIRPORT LANDS
Page 7 of 31
s are aenn
;
1 ~ludiug all
s to lwcate
the vitv~a~
day of , 200_, by
Avenue, Kenai, Alaska 99611-7794,
ss is
follows:
;, taxiways, aprons, water
boundaries of the Airport
the City has delegated. the
of the Airport. "Airport
of Alaska.
has delegated the
City.
Hazardous Substance.
statute, law, regulation,
ental entity relating to
under an Environmental Law as
toxic, pollutant, contaminant,
Code.
to land that is not temporary or
City: -----
Lessee: -
portable, including a building, building addition, gravel fill, paving, retaining wall, storage tank,
and well.
A. PREMISES: In consideration of Lease <.
the covenants of this Lease, the City leases tot e
the following described property ("Premises") in
District, State of Alaska and Located on the A,~rpc
B. NO WARRANTY: Except as may e prr
warranties, expressed or implied, concerni g the
soils, wetlands, access, and suitability or pr stab
this Lease, its environmental condition, or the ri
on, and under the surface. The Lessee takes the
warranty, subject to any and all of the covenants,
to the Premises. /~
I
x of the rents and performance of all
and the Lessee leases from the City,
si Recording Dish7ct, Third Judicial
:d in is ease; the City makes no specific
lition o th Premises including, survey,
for any u, e i eluding those authorized by
or absen o Hazardous Substances in,
is on an "a is' basis and without
is, ,d conditio ?affecting the City's title
A. AUTHORIZED USES
1. USE OF 1
following
City
to use the Premises for the
2. CONTINUOUS OP~
the Lessee will operate
uninterrupted by any I
days within any 12-mi
the City writte no ' e
more than 10 nsecu
and the date o which
not apply to an ergo
as a result of an a oAr
Airport or loss of th l
disaster or order of pu
Unl s t Bey approves otherwise in writing,
siri ss on t emises on a continuous basis,
if c sure ov consecutive days or 30 aggregate
riod o he ter ~f this lease. The Lessee will give
clo ing e Les'ee's business on the Premises for
~ not e must state the reason for the closure
>se w I -op n for business. This provision does
g wh' h se ~~ssee is unable to operate its business
~~e~~ oft ~ty, or as a result. of a closure of the
s`buildin s o the Premises due to fire or natural
LEASE OF AIRPORT LANDS
Page 2 of 31
City:
Lessee:
B.
C
RIGHTS RESERVED TO THE CITY.
1. RIGHT TO GRANT TO OTI-IERS: The City reserves the right to grant to others
any rights and privileges not specr ally granted to the Lessee on an exclusive
basis. The rights and privileges gr t to the Lessee in this Lease are the only
rights and privileges granted to e Les e by this Lease.
2. EASEMENTS; The City reserv s the r' ht to make grants to third parties or
reserve to the City easements or rr hts o ay through, on, or above the Premises.
The City will not grant or rese ve an e ent or right of way that unreasonably
interferes with the Lessee's ay~at prized us o the Premises.
3. INGRESS, EGRESS AND )
to and egress from the Prerru es
including buildings, for the pu
time. Except in the case of an e
testing will be coordinated with
Lessee's authorized uses/bf the
4. RIGHT OF FLIGHT: T re i
assigns, for the use and be f
aircraft in the airspace above
flight will include the right to
operation of any airc ft used
lauding at, taking of fro , or
PION: e ~ty reserves the right of ingress
the right to nt r any part of the Premises,
~ectioh r vironmental testing at any
~~11""c all inspe io ~S and environmental
.,
P~~~eefin minimi ,SnTeYferenCe Witn ule
~ed to the City, its successors and
a fight of flight for the passage of
e emises. This public right of
-s c any noise inherent in the
or ~ t through the airspace or
PROHIBITED USES
Unless specifically authorized by
prohibited:
I. Any use of the
2. Any use of
regulation.
is
this Lease, the following are
in this Lease.
3. .The outside storage
operational support e
solid waste or debris
KMC 14.20.
ATTACHMENT A
LEASE OF AIRPORT LA DS
I age 3 of 31
a City Ordinance or an Airport
o u k, salvage aircraft or vehicle parts, nois-
ed ;damaged equipment or material, or
pursuant to a conditional use permit under
city:
Less e:
4. The disposal on the Premises or the Airport of waste materials generated by the
Lessee, including any Hazardous Substance, slash, overburden, and construction
waste.
5. The stripping, wasting, or removi g y natural material from the Premises
without the prior written approv of th City.
6. Erecting structures or allowing ~c
obstruction to air navigation, or ajy
interfere with or be a hazard t the
navigation or communication f~il
natural objects that would constitute an
ly activity on the Premises that would
~ ~ ircraft, or interfere with air
Zvi the Airport.
7. Any use or activity that is
by applib~bl~ law or regulation.
TERM &
A. TER.~i: The term of this Lease
to the _day of , 200_
the day of , 200
B. HOLDOVER: If the Lessee holds
the expiration, cancellation or termination o.
extension of the term of this Lease, but only
rent payments accepted by the City. he Le:
will continue during the month-to- on ter
Lessee's holdover with ten (10) d s' ad n
A. RENT: The rent for the Pret
City pursuant KMC 21.10.100 an
applicable sales tax. The rent hall 1
the term of this Lease. All p men
annual rent exceeds $2,400, th Les
rent in equal monthly instafimen ,
term of this Lease and thereafter at
from annual to monthly shall result
had the conversion not taken place.
ATTACHMENTA
LEASE OF AIRPORT LANDS
Page 4 of 31
i possession of the Premises after
ro ing over will not operate as an
-n nth tenancy, regardless of any
fo 'performance under this Lease
or Lessee may terminate the
per year, as established by the
it nder Article V of this Lease, plus
advance of the first day of each year of
nmst be made in U.S. dollars. If the
otice to the City, choose to pay the
or before the anniversary date of the
conversion of the payment schedule
ss rent than it would have received
City:
Lessee:
13. RENT PRORATED: Rental foe any period less than one (1) year shall be prorated on the
basis of the rent payable under this Lease in the last full year previous to the prorating.
C. ADDITIONAL RENT: In addition to
agrees to pay to the appropriate parties all lev
specified in (A} of this Article, Lessee
sments, and charges as follows:
1. Taxes pertaiiung to the
2. Sales tax now enforced or levied
monthly installments whether
or aimual basis.
3. All taxes and assessments le
legal owner of record of the
4. Reimbursement for City
D. PAYMENTS: The Lessee shall
payable to the City of Kenai and delive
Fidalgo Avenue, Kenai, Alaska 99611-
writing to the Lessee.
E. INTEREST: Beginning the day after
required under this Lease will accru interest
Interest on disputed amounts will t b chat
Lessee's favor.
F. LATE PAYMENT PENAL
of this Article, each time the Lessee
the City will charge, and the Lessee
of the amount due and unpaid.
G. COtiRTESY BILLII
City is provided only as a cc
regardless of whether or not
I-L LIEN AGAINST LESSEE:
and unpaid at the expiration, termir
Lessee's property, real or personal.
I. PAYMENT OF CITY'S COSTS:
A1'TACHMEN'P A
LEASE OF AIRPORT LANDS
Page 5 of 31
of the Lessee.
computed upon rent payable in
rent under this Lease on a monthly
City, as if Lessee was the
Article XV.
hec , ba < drafts, or postal money orders
nts to it t of Kenai, Fhlance Department, 210
any oth a ress the City may designate in
due, ll paid rents, charges, and fees
~f eigh ,`icent (8.0%) per annum.
~c~see if he dispute is resolved in the
ion t any~iin'6 t payable under Provision (E.)
any re o fee'by the date required in this Lease,
admini tra 've penalty of ten percent (10.0%)
any billing statement issued by the
to pay all rents and fees when due,
ement from the City.
or other consideration which is due
of this Lease will be a lien against the
will pay all reasonable actual expenses.
City:
Lessee:
costs, and attorney fees City may incur, with or without formal action, to enforce, defend, or
protect this Lease or City's rights under this Lease, including any expense incurred with respect
to environmental compliance, bankruptcy or any proceeding that involves the Lessee, the Lease,
the Premises, or hnprovements or personal prope on the Premises. The Lessee will make
payment within 30 days of the date of each notie fr m City of any amounts payable under this
provision.
J. PAYMENT ROR SPECIAL SERVICE :Les ' e agrees to pay the City a reasonable fee
for any special services or facilities the City agre t e orm, which the City is not otherwise
obligated by this Lease to provide and which~he L "e re uests from the City in writing.
A TI LE V
ADJUSTMEN OF ~ NT A ES
i'
A. RENT OR FEE ADJUSTMENT: Bep'nn~ 1g ' 2007 an , th eafter, at intervals of
approximately five (5) years, the City shall, in r s ~scretion, a ~u, the rent or a fee payable
by the Lessee under Article IV or other provision f this 1 ,ase. The 'count to whie`n the City
increases or decreases any rent or fee s11 be estab 'shed n accordance with KMC 21.10.100
and 21.10.160. Any rent change by th Ci shall be as on the fair market value of:
I . The Premises in its conditi
the case of a lease renewal
plus
term hegl ning date stated in Article III or in
ion, the eg' ning date for the original lease;
2. Any improvements~adl~by the
not reimbursed by t e Les e.
No rent or fee change shall'
notice to the Lessee. If the Lessee b.
the Premises, the Lessee may appeal
B. CITY-CONSTRUCT I
or in connection with, the Pre is~
of establishing the rent under a) ~
reimburses the City for the Cit 's
A. INVALID WITHOUT CITY'S
a security interest in, by grant or impli~
ATTACHMENT A
LEASE OP AIRPORT LANDS
Page 6 of 31
that date_ the cost of which is
until d 's~er the date of the City's written
`~, any ch ~ d rent exceeds the fair market rent for
~~nee tote itv under KMC 21.10.160.
~"wements constructed by the City on,
apart of the Premises for The purpose
;e, as a condition of this lease,
nt to KMC 21.10.110.
The Lessee may not assign, sublet, or grant
ale or any part of this Lease, the Premises,
Ciry:
Lessee:
or any improvement on the Premises without the written. consent of the City. Any proposed
assignment, sublease, or security interest must be written and must be submitted to the City
bearing the original, notarized signature of ail parties. The Lessee may submit unsigned draft
documents for the City's conceptual review. Ho vex, the City's conceptual approval of a draft
document may not be construed as the City's cot set to any assignment, sublease, or security
interest. All provisions in this Lease extend to rd bi the assignees and sublessees of the
Lessee.
B. NO WAIVER OF Cn?~'SENT: The
security interest will not waive the requiren
other assignment, sublease, or security inter
to one assignment, sublease, or
fee to obtain the City's consent to any
C. ASSIGNEE /LESSEE OBLIGATI NS:
that the assignee accepts responsibility for 1 of
Lease, including environmental liability and spy
specifically releases the Lessee in writing, the '~
performing any obligation under this lease which
D. OCCUPANCY BEFORE CIT
the Premises before the City consents
E. CONFLICT OF PROVISIONS: In
assignment or a sublease, the terms of this
F. LESSEE NOT RELIF.,VED~OP~QBLIG
does not relieve or otherwise alter he Lel ~ee's
en ust include a provision stating
s Le sees) obligations under this
Io ve unless the Citq
the L s responsible for
fails to rform.
or sublessee may not occupy
e in writing.
of a cdnfllct between this Lease and an
?y's consent to any sublease
this Lease.
G. SF,CURITY AS
Subject to the requiren
security interest in this
mortgage, deed of s
of this 'cle VI, the Lessee may assign a
cunty ?erest may be in the form of a
t o then ppropriate instrument, provided:
a. the
b. the se
to the
c. the documents
City.
ATTACHMENT A
LEASE OF AIRPORT LANDS
Page 7 of 31
Lessee's leasehold interest;
to or create any interest in City's title
the security interest are acceptable to the
City:
Lessee:
2. If the assignment of a security interest to which the City has consented shall be
held by an established lending or financial institution, including a bank, an
established insurance company and qualified pension or profit sharing trust, and
the lending institution acquires th essee's interest in this Lease as a result of a
foreclosure action or other remed o he secured party, or through any transfer ill
lieu of foreclosure, or through se leme t of or arisnlg out of any pending or
contemplated foreclosure action the le ~ ing institution may transfer its interest in
this Lease to a nominee or a wh ly o ° ed subsidiary corporation with the prior
written consent of the City, provi d, e ansferee assumes all of the covenants
and conditions required to be erfor ~` by 'he Lessee (including payment of any
monies owed by Lessee to th 'ty under e ease). In the event of such a
transfer, the lending instituti n sh ll be reli e of any further liability under this
Lessee.
i
3. A holder of a security interest t ~~'s ase conse to to by the City shall have,
and be subrogated to, any and ai ri s ~ the Lesse th respect to the curing of
any default of this Lease by Lesse
s
4. If, before any default ha oc urred in t e 't ase, the holder of a security interest in
this Lease consented to b the ity give th City a written notice of the holder's
post office address, the Cit shal hereafte
a. by regular U.S. mail, s o t holde a c py of each notice of default at
the same time s the Cit g s n tice o ~ .vault to the Lessee; and
b not accept a y Burr der or n er into ny modification of this Lease
without the rior i en con nt of r e Ider, which the holder shall not
unreasonabl defy r ithhol F1r`
5. The City will enter into n le'se of the r miles with the holder of a security
interest consented to by th City, i e CitS t "urinates this Lease prior to its
normal expirati n e to a tau r by e Les lee. The new lease shall be for the
remainder oft e term f this a d s all be effective as of the termination of
this Lease. T City's g nt of e e lea shall be subject to the following
conditions: f'
a. the new leas s Il e fectiv on~the date this Lease is terminated;
r
b. the new lease sh 11 r e same rent, additional rent, and covenants as
this Lease;
ATTACHMENI'A
LEASE OF AIRPORT LANDS
Page 8 of 31
c~fy:
Lessee:
c. By no later than the twentieth (20"') day following the termination of this
Lease, the security holder must submit a written request to the City for the
new lease, together with payment of all rent, additional rent and other
sums then due to the City t}?~der this Lease.
d. The security holder shall
delivery of such new lea:
those which would at they
under this Lease but for <.
reasonable expenses,i~~c
shall have been subieGte~
e. The security holder
perform all the othe
extent the Lessee fa
Lease.
6. A holder of a security in es1
this Lease or enters into n
obligations and liabilities f t
its leasehold estate to an as i€
qualified to undertake to per
new lease and the City conse~
unreasonably withhe . If the
withholding its cons nt a p
arbitration.
lay to he City, at the time of the execution and
any d all sums due thereunder in addition to
ime o the execution and delivery thereof be due
z t rm' ation, and in addition thereto, any
rdi ~~ a and attorneys' fees, to which the City
by reaso o such default.
or before he xecution of the new Lease,
ins of the ss e under this Lease to the
rform them p 'or o the termination of this
;onset ed tq~by the City that takes possession of
lease w' h t e City shall not be released from the
Lease o th new lease unless the holder assigns
~e who is i an tally capable and otherwise
• ar obser th conditions of this Lease or the
the sign nt. The City's consent will not be
e u ' h der ass ~ that the City is unreasonably
~p e ssi ment, the dispute shall be resolved by
UTILITIES
A.
MAINTF,NANCE
1. At no cost to t e City,
the Premises ean, neat
the Premises and all improvements on
treasonably determined by the City.
2. At no cost to the ~ity
the Premises as ma
Lease and the Lessee
3. The Lessee shall comply
promulgated for the pron
wi p vide for all maintenance and services at
to it • ate the Lessee's compliance with this
or ordinances of the City that are
At no cost to the City, the Lessee
ATTACHMENT A
LEASE OF AIRPORT LANDS City:
Page 9 of 31 Lessee:
shall keep the Premises in a clean and sanitary condition, and control activities on
the Premises to prevent the pollution of water.
4. The Lessee agrees to comply
Airport Manager regarding n
of the Airport by the Lessee.
B. SNOW RF,MOVAL
1. At no cost to the City, the Les ee is
Premises. The Lessee shall d's ose
in writing by the City or pro ide
the Premises in accordance ith al
request of the Airport Mana r, t ,`
the Premises to the Manager f r 9
the Airport Manager, the Lessee h
Premises in accordance with the a
2. Lessee shall not deposit no on an
maneuvering surface pro 'de or c
approval of the Airport Ma alter.
3. Lessee agrees to not allow an ~
cause interference wijli adjoini
C. UTILITIES. Unless speei cally p o~
cost to the City, provide for all of ities t th
the Premises.
A. OPERATIONS ON T~1
employees, guests, contractors,
authorized under this Lease shs
protection of public health and
the Premises.
decisions and directions of the City's
ice and operation of the Airport, and the use
r.~s n •ble for snow removal on the
of sn w r an off-Premises location approved
table sn w torage within the boundaries of
applicabl fe ral and state laws. At the
Lessee shal su it a snow removal plan for
ie~Upon ap ro al of the Lessee's plan by
co duct all s w emoval operations on the
may, safety area, or other aircraft-
by others without the prior written
on the Premises that would
er users of the Airport.
this Lease, the Lessee shall, at no
~y to facilitate the Lessee's use of
VIII
.T: e e ee ..ill ensure that the Lessee, its
and v rs ~t perform any activity or fimction
a anne th ensures the safety of people, the
i~ne t, and e , afety and integrity of the Airport and
ATTACHMENT A
LEASE OF AIRPORT LANDS
Page 10 of 31
c;ty:
Lessee:
B. LESSEE'S CONTROL AND RESPONSIBILITY
1. The Lessee will assume full control and sole responsibility as between Lessee and
City for the activities of the Lesse ,the Lessee's personnel and employees, and
anyone else acting by, on behalf , o under the authority of the Lessee on the
Airport, including the Premises.
2. The Lessee will immediately no 'fy the ~ ity of any condition, problem,
malfunction or other occurrence t t re ens the safety of people or the Airport,
harm to public health or the ei},viron 'r o the safety or integrity of the
Premises. ~~ ,
C. RADIO 1NTBRFERENCE: The L see pill discontr ue he use of any machine or
device that interferes with any government- er ~~ed transmitte r ewer, or navigation aid until
the cause of the interference is eliminated. n
D. WILDLIFE: The Lessee acknowledges t t a con ,entration by irds or other wildlife on
an airport constitutes a significaist bazar to aircrall per 'ions. The Lessee agrees to keep the
Premises clean of fish slime, fish waste or ny other at ~ ial that might attract birds or other
wildlife. 1"he Lessee accepts full respon ibih to main in he Premises, control operations, and
take all reasonable measures to prevent a nee ration o bii s or other wildlife on the Premises.
E. PARKING: The Lessee will provide d ua vehicl e ipment, and aircraft parking
space on the Premises for Lessee's b smess or c ' 'tie or con i ,'e parking w such other places
on the Airport as may be approved r~ ignate 'n itin by thel Airport Manager.
d
ICLE F
~
ENVI + ISI'ONS
ALP O
A. HAZARDOUS SUBSTANCE ,r
1. The Lessee wi cond tit bu ' ne nd operation on the Premises in
compliance w' h all envi omnen 1 an ,,permits. If hazardous substances are
handled on the e ~ s , t e L ess e a re x~o have properly trained personnel and
adequate procedu s r fe stori ispensing, and otherwise handling
Hazardous Substan s i a o ante it ,all applicable federal, state and local
laws. ,`
2. Lessee will promptly give he C ty otice of proceeding to abate or settle matters
relating to the presence of a rdo s Substance on the Premises or from
ATTACHMENT A
LEASE OF AI ORT LANDS
Page 1 I of i 1
City: ___
Lessee:
Lessee's operations on the Airport. The Lessee will allow the City to participate
in any such proceedings.
B. ENVIRONMENTAL INDENINIFICA
If Contamination of the Premises or other prop
Lessee's operations on the Premises the Lessee
harmless from any and all claims, judgments, ~
losses, including, but not limited to, sums paid
fees, and expert fees, which arise during or a ~
Contamination. This indemnification of the i
incurred in connection with any investigatio c
removal, or restorative work required by f~
because of a Hazardous Substance being pr e
or other properties affected by the Contamina '
ty by Hazardous Substance occurs from the
vill in ~emnify, defend, and hold the City
:Wage ~ penalties, fines, costs, liabilities, or
i ett er nt of claims, attorney's fees, consultant
th e this Lease as a result of such
by Less e i eludes, but is not limited to, costs
ite condi 'on or any cleanup, remediation,
al, state, o to l governmental agency
'n the soil or or dwater or under the Premises
C. REMEDiA 110N
1. In the event of a Hazard us
immediately notify the C y
Conversation and act, pro
any damage, absorb and ele
condition satisfactory to the
portions of any envir~unen
>stanee i ' on The Premises, the Lessee will
the Ala a epartment of Envh~onmental
its sole x nse, to contain the spill, repair,
tYa spill ar id restore the Premises to a
y d herwis co ply with the applicable
2. In addition to any tice
notify and copy th City
the Lessee will immediately
A. Any permit, e or
er eri ,clean ien; removal or other governmental or
.
regulatory actin m tut ', ,comp to , or threatened pursuant Yo an
Enviromnental La .
E. Any cia m de or t eat Wed any person against the Lessee or arising
from t Lesse 's ope ti ant rized by this Lease, relating to damage,
contri lion, co ensat n, o rjury resulting, from, or claimed to
or '
result fr a dons u t fi
~s m, on, or under the Airport; or
C. Any repo m e r on b a o£ the Lessee to any environmental
agency arisi t o in con e c ion with any I-Iazardous Substances in,
on, or remove fr e remis ~'' including any complaints, notices,
warnings, or ass e v la~ions.
3. Remediation and restoratiorl~o'`the contaminated area must meet all applicable
A'T'PACHMEN'l A °
LHASE OR AIRPORT LANDS ~~ City:
Page 12 of 31 , Lessee:
state and federal regulations and must meet the requirements of all governing
regulatory authorities.
D. ENVIRONMENTAL AUDIT
The Lessee will provide the City with all inve:
information gathered or analyzed as part of or
characterization or audit on the Premises or the
performed after the starting date of this Lease.
information to the City within 60 days follow
Lessee.
E. RELEASE OF LESSEE
The City releases the Lessee from liability to'K
Hazardous Substances that existed prior to the
materially contributed to by the Lessee.
SURVIVAL OF OBLIGA
The obligations and duties of the City anc
cancellation, termination or expiration of
A. INDEMNIFICATION
The Lessee will index
agents, and employee
administrative cti
injunctive reli or pc
obligation for roper
or grant agreem f,
any acts or comm si
customers, invitees
premises demised or
This indemnification
settlement of claims,
expenses, directly or
y ve
~~
ro and
ta, test results, reports ,and any other
to any Environmental Assessment,
cat Lessee performs or causes to be
will submit the data, result, report or
which it becomes available to the
and the presence of
s lease unless caused or
under ~tic~le IX of this lease shall survive the
rarmless a defend the City, its officers,
cg 'nstan ~`d all liabilities, losses, suits,
yards, 'udg ants, fines, demands, damages,
afar or kind to the full extent of the loss or
er o 1 in;~ury, death, violation of any regulation
c 'ur o m resulting from or arising out of
ssi n the Lessee, his agents, employees,
oft L ssee's occupation or use of the
anted, ~ d to pay all costs connected therewith.
~ the Lessee shall include sums paid in
s, consultant fees, expert fees, or other costs and
isin. from, connected to or on account of this
ATTACHMENT A ~
LEASE OF AIRPORT LANDS =~ Clty:
Page 13 of 31 ~ Lessee:
Lease as it relates to the Lessee, the Lessee's activities at or relating to the
Airport, or any act or omission by the Lessee, or by auy of its officers, employees,
agents, contractors or sublessees. These indemnity obligations are in addition to,
and not limited by, the Lessee's o~Il~gation to provide insurance, and shall survive
the expiration or earlier terminati nthis Lease.
2. The Lessee shall give the City p ompt ,Tice of any suit, claim, action or other
matter affecting the City to whi Para '' •aph 1, above, may apply, together with a
copy of any letter by an attorney o b Ia of a complainant, any complaint filed
in court, and any notice or co plain n regulatory agency. The City shall
have the right, at its option, t rticipate oo eratively in the defense of, and
settlement negotiations regar ing, any such a er, without relieving the Lessee
of any of its obligations and r this rovision.
P
3. As to any amount paid to othe f pe onal inju o roperty damage with
respect to which an act or omissr n th City is a ga cause, notwithstanding
Paragraph 1 of this section, the Le ee an he City sh ~ reimburse each other
according to the principl of compa tive ~auit. If liability to a third party is
subject to apportionmen ae rding to o r arative fault under this provision, the
Lessee and the City shall eels ' good fa th achieve non-judicial agreement as
to apportionment of fault a bet en them 1 s. This apportionment of liability
between the City and the Le e sh I not be or trued to affect the rights of any
person who is not a party to th' as
i
S. INSURANCE: At no expo se the Cit t e Les ee wil 'obtain and keep in force during
the term of this Lease, insurance o - the ty e and li i s requi d by this provision. Where
specific limits are set, they will b the ni um ac ptabl li ts. If the Lessee's policy
contains higher limits, the City wil be '~nf le to cov rag ;~`t t 'e extent of the higher limits. At
the time insurance is obtained by the es e a insura e~ hal be by a company/corporation
rated "A-" or better by A.M. Best. Theo wi policie o insurance are required with the
following minimum amounts: r
1. Commercial G neral, 'abilit , in ing remises, all operations, property
damage, prod cts and co plete o r ion and personal injury and
death, broad-fo c ~n ac al, wi a e 1`currence limit of not less than
$1,000,000 combs e si le imit. th's lease authorizes the Lessee to
or the commercial 'sp ns' g r stora e f aviation fuel, the policy must
not exclude of the Les ee• e1 andlin ,activities. This policy must
name the City as an ad ' io al 'ns red.
2. Commercial Automobile
ATTACHMENT A
LBASE OF AIRPORT LANDS
Page 14 of 31
not less than $1,000,000
City:
Lessee:
combined single limit per occurrence. This insurance must cover all
owned, hired, and non-owned motor vehicles used l7y the Lessee.
3. Workers Compensation Insura
for all employees, coverage as
applicable, any other statutory
subrogation against the City.
Lessee will provide and maintain,
under AS 23.30.045, and, where
ps. The policy must waive
4. The Lessee will provide the City
form of an insurance policy or a
proof that the premiums have
limits of coverage secured. 11 i
provide that the City be noti ied
cancellation, or material eha e
o f of insurance coverage in the
to f insurance, together with
s o ~ng the types and monetary
e r ur d by this provision must
30 da s for to any termination,
5. If the Lessee's insurance covera la~es r is cane le .Lessee will
immediately, upon written notice the C ,y, halt ail aerations on the
Airport, including the Pr ises. The ess ,~ will not resume operations
until the City receives e ide ce that th L 'f see has obtained current
insurance coverage meetr g th require n of this Lease.
6. The City may, at intervals og
date of the term of this Lease
insurance requireme requi:
revise the insurance eq 'rem
Lessee's operations any in u:
change in applicab e law,
than fi ars from the beginning
written o 'ce to Lessee, revise the
~r t 's Leas ,pity's determination to
~e b sed on`the risks relative to the
idelines dopted by the City, and any
7. If the Lessee subl
provisions of this
the insurance cov
rtio o the Premises under the
will r qu e the sublessee to provide to
he Less e " nder this Article X.
WS
A. COMPLIANCE WITH LA : ~,e?
and regulations of public authorities o <
Premises or the sidewalks, alleys, stree .
structures, fixtures and improvements or
ordinances, and regulations which may be
c m ,ly with all applicable laws, ordnlances,
x i _i y mamier affecting the Airport, the
adjacent to the Premises, or any buildings,
reof, whether or not any such laws,
enacted involve a change of policy on the
ATTACHMENT A
LEASE OP AIRPORT LANDS
Page I S of 31
Citv
Lessee: -
part of the governmental body enacting the same. Lessee agrees to hold City financially
harmless:
1. From the consequences of any
regulations; and
2. From all claims for damages on
resulting from such violation.
B. UNLAWFUL ACTIVITY: The:
business, or trade to be conducted on the
including zoning ordinances, rules and re
C. LICENSES AND PERMITS: The Dpss
pay all taxes and special assessments lawfull
and charges assessed under applicable law. No
challenging any taxes or special assessments to
D. LITIGATION: The KMC, incl~i
the State of Alaska will govern in any di
continues after exhaustion of adminisn~a
of the State of Alaska, in Kenai, Alaska.
E. LESSEE TO PAY TAXES:
during the term of this Lease may
Bgrough, City, or any other tax le
may have in or to the Premises or r
occupancy or the terms of this Lea.
prevent Lessee from contesting any
ordinance, or regulation.
F. PARTIAL INVA
declared by a court of cc
terms, provisions, condil
declaration had not been
of such laws, ordinances, and/or
injuries, death, or property damage
at p mit any unlawful use, oocupation,
tr any iaw, ordinance, or regulation,
obtain a n essazy licenses and permits,
upon the re ices, and pay other fees
'this Lease e nts the Lessee from
ted thereunder, and the laws of
and City. If a dispute
must be brought in the courts
essee sh 1 a lawfula"es and assessments which,
:o e a lien p or ich may be levied by the State,
1g b y, upo a y taxa le possessory right which Lessee
n~o et nts on he Pr is s by reason of its use or
pr~v e howe r, t,'a ;thing in this provision shall
vor s ina tax or s ~ sstnent under any applicable law,
any t o~vr°on, ed'hdition, or part of this Lease is
diction o~ ~ ~a ' or unconstitutional, the remaining
,shall con n fu ,force and effect as though the
A. CANCELLATION: The City m 3 days' written notice to the Lessee, cancel this
Lease and recover possession of the Premi s an ,of the following violations occur, mrless the
AT'CACHML^NT A
LEASE OF AIRPORT LANDS
Page 16 of 31
City:
Lessee:
violation is cured within the 30 days:
I. The Lessee fails to pay when due the rents, additional rents, charges, or other
sums specified in this Lease, inclu~ng any increases made under this Lease.
2. The Lessee's check for payment
insufficient funds.
due under this Lease is returned for
3. The Lessee uses or authorizes the
authorized by this Lease.
4. The Lessee fails to fully
5. The court enters a
6. A trustee or receiver is appoint
by or against the Lessee, or the
7. Failure by the Lessee towith
improvement eonstructio req red by
F3. ENTRY AND RE-ENTRY: In the \
accordance with this Article XII, or by summ,
abandonment of the Premises or a p -lion of t
representatives may, immediately an time
Premises or portion thereof, and r ove p~
for any damages therefore. No re entry~iy
of the Lease.
C. CONTINUING OBLIGA
continue to pay City rent after the
abide by the lease obligations, nc
Lessee relinquishes possessio of
Premises completely vacated'f tt
I. Remediated any
responsible; and
2. Restored the Premises
City.
Premises for any purpose not
any provision in this Lease.
Lessee.
a proceeding brought
ition in bankruptcy.
development or permanent
the L se hould be terminated in
edings r herwise, or upon the Lessee's
ii s, the ' ,~ or its agents, servants, or
der, -enter,' and resume possession of the
nd pro rty therefrom, without being liable
call bide ed an acceptance of a surrender
`~~L~VACATED: The Lessee will
r ancellation of this lease and to
~f "` surance coverage, through the date
the Premises. City will consider the
for which the Lessee is
clean physical condition acceptable to the
ATTACHMBNTA j
LEASE OF AIRPORT LANDS City:
Page 17 of 31 Lessee:
D.
REASONABLE CliRE
In the case of a violation that cannot be reasonably cured within 30 days, a notice
of cancellation issued by the City the Lessee m~der this Article is stayed if,
within the 30-day notice period, e ssee begins and continues expeditious
action to cure the violation. The ity 'll determine if a violation cannot be
reasonably ew•ed witlvn 30 days and wl,~t constitutes expeditious action.
E.
2. In the case where, in City's sole
an imminent threat to the airp n
will direct the Lessee to stop
to cure the violation, or the rty
Article.
RIGHT OP CITY TO PERFORM:
If, after 30 days following notice th,
required by this Lease, tl City will
perform any or all such cti s requ
Lessee. The City will no take ctio
expeditious action to perfo an a<
reasonably completed within 3 da
determine what constitutes ex e '~
reasonably performe in 30 day .
for the expenses inc rre by the 't
required action. T Less will p
from issuance.
2. If Lessee fails or re
threat the City will
such actions requir
rehnburse the rty
reasonably inc rre,
Lessee's violation is considered
or safety, or the environment, City
9iately and may reduce the period
violation pursuant to (E) of this
sse fails or r'ses to perform any action
ve t ~~ e right, but not the obligation, to
b a this Lease at the sole expense of the
e essee begins and continues
n r ui ed by this Lease that cannot be
The 'ty ill, at its sole discretion,
action d `f an action cannot be
~ty will ~' mit to the Lessee an invoice
~ th erformanc;e by the City of any
ie amo t of each invoice within 30 days
s t~ per rm any c "on that has been deemed an imminent
ve he igh ~ but not he obligation, to perform any or all
toe editiou corre t `he imminent threat. Lessee shall
: any c st, i}{~~clu ' g le kl fees and administrative costs
the Ci ir~tine o correct the imminent threat violation.
F. WAIVER: A waiver b the(tCi~y
Lease will not operate as a waiv o n
City is not required to provide noti e t
under this Lease. The waiver by the it
relied upon unless the waiver is in writ'
insist upon the strict performance by the
relinquishment for the future, and the pr.
any fa the Lessee of any provision of this
segue t au1t. If the City waives a default, the
L see to esiore or revive any term or condition
provis' 'n in this Lease cannot be enforced or
n si ed on behalf of the City. The City's failure to
s, e o ~y provision in this Lease is not a waiver or
;io wil .continue in full force.
ATTACHMENT A
LEASE OF AIRPORT LANDS
Page 18 of 31
City:
Lessee:
G. AIRPORT CLOSURE
If the City closes the airport to airy
Lease will remain in full force and
2. If the City closes the Airport to
but not permanently, azid this L~:
the Lessee may, upon written noti
retain the Lease and receive a rft}
portion of the closure that ex
3. If the City permanently clos s the
(a) this Lease is for aviatio 0
terminate this agreement
rft operations for sixty (60) days or less, this
ct without adjustment
•aft 'perations for more than sixty (60) days,
is ~ r aviation or direct aviation support uses,
tqq~~th City, either terminate the Lease or
~((k'b'IaJ p cent rent reduction or credit for that
sixty
to ~rct~ft operations and
~iation a orC uses, the Lessee may
notice t th .City: or
(b) this Lease is for
have the Lease t rn
light of the City's
Lessee's request in
e Lessee may request in whiting to
will consider the Lessee's request in
Cher terminate the Lease, oh deny the
H. DISASTERS
T'he Lessee or City may cancel this lea. upon it no ' e to the other party if;
1. the Premises becor es a sa le thro h no au of either parry and performance
under this lease bec e.pi sibie; ~
2. the Airport becomes un a th ough no a t of either party and the
performance under this le e beco s imp sale.
If the Lessee elects in writing hat it ill con ' u op ate after notice from City to Lessee that
the Airport has become unus bic, the L see's bh a 'ons order the Lease will continue, but
City shall be under no obligati t ,9c ti e to p rf 'm. n'
Causes for termhlation of the lease n r is rovisr n ) include acts of God, the public
enemy, and the United States. F
I. NATIONAL EMTRGENCY: If re e er government declares a national emergency,
neither party may hold the other liable for y ~ rabi ty to perform any part of this Lease as a
',
-_
ATTACHMENTA
LEASE OF AIRPORT LANDS
Page l9 of 31
City: _
L ssee:
result of the national emergency.
J. SURRENDER ON TERMINATION: Except as provided otherwise in this Article XII,
Lessee shall, on the last day of the teen of this L e (including any extension or renewal
thereof) or upon any earlier termination of this L as surrender and deliver up the premises into
the possession and use of City without fraud or elay i good order, condition, and repair, except
for reasonable wean- and tear since the last nee sary r pair, replacement, restoration or renewal,
free and clear of all lettings and occupancies a ess ex`ressly permitted by the City in writing,
and free and clear of all liens and encumbrances the th n (hose created by and for loans to
City. ~ ,
XIII
A. USE OF THE AIRPORT: Except as
facilities without the written consent of the Cit
use of areas designated by the City for specified
automobile parking areas, and streets. ~
B. COSTS AND EXPENSES:
limited to recording costs, shall be paid
an re ular use of Airport lands or
. Thi r hibition shall not apply to
such as 'ssenger terminals,
to this lease, including but not
C. CARE OF THE PREMISES: The Le e h keep t e emises clean and in good
order at the Lessee's own expense, owing n d g waste, ,~ destruction thereof, nor
removing any material therefrom, ith t writte p r is 'on of t ' e City. At the expiration of
the term fixed, or any earlier termi anon ~ the Les , the L see will peaceably and quietly quit
and surrender the premises to the ity. F
D. CONSTRUCTION APPRO ~ TAN S: Any building construction on the
Premises by the Lessee must be compa bl rt '. its Burr n ings and consistent with the uses
authorized under this Lease, as detennin by the ity. Th ~ essee must obtain the City's
written approval before placin fi ateria be 'nni any ~nddevelopment, or constructing or
demolishing any improvemei s on th Premi s, be re beginning any alterations,
modifications, or renovation f existin tructu s n e emises. The Lessee must submit to
the City detailed drawings oft p ~`~ se devel m n , aeration, modification, or renovation,
together with specifications or a o e 'n rmati t Ctity reasonably requires. Further, the
Lessee will submit to City evidenc o he e ee's e m Hance with Federal Aviation
Administration regulation 14 CFR P t
E. LEASE SUBORDINATE TO A R : ANCING REQUIREMENTS: Lessee
agrees that City may modify this Lease to ee revi ed requirements for federal or State grants,
4
ATTACHMENT A
LEASE OF AIRPORT LANDS City:
Page 20 of 31 Lessee:
or m conform to the requirements of any revenue bond covenant. However, the modification
shall not act to reduce the rights or privileges granted the Lessee by this Lease, nor act to cause
the Lessee financial loss.
F. RIGHT TO ENJOYMENT AND PEA(
covenants that the Lessee, upon paying rent ails
conditions of this Lease, shall have the right to
enjoy the Premises, except that the following s
or peaceable possession:
Any inconvenience caused
2. Any other entries by the Cit~on
provisions of this Lease.
G. NO PARTNERSI-IIP OR JOINT VEiv
the City shall not be construed or held to be a pa er or
the Lessee's activities or business on th remises. he
Lessee is, and shall at all times remain, shi ly that o a
H. DISCRIMINATION: The Lessee``
religion, national origin, ancestry, age, or sE
employment, or other person or group of pe
law. The Lessee recognizes the rig of the
provision, including actions requir d p sua
I. AFFIRMATIVE ACTIO.: If
undertake an affirmative action pro ra
participating in any employment acti •
color, national origin, or sex. No persc
or receivhig the services or benefits of
further agrees that it will requ' e t su
effect that they will also unde take a
suborganization(s) as require by 14 C
Tenant shall use the
pursuant to title 49, code of Federal
21, Nondiscrimination in Federally-
Effectuation of Title VI of the Civil
ATTACHMENTA
LBAS1? OP AIRPORT LANDS
Page 27 of31
POSSESSION: City hereby agrees and
ing other covenants, terms, and
rd peacefully hold, use, occupy, and
~nstrued as a denial of the right of quiet
~ jeets in or about the Premises; and
sixes ved or authorized tinder other
TED: is xpressly understood that
it ventur ~ Lessee in the conduct of
ttionship between the City and the
Ord and tenant, respectively.
crii ~na on the grounds of race, color,
any p ro employee, applicant for
y man r ohibited by federal or state
ac • 'necessary to enforce this
fede 1 or state law.
by 1 CFR a I52, subpart E, the Lessee will
ire tha no ~~e ~ will be excluded from
sed by t ~ essee on the grounds of race, creed,
exclude o these grounds from participating in
~a or ach i ,~ covered by subpart E. The Lessee
ay on prow - e assurance to the City to the same
a i r pr rams and require asstuances from (heir
X15 bn E.
other requirements imposed by or
itle A, Office of the Secretary, Pant
ams~the Department of Transportation-
1964, and as the Regulation may be amended.
City:
Lessee:
J. INTEGRATION, MERGER, AND MODIFICATION: This Lease sets out all the terms,
conditions, and agreements of the parties and supersedes any previous understandings or
agreements regarding the Premises whether oral or written. No modification or amendment of
this Lease is effective unless in writing and signe~on behalf of the City and the Lessee.
K. RIGHT TO ADOPT RULES: City res.
reasonable rules and regulations governing the
not be liable to Lessee for any diminution or d.
under this Lease, on account of the exercise of
Furthermore, the Lessee shall not be entitled c
leasehold estate created under this Lease, by e
reserved under this provision, unless the ex rci
occupancy of the Premises as to constitute to
operation of law under the laws of the State f
to the states.
L. LESSEE'S OBLIGATION TO PREVEN AND F
permit arty liens including, but not limit to, mech ucs',
obtainable or available under The then ist g laws, t st~'
improvements on the Premises for any 1 or materia ~ i
been furnished to Lessee or to the Lessee' agen ,contra
work of any character perfoi7rled or claime t a been
improvements by or at the direction or suffer of ess~
have the right to provide a bond as c ntemplat I 1
amount of any such lien or claimed lie Upon a i det
the Lessee will immediately pay a y judg ent ren e ed
shall have such lien released or ju gmer,~ sa'sfied a .Less
M. CONDEMNATION: In the e en`t~tY),e emises`pr
and taken for a public or aquasi-public s the', upon p
arish~g from the condemnation or taking, he City d the
to agree upon ~ ~
1. the division o the prc
2. the abatement ii re~
Lease; and
3. other adjustments a t
all the circumstances.
th right to adopt, amend, and enforce
art ~~~inciuding the Premises. The City shall
rti ' of possession, or of Lessee's rights
:i authority reserved under this provision.
e t e whole or any portion of the
of th e rcise of the City's authority
ereof s in rferes with Lessee's use and
m, in ho or in part, of this Lease by
and oft ited States made applicable
Lessee will not
corers', or materialmen's liens
against the Premises or
-shed to Lessee or claimed to have
or sublessees, in connection with
fo ed on the Premises or
ro ided, however, the Lessee shall
a `d contest the validity or
iinaton of the lien or claim for lien.
all proper costs and charges and
expense.
art thereof shall be condemned
of any award or compensation
shall. make a good faith effort
or any extension of the term of this
upon as being just and equitable raider
ATTACHMENT A
LEASE OF AIRPORT LANDS City:
Page 22 of 31 ~%~ Lessee:
If, within thirty (30) days after the award has been paid into Court, the City and Lessee are
unable to agree upon what division, abatement in rent, and other adjustments as are just and
equitable, the dispute shall be determined by arbitration.
N. SUCCESSORS IN INTEREST: This L
benefit of the respective successors and assigns
limitations on assignment as are provided for it
O. NOTICES:
1. Any notices required by this
personally or mailed by certi
mailed notice
a. must be addressed to tll~
page of this Lease or to t
(2) of this Provision (O);
b. shall be deemed
branch post offic
2. The City or the Lessee may,y
they will. receive notices by p
15 days prior to the of ~echve
be delivered accordih~ tb,the
P. RETENTION OF RENT,
breach by the Lessee, the City sh
the Lessee City as partial or total
Q. FIRE PROTECTION: The
take all necessary action to su pre.
regulations, and rules promul aced
R. PERSONAL USE OP
or in any deposit of stone or gra I
Premises or in the rights granted b
Premises for use elsewhere any timl
valuable for building or commercial
must
on
to
City
be binding upon and shall inure to the
ties hereto, subject to such specific
zg and must be delivered
in a prepaid envelope. A
party ~h~ddress written on the first
Idrese de.'an ted in accordance with
it is deposited in a U.S. general or
signate a new address at which
partry with written notice at least
jn address change notice must
in il) of this Provision (O).
breach.
this Lease because of any
rental payment last made by
will t ail rea~o~iable precautions to prevent, and
flue r m ontro ~ ed fires and comply with all laws,
or~iedthe ity for fire protecfion on the Airport.
ATTACHMPAiT A
LEASE OF AIRPORT LANDS
Page 23 of 31
int rerh coal, oil, gas or any other mineral,
ex ac 'ori or utilization is included in the
The es e shall. not sell or remove from the
avel, p `t moss, topsoil or any other material
I
d City:
v Lessee:
S. APPROVAL OF OTHER AUTHORITIES: The graizting of this lease by the City does
not relieve the Lessee of the responsibility to obtain any license or permit as may be required by
federal, state, or local law.
T. EXECUTION BY THE PARTIES: T
Lessee, or a duly authorized representative of
City.
U. CAPTIONS: The captions of the pr.
do not necessarily define, limit, describe, or
V. RIGHTS OF CONSTRUCTION: T i
available for private use, while at all times r~
possible. Following the rule that transfers
construed in favor of the public property lap
Lease will be strictly construed, and all rights
interest will be liberally construed.
W. LESSEE ACKNOWLEDGEM N ~ The
this Lease and fully understands its term tha the
opportunity of advice by separate legal co nsel,
acknowledges and agrees that the rule of in e1
against the drafter will not apply to this Leas
X. APPROVAL BY LESS
be unreasonably withheld. The
responsibility or liability to con
SURVEY,
A. SURVEY: The Lesse • is
the physical location of the b and
thereon, including clearing gru bi
the Premises shall be performed
Lessee shall furnish the City with
or on behalf of, the Lessee.
B. IMPROVEMENTS.
1. REQUIRED
ATTACHMENT A
LEASE OF AIRPORT LANDS
Page 24 of 31
s
is of no effect unless signed by the
zd an authorized representative of the
Lease are for convenience only and
ntents of any provision.
is int d to make public property
the pu is ' terest to the greatest extent
in public ro erty are to be strictly
fights gran d the Lessee under this
rt and the p to bons of the public
owiedges that the Lessee has read
been fully advised or has had the
executes this Lease. Lessee also
~ch a document is construed
ire of the Lessor by this Lease will not
not aive the Lessee's legal
fed~~al , d state laws and regulations.
BOND
sp rs~ at i sole expense, to confirm or establish
the em's pri r to beginning any construction
fillip. an e ' ommental sampling. Any survey of
~urvey r istered in the State of Alaska. The
t plat o a ,y survey performed on the Premises by,
cost to the City, Lessee agrees to
City:
Lessee:
complete land development and construction of Permanent Improvements
hicluding , by no later than
,with an appraised value of at least
$ . In addition to e as-built drawings required by this Lease,
the Lessee must submit to the Cit w 'tten evidence that the Lessee has completed
the land development and constr cted r provements on the Premises with an
aggregate cost or investment of of lessd'han $ _
The evidence of cost must be sub itt t the City within sixty (60) days of the
completion of the development and ' ~ ~ ov ents, but by no later than
a. Costs considered to and t]
include building con ruct
permits, equipment, so to
environmental assessme
and as-built surveys; site F
fabric, filling, gr ng, fill
environmental c nta inat
contributed to the ont i
b. The cost of F
(i) work
and
(ii) work,
2. FAILURE TO CO~
the required constru 1
including any extensi
will forfeit, any bond
City will _
a. initiate
b. reduce
of the
3. APPEARANCE: Wh
neat, presentable, and
this Lease, as determi
ATTACHMENT A
LEASE OF AIRPORT LANDS
Page 25 of 31
;gregat co of permanent improvements
design, Ia or, aterials, materials shipping,
environm nt baseline report, and
t related to he construction; premises
~rati ~, includin ~xcavatiou, geotextile
erial gravel, and pavement, remediation of
nl ~ s Lessee caused or materially
on ; a utility connection costs.
by the Lessee;
andi'eimbursed by the City.
?RO EM T If the Lessee fails to complete
the ti e a ~o 'e ~~ under (S)(1) of this Article,
the Ct ~~ i11 execute against and the Lessee
~~rantee g've by the Lessee and, as applicable,
od that is consistent with the portion
completed.
all ~{aprovements on the Premises must be
th the authorized use of the Premises under
City: _ _
Lessee:
4. CITY APPROVAL REQUIRED: The Lessee must first obtain the City's written
approval before beginning any land development, construction or demolition of
any improvements on the Premises, or before beginning any alterations,
modifications, or renovation of ex' ing structures on the Premises. The Lessee
must submit to the City detailed a 'ngs of the proposed development,
alteration, modification, or renov tion. urther, the Lessee will submit to City
evidence of the Lessee's compli nce wi ~ the FAA regulation 14 CFR Part 77.
5. CITY APPROVAL WITH:
alteration, modification, or
's approval of atly construction,
got be withheld unless:
a. the Lessee fails to de on ate adeq at mancial resources to complete
the project;
r
b. the project plans, spe ific ions, and age c pprovals are incomplete;
c. the proposed project w ul ~ res t hl a vio do of an applicable ordinance,
regulation, or law;
d. the proposed project wool 'nterfer with or i ' ~"compatible with the
safety, security, intenance, or oration of the airport;
e. the proposed pro eet ' inconsi cn ~ with the Airport Master Plan;
f. the proposed prof et is ' consist t ith the terms of the lease, caning
ordinances, or the 'ty's ompreh si e Plan;
g the project plans do t a suffici Zt ovision for drainage, aircraft,
vehicle, and equipmen cin or for o storage; or
h. the proposed oject doe n co orm to ~nerally recognized
engineering rin ' les or i abl fire or'building codes.
6. DEMOLITION: P for to an demohion of n tructure(s) on the Premises,
Lessee will deliver t Ci ' itten sc pe °f ~k that, at a minimum, lists the
structure(s) that are to e e o 'shed an t timeframe for demolition and
removal of the debris fr e Airport. 'ty ill review Lessee's scope for
demolition and issue Less e writte pprov I ~br the work to be done.
7. BUILDINGS TBA No ui r or Cher permanent structure maybe
constructed or laced car in tw t fe t of any lot line of the Premises
without City's for ..' 'tte appro al. In 'dition, no building or other permanent
structure may be n ru e r plac d itliin feet of
any boundary line o th P m es wh h onts on a landing strip, taxiway, or
apron. ;i
8. AS-BUILT DRAWINGS. 'th'n ~xty (60) days after completion of
construction or placement o'i rov;ments upon the Premises, the Lessee will
ATTACHMENTA
LEASE OF AIRPORT LANDS City:
Page 26 of 31 ~ Lessee:
deliver to the City a copy of an as-built drawing, acceptable to the City, showing
the location and dimensions of the improvements, giving distances to all
Premises' boundaries. If the Lessee constructs underground improvements, the
Lessee will appropriately mark th urface of the land with adequate surface
markers. The type, quantity, and is ce between such markers will be subject to
approval of the City.
4. AIRPORT SECURITY FENCI rG: If " y construction by the Lessee requires a
realignment or alteration of an exi tin se unity fence on the Premises or
boundary of the Premises, the esse ~ ee to realign or alter the fence in a
manner approved in writing b e Airpor ~ nager. t~lytime the fence must be
breached to allow the Lessee to c replete i r ement construction or fence
modifications, the Lessee sl 11, at ~ e Lessee so e expense place temporary
barriers to maintain the secu ~ty o ~~the Airport, s termined by the Airport
Manager. If damage occurs to s~ ur' fence on he remises or boundary of the
Premises in connection with the es ~ e' use or occ a :on of the Premises, the
Lessee shall promptly repair the fe ce tot satisfactr '~ of the Airport Manager.
10. DAMAGE "1'O IMPRO E, NTS: I ,e~ ee's improvements on the Premises
are darnaged or destroye Les ee will c s the improvements to be repaired or
rebuilt, and restored to nor al coon wr in wo (2) years following the
damage or deshuction. If th L s fails to im ly rebuild or restore the
improvements, the City may, ~ i so diseret' n, ither reduce the term of this
Lease commensurate ith the e i ed alue o t e Lessee's remaining, fully
functional improve ent on the er r es, r cancel this Lease.
11. DAMAGE NEAR ,XPI ON: Less r 's ' ,lprovements are damaged to the
extent that more tha 50 ~o f t e spac is ~ u `le and the damage occurs within
five years of the expir do o t Term o t ~'s Lease, Lessee may remove the
damaged improvements, re re ' e Prem e and terminate this Lease.
C. PERFORMANCE BO D . Prior t beg',. in the c `nstruction of permanent
improvements required under (B)(1) this i ,the essee shall submit to the City a
performance bond, deposit, o -other sec ity in he un .of $ .The form of
the bond or other security shal e ri}~ec o the it 's oval.
ATTACHMENT A
LEASE OF AIRPORT LANDS
Page 27 of 37
City:
Lessee:
D. SURRENDER ON TERMINATION: Lessee shall, ou the Last day of the term of this
Lease or upon any earlier termination of this Lease, surrender and deliver upon the premises into
the possession and use of City without fraud or delay in good order, condition, and repair, except
for reasonable wear and tear since the last neces y repair, replacement, restoration or renewal,
free and clear of all lettings and occupancies unl ss pressly permitted by the City in writing,
and fi•ee and clear of all liens and encumbrances other ati those. created by and for loans to
City. Upon the end of the term of tlvs Lease, v
termhnation thereof, title to the buildings, impr~
automatically vest in City without requirement
However, if City should require any such docu
acknowledge, and deliver the same and shall p.
any and all governmental units in connectio h
E. NOTICE OF CONSTRUCTION
days prior to commencing any construction ;
Premises. The Lessee agrees to assist in the
maintenance of the notice on the Premises d'
the Lessee fails to notify the City as req~y tl
City against any materialmen's liens as e ed in
construction on the premises.
udin ~ any extension or renewal, or any earlier
;menu and building equipment shall
y de d, conveyance, or bill of sale thereon.
;n '~' on rmation hereof, Lessee shall execute,
any ch e, tax, and fee asserted or imposed by
with.
see agrees t no 'fy the City in writing tlv~ee
t v ued in exc ss f $1,000.00 on the
~notiee of o _responsibility and
Less ,agrees that in the event
(t), the essee shall indemnify the
which arise as a result of
XV
A. CITY CONSTRUCTED
1.. ALTERNATIVE C~NE-~Th~"ity
lease is signed.
improvements after the
(a) As part of the ex hala~e c
City's ex sense, ca e the
in cone cti with t Pr
of this lease, the City will, at the
ovements to be constructed on or
(i) _
(ii)
(iii)
(b) The City's tot
construction shall not exceed
the Lessee's written concurrence.
ATTACHMENTA
LEASE OF AIRPORT LANDS City:
Page 28 aF31 ,~ Lessee:
(c) The Lessee shall reimburse the City for the City's cost of constructing the
improvements. The reimbursement shall be made in ten (10) equal annual
payments, plus interest at eight percent (8%) per year on the unpaid
balance. The Lessee may the entire remaining balance to the City
earlier than due.
(d) After completing the im coven
notice of the City's total ost o~
date on which the Lessee' ei
date shall be no earlier than
The Lessee's annual r i burse
shall be made to the ity a no
the first payment wa due. R
the City will give the Lessee written
tructing the improvements and the
ement payments shall begin, which
fter the date of the City's notice.
p ment for each succeeding year
~ha the anniversary of date on which
(e) Failure by the Lessee t ti ' ely eimburse e ity as required under (b)
through (d) of this pr ovis~ n al be grown fo •,termination of this lease
by the City.
2. ALTERNATNE TWO i
City bur ds ` provements before the lease is
signed.
(a) The Lessee acknowl t t prior t execution of this lease, the City
constructed the follo wr g p vemen o or in connection with the
Premises: ~'
(i)
(ii) >
(iii)
i
(b) The City's total s o c ~pstruct t e r provements was
$ d'
(c) As part of the nsid e do f th lease, the Lessee shall reimburse the
City f the City cost o ~ c s uctr g the improvements. The
reimbur m , h be m e t ~~ 10) equal annual payments, plus
interest at ig p c t (8% e ear on the unpaid balance. The Lessee
may pay the nt e mining lac ce to the City earlier than due.
x
r
(d) The Lessee steal ce ie ust reimbursement payment to the City by no
later than the first n ri v sa of the lease term beginning date given in
Article III of this Le se. The .essee's annual reimbursement payment for
Arracx~NT A
LEASE OF AIRPORT LANDS
Page 29 of 3 ]
aty:
Lessee:
each succeeding year shall be made to the City by no later than the
anniversary of date on which the first payment was due.
(e) Failure by the Lessee to
and (d) of this provision
the City.
reimburse the City as required under (c)
e grounds for termination of this Lease by
IN WI'I`Iv~ESS WHEREOF, the parties
year stated in the individual
hereunto set their hands, the day and
OF
Koch
(If Lessee is a Corporation)
ATTEST:
LEASE OF AIRPORT LANDS
Page 30 of 31
STATE OF ALASKA )
ss.
THIRD NDICIAL DISTRICT )
THIS IS TO CER'T'IFY that on this
Title:
being personally known to me or having pi
appeared before me and acknowledged the
instrument on behalf of said corporation.
STATE OF ALASKA )
THIRD JUDICIAL DISTRICT )
THIS IS TO CERTIFY that on this _
Manager of the City of Kenai, Alas being
satisfactory evidence of identificati n, pea
authorized execution of the forego ng ins ~
Approved as to lease form
Approved by Finance Director:
Lease approved by Council on
Carol Freas, City Clerk
My
200_, Name:
of
story evidence of identification,
authorized execution of the foregoing
0 , Rick R Koch, City
r ~ e or having produced
I aclrnowledged the voluntary and
saidCity.
No,ary Public I~r Alaska
My mmiss o Expires:
ATTACHMENT A ~
LEASE OP AIRPORT LANDS Cify: ___
Page 3 ] of 31 Lessee: ____