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HomeMy WebLinkAboutReso. 1986 - 122 - Approving a permit for commercial activites at the redding municapal airport for hillside general aviation services r S RESOLUTION NO. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF REDDING APPROVING A PERMIT FOR COMMERCIAL ACTIVITIES AT THE REDDING MUNICIPAL AIRPORT FOR HILLSIDE AVIATION, INC. , DB,A HILLSIDE GENERAL AVIATION SERVICES, AND AUTHORIZING THE MAYOR TO SIGN SAME. IT IS HEREBY RESOLVED by the City Council of the City of Redding as follows : 1 . That the City Council of the City of Redding hereby approves the attached Permit for Commercial Activities at the Redding Municipal Airport for Hillside Aviation, Inc. , doing business as Hillside General Aviation Services; and 2 . That the Mayor of the City of Redding is hereby authorized and directed to sign all necessary documents on behalf of the City of Redding in connection with said Permit, and that the City Clerk is hereby authorized and directed to attest the signature of the Mayor and to impress the official seal of the City of Redding on the aforesaid documents, when appropriate; and 3 . That a true copy of the Permit for Commercial Activities referred to herein is attached hereto and made a part hereof. I HEREBY CERTIFY that the foregoing Resolution was introduced and read at a regular meeting of the City Council of • the City of Redding on the 19th day of May , 1986 , and was duly adopted at said meeting by the following vote: AYES: COUNCIL MEMBERS: Carter, Dahl , Johannessen, & Fulton NOES: COUNCIL MEMBERS : None ABSENT: COUNCIL MEMBERS: Gard ABSTAIN: COUNCIL MEMBERS: None � Z LEE D. FULTON, M.D. , Mayor City of Redding ATTEST: ZP ETHELAX. NICHOL(' Civy Clerk /J i FORM A 'PROVED: f RA TALL A. HAYS, eity Attorney -2- • • PERMIT FOR COMMERCIAL ACTIVITIES REDDING MUNICIPAL AIRPORT WHEREAS, the CITY OF REDDING, a Municipal Corporation and General Law City, hereinafter referred to as "CITY, " owns and maintains Redding Municipal Airport in the City of Redding; and WHEREAS, HILLSIDE AVIATION, INC. , doing business as HILLSIDE GENERAL AVIATION SERVICES, hereinafter referred to as "OPERATOR," will be conducting revenue-producing commercial activities at said Airport under permit from the CITY in accordance with Section 3. 08 . 030 of the Redding Municipal Code and Resolution Nos. 2978 and 4162; and WHEREAS, the SMALL BUSINESS ADMINISTRATION (SBA) holds the ground lease on the Cal-Todd Facility, and has approved a Sublease to the OPERATOR; and WHEREAS, the City Council has determined that these commercial activities are compatible with the Airport Master Plan, and that the best interests of the public and the CITY will be served by approval of this permit. NOW, THEREFORE, CITY hereby grants to OPERATOR a permit, license and privilege to conduct and carry on from the Cal-Todd Facility at Redding Municipal Airport the hereinafter-described revenue-producing commercial activities for a period of six (6) months, commencing June 1 , 1986, and terminating November 30 , 1986, unless sooner terminated as herein provided, and on a • • month-to-month basis after December 1 , 1986 . This permit is subject to the following terms and conditions: 1. Commercial Activities. a. OPERATOR' s commercial activities shall consist of aviation sales and services . b. Any other commercial activity that OPERATOR may wish to carry on at said Airport, in connection with the foregoing or independently, shall first require the written permission of CITY. 2. Fees and Charges . a. OPERATOR will pay aviation fuel flowage fees as established by Council Resolution. Payments will be remitted to CITY by OPERATOR by the 10th day of each month and shall include copies of all fuel supplier delivery invoices. b. CITY and OPERATOR agree that aviation fuel sales by OPERATOR will not exceed a gross markup of seventy cents (70 ) per gallon of jet fuel, and gross markup of fifty-five cents (55 ) per gallon of aviation gas over purchase price from fuel supplier. c. OPERATOR will pay CITY Forty Dollars ($40. 00) per month for security patrol. d. The payments called for above shall be payable by . the 10th day of each month. Any rentals, fees and charges more than thirty (30) days past due may be subject to a -2- 1 1 service charge of one percent (1%) per month based on an annual rate of twelve percent (12%) . Without prejudice to any other remedy which otherwise might be used for non-payment of rent, fees and charges, or other breach of this permit, if CITY is required or elects to pay any sum or sums or incurs any obligations or expenses by reason of a failure , neglect or refusal of OPERATOR to perform any one or more of the terms , conditions and covenants of this permit, or as the result of any act or omission of OPERATOR contrary to said terms , conditions or covenants, the sum or sums so paid, including all interest, costs, damages or penalties, may be added, after fifteen (15) days ' notice by CITY to OPERATOR. 3. Airport Facilities . Nothing contained herein shall be construed as entitling OPERATOR to the exclusive use of any services, facilities , or property rights at said Airport, except those facilities described above. 4 . Service to the Public . OPERATOR shall make its services available to the public seven (7) days a week without unjust discrimination, and shall refrain from imposing or levying excessive, discriminatory, or otherwise unreasonable charges or fees for any use of its services; provided, however, that OPERATOR shall have the privi- lege of refusing service to any person or persons for just cause, • -3- • • without discrimination by virtue of race , color, creed or sex. 5. Rules and Regulations. OPERATOR shall comply with all governmental rules and regulations now in effect or hereafter enacted and, in addition thereto, shall comply with the directions of the Director of Airports of CITY pertaining to the proper administration and operation of said Airport as an aircraft facility. 6. Assignment. The permit herein granted shall not be assigned by OPERATOR, nor shall OPERATOR authorize or permit any person or persons to use any space herein set aside to OPERATOR without first securing the written approval of CITY. 7. Insurance. a. This permit is granted upon the express condition that CITY, its officers, agents and employees, shall be free from any and all liability and claims for damages for personal injury, death, or property damage in any way connected with OPERATOR' s activities at said Airport, including claims of OPERATOR, its officers , agents and employees. CITY, its officers, agents and employees , shall be held harmless from any and all liability, loss, cost or obligation on account of or arising out of any such injury, death or loss, however occurring. b. OPERATOR shall procure and maintain, at its sole cost and expense and at all times during the term of this permit, public liability insurance with a company -4- • • authorized to do business in the State of California and in an amount and form satisfactory to the City Attorney of CITY. Evidence of such insurance shall be filed with the City Clerk of CITY and shall contain a hold-harmless provision on behalf of CITY, its officers, agents and employees, in accordance with subparagraph a. above; provided, however, that OPERATOR shall not be liable for any damages occasioned by the sole negligence of CITY, its officers, agents or employees. The insurance certificate shall further name CITY, its officers , agents and employees , as additional insureds, and shall obligate the insurance carrier to notify CITY in writing at least ten (10) days prior to cancellation or reduction in coverage. 8. United States of America Restrictions. a. It is understood and agreed that this permit, insofar as it pertains to the use of the Redding Municipal Airport, is subject to the covenants , restrictions and reservations contained in the following instruments to which the United States of America is a party: (1) Quitclaim Deed dated June 3 , 1947 , to the City of Redding; (2) Instrument of Transfer dated October 7 , 1947 , to the City of Redding; and (3) Grant Agreements of record executed by the City of Redding in connection with Federal. Aid Airport -5- • Projects. b. The permittee (OPERATOR) , for itself, its successors- in-interest and assigns, as a part of the consideration hereof, does hereby covenant and agree that in the event facilities are constructed, maintained, or otherwise operated on the said property described in this permit for a purpose for which a Department of Transport program or activity is extended or for another purpose involving the provision of similar services or benefits, the permittee shall maintain and operate such facilities and services in compliance with all other requirements imposed pursuant to 49 CRF Part 21 , Nondiscrimination in Federally Assisted Programs of the Department of Transportation, and as said Regulations may be amended. c. Permittee, for itself, its successors-in-interest and assigns, as a part of the consideration hereof, does hereby covenant and agree that: (1) no person on the grounds of race, color, or national origin shall be excluded from participation in, denied the benefits of, or be otherwise subjected to discrimination in the use of said facilities; (2) that in the construction of any improvements on, over, or under such lands and the furnishing of services thereon , no person on the grounds of race , color, or national origin shall be excluded from participation in, denied the benefits of, -6- i • or otherwise be subject to discrimination; and (3) that the permittee shall use the premises in compliance with all other requirements imposed by or pursuantto 49 CFR Part 21 , Nondiscrimination in Federally Assisted Programs of the Department of Transportation, and as said Regulations may be amended. d. That in the event of breach of any of the above nondis- crimination covenants, CITY shall have the right to terminate the permit and to re-enter and repossess said lands and facilities thereon, and hold the same as if said permit had never been made or issued; provided, however, that the permittee allegedly in breach shall have the right to contest said alleged breach under applicable Federal Aviation Administration procedures , and any sanctions under or termination of the permit shall be withheld pending completion of such procedures. e. That in the event of breach of any of the above nondis- crimination covenants, CITY shall have the right to re-enter said lands and facilities thereon , and the above-described lands and facilities shall thereupon revert to and vest in and become the absolute property of CITY and its assigns; provided, however, that the party allegedly in breach shall have the right to contest said alleged breach under applicable Federal Aviation Administration procedures, and the right of -7- • • 111 reverter shall not be exercised until completion of such procedures. f. To the extent that the United States of America may release said Airport or any part thereof from any of said covenants , restrictions and reservations, OPERATOR shall likewise be released by CITY. 9. City Administration. Whenever OPERATOR is required to secure approval or consent from CITY herein, CITY shall mean the Director of Airports of CITY. However, at the option of the Director of Airports or OPERATOR, and according to proper procedure, any such questions may be referred to the City Council of CITY, whose decision thereon shall be final. 10. Possessory Interest Tax. OPERATOR shall pay when due any possessory interest taxes assessed by reason of OPERATOR' s occupancy of these Airport facilities. 11. Premises As-Is. OPERATOR does hereby certify and agree that it has inspected the above-described premises and accepts the same in their existing condition. OPERATOR expressly covenants and agrees that any expenses incurred in the maintenance , repair and modification or improvements of said premises shall be the sole obligation of OPERATOR; OPERATOR further covenants and agrees to hold CITY harmless therefrom. 12. Termination. • -8- • a. This permit is subject to cancellation by either party upon giving thirty (30) days ' written notice in advance of such cancellation date. b. Breach by OPERATOR of any of the terms, conditions and agreements contained herein, if not corrected by OPERATOR within a reasonable time after notice by CITY to do so, shall be a .basis for cancellation of this permit. IN WITNESS WHEREOF, the parties hereto have executed this Agreement on the day and year set forth below. CITY OF REDDING DATED: , 1986 By: LEE D. FULTON, M.D. , Mayor HILLSIDE AVIATION, INC. DATED: , 1986 By: By: ATTEST: ETHEL A. NICHOLS, City Clerk FORM A'PROVED: t' .44-'- RAN.JALL A. HAYS, City Attorney -9-