15 - Airport Management Contract and Flight Based Operator (FBO) AgreementItem No. 15
TO: Mayor & City Council
FROM: John Godwin, City Manager
SUBJECT: AIRPORT MANAGEMENT CONTRACTS
DATE: February 25, 2019
BACKGROUND: Although Cox Field is a city -owned and operated airport, we manage it
primarily through private vendor(s). The oldest agreement is a contract for a Fixed (or Flight)
Based Operator, or FBO. The FBO is responsible for operating the terminal building and
providing fuel sales, among many other tasks and responsibilities. In addition to the FBO
contract, several years ago the city entered into an agreement for airport maintenance in lieu of
doing it in-house. This agreement covers a wide range of airport and related facility
maintenance, from fixing lights and cleaning the terminal, to mowing grass and ensuring runway
safety. City staff provides some support for this latter contract, and we also have mowing and
agricultural leases.
The FBO and management agreements are both currently with J.R. Aviation, our FBO for over
thirty-one years, and both agreements have expired or are expiring; therefore, city staff and the
airport board have been addressing these agreements over the last few months.
STATUS OF ISSUE: I have generally favored renewing the contracts with J. R. Aviation, since
I believe they have provided an overall satisfactory service at reasonable costs, and also because
there is very little competition likely to come our way. With that in mind, I negotiated new
versions of each contract, specifying maintenance requirements in much more detail, expanding
clarification as to which party is responsible for what, increasing the maintenance contract by
$100 per month, and doubling the price the city is paid for fuel from five to ten cents per gallon.
The airport board considered various options, including combining the two agreements into one
contract, and having the city issue a Request for Proposals (RFP) for one or both agreements. At
its February 21 meeting, however, the board unanimously agreed to renew the two re -negotiated
agreements for a period of five years instead of ten, with both expiring on the same date. The
board also expressed it expectation that the city would issue an RFP for a consolidated
agreement approximately six months prior to the attached agreements' expirations in December
2023. In this manner we maintain continuity and also plan in advance for a transition when J. R.
Aviation is replaced. A handover now could be problematic and cause an interruption in service.
BUDGET: Will increase net revenues from fuel sales by approximately $6,000.
RECOMMENDATION: Authorize execution of two attached agreements as recommended by
the airport advisory board.
AGREEMENT FOR AIRPORT MANAGEMENT
STATE OF TEXAS §
§ KNOW ALL MEN BY THESE PRESENTS:
COUNTY OF LAMAR §
THAT this Agreement is made this day of March 2019, by and between the CITY OF
PARIS, PARIS, TEXAS, a municipal corporation, hereinafter CITY, and J. R. AVIATION,
hereinafter CONTRACTOR.
WITNESSETH:
It is the desire of CITY and CONTRACTOR that CONTRACTOR serve as Airport
Manager at Cox Field, the Municipal Airport of the City of Paris, Texas, to perform all necessary
functions and services related to such position.
IN CONSIDERATION HEREOF, it is hereby mutually agreed between CITY and
CONTRACTOR as follows:
1. CONTRACTOR shall be responsible for the management and operational oversight of the
Airport. Responsibilities shall include, but not be limited to, optimization of federal
resources and services; maintenance of safe conditions; maintenance of grounds, buildings,
runways and taxiways, and lighting facilities consistent with, and as further described in,
Section 3 below; and minimizing CITY exposure to legal action. CONTRACTOR shall
also maintain effective communications with tenants, airport users, CITY officials, and the
general public.
2. CONTRACTOR shall be responsible to the City Manager, or his/her designee, who shall
have the authority and responsibility to review CONTRACTOR's job performance.
Everyday functions under this Agreement are performed with little or no supervision;
however, approval of work is gained through regular meetings, telephone conversations,
written and oral reports, e-mails, and general observations by the City Manager. Work is
directed through general policy and specific program guidelines. Airport conditions are
examined by federal inspections. CITY will conduct an annual review.
3. The CONTRACTOR shall additionally be responsible for the following specific duties:
A. General Activities
(1) Monitoring the daily activities of staff employed by CITY responsible for
assisting with mowing Airport property, and supervising any contract
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maintenance workers.
(2) Maintaining, at its own cost, a copy of all files of pertinent information associated
with the Airport, including grants, airport leases, contracts, etc.
(3) Attending all Airport Advisory Board meetings; providing staff assistance as
provided under this Agreement; and serving as liaison between the Airport and
the general public.
(4) Attending various outside local meetings on behalf of the Airport as necessary
and, when CITY funding is available, attending any annual conferences.
(5) Keeping the City Manager or his/her designee updated as to Airport activities on
a regular basis.
(6) Preparing an annual report of Airport activities for presentation to the City
Manager or his/her designee.
(7) Assisting in the preparation of bids by gathering necessary data.
(8) Enforcing Airport Minimum Standards.
(9) Issuing Notices to Airmen (NOTAMS) as required.
(10) Meeting regularly with Airport tenants in an effort to maintain harmony on site.
(11) Receiving all correspondence directed to the Airport and corresponding
accordingly.
(12) Answering questions of the public and others.
(13) Ordering office supplies and equipment as required.
(14) Adhering to safe working practices and promoting safety in the workplace.
(15) Maintaining effective communications with federal, state, and local officials, the
Airport Advisory Board, and Airport staff, tenants, and neighboring properties.
(16) Updating and having available all FAA regulations and state and local
notifications concerning use of Cox Field Airport in public areas easily accessible
to users.
(17) Coordinating all pertinent airfield/flight safety information with appropriate FAA
officials.
(18) Monitoring flight activity.
(19) Preparing and presenting a monthly Airport Manager's Report at Airport
Advisory Board meetings.
(20) Overseeing the conduct of aviation operations at the Airport in a manner that will
ensure safety of all persons, aircraft, and facilities as regulated by federal, state,
and local aviation regulations.
B. Maintenance Activities
(1) Overseeing the maintenance of all airport buildings and facilities.
(2) Maintaining all Airport facilities in strict compliance with federal and state
requirements.
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(3) Assisting maintenance staff with mowing of grass at terminal facility, and other
maintenance activities as time and workload requires.
(4) Operating the Airport and maintaining it in such a manner that CITY will have
minimum liability exposure.
(5) Providing immediate notice to proper authorities of any condition which may
affect the safety of persons or aircraft using the airport as they become known and
taking the appropriate action to correct the problem as soon as possible.
(6) Maintaining the Airport Safety Program for staff and tenants.
(7) Controlling access to Airport grounds and common areas and reporting
suspicious activities to the City Manager and the Paris Police Department.
(8) Ensuring that all common areas of the Airport property and facilities are
maintained in a clean and neat appearance.
(9) Assisting with maintenance and minor repairs to common Airport equipment,
ensuring that all equipment is maintained in proper working order at all times,
and delivering equipment to repair shops when necessary.
(10) Keep grounds free of trash and debris.
(11) Inspecting ramp, runways, and taxiways for FOD and safety, daily.
(12) Coordinating the removal of disabled aircraft on runways or taxiways, as
required.
(13) Replacing the windsock as needed.
(14) Ensuring tie downs have adequate rope to safely and adequately secure aircraft.
(15) Maintaining self -serve pump and ground pumps, and repair, or cause to be
repaired by others, as needed.
(16) Maintaining airport lighting and related facilities.
(17) Replacing runway and PAPI lights as required to ensure safe approaches.
(18) Checking PAPI lights for proper glide slope alignment, at least every thirty days.
(19) Supervising repair of hangars as needed.
(20) Provide standard maintenance of terminal systems, such as HVAC filters, septic
chemicals, light bulbs, etc., and notify City of any system failures to ensure
timely repairs and/or replacements.
C. Grant -related Actiyties
(1) Keeping abreast of state and federal funding programs and immediately advising
the City Manager of grant opportunities.
(2) Assisting with grant applications by acquiring any necessary data.
(3) Working, as necessary, with consultants, engineers, and state and federal
planners in developing future capital improvements at the Airport.
(4) Maintaining a general knowledge of all regulations, FAA directives, security
directives, and information circulars.
D. Legal Activities
(1) Keeping abreast of statutes and any changes in state, federal, and/or local
regulations and alerting officials as appropriate.
(2) Maintaining familiarity with all local, state and federal permitting requirements
and procedures.
(3) Enforcing lease provisions for all Airport tenants.
(4) To the extent capable, ensuring that CITY maintains compliance with all grants,
leases, and contracts.
(5) Maintaining a list of airport fixed assets, to include equipment and properties
owned/acquired by CITY.
(6) Performing other similar and related duties as required.
4. That CONTRACTOR shall provide, at its sole cost, an office computer with internet access
for communication with the City Manager and to stay abreast of grants and FAA
requirements.
5. That, within the first 60 days of this Agreement, CONTRACTOR will work with City
Manager, or his/her designee, to establish an inventory of all publicly owned equipment
and property for which the CONTRACTOR is responsible under this Agreement.
6. That CONTRACTOR shall provide an employee who is on-call at all times. The
CONTRACTOR shall maintain any necessary staffing levels to comply with the
requirements of this Agreement. Additionally, the CONTRACTOR shall ensure that at
least one of its employees remains on Airport property during the hours of 8:00 a.m. to 5:00
p.m. or sunset, whichever is later, on every day of the year, with the exception of
Christmas, Easter, and Thanksgiving.
7. That CITY will provide, at its sole cost and expense, all materials, equipment, and parts
necessary to maintain CITY -owned equipment in proper working condition, if any. CITY
will also pay all costs associated with repairs made by third parties to CITY -owned
equipment, if any.
8. That CONTRACTOR is an independent contractor and shall not be considered an
employee of CITY in the performance of the responsibilities under this Agreement.
9. That because CONTRACTOR has opted, as it is permitted under State Law, not to carry
and maintain worker's compensation insurance for its employees, CONTRACTOR
covenants and agrees to indemnify and in all things hold CITY harmless from any and all
claims brought by its employees for which workers compensation insurance, if said
insurance had been purchased, would have applied. That is, CONTRACTOR covenants
and agrees that it shall be solely responsible and liable for the defense of any and all claims
brought by its employees as a result of the performance of its duties and obligations under
the Agreement, and that the CITY shall not be liable for any such claims or liabilities.
10. CONTRACTOR agrees to indemnify, save, keep and hold harmless CITY from and
against any and all demands, debts, liabilities, suits, claims and causes of action of every
kind and character whatsoever for damage or injuries to persons and/or property occurring
or arising as a result of the services provided by CONTRACTOR under this Agreement,
including, but not limited to, those demands, debts, liabilities, suits, claims, and causes of
action resulting from the actions or inactions of CONTRACTOR's invitees, agents,
servants, employees, or visitors, and CITY shall not be liable for CONTRACTOR, his
invitees, agents, servants, employees or visitors in the performance of this Agreement and
CONTRACTOR agrees to hold and save CITY harmless from all claims for any such
damages or injuries, and CONTRACTOR must at all times during the term of this
Agreement, and any extension thereof, keep and maintain in full force and effect a policy
or policies of insurance providing at least $250,000.00 per person and $500,000.00 for any
single occurrence for bodily injury or death and $100,000.00 for any single occurrence for
injury to or destruction of property, indemnifying all persons for any and all damages,
personal injuries or property damages arising out of or as a result of the services under this
Agreement, and shall pay all premiums due thereon when due. It is expressly provided
that such insurance policy or policies shall and must be written and issued by a reputable
insurance company or companies, subject to approval by the City Attorney of the City of
Paris, and CONTRACTOR or his insurance carrier or carriers shall deliver a copy of any
such policies to the City Clerk of the City of Paris, or furnish to the City Clerk a current
letter or certificate from such company or companies, evidencing the fact that such
insurance is in full force and effect at all times during this Agreement and any extension
thereof; and providing further, that CITY shall be a coinsured under such policies and shall
receive a minimum of thirty (30) days' notice of termination of such policy.
11. That, in consideration of the faithful compliance with the terms and conditions of this
Agreement, the CITY shall pay to CONTRACTOR the total sum of Twenty-five Thousand
Two Hundred and no/100 Dollars ($25,200.00) per year, in twelve (12) equal monthly
installments of $2,100.00 each.
That this Agreement shall be for a term of five (5) years, commencing on January 1, 2019,
and ending on December 31, 2023. This Agreement shall be renewable for one additional
five-year extension if parties are mutually agreeable. Renewals shall be at the same
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compensation provided herein.
12. That CITY and CONTRACTOR have the right to unilaterally terminate this Agreement at
any time upon ninety (90) days written notice to the other party. CITY further retains the
right to terminate this agreement upon thirty (30) days written notice to CONTRACTOR
for failure to perform the services required hereunder.
13. That this Agreement constitutes the entire agreement between the parties. No agreements,
representations or warranties other than those specifically set forth in this Agreement shall
be binding on any of the parties unless set forth in writing and signed by both parties. This
Agreement shall have no effect or bearing on the Agreement that currently exists between
CITY and CONTRACTOR for CONTRACTOR services currently provided.
14. That neither this Agreement nor any duties or obligations under it shall be assignable by
CONTRACTOR without the prior written consent of CITY.
15. That all notices required under this Agreement must be given by certified mail or registered
mail, addressed to the proper party, at the following addresses:
LESSOR
City Manager
City of Paris
P. O. Box 9037
Paris, TX 75461-9037
LESSEE
J. R. Aviation
Either party may change the address to which notices are to be sent by giving the other
party notice of the new address in the manner provided in this paragraph. In case any one
or more of the provisions contained in the Agreement shall for any reason be held by a
court of competent jurisdiction to be invalid, illegal, or unenforceable in any respect, such
invalidity, illegality, or unenforceability shall not affect any other provision of the
Agreement, and this Agreement shall be construed as if the invalid, illegal, or
unenforceable provision had never been included in the Agreement.
16. That this Agreement shall be construed under, and in accordance with, the laws of the State
of Texas, and all obligations of the parties created by this Agreement are performable in
Lamar County, Texas. Venue for state court actions arising under this Agreement shall be
exclusively in the courts of Lamar County, Texas; venue for federal court actions arising
under this Agreement shall be exclusively in the federal courts for the Eastern District of
Texas.
EXECUTED on the dates shown in the acknowledgments below.
By:
ATTEST:
Janice Clerk, City Clerk
APPROVED AS TO FORM:
Stephanie H. Harris, City Attorney
STATE OF TEXAS )
COUNTY OF LAMAR )
CITY OF PARIS, PARIS, TEXAS
John Godwin, City Manager
CONTRACTOR
President, J. R. Aviation
BEFORE ME, the undersigned authority, on this day personally appeared
City Manager of the City of Paris, Paris, Texas, known to me to be the
person whose same is subscribed to the foregoing instrument, and acknowledged to me that he
executed the same for the purposes and consideration therein expressed and in the capacity therein
stated.
2019.
GIVEN UNDER MY HAND AND SEAL OF OFFICE, this day of
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Notary Public, State of Texas
STATE OF TEXAS
COUNTY OF LAMAR
BEFORE ME, the undersigned authority, on this day personally
appeared ..........-............................. _..ma .................................... ..m, known to me to be the person whose name
is subscribed to the foregoing instrument, and acknowledged to me that he executed the same for
the purposes and consideration therein expressed and in the capacity therein stated.
2018.
GIVEN UNDER MY HAND AND SEAL OF OFFICE, this day of....., ,
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Notary Public, State of Texas
FIXED BASE OPERATOR MANAGEMENT LEASE AGREEMENT
This MANAGEMENT LEASE AGREEMENT (hereinafter AGREEMENT) shall be between
the City of Paris, Texas, a home rule municipal corporation of the State of Texas (hereinafter
CITY), and J. R. Aviation (hereinafter OPERATOR), which in consideration of the mutual
covenants, agreements, stipulations, and payments, do hereby contract and agree as follows.
WITNESSETH:
It is the desire of OPERATOR to act as a Fixed Base Operator at Cox Field, the Municipal
Airport of the City of Paris, Texas, and to perform all necessary functions and services as such in
conformity to the Standards for Aeronautical Activities on Cox Field as may be amended from
time to time in the Code of City Ordinances for the City of Paris. It is the desire of the CITY for
the OPERATOR to act as Fixed Base Operator at Cox Field in conformity with the Standards for
Aeronautical Activities on Cox Field and the terms of this agreement. In consideration hereof, it
is hereby mutually agreed between CITY and OPERATOR as follows:
Article 1: DEFINITIONS
1. Fixed Base Operator. A Fixed Base Operator is a person, firm, or corporation performing
any of the functions of furnishing any of the services listed herein on a commercial basis.
No person, firm, or corporation may act in the capacity of an FBO without a valid
contract with the City of Paris, authorizing each such activity at Cox Field.
2. Airport Tenant. An airport tenant is a person, firm, or corporation leasing or using airport
property solely for the purpose of storing aircraft and is not engaged in or providing any
aviation related commercial activity or service at the airport. An airport tenant is not
authorized to function as or provide the services of an FBO.
Article 2: DUTIES OF CITY
1. Guarantee OPERATOR access to the leased premises at all times during the term of this
lease.
2. Provide suitable retail, office, and storage space for OPERATOR in connection with
and for the operation of OPERATO's business operations as a Fixed Base Operator for
the Municipal Airport of the City of Paris.
3. Maintain and repair the terminal building wherein the leased premises of the
OPERATOR are located, excepting only as provided by other provisions of this
agreement.
4. Provide, or cause to be provided by others, trash collection for the premises.
5. Maintain aviation fuel storage facilities meeting all applicable local, state and federal
regulations for such facilities.
6. Provide for a reliable television service for weather purposes and the needs of the
traveling public and pilots. OPERATOR shall be allowed to connect to such service,
providing that OPERATOR shall pay any and all costs of such connection.
Article 3: DUTIES OF OPERATOR
1. Furnish and supervise the sale of aviation petroleum products and ramp service
operations. OPERATOR shall receive all the proceeds, rebates and all other
compensations paid for such services, and shall be responsible for the bookkeeping and
accounting for such. OPERATOR agrees that all public aeronautical services furnished
shall be on a fair, equal and not unjustly discriminatory basis, and to charge fair and not
unjustly discriminatory prices for each unit or service; provided that the OPERATOR
may be allowed to make reasonable and nondiscriminatory discounts, rebates, or
other similar types of price reduction to volume purchasers.
2. Maintain at least one truck with aviation or jet fuel dispensing equipment meeting all
applicable local, state and federal regulations for such trucks and equipment.
3. Occupy and operate space provided for the purpose of a retail sales area, an office, and
storage, and install, repair, and store all equipment necessary for the conduct of
OPERATOR's business subject to the approval of the airport owner.
4. Subject to the provisions contained herein, pay to CITY an annual lease payment of
$ per square foot for office and storage space. Payments are to be made at least
monthly and in advance, beginning on the commencement date of this lease and
continuing regularly thereafter during the term of this lease and any extensions thereof.
At its sole option, OPERATOR may prepay any of the rental installments. Rental rates
may be adjusted by CITY at the end of each five-year lease period, computed according
to the Consumer Price Index (CPI) for Dallas -Fort Worth, Texas, or other rates prevailing
in the Paris area for similar facilities. Should OPERATOR fail to make payments in a
timely manner, a late penalty of 10% shall be assessed beginning on the tenth calendar
day after the due date. Should payments remain past due for more than thirty (30) days,
AGREEMENT is in default and may be terminated.
5. Use, with others so authorized, any common areas or equipment on the airport including,
but no limited to, the runways, taxiways, public aircraft and auto parking aprons,
roadways, and navigational aids.
6. Not prevent any person, firm, or employee of a corporation from servicing, maintaining,
or fueling their own aircrafts that might be parked or hangered at the airport.
7. Make it business open to all forms and classes of aeronautical use.
8. Maintain all leased areas and the interior and exterior of any leased constructed buildings
to an acceptable standard.
9. Ensure telephone for public use, ground transportation into town, pilot and
passenger lounge with restrooms, retails business area with restrooms, and coffee
and/or soft drinks.
10. Remove and properly dispose of any trash, waste, or debris from the leased property.
11. May offer flight instruction, if providing a trained, certified instructor, classroom,
telephone, restrooms, and aircraft available for instruction.
12. Assures that no person shall on the grounds of race, creed, color, national origin or
gender be excluded from participating in any employment activities covered in 14
C.F.R. part 152, Subpart E. OPERATOR assures that no person shall be excluded on
these grounds from participating in or receiving the services or benefits of any
programs, and that they will require assurances from their sub -organizations, as
required by 14 C.F.R. Part 152, Subpart E, to the same effect. OPERATOR, in
exercising any of its rights or privileges herein granted to it, shall not on grounds of
race, color or national origin, discriminate or permit discrimination against any
person or group of persons in any manner prohibited oy Part 21 of the Regulations of
the Secretary of Transportation. CITY retains the right to take such action as needed, or
as the United States or State of Texas may direct, to enforce this nondiscrimination
covenant.
13. Operate the business of Fixed Base Operator in compliance with all applicable
Federal and State laws and regulations, as well as the Code of Ordinances of the
City of Paris, including, but not limited to all conditions and requirements
established in the U.S. and Texas Departments of Transportation and the Federal
AviationAdministration.
14. Pay to CITY a Fuel Flowage Fee within ten (10) days after the last day of each
calendar month in the amount of —_cents ($O.__)per gallon of aviation fuel
sold. OPERATOR shall maintain and provide complete and necessary
documentation of fuel sales if requested.
15. Abide by all laws, rules, regulations, guidelines, terms, and conditions of the
airport owner, the Texas Department of Agriculture, the Environmental Protection
Agency, the national Fiore protection Association, the local and state fire marshals
the Texas department of Transportation, the Federal Aviation Administration, and
any other applicable agencies in regard to the use and storage of pesticides, or
other dangerous chemicals; the storage and dispensing of aircraft fuel; the storage,
dispensing, and disposal of engine oil; the maintenance and upkeep of the airport
facilities; the operation of the OPERATOR's business; and the general safety and
operation of the airport.
16. Take good and proper care of the leased premises and be responsible and make good
to CITY all injuries and damages to the same caused by OPERATOR or those under
him and will deliver same to CITY at the expiration or termination of this lease in as
good condition as when completed, usual wear and tear alone excepted; and
OPERATOR will, upon expiration of this lease, peaceably yield up to CITY, all and
singular, the premises and all future erections, additions or repairs to or upon same, in
good repair, including but not limited, to hangar buildings, storage buildings,
permanent installation of equipment, and fixtures and fences. Any improvements or
additions made to real property during the term of the lease will become property of the
airport owner.
17. Allow the CITY's Airport Manager or Representative to enter upon and into the
leased premises and every part thereof at all times for the purpose of inspecting and
examining the condition thereof, and also submit to and abide by periodic safety
inspections by the airport owner, the FAA, and/or TXDOT Aviation.
18. Not assign this lease or sublet the leased premises or any part thereof without the
written consent of the CITY first had and obtained.
19. Agrees to indemnify, save, keep and hold harmless CITY from and against any and
all demands, debts, liabilities, suits, claims and causes of action of every kind and
character whatsoever for damage or injuries to persons and/or property occurring
on the leased premises resulting from OPERATOR's, his invitees, agents, servants
or employees' use, and CITY shall not be liable for OPERATOR, his invitees,
agents, servants, employees or visitors due to the improvements located thereon, or
hereafter constructed, or any other condition of the premises improperly
constructed, maintained or being or becoming out of repair, OPERATOR hereby
waiving any defects therein and agrees to hold and save CITY harmless from all
claims from any such damages or injuries, and OPERATOR must at all times during
the term of this agreement, and any extensions thereof, keep and maintain in full force
and effect a policy or policies of insurance providing at least $100,000 per person
and $300,000 for any single occurrence for bodily injury or death and $10,000 for
any single occurrence for injury to or destruction of property, indemnifying all
persons for any and all damages, personal injuries or property damages sustained in
or upon the premises of said leased property, or any part thereof, as the result of the
negligence of OPERATOR, his invitees, agents, servants or employees, and shall
pay all premiums due thereon when due. It is expressly provided that such
insurance policy or policies shall and must be written and issued by a reputable
insurance company or companies, subject to approval by the City Attorney of the
City of Paris, and OPERATOR or his insurance carrier or carriers shall deliver a
copy of any such policies to the City Clerk of the City of Paris, or furnish to the
City Clerk a current letter or certificate from such company or companies,
evidencing the fact that such insurance is in full force and effect at all times during
this lease and any extension thereof.
20. Provide and maintain in proper condition readily accessible fire extinguishers in a
number and of a type approved by fire underwriters for the particular hazard
involved.
21. Provide air crash and air rescue services. OPERATOR will furnish one person with
crash rescue training with CITY furnishing fire training through the City of Paris
Fire Department. Air Crash and Rescue Services shall be required in the absence of
City Fire and Rescue personnel. Should City Fire and Rescue unit(s) be available on
the scene, OPERATOR shall be required to make themselves available for
assistance if requested.
Article 4: TERM OF AGREEMENT
I. The initial term of this Agreement shall be for a period of five (5) years, commencing
on January 1, 2019, and ending on December 31, 2023.
2. OPERATOR shall have the option to extend this agreement for a five (5) year
period at the expiration of the initial term. OPERATOR shall notify CITY at
least ninety (90) days prior to the expiration of the initial term of its desire for an
extension. Upon OPERATOR's notice for extension the rental payment amount
shall become negotiable for the extension term.
Article 5: DISPUTE RESOLUTION
1. Should OPERATOR default in, or fail or refuse to keep any of the covenants,
conditions, stipulations and/or provisions herein contained, notice thereof shall be
given in writing to OPERATOR by the City Manager or his/her designee, giving
OPERATOR thirty (30) days to correct such discrepancy, and in the event such
default, failure or refusal is not corrected within the thirty day period, a second notice
in writing by certified mail, affording a hearing before the Airport Advisory Board on
a date certain shall be given to OPERATOR by the City Manager or his/her designee.
After affording OPERATOR such hearing the Airport Advisory Board shall
recommend to the City Council that the lease continue or be terminated, and
thereafter the City Council shall take such action as it deems necessary and
appropriate.
2. The controlling law and venue for any dispute that should arise out of this agreement
shall be that of Lamar County, Texas.
Article 6: MISCELLANEOUS PROVISIONS
1. The undersigned officers and/or agents of the parties hereto are the properly authorized
officials and have the necessary authority to execute this AGREEMENT on behalf of the
parties hereto, and each party hereby certifies to the other that any necessary resolutions
or other acts extending such authority have been duly passed and are now in full force
and effect.
2. This Agreement represents the entire and integrated agreement between CITY and
OPERATOR and supersedes all prior negotiations, representations and/or agreements,
either written or oral. This Agreement may be amended only by written instrument signed
by both CITY and OPERATOR.
3. If any clause, paragraph, section or portion of this AGREEMENT shall be found to be
illegal, unlawful, unconstitutional or void for any reason, the balance of the
AGREEMENT shall remain in full force and effect and the parties shall be deemed to
have contracted as if said clause, section, paragraph or portion had not been in the
Agreement initially.
4. This AGREEMENT is executed by the parties hereto without coercion or duress and for
substantial consideration, the sufficiency of which is hereby acknowledged.
5. Waiver by either party or any breach of this AGREEMENT, or the failure of either party
to enforce any of the provisions of this Agreement, at any time, shall not in any way
affect, limit or waive such party's right thereafter to enforce and compel strict compliance
of the AGREEMENT.
6. This AGREEMENT shall be drafted equally by all parties hereto. The language of all
parts of this AGREEMENT shall be construed as a whole according to its fair meaning,
and any presumption or principle that the language herein is to be construed against any
party shall not apply. Headings in this AGREEMENT are for the convenience of the
parties and are not intended to be used in construing this document.
7. This AGREEMENT may be executed in a number of identical counterparts, each of
which shall be deemed an original for all purposes.
8. This AGREEMENT shall not be assigned without the written consent of CITY, which
shall not be unreasonably withheld, conditioned or delayed. Any amendment to this
AGREEMENT shall be in writing and signed by all parties to the AGREEMENT.
9. The rights and remedies provided by the AGREEMENT are cumulative, and the use of
any one right or remedy by CITY shall not preclude or waive any right to use any or all
other remedies.
10. Where the terms of this AGREEMENT require that notice in writing be provided, such
notice shall be deemed delivered three (3) days following the deposit of the notice in the
United States mail, postage prepaid, and sent by certified mail, return receipt requested
and properly addressed as follows:
CITY:
City of Paris
P. O. Box 9037
Paris, TX 75461-9037
OPERATOR:
JR Aviation
11. This AGREEMENT shall be binding upon, and inure to the benefit of, the parties of this
Lease and their respective heirs, executors, administrators, legal representatives,
successors, and assigns when permitted by this Agreement.
12. This AGREEMENT shall be construed under, and in accordance with the laws of the
State of Texas, and all obligations of the parties created by this Lease are performable in
Lamar County, Texas.
EXECUTED on this day of February, 2019,
THE CITY OF PARIS, TEXAS
City Manager
ATTEST:
City Clerk
APPROVED AS TO FORM:
City Attorney
STATE OF TEXAS
COUNTY OF LAMAR
J..R. Aviation
This instrument was acknowledged before me on the day of 20, by
Notary Public, State of Texas
STATE OF TEXAS
COUNTY OF LAMAR
This instrument was acknowledged before me on the day of , 20 , by
Notary Public, State of Texas