The city may lease property within the building area or other portions of the airport for the storage of aircraft, the construction of hangars, buildings, aprons, taxiways, and auto parking lots in accordance with an approved Airport Master Plan/Airport Layout Plan. Aviation related use must be given priority in the use of all leased or privately owned property, building, or structures. If the aviation needs of the airport are sufficiently met, the city may authorize non- aviation use of any portion of the airport or any building on the airport on a case by case basis. Application of such non-aviation use shall be made to the City Council.
(A) The Mayor, or his designated representative, shall have the authority to execute all lease agreements.
(B) Leases shall contain, among other provisions adopted by City Council, the following provisions of this chapter.
(C) No ground lease for a private hangar shall be written for an initial period in excess of 20 years. Thereafter, the lease shall be renewed for a subsequent five year term, upon written notice by the tenant at least 60 days prior to termination of the written lease. At the end of term the tenant may remove the structure or request subsequent lease terms upon written notice by the tenant at least 60 days prior to termination of the lease. The City Council must approve all leases extending beyond a 25 year term. All lease renewals will require execution of a new lease agreement.
(D) The ground lease shall provide an annual payment payable to the city on or before the tenth day of January each year. If commencement of lease is not the first day of January, the tenant shall pay a prorata of the annual lease.
(E) T-hangars are leased on a monthly basis, as available. Lease payments may be made monthly, quarterly, or annually. The T-hangar lease shall be payable on or before the tenth day of each succeeding month, quarter, or year. Either party may terminate the lease without cause by giving at least 30 days written notice.
(F) All lease fees shall be subject to approval by the City Council. Rental adjustments shall be effective on January 1, 2005 and subject to review and adjustment each January 1 thereafter. Adjustments shall be based on the Consumer Price Index for the Urban Consumers (CPI-U) for the closest geographical region to the airport, as compiled by the U.S. Department of Labor, Bureau of Labor Statistics and shall be based on the previous 12 months accumulative index multiplier.
(G) The City Council shall adopt certain architectural requirements that shall become a part of any ground lease agreement.
(H) Any leased premises may be used for aviation purposes only. Tenant shall not use leased premises for the sale of goods and/or services to the public without prior written consent of the City Council.
(I) If the tenant deserts or vacates a private hangar, the city may enter upon and take possession in order to protect the structure from deterioration and continue to demand from the tenant rental due, and/or the city may elect to re-let property.
(J) If the tenant's aircraft is not situated in a city owned T-hangar for 120 consecutive days (except for the time period when the aircraft is being repaired, altered, or otherwise maintained), the city may enter upon and take possession in order to protect property from deterioration and continue to demand from the tenant monthly rental, and/or the city may elect to re-let property.
(K) Leased T-Hangars cannot be sublet, assigned or transferred by the tenant. Ground leases may be sublet by the tenant only with written approval of City Council.
(L) All construction must be authorized by the City Council and must comply with any and all city building codes, airport compatible and use or zoning ordinances, the approved Airport Layout Plan and any architectural requirements set forth by the City Council.
(Ord. 2003-8, passed 8-19-03)