Public Hearing: YES ☐ NO ☒ Department: Airport
SUBJECT:
Title
Commission District(s): 1 & 6
Lease Agreement with Signature Flight Support Corporation. There is no cost to the County.
Body
Information Contact: Mario A. Evans, Airport Director
Phone Number: 770.936.5440
PURPOSE:
To consider approval of new Lease Agreement with Signature Flight Support Corporation, effective November 1, 2017; and to consider authorizing the Chief Executive Officer to execute the new Lease Agreement.
NEED/IMPACT:
The new lease agreement was negotiated in accordance with the DeKalb County Code and is for a term of twenty years. This new agreement accomplishes the following in part:
(1) Updates and verifies the tract surveys for the 13.421 acres (584,583 square feet) involved in the lease;
(2) Provides for capital improvements to the leased ground and improvements thereon in the amount of $4,300,987.00, within three years from the effective date of the agreement;
(3) Escalates the monthly rent from $22,589.02 to $63,107.95 effective on the commencement date of the new agreement;
(4) Escalates the monthly rental payments by 10% every five years or a percentage rate computed by using the Consumer Price Index (All Urban Consumers, South Region) data;
(5) Establishes the fuel flowage fee in the amount of $0.14 per gallon for fuel, oils and lubricants delivered to the leased property;
(6) Increases the fuel flowage fee every five years by one cent per gallon or a percentage rate computed by using the Consumer Price Index (All Urban Consumers, South Region) data;
(7) Lessee is responsible for all maintenance, routine and/or emergency of all facilities;
(8) Lessee is responsible for all utility payments;
(9) Fully incorporates all existing airport security and access control measures for accessing the airside /
ramp side of the property.
FISCAL IMPACT:
This is a revenue generating lease agreement.
RECOMMENDATION:
Recommended Action
To approve the resolution and authorize the chief executive officer to execute all necessary documents....
One attachment entitled “Lease Agreement with Signature Flight Support Corporation” will be forthcoming and will be included.