Public Hearing: YES ☐ NO ☒ Department: Airport
SUBJECT:
Title
Commission District(s): 1 and 6
Lease Agreement with Helicopter Express, Inc. 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 Lease Agreement with Helicopter Express, Inc., effective August 1, 2021; and
To consider authorizing the Chief Executive Officer to execute the Agreement.
NEED/IMPACT:
The new lease agreement replaces Contract No. 500861 (formerly 79-1795) and is for a term of twenty years. It was negotiated in accordance with the DeKalb County Code. The new lease agreement accomplishes the following in part:
(1) Updates and verifies the N-1 Tract survey for 1.549 acres involved in the lease;
(2) Commits to no less than $234,976.84 in improvements to the leasehold;
(3) Establishes a monthly rental payment of $8,294.00 effective the date of the agreement;
(4) Escalates the monthly rental payments by 10% every 5 years commencing on August 1, 2026;
(5) Raises the fuel flowage fee (FFF) to $0.14 per gallon for fuel, oils and lubricants delivered to the leased property;
(6) Escalates the fuel flowage fee (FFF) by $0.01 per gallon or shall increase based upon the CPI, of fuel delivered to the leased property every 5 years;
(7) Reverts ownership to DeKalb County/PDK Airport of all new improvements (including newly constructed buildings and/or replacement structures) at the termination of the lease agreement;
(8) Lessee is responsible for all maintenance, routing and emergency of all facilities;
(9) Lessee is responsible for all utility payments;
(10) Fully incorporates all existing airport security and access control measures for accessing the airside / ramp side of the property.
The proposed lease was briefed to the Airport Advisory Board (AAB) on September 13, 2021, and a unanimous motion to recommend approval of the lease passed.
The County Attorney has reviewed the document and approved it as to form pending Governing Authority approval.
The original documents are in the Purchasing and Contracting Department.
FISCAL IMPACT:
This is a revenue generating lease agreement. There is no cost to the County.
RECOMMENDATION:
Recommended Action
To approve the resolution and authorize the chief executive officer to execute all necessary documents....
Attachment: Lease Agreement with Helicopter Express, Inc.