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HomeMy WebLinkAbout13319RESOLUTION NO. 13319 A RESOLUTION APPROVING A RESTAURANT LEASE AND OPERATING AGREEMENT BETWEEN THE CITY OF PUEBLO, A MUNICIPAL CORPORATION AND AVIATOR SERVICES GROUP AND AUTHORIZING THE PURCHASING AGENT TO EXECUTE SAME BE IT RESOLVED BY THE CITY COUNCIL OF PUEBLO, that: SECTION 1. A certain Restaurant Lease and Operating Agreement, a copy of which is attached hereto and made a part hereof by reference, after having been approved as to form by the City Attorney, by and between the City of Pueblo, a Municipal Corporation, and Aviator Services Group relating to the lease of space in the terminal building at the Pueblo Memorial Airport for a restaurant operation is hereby approved, subject to the conditions as set forth in Said Restaurant Lease and Operating Agreement SECTION 2. The Purchasing Agent is hereby authorized to execute said Restaurant Lease and Operating Agreement on behalf of Pueblo, A Municipal Corporation, and the City Clerk shall affix the Seal of the City thereto and attest the same: SECTION 3. This Resolution shall become effective upon passage and approval. INTRODUCED: October 26, 2015 BY: Dennis Flores City Clerk’s Office Item # M-5 Background Paper for Proposed Resolution COUNCIL MEETING DATE: October 26, 2015 TO: President Steve Nawrocki and Members of City Council CC: Sam Azad, City Manager VIA: Gina Dutcher, City Clerk FROM: Aviation Department A RESOLUTION APPROVING A RESTAURANT LEASE AND SUBJECT: OPERATING AGREEMENT BETWEEN THE CITY OF PUEBLO, A MUNICIPAL CORPORATION AND AVIATOR SERVICES GROUP AND AUTHORIZING THE PURCHASING AGENT TO EXECUTE SAME SUMMARY: The approval of this resolution will allow Aviator Services Group to operate the restaurant at the Pueblo Memorial Airport. PREVIOUS COUNCIL ACTION: None. BACKGROUND In July of 2015, the lease with the operator of the airport restaurant expired. A request for proposals was advertised just prior to the expiration date and no proposals were received. The operator decided to close the restaurant instead of entering into a new agreement with the City. Another request for proposals was advertised in August of 2015 and two proposals were received. The proposals were reviewed by an Evaluation Committee and the proposal from Aviator Services Group was determined to be the most qualified. FINANCIAL IMPLICATIONS: The lease is for 5 years with an option for 5 years. The rent will be $1,200 monthly with a 1% annual escalation. The first 18 months of rent will be waived in lieu of the purchase of new equipment that will remain with the restaurant when the operator leaves. Therefore, the first rent payment due to the city is in July, 2016 in the amount of $1,212.00. BOARD/COMMISSION RECOMMENDATION: The Airport Advisory Committee has been apprised of the selection and is in favor of signing an agreement for the operation of the restaurant. STAKEHOLDER PROCESS: Not applicable. ALTERNATIVES: If City Council does not approve this lease and operating agreement, the restaurant will remain closed until another RFP process can be completed and another operator selected. RECOMMENDATION The City Manager’s Office and the Department of Aviation recommend the approval of this Resolution. Attachments: Lease & Operating Agreement for Pueblo Memorial Airport Restaurant LEASE AND OPERATING AGREEMENT FOR PUEBLO MEMORIAL AIRPORT RESTAURANT THIS LEASE made and entered into this 2w1-hday of October, 2015 between THE CITY OF PUEBLO, A MUNICIPAL CORPORATION, hereinafter referred to as the "LESSOR" and, AVIATOR SERVICES GROUP, LLC, hereinafter referred to as the"LESSEE". WITNESSETH: That in consideration of the payment of rent hereinafter provided and the keeping and performance of the covenants and agreements of the Lessee, as hereinafter set forth, Lessor has and does hereby lease unto the Lessee, a certain area in the Terminal Building located at Pueblo Memorial Airport, Pueblo County, Colorado (herein "AIRPORT") described in Exhibit A attached hereto and incorporated herein as if set out in full (herein "Property" or "Leased Premises") for the sole purpose of conducting a restaurant business therein for a term of five(5)years from November 1,2015 to October 31,2020("Initial Term"). If not in default under this Lease, Lessee shall have the option to extend the term of this Lease for a five(5)year period from November 1, 2020 to October 31, 2025 ("Optional Term") by giving to Lessor written notice of its exercise of such option on or before April 30, 2020. The extended term shall be upon the same covenants and conditions except (a) there shall be no further option to extend this Lease, and (b) the rent during the extended term shall be increased in an amount to be determined by Landlord at the time of renewal. If Lessee does not timely exercise its option to renew,the option to renew shall terminate and be of no further force and effect. Prior to the expiration of the initial term, this lease can be terminated by either party by giving ninety (90) days written notice. If notice is by Lessee,any deposits held by Lessor shall be forfeited. I. RIGHTS AND PRIVILEGES OF LESSEE A. Lessee shall engage in and conduct said Restaurant business at and on the Property for the convenience of patrons and tenants of the Airport and the general public desiring such services at the Airport; which right,without limiting the generality hereof, shall include: 1. The right, subject to necessary licensing, to serve food, soft drinks, and alcoholic beverages, and other items pertaining to the operation of a restaurant. The right to sell tobacco products, ice cream products, gum, candies, and similar items commonly offered for sale at a restaurant. 2. The non-exclusive right to provide in-flight food service to scheduled and supplemental airlines, private and executive aircraft who have requested said services of Lessee, and the right to prepare food on the Property and deliver, or cause to be delivered, to and for the purpose of consumption elsewhere. 3. The right to use, operate, and maintain equipment owned by Lessor and shown in Exhibit C attached hereto and made a part hereof("Equipment"). 4. The right to equip, install, operate and maintain on the Airport, at Lessee's expense advertising facilities; provided however, that in all cases the number, size, location, general type and design, and the method of installation shall be subject to the prior approval of the Director of Aviation or his designated representative. This limitation shall apply to and include all signs, 1 placards, posters, or other forms of identification or advertising media, installed, placed upon or affixed to the Property exclusively to Lessee hereunder. 5. The right, subject to prior approval of the Director of Aviation, of plans and specifications, location and inspection of same; to make improvements, modifications, revisions and other alterations to the Property. Unless otherwise agreed to by the parties in writing prior to the beginning of construction or installation, all costs of such improvements, modifications, revisions and alterations shall be borne solely by Lessee, and all such improvements, modifications, revisions or alterations shall become and remain the property of the Lessor. 6. Lessee, its employees and invitees shall have the right of ingress and egress between the main entrance of the Airport as the same now exists or may hereafter be relocated and the Leased Premises over, upon and through such streets and no other as from time to time shall be designated by the Director of Aviation. Driveways from existing streets into the Leased Premises shall be located as designated by the Director of Aviation. III. RIGHTS AND PRIVILEGES OF LESSOR A. All rights not herein specifically granted to the Lessee are reserved to Lessor. B. Lessor also reserves the right to require Lessee to make any adjustments deemed necessary to improve the interior appearance of the Leased Premises or the quality of service rendered in connection with Lessee's operation. IV. OBLIGATIONS OF LESSEE A. It shall be the obligation of Lessee to continuously operate and conduct the restaurant business as herein set forth, and to maintain the Property at all times in a safe, clean, orderly and attractive condition. B. Lessee, its officers, employees, agents or servants shall, at all times, comply with the Federal Pure Food and Drug Laws, Health Rules and Regulations and other applicable Laws and Regulations of the United States Government, and the State of Colorado and all applicable Ordinances, Codes and Regulations of the City and County of Pueblo, including the rules and regulations governing the operation of the Airport. C. All food, beverages, confections and other items sold and kept for sale by Lessee shall be of high quality, wholesome and pure and the service shall be prompt, attractive, clean, efficient and courteous. Violation of any provision of this paragraph by Lessee, its officers, employees, agents or servants shall cause this Lease to be subject to cancellation by Lessor, if not corrected immediately upon written notice by the Director of Aviation. D. Except as otherwise specifically provided herein, Lessee shall pay all costs of operating the restaurant business and maintaining the Property, including without restriction because of enumeration, necessary personnel, all licenses, permits or other similar authorizations as required under Federal, State or Local Laws and Regulations, insofar as they are necessary to comply with the requirements of this Lease and the rights and privileges extended against its property, situated on, or within,the Leased Premises or otherwise within the confines of the Airport. E. Lessee shall, at its sole expense, maintain and keep the Leased Premises, and all improvements thereon, including without limitation, the Equipment, Sewer and Water lines and connections, 2 Plumbing, Heating and Air Conditioning equipment and systems, in good condition, appearance, and state of repair and provide all interior building maintenance, repair, and custodial service for the Leased Premises. It being expressly understood and agreed that Lessor shall not be responsible for any defect in the Leased Premises or improvements thereon or obligated to make any repair, except for exterior maintenance and repairs to the exterior of the Property. 1. If Lessee should fail to keep and maintain the Leased Premises or improvements thereon in such good order and repair as is reasonably required, Lessor may, without any obligation to do so, enter the Leased Premises, without such entering causing or constituting a termination of the Lease, or an interference with the possession of the Leased Premises by Lessee, and perform the necessary maintenance and/or restoration work to the Leased Premises to the condition required by the Lessor, the cost of which shall be borne solely by Lessee. All such costs shall be paid by Lessee to Lessor in addition to rents, within thirty (30) days after completion of the work. F. The Lessee shall, at its own expense, keep the Leased Premises neat, clean, safe and orderly at all times, free of waste, rubbish and debris, and shall provide a complete and proper arrangement for the sanitary handling and disposal of all trash, garbage, and other refuse resulting from its activities at the Airport. All trash,garbage,and other refuse shall be out of view of the public. G. Lessee shall pay all utilities supplied to and used in the Leased Premises, and shall enter into separate agreements with the utility organizations for metering such services; except that the Lessor shall furnish at its expense water and sewer services for the Leased Premises. H. Lessee shall at all times retain an active, qualified, experienced and competent manager to supervise the restaurant business who shall be authorized to represent and to act for and on behalf of the Lessee. 1. Lessee's personnel shall be courteous, efficient, clean and neat in appearance, and shall be trained and qualified to perform any and all services to the public required or contemplated under the terms of this Lease. 2. Lessee shall not employ any person or persons in or about the Leased Premises who shall use improper language,or act in a loud, boisterous,or otherwise improper manner. Lessee,except as may be otherwise provided in other contracts entered into with the Lessor, shall not engage in any business at the Airport other than that which is expressly authorized herein. J. Lessee shall repair all damages to the Leased Premises caused by its officers, employees, invitees, agents or patrons or arising out of Lessee's operations thereon. K. Period of Restaurant operation: 1. Except as herein set forth,the dining room area of the Restaurant shall remain open for service to the public seven (7) days per week and a minimum of 8 hours per day, with adequate service to meet the public demand. The Director of Aviation may require extension of operating hours to meet anticipated demand. 2. The sale of alcoholic beverages shall be subject to Regulations as provided by the Statutes of the State of Colorado and Local Ordinances, Rules and Regulations, whichever may apply to the Premises under the Agreement. 3 3. Any change in the minimum hours or days of operation of the Restaurant is prohibited without the prior written approval of the Director of Aviation. V. OBLIGATIONS OF LESSOR A. Lessor, at its cost, shall provide water and sewer services for the Leased Premises, unless conditions beyond the Lessor's control shall prevent Lessor from so supplying such water and sewer services. B. Lessor shall provide periodic washing of windows on the outside only. C. Lessor shall not be responsible for any damage to, or loss of property of Lessee, its officers, employees,agents, servants,patrons, or any other person or persons at the Airport. VI. RENT AND FEES A. Lessee agrees to pay to the Lessor, without offset or deduction, at such places as the Lessor may designate from time to time, for the use of the premises, facilities, concession rights and privileges, annual rent in the amount of$14,400 to be paid in equal monthly installments of$1,200 on or before the 1St of each month beginning November 1, 2015. The annual rent shall increase by no less than one percent(1%) on November 1St of each year during the Initial Term and any subsequent Optional Term. B. All monthly installment payments of rent shall be due on the 1st of each month. Monthly installment payments of rent shall be considered late if received after the 10th day of the month and a late fee of $100 assessed against the Lessee. C. Lessee shall keep and maintain at the Leased Premises accurate and complete books and records of its Restaurant operation and gross receipts. Lessee shall permit the duly authorized representative of the Lessor to examine Lessee's books at any time during business hours. VII. EQUIPMENT AND CAPITAL IMPROVEMENTS A. Lessor has made certain capital improvements to the Property and owns the Equipment located on the Property as set forth in Exhibit C attached hereto. Lessee shall have the right to use such Equipment in the operation of the Restaurant business at and on the Property. All such Equipment shall remain the property of the City and shall be returned to the City at the termination of this Agreement in good and working condition. B. Lessee shall be responsible for all maintenance, repair and replacement of equipment. Lessee shall he solely responsible for all routine maintenance of the equipment, supplies and Property. Lessor may, at its sole and absolute discretion, reimburse Lessee the actual cost to repair or replace equipment or otherwise improve the Property by deducting the actual cost for such repair and replacement of equipment or improvement of the Property from Lessee's rental obligation for a total off-set of no more than 18 months of rent. In order to obtain any such deduction or off-set, Lessee must provide Lessor with receipts, cancelled checks, lien waivers or such other documentation sufficient to demonstrate the actual cost incurred by Lessee. All equipment and improvements shall become the property of the City for Lessee's use only as long as it operates a Restaurant business on the Property. Upon termination of this Agreement, all such equipment and improvements shall be returned to the City in good and working condition. 4 VIII. MISCELLANEOUS A. The Lessee by accepting this Lease expressly agrees for itself, its successors and assignees that it will not make use of the Leased Premises in any manner which might interfere with the landing and taking-off of aircraft from Pueblo Memorial Airport or otherwise constitute a hazard to aviation. In the event the aforesaid covenant is breached, the Lessor reserves the right to enter upon the Leased Premises and cause the abatement of such interference at the expense of the Lessee. B. Lessor and Lessee understand and agree that the General Provisions consisting of Paragraph 1 though 17, attached hereto as Exhibit B are incorporated herein and shall be binding upon and inure to the benefit of Lessor and Lessee as if set out herein full. In the event of a conflict between the provisions of the General Provisions and this Lease,the provisions of this Lease shall control. C. If Lessee defaults in the payment of rent or any part thereof or fails to perform or observe any of the conditions and covenants on its part to be performed or observed hereunder, and such default or failure shall continue for a period of ten (10) days after written notice thereof has been mailed to Lessee by first class mail addressed to Lessee at its last known address at Pueblo Memorial Airport, then, in that event, and as often as same may happen, it shall be lawful for City, at its election, with or without notice, to terminate this Lease without prejudice to any claim for rent or for breach of covenants, or without being guilty of trespass or forcible entry or detainer. City is hereby granted a lien and security interest for payment of rent and damages for breach of covenants upon all Lessee's goods and personal property which is or may by placed upon the Property including without limitation business fixtures, equipment, inventory and proceeds thereof and such lien may be enforced by the taking and sale of such property in the same manner and as provided for the disposition of collateral under the Colorado Uniform Commercial Code. D. If the Property is left vacant and any part of the rent remains due and unpaid, City may, without being obligated to do so, and without terminating this Lease, retake possession of the Property and rent the same for such rent and upon such terms as City may think best, making such changes and repairs as may be required, giving credit for the amount of rent received less all expenses of such changes and repairs, and Lessee shall be liable for the balance of the rent until expiration of this Lease. E. Lessee agrees to pay to City all costs, including reasonable Attorney Fees, of any action brought by City to enforce the Lease or to recover rent or other money due and unpaid under the Lease or to recover possession of the Property,whether such action proceeds to judgement or not. F. No waiver of any breach of any one or more of the conditions or covenants of this Lease by City shall be deemed to imply or constitute a waiver of any succeeding or other breach hereunder. The acceptance of rent by City shall not constitute a waiver of any breach then existing. G. If Lessee remains in possession of the Property after termination of the Lease without written agreement, such possession shall be deemed to be a tenancy from month to month upon the same covenants and conditions set forth herein and at a monthly rental equal to two times the average of the monthly rent payable hereunder for the prior twelve months. H. In the event of a fire or other casualty in or to the Leased Premises, Lessee shall immediately give notice to Lessor. If the Leased Premises, through no fault nor neglect of Lessee, its agents, employees or invitees, shall be damaged by fire or other casualty so as to render the Leased Premises untenantable, and Lessor elects to repair the same, the rent herein shall abate thereafter until such time as the Leased Premises are made tenantable by Lessor. In the event the Leased Premises or the 5 Terminal Building shall be damaged by fire or other casualty and Lessor shall decide not to rebuildor repair(which decision Lessor may make in its sole discretion) then all rent owed up to the time of such damage shall be paid by Lessee and this Lease shall terminate. I. Lessee has deposited the sum of$1,000 with Lessor as security for Lessee's prompt performance of all the terms covenants and agreements contained in this Lease. Lessee understands and agrees (i) that such deposit is not a prepayment of rent and that Lessor shall not be obligated to apply said deposit to any unpaid rent or portion thereof, although it may do so at its option; and (ii)that Lessor shall have no obligation to account to Lessee and Lessee shall have no right to recover from Lessor any interest, earnings or other increments which may accrue during the time such deposit is held by Lessor. IX. EXHIBITS TO AGREEMENT Exhibit A: Floor Plan of Leased Premises Exhibit B: General Provisions Exhibit C: List of City Owned Restaurant Equipment All such exhibits are incorporated herein by this reference. IN WITNESS WHEREOF,the parties have caused this Agreement to be executed as of this day and year. DATED THIS 'day of ec ,20 45:— Attest: LESSOR: PUEBLO,A MUNICIPAL CORPORATION BY City Cler Purchasing Agent APPROVED AS TO FORM: LESSEE: AVIATOR SERVICES GROUP, LLC CC/V ' C. i<740 BY . City Attorney odd Ricci,Owner 6 • w n7:.-- •,. 1 Q ns 0' ZS' 9' k. 10 i 0 4,1j 0CII j 11 _4/ N®II fill Or) --°1 LC ^ i, f11 €7.4 : —_ 2 ^n Q .16 r y _ - Z I- 'PI 1 ,, P ErR;NC£ ' ' rs 1 1, Page 7 Exhibit B General Provisions 1. This Lease is subject and subordinate to the provisions of any existing or future agreement between the City and the United States Government or any agency thereof relating to the operation or maintenance of the Pueblo Memorial Airport. The United States Government has reserved the right of immediate re-entry in, to and upon the Pueblo Memorial Airport including the Property in the event of a National Emergency. If such a right is exercised,the Lease shall terminate and Lessee shall immediately quit and vacate the Property and remove all its property and equipment therefrom. If the Lease is so terminated, neither City nor Lessee shall be liable or responsible to the other party for any damages or account of any covenants of the Lease or herein otherwise contained. 2. The terms and provisions of the Lease and these General Provisions are subject to the provisions of Chapter 1 of Title III of the 1971 Code of Ordinances by the City in effect at the time of execution of the Lease or as same may be hereafter amended. In the event of a conflict between the provisions of said Chapter 1 of Title III and any provision of the Lease or these General Provisions,the provisions of said Chapter 1 of Title III shall control. 3. City reserves for the use and benefit of the public, a right of flight for the passage of aircraft above the surface of the property,together with the right to cause in said airspace such noise as may be inherent in the operation of any aircraft now known or hereafter used, for navigation of or flight in said airspace, and for use of said airspace for landing on, taking off from, or operation on or over the Pueblo Memorial Airport. 4. City reserves the right, without any obligation on its part to do so, to maintain and keep in repair the landing area of the airport or other public areas or facilities and to develop, modify, change, relocate, abandon or improve the Pueblo Memorial Airport, or any part thereof, as it may determine, in its sole and absolute discretion, at any time. Lessee hereby releases and forever discharges City from any and all damages or injuries resulting from or occasioned by any such actions taken or omitted to be taken by the City. 5. Lessee in performing its operations or providing services under the Lease shall: a. Furnish good,prompt,and efficient services. b. Operate and furnish services on a fair, equal, and nondiscriminatory basis to all users thereof. c. Charge fair, equal, reasonable and nondiscriminatory prices for each unit of sale or service, including parts, materials, and supplies, provided Lessee may be permitted to make reasonable and nondiscriminatory discounts, rebates or other similar type of price reductions to quantity purchases. 6. The Lessee, as a part of the consideration hereof does hereby further covenant and agree, as a covenant running with the property, that in the event facilities are constructed, maintained, or otherwise operated on the Property for a purpose for which a Department of Transportation program or activity is extended or for another purpose involving the provisions of similar services or benefits, the Lessee shall maintain and operate such facilities and services in compliance with all other requirements imposed pursuant to Title 49, Code of Federal Regulations, Department of Transportation, Subtitle A, Office of the Secretary, Part 21, Nondiscrimination in Federally-Assisted Programs of the Department of Transportation - Effectuation of Title VI of the Civil Rights Act of 1964, and as such Regulations may be amended(herein "Regulations"). Page 8 The Lessee does further hereby covenant and agree, as a covenant running with the Property, that: a. No person on the grounds of race, color, national origin, age, or disability shall be excluded from participation in, denied the benefits of, or be otherwise subjected to discrimination in the use of the Property. b. In the construction of any improvement on, over, or under the Property and the furnishing of service thereon, no person on the grounds of race, color, national origin, age, or disability shall be excluded from participation in, denied the benefits of, or otherwise be subjected to discrimination. c. The Lessee shall use the Property in compliance with all other applicable requirements imposed by or pursuant to the Regulations. That in the event of breach of any of the above nondiscrimination covenants, the City shall have the right to terminate the Lease and to re-enter and repossess the Property and the facilities thereon,and hold the same as if the Lease had never been made or issued. 7. Lessee, its officers, agents and employees shall faithfully observe all rules and regulations affecting the use of the Pueblo Memorial Airport or motor vehicles thereon or the use and occupancy of the Property, whether established by the Director of Aviation, the City, the State of Colorado, or the United States or agencies thereof and Lessee's use and occupancy of the Property and improvements thereon are subject to all ordinances of the City located within the jurisdictional limits of the City. 8. Lessee shall indemnify and save harmless the City, its officers, agents, and employees from and against any and all claims, demands, actions, suits and expenses (including reasonable attorney fees) of any nature including those based upon injury to persons including death, or damage to property, including loss of use, arising out of, caused by, or sustained by the acts or omissions of Lessee, its officers, agents, or employees, or in connection with the performance of the Lease, or by conditions created thereby, or by conditions of the Property, or based upon any violation of any statute, ordinance, or regulation, except those caused by the negligence of the City, its officers,agents or employees. 9. Lessee shall maintain at its expense during the effective period of the Lease: a. Comprehensive general liability, products liability, and property damage insurance against liability for injuries to or death of any person for damage to or loss of property with limits not less than$1,000,000 combined single limit per occurrence. b. Workmen's compensation insurance with policy provisions as required by Colorado State Law. Lessee shall furnish to the City a certificate from an insurance company acceptable to the City certifying such insurance to be in force during the effective term of the Lease. All such insurance shall provide for a minimum of ten (10) days notice to the City in the event of cancellation or material change in the terms thereof. The City reserves the right to reasonably increase the minimum insurance limits set forth in(a)above. 10. The Lease and these General Provisions are intended as the complete integration of all understandings and agreements between the parties. No prior or contemporaneous addition, deletion, or other amendment shall have any force or effect whatsoever unless specifically Page 9 included in the Lease. No subsequent renovation, renewal, addition, deletion, or other amendment to the Lease or hereto shall have any force or effect unless embodied in a written agreement and approved by Resolution or Ordinance of the City Council of the City. 11. Lessee shall not assign or otherwise transfer the Lease or any of Lessee's interest therein or sublease the Property or any portion thereof without the prior written consent of the City. If Lessee is a corporation or partnership, a majority interest in the partnership shall not be sold or otherwise transferred without the prior written consent of the City. Any such assignment, transfer or sublease made without prior written consent of the City shall be void and ineffective as to the City and shall constitute grounds to terminate the Lease. 12. In case any one or more of the provisions contained herein or in the Lease shall be invalid, illegal or unenforceable in any respect, the validity, legality, and enforceability of the remaining provisions contained herein or in the Lease shall not be affected or impaired thereby. 13. Whenever in the Lease or in these General Provisions any of the Parties hereto is named or referred to, the successors and assignees of such party shall be deemed to be included and all the covenants, promises and agreements contained herein or in the Lease by or on behalf of the Lessee, or by and on behalf of the City, shall bind and inure to the benefit of the respective successor and assignees,whether so expressed or not. 14. It is the intention of the parties hereto that the Lease and these General Provisions and the rights and obligations of the parties hereunder shall be governed by and construed and enforced in accordance with the laws of the State of Colorado. 15. Lessee shall at its expense, throughout the term of this Lease, maintain and keep in force the following insurance: Contractual liability insurance to insure the performance by Lessee of the indemnification agreement of paragraph(8)hereof. All such insurance shall provide for a minimum of ten (10)days notice to the City in the event of cancellation, non-renewal or material modification. Lessee shall provide the City with certificates of such insurance. 16. Neither the City nor Lessee shall be liable to the other for any business interruption or any loss or damage to property or injury to or death of persons occurring on the Airport, or in any manner growing out of or connected with the Lessee's use and occupancy of the Property or the condition thereof, whether or not caused by the negligence or other fault of City or Lessee, or their respective officers, agents or employees. This release shall apply to the extent such business interruption, loss, or damage to property or injury to or death of persons is covered by insurance regardless of whether such insurance is payable to or protects the City or Lessee or both. Nothing herein shall be construed to impose any other greater liability upon either City or Lessee than would have existed in the absence of this provision. This release shall be in effect so long as the applicable insurance policies contain a clause to the effect that this release shall not affect the right of the insured to recover under such policies. Such clauses shall be obtained by the parties whenever possible. The release in favor of City contained herein, is in addition to, and not in substitution for, or in diminution of the hold harmless and indemnification provisions hereof. 17. The Lease and any amendment or modification thereto are subject to the prior written approval of the Federal Aviation Administration. Lessee agrees to comply with notification and review requirements of construction, modification, or alteration of any building or structure on the Property. Page 10 Exhibit C Inventory of Restaurant Equipment Owned by the City of Pueblo REVISED: July 17,2015 j®� (/����P! a!�ph MAKE MODEL# . SERIAL# gCOMMENTS • :A LT rII`S ' $ ''.h �q§ et.` 14.1 .>,77.5: sa .� a: : s ; Bar Blender w/2 tops, '1 Waring 36BL70 Didn't test Cooler/Freezer—2 1 US Cooler 4305 Lessor to replace door walk-in Walk in step plate, complete motor and compressor leaning/maintena nce., and replace door insulation strip Commercial dish Lessor to washer purchase and install Dryer—clothes 1 Maytag LZE4000A A3204209 OK CL Freezer—2 door 1 True T-49F 1-2527935 Lessor to repair— including Compressor, component cleaning, and motor bearings replaced Griddle—Gas with 1 Wolf Lessor to repair stand Broken control Knobs Ice Machine bin & 1 Lessor to scoop Purchase ice maker Mixer 1 Hobart A-200-T 1790693 Not working Washer—clothes 1 Kenmore 110 CF2607226 Seemed OK Broiler with stand — 1 Imperial Lessor to install 36" gas New gas lines, pilot towers, control knobs, briquettes, and grill plates Cooler—2 door 1 True T-49 1-670768 Lessor to replace Door gaskets, motor bearing Page 11 Deep Fryer 2 FryMaster MJ145ESD 9708GA005 1 does not work FryMaster GF14SP 9 1 Didn't test. On 9510FM060 walkthrough 9 airport staff indicated that both worked. Microwaves 3 Sharp R-21 FC 213668 Seemed OK Amana RCS810L 960114994 Amana W 9 RCS810L 960114995 1 Oven— Double stack 1 Garland TTE4 109532 Lessor to replace convection motor bearings, door gaskets on top oven Toasters 2 Proctor/Sil 22475 2 only— 1 does ex 22475 not work & the Proctor/Sil other was ex replaced. Did not test Salad Serving Station 1 Randell 9801 AJ04322-1 Lessor to replace with Refrigerator Compressor, repair fan. Salad Bar with 1 Delfield 8187-6 95263 M Lessor to replace Compressor — 2 warmer knobs not working Meat Slicer 1 Unnex 7510 Did not test Freezer 1 Delfield 407 325235-T Not working— duplicate? Food Disposer 1 Insinkerat SS75-27 MJ266173 Did not test or Iced Tea Bins 2 Bunn Turned on but did Bunn not test brew Coffee Warmers 2 Bun-O- WX2 WX000501 Turned on but did Matic 8720 08 not test brew Bloomfield 05F050987 20 Coffee Makers 2 Bun-O- ST-15 Turned on but did Matic 07A000010 not test brew Bloomfield 42 Food—plastic with lids: Round L with lids 2 Round M with lids 2 Rectangular Bins 6 with 4 lids Oil and Vinegar Set 2 (1 sm/1 Ig) Plastic Beverage 1 Dispenser Page 12 ' Sweet'n'Low 29 Containers Condiment Holders 28 Salad Dressing Bins O , Lkovelv,4x;;742, Condiment Cups 21 Coffee Cups 68 Dinner Plates 22 Platters 40 Various brands Chili Bowls (small 33 bowls) G�upBVxv� 24 Various brands TIVIA0n" ,-444 151,4:4k,k,44.A441.4d4;0444V-44A4 16'4 h4,;ttt-'4PW4,iR4Y -4? Floor Mats (Rubber) 2 Shelves (Free Standing) ^ 10in. x 30in. 5 • 18in. w40in. 7 * 21in. x0Oin. 3 w 24in. x 24in. 4 w 24in. x 36in. 4 w 24in. x48in. 7 * 24in. x 60in. 6 w 24in. x72in. 4 Mounted Shelf 1 (Stainless Steel) 16^x1OB^ Sinks • Hand pedestal 1 (Stainless Steel) * Stainless (3) 1 compartment with drainboards Window Blinds w L 8 * S 1 Lockers (12) Unit 1 Edsal Plant Stands 5 Tables Page 13 • Chef— 1 Measures stainless with 158"x30" (3) compartment steamer, (3) door refrigerator, double pass thru shelves, (2)4 ft heat lamps • Dining 19 (5) 42"x30" (11) 36"x36" (3) 30"x30" • Round 1 • Folding Table 1 6 ft. • 36" Booth 8 Tables • Patio Picnic 2 Tables • Butcher Block 1 Table 30"x84" • Small Square 1 2'x2' Wood • Stainless 3 (1) 24"x30", (small) wheeled (2) 30"x36", static • Stainless with 1 54"x78" (2) sinks, bottom shelf Booths • Full-T Booth 10 Upholstery repair — cracks, holes, rips, etc—on several • End Booth 7 • Single Booth 5 3 T's & 2 halfs Chairs • Cushioned, 84 3 broken metal framed • Patio- Plastic 22 Waitress Station— 1 31"x120" stainless with sink and ice bin Serving Carts • Metal 2 • Wood 1 :GL�►SSES.�' �� . `r"-.'w.'x.!£'# . �„.. # i N a�fi1 1 a � f t> a :1 w • Large Plastic 69 Page 14 • Medium 94 Plastic • Small Plastic 9 ;IIVIIS.CELANEOUST 7151 atilv.42MOMMEN 1BAf Cash Register 1 Turned on but couldn't test Children's Booster 2 Seat Children's High Chair 2 Fountain (Patio) 1 Mop Buckets 2 Scale —5 Ib. 1 Sysco Trashcans: • Large with 2 rollers • Medium 2 Bus Tubs 4 Mops 2 Racks • Dish 5 • Glass 13 • Rollers 3 (dolly's) • Silverware 4 Steamtable Dividers 9 (adapter bars) Coffee Carafes • White 8 • Black 1 • Tan 4 (1)without lid Tea Servers 9 (stainless) Water Pitchers 4 (plastic) Coffee pots (glass) • Regular 5 • Decaf 2 Water Carafes • Glass 7 • Plastic 18 POTSIPANS rt � x <" R �;5, ia:. "F`.+,.. �=kv�u. �i�# ,�� :�.a,��"t:.:,. ,., r...a. _�S^.o a.. _�.2 tixv '3'w'C� �,�3 v�0.',�ia t�`:.� .r F; �,�"�`.'`,-,� rt�w`u Line Pans— Stainless Steel • 4.5"x7" 21 (6) plastic lids; (5) (Deep) metal lids Page 15 • 6.5"x7" 28 (9) metal lids (Deep) • 6.5"x10." 2 (Deep) • 7"x12.5" 21 (8) metal lids (Deep) • 7"x12.5" 2 (Shallow) • 8.5"X10" 2 (Deep) • 8.5"x10" 2 (Shallow) • 10"x16.5" 1 (Deep) • 10"x16.5" 1 (Shallow) • 10.5"x12.5" 5 (4) metal lids (Deep) • 10.5"x12.5" 11 (Shallow) • 10.5"x13" (Deep) 1 • 13"x21" 1 (Shallow) • 14"x22" 5 (4) plastic lids; (3) (Deep) metal lids • Line Pots 7 (Cylindrical— Stainless Steel) Sauce Pots • Small (4.5 2 Wearever gas) • Large 5 Wearever (5) lids Stock Pots • Medium 1 • Large 3 • X-Large 1 Muffin Trays • 24 Count 3 Sheet Trays 15 Sautee frying pans 5 Pot Rack(rectangular 1 —hanging) SILVERWA RESFIT71 EEO MINTtign Forks • Dinner 83 • Salad 35 Spoons • Ice Tea 43 Page 16 • Teaspoons 81 • Soup Spoons 59 • X-Large 7 Knives • Butter 12 7 • Steak 26 TRAYS/BASKETSZ sfill16.7Mf7 r II : Serving • Small — Oval 1 • Large — Oval 3 • Round 4 Cracker Plastic 61 • Silverware 18 Baskets (cylindrical) ,yTENWsiBAKINGII . .* � "� 5i TA � 111Ii!1 i§I ° 10 1ttu �A Bacon Presses 4 Colander (Large) 1 Funnels 2 Knives • Butter 3 (spread) • Miscellaneous 4 Chef rods 2 Measuring cups— 3 aluminum Mixer Bowl for Hobart 1 mixer Potato peeler 1 Spatulas • Rubber 12 • Stainless 3 Tortilla Basket (Taco 1 Shell Maker) Can/Bottle Opener- 1 Large tabletop (manual) • Small 2 handheld (manual) Cutting Boards Page 17 • • 10"x88" 1 • 12"x27" 1 • 18"x24" 1 Knife Rack (magnetic 1 —wood) Ladles • Metal (various 14 sizes) • Plastic(salad 10 dressing ladles) Meat Tenderizer 1 Mixing Bowls 9 (Stainless) Pie Cutter(decorator) 1 Scoops (sugar/flour) 2 Mixing Spoons • Regular 6 (smooth stainless) • Strainer 8 (stainless) Temperature Guages 1 (thermometers) Tongs • Metal (various 9 sizes) • Plastic 1 (various sizes) Whips • Small 2 • Large 2 Grater(plastic) 1 Scrapers 2 Clamps • Small 1 • Medium 4 Strainers (Cone 2 shaped) Sterno Snuffers 7 Buffet Tray Stands 6 Serving Tray Stands 3 Salad Bowls— In storage with Salad Bar • Metal 17 • Plastic 6 Page 18