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HomeMy WebLinkAbout10420ORDINANCE NO. 10420 AN ORDINANCE APPROVING AMENDMENT NO. 1 FIXED BASE OPERATOR GROUND LEASE AND OPERATING AGREEMENT BY AND BETWEEN THE CITY OF PUEBLO, A COLORADO MUNICIPAL CORPORATION, TRAVELAIRE SERVICES, INC. AND FREEMAN HOLDINGS OF COLORADO, LLC, D/B/A FREEMAN JET CENTER – PUEBLO, RELATING TO THE ASSIGNMENT OF FUEL TANK RIGHTS, AND AUTHORIZING THE MAYOR TO EXECUTE SAME WHEREAS, City Council approved a Fuel Tank Agreement dated May 1, 2006, with Sam Brown and TravelAire Services, Inc., evidenced by Resolution No. 10701 for the fuel tank formerly designated as Jet-A Tank No. 1; and WHEREAS, City Council approved the Fixed Base Operator Ground Lease and Operating Agreement between the City of Pueblo and Freeman Holdings of Colorado, LLC, D/B/A Freeman Jet Center – Pueblo, dated July 11, 2022, evidenced by Ordinance No. 10220; and WHEREAS, City Council approved an Assignment of Fuel Tank Agreement dated August 8, 2022, assigning all interest in a Fuel Tank Agreement solely to TravelAire Services, Inc., and removing Sam Brown from the Fuel Tank Agreement, as evidenced by Ordinance No. 10244, for the fuel tank formerly designated as Jet-A Tank No. 1; and WHEREAS, TravelAire, Inc. desires to assign its interest in the Fuel Tank Agreement to Freeman Holdings of Colorado, LLC, and City hereby consents to the assignment subject to this Ordinance and the terms of Amendment No. 1 Fixed Base Operator Ground Lease and Operating Agreement; NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF PUEBLO, that: SECTION 1. The Amendment No. 1 Fixed Base Operator Ground Lease and Operating Agreement (“Amendment”) by and between the City of Pueblo, a Municipal Corporation, TravelAire Services, Inc., and Freeman Holdings of Colorado, LLC, D/B/A Freeman Jet Center – Pueblo, 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, is hereby approved. SECTION 2. The Mayor is hereby authorized to execute the Amendment on behalf of the City of Pueblo, and the City Clerk shall affix the Seal of the City thereto and attest same. SECTION 3. The officers and staff of the City are authorized to perform any and all acts consistent with the intent of this Ordinance and the attached Amendment to implement the transactions, policies, and procedures described herein. SECTION 4. This Ordinance shall become effective on the date of final action by the Mayor and City Council. Action by City Council: Introduced and initial adoption of Ordinance by City Council on March 13, 2023. Final adoption of Ordinance by City Council on March 27, 2023 . President of City Council Action by the Mayor: ☒ Approved on March 29, 2023 . □ Disapproved on based on the following objections: Mayor Action by City Council After Disapproval by the Mayor: □ Council did not act to override the Mayor's veto. □ Ordinance re-adopted on a vote of , on □ Council action on _______ failed to override the Mayor’s veto. President of City Council ATTEST City Clerk City Clerk's Office Item # R4 Background Paper for Proposed Ordinance March 13, 2023 COUNCIL MEETING DATE: TO: President Heather Graham and Members of City Council CC: Mayor Nicholas A. Gradisar VIA: Marisa Stoller, City Clerk FROM: Greg Pedroza, Director Aviation SUBJECT: AN ORDINANCE APPROVING AMENDMENT NO. 1 FIXED BASE OPERATOR GROUND LEASE AND OPERATING AGREEMENT BY AND BETWEEN THE CITY OF PUEBLO, A COLORADO MUNICIPAL CORPORATION, TRAVELAIRE SERVICES, INC. AND FREEMAN HOLDINGS OF COLORADO, LLC, D/B/A FREEMAN JET CENTER – PUEBLO, RELATING TO THE ASSIGNMENT OF FUEL TANK RIGHTS, AND AUTHORIZING THE MAYOR TO EXECUTE SAME SUMMARY: This Ordinance will approve the assignment of the rights under a Fuel Tank Agreement through the execution of Amendment No. 1 to the Fixed Base Operator Ground Lease and Operating Agreement (“FBO Agreement”) between the City of Pueblo, TravelAire Services, Inc., and Freeman Holdings of Colorado, LLC, regarding the use of the fuel tank commonly known as 415 Bell Street Tank 40-3, and adding said tank to the FBO Agreement. PREVIOUS COUNCIL ACTION: City Council approved a Fuel Tank Agreement dated May 1, 2006 with Sam Brown and TravelAire Services, Inc., evidenced by Resolution No. 10701 for the fuel tank formerly designated as Jet-A Tank No. 1. City Council approved the Fixed Base Operator Ground Lease and Operating Agreement between the City of Pueblo and Freeman Holdings of Colorado, LLC, D/B/A Freeman Jet Center – Pueblo, dated July 11, 2022, evidenced by Ordinance No. 10220. City Council approved an Assignment of Fuel Tank Agreement dated August 8, 2022, assigning all interests in the Fuel Tank Agreement solely to TravelAire Services, Inc., and removing Sam Brown from the Agreement, as evidenced by Ordinance No. 10244. BACKGROUND: This Ordinance will approve Amendment No. 1 to the Fixed Base Operator Ground Lease and Operating Agreement, assigning the rights under the Fuel Tank Agreement from TravelAire Services, Inc. to Freeman Holdings of Colorado, LLC, D/B/A Freeman Jet Center - Pueblo, with the City’s consent, transferring the rights to the fuel tank formerly designated as Jet-A Tank No. 1, now designated and referred to as 415 Bell Street Tank 40-3. With this assignment, 415 Bell Street Tank 40-3 will be added to the Fixed Base Operator Ground Lease and Operating Agreement. FINANCIAL IMPLICATIONS: Not applicable to this Ordinance. BOARD/COMMISSION RECOMMENDATION: Not applicable to this Ordinance. STAKEHOLDER PROCESS: Not applicable to this Ordinance. ALTERNATIVES: If this Ordinance is not approved, the interest in 415 Bell Street Tank 40-3 will not transfer to Freeman Holdings of Colorado. RECOMMENDATION: Approval of the Ordinance. ATTACHMENTS: 1. 415 Bell Tank 40-3 2022 03 13 2023 AMENDMENT 1 FIXED BASED OPERATOR GROUND LEASE PARTIAL SIGNED