HomeMy WebLinkAbout09743RESOLUTION NO. 9743
A RESOLUTION APPROVING AMENDMENT 2 TO A RENTAL CAR LEASE AND OPERATING
AGREEMENT BETWEEN THE CITY OF PUEBLO, A MUNICIPAL CORPORATION, AND THE
HERTZ CORPORATION, AND AUTHORIZING THE PRESIDENT OF CITY COUNCIL TO
EXECUTE SAME
WHEREAS, the City of Pueblo entered a Rental Car Lease and Operating Agreement with
The Hertz Corporation on December 27, 1999; and
WHEREAS, both parties wish to amend the Lease; now, therefore,
BE IT RESOLVED BY THE CITY COUNCIL OF PUEBLO, that:
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A certain Amendment 2 to the Rental Car 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 The Hertz
Corporation relating to rental car operations at the Pueblo Memorial Airport is hereby approved,
subject to the conditions as set forth in said Amendment.
SECTION 2
The President of City Council is hereby authorized to execute said Amendment 2 to the
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.
INTRODUCED December 23, 2002
BY Al Gurule
Councilperson
APPROVED: oae
f City Council
ATTEST:
City C
P rA
Background Paper for Proposed
RESOLUTION
kwc). #97 43
AGENDA ITEM # 5
DATE: December 12, 2002
DEPARTMENT: AVIATION - JOHN O'NEAL
TITLE
A RESOLUTION APPROVING AMENDMENT 2 TO A RENTAL CAR LEASE AND
OPERATING AGREEMENT BETWEEN THE CITY OF PUEBLO, A MUNICIPAL
CORPORATION, AND THE HERTZ CORPORATION, AND AUTHORIZING THE
PRESIDENT OF CITY COUNCIL TO EXECUTE SAME
ISSUE
Should City Council approve an Amendment to the Rental Car Lease and Operating
Agreement between the City of Pueblo and The Hertz Corporation to extend the current
lease agreement for an additional year?
RECOMMENDATION
Approval of this Resolution.
BACKGROUND
On December 27, 1999, the City entered a Lease and Operating Agreement with The
Hertz Corporation for rental car services at the Pueblo Memorial Airport. This lease was
for a one year period with an option for one additional year that expired December 31,
2001. Amendment 1 was approved by City Council on December 26, 2001 extending the
lease agreement through December 31, 2002. Due to the events of September 11` the
rental car business has suffered at airports and has not yet recovered. Hertz has requested
that their lease be extended for a one -year period. City Council's approval of this
Amendment will extend the lease agreement through December 31, 2003.
FINANCIAL IMPACT
The Hertz Corporation will continue to pay 10% of their gross receipts per month, plus
$250.87 a month for 80 square feet of counter space, and $10 a month for ten (10)
parking spaces.
PUEBLO MEMORIAL AIRPORT
RENTAL CAR LEASE AND OPERATING AGREEMENT
AMENDMENT 2
THIS AMENDMENT entered into as of this 23rd day of December , 2002
between the City of Pueblo, a Municipal Corporation (the "Lessor") and The Hertz Corporation
(the "Lessee "), WITNESSETH:
WHEREAS, a Rental Car Lease and Operating Agreement between the Lessor and
Lessee was entered into on December 27, 1999 and amended on December 26, 2001 to extend
the Agreement for an additional year; and
WHEREAS, Amendment 1 to the Lease and Operating Agreement is due to terminate on
December 31, 2002 and both Lessor and Lessee wish to extend the lease term for an additional
year;
NOW, THEREFORE, in consideration of the mutual covenants contained herein, Lessor
and Lessee agree as follows:
1. The Lease and Operating Agreement is hereby extended for a one year period
beginning January 1, 2003 and terminating December 31, 2003 under the same terms
and conditions, including the rental rate.
2. The agreement as modified and amended by the Amendment to the Lease and
Operating Agreement shall remain in full force and effect.
Signed in Pueblo, Colorado, the day and year first written above.
[SEAL]
ATTEST:
WIN& IM-ON
APPROVED AS TO FORM:
City Attorney
LESSOR:
Pueblo, a Municipal Corporation
By
President of City Council
LESSEE:
Th 7orpion
By
S' on Ellis, Vice President
Properties and Concessions
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