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HomeMy WebLinkAbout5070A RESOLUTION NO. 5070 A RESOLUTION APPROVING AN AGREEMENT BETWEEN THE CITY OF PUEBLO AND PUEBLO AIR, INC. AND AUTHORIZING THE PRESIDENT OF THE CITY COUNCIL TO EXECUTE SAME BE IT RESOLVED BY THE CITY COUNCIL OF PUEBLO, COLORADO, that: SECTION 1. An agreement between the City of Pueblo, a Municipal Corporation and Pueblo Air, Inc. for the lease of city owned equipment, 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 President of the City Council is hereby authorized and directed to execute said contract for and on behalf of the City of Pueblo and the City Clerk is directed to affix the seal of the City of Pueblo thereto and attest the same. INTRODUCED December 13, 1982 By DOUGLAS L. RING Councilman APPROVED: President of t e City Council ATTEST: Tty,Clerk LEASE AND OPERATING AGREEMENT THIS INDENTURE, made and entered into this date �, 1982, between THE CITY OF PUEBLO, A MUNICIPAL CORPORATION, hereinafter referred to as the "Lessor" and PUEBLO AIR, INC., hereinafter referred to as the "Lessee ", WITNESSETH: That in consideration of the keeping and performance of the covenants of the Lessee, as hereinafter set forth, the Lessor hereby covenants and agrees as follows: I. EQUIPMENT Lessee shall have access to and use of the following described city equipment: A. De -Icing Unit Said equipment is located at the Pueblo Memorial Airport in the County of Pueblo, State of Colorado. II. TERM A. To have and to hold the same with all appurtenances unto the said Lessee from December 1, 1982 for a term of 12 months, or until receipt of replacement equipment by Pueblo Air, Inc. B. If not in default hereunder and Lessee desires to continue the operation covered by this agreement beyond the date herein stated as the expiration date, he shall so notify the Lessor in writing, addressed to the Director of Transportation, at least ninety (90) days before the expiration date of this agreement. The Lessee shall thereupon have the right to renew this lease for an additional term of twelve (12) months. III. RIGHTS AND PRIVILEGES OF LESSEE A. The Lessee shall have the right to use Airport Equipment, as set forth in this agreement, in the operation of his business on Airport property. B. The right to repair, maintain, and operate said equipment on Airport property. Costs of repairs, maintenance and operation of said equipment shall be borne solely by Lessee, and all such improve- ments to the equipment shall become and remain the property of the Lessor. IV. RIGHTS AND PRIVILEGES OF LESSOR A. All rights not herein granted to the Lessee are reserved to Lessor, and Lessor, in addition to any rights otherwise retained by it, reserves the following rights: to -wit; B. Lessor shall have full and unrestricted rights for use of the equipment. C. Lessor shall have the right to assign to other airport operators the use of said equipment under the same terms as hereinafter set forth. V. OBLIGATIONS OF LESSEE A. It shall be the obligation of the Lessee to insure the equipment operators are fully qualified to operate the equipment in a safe and orderly manner and to obey all applicable rules and regulations for the operation of the equipment on Airport property. B. Lessee shall pay all costs of operating and maintaining, the equipment, including all licenses, permits or other similar authorization as required under Federal, State or local laws. C. Lessee agrees the equipment shall not be used for any use other than the business in which the Lessee is expressly authorized. D. The Lessee agrees to indemnify, defend and save the Lessor, its authorized agents, officers, representatives and employees harmless from and against any and all penalties, liability or loss resulting from claims of court action, whether civil, criminal or in equity, and arising directly or indirectly out of acts of the Lessee, his agents, or employees. E. The Lessee shall maintain, with insurance underwriters satisfactory to the Lessor, a standard form policy or policies of insurance protecting both the Lessee and the Lessor against public liability, products liability and property damage. F. The Lessee shall maintain daily the hours of operation each piece of equipment covered under the terms of this lease. The daily reports shall be tallied monthly, summarized on a monthly report and submitted to the Airport Superintendent for varification. -2- VI. RENTAL AND FEES A. From and after the effective date and during the term of the agreement hereof, Lessee agrees to pay the Lessor on a monthly basis covering the preceding month, at such place as the Lessor shall designate, for rights and privileges to operate the Airport Equipment. Those rentals and fees as agreed to and set forth as follows: (a) De -icing Vehicle - $20.00 per hour VII. It is mutually agreed that where the Lessee has invested funds in the initial repairs to upgrade the equipment to safe operating condition, those initial funds will be applied as credit to the rental fees. There will not, however, be any further credits issued for repairs and maintenance beyond the initial start up costs. VIII. The Lessee represents that it has inspected all the equipment and accepts the condition of same and fully assumes the risks incident to the use thereof. IN WITNESS :HEREOF, the parties hereto have hereunto set their hands and seals the day and year first above written. PUEBLO, A MUNICIPAL CORPORATION By J �' President of the City Council ATTEST: V Vlerk PUEBLO A IR INC. Lessee President APPROVED AS TO FORDO: V " '17 * TIn- e y -3-