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HomeMy WebLinkAbout11046 City Clerk's Office Item # S7 Background Paper for Proposed Ordinance COUNCIL MEETING DATE: September 22, 2025 TO: President Mark Aliff and Members of City Council CC: Mayor Heather Graham VIA: Marisa Stoller, City Clerk FROM: Greg Pedroza, Director Aviation SUBJECT: AN ORDINANCE APPROVING SUPPLEMENTAL AGREEMENT NO. 1 TO FAA CONTRACT NO. DTFAWN-13-L- 00023 BETWEEN THE CITY OF PUEBLO, A COLORADO MUNICIPAL CORPORATION, AND UNITED STATES OF AMERICA (GOVERNMENT), AND AUTHORIZING THE MAYOR TO EXECUTE SAME SUMMARY: Attached is an Ordinance approving and authorizing the Mayor to sign a Supplement to a Small Lease for Real Property between the City of Pueblo, a Colorado Municipal Corporation, and United States of America (Government), and authorizing the Mayor to execute same PREVIOUS COUNCIL ACTION: Pueblo City Council approved Resolution 12745 on July 22, 2013, authorizing Small Lease for Real Property NO. DTFAWN-13-L- 00023. The term on this agreement ended on September 30, 2022. The City has been negotiating rate increases for this leased space since 2020. The lease rates as approved will be applied retroactively from the end of the lease term as determined by Article 5. BACKGROUND: The City owns the Pueblo Memorial Airport Terminal Building, located at 31201 Bryan Circle, which can be leased. The FAA currently occupies Approximately 1,230 square feet of office space and sixteen (16) dedicated parking spaces adjacent to the office space. Ten (10) of these spaces are located directly in front of the leased premises, and six (6) are located on the air side adjacent to the office. Additionally, the FAA occupies seven (7) parking spaces which are used specifically for placement of its Connex/storage container/containment unit in airport public parking lot. FINANCIAL IMPLICATIONS: The previous lease rate was $1,589.49 monthly with 17 parking places included in the base rate. Effective October 1, 2022, through July 1, 2025, the lease rate will be calculated at $2,182.22 monthly. This is a monthly increase of $583.73 from October 1, 2022, to June 30, 2025, and an increase of $1,168.73 from July 1, 2025, until the lease expires on September 30, 2030. If approved, this will garner $22,769.28 in back rent and an additional $1,168.73 monthly until the end of the contract term. BOARD/COMMISSION RECOMMENDATION: Not applicable to this Ordinance. STAKEHOLDER PROCESS: Not applicable to this Ordinance. ALTERNATIVES: If this Ordinance is not approved, the current leases will remain in effect. RECOMMENDATION: It is the recommendation of the Department of Aviation that this Ordinance be approved. ATTACHMENTS: 1. 31201 Bryan Circle Suite 110 2025 09 22 LEASE AGREEMENT FINAL unsigned 2. 31201 Bryan Circle Suite 110 2012 10 01 LEASE AGREEMENT FINAL SIGNED ORDINANCE NO.11046 AN ORDINANCE APPROVING SUPPLEMENTAL AGREEMENT NO. 1 TO FAA CONTRACT NO. DTFAWN-13-L- 00023 BETWEEN THE CITY OF PUEBLO, A COLORADO MUNICIPAL CORPORATION, AND UNITED STATES OF AMERICA (GOVERNMENT), AND AUTHORIZING THE MAYOR TO EXECUTE SAME WHEREAS, the City of Pueblo is the owner and operator of the Pueblo Memorial Airport together with the land on which said Airport is situated; and WHEREAS, the United States of America Department of Transportation Federal Aviation Administration is desirous of leasing certain property owned by the City of Pueblo; now therefore, BE IT ORDAINED BY THE CITY COUNCIL OF PUEBLO, that: SECTION 1. A certain Supplemental Agreement No. 1 to Small Lease for Real Property NO. DTFAWN- 13-L- United States of America (Government), to lease space at the Pueblo Memorial Airport, 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 Lease 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 Lease to effectuate the terms and conditions described therein. 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 September 08, 2025. Final adoption of Ordinance by City Council on September 22, 2025. ____________________________ President of City Council Action by the Mayor: Approved on _______________. 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 _____________ ____________________________ President of City Council ATTEST ________________________________ City Clerk