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HomeMy WebLinkAbout11264Docusign Envelope ID: F987A0EC-048A-867B-8200-1 2BDCF15BD1 1 ORDINANCE NO. 11264 AN ORDINANCE APPROVING A T -HANGAR LEASE AGREEMENT BETWEEN THE CITY OF PUEBLO, A COLORADO MUNICIPAL CORPORATION, AND NATHAN C. HAWKINS FOR HANGAR UNIT C AT 31501 BRYAN CIRCLE, PUEBLO, COLORADO WHEREAS, the City of Pueblo owns and operates the Pueblo Memorial Airport ("Airport"), the City having authority under C.R.S. §§ 41-4-201 and 41-4-204 to acquire, establish, construct, own, control, lease, equip, improve, maintain, operate, and regulate the Airport, and to exact and require charges, fees, and tolls in connection therewith; and WHEREAS, the City owns and manages the T -Hangar facility identified herein and desires to lease one such T -Hangar unit to Lessee for the storage of an aircraft, and Lessee desires to lease the same upon the terms and conditions set forth herein; NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF PUEBLO, that: SECTION 1 The T -Hangar Lease Agreement ("Agreement") between the City of Pueblo, a Colorado Municipal Corporation, and Nathan C. Hawkins, dated October 1, 2026, a copy of which is attached hereto, having been approved as to form by the City Attorney, is hereby approved. SECTION 2. The Mayor is authorized to execute the Agreement in the name of the City, and the City Clerk is directed to 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 Agreement to effectuate the policies and procedures 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 August 24, 2026. Final adoption of Ordinance by City Council on September 14, 2026. DocuSignedby: President of City Council Docusign Envelope ID: F987A0EC-048A-867B-8200-1 2BDCF15BD1 1 Action by the Mayor: C.� Approved on ❑ Disapproved on 09/16/2026 based on the following objections: 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 Mayor ❑ Council action on failed to override the Mayor's veto. President of City Council ATTEST DocuSigned by: City Clerk Docusign Envelope ID: F987A0EC-048A-867B-8200-1 2BDCF15BD1 1 City Clerk's Office Item # R9 COUNCIL MEETING DATE: September 14, 2026 TO: President Mark Aliff and Members of City Council CC: Mayor Heather Graham VIA: Clyde Bishop, City Clerk FROM: Greg Pedroza, Director Aviation SUBJECT: AN ORDINANCE APPROVING A T -HANGAR LEASE AGREEMENT BETWEEN THE CITY OF PUEBLO, A COLORADO MUNICIPAL CORPORATION, AND NATHAN C. HAWKINS FOR HANGAR UNIT C AT 31501 BRYAN CIRCLE, PUEBLO, COLORADO SUMMARY: Attached is an Ordinance approving a T -Hangar Lease Agreement between the City of Pueblo and Nathan C. Hawkins for Hangar Unit C at 31501 Bryan Circle, located at the City's east -side T -hangar complex at Pueblo Memorial Airport. The Lease commences October 1, 2026, has an initial term of one year with up to four one-year renewal options, and provides monthly rent of $265.00 established by Ordinance No. 10811. The rate is subject to adjustment by ordinance of the City Council, including a Consumer Price Index adjustment provided by Ordinance No. 10811 commencing January 1, 2029. PREVIOUS COUNCIL ACTION: City Council established the $265.00 monthly T -Hangar rental rate at 31501 Bryan Circle by Ordinance No. 10811, adopted on final reading October 15, 2024, and approved by the Mayor October 17, 2024, which repealed Resolution No. 9389. Ordinance No. 10811 provides for a Consumer Price Index adjustment to the rate every five years commencing January 1, 2029. BACKGROUND: The City of Pueblo owns and operates Pueblo Memorial Airport, including the T -hangar complex located on the east side of the airfield at 31501 Bryan Circle. Hangar Unit C at that complex is presently vacant. Mr. Hawkins has applied to lease Hangar Unit C for the storage of an aircraft. The Lease has an initial term of one year commencing October 1, 2026, with four one- year renewal options exercisable by Mr. Hawkins on at least fifteen days' written notice. Docusign Envelope ID: F987A0EC-048A-867B-8200-1 2BDCF15BD1 1 The aggregate term, including all renewals, is capped at five years. Either party may terminate the Lease on fourteen days' written notice. Mr. Hawkins is required to maintain aircraft liability insurance with limits of $1,000,000 per occurrence, including a sublimit of not less than One Million Dollars ($1,000,000.00) for premises liability, naming the City as additional insured and loss payee. The Premises are leased AS IS, and Mr. Hawkins assumes the risk of loss, damage, or injury with respect to the Aircraft and personal property kept at the Premises. The Lease has been approved as to form by the City Attorney FINANCIAL IMPLICATIONS: The City will receive $265.00 per month, or $3,180.00 over the initial one-year term, in rental revenue. The rate is established by Ordinance No. 10811 and is subject to adjustment by ordinance of the City Council. Assuming no adjustment, total rental revenue over the maximum five-year aggregate term would be $15,900.00. That figure does not account for the Consumer Price Index adjustment that Ordinance No. 10811 provides for on January 1, 2029, which falls within the renewal period of this Lease. Section 3 of Ordinance No. 10811 dedicates the net proceeds of these rental rates to the operation, maintenance, and improvement of the Airport. BOARD/COMMISSION RECOMMENDATION: Not applicable to this Ordinance. STAKEHOLDER PROCESS: Not applicable to this Ordinance. ALTERNATIVES: If this Ordinance is not approved, Hangar Unit C will remain vacant and the City will forgo the rental revenue described above. RECOMMENDATION: Approval of the Ordinance. ATTACHMENTS: 1. Hawkins 2026 10 01 Lease Agreement