HomeMy WebLinkAbout7088RESOLUTION NO. 7 088
A RESOLUTION APPROVING A LEASE AND OPERATING AGREEMENT
BETWEEN THE CITY OF PUEBLO, A MUNICIPAL CORPORATION, AND
VALERIE DEJOY AND ANTHONY J. CURRY, AUTHORIZING THE
PRESIDENT OF THE CITY COUNCIL TO EXECUTE SAME
BE IT RESOLVED BY THE CITY COUNCIL OF PUEBLO, COLORADO, THAT:
SECTION 1
A certain Lease and Operating Agreement dated the Twelfth day of April, 1993 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, as Lessor, and Valerie DeJoy and Anthony J. Curry, as Lessee, relating to a
Lease for the operation of the Dining Room, Bar, Kitchen, and Storage Space, located in
the Terminal Building at the Pueblo Memorial Airport, be and the same is hereby approved,
subject to the conditions as set forth in said Lease and Operating Agreement.
SECTION 2
The President of the City Council is hereby authorized to execute said Lease and Operating
Agreement on behalf of the City of Pueblo, a Municipal Corporation, and the City Clerk
shall affix the Seal of the City thereto and attest the same.
SECTION 3
All net proceeds derived from said Lease and Operating Agreement will be used for the
operation, maintenance, and improvement of the Airport.
INTRODUCED February 22, 1993
BY: MICHAEL OCCHIATO
Councilperson
APPROVED:
resident of the City Council
ATTEST:
City Clerk
PUEBLO MEMORIAL AIRPORT
LEASE AND OPERATING AGREEMENT
RESTAURANT
THIS LEASE made and entered into this twelfth day of April 1993 between THE CITY
OF PUEBLO, A MUNICIPAL CORPORATION, hereinafter referred to as the "LESSOR" and
VALERIE DeJOY AND ANTHONY J. CURRY hereinafter referred to as the "LESSEE ".
WITNESSETH:
That in consideration of the payment of rent hereinafter provided and the keeping and
performance of the covenants and agreements of the Lessee, as hereinafter set forth, Lessor has
and does hereby lease unto the Lessee, a certain area in the Terminal Building located at Pueblo
Memorial Airport, Pueblo County, Colorado (herein "AIRPORT ") described in Exhibit A
attached hereto and incorporated herein as if set out in full (herein "Property" or "Leased
Premises ") for the sole purpose of conducting a restaurant business therein for a term of three
(3) years from April 12. 1993 to March 31, 1996
If not in default under this Lease, Lessee shall have the option to extend the term of this
Lease for a three (3) year period from April 1996 to March 31, 1999 by giving to Lessor written
notice of its exercise of such option on or before February 1, 1996. The extended term shall
be upon the same covenants and conditions except (a) there shall be no further option to extend
this Lease, and (b) the rent during the extended term shall be ten (10) percent of gross revenues.
If Lessee does not timely exercise its option to renew, the option to renew shall terminate and
be of no further force and effect.
DEFINITIONS:
DIRECTOR OF AVIATION: Person in charge of the Airport for the Lessor, his assistant or
duly authorized agent.
GROSS REVENUES: As used herein, the term "Gross Revenues" shall mean and include all
money or other things of value received by or paid to Lessee, or to others for Lessee's use and
benefit, or to Lessee's sublessees, subcontractors and concessionaires, and all credit extended
by lessee or said other persons (regardless of whether collection is made) in connection with any
and all business conducted by Lessee or said other persons in, about, or from the Leased
Premises, including (but without in any wise limiting the foregoing), the sale of food, beverages,
or merchandise of whatever kind and character for which any compensation is received or is
payable, whether such sales or services are made, performed, or furnished on the Leased
Premises or elsewhere or by vending machines or other mechanical devices or otherwise;
provided, however, that in the computation of Gross Revenues the following shall be excluded
to -wit:
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1. Sales or use taxes on the sale, performance or furnishing of any service or
merchandise which are by law required to be imposed on and paid by the
consumers thereof and are required to be separately stated.
2. Meals to employees of Lessee when such are part of the compensation given by
Lessee to such employees for services rendered in and about the Leased Premises.
3. Sales of Lessee's furniture, furnishings, fixtures, and other improvements to or
from the Leased Premises or to or from any other premises of Lessee.
4. Federal entertainment taxes on the furnishing of any entertainment where such
taxes are by Federal law required to be imposed on and paid by the customers to
whom such entertainment is provided and are required to be separately stated.
5. Gratuities or "tips" paid to employees if such gratuities or tips are received by
such employees for the benefit of Lessee or required to be paid by such
employees to the Lessee.
I. RIGHTS AND PRIVILEGES OF LESSEE
A. Lessee shall engage in and conduct said Restaurant business at and on the
property for the convenience of patrons and tenants of the Airport and the general
public desiring such services at the Airport; which right, without limiting the
generality hereof, shall include:
B. The right, subject to necessary licensing, to serve food, soft drinks, and alcoholic
beverages, and other items pertaining to the operation of a restaurant, the right
to sell tobacco products, ice cream products, gum, candies, and similar items
commonly offered for sale at a restaurant.
1. Newspapers, periodicals, gifts, souvenirs, post cards, and similar items
shall not by sold or vended by Lessee.
C. The non - exclusive right to provide in -flight food service to scheduled and
supplemental airlines, private and executive aircraft who have requested said
services of Lessee, and the right to prepare food on the Property and deliver, or
cause to be delivered, to and for the purpose of consumption elsewhere.
D. The right to use, operate, and maintain equipment owned by Lessor and shown
in Exhibit C attached hereto and made a part hereof ( "Equipment ").
E. The right to equip, install, operate and maintain on the Airport, at Lessee's
expense advertising facilities; provided however, that in all cases the number,
size, location, general type and design, and the method of installation shall by
subject to the prior approval of the Director of Aviation. This limitation shall
apply to and include all signs, placards, posters, or other forms of identification
or advertising media, installed, placed upon or affixed to the Property exclusively
to Lessee hereunder.
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F. The right, subject to prior approval of the Director of Aviation, of plans and
specifications, location and inspection of same; to make improvements,
modifications, revisions and other alterations to the Property. Costs of such
improvements, modifications, revisions and alterations shall be borne solely by
Lessee, and all such improvements, modifications, revisions or alterations shall
become and remain the property of the Lessor.
G. Lessee, its employees and invitees shall have the right of ingress and egress
between the main entrance of the Airport as the same now exists or may hereafter
be relocated and the Leased Premises over, upon and through such streets and no
other as from time to time shall be designated by the Director of Aviation.
Driveways from existing streets into the Leased Premises shall be located as
designated by the Director of Aviation.
II. RIGHTS AND PRIVILEGES OF LESSOR
A. All right not herein granted to the Lessee are reserved to Lessor, and Lessor, in
addition to any right otherwise retained by it, reserves the following rights; to-
wit:
B. Lessor reserves the right to require Lessee to make any adjustments deemed
necessary to improve the appearance of the Leased Premises or the quality of
service rendered in connection with Lessee's operation.
III. OBLIGATIONS OF LESSEE
A. It shall be the obligation of Lessee to continuously operate and conduct the
restaurant business as herein set forth in a first class manner, and to maintain the
Property at all times in a safe, clean, orderly and attractive condition.
B. Lessee, its officers, employees, agents or servants shall, at all times, comply with
the Federal Pure Food and Drug Laws, Health Rules and Regulations and other
applicable Laws and Regulations of the United States Government, and the state
of Colorado and all applicable Ordinances, Codes and Regulations of the City and
County of Pueblo, including the rules and regulations governing the operation of
the Airport.
C. All food, beverages, confections and other items sold and kept for sale by Lessee
shall be of high quality, wholesome and pure and the service shall be prompt,
attractive, clean, efficient and courteous. Violation of any provision of this
paragraph by Lessee, its officers, employees, agents or servants shall cause this
Lease to be subject to cancellation by Lessor, if not corrected immediately upon
written notice by the Director of Aviation.
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D. Except as otherwise specifically provided herein, Lessee shall pay all costs of
operating the restaurant business and maintaining the Property, including without
restriction because of enumeration, necessary personnel, all licenses, permits or
other similar authorizations as required under Federal, State or Local Laws and
Regulations, insofar as they are necessary to comply with the requirements of this
Lease and the rights and privileges extended against its property, situated on, or
within, the Leased Premises or otherwise within the confines of the Airport.
E. Lessee shall, at its sole expense, maintain and keep the Leased Premises, and all
improvements thereon, including without limitation, the Equipment, Sewer and
Water lines and connections, Plumbing, Heating and Air Conditioning equipment
and systems, in good condition, appearance, and state of repair, provide all
interior building maintenance and custodial service for the Leased Premises. It
being expressly understood and agreed that Lessor shall not be responsible for
any defect in the Leased Premises or improvements thereon or obligated to make
any repair, except for exterior maintenance and repairs to the exterior of the
Property.
If Lessee should fail to keep and maintain the Leased Premises or improvements
thereon in such good order and repair as is reasonable required, Lessor may enter
the Leased Premises, without such entering causing or constituting a termination
of the Lease, or an interference with the possession of the Leased Premises by
Lessee, and perform the necessary maintenance and /or restoration work to the
Leased Premises to the condition required by the Lessor, the cost of which shall
be borne solely by Lessee. All such costs shall be paid by Lessee to Lessor in
addition to rents, within thirty (30) days after completion of the work.
F. The Lessee shall, at its own expense, keep the Leased Premises neat, clean, safe
and orderly at all times, free of waste, rubbish and debris, and shall provide a
complete and proper arrangement for the sanitary handling and disposal of all
trash, garbage, and other refuse resulting from its activities at the Airport. All
trash, garbage, and other refuse shall be out of view of the public.
G. Lessee shall pay all utilities supplied to and used in the Leased Premises, and
shall enter into separate agreements with the utility organizations for metering
such services; except that the Lessor shall furnish at its expense water and sewer
services for the Leased Premises.
H. Lessee shall at all times retain an active, qualified, experienced and competent
manager to supervise the restaurant business who shall be authorized to represent,
act for and on behalf of the Lessee.
Lessee's personnel shall be courteous, efficient, clean and neat in appearance, and
shall be trained and qualified to perform any and all services to the public
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required or contemplated under the terms of this Lease.
Lessee shall not employ any person or persons in or about the Leased Premises
who shall use improper language, or act in a loud, boisterous, or otherwise
improper manner.
I. Lessee, except as may be otherwise provided in other contracts entered into with
the Lessor, shall not engage in any business at the Airport other than that which
is expressly authorized herein.
J. Lessee shall repair all damages to the Leased Premises caused by its officers,
employees, invitees, agents or patrons or arising out of Lessee's operations
thereon.
K. Period of operation.
1. Except as herein set forth, the dining room shall remain open for service
to the Public seven (7) days per week during the hours of 6:00 a.m. to
9:00 p.m., with adequate service to meet the Public demand. The
Director of Aviation may require extension of operating hours to meet
anticipated demand.
2. The bar shall remain open for service to the Public during dining room
hours of operation; except, that the hours of operation of the bar, and the
sale of alcoholic beverages shall be subject to Regulations as provided by
the Statutes of the State of Colorado and Local Ordinances, Rules and
Regulations, whichever may apply to the Premises under the Agreement.
3. Any change in the minimum hours or days of operation of the Restaurant
is prohibited without the prior written approval of the Director of
Aviation.
IV. OBLIGATIONS OF LESSOR
A. Lessor, at its cost, shall provide water and sewer services for the Leased
Premises, unless conditions beyond the Lessor's control shall prevent Lessor from
so supplying such water and sewer services.
B. Lessor shall provide periodic washing of windows on the outside only.
C. Lessor shall not be responsible for any damage to, or loss of property of Lessee,
its officers, employees, agents, servants, patrons, or any other person or persons
at the Airport.
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V. RENTALS AND FEES
A. Lessee agrees to pay to the Lessor, without offset or deduction, as such places as
the Lessor may designate from time to time, for the use of the premises,
facilities, concession rights and privileges: Monthly Rent according to the
following schedule:
April 12, 1993 to July 11, 1993 -
July 12, 1993 to March 31, 1994 -
April 1, 1994 to March 31, 1996 -
April 1, 1996 to March 31, 1999-
No fees
Five (5) percent of Gross Revenues
Seven and one -half (7.5) percent of Gross
Revenues
Renewal option
B. Lessee shall make a monthly report of all Gross Revenues to the Lessor at such
places as may from time to time be designated by Lessor, on a form or forms
approved by the Director of Aviation. Said report to be used as the basis for
computation of rents. Said report shall be submitted no later than the tenth (10th)
day of each month for the preceding month, and all rents shall be paid no later
than the fifteenth (15th) day of the following month.
C. Lessee shall keep and maintain at the Leased Premises accurate and complete
Books and Records of its Restaurant operation and Gross Receipts. Lessee shall
permit the duly authorized representative of the Lessor to examine Lessee's Books
at any time during business hours.
VI. The Lessee by accepting this Lease expressly agrees for itself, its successors and assigns
that it will not make use of the Leased Premises in any manner which might interfere
with the landing and taking -off of aircraft from Pueblo Memorial Airport or otherwise
constitute a hazard to aviation.. In the event the aforesaid covenant is breached, the
Lessor reserves the right to enter upon the Leased Premises and cause the abatement of
such interference at the expense of the Lessee.
VII. Lessor and Lessee understand and agree that the General Provisions consisting of
Paragraph 1 though 18, attached hereto as Exhibit B are incorporated herein and shall
be binding upon and inure to the benefit of Lessor and Lessee as if set out herein full,
except that Lessee shall maintain at its expense, comprehensive general, liability,
products liability, and property damage insurance with limits of not less than $1,000,000
per occurrence rather than $500,000 per occurrence as provided in Paragraph 9 of the
General Conditions.
VIII. If Lessee defaults in the payment of rent or any part thereof or fails to perform or
observe any of the conditions and covenants on its part to be performed or observed
hereunder, and such default or failure shall continue for a period of ten (10) days after
written notice thereof has been mailed to Lessee by first class mail addressed to Lessee
at its last known address at Pueblo Memorial Airport, then, in what event , and as often
as same may happen, it shall be lawful for City, at its election, with or without notice,
to terminate this Lease without prejudice to any claim for rent or for breach of
covenants, or without being guilty of trespass or forcible entry or detainer. City is
hereby granted a lien and security interest for payment of rent and damages for breach
of covenants upon all Lessee's goods and personal property which is or may by placed
upon the Property including without limitation business fixtures, equipment, inventory
and proceeds thereof and such lien may be enforced by the taking and sale of such
property in the same manner and as provided for the disposition of collateral under the
Colorado Uniform Commercial Code.
IX. If the Property is left vacant and any part of the rent remains due and unpaid, City may,
without being obligated to do so, and without terminated this Lease, retake possession
of the Property and rent the same for such rent and upon such terms as City may think
best, making such changes and repairs as may be required, giving credit for the amount
of rent received less all expenses of such changes and repairs, and Lessee shall be liable
for the balance of the rent until expiration of this Lease.
X. Lessee agrees to pay to City all costs, including reasonable Attorney Fees, of any action
brought by City to recover rent or other money due and unpaid under the Lease or to
recover possession of the Property, whether such action proceeds to judgement or not.
XI. No waiver of any breach of any one or more of the conditions or covenants of this Lease
by City shall be deemed to imply or' constitute a waiver of any succeeding or other
breach hereunder. The acceptance of rent by City shall not constitute a waiver of any
breach then existing.
XII. If Lessee remains in possession of the Property after termination of the Lease without
written agreement, such possession shall be deemed to be a tenancy from month to month
upon the same covenants and conditions set forth herein and at a monthly rental equal
to two times the average of the monthly rent payable hereunder for the prior twelve
months.
XIII. In the event of a fire or other casualty in or to the Leased Premises, Lessee shall
immediately give notice to Lessor. If the Leased Premises, through no fault or neglect
of Lessee, its agents, employees or invitees, shall be damaged by fire or other casualty
so as to render the Leased Premises untenantable, and Lessor elects to repair the same,
the rent herein shall abate thereafter until such time as the Leased Premises are made
tenantable by Lessor. In the event the Leased Premises or the Terminal Building shall
be damaged by fire or other casualty and Lessor shall decide not rebuild or repair (which
decision Lessor may make in its sole discretion) then all rent owed up to the time of such
damage shall be paid by Lessee and this Lease shall terminate.
XIV. Lessee has deposited the sum of $2,000.00 with Lessor as security for Lessee's prompt
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performance of all the terms covenants and agreements contained in this Lease. Lessee
understands and agrees (i) that such deposit is not a prepayment of rent and that Lessor
shall not be obligated to apply said deposit to any unpaid rent or portion thereof,
although it may do so at its option; and (ii) that Lessor shall have no obligation to
account to lessee and Lessee shall have no right to recover from Lessor any interest,
earnings or other increments which may accrue during the time such deposit is held by
Lessor.
XV. Notwithstanding anything contained herein to the contrary, the initial three (3) year term
of this Lease shall commence April 12, 1993 or upon substantial completion of the
renovation and construction of the Leased Premises, whichever occurs later.
IN WITNESS WHEREOF, the parties have caused this Agreement to be executed as of
this day and year.
DATED THIS 2.3 p day of FF�'BRut}1 V 1993.
PUEBLO, A MUNICIPAL CORPORATION
BY
Fa�tdent Kastelic
Pr of the City Council
Attest:
City C rk
�r
Valerie DeJoy
Lessee
Anthony J. Curry
Lessee
APPROVED AS TO FORM:
City Attorney
Exhibit . B
General Provisions
1. This Lease is subject and subordinate to the provisions of any existing or future
agreement between City and the United States Government or any agency thereof relating
to the operation or maintenance of the Pueblo Memorial Airport. The United States
Government has reserved the right of immediate re -entry in, to and upon the Pueblo
Memorial Airport including the Property in the event of a National Emergency. If such
a right is exercised, the Lease shall terminate and Lessee shall immediately quit and
vacate the Property and remove all its property and equipment therefrom. If the Lease
is so terminated, neither City or Lessee shall be liable or responsible to the other party
for any damages or account of any covenants of the Lease or herein otherwise contained.
2. The terms and provisions of the Lease and these General Provisions are subject to the
provisions of Chapter 1 of Title III of the 1971 Code of Ordinances by the City in effect
at the time of execution of the Lease or as same may be hereafter amended. In the event
of a conflict between the provisions of said Chapter lof Title III and any provision of the
Lease or these General Provisions, the provisions of said Chapter 1 of Title III shall
control.
3. City reserves for the use and benefit of the public, a right of flight for the passage of
aircraft above the surface of the property, together with the right to cause in said airspace
such noise as may be inherent in the operation of any aircraft now known or hereafter
used, for navigation of or flight in said airspace, and for use of said airspace for landing
on, taking off from, or operation on or over the Pueblo Memorial Airport.
4. City reserves the right, without any obligation on its part to do so, to maintain and keep
in repair the landing area of the airport or other public areas or facilities and to develop,
modify, change, relocate, abandon or improve the Pueblo Memorial Airport, or any part
thereof, as it may determine, in its sole and absolute discretion, at any time. Lessee
hereby releases and forever discharges City from any and all damages or injuries
resulting from or occasioned by any such actions taken or omitted to be taken by the
City.
5. Lessee in performing its operations or providing services under the Lease shall
a. furnish good, prompt, and efficient services.
b. operate and furnish services on a fair, equal, and nondiscriminatory basis to all
users thereof.
C. charge fair, equal, reasonable and nondiscriminatory prices for each unit of sale
or service, including parts, materials, and supplies, provided, Lessee may be
permitted to make reasonable and nondiscriminatory discounts, rebates or other
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similar type of price reductions to quantity purchases.
6. The Lessee, as a part of the consideration hereof does hereby further covenant and agree,
as a covenant running with the property, that in the event facilities are constructed,
maintained, or otherwise operated on - the Property for a purpose for which a Department
of Transportation program or activity is extended or for another purpose involving the
provisions of similar services or benefits, the Lessee shall maintain and operate such
facilities and services in compliance with all other requirements imposed pursuant to Title
49, Code of Federal Regulations, Department of Transportation, Subtitle A, Office of
the Secretary, Part 21, Nondiscrimination in Federally- Assisted Programs of the
Department of Transportation - Effectuation of Title VI of the Civil Rights Act of 1964,
and as such Regulations may be amended (herein "Regulations ").
The Lessee does further hereby covenant and agree, as a covenant running with the
Property, that
a. no person on the grounds of race, color, national origin, age, or disability shall
be excluded from participation in, denied the benefits of, or be otherwise
subjected to discrimination in the use of the Property.
b. that in the construction of any improvement on, over, or under the Property and
the furnishing of service thereon, no person on the grounds of race, color,
national origin, age, or disability shall be excluded from participation in, denied
the benefits of, or otherwise by subjected to discrimination.
C. the Lessee shall use the Property in compliance with all other applicable
requirements imposed by or pursuant to the Regulations.
That in the event of breach of any of the above nondiscrimination covenants, the City
shall have the right to terminate the Lease and to re -enter and repossess the Property and
the facilities thereon, and hold the same as if the Lease had never been made or issued.
7. Lessee, its officers, agents and employees shall faithfully observe all rules and
regulations affecting the use of the Pueblo Memorial Airport or motor vehicles thereon
or the use and occupancy of the Property, whether established by the Director of
Aviation, the City, the State of Colorado, or the United States or agencies thereof and
Lessee's use and occupancy of the Property and improvements thereon are subject to all
ordinances of the City located within the jurisdictional limits of the City.
8. Lessee shall indemnify and save harmless the City, its officers, agents, and employees
from and against any and all claims, demands, actions, suits and expenses (including
reasonable attorney fees) of any nature including those based upon injury to persons
including death, or damage to property, including loss of use, arising out of, caused by,
or sustained by the acts or omissions of Lessee, its officers, agents, or employees, or in
connection with the performance of the Lease, or by conditions created thereby, or by
conditions of the Property, or based upon any violation of any statute, ordinance, or
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regulation, except those caused by the negligence of the City, its officers, agents or
employees.
9. Lessee shall maintain at its expense during the effective period of the Lease
a. comprehensive general liability, products liability, and property damage insurance
against liability for injuries to or death of any person for damage to or loss of
property with limits not less than $500,000 combined single limit per occurrence.
b. workmen's compensation insurance with policy provisions as required by
Colorado State Law.
Lessee shall furnish to the City certificated from an insurance company acceptable
to the City certifying such insurance to be in force during the effective term of
the Lease' All such insurance shall provide for a minimum of ten (10) days
notice to the City in the event of cancellation or material change in the terms
thereof. The City reserves the right to reasonable increase the minimum
insurance limits set forth in (a) above.
10. The Lease and these General Provisions are intended as the complete integration of all
understandings and agreements between the parties. No prior or contemporaneous
addition, deletion, or other amendment shall have any force or effect whatsoever unless
specifically included in the Lease. No subsequent novation, renewal, addition, deletion,
or other amendment to the Lease or hereto shall have any force or effect unless embodied
in a written agreement and approved by Resolution or Ordinance of the City Council of
the City.
11. Lessee shall not assign or otherwise transfer the Lease or any of Lessee's interest therein
or sublease the Property or any portion thereof without the prior written consent of the
City first had and obtained. If Lessee is a corporation or partnership, a majority interest
in the partnership shall not be sold or otherwise transferred without the prior written
consent of the City. Any such assignment, transfer or sublease made without prior
written consent of the City shall be void and ineffective as to the City and shall constitute
grounds to terminate the Lease.
12. In case any one or more of the provisions contained herein or in the Lease shall be
invalid, illegal or unenforceable in any respect, the validity, legality, and enforceability
of the remaining provisions contained herein or in the Lease shall not be affected or
impaired thereby.
13. Whenever in the Lease or in these General Provisions any of the Parties hereto is named
or referred to, the successors and assigns of such party shall be deemed to be included
and all the covenants, promises and agreements contained herein or in the Lease by or
on behalf of the Lessee, or by and on behalf of the City, shall bind and inure to the
benefit of the respective successor and assigns, whether so expressed or not.
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14. It is the intention of the parties hereto that the Lease and these General Provisions and
the rights and obligations of the parties hereunder shall be governed by and construed and
enforced in accordance with the laws of the State of Colorado.
15. Lessee shall at its expense, throughout the term of this Lease, maintain and keep in force
the following insurance: Contractual liability insurance to insure the performance by
Lessee of the indemnification agreement of paragraph (8) hereof.
All such insurance shall provide for a minimum of ten (10) days notice to the City in the
event of cancellation, non - renewal or material modification. Lessee shall
provide City with certificates of such insurance.
16. Neither the City nor Lessee shall be liable to the other for any business interruption or
any loss or damage to property or injury to or death of persons occurring on the Airport,
or in any manner growing out of or connected with the Lessee's use and occupancy of
the Property or the condition thereof, whether or not caused by the negligence or other
fault of City or Lessee, or their respective officers, agents or employees. This release
shall apply to the extent such business interruption, loss, or damage to property or injury
to or death of persons is covered by insurance regardless of whether such insurance is
payable to or protects the City or Lessee or both. Nothing herein shall be construed to
impose any other greater liability upon either City or Lessee than would have existed in
the absence of this provision. This release shall be in effect so long as the applicable
insurance policies contain a clause to the effect that this release shall not affect the right
of the insured to recover under such policies. Such clauses shall be obtained by the
parties whenever possible. The release in favor of City contained herein, is in addition
to, and not in substitution for, or in diminution of the hold harmless and indemnification
provisions hereof.
17. If Lessee fails for any reason to actively conduct business on the Property as permitted
and authorized under the Lease for a period of 120 consecutive days or longer, the City
may terminate and cancel the Lease upon twenty (20) days prior written notice to Lessee,
provided, that if the Property becomes untenable because of fire or other casualty not
caused by the fault or negligence of Lessee, the 120 consecutive day period shall be
extended by such reasonable time as may be required for Lessee to make necessary
repairs or replacements to the Property.
18. The Lease and any amendment or modification thereto are subject to the prior written
approval of the Federal Aviation Administration. Lessee agrees to comply with
notification and review requirements of construction, modification, or alteration of any
building or structure on the Property.
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