Item F5
BOARD OF COUNTY COMMISSIONERS
AGENDA ITEM SUMMARY
Meeting Date: 06-21-01 ~
Division:
County Administrator
Bulk Item: Yes X
No
Department: Airports
AGENDA ITEM WORDING:
Approval of Lease Agreement with Fedex Ground.
ITEM BACKGROUND: Fedex is leasing paved ramp space while they plan and construct their
permanent or long term facilities.
PREVIOUS REVELANT BOCC ACTION: BOCC approved leasing pavement at the
Marathon Airport to Fedex Ground Operations at the March 2001 commission meeting.
CONTRACT/AGREEMENT CHANGES: This is a new contract for a maximum of two years
that can be terminated with a 30 day notice any time, by either party.
STAFF RECOMMENDATIONS:
Approval
TOTAL COST: N/A
COST TO COUNTY:
BUDGETED: Yes
No
REVENUE PRODUCING: Yes X No
AMOUNT PER YEAR $6000.00
APPROVED BY: County Atty _ OMBlPurchasing _ Risk Management _
MARATHON AIRPORT MANAGER APPROV AL: ~~9
~Th esa Cook
-.-/C-
DIVISION DIRECTOR APPROVAL: -- Q. - ~ '
James Roberts
County Administrator
DOCUMENTATION:
Included X-
To Follow
Not Required_
DISPOSITION:
AGENDAITEM#~
Revised 2/27/01
MONROE COUNTY BOARD OF COUNTY COMMISSIONERS
-. CONTRACT SUMMARY
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Contract with: FEDEX Ground Contract # July 7, 2001
Effective Date: April1,2001
Expiration Date: March 31, 2003
Contract Purpose/Description:
Month to Month lease, not to exceed two years for 100' x 50' ramp area to be used for
package sorting and truck loading.
Contract Manager: Theresa Cook 6060 Airport/15
(Name) (Ext.) (Department/Stop #)
for BOCC meeting on 6/21/01 Agenda Deadline: 6/1101
CONTRACT COSTS
Total Dollar Value of Contract $ 6000.00
Budgeted? YesO No [8] Account Codes:
Grant $
County Match: $ 0
Current Year Portion: $
--
ADDITIONAL COSTS
Estimated Ongoing Costs: $ _/yr For:. '.
(Not included in dollar value above) (eg. maintenance, utilities, janitorial, salaries, etc.)
CONTRACT REVIEW
crnmg~ DmeOm
Date In Needed ~n Revi~wen
Airport Manager YesON00 ~ ~ {,-s-\
Risk ManagTt. c..fllta1 y esO NO~ {i. ~ ~ 1Uk-;:R;0f'
O.M.BJPurc~g YesONO~tc. a ~
County Attorney ~ YesO NO~~
Comments:
OMB Form Revised 2/27/01 MCP #2
'-
LEASE AGREEMENT MARA THON AIRPORT
THIS CONTRACT OF LEASE is" macre' and entered into on the
day of
2001, by and between MONROE COUNTY, a political subdivision of the State of Florida, whose address is
9400 Overseas Highway, Marathon, FL 33050, hereinafter referred to as -COUNTY" and FEDEX GROUND
PACKAGE SYSTEM, INC., whose address is 1000 FedEx Drive, Moon Township, PA 15108, hereinafter
referred to as -FEDEX."
WHEREAS, COUNTY owns an airport known as the Marathon Airport, located in Marathon, Monroe
County, Florida, hereinafter referred to as -Airport," and
WHEREAS, FEDEX is engaged in the business of transportation of small packages, cargo and other
property, and
WHEREAS, FEDEX desires to obtain certain rights, services and privileges in connection with the use
of the Airport facilities, and the COUNTY is willing to grant and lease the same to FEDEX on an exclusive
basis for the premises leased, upon the terms and conditions hereinafter stated,
NOW, THEREFORE, in consideration of the premises and of the mutual covenants and agreements
herein contained, and other valuable considerations, COUNTY does hereby grant and lease unto FEDEX, and
FEDEX does hereby lease from COUNTY, certain premises, facilities, rights, and privileges in connection
with and on the Airport, as follows, to wit:
1. PREMISES COUNTY does hereby lease to FEDEX, and FEDEX leases from the COUNTY, the
ramp space presently located at the Airport, measuring 5,000 square feet, as indicated on the drawing
.
labeled as Exhibit -A If attached hereto and made a part hereof upon which FEDEX may place a trailer dock
and/or an office trailer or a combination of both.
2. USE OF THE AIRPORT FEDEX shall be entitled to use, in common with others authorized to
do so, the airport facilities and appurtenances, together with all equipment, improvements, and services
which have been or may hereafter be provided at or in connection with the Airport for common use, in the
operation of a business for the transportation of small packages, cargo and other property.
3. TERM The term of this lease shall be on a month to month basis not to exceed 24 months,
commencing April 1, 2001 and may be terminat~d by FEDEX upon thirty (30) days prior written notice.
4. RENTALS AND FEES During the term of this lease, FEDEX shall pay to the COUNTY, rent as
follows: the amount of $500 per month for the area of five thousand (5,000) square feet, plus applicable
sales tax.
Rental rates are subject to revision each year, effective April 1, in accordance with the airport
standard rates and charges, or in accordance with the percentage change in the Consumer Price Index (CPr)
for Wage Earners and Clerical Workers in the Miami, Florida, area index, and shall be based upon the annual
average cpr computation from January 1 through December 31 of the previous year.
Rent shall be paid in equal installments, each of which shall be due and payable on or before the first
day of each calendar month during which this lease is in effect. Upon the failure of FEDEX to pay any
installments when due, or within any grace period provided in Section 12, the COUNTY will be entitled to
charge and collect, and FEDEX will be obligated to pay, a late fee of two percent (2%) of any such amount, if
paid within thirty (30) days of the date due, and five percent (5%) of any such amount, not paid within thirty
(30) days of the date due. Such late fees will be in addition to the amount of rent due. The acceptance by
the COUNTY of the overdue rental installment plus applicable late fees shall cure what would otherwise
constitute a default by FEDEX under the terms of this lease. The COUNTY, at its option, however, may
refuse a proffered overdue rental installment and late fees, declare a default, and proceed according to
paragraph 12 of this lease. If any check, draft, or negotiable instrument by which FEDEX has tendered any
rent payment is returned to the COUNTY and not honored, then the COUNTY may collect, in addition to any
applicable late payment fees as provided above, a fee of Twenty-five Dollars ($25.00) for such dishonored
instrument. Such penalty fee shall also be in addition to the amount of rent due. The acceptance by the
COUNTY of the rental payment plus any applicable late fee and penalties following the receipt of a
dishonored instrument shall cure what would otherwise constitute a default under the terms of this lease.
The COUNiY, at its option, however, may refuse any proffered rental installment and applicable late fees
and penalties, declare a default, and procUd'Qccording to paragraph 12 of this lease.
5.
LEASEHOLD IMPROVEMENTS AND USE
FEDEX shall have the right to occupy and use
ten thousand (5,000) square feet of concrete ramp space and install the items referred to in Section 3.
6. COMMON AREAS FEDEX shall have the right to use, in common with others, the Airport
space and facilities (including, without limitation, restroom facilities) to conduct its cargo business, subject
to reasonable rules and regulations of COUNiY as to the use of such common spaces and facilities.
7. RIGHT OF INGRESS AND EGRESS FEDEX, its agents, employees, customers, suppliers, and
patrons shall have the right of ingress and egress to and from the leased premises, which shall not be
uMreasonably restricted by COUNiY.
8. UTILITIES FEDEX shall be responsible for the payment of electrical service, water service,
trash and septic tank servicing and similar utility services, in each case, to the trailer dock and/or office
dock, as needed.
9. ASSIGNMENT The premises leased hereunder may not be sublet and this lease may not be
assigned without the written consent of the COUNiY, not to be unreasonably withheld. FEDEX may sublet /
or assign this lease to any subsidiary of FED EX Corporation.
10. MAINTENANCE OF PREMISES FEDEX shall be responsible for and shall properly maintain the
leased premises, and upon the termination of this lease, shall leave the premises in at least as good condition
as at the time of the commencement of this lease, normal use and occupancy excepted. FEDEX shall also be
responsible for, and shall properly maintain, the security fences and gates surrounding the leased premises
(if any) and for any construction work performed to or on the premises leased hereunder.
11. INDEMNIFICATION/HOLD HARMLESS
a. FEDEX agrees to indemnify and save COUNiY harmless from and against all claims and
actions and expenses incidental thereto, arising out of damages or the cost of defending claims for damages
resulting from the negligence of FEDEX, its agents, or employees in the use or occupancy of the leased
premises and the common areas of the Airport facilities by FEDEX. However, FEDEX shall not be liable for
any claims, actions or 'expenses resulting from the COUNTY's negligence. The extent of liability is in no way
limited to, reduced, or lessened by the.insurance requirements contained elsewhere within this agreement.
,. '.. ',,~,
b. Prior to FEDEX taking possession of the property owned by the COUNTY, FEDEX shall
obtain, at its own expense, insurance as specified in the attached schedules, which are made a part of this
lease agreement.
FEDEX will not be permitted to occupy or use the lease property until satisfactory evidence of the
required insurance has been furnished to the COUNTY as specified below.
FEDEX shall maintain the required insurance, throughout the entire term of this lease agreement,
and any extensions, as specified in the attached schedules. Failure to comply with this provision may result
in the immediate termination of the lease agreement and the return of all property owned by the COUNTY.
FEDEX shall provide to the COUNTY as satisfactory evidence of the required insurance a Certificate of
Insurance.
All insurance policies must specify that they are not subject to cancellation, non-renewal, material
change, or reduction in coverage unless a minimum of thirty (30) days prior notification is given to the
COUNTY by the insurer. The acceptance and/or approval of the FEDEX's insurance shall not be construed as
relieving the FEDEX from any liability or obligation assumed under this contract or imposed by law. The
Monroe County Board of County Commissioners will be included as "Additional Insured" on all policies. FEDEX
shall carry its insurance with Insurance companies authorized to do business in the State of Florida.
Any deviations from these General Insurance Requirements must be requested in writing on the
COUNTY prepared form entitled "Request for Waiver of Insurance Requirements" and be approved by
Monroe County Risk Management.
12. DEFAULT Unless the COUNTY has accepted a rental installment after it has become due
together with any applicable late payments and penalties, the failure to pay rental installments when due (or
within 5 days of written notice for the first two delinquencies each year) shall constitute a default under
the terms of this lease. The failure to pay any other charges or fees when due under this lease shall
constitute a default. Further, the failure of FEDEX to perform any other of the covenants of this lease,
which failure shall continue for a period of thirty (30) days after notice thereof is given to FEDEX in writing
by the COUNTY, shall also constitute a"default under the terms of this leas-e. In the event of a default,
COUNTY may, at its option, declare the lease forfeited and may immediately re-enter and take possession of
the leased premises and this lease shall terminate. If it shall be necessary to employ the services of an
attorney in order to enforce its right under this paragraph, or to collect any of its rentals, fees, or charges
due, COUNTY shall be entitled to reasonable attorney's fees. Waiver of a default in any particular month
shall not bind the COUNTY to forego the provisions of this paragraph and any subsequent default shall be
grounds for termination.
13. VENUE for any litigation arising under this lease must be in a court of competent jurisdiction
in Monroe County, Florida.
14. FAA REQUIREMENTS The parties shall comply with FAA Required Lease Clauses, which are
listed in Exhibit -B,. attached hereto and made a part hereof.
15. Notwithstanding anything th(Jt may appear elsewhere in this lease, the COUNTY reserves the
right to grant similar leases at the Marathon Airport to other transportation companies on a space available
basis.
IN WITNESS WHEREOF, the parties have caused this lease to be executed the day and year first
written above.
(SEAL)
ATTEST: DANNY L. KOLHAGE, CLERK
BOARD OF COUNTY COMMISSIONERS
OF MONROE COUNTY, FLORIDA
By
By
Deputy Clerk
Mayor/Chairman
.'
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