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Item D17 BOARD OF COUNTY COMMISSIONERS AGENDA ITEM SUMMARY MEETING DATE: 9/21/05 DIVIS!ON: COUNTY ADMINISTRATOR BULK ITEM: YES DEPARTMENT: AIRPORTS STAFF CONTACT PERSON: Peter Horton AGENDA ITEM WORDING: Approval of lease agreement with Federal Express Corporation for operations at the Florida Keys Marathon Airport. ITEM BACKGROUND: Lease amendment expired 3/31/05. New lease term~ 4/1105 - 3/31/10~ PREVIOUS RELEVANT BOCe ACTION: Approval of lease amendment 2J19J03. CONTRACT/AGREEMENT CHANGES: New Agreement STAFF RECmv1MENDAT!ON: Approval TOTAL COST: None BUDGETED: nla COST TO AIRPORT: None COST TO PFC: None COST TO COUNTY: None SOURCE OF FUNDS: n/a REVENUE PRODUCING: Yes AMOUNT PER YEAR: FY 2004 ~ $30,624.00 APPROVED BY: x x Risk Management X AIRPORT DIRECTOR APPROVAL ~. nl .~ ' ~. ; ! , Peter J. Horton Included X Not ITEM # Ibev APB MONROE COUNTY BOARD OF COUNTY COMMISSIONERS CONTRACT SUMMARY Contract # Contract with: Federal Express Effective Date: 4/1/05 Expiration Date: 3/31/10 Contract Purpose/Description: Lease agreement for operations at the Florida Keys Marathon Airport Contract Manager: Sevette Moore (name) # 5195 Airports ~ Stop # 5 for sace CONTRACT COSTS Tota! Dollar Value Contract: Revenue Budgeted? Grant: County Match: Estimated Costs: nla (not included in dollar value above) For: ~ (eg. maintenance, utilities. janitoriaL salaries, etc.) Date In Needed <ell ( vU' , Q,M,8.1Pur ;05 'r/ .';-/"- , ! ~f~ Airports r>, I' --- _/-1~ LEASE AGREEMENT FLORIDA KEYS MARATHON AIRPORT Federal Express Corporation THIS CONTRACT OF LEASE is made and entered into on this day 2005, by and betvvecn MONROE COUNTY, a political subdivision of the State of Florida, hereinafter referred to as "COUNTY" and FEDERAL EXPRESS CORPORATION, hereinafter referred to as "FEDEX." WHEREAS, COUNTY OVvTIS an in Marathon, Monroe Coum,., Florida, located property, FEDEX is engaged business transportation of cargo other WHEREAS, FEDEX desires to obtain certain rights, with use the Airport facilities, COUNTY is FEDEX on a basis, upon the terms and in connection and lease same to now, therefore, of the premises and of the other valuable considerations, COUNTY does FED EX hereby lease from the COtJNTY, certain premises, connection with and on as follows, to wit: covenants grant agreements herein unto FED EX, and and privileges m L Premises The COUNTY does hereby to FED EX, the existing cargo building) presently at two thousand (2,000) square nine five sixty-rIve (9,565) unimprm1cd areas around building, as on drawing as Exhibit hereto a part hereof FEDEX leases from measuring feet of '- FEDEX authorized to common all equipment, Airport of alL on The term 31,2010, 1,2005, and rent as term to 1) amount of DoHars 10/1 00 Cents 120.10) per month for the area rwo thousand (2,000) square feet, the existing terminal area plus patios cargo building) for a tOtal Twenty~five Thousand, Four Hundred Forty-one Dollars and 20/100, Cents ($25,441.20) per annum, plus applicable sales tax, fu~d 2) the amount of Three Hundred Forty-nine Dollars and 81/100 Cents ($349.81) per month for an area of nine thousand, five hundred sixty-five (9,565) square feet of unimproved land around the air cargo building, for use for loading, unloading, and parking of automotive vehicles, for a total of Four Thousand, One Hundred Ninety-seven Dollars and 72/100 Cents ($4,197.72) per a11num, plus applicable sales tax. Rental rates are subject to revision each year in accordance with airport sta.'1dard rates and charges, and in accordance with the percentage change in the Consumer Price Index for all urban consumers (Cpr~U) for the most recent months available, Rents for items ] &'1d 2 shall be paid in equal monthly installments, each of which shall be due and payable on or before first day of each calendar month during which tIlis lease is in effect. Upon failure of FEDEX to pay any installments when due, COUNTY be entitled to charge and and FEDEX be obligated to pay, a fee ofrvvo percent of any such amount, if paid within thirty (30) days of the date and percent of such amount, not paid within thirty (30) days of the date Such late fees wiH be in addition to the amount of rent due. The acceptance the COUNTY of the overdue rental installment plus applicable late fees shall cure what would otherwise constitute a default by FEDEX under terms this lease. The , at option, however, may refuse a proffered overdue rental installment fees, declare a and proceed according to paragraph 36 of this lease. In the event that any check, draft or FEDEX has tendered rent payment is retLL'11ed to and not honored, for ful1ds or other reason, the COUNTY will entitled to charge and addition to any applicable late payment fees as provided a fee of Twenty-five Dollars ($25000) for such dishonored Such penalty fee be to the amount rent due. The acceptance COlJNTY of the rental payment any applicable late and the of a instmment \'lould otherwise a default the terms of this lease. The , at its mav refuse any proffered ~ .,., rental installment and applicable late fees declare a and proceed to paragraDh of lease. - ~" In addition to rent as an amount of deposit to , to ser.;ices to event and to aircraft, contractual agreements are accordance 36 of s operating expenses all payments be terminated "'! f , existing to the cargo measuring two thousa,'1d square and an area of nine five hundred sixty-five square feet of unimproved land adjacent to the existing . cargo building), as sho\'vn on Exhibit A~' attached and made a part hereof terminal 2 FEDEX has the right during the term hereof, at its own expense, at any time from time to time. to install, maintain, operate, repair and replace any and aU trade fixtures and other Airport personal property useful from time to time in connection with its operation on the Airport, all of which shall be and remain the property of FEDEX and may be removed by FEDEX prior to or \vitrun a reasonable time after expiration of the term of this agreement; provided however, that FEDEX shall repair any damage to the premises caused by such removal. The failure to remove trade fixtures or other personal property shall not constitute FEDEX a hold over, but all such property not removed within ten (l0) days after FEDEX receives a written demand for such removal shaH be deemed abandoned and thereupon shaH become the sole property of the Airport FEDEX shaH cause to removed any and all liens any nature arising out of or because of any construction performed FEDEX or any of its contractors or subcontractors on leased premises or because of the performance of work or labor or furnishing of materials for use at said premises, or at direction FEDEX, FEDEX may only utilize the leased building to provide counter space for members of the public desirous of FEDEX's cargo and package services and for the operation of a business engaged in transportation of other property. are to FEDEX parking, FEDEX shall not or place automotive vehicles in space on premises unless it has been designated by the COUNTY shaH cooperate FEDEX designating a number spaces to business Common Areas Airport space facilities to aircraft, subject to reasonable shall the to use, common landing, taking off, loading, unloading and servicing and regulations the as to the use others, FED EX's common spaces Right of Ingress and Egress FED EX, agents, suppliers, and patTOns shall have the right of ingress egress to and from shall not unreasonably restricted the customers, U tiHties and septic ta:r..k responsible for payment services as needed. servIce, water H. not be not maintain the as condition as at excepted. FEDEX is slliwrounding premises being remodeled or termination commencement proper! y IS also responsible 13, authorized officers, employees, agents, contractors, subcontractors and the right !O enter upon the leased for following purposes: a) to inspect the premises at reasonable hours (or at any time in case of emergency) to determine whether FEDEX complying with the terms and conditions of this agreement with respect thereto; The regular business has complied and is 3 b) to perform essential maintenance, repair, relocation, or removal of existing underground and overhead wires, pipes, drains, cables and conduits now located on or across the leased premises, and to construct, maintain, repair, relocate, and remove such facilities in the future as necessary to carry out the Master Plan of development of the Airport; provided, however, that said work shall in no event unduly interfere with the operations of FEDEX a.'1d, provided further, that the entire cost of such work, including but not limited to the cost of rebuilding, removing, relocating, protecting or otherwise modifying any fixed improvements at any time erected or installed in or upon the leased premises by FEDEX, the COlJNTY or third parties, as a result of exercise by the COUNTY of its rights hereunder, and all damage to such fixed caused thereby, shaH be borne by the COUNTY. 14. Insurance Requirements FEDEX will obtain or possess Insurance provide Certificates ofInsura.nce to the COUNTY to verify such coverage~ and Commercial General Liability. FEDEX shall and operations including Contractual, Products, Personal/Advertising Injury. limits shall not be $5,000,000 or If split limits are provided, the minimum $5,000,000.00 per occurrence~ $500,000 per person, 00,000 Property Damage The Aggregate shall at t\vice required occurrence limits. for all premises Operations, and be~ to this agreement or be Business Automobile LiabiIitv. FEDEX non~o\VTIed and hired vehicles not $5,000,000 CSL or its split limits are provided, $5,000,000 occurrence $500,000 person $100,000 Property Professional Aviation Liabilitv. FEDEX $30,000,000.00 CSL, or equivalent. of not to Worker's Compensation. FEDEX to applicable state statutes. limits Emplover's Liabilitv. of not less $1,000,000 Bodily Injury by $1,000,000 Bodily Injury by Disease, policy and $1,000,000 Bodily Injury Disease, each employee. s Pronertv Insurance. FEDEX shall provide coverage for all premises governed by this agreement with limits no less than the Replacement Cost Value of the leased premises 4 and as a minimum shaH include coverages consistent with the latest version of the Special Form as filed by the Insurance Services Office (ISO) and shan include as a minimum coverage for claims arising out of Fire, Sprinkler Leakage, Windstorm, Civil Commotion, Lightning, Sinkhole Collapse, Smoke, Aircraft and Vehicle Damage, Vandalism, FaHing Objects, Explosion and Flood" b) The Monroe Comity Board of County Commissioners will be included as "Additional Insured" on all policies, except for Worker'.s Compensation. In addition, the Monroe County Board of County Commissioners shall be named as on any property insurance placed on the leased facilities, renewal, notification is insurance policies must specify that they are not subject to cancellation, non- change, or reduction L.'1 coverage unless a minimum thirty (30) days prior to the COUNTY by the insurer. d) The acceptance and/or approval ofFEDEX'S insurance shall not be construed'as relie\ring FEDEX from any liability or obligation assumed under lease or imposed law. FEDEX shall maintain the required insurance throughout entire term of this lease and any extensions which may be entered into. COUNTY, at sole option, has Lhe right to request a copy any and all insurance policies required lease. Failure to comply this provision be considered a default and the COlJNTY may in accordance with paragraph 36. f) Non-Waiver of Immunity. Notwithstanding the proVISIOn of Sec. 768.28, Florida Statutes, the participation of COUNTY and FEDEX in this the acquisition of any commercial liability insurance coverage, self-insurance coverage, or local government liability insurance pool coverage shall not be deemed a of immunity to of liability coverage, nor shall contract into COUNTY be to contain deviations from these Insurance Requirements must requested COUNTY prepared entitled, "Request Waiver Requirements" by Monroe County Management Books. Records and Documents documents directly pertinent to In accepted principles consistently applied, to this shall have reasonable and timely access to such agreement for public records purposes during term of the foHowing termination of ttris , Finance Director or other authorized shall have the right to inspect fu"1d FEDEX's books of accounts and other directly at Florida Airport facility or otherwise pertaining to this a false its Actual Revenue Arrivals under hereof a FEDEX of agreement and the COUNTY may, at its option, declare terminated, FEDEX retains the right to have its controller or a representative assigned by controller to present. inspection or audit COUNTY Ten (10) business days notice must given of intent to audit by the COu'NTY to allow FEDEX's controHer sufficient time to schedule said presence. Nothing contained within this section attomey/client or attorney work product privilege, 5 16. Governing Law. Venue. Interpretation. Costs. and Fees This agreement shall be governed by and construed in accordance with the laws of the State of Florida applicable to contracts made and to be performed entirely in the State. In the event that any cause of action or administrative proceeding is instituted for the enforcement or interpretation of this agreement, the COUNTY and FEDEX agree that venue wiIllie in the appropriate court or before the appropriate administrative body in Monroe Countv~ Florida. .; , The COlJNY and FEDEX agree that, in the event of conflicting interpretations of the terms or a tenu of this agreement by or between <h'1Y of them the issue shaH be submitted to mediation prior to the institution of other administrative or legal proceeding. 17. Severability If &'1y term, covenant, condition or provision of this agreement (or the application thereof to any circtL.'TIstance or person) shall be declared invalid or unenforceable to any extent a COtL.'t of competent jurisdiction, the remaining terms, covenants, conditions and provisions of this agreement, shall not be affected thereby; and each remaining covenant, condition and provision of this agreement shall be valid and shall be enforceable to fullest extent permitted law unless enforcement of the remaining tenus, covenants, conditions and provisions of this agreement would prevent the accomplishment of the original intent agreement. COUNTY and FEDEX afITee to reform the agreement to reolace stricken a valid orovision that "!",.> q".- -- ..2- comes as close as possible to the iment of the stricken provision~ Attornev's Fees and Costs Tne COUNTY FEDEX agree that in the event any cause of action or administrative is initiated or defended by party to the enforcement or interpretation of this agreement, the prevailing party shall be entitled to reasonable attorney's fees, court costs, investigative and out-of-pocket expenses, as an award against the non- prevailing , and shall attorney's court costs, . and out-of~pocket expenses appellate proceedings" Mediation proceedings initiated and conducted pursuant to agreement be in accordance \vith the Florida of Procedure and usual customary procedures the Circuit Court of Binding Effect terms, agreement shall bind and inure to benefit of representatives, and assigns. 20. Aufboritv delivery perfurmance this corporate action, as required law. COUNTY 21, Claims for Federal or State Aid The empowered to apply for, seek, and that applications, requests, by each prior to submission. each the purpose solicitations 22. Adjudication of Disnutes or Disagreements FEDEX that all disputes and disagreements shall be attempted to be meet and confer sessions between representatives of each the If no resolution can agreed upon \\'lthin thirty (30) days after the first meet and confer session, the issue or issues be discussed at a public meeting of the Monroe County Board of County Commissioners" If the issue or issues are still not resolved to the satisfaction of the parties, then any party shall have the right to seek slich relief or remedy as may be provided by this agreement by Florida law. 6 23. Cooperation In the event any administrative or legal proceeding is instituted against either party relating to the formation, execution; performance, or breach of this agreement, the COUNTY and FEDEX agree to participate, to the extent required by the other party, in all proceedings, hearings, processes, meetings, and other activities related to the substance of this agreement or provision of the services under t.ills agreement The COlJNTY and FEDEX specifically agree that no party to this agreement shalf be required to enter into any arbitration proceedings related to this agreement. A party who requests the other's party's participation in accordance with the terms of this section shall pay all reasonable expenses incurred by the other party reason of such partici patlon. Nondiscrimination The COtJNTY FEDEX agree that there will be no discrimination against any person, and it is expressly understood that upon a determination by a court of competent jurisdiction that FEDEX has discriminated against a.."'1y person, this agreement automatically terminates withom any further action on the part of party, effective the date of the Court order. The eOlJNTY or FEDEX agree to comply with aU Federal and Florida Statutes, and all local ordinances, as applicable, relating to nondiscrimination. These include but are not limited to: 1) Title VI of the Civil Rights Act of 1964 (pL 88-352) which discrimination on the basis race, color or national origin; 2) Title of the Education Amendment of 1 as amended (20 use 55. 1681~1683, and 1685 -1686), which prohibits discrimination on the basis of sex; 3) Section 504 of the Rehabilitation Act 1973, as amended (20 s. prohibits discrimination on the basis of handicaps; The Age Discrimination Act of 1975; as amended use 5S. 6101 07) prohibits discrimination on the basis of age; 5) The Abuse and Treatment Act of 1972 (PL as amended, relating to nondiscrimination on the basis drug abuse; 6) Comprehensive Alcohol Abuse and Alcoholism Prevention, Treatment and Rehabilitation Act of 1970 (PL 91 ~616), as amended, to nondiscrimination on the basis of abuse or alcoholism; 7) The Public Health Service Act 1912, 55, 523 and 527 (42 use 55, 290ee-3), as amended, relating to confidentiality of alcohol and drug abuse patent 8) VIII of Rights of 1968 USC s, et as amended, relating to nondiscrimination in sale, or financing of housing; 9) The Americans with Disabilities Act of 1990 s. 1 Note), as may be amended from time to time, relating to nondiscrimination of 10) Sees. 101, et seq~, Monroe eOlli'1ty Code, relating to discrimination based on race, color, religion, disability, origin, ancestry, sexual orientation, gender identify or stams or age; 11) nondiscrimination provisions Federal or state statutes apply to the subject matter of, agreement 'JC;: "w~<= Covenant of No Interest Tne interest, and not acquire performance under this agreement, as recited this agreement manner or is to perform 26, Code of Ethics The recognize and will be to as in Section 112.31 solicitation or acceptance of gifts; doing misuse of public position, conflicting employment or certain information. and officers not limited to compensation; disclosure or use 2i, Public Access The COlJNTY and FEDEX shall allow permit reasonable access to, and inspection of, all documents, papers, letters or other materials in its possession or under 7 its control subject to the provisions of Chapter 119, Florida Statutes, and made or received by the COUNTY and FEDEX in conjunction with this agreement; and the COUNTY shaH have the right to unilaterally cancel this agreement upon violation of this provision by FEDEX. Nothing contained within this section waives attorney/client or attorney work product privilege, 28. Non~ W River of Immunity. Notwithstanding the provisions of Sec. 286.28, Florida Statues, the participation of the COUNTY and FEDEX in this agreement and the acquisition of any commercial liability insurance coverage, self-insurance. coverage, or local government insurance pool coverage shaH not be deemed a waiver of immunity to the extent of liability coverage, nor shall any contract entered into by the COUNTY be required to contain any provision for waiver. 29, PrivHe~es and Immunities All of the privileges and immunities from liability, exemptions from laws, ordinances, and rules and pensions and disability, workers' compensation, and other benefits which apply to the activity of officers, agents, or employees of any public agents or employees of the COIJNTY, when performing their respective functions under agreement within the territorial limits of the COIJNTY shall apply to the Sfu"'TIe degree extent to the performance of such functions and duties of such officers, agents, volunteers, or employees outside the territorial limits of the COUNTY 30, Legal Obligations and Responsibilities Non-Delegation Constitutional or Statutory Duties. This agreem.ent is not intended to. nor shall it be construed anv particip~ting entity from ~y obligation or responsibilitY imposed upon by law except to th~ extent of and timely performance thereof by participating which case performance may be offered in satisfaction the obligation or responsibility, this agreement is not intended to, nor shall it be construed authorizing the delegation of constitutional or statutory duties of the COul~TY, to the extent pennirted Florida Constitution, State Statute, case Non~ReHance bv Non-Parties No or entitled to upon the terms, or any of them, of this agreement to enforce or attempt to Lhird-party claim or to or benefit service or program contemplated t..he FEDEX neither the COUNTY nor FEDEX or officer, or employee either shall authority to counsel, or othenvise that individual or group entity or entities, or benefits separate and apart7 or to the community or for Attestations require, to include a StatemenL No Personal Liabilitv a covenant or agreement of no be on agreement or be of the execution of this agreement. covenant or member, officer, , officer, agent or ect to personal reason Execution in Counterparts This agreement any number of counterparts, each of which shall be regarded as an original, all of taken together shaH constitute one and the same instmment and any of the parties hereto may execute this agreement by signing any such counterpart 8 35. Section Heading Section headings have been inserted in this agreement as a matter of convenience of reference only, and it is agreed that such section headings are not a part of this agreement and will not be used in the interpretation of any provision of this agreement. 36. Default Unless the ~OlJNTY has accepted a rental installment after it has become due together with any applicable late payments and penalties, the failure to pay rental installments "vhen due shall constitute a default under the tenns of this lease~ The failure to pay any other charges or fees when due tLfJ.der 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 fifteen (15) days, or for such longer period of time as may be reasonably required to rectify said failure through the exercise of prompt, diligent and continuous action, after notice thereof is given to FEDEX in writing by the COUNTY, shall also constitute a default under the terms of this lease" In the event of a default, COtJNTY may, at its option, declare the lease forfeited and may immediately fe-enter and take possession of the leased premises and this lease shaH terminate. If it shall be necessary to emptoy the sen'lces of an attorney in order to enforce its right under this paragraph, or to coHect any 'of its rentals, fees, or charges COlJNTY shall be entitled to reasonable attorney's 37. Cancellation of Lease The may this agreement by giving FEDEX sixty (60) days adV3...11Ced vvritten notice upon the happening of anyone the following events: the appointment of a receiver of FEDEX's assets; the divesting FEDEX's leasehold estate by other operation of law; the abandonment by FEDEX of its air cargo transportation business at the Airport for a period of ' days. By the of the sixty (60) day period, FEDEX shall have vacated the premises and the COlJNTY may immediately re-enter take possession of the same. If it is necessary to emplov the services of an attorney in order to the COu'NTY's rights under paragraph, the CO-L'NTY shall be entitled to reas~nable fees. ~ 38. FAA Requirements The parties shall comply with which are listed C, attached hereto a hereof. Required AIRPORT SECURITY a. The Transportation Security overseeing the securitv measures utilized by ~ "' provisions of Chapter 49, United States regulations including but not to 1540, et severe civil assessed operator that operator as a result of an airport tenant or tenant. relevant Code, may '" of upon the agents, aIrport or Tenant An airport tenant means an . The term includes an airport tenant as than the airport operator, is 3...fJ. conduct business on airport 1540S signatory to e, Airport Operator , Florida, its elected used in appointed officers, agreement, its employees. operator means Monroe 9 d. Airport Property Defined. Airport property shall mean the property owned or leased by, or being lawfully used by, the airport operator for civil aviation and airport-related purposes. For purposes of this agreement, airport property is the property generally referred to as the Key West International Airport, the Florida Keys Marathon Airport, or both as may be set forth in this agreement f. Inspection Authority. The . airport tenant agrees to allow Transportation Security Administration (TSA) authorized personnel, at any time or any place, to make inspections or tests, including copying records, to determine compliance of the airport operator or airport tenant with the applicable security requirements of Chapter 49, United States Code, and 49 CFR 1540, et seq. f. Airport Security Program. The airport tenant agrees to become familiar, to the extent permitted by the airport operator, the Airport Security Program promulgated by the airport operator approved by TSA, and also agrees to conform its' operations business activities to the requirements Airport Security Program, , g. Tenant Security Program. If permitted under regulations, ten:L'1t may voluntarily undertake to maintain an Airport Tenant Security Progra.'11 as referred to in 49 CFR 1542.1 I If the airport tenant promulgates an Airport Tenant Security Program that is approved TSA, such program, as may be amended and approved time to time, shall be automatically incorporated agreement. h. Breacb of Agreement Should TSA determine that the airport tenant or one or more of airport tenant's employees, agents, invitees, or licensees has committed an act or omitted to act as required, and such act or omission is a violation which results in imposing a civil penalty against the airport operator accordance TSA' s Enforcement Sanction Guidance Policy, such determination and imposition of a civil penalty by shaH be considered a significant breach of this agreement. If the violation is first or second attributed to the airport tenant and IS a penalty "minimum violation" as provided for s Enforcement Sanction Guidance Policy, t,he airport tenant may cure the breach by paying to the airport operator the total COStS incurred by the airport operatOr, including any fines or penalties imposed, investigating, defending, mitigating, compromising, or taking measures as be to by to include but not to fees costs incurred investigation, defense, compromising, mitigation, or taking of action measures. If t.1.re is a Hurd violation, or there are violations excess of rvvo is or are a "minimum violation," airport tenant pay to the airport operator the costs the airport including fines or penalties imposed, in investigating, compromising, mitigating, or taking of measures as agreed to to not limited to and costs incurred in defense, mitigation, or shall the right to unilaterally cancel agreement, such thirty (30) calendar days after receIpt tenant of operator. the is first at second attributed to airport tenant violation" as provided Enforcement Sanction Guidance Policy, the airport tenant cure the breach by paying to airport operator the total costs incurred by the airport operator, including any fines or penalties imposed, in investigating, defending, compromising, mitigating, or taking of remedial measures as may be agreed to by TSA, to include but not be limited to reasonable attorney's fees and costs incurred in the investigation, defense, 10 compromising, mitigation, or taking of remedial action measures; and, further, the airport tenant may cause all of airport tenant's employees involved in the airport tenant's business operations on the airport property to undergo such security training as may be required by the airport operator. The total cost of the training shall be paid for by the airport tenant If the violation is a third violation, or there are multiple violations in excess of two violations, that is or are acivil penalty "moderate violation," the airport tenant shall pay to the airpol}' operator the total costs incurred by the airport operator, including any fines or penalties imposed, in investigating, defending, compromising, mitigating, or taking of remedial measures as may be agreed to by TSA, to include but not be limited to reasonable attorney's fees and costs incurred in the investigation, defense, compromising, mitigation, or taking of remedial action measures; and, further, the airport operator shall have the right to unilaterally cancel this Agreement, such cancellation to be effective thirty (30) calendar days after receipt the airport tenant of written notice of cancellation of this agreement the airport (3) Maximum Violation. If the violation is first violation attributed to the airport tenant and is a civil penalty "maximum violation" as provided for TSA's Enforcement Sanction Guida.l1pe Policy, the airport tenant may cure the breach by paying to the airport operator t,~e costs incurred by the airport operator, including any fines and penalties imposed, in investigating, defending, compromising, mitigating, or of remedial measures as may agreed to by to include but not be to reasonable attorney's fees and costs incurred in the investigation, defense, compromising, mitigation, or taking of action measures; and, further, airport tenant cause of airport tenant's employees involved the airport tenant's operations on the airport property to such security training as may required the airport operator. rue total cost of the training shaH paid for the airport tena.flt the violation is a second violation, or there are multiple violations, is or are a civil penalty "maximum violation," the airport tenant shall pay to the airport operator the total costs incurred by the airport operator, induding any fines or penalties imposed, in defending, compromising, mitigating, or taking remedial measures as may be agreed to by TSA, to include but not be limited to reasonable attorney's fees lliid costs incurred in the investigation, defense, compromising, mitigation, or taking of remedial measures; ftlrther, the airport shaH have the to agreement, such cancellation to be effective thirty calendar days after receipt airport tenant of notice of clli'1cellation of this agreement by the airport operator. of a of forgoing when to TSA, prompt the same or similar not recur, This is as the TSA Voluntary Policy, and is designed to encourage compliance regulations, foster secure practices, and encourage development evaluation The airport tenant detecting a violation the airport tena.'1t it to the airport operator. Should the TSA determine that the violation was committed airport or an agent, or licensee of tenant, the should in the of in lieu a penalty, then the airport tenant reimburse the costs incurred by the airport operator in mitigating, or measures as be to TSA, to to reasonable costs the defense:, of measures. violation resulting in the issuance a letter of considered to be a breach of this by the airport tenant. (5) Subsection, This subsection agreement, and shall be in fun force and effect cancellation or termination of this 11 40. Hold Harmless; Indemnification~ Defense: Release: Survival. Nonvithstanding any minimum insurance requirements prescribed elsewhere in this agreement, FEDEX shall defend, indemnify and hold the COUNTY and the COUNTY's elected and appointed officers and employees harmless from and against (i) any claims, actions or causes of action, (ii) any litigation, administrative proceedings, appellate proceedings, or other proceedings relating to any type of injury (including death), loss, da.'11age, fine, penalty or business interruption, and (Hi) any costs or expenses (including, without limitation, costs of remediation 'and costs of additional security measures that the Federal Aviation Administration, the Transportation Security Administration or any other governmental agency requires by reason of, or in connection \'vim a violation of any federal law or regulation, attorneys' fees and costs, court costs, fines and penalties) that may be asserted against, initiated wit"'I respect to, or sustained by, any indemnified party by reason of, or in connection ,",vith, (A) any activity of FEDEX or any of its employees, agents, contractors or other invitees on the Airport during the term of this lease, (B) the negligence or willful misconduct of FEDEX or any of its employees, agents, contractors or other invitees, or (C) FED EX's default in respect of any of the obligations that it undertakes under the terms of this lease, except to the extent claims, actions, causes of action, litigation, proceedings, costs or expenses arise from the intentional or sole negligent acts or omissions of the COUNTY or any of its employees, agents, contractors or invitees (other than FEDEX). Insofar as the claims, actions, causes of action, litigation, proceedings, costs or expenses relate to events or circumstances that occur during the term of this lease, this section will slli"Vive the expiration of the term of this lease or any earlier termination of this lease. IN \VITNESS WHEREOF, the parties have caused this lease to executed this day of (SEAL) ATTEST: KOLHAGE, CLERK BOARD OF COUNTY COMI\USSIONERS OF COUNTY~ FLORIDA Deputy Clerk By Mayor/Chairman J I \~ .Ai' (I I ....~.,AlpL !:-?~nLd-~, '-.../ . Witness bJRO,E. cou~/' Arr.l.)RNEY () ApPJ)OVEQlA 1,:yp.jORM: A Cti!ic' ( ;r t~<.. f ~ (!- .. ! P DO !STANT CbtiNTY ATTORNEY / ~ " Approved lega i Department --/- {~. ! - -- i / ,-, r ,- i, .;.-Ie \ -i .J. '" I~ :"".~______ \--",:...j( .f~-J 12 (DeT Rev. 7/2812005) 13