10th Amendment 07/17/2019 ‘�
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Jps°°° °F.°p4, Kevin Madok, CPA
'I;•' Clerk of the Circuit Court&Comptroller—Monroe County, Florida
DATE: July 26, 2019
TO: Beth Leto,Airports
Business Manager
FROM: Pamela G. Hanco., 1).C.
SUBJECT: July 17th BOCC Meeting
Attached is an electronic copy of the following item for your handling:
10th Amendment to the Marathon Fixed Base Operator (FBO) Agreement with Grantair
Services, Inc. d/b/a Marathon Jet Center to lease a parcel of land at the Florida Keys Marathon
International Airport for the FBO to relocate the existing fuel farm and to erect two new six-unit
hangar buildings for small and midsize aircraft.
Should you have any questions, please feel free to contact me at (305) 292-3550.
cc: County Attorney
Finance
File
KEY WEST MARATHON PLANTATION KEY PK/ROTH BUILDING
500 Whitehead Street 3117 Overseas Highway 88820 Overseas Highway 50 High Point Road
Key West,Florida 33040 Marathon,Florida 33050 Plantation Key,Florida 33070 Plantation Key,Florida 33070
305-294-4641 305-289-6027 305-852-7145 305-852-7145
TENTH AMENDMENT TO MARATHON FIXED BASE OPERATOR(FBOI AGREEMENT
WITH GRANTAIR SERVICE,INC.
THIS TENTH AMENDMENT (hereinafter "Amendment") to the Marathon Fixed Base
Operator (FBO) agreement (hereinafter "agreement") is made and entered into this 17th day of July,
2019,by and between MONROE COUNTY,a political subdivision of the State of Florida(hereinafter
"County"), and GRANTAIR SERVICE, INC., a corporation of the State of Florida, (hereinafter
"FBO"or"Grantair"or"MJC").
WITNESSETH
WHEREAS,on the 10th day of April, 1998,the parties entered into the Agreement for a period
of twenty 20 years, which agreement was amended on June 21, 2001, September 19, 2001, July 17,
2002, September 18, 2002, March 17, 2004, September 28, 2005, February 21, 2007, April 21, 2010
and August 17, 2016 to provide Fixed Base Operations at the Florida Keys Marathon International
Airport(hereinafter"Airport");and
WHEREAS,the Marathon Jet Center(MJC)fuel farm is currently located on the MJC parking
ramp; and
WHEREAS, the location of the fuel farm on the MJC ramp reduces the space available for
parking of aircraft and requires that MJC personnel maneuver around the fuel farm FBO in order to
park aircraft;and
WHEREAS, the county finds that relocating the fuel farm will enhance the safe and efficient
operations at the airport;and
WHEREAS, the FBO has agreed to be solely responsible for all the costs associated with the
relocation of the fuel farm;and
WHEREAS, in order to help offset the costs the FBO will incur in relocating the fuel farm the
county has agreed to lease to the FBO a parcel of land large enough to erect the fuel farm as well as
two(2)new six-unit hangar buildings for small and midsize aircraft;and
WHEREAS, upon execution of this amendment the FBO shall immediately begin paying
additional rent to the Airport which will enhance the airport's financial sustainability;
NOW, THEREFORE, in consideration of the mutual promises and covenants set forth below,
the parties agree to amend the original lease as follows:
Section 1. Paragraph 1)of the original lease is amended read as follows:
1) The County leases to the FBO 2 individual parcels, also referred to as premises, at the
Florida Keys Marathon International Airport as depicted in Exhibit A and Exhibit B, both dated July
17,2019. Upon execution of this 10th amendment the FBO is hereby authorized to decommission and
dismantle the fuel farm located on the parcel depicted on Exhibit A following the construction of a
new fuel farm on the parcel depicted on Exhibit B. FBO is hereby further authorized to construct two
(2)new six-unit hangar buildings for small and midsize aircraft on the parcel depicted on Exhibit B.
Section 2. Paragraph 3) of the original lease is amended by revising the following subparagraph to
read as follows:
b) Upon execution of this amendment, the FBO shall pay monthly rent for the premises
depicted in Exhibit A, on an arrears basis, in the amount of$7,106.00 per month. The FBO shall also
pay monthly rent for the premises depicted in Exhibit B, on an arrears basis. The initial,rent shall be
$1,000 per month and shall increase to $4,278.50 per month upon completion of the relocated fuel
farm. ("completion"for purposes of this amendment shall be defined as the day upon which fuel is first
received at the fuel farm). All rents shall be subject to the CPI provisions contained in the Ninth
amendment dated August 17, 2016.
Section 3. Paragraph 3) of the original lease is amended by, amending and adding the following
subparagraph(s):
g) Every five (5) years after the execution of this amendment a fair market value appraisal
shall be conducted to ensure that the market rate for the entire premises is keeping up with the market
rate for similar FBO properties.
h) Any improvements made by the FBO to the premises automatically become the
property of the County upon the termination of this lease.
I
i) NONPAYMENT OF ANY PORTION OF THE RENT WILL BE DEEMED TO BE A
DEFAULT AND THE COUNTY MAY TERMINATE THE AGREEMENT PURSUANT TO
PARAGRAPH 19.
Section 4. Paragraph 4)of the original lease is amended by adding the following subparagraphs;
a) Pursuant to the terms of the 8th amendment the term of this agreement is extended an
additional 10 years and terminates on April 9,2028.
b) If Grantair completes construction of the new (approximately 9,600 sq. ft) FBO terminal by
January 31, 2024 then this lease terminates on April 20, 2046. Construction of the new FBO terminal
must conform to the July 2016 Proposed FBO Design attached as Exhibit A to the 9th Amendment.
ANY MODIFICATION OR DEVIATION FROM THE APPROVED PROPOSED FBO DESIGN
DATED JULY 2016 MUST BE APPROVED BY THE DIRECTOR OF AIRPORTS. For purposes of
this amendment, completion of construction shall be deemed to occur upon the date of the issuance of
the Certificate of Occupancy. The intent of this amendment is to incentivize prompt construction of the
new FBO terminal and the Lessor acknowledges the benefit to the Lessee of completing the project as
soon as possible in order to maximize the cost amortization term. Unless otherwise agreed to in
writing the planning, financing, commencement and progress of the construction, and all costs related
thereto, shall be Lessee's responsibility however in no event will the termination date be later than
April 20,2046.
Section 5. All other provisions of the April 10, 1998 original lease, September 28, 2005 sixth
amendment, February 21, 2007 seventh amendment and April 21, 2010 eight amendment and August
17, 2016 ninth amendment not inconsistent herewith,shall remain in full force and effect.
2
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'f-*; 4 WITNESS WHEREOF, each party has caused this Amendment to Lease Agreement to be
• f `- <; its duly authorized representative. I
fji ` s. = BOARD OF COUNTY COMMISSIONERS
% t ) VINMADOK CLERK OF MONROE r A By
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e eputy Clerk ! Mayor/Chairman
ATTEST: GRANTAIR SERVI S, INC.
By By
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The Florida Keys Marathon International Airport .
Marathon Jet Center .
Lease Amendment — Exhibit A
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ACG CERTIFICATE OF LIABILITY INSURANCE DATE(M`"IDD"YYYI
•
`..•----. 5/6/2019
THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS
CERTIFICATE DOES NOT AFFIRMATIVELY OR NEGATIVELY AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES
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REPRESENTATIVE OR PRODUCER,AND THE CERTIFICATE HOLDER.
IMPORTANT: If the certificate holder Is an ADDITIONAL INSURED,the policy(Ies)must have ADDITIONAL INSURED provisions or be endorsed.
If SUBROGATION IS WAIVED,subject to the terms And conditions of the policy,certain policies.may require an endorsement A statement on
this certificate does not confer rights to the certificate holder in lieu of such endorsement(s).
PRODUCER CONTACT
AirSure Limited NAME: AirSure Limited
25548 Genesee Trail Road PHO(•-A,No,Est): 303-526-5300 FAX
No): 303-526-5303
Golden; CO 80401 E-MAIL
ADDRESS:
.INSURERIS)AFFORDING COVERAGE NAIC B
_ INSURER A: Eton'Indemnity 8,Liability Company 38318
INSURED INSURERS: Travelers Indemnity Company 25658
Marathon Aviation Associates, LLC,et al
9850 Overseas Hwy INSURER C: OBE.fnsurance Corporation 39217
Marathon, FL 33050 INSURER D: Commerce and Industry Insurance Company 19410
INSURERE: •
INSURER F: .
COVERAGES CERTIFICATE NUMBER: 48538226 REVISION NUMBER:
THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD
INDICATED. NOTWITHSTANDING ANY REQUIREMENT,TERM OR:CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS
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EXCLUSIONS AND CONDITIONS OF SUCH POLICIES.LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS.
ILTR I TYPE OF INSURANCE INSD ISTIBRI WVD I POLICY NUMBER I(MWDDCDYJYYYYI I(MMIDDIYYYPY)I LIMITS
A / COMMERCIAL GENERAL UABILITY / 100023116303 4/1/2019 4/1/2020 EACH OCCURRENCE $25,000,000
CLAIMS•MADE 171 OCCUR DAMAGE TO RENTED
PREMISES(E0occurrence) S
MED EXP(Any one person) S 25,000
PERSONAL S ADV INJURY S
GENL AGGREGATE LIMIT APPLIES PER: GENERAL AGGREGATE S
POLICY 7 PRO-
POLICY f JECT LOC PRODUCTS-COMP/OP AGO S
OTHER: S
B AUTOMOBILE BA9278A68519HPR 41i0/2019 4/10l2020 accicl nIStNGLELIMIT s1,000,000
ANY AUTO BODILY INJURY(Per person) S
OWNED SCHEDULED , BODILY INJURY(Peroctident) S
AUTOS ONLY AUTOS -,� ��''- ISiC
HIRED NON-OWNED PROPERTY DAMAGE S
✓ AUTOS ONLY AUTOS ONLY B1/ A p' (Per accident)
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UMBRELLA LIAB OCCUR DATE 1\l f 1 ( EACH OCCURRENCE S
EXCESS_..„-EES�S UAAER Wit..CLAIMS-MADE WAIVER YE8 AGGREGATE I S
DED 1 1 RETENTIONS I S
C WORKERS COMPENSATION AWC05O0248 4/10/2019 4/1012020 ✓ I PERTUTE I I0TH'
AND EMPLOYERS'.UABILITY YIN • �fI�,,,
ANYPROPRIETORIPARTNERIEXECUTIVE l.Y�+� EL EACH ACCIDENT 51,000,000
OFFICERIMEMBEREXCLUDED? n NIA,
(Mandatory In NH) E.L.DISEASE-EA EMPLOYEE S 1.000,0011
If yes,describe under
DESCRIPTION OF OPERATIONS below E L.DISEASE-POLICY LIMIT I s 1.000.000
D Storage Tank Pollution Liability ✓ FPL007511949 11/17/2018 11/17/2019 $1,000,000 Each Occurrence
S2,000,000 Annual Aggregate
- ' 5,000 Deductible Each Loss
DESCRIPTION OF OPERATIONS!LOCATIONS!VEHICLES IACORD 101,Additional Remarks Schedule,may be attached If ore space is required)
Except for Workers Compensation/Employers Liability,the Certificate Holder is included as Additional Insured but only as respects
operations oithe Named Insured.
We won't cover the Certificate Holder for claims arising out of.their liability as manufacturer,seller,handler,distributor or service
facility of any product or service sold,handled,distributed or provided.
CERTIFICATE HOLDER CANCELLATION
Monroe CountyBoard of CountyCommissioners, SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE
its employees&officers THE EXPIRATION DATE THEREOF, NOTICE WILL BE DELIVERED IN
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I Karin Dodd
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