06/21/2001
LEASE AGREEMENT MARA THON AIRPORT
THIS CONTRACT OF LEASE is made and entered into on the U ~y of
JJfYe- ,
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 FED EX, 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" attached hereto and made a part hereof upon which FEDEX may place a trailer dock
and/or an office trai ler 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 terminated 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 (CPI)
for Wage Earners and Clerical Workers in the Miami, Florida, area index, and shall be based upon the annual
average CPI 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'Yo) of any such amount, if
paid within thirty (30) days of the date due, and five percent (5'Yo) 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 proceed according to paragraph 12 of this lease.
5.
LEASEHOLD IMPROVEMENTS AND USE
FEDEX shall have the right to occupy and use
five 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 FED EX, 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
unreasonably 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 FEDEX 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.
FED EX 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 lease. 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 thtJt 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.
ESS WHEREOF, the parties have caused this lease to be executed the day and year first
.p.
$~RD OF COUNTY COM. MISSIONERS
OF MONROE COUNTY, Ft~IDA IT
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FAA REQUIRED LEASE CLAUSES
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1.
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This lease shall be subject to review and re-evaluation
at the end of each.1- year period, by the airport
o~ner and the rent may be .adjusted according to their
action, not to exceed the Consumer Price Index rate
during the last 1.~ month period, or;
Land less improvements ~ill be appraised every 5 years
and the adjusted rental will be based'on normally 10-12
percent of appraised value. .. ~If disputed, lessor
obtains appraisal at his expense and les~or/lessee
equally share expense for review appraisal' that
establishes fair market value.
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2.
The tenant for himself, his personal representatives,
Succes..~ors . in inter-est., arid assigns, as a part of the
consideration hereof, does hereby covenant and agree
that (1) no person on the grounds of race, color, or
national origin shall be excluded from participation
in, denied the benefits of, or be otherwise subjected
to.discrimination in the use of said facilities, (2)
that in the construction of any improvements on, over
or under snch land and the furnishing of services
thereon, no person on the grounds of race, color, ~r
national origin shall be excluded from participation
in, denied the benefits of, or be otherwise subjected
to discrimination, (3) that the tenant shall use the
premises in compliance with all other requirements
imposed by or pursuant to Title 49, Code of Federal
Regulations, Department of.Transporta~ton, 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 said Regulations may be
amended. .
That in the event of breach of any of the above
nondiscrimination covenants, Airport Owner shall have
the right to terminate the lease and to re-enter and:{~
if said lease had never been made or issued. The .
provision shall not be effective until the procedures a
of Title 49, Code of Federal Regulations, Part 21 are' .....
followed and completed inclUding exercise or expiration.
of appeal rights. _ ~.
It shall be a condition of this lease, that the lesso~'
reserves unto itself, its SUccessors and assigns, for
the use and benefit of the public, a right of flight ,,,
for the passage of aIrcraft in the airspace above the
sur{ace of the real property hereinafter described,
together with the right to cause in. said airspace such
noise as may be inherent in the operation of aircraft,
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now known or hereafter.~sed, for navigation of or
flight in the said airspace, and for use of said
airspace for landing' on, taking off from or operatinq
on the airport.
That the Tenant expressly.agrees for itself, its
SUccessors and assigns, to restrict the height of
structures, objects of natural growtn and other
obstructions on the hereinafter described real property
to such a height so as to comEly with Federal .Aviation
Regulations, Part 77".
That the Lessee exprE~sly agrees for its~lf, its
Successors and assigns, to prevent/any use.of the
hereinafter described real property which would
interfere with or adversely affect the operation or
maintenance of the airport, or otherwise constitute an
airport '.hazard. .....
4. This lease and all provisions hereof are subject and
subordinate to the terms and conditions of the
instruments and documents under which the Airport Owner
acquired the subject property from the United States of
America and shall be given only such effect as will not
conflict or. be inconsistent with the terms and
conditions contained in the lease of said lands from
the Airport Owner, and any existing or subsequent
amendments thereto, and are subject to any ordinances,
rules or regulations which have been, or may hereafter
be adorited by the Airport Owner pertaining to the
(Yl A r.:p Airport. .
5. Notwithstanding anything herein contained that may be,
or appear to be, to the contrary, it is expressly
understood and .agreed that the rights granted under
this agreement"are nonexclusive and the Lessor herein
reserves the right to grant similar privileges to
another Lessee or other Lessees on other parts of the
airport.
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1996 Edition
GENERAL LIABILITY
As a minimum, the required general liability coverages will include:
. Premises Operations
. Blanket Contractual
. Expanded Definition
of Property Damage
Required Limits:
GLI
GL2
/
GL3
GL4
Required Endorsement:
GLXCU
GLLIQ
GLS
Products and Completed Operations
Personal Injury
.
.
$100,000 per Person; $300,000 per Occurrence
$50,000 Property Damage
or
$300,000 Combined Single Limit
$250,000 per Person; $500,000 per Occurrence
$50,000 Property Damage
or
$500,000 Combined Single Limit
$500,000 per Person; $1,000,000 per Occurrence
$100,000 Property Damage
or
$1,000,000 Combined Single Limit
$5,000,000 Combined Single Limit
Underground, Explosion and Collapse (XCV)
Liquor Liability
Security Services
All endorsements are required to have the same limits as the basic policy.
Administration Instruction
#4709.3
INSCKLST
5
1~:~1 MAY 01, ~001
*37504 PAGE: 2/2
Protective Insurance Company
1099 North Meridian Street
Indianapolis. Indiana 46204
(317) 636-9800 Ext. 254
CERTIFICATE OF INSURANCE
Date Issued: OS/01l01 SEQ# 00002792
Page: 1 00032426-001
This Certificate issued to:
MONROE COUNTY BOARD OF COUNTY COMMISSIONERS
9400 OVERSEAS HIGHWAY, SUITE 200
MARATHON, FL 33050
Certifies placement of insurance coverage for the account of
FedEx Ground Package System, lnc.
1000 FedEx Drive
Moon Township, PA 15108
With the following insurers, individually and not jointly, providing insurance as listed:
Protective Insurance Company Policies: X 001102 X 001124
For the following coverages:
General Liability
$500,000 Combined Single limit AnyOne Occurrence
Automobile liability. $300,000 CSL per occurrence
Pollution Liability
$300,000 CSL anyone occurrence
Statutory Limits Workers Compensation
Employers liability - $1,000,000 CSL Any One Occurrence
For limits of As Shown Above.
Effective: May I, 2001
Expiration: contimlous until cancelled
Monroe County Board of County Commissioners is included as additional insured as respects Key West, FL Lease
property located at Key West International Airport, 3491 S. Roosevelt Blvd., Key West, FL 33040, but only for
claims or suits arising out of the negligence of FedEx Ground Package System, Inc., its agenrs or employees.
In the event of policy cancelladon or material change. written notice will be given to the certificate holder named
hereno, at the address indicated. of such cam;eIlation or material change within 30 (Thirty) days thereof.
Signed at Indj~nRpOlis, Indiana this -.l..st day of ~ ..2llill
rms CERTIFICATE DOES NOT AMEND, EXTEND OR ALTER COVERAGE AFFORDED BY THE
POLICY LISTED HEREIN. ~. -' 8~
BY -- ~
1996 Edition
VEHICLE LIABILITY
As a minimum, coverage should extend to liability for:
. Owned; Non-owned; and Hired Vehic1es
Required Limits:
VL1
VL2
/
VL3
VL4
BR1
MVC
PRO 1
PR02
PR03
POLl
POL2
POL3
ED1
ED2
GK1
GK2
GK3
Administration Instruction
#4709.3
$50,000 per Person: $100,000 per Occurrence
$25,000 Property Damage
or
$100,000 Combined Single Limit
$100,000 per Person; $300,000 per Occurrence
$50,000 Property Damage
or
$300,000 Combined Single Limit
$500,000 per Person; $1,000,000 per Occurrence
$100,000 Property Damage
or
$1,000,000 Combined Single Limit
$5,000,000 Combined Single Limit
MISCELLANEOUS COVERAGES
Builders'
Risk
Motor Truck
Cargo
Professional
Liability
Pollution
Liability
Employee
Dishonesty
Garage
Keepers
Limits equal to the
completed project.
Limits equal to the maximum
value of anyone shipment.
$ 250,000 per Occurrence/$ 500,000 Agg.
$ 500,000 per Occurrence/$l,OOO,OOO Agg.
$1,000,000 per Occurrence/$2,000,000 Agg.
$ 500,000 per Occurrence/$I,OOO,OOO Agg.
$1,000,000 per Occurrence/$2,000,000 Agg.
$5,000,000 per Occurrence/$ 1 0,000,000 Agg.
$ 10,000
$100,000
$ 300,000 ($ 25,000 per Veh)
$ 500,000 ($100,000 per Veh)
$1,000,000 ($250,000 per Veh)
INSCKLST
6
1996 Edition
MONROE COUNTYMONROE COUNTY, FLORIDA
RISK MANAGEMENT
POLICY AND PROCEDURES
CONTRACT ADMINISTRATION
MANUAL
Indemnification and Hold Harmless
for Airport! Aircraft Activities
The Vendor covenants and agrees to indemnify and hold harmless Monroe County Board of
County Commissioners from any and all claims for bodily injury (including death), personal
injury, and property damage (including property owned by Monroe County) and any other losses,
damages, and expenses (including attorney's fees) which arise out of, in connection with, or by
reason of services provided by the Vendor or any of its Contractors, occasioned by the
negligence, errors, or other wrongful act or omission of the Vendor or its Contractor(s), their
employees, or agents.
The extent of liability is in no way limited to, reduced, or lessened by the insurance requirements
contained elsewhere within this agreement.
AIR
Administration Instruction
#4709.3
101
1996 Edition
HAZARDOUS CARGO TRANSPORTERS LIABILITY
INSURANCE REQUIREMENTS
FOR
CONTRACT
BETWEEN
MONROE COUNTY, FLORIDA
AND
Prior to the commencement of work governed by this contract, the Contractor shall purchase
Pollution Liability Insurance which extends to the hauling of toxic and hazardous material by
motorized vehicles. In compliance with the Motor Carrier Act, the policy should be endorsed
with an MCS-90 Endorsement, demonstrating financial responsibility for spills and clean-up.
Any pollution exclusion limiting coverage under this policy shall be removed.
The minimum limits acceptable shall be:
$300,000 per Occurrence
VLPl
Administration Instruction
#4709.3
86
Protective Insurance Company
1099 North Meridian Street
Indianapolis, Indiana 46204
(317) 636-9800 Ext. 254
Date Issued: 05/01/01
Page: 1
~
SEQ# 00002792
00032426-001
CERTIFICATE OF INSURANCE
This Certificate issued to:
MONROE COUNTY BOARD OF COUNTY COMMISSIONERS
9400 OVERSEAS HIGHWAY, SUITE 200
MARATHON , FL 33050
Certifies placement of insurance coverage for the account of
FedEx Ground Package System, Inc.
1000 FedEx Drive
Moon Township, PA 15108
With the following insurers, individually and not jointly, providing insurance as listed:
Protective Insurance Company Policies: X 001102 X 001124
For the following coverages:
General Liability
$500,000 Combined Single Limit Any One Occurrence
Automobile Liability - $300,000 CSL per occurrence
Pollution Liability
$300,000 CSL anyone occurrence
Statutory Limits Workers Compensation
Employers Liability - $1,000,000 CSL Any One Occurrence
.,yJ11'~ ;"'_
['';Tf _~] :.lDI 0\ _
."'..~I). /VFS
I~,;. .,L-,.
For limits of As Shown Above.
Effective: May 1, 2001
Expiration: continuous until cancelled
Monroe County Board of County Commissioners is included as additional insured as respects Key West, FL Lease
property located at Key West International Airport, 3491 S. Roosevelt Blvd., Key West, FL 33040, but only for
claims or suits arising out of the negligence of FedEx Ground Package System, Inc., its agents or employees.
In the event of policy cancellation or material change, written notice will be given to the certificate holder named
hereon, at the address indicated, of such cancellation or material change within 30 (Thirty) days thereof.
Signed at Indianapolis, Indiana this --1..&. day of ~ 2001
THIS CERTIFICATE DOES NOT AMEND, EXTEND OR ALTER COVERAGE AFFORDED BY THE
POLICY LISTED HEREIN.
BY
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