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Item C04BOARD OF COUNTY COMMISSIONERS AGENDA ITEM SUMMARY Meeting Date: September 20, 2006 Division: Florida Keys Marathon Airport Bulk Item: Yes X No Department: Florida Keys Marathon Airport Staff Contact Person: James R. "Re22ie" Paros AGENDA ITEM WORDING: Approval of Lease Renewal Agreement with Florida Keys Mosquito Control District for certain premises at the Florida Keys Marathon Airport ITEM BACKGROUND: See Additional Information Memo PREVIOUS RELEVANT BOCC ACTION: Original lease was approved in October 1986 for ten (10) years, with an option to renew the lease for two (2) additional terms of five (5) years, with a rent increase of 10% for each additional five year period. The lease was renewed for both optional five (5) year periods and will end on September 30, 2006. CONTRACT/AGREEMENT CHANGES: Extends the term of the original agreement for an additional two years, to September 30, 2008, with an additional two year renewal option. Also provides for the leasehold improvement, one aircraft hangar, to become the property of Monroe County upon the expiration of this lease renewal. In exchange for relinquishing all rights, claims and legal title to the aircraft hangar, the FKMCD will receive 50% of the rent collected by Monroe County for use of the aircraft hangar for a period of five (5) years. STAFF RECOMMENDATIONS: TOTAL COST: None COST TO COUNTY: Approval BUDGETED: Yes SOURCE OF FUNDS: No N/A REVENUE PRODUCING: Yes X No AMT PER MONTH $671.36 Year $ 8,056.32 APPROVED BY: County Atty YES DOCUMENTATION: Included DISPOSITION: OMB/Purchasing YES Risk Management YES X Not Required AGENDA ITEM # HOUSING AND COMMUNITY DEVELOPMENT FLORIDA KEYS MARATHON AIRPORT James R. "Reggie"Paros, Director/Manager 9400 Overseas Highway, Suite 200 Marathon, FI. 33060 Telephone: (306) 289-6002/289-6060 Facsimile: (306) 289-6071 ADDITIONAL INFORMATION MEMORANDUM TO: Monroe County Board of County Commissioners FROM: James R. "Reggie" Paros, Director Housing and Community Development Florida Keys Marathon Airport Manager SUBJECT: Agenda Item requesting approval of Lease Renewal Agreement with Florida Keys Mosquito Control District for certain premises at the Florida Keys Marathon Airport DATE: September 1, 2006 An original lease agreement with Florida Keys Mosquito Control District, for the use of certain premises at the Florida Keys Marathon Airport, was executed in 1986. The lease was for a term of 10 years, commencing October 1, 1986 and ending on September 30, 1996. The lease also provided a renewal option for two (2) additional terms of five (5) years. The last renewal will expire September 30, 2006. The Mosquito Control District intends to build a new hangar facility on land they have acquired, adjacent to the airport property. They anticipate that construction will take approximately 18 months to complete. The attached Lease Renewal Agreement provides for them to continue to use airport premises for an additional two years, while their new facilities are under construction. It also provides for an additional 2 year renewal option in the event of unforeseen circumstances which delay completion of the project. Upon expiration of this lease renewal agreement, the leasehold improvement, one aircraft hangar, shall become the property of Monroe County. In exchange for relinquishing all rights, claims and legal title to the aircraft hangar, the Mosquito Control District will receive 50% of the monthly rent collected by the County for use of the aircraft hangar for a period of five years, said use to be rented as determined to be in the best interests of the County. MONROE COUNTY BOARD OF COUNTY COMMISSIONERS CO? -TRACT SUMMARY Contract 11 Contract with: Florida Keys Mosquito Effective Date: October 1, 2006 C-or trol District Expiration Date: September 30. 2008 Contract PulpaselDescril�tion: Lease renewal a cnt to extend ter ii Dili additt iial two__ years Intil they copapletc their new hear Contract Manager: James "Re�zjzie" Parrs 6002/6060 Marathon Airporti5top 1.5 (Name) (Ext.) (Department) for BOCC meeting on September 20. 2006 Agenda Deadline: September 5. 2006 CONTRACT COSTS Total Dollar Value of Contract: $'' $8,056 yr (Rev) Current Year Portion: N/A Budgeted? Ycs❑ No ❑ Account Codes: - -� Grant: $ - - - - Car�llty Match: ADDITIONAL. COSTS -- Estimated Ongoing Costs: $ lyr For: (Not included in dollar value above) (maintenance, utilities, janitorial, salaries, etc, X-4 DivisloI1 Director Risk Management -6 ` J ,�y CONTRACT REVIEW _ram Chan -es Needed ,Re-6 ever Yes❑ NoFz��—'-- ❑` --�� .. Yes[❑ Nn �., r❑ 'rl �t-�.?..� .,,���.�� --- 0. .B.'Purcha�s�ing i Ycs❑ Noz County Attorney Ycs❑ No� Lt Comments:_ '<<'` � (SEAL) ATTEST: DANNY L. KOLHAGE, CLERK U-75 Deputy Clerk Date (SEAL) ATTEST: Director Date ' s BOARD OF COUNTY COMMISSIONERS OF MONROE COUNTY, FLORIDA By Mayer/Chairperson FLORIDA KEYS MOSQUITO CONTROL BOARD By j�4 Chairperson LEASE RENEWAL AGREEMENT This lease renewal is made and entered into by MONROE COUNTY, a political subdivision of the State of Florida, and whose address is Gato Building, 1100 Simonton Street, Key West, FL 33040, hereafter County; and FLORIDA KEYS MOSQUITO CONTROL DISTRICT- an independent special district, whose address is 5224 College Road, Key west, Florida 33040, hereafter FKMCD. WHEREAS, in a lease dated October 17, 1986, amended on June 27, 1989, and amended on October 5, 1996, (original lease) leased certain premises at the Marathon Airport to the FKMCD for its aircraft used for aerial spraying; WHEREAS the parties desire to extend the original lease for an additional five years; now, therefore IN CCNSIDERATION e- the rnutjr, I covenants detaiied below, the parties agree os foI10vV5: 1- The term of the original lease is extended for an additional five vears, commencing on October 1, 2001 and ending on September 30, 2006- 2. Rent under this lease renev.,cl agreemen 7 is $61C.32 ?er month payable on the first business day of each month. 3. In all other resnects, the terms and conditions of thr oriainal lecse rerrcin in full force and effect. + This lease renewal agreement will take effect on the date of the signature of the fast tarty to execute the agreement. (SEAL) ATTEST: DANNY L. KOLHAGE, CLERK ..beputy Cleric Date __ /: I `f (SEAL) ATTEST: BYf:. Director Date jdoirmosquito BOARD OF COUNTY COMMISSIONERS OF MONROE;CO.UNTY, FLORIDA Y Mayor/Chairperson FLORIDA KEYS MOSQUITO CONTROL BOARD BY,r` Chaurperson;� JJ Ir 4.."OVF All ; � A- - R ficRT 1 DATE u LEASE RENEWAL AGREEMENT This lease renewal is made and entered into by Monroe County, a politicai subdivision of the State of Florida, and whose address is 5100 College Road, Public Service Building Wing II, Key West, Florida 33040, hereafter the Cotnty; and the Monroe County Mosquito Control District, an independent special district, whose address is 5224 College Road, Key wesf, Florida 33040, hereafter MCMCD. WHEREAS, in a lease dated October 17, 1986, and amended on June 27, 1989, leased certain premises at the Marathon Airport to the MCMCD for its aircraft used for aerial spraying; and WHEREAS, the initial term of the lease (10 years) will shortly expire; and WHEREAS, the 1986 lease provides an option for two 5-year renewal terms tha! may be exercised at the discretion of the MCMCD; and WHEREAS, the MCMCD desires to exercise that option, NOW, THEREFORE, in consideration of the mutual covenants detailed below, the parties agree as follows: 1.) The term of the Marathon Airport premises lease dated October 17, 1986, as amended on June, 27, 1989, is extended for an additional five years, commencing on October 1, 1996 and ending on September 30, 2001. 2.) Rent under this lease renewal agreement is -84 per month payable on the first business day of each month. 3.) In all other respects, the terms anc cond;tions of t,-e Eeosp da-i ecj CDCTCOer 17, 1986, and amended on June 27, 1989, rem ;ins in `0 fo,ce and effect. i i 4.j This lease renewal agreement will take effect on the date of the signature ,h:l pariy to execute the agreerent. p1NY L. �CaL NACC, CLFRK -,-LJ c �� DePuty Clark Date: oS'aO - 97 ATTEST, s y, 4re���r Date: January 29, 1991 pconslmcmcd.doc BOARD OF COUNTY COMMlSSICNERS OF MCNFOE C 0UNTY, FLORIDA NAF MONROE COUNTY MOSQUITO CONTROL BOARD By Chairman APPROVED AS TO FORM AN LS t B R RT Ef D 4TE 9.01 4lbStp-ZBZ-S00 uiwPO 00 s%jaq®a 1 sawec eSS:80 20 SO unr LEASE ADDENDUM This lease addendum is made and entered into on the 27th day of June, 1989, by and between MONROE COUNTY, a political subdivi- sion of the State of Florida, Lessor, hereinafter COUNTY, and the MONROE COUNTY MOSQUITO CONTROL DISTRICT, Lessee, hereinafter MCMCD. Whereas, the original lease dated October 17, 1986, between the parties for certain premises at the Marathon Airport was predicated on MCMCD being able to immediately construct certain improvements; Whereas, unforeseen permitting delays prevented such con- struction; Whereas, it was intended by the parties that rental payments not become due until the improvements were built; Whereas, such improvements were not built until January, 1989; and Whereas, it is in the mutual interest of both parties tc reform the lease to correct both the mutual mistake of fact as to the c-, cres.-er. cnnstr•acrion delays and the scrivener's error in not ,,racing that no rent is due until the improvements are done; Now, thez-r'_Fnre, fir and in consideration of the mutual covenants and rert.er.*s contained herein, and other valuable consideration, the CC:._'NTY and the MCMCD hereby agree to the following addendum as substitute paragraph four to the lease between the parties dated October 17, 1986, for certain premises at the Marathon. Airport: "4.) During the initial_ term of this lease, MCMCD shall pay to the COUNTY, rent '_- -the amount of Six Thousand Fifty-tw❑ and 80/100 ($6,052.80) Dollars per year. Such rent shall first became due and payable upon the completion of the harige: described in paragraph 5 and, for subsequent years, �;hal'_ be diie and payable on or before the first month of each year." l In Witness Whereof, the parties hereto caused this lease addendum to be executed as of the day and year written above. (SEAL) Attest:DANN�Y I. SOLHAGA Clerk p Attest: ire,. �I BOARD OF COUNTY COMMISSIONERS OF MONROE COUNTY, FLORIDA By Maor/Chairman f 1 ,rl *10NRORiTn CONTROL DISTRIdT �.1 �.; � - RPPR; r . u M AND . ncr. c( 1�f7Wi,� . S Jul:;/ / �• 8 LEASE THIS LEASE is made -and entered into on the 17th day -,of �- October 1986, by and between the COUNTY OF MONROE* a political subdivision of the State of Florida, Lessor, herein- after referred to as "COUNTY"'. and MONROE COUNTY MOSQUITO CON- TROL DISTRICT, Lessee, hereinafter referred to as "MCMCD". WHEREAS, COUNTY owns an airport known as Marathon Airport located in Marathon, Monroe County, Florida, hereinafter referred to as the "AIRPORT", and WHEREAS, MCMCD is engaged in the operation and maintenance of aircraft for aerial larviciding and aerial adulticiding, and WHEREAS, MCMCD desires to obtain certain rights and privi- leges in connection with the use ok the airport facilities, and the COUNTY is willing to g=ant and lease the same to MCMCD on a 'non-exclusive basis, upon the terms and conditions hereinafter stated. NOW, THEREFORE, for and in consideration of the mutual covenants and agreements herein contained, and other valuable considerations, COUNTY does hereby lease unto MCMCD, and HCMCD does hereby lease from COUNTY certain premises and facilities. rights and privileges, as followss 1) Premises. COUNTY does hereby lease to MCMCD, and MCMCD leases from COUNTY, premises as indicated on the attached Exhibit "A", made a part hereof. 2) Use of the AirRart. MCMCD shall be entitled to use. in coon 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, for all lawful purposes of the MCMCD. 3) Term. The initial term of this lease shall be Ten (10) years, commencing October 1. 1986. and ending on September 30, 1996. MCMCD shall have the option to renew this lease for:. two (2) additional terms of Five (5) years for a rent increase of ten (10) percent for each additional five (5) year period with all other conditions.remaining the same. 4) Rent.. During the "initisil- term`�cf=;:this: 2eas�, MC ICD!3 shall pay to the COMM, rent in the amount of Six Thousand Fifty 6'd utwpd 03 sjuagoa I sawer e9S=80 20 SO unr Tw6 and 801100 Dollars (6,052.80) per year. payable on or 1a1b�nxa the first month of each 5) Lease Hold Wrovements. MC= shall have the right to erect an aircraft hanger on the leased premises for aircraft maintenance and aircraft parking. Such buildings, and any other improvements made to the leased J,Lemises. shall be made only with the written consent of COUNTY, through its Director of Airports, and shall be made in accordance with all applicable Federal, state, and County building codes and requirements. 6) Common Areas. MCMCD shall have the right to use, in common with others, the AIRPORT space and facilities to permit landing, taking off, taxiing. loading, unloading and servicing of MCMCD aircraft, subject to reasonable rules and regulations of COUNTY as to the use of such common spaces and facilities. �7) Right of Ingress and Egress. MCMCD, its agents. emp lcy- ees, and suppliers shall have the right of ingress and egress to and from the leased premises, which shall not be unreasonably restricted by COUNTY. 8) Utilities. MCMCD shall. be responsible for obtaining electrical service. water service, trash removal service, and similar utility services, as needed, and shall be responsible for paying for its use of such utility services. 9) Assignment. The premises leased hereunder may not be sublet, and this lease may not be assigned without the written consent of the COUIM. 10) Maintenance of Premises. MCMCD shall be responsible for and shall properly maintain the lease 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. 11) Insurance. MCMCD agrees to indemnify and save COUNTY harmless from and against all claims and actions_ and expenses incidental -thereto, arising out of damages or claims for damages E resulting from the negligence of MCMCD, its agents, or employees in the use of occupancy of the leased premises and the common areas of the AIRPORT facilities by MCMCD. Lessee agrees to carry and keep ion force such insurance with a zini=2m combined limit -of J One. Million Dollars ($1,000,000.00).. -.The Lessor shall be named an additional insured and will be furnished with -a Certifica6V in evidence of the insurance providing for no less than, thirty (301 days notice in the event of material change or cancellat ion. Lessee shall carry its insurance coverages with a company au- thorized to do business in the State of Florida. 12) Default. The failure of MCMCD to pay any installment of rent when it becomes due or any other charges or fees shall be due within ten (10) days after COUNTY transmit a statement therefore. Further, the failure of MCMCD to perform any other of the covenants of this lease, which failure shall continue for a period of fifteen (15) days after notice thereof is given to 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 options, Aiedlare 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 rights under this paragraph, or to collect any of its rentals or fees or charges due, COUNTY shall be entitled to reasonable attorney's fees. IN WITNESS WHEREOF, the parties hereto caused this lease to be executed as of the day and year above written. (SEAL) Attes DANi�Tl' I` I;UI.LL1G1•:, Clcrlc er Attests • dam" �C Uoi s , yanr etor 1 e BOARD OF COUNTY COMMISSIONERS OF MONROE COUNTY. FLORIDA By: GL��d�! �.:.:• Mayor Pro Tem MONROE COUNTY MOSQUITO CONTROL DISTRICT Chairman P 5 A .P9 o u rrt <�2 1. I