Agenda 03/08/2016 Item #16G 1 3/8/2016 16.G.1.
EXECUTIVE SUMMARY
Recommendation to approve the attached Collier County Airport Authority (Authority) Standard
Form Lease Agreement with RTH Enterprise, Inc., and associated Sublease Arrangement with
West Coast Karting,Inc.
OBJECTIVE: To enter into a lease agreement with RTH Enterprise, Inc. for IHRA Sanctioned
Drag Racing, and approve a sublease arrangement with West Coast Karting, Inc. for go cart
operations, on approximately 41.14 acres of land at the Immokalee Regional Airport, pending
Federal Aviation Administration (FAA) approval.
CONSIDERATIONS: In April, 1999, the Authority entered into a license agreement with RTH
Enterprise, Inc. (RTH), for the temporary/interim use of property within the Immokalee Regional
Airport as an "IHRA" Sanctioned Drag Racing Strip. Since that time, the Authority entered into
two separate amendments to extend and revise the various lease terms. On November 18, 2014
(Agenda Item14A3), the Board of County Commissioners (Board) provided direction to the
Airport to negotiate a new Lease Agreement with RTH to address concerns regarding the
insurance requirements, leasehold footprint, safety plan, FAA airspace/approval, and
code/permitting issues.
The Authority, in collaboration with Risk Management, Growth Management Code
Enforcement, Real Property, and the County Attorney's Office developed the attached Lease
Agreement to address these concerns.
The term of the lease is sixty (60) months with a sixty (60) day early-termination provision per
FAA land-use regulations. The lease boundaries include the entire closed Runway 4-22, the bath
house and areas of concession and other revenue generating areas of operations.
The initial land lease rate is $2,500 per month,plus applicable sales taxes. In addition to the land
lease rate, Lessee will pay an annual commercial operating fee per the currently approved rates
and fees (currently $200 annually), plus applicable sales taxes. The Lessee will also pay the
Airport Authority fifty percent (50%) of gross revenues derived from advertising concessions,
plus applicable taxes, and a $5,000 refundable deposit(already paid by the Lessee in 1999).
FISCAL IMPACT: Rent revenue, the annual operating fee, advertising fees, and all applicable
taxes shall be deposited in the Airport Authority operating Fund (495), Immokalee Regional
Airport Cost Center(192330).
LEGAL CONSIDERATIONS: This item is approved for form and legality and requires a
majority vote for Board approval. —JAB
GROWTH MANAGEMENT IMPACT: There is no growth management impact associated
with this Executive Summary.
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3/8/2016 16.G.1 .
RECOMMENDATION: To approve and authorize the Chairman to sign the attached Collier
County Airport Authority Standard Form Lease Agreement with RTH Enterprise, Inc. and
associated Sublease Arrangement with West Coast Karting, Inc.
Prepared by: Justin Lobb, Airport Manager, Collier County Airport Authority
Attachment:
1. RTH Enterprise, Inc. Lease Agreement
http://apps3.colliereov.net/agenda/ftp/2016BCCMeetinms/A gendaMarch0816/GrowthMamt/RT
H Enterprise Lease CAO stamp-final.pdf
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3/8/2016 16.G.1.
COLLIER COUNTY
Board of County Commissioners
Item Number: 16.16.G.16.G.1.
Item Summary: Recommendation to approve the attached Collier County Airport
Authority (Authority) Standard Form Lease Agreement with RTH Enterprise, Inc., and associated
Sublease Arrangement with West Coast Karting, Inc.
Meeting Date: 3/8/2016
Prepared By
Name: BrueggemanDebra
Title: Operations Coordinator,Airport Authority
1/25/2016 4:20:13 PM
Submitted by
Title: Manager-Airport,Airport Authority
Name: LobbJustin
1/25/2016 4:20:15 PM
Approved By
Name: ShueGene
Title: Division Director-Operations Support, Growth Management Department
Date: 2/10/2016 10:03:55 AM
Name: ShueGene
Title: Division Director-Operations Support, Growth Management Department
Date: 2/10/2016 10:05:41 AM
Name: LobbJustin
Title: Manager-Airport,Airport Authority
Date: 2/11/2016 10:39:58 AM
Name: BelpedioJennifer
Title: Assistant County Attorney, CAO General Services
Date: 2/18/2016 9:39:40 AM
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3/8/2016 16.G.1 .
Name: MarcellaJeanne
Title: Executive Secretary,Transportation Administration
Date: 2/22/2016 8:22:48 AM
Name: IsacksonMark
Title: Division Director-Corp Fin&Mgmt Svc, Office of Management&Budget
Date: 2/24/2016 8:54:28 AM
Name: WalkerJeff
Title: Division Director-Risk Management, Risk Management
Date: 2/24/2016 11:22:58 AM
Name: KlatzkowJeff
Title: County Attorney,
Date: 2/25/2016 11:10:29 AM
Name: CasalanguidaNick
Title: Deputy County Manager, County Managers Office
Date: 2/28/2016 4:26:33 PM
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