Agenda 02/14/2012 Item #16G12/14/2012 Item 16.G.1.
EXECUTIVE SUMMARY
Recommendation that the Board of County Commissioners, acting in its capacity as the Collier
County Airport Authority, approve the two (2) attached First Amendments to two (2) sub -lease
agreements with Gregory Shepard.
OBJECTIVE: To revise the rent from $0.14 (fourteen cents) per square foot per year to $0.10
(ten cents) per square foot per year for two (2) sub -lease agreements between the Collier County
Airport Authority (Authority) and Gregory Shepard (Sub- Lessee) for property improved with
buildings at the Immokalee Regional Airport.
CONSIDERATIONS: The Collier County Board of County Commissioners, acting in its
capacity as the Airport Authority, approved two (2) sub -lease agreements between the Authority
and the Sub - Lessee for parcels of land improved with buildings on September 13, 2011, Agenda
Item 16G4.
The rent amount for the parcels of land in each of the two (2) sub - leases agreements is $0.14
(fourteen cents) per square foot per year, plus applicable sales tax. This rent amount is based on a
May 25, 2011 determination by the Federal Aviation Administration (FAA) that it would be
appropriate for the Airport Authority to charge non - aeronautical use rates unless Mr. Shepard
produced records documenting that the aircraft in his hangars are being flown on a regular basis.
The rent rate for land used for non - aeronautical purposes at the Immokalee Regional Airport
approved by the BCC on January 10, 2012, Agenda Item 13A2 is $0.14 (ten cents) per square foot
per year, adjusted per CPI.
Mr. Shepard produced the records recommended by the FAA, and on November 21, 2011, the FAA
determined that is would be appropriate for the Airport Authority to charge aeronautical use rates
for Mr. Shepard's leasehold. The First Amendment to each Sub -Lease Agreement reduces the rent
for Mr. Shepard's leasehold from $0.14 (fourteen) per square foot per year, plus applicable sales to
$0.10 (ten cents) per square foot per year, plus applicable sales tax based on the November 21, 2011
FAA detenmination that the leased Premises are aeronautical in nature. The rent rate for land used
for aeronautical purposes at the Immokalee Regional Airport approved by the BCC on January 10,
2012, Agenda Item 13A2 is $0.10 (ten cents) per square foot per year, adjusted per CPI.
FISCAL IMPACT: The fiscal impact of these amendments is a loss in lease revenue of $1,845
for fiscal year 2012.
GROWTH MANAGEMENT IMPACT: None.
LEGAL CONSIDERATIONS: This item has been reviewed by the County Attorney's Office
and is legally sufficient. A majority vote is required for approval. - -- STW
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2/14/2012 Item 16.G.1.
RECOMMENDATION: That the Board of County Commissioners, in its capacity as the
Collier County Airport Authority, approves the two (2) attached First Amendments to two (2)
sub -lease agreements between the Authority and Gregory Shepard (Sub- Lessee) for property
improved with buildings at the Immokalee Regional Airport.
PREPARED BY: Chris Curry, Airport Authority Executive Director
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2/14/2012 Item 16.G.1.
COLLIER COUNTY
Board of County Commissioners
Item Number: 16.G.1.
Item Summary: Recommendation that the Board of County Commissioners, acting in its
capacity as the Collier County Airport Authority, approve the two (2) attached First
Amendments to two (2) sub -lease agreements with Gregory Shepard.
Meeting Date: 2/14/2012
Prepared By
Name: BrueggemanDebra
Title: Operations Coordinator, Airport Authority
2/1/2012 10:30:29 AM
Submitted by
Title: Executive Director - Airport Authority,Airport Authority
Name: CurryChris
2/1/2012 10:30:31 AM
Approved By
Name: BrueggemanDebra
Title: Operations Coordinator, Airport Authority
Date: 2/2/2012 2:51:12 PM
Name: WilliamsSteven
Title: Assistant County Attomey,County Attorney
Date: 2/3/2012 4:11:56 PM
Name: PryorCheryl
Title: Management/ Budget Analyst, Senior,Office of Management & Budget
Date: 2/3/2012 4:58:01 PM
Name: KlatzkowJeff
Title: County Attorney,
Date: 2/7/2012 11:40:08 AM
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Name: OchsLeo
Title: County Manager
Date: 2/7/2012 2:46:04 PM
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2/14/2012 Item 16.G.1.
2/14/2012 Item 16.G.1.
FIRST AMENDMENT TO SUB -LEASE AGREEMENT
THIS AMENDMENT TO SUB -LEASE AGREEMENT ( "Amendment ") is made and
entered into this day of , 2012, by and between the Board of County
Commissioners of Collier County, Florida, acting in its capacity as the Collier County Airport
Authority, (hereinafter referred to as the "Authority "), Gregory Shepard, an individual,
(hereinafter referred to as "Sub- Lessee "), collectively stated as the "Parties."
RECITALS:
WHEREAS, the Parties entered into a Sub -Lease Agreement dated September 13, 2011,
("Sub -Lease Agreement ") a copy of which is attached hereto and
WHEREAS, the premises subject to this Amendment and the Sub -Lease Agreement are
the parcels improved with Buildings 7 and 8, and the site of private outdoor fuel tanks located at
the Immokalee Regional Airport, Airpark Boulevard, Immokalee, Florida, as identified in Exhibit
"A" of the Sub -Lease Agreement; and
WHEREAS, pursuant to Paragraph 3 of the Sub -Lease Agreement, the Sub -Lease
Agreement referenced herein is simultaneous with the Sub -Lease Agreement between the Parties
for Buildings 13 and 1.4 located at the Immokalee Regional Airport. Breach of one Simultaneous
Sub -Lease Agreement by Sub - Lessee shall void the other Simultaneous Sub -Lease Agreement.
WHEREAS, the Parties wish to amend Paragraph 9 (Rent) of the Sub -Lease Agreement.
WITNESSETH:
NOW, THEREFORE, in consideration of Ten Dollars ($10.00) and other good and
valuable consideration exchanged amongst the Parties, and in consideration of the covenants
contained herein, the Parties agree as follows:
1. All of the above RECITALS are true and correct and are hereby expressly incorporated
herein by reference as if set forth fully below.
Paragraph 9 of the Sub -Lease Agreement, entitled RENT, is hereby amended to read as
follows:
9. Rent. The Sub - Lessee agrees to pay the Authority rent in the
amount of $044 $0.10 per square foot, as the Federal Aviation Administration
(FAA) has determined the leased Premises to be nan- aeronautical in nature. The
rent shall be paid in advance, for each month during the term of this Sub - Lease.
The base rent may increase: provided, however, such increases shall occur only
when it shall be determined that there has been an increase in the cost of living
using the official Consumer Price Index Urban Wage Earners (CPI -U) base
published by the Bureau of Labor Statistics, United States Department of Labor.
The Consumer Price Index to be used will be that for the South Urban Size C
Area (or comparable index if such index in discontinued), hereinafter called
"CPI". An increase in the monthly base rent, if any, shall be based upon a
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comparison of the most recent CPI published for the current lease year against
the most recent CPI published greater than 12 months preceding the most current
CPI. The amount of the additional base rent shall be the percentage difference
between the two preceding CPI's. In no event shall the base rent, once
increased, be decreased, nor shall it be increased more than once in a 12 -month
period.
? Except as modified by this Amendment, the Sub -Lease Agreement, shall remain in full
force and effect. If there is a conflict between the terms of this Amendment and the Sub -Lease
Agreement, the terms of this Amendment shall prevail.
IN WITNESS WHEREOF, the Parties hereto have caused this Amendment to be executed
by their appropriate officials, as of the date first above written.
AS TO THE SUB - LESSEE:
Witness (signature)
(print name)
Witness (signature)
(print name)
AS TO THE AUTHORITY:
ATTEST:
DWIGHT E. BROCK, CLERK
, Deputy Clerk
Approved as to form
and legal sufficiency:
Steven T. Williams s ,,,.1
Assistant County Attorney(Z� t2
By:
GREGORY SHEPARD
BOARD OF COUNTY COMMISSIONERS
COLLIER COUNTY, FLORIDA, IN ITS
CAPACITY AS THE COLLIER COUNTY
AIRPORT AUTHORITY
2
FRED W. COYLE, Chairman
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2/14/2012 Item 16.G.1.
SUB -LEASE AGREEMENT
THIS SUB -LEASE AGREEMENT, made this 1! 16, day of Wa 2011,
between the Board of County Commissioners of Collier County, Florida, acting in its capacity as
the Collier County Airport Authority, (hereinafter referred to as the "Authority ") and Gregory
Shepard, an individual, (hereinafter referred to as "Sub- Lessee "), collectively stated as the
"Parties."
RECITALS:
WHEREAS, Authority is responsible for operation and maintenance of the Immokalee
Regional Airport ( "Airport "), which it leases from Collier County pursuant to a Lease Agreement
dated May 24, 1994, as amended, which lease term expires May 23, 2025 ( "Master Lease "); and
WHEREAS, it is the Authority's finding that it is in the public interest to Sub -Lease
certain properties to Sub - Lessee on the terms and conditions set forth below.
WITNESSETH:
NOW, THEREFORE, in consideration of Ten Dollars ($10.00) and other good and
valuable consideration exchanged amongst the Parties, and in consideration of the covenants
contained herein, the Parties hereby enter into this Sub -Lease on the following terms and
conditions:
1. Conveyance. On the terms and conditions set forth in this Sub - Lease, and in
consideration of the Sub - Lessee's performance under this Sub - Lease, the Authority conveys to
the Sub - Lessee the present possessory interest in the leased premises described below.
2. Description of Sub - Leased Premises The Sub - Leased Premises which is the subject
of this Sub -Lease are the parcels improved with Buildings 7 and 8, and the site of private outdoor
fuel tanks located at the Immokalee Regional Airport, Airpark Boulevard, Immokalee, Florida, as
identified in attached Exhibit "A", hereinafter referred to as the "Premises."
3. Simultaneous Sub - Lease. This Sub -Lease is simultaneous with the Sub -Lease
between the Parties for Buildings 13 and 14 located at the Immokalee Regional Airport.
Breach of the Simultaneous Sub -Lease by Sub - Lessee shall void this Sub - Lease.
4. Initial Term: The initial term of this Sub -Lease shall commence as of the date first set
forth above, and unless extended as set forth herein, shall terminate as follows:
a. Building 7 - Building 7 shall be leased for a period of three (3) years. On or before the
third anniversary of the date of this lease, Building 7 shall be removed from the premises
or torn down. The leasable area for Building 7 shall be 175' by 85' totaling 14,875 square
feet.
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b. Building 8 - Building 8 shall be leased for a period of three (3) years after which it
shall be torn down or relocated to the leased space at Buildings 13 or 14. The leasable
area for Building 8 is 50' by 25' totaling 1,250 square feet.
5. Surrender at Expiration. Upon expiration or termination of lease term, Buildings 7
and 8 shall remain under the ownership of the Sub- Lessee or his assignee. Sub - Lessee shall, at
Sub - Lessee's expense, remove Building 7 and 8, tenant's personal property and trade fixtures and
those of all persons claiming under Sub - Lessee from the Sub - Leased Premises. All
improvements, alterations or additions made by the Immokalee Regional Airport shall remain the
property of the Immokalee Regional Airport when the property is vacated by Sub - Lessee at the
termination of this Sub -Lease or any extension thereof, and shall remain upon and be surrendered
with Sub- Leased Premises. The Parties shall also conduct an Environmental Phase 2 audit. To
the extent that any hazardous substances are detected on the Sub - Leased Premises and generated
by Sub - Lessee or its employees or agents or guests, Sub - Lessee, at Sub - Lessee's sole cost and
expense, shall remediate such hazardous substances, except if such hazardous substances were
deposited by the Immokalee Regional Airport or its employees or agents at no fault of the Sub -
Lessee. .
6. Conditions to Conveyance. The Sub - Lessee warrants and represents to the Authority
that it has examined the title and boundaries of the Premises. Accordingly, this conveyance is
subject to all of the following:
a. Any and all conditions, restrictions, encumbrances and limitations now recorded
against the Premises;
b. Any and all existing or future zoning laws or ordinances;
c. Any questions of title and survey that may arise in the future; and
d. The Sub - Lessee's satisfactory performance of all terms and conditions of this Sub -
Lease.
7. Use of Premises. The sole and exclusive purpose of this Sub -Lease is for the Sub -
Lessee to operate a storage and maintenance facility associated with a non - profit museum, which
use the Board of County Commissioners, acting in its capacity as the Collier County Airport
Authority, has found to be in the public's interest. The Authority shall have the right to terminate
this Sub -Lease should the Sub - Lessee utilize the Premises in any manner inconsistent with the
approved use. In the event the Sub - Lessee shall cease to use the Premises for the purposes
described above, and such cessation of use shall continue for a period of sixty (60) days, this Sub -
Lease, at the option of the Authority, upon thirty (30) days written notice to the Sub - Lessee, shall
be terminated and the Sub - Lessee shall surrender and vacate the Premises to the Authority within
thirty (30) days after notice of such termination. Provided, however, said sixty (60) day period
shall be tolled if such cessation is caused by events beyond the control of the Sub - Lessee such as
acts of God or if such cessation is due to closing for reconstruction or repairs to the Premises.
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The Sub- Lessee and/or his Museum are to remove and no longer store any aircraft not
owned-or loaned to the Sub- Lessee or the Museum unless approved in writing by the Airport
Manager.
8. Permissible Alternations and Additions to Premises. The Sub - Lessee may not make
any alterations or additions to the Premises without first obtaining the Authority's prior written
consent, which consent may be withheld in the Authority's sole discretion. The Sub - Lessee shall
submit to the Authority plans and specifications for all alterations and additions at the time such
consent is sought.
9. Rent. The Sub- Lessee agrees to pay the Authority rent in the amount of $0.14 per
square foot, as the Federal Aviation Administration (FAA) has determined the leased Premises to
be non - aeronautical in nature. The rent shall be paid in advance, for each month during the term
of this Sub - Lease. The base rent may increase; provided, however, such increases shall occur
only when it shall be determined that there has been an increase in the cost of living using the
official Consumer Price Index Urban Wage Earners (CPI -U) base published by the Bureau of
Labor Statistics, United States Department of Labor. The Consumer Price Index to be used will
be that for the South Urban Size C Area (or comparable index if such index in discontinued),
hereinafter called "CPI ". An increase in the monthly base rent, if any, shall be based upon a
comparison of the most recent CPI published for the current lease year against the most recent
CPI published greater than 12 months preceding the most current CPI. The amount of the
additional base rent shall be the percentage difference between the two preceding CPI's. In no
event shall the base rent, once increased, be decreased, nor shall it be increased more than once in
a 12 -month period.
10. Net Sub- Lease. , This is a fully net Sub- Lease, with the Sub - Lessee responsible for
all costs, fees and charges concerning the Premises. Accordingly, the Sub - Lessee shall promptly
pay when due and prior to any delinquency all costs, fees, taxes, trash removal services,
assessments, utility charges, impact fees and obligations of any kind that relate to the Premises.
To the extent authorized by law, the Sub - Lessee will indemnify and hold the Authority harmless
from any and all claims, costs and obligations arising from the Sub - Lessee's use of the Premises.
In case any action or proceeding is brought against the Authority by reason of the Sub - Lessee's
use of the Premises, the Sub - Lessee shall pay all costs, attorneys' fees, expenses and liabilities
resulting therefrom and shall defend such action or proceeding if the Authority shall so request, at
the Sub - Lessee's expense, by counsel reasonably satisfactory to the Authority. It is specifically
agreed however, that the Authority may at its own, cost and expense participate in the legal
defense of such claim, with legal counsel of its choosig.
11. Liens and Mortgagees. The Sub - Lessee shall not in any way encumber the Premises,
and shall promptly remove any and all liens placed against the Premises. All persons to whom
these presents may come are put upon notice of the fact that the interest of the Authority in the
Premises shall not be subject to liens for improvements made by the Sub - Lessee and liens for
improvements made by the Sub - Lessee are specifically prohibited from attaching to or becoming
a lien on the interest of the Authority in the Premises or any part of either. This notice is given
pursuant to the provisions of and in compliance with Section 713.10, Florida Statutes.
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12. Obligation to Maintain Premises and Comply with All Lawful Requirements The
Sub - Lessee, throughout the term of this Sub - Lease, at its own cost, and without any expense to
the Authority, shall keep and maintain the Premises in good, sanitary and neat order, condition
and repair, and shall abide with all lawful requirements. Such maintenance and repair shall
include, but not be limited to, painting, janitorial, fixtures and appurtenances (Iighting, heating,
plumbing, and air conditioning). Such repair may also include structural repair, if deemed
necessary by the Sub - Lessee. If the Premises are not in such compliance in the reasonable
opinion of the Authority, the Sub - Lessee will be so advised in writing. If corrective action is not
begun within thirty (30) days of the receipt of such notice and prosecuted diligently until
corrective action is completed, the Authority may cause the same to be corrected and the Sub -
Lessee shall promptly reimburse the Authority for the expenses incurred by the Authority,
together with a 5% administrative fee.
13. Quiet Enjoyment. The Sub - Lessee. shall be entitled to quiet enjoyment so long as the
Sub - Lessee has not defaulted on any of the terms of this Sub - Lease. Accordingly, the Sub - Lessee
shall have the exclusive right to use the Premises during the term of this Sub - Lease. During the
term of this Sub -Lease, the Sub - Lessee may erect appropriate signage on the Premises. Any such
signage shall be in compliance with all applicable codes and ordinances.
14. Casualty and Condemnation
a. Casualty. If the Premises are destroyed, rendered substantially inhabitable, or
damaged to any material extent, as reasonably determined by the Parties, by fire or other casualty,
and the Sub - Lessee must use the insurance proceeds, hereinafter referred to as "Proceeds," to
rebuild or restore the Premises to substantially its condition prior to such casualty event unless the
Authority provides the Sub - Lessee with a written determination that rebuilding or restoring the
Premises to such a condition with the Proceeds within a reasonable period of time is impracticable
or would not be in the best interests of the Authority, in which event, Proceeds shall be shall be
promptly remitted to the Authority. If the Authority elects not to repair or replace the
improvements, then the Sub - Lessee or the Authority may terminate this Sub -Lease by providing
notice to the other party within ninety (90) days after the occurrence of such casualty. The
termination will be effective on the ninetieth (90th) day after such fire or other casualty, unless
extended by mutual written agreement of the Parties. During the period between the date of such
casualty and the date of termination, Sub - Lessee will cease its operations as may be necessary or
appropriate. If this Sub -Lease is not terminated as set forth herein, or if the Premises is damaged
to a less than material extent, as reasonably determined by the Sub - Lessee and the Authority, the
Sub- Lessee will proceed with reasonable diligence, at no cost or expense to the Authority, to
rebuild and repair the Premises to substantially the condition as existed prior to the casualty.
b. Condemnation. The Authority may terminate this Sub -Lease as part of a
condemnation project. The Authority will use its best efforts to mitigate any damage caused to
the Sub - Lessee as a result of such termination; however, in no event will the Authority be liable
to the Sub - Lessee for any compensation as a result of such termination.
15. Access to Premises. The Authority, its duly authorized agents, contractors,
representatives and employees, shall have the right after reasonable oral notice to the Sub - Lessee,
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to enter into and upon the Premises during normal business hours, or such other times with the
consent of the Sub- Lessee, to inspect the Premises, verify compliance with the terms of this Sub -
Lease, or make any required repairs not being timely completed by the Sub - Lessee.
16. Sub- Lessee's Access to Premises. Based on the location of Sub - Lessee's premises
on the airport, Sub - Lessee is expected to take the most direct route. The most direct routing will
negate the Sub - Lessee's necessity to cross active taxiways and runways which will allow a
greater degree of safety and decrease the likelihood of runway incursions. Gate B access will be
provided to access Buildings 7 and 8.
17. Termination and Surrender. Unless otherwise mutually agreed by the Parties, within
ninety (90) days after termination of the Sub -Lease term, the Sub - Lessee shall redeliver
possession of the Premises to Authority in good condition and repair. The Sub - Lessee shall have
the right at any time during its occupancy of the Premises to remove any of its personal property,
equipment, and signs provided, however, at the termination of this Sub - Lease, Authority shall
have the option of either requiring Sub - Lessee to demolish and remove all improvements made by
Sub - Lessee to the Premises upon Sub - Lessee's vacation thereof, or to require Sub - Lessee to
retain said improvements with fixtures on the Premises which improvements and fixtures will
become the property of the Authority upon Sub - Lessee's vacation of the Premises.
18. Assignment. Sub - Lessee may assign this Sub -Lease upon the written consent of the
Authority, which consent shall not be unreasonably withheld.
19. Insurance. The Sub - Lessee shall provide all insurance deemed appropriate by the,
Authority, as determined by Collier County Risk Management.
20. Defaults and Remedies.
a. Defaults by Sub - Lessee. The occurrence of any of the following events and the
expiration of the applicable cure period set forth below without such event being cured or
remedied will constitute a "Default by Sub - Lessee" to the greatest extent then allowed by
law:
i. Abandonment of Premises or discontinuation of Sub - Lessee's operation.
ii. Sub - Lessee's material misrepresentation of any matter related to this Sub -
Lease.
iii. If Sub - Lessee suffers this Sub -Lease to be taken under any writ of
execution and/or other process of law or equity.
iv. Sub- Lessee's failure to utilize the Premises as set forth above.
Any lien is filed against the Premises or Sub - Lessee's interest therein or
any part thereof in violation of this Sub - Lease, or otherwise, and the same
remains unreleased for a period of sixty (60) days from the date of filing
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unless within such period Sub - Lessee is contesting in good faith the
validity of such lien and such lien is appropriately bonded.
vi. Failure of Sub - Lessee to perform or comply with any material covenant or
condition made under this Sub -Lease, which failure is not cured within
ninety (90) days from receipt of Authority's written notice stating the non-
compliance shall constitute a default (other than those covenants for which
a different cure period is provided), whereby Authority may, at its option,
terminate this Sub -Lease by giving Sub - Lessee thirty (30) days written
notice unless the default is fully cured within that thirty (30) day notice
period (or such additional time as is agreed to in writing by Authority as
being reasonably required to correct such default). However, the
occurrence of any of the events set forth above shall constitute a material
breach and default by Sub - Lessee, and this Sub -Lease may be immediately
terminated by Authority except to the extent then prohibited by law.
b. Remedies of Authority.
i. In the event of the occurrence of any of the foregoing defaults, Authority,
in addition to any other rights and remedies it may have, shall have the
immediate right to re -enter and remove all individuals, entities and/or
property from the Premises. Such property may be removed and stored in a
public warehouse or elsewhere at the cost of and for the account of Sub -
Lessee, all without service of notice or resort to legal process and without
being deemed guilty of trespass, or being liable for any loss or damage
which may be occasioned thereby. if Sub - Lessee does not cure the defaults
in the time frames as set forth above, and Authority has removed and stored
property, Authority shall not be required to store for more than thirty (30)
days. After such time, such property shall be deemed abandoned and
Authority shall dispose of such property in any manner it so chooses and
shall not be liable to Sub - Lessee for such disposal.
ii. If Sub - Lessee fails to promptly pay, when due, any full installment of rent
or any other sum payable to Authority under this Sub- Lease, and if said
sum remains unpaid for more than five (5) days past the due date, the Sub -
Lessee shall pay Authority a late payment charge equal to five percent
(5 %) of each such payment not paid promptly and in full when due. Any
amounts not paid promptly when due shall also accrue compounded
interest of two (2 %) percent per month or the highest interest rate then
allowed by Florida law, whichever is higher ( "Default Rate "), which
interest shall be promptly paid by Sub - Lessee to Authority.
iii. Authority may sue for direct, actual damages arising out of such default of
Sub - Lessee or apply for injunctive relief as may appear necessary or
desirable to enforce the performance and observance of any obligation,
agreement or covenant of Sub - Lessee under this Sub - Lease, or otherwise.
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Authority shall be entitled to reasonable attorneys fees and costs incurred
arising out of Sub - Lessee's default under this Sub -Lease.
c. Default by Authority. Authority shall in no event be charged with default in the
performance of any of its obligations hereunder unless and until Authority shall have
failed to perform such obligations within thirty (30) days (or such additional time as is
reasonably required to correct such default) after written notice to Authority by Sub -
Lessee properly and in meaningful detail specifying wherein, in Sub - Lessee's judgment or
opinion, Authority has failed to perform any such obligation(s).
d. Remedies of Sub - Lessee. In partial consideration for the nominal rent charged
to Sub - Lessee, Sub - Lessee hereby waives any claim it may have to direct or indirect
monetary damages it incurs as a result of Authority's breach of this Sub - Lease, and also
waives any claim it might have to attorneys' fees and costs arising out of Authority's
breach of this Sub - Lease. Sub- Lessee's remedies for Authority's default under this Sub -
I-ease shall be limited to the following:
For injunctive relief as may appear necessary or desirable to enforce the
performance and observance of any obligation, agreement or covenant of
Authority under this Sub - Lease.
ii. Sub - Lessee may cure any default of Authority and pay all sums or do all
reasonably necessary work and incur all reasonable costs on behalf of and
at the expense of Authority. Authority will pay Sub - Lessee on demand all
reasonable costs incurred and any amounts so paid by Sub - Lessee on behalf
of Authority, with no interest.
e. No Remedy Exclusive. No remedy herein conferred upon or reserved to either
party is intended to be exclusive of any other available remedy or remedies, but each and
every such remedy will be cumulative and in addition to every other remedy given under
this Sub -Lease or hereafter existing under law or in equity. No delay or omission to
exercise any right or power accruing upon any event of default will impair any such right
or power nor be construed to be waived, but any such right and power maybe exercised
from time to time and as often as may be deemed expedient.
f. Non - Waiver. Every provision hereof imposing an obligation upon Sub - Lessee
is a material inducement and consideration for the execution of this Sub -Lease by Sub -
Lessee and Authority. No waiver by Sub - Lessee or Authority of any breach of any
provision of this Sub -Lease will be deemed for any purpose to be a waiver of any breach
of any other provision hereof or of any continuing or subsequent breach of the same
provision, irrespective of the length of time that the respective breach may have continued.
21. Lease Manual. The Sub - Lessee shall be provided with the Authority's Lease
Manual (if any), which the Authority may be amend from time to time. The terms of this manual
shall be deemed to be incorporated by reference into this Sub - Lease, and Sub - Lessee shall be
bound by the terms of this Lease Manual, as of the 0 day of the second month the Sub - Lessee
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receives a copy of the Lease Manual or an amended Lease Manual. With respect to any terms in
this Sub -Lease which are in conflict with the Lease Manual, the Lease Manual shall control.
22. Rules and Regulations. The Sub - Lessee shall comply with the Authority's published
Rules and Regulations for this airport, which are on file at the address set forth above, as such
regulations may be amended from time to time by the Authority including such reasonable and
uniform landing fees, rates or charges, as may from time to time be levied for airfield operational
privileges and/or services provided at the Airport, provided all such Rules and Regulations comply
with current FAA rules, regulations and guidelines. Tenant shall also comply with any and all
applicable governmental statutes, rules, orders and regulations.
23. Airport Development. The Authority reserves the right to further develop or improve
the landing and other areas of the Airport as it sees fit, regardless of the convenience, desires or view
of the Tenant, and without interference or hindrance. Notwithstanding the foregoing, nothing herein
shall be construed to limit or impede Sub - Lessee's rights to object to any such development or
improvements in any lawful manner.
24. Airport Operations. The Sub - Lessee shall prevent any use of the Premises which
would interfere with or adversely affect the operation or maintenance of the Airport, or otherwise
constitute an airport hazard, and will restrict the height of structures, objects of natural growth and
other obstructions on the Premises to such height as comply with Federal Aviation Regulations, Part
77.
Miscellaneous Legal Matters
25. This Sub -Lease shall be construed by and controlled under the laws of the State of
Florida. In the event of a dispute under this Sub - Lease, the Parties shall first use the County's
then - current Alternative Dispute Resolution Procedure. Following the conclusion of this
procedure, either party may file an action in the Circuit Court of Collier County to enforce the
terms of this Sub - Lease, which Court the Parties agree to have the sole and exclusive jurisdiction.
26. This Sub -Lease contains the entire agreement of the Parties with respect to the
matters covered by this Sub -Lease and no other agreement, statement or promise made any party,
or to any employee, officer or agent of any party, which is not contained in this Sub -Lease shall
be binding or valid. Time is of the essence in the doing, performance and observation of each and
every term, covenant and condition of this Sub -Lease by the Parties.
27. In the event state or federal laws are enacted after the execution of this Sub - Lease,
which are applicable to and preclude in whole or in part the Parties' compliance with the terms of
this Sub - Lease, then in such event this Sub -Lease shall be modified or revoked as is necessary to
comply with such laws, in a manner which best reflects the intent of this Sub - Lease.
28. Except as otherwise provided herein, this Sub -Lease shall only be amended by
mutual written consent of the Parties hereto or by their successors in interest. Notices hereunder
shall be given to the Parties set forth below and shall be made by hand delivery, facsimile,
overnight delivery or by regular mail. If given by regular mail, the notice shall be deemed to have
Q
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2/14/2012 Item 16.G.1.
been given within a required time if deposited in the U.S. Mail, postage prepaid, within the time
limit. For the purpose of calculating time limits which run from the giving of a particular notice
the time shall be calculated from actual receipt of the notice. Time shall run only on business
days which, for purposes of this Sub -Lease shall be any day other than a Saturday, Sunday or
legal public holiday. Notices shall be addressed as follows:
If to Authority: Collier County Airport Authority
2005 Mainsail Drive, Suite 1
Naples, Florida 34114
(239) 642 -7878
cc: Real Property Management
3335 Tamiami Trail East, Suite 101
Naples, Florida 34112
If to Sub - Lessee: Gregory Shepard
2243 Peck Street
Fort Myers, Florida 33901
cc: Henderson Franklin Stames & Holt, P.A.
Attn: Bruce E. Sands, Esq.
P.O. Box 280
1715 Monroe St.
Ft. Myers, FL 33901
Notice shall be deemed to have been given on the next successive business day to the date of
the courier waybill if sent by nationally recognized overnight delivery service.
29. Sub - Lessee is an independent entity, and is not any agent or representative or
employee of Authority. During the term of this Sub - Lease, neither Sub - Lessee, nor anyone acting
on behalf of Sub- Lessee, shall hold itself out as an employee, servant, representative or agent of
Authority. Neither party will have the right or authority to bind the other party without express
written authorization of such other party to any obligation to any third party. No third party is
intended by the Parties to be a beneficiary of this Sub -Lease or to have any rights to enforce this
Sub -Lease against either party hereto or otherwise. Nothing contained in this Sub -Lease will
constitute the Parties as partners or joint ventures for any purpose, it being the express intention of
the Parties that no such partnership or joint venture exists or will exist. Sub - Lessee acknowledges
that Authority is not providing any vacation time, sick pay, or other welfare or retirement benefits
normally associated with an employee - employer relationship and that Authority excludes Sub -
Lessee and its employees from participation in all health and welfare benefit plans including
vacation, sick leave, severance, life, accident, health and disability insurance, deferred
compensation, retirement and grievance rights or privileges.
30. Force Maieure. Neither party to this Sub -Lease will be liable for any delay in the
performance of any obligation under this Sub -Lease or of any inability to perform an obligation
under this Sub -Lease if and to the extent that such delay in performance or inability to perform is
caused by an event or circumstance beyond the reasonable control of and without the fault or
9
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2/14/2012 Item 16.G.1.
negligence of the party claiming Force Majeure. "Force Majeure" shall include an act of God,
war (declared or undeclared), sabotage, riot, insurrection, civil unrest or disturbance, military or
guerrilla action, economic sanction or embargo, civil strike, work stoppage, slow -down or lock-
out, explosion, fire, earthquake, abnormal weather condition, hurricane, flood, lightning, wind,
drought, and the binding order of any governmental authority.
31. Hazardous Materials. Sub - Lessee will not, transport, use, store, maintain, generate,
manufacture, handle, dispose, release or discharge any Hazardous Materials upon or about the
Sub - Leased Premises except in strict compliance with all applicable codes, laws and ordinances
relating thereto, nor permit employees, representatives, agents, contractors, sub - contractors, sub -
sub- contractors, material men and/or suppliers to engage in such activities upon or about the Sub -
Leased Premises.
32. Nondiscrimination Clause. The Sub - Lessee for himself, his personal representatives,
successors in interest, and assigns, as 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 in
participating in, denied the benefits of, or be otherwise subjected to discrimination in the use of the
Sub -Leased Premises; (2) that in the construction of any improvements on, over or under such land
and the furnishing of services thereon, no person on the grounds of race, color or national origin shall
be excluded from participating in, denied the benefits of, or otherwise subjected to discrimination;
(3) that the Sub - Lessee shall use the Sub - Leased Premises in compliance with all other requirements
imposed by or pursuant to Title 49, Code of Federal Regulations, Department of Transportation,
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, as said
regulations may be amended. That in the event of breach of any of the above nondiscrimination
covenants, Authority shall have the right to terminate this Sub -Lease and to re -enter and as if the
Sub -Lease had never been made or issued. The provision shall not be effective until the procedures
of Title 49, Code of Federal Regulations, Part 21 are followed and completed, including exercise or
expiration of appeal rights.
33. Radon. In compliance with Section 404.056, Florida Statutes, all Parties are hereby
made aware of the following: Radon is a naturally occurring radioactive gas that, when it has
accumulated in a building in sufficient quantities, may present health risks to persons who are
exposed to it over time. Levels of radon that exceed federal and state guidelines have been found
in buildings in Florida. Additional information regarding radon and radon testing may be
obtained from your County Public Health Department.
34. Dominant Agreements. This Sub -Lease Agreement is subordinate and subject to all
existing agreements between the Authority and the Federal Aviation Administration, the Authority
and the State of Florida, and the Authority and Collier County. During the time of war or national
emergency, the Authority shall have the right to lease the landing area or any part thereof to the
United States Government for military or naval or similar use, and, if such lease is executed, the
provisions of this Lease Agreement insofar as they are inconsistent with the provisions of the lease to
the Government, shall be suspended. Any executed agreement shall be subordinate to the provisions
of any existing or future Agreement between Authority and the United States, relative to the
Revised: September 7, 2011 CAO
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2/14/2012 Item 16.G.1.
operation or maintenance of the Airport, the execution of which has been or may be required as a
condition precedent to the expenditure of Federal funds for the development of the Airport.
35. This Sub -Lease Agreement may be recorded by the Authority in the Official Records
of Collier County, Florida, within fourteen (14) days after the execution of this Sub - Lease, at the
Sub - Lessee's sole cost and expense.
IN WITNESS WHEREOF, the Sub - Lessee and Authority have hereto executed this Sub -
Lease Agreement the day and year first above written.
A S SSEE:
tness gnature)
$RULE" F - SiHyOf
(print name) ,,, ^ -_ B
G 6 ` � c" �
Witness (signature)
(print name)
i
By:
REGORYSHEPARD
Revised: September 7. 2011 CAO 11
Packet Page -2028-
AS TO THE AUTHORITY:
ATTEST:
DWIGHT E. BROCK, CLERK
B Y.r
lerk
Approved ads tl'>t' 0
and legal sufficiency:
�2L---7- L
Steven T. Williams
Assistant County Attomey
Revised: September 7, 2011 CAO
2/14/2012 Item 16.G.1.
BOARD OF COUNTY COMMISSIONERS
COLLIER COUNTY, FLORIDA IN ITS
CAPACITY AS THE COLLIER COUNTY
AIRPORT AUTHORITY
By. � W
FRED W. COYLE, Chairman
12
Packet Page - 2029 -��
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2/14/2012 Item 16.G.1.
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2/14/2012 Item 16.G.1.
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2/14/2012 Item 16.G.1.
FIRST AMENDMENT TO SUB -LEASE AGREEMENT
THIS AMENDMENT TO SUB -LEASE AGREEMENT ( "Amendment ") is made and
entered into this day of , 2012, by and between the Board of County
Commissioners of Collier County, Florida, acting in its capacity as the Collier County Airport
Authority (hereinafter referred to as the "Authority "), Gregory Shepard, an individual,
(hereinafter referred to as "Sub- Lessee "), collectively stated as the "Parties."
RECITALS:
WHEREAS, the Parties entered into a Sub -Lease Agreement dated September 13, 2011,
('`Sub -Lease Agreement ") a copy of which is attached hereto; and
WHEREAS, the premises subject to this Amendment and the Sub -Lease Agreement are
the parcels improved with Buildings 13 and 14, located at the Immokalee Regional Airport ,
Airpark Boulevard, Immokalee, Florida, as identified in Exhibit "A" of the Sub -Lease
Agreement; and
WHEREAS, pursuant to Paragraph 3 of the Sub -Lease Agreement., the Sub -Lease
Agreement referenced herein is simultaneous with the Sub -Lease Agreement between the Parties
for Buildings 7 and 8, and the site of private outdoor fuel tanks located at the Immokalee
Regional Airport. Breach of one Simultaneous Sub - Lease Agreement by Sub - Lessee shall void
the other Simultaneous Sub -Lease Agreement. L
WHEREAS, the Parties wish to amend Paragraph 9 (Rent) of the Sub -Lease Agreement,
WITNESSETH:
NOW, THEREFORE, in consideration of Ten Dollars ($10.00) and other good and
valuable consideration exchanged amongst the Parties, and in consideration of the covenants
contained herein, the Parties agree as follows:
1. All of the above RECITALS are true and correct and are hereby expressly incorporated
herein by reference as if set forth fully below.
Paragraph 9 of the Sub -Lease Agreement, entitled RENT, is hereby amended to read as
follows:
9. Rent. The Sub - Lessee agrees to pay the Authority rent in the
amount of $044 $0.10 per square foot, as the Federal Aviation Administration
(FAA) has determined the leased Premises to be non aeronautical in nature.
The rent shall be paid in advance, for each month during the term of this Sub -
Lease. The base rent may increase; provided, however, such increases shall
occur only when it shall be determined that there has been an increase in the
cost of living using the official Consumer Price Index Urban Wage Earners
(CPI -U) base published by the Bureau of Labor Statistics, United States
Department of Labor. The Consumer Price Index to be used will be that for the
South Urban Size C Area (or comparable index if such index in discontinued).
hereinafter called "CPI". An increase in the monthly base rent, if any. shall be
Packet Page -2031-
2/14/2012 Item 16.G.1.
based upon a comparison of the most recent CPI published for the current lease
year against the most recent CPI published greater than 12 months preceding the
most current CPI. The amount of the additional base rent shall be the
percentage difference between the two preceding CPI's. In no event shall the
base rent, once increased, be decreased, nor shall it be increased more than once
in a I2 -month period.
2. Except as modified by this Amendment, the Sub -Lease Agreement, shall remain in full
force and effect. If there is a conflict between the terms of this Amendment and the Sub -Lease
Agreement, the terms of this Amendment shall prevail.
IN WITNESS WHEREOF, the Parties hereto have caused this Amendment to be
executed by their appropriate officials, as of the date first above smitten.
AS TO THE SUB- LESSEE:
Witness (signature)
(print name)
Witness (signature)
(print name)
AS TO THE AUTHORITY:
ATTEST:
DWIGHT E. BROCK, CLERK
:
, Deputy Clerk
Approved as to form
and legal sufficiency:
Steven T. Williams X7"4
Assistant County Attorney 112Yir 12
ma
GREGORY SHEPARD
BOARD OF COUNTY COMMISSIONERS
COLLIER COUNTY, FLORIDA, IN ITS
CAPACITY AS THE COLLIER COUNTY
AIRPORT AUTHORITY
By:
2
FRED W. COYLE, Chairman
Packet Page -2032-
2/14/2012 Item 16.G.1.
SUB -LEASE AGREEMENT
THIS SUB -LEASE AGREEMENT, made this L"3 � day of kb 4,r 2011,
between the Board of County Commissioners of Collier County, Florida, acting in its capacity as
the Collier County Airport Authority, (hereinafter referred to as the "Authority ") and Gregory
Shepard, an individual, (hereinafter referred to as "Sub- Lessee "), collectively stated as the
"Parties."
RECITALS:
WHEREAS, Authority is responsible for operation and maintenance of the Immokalee
Regional Airport ( "Airport "), which it leases from Collier County pursuant to a Lease Agreement
dated May 24, 1994, as amended, which lease term expires May 23, 2025 ( "Master Lease "); and
WHEREAS, it is the Authority's finding that it is in the public interest to Sub -Lease
certain properties to Sub - Lessee on the terms and conditions set forth below.
WITNESSETH:
NOW, THEREFORE, in consideration of Ten Dollars ($10.00) and other good and
valuable consideration exchanged amongst the Parties, and in consideration of the covenants
contained herein, the Parties hereby enter into this Sub -Lease on the following terms and
conditions:
1. Conveyance. On the terms and conditions set forth in this Sub -Lease, and in
consideration of the Sub - Lessee's performance under this Sub - Lease, the Authority conveys to
the Sub - Lessee the present possessory interest in the leased premises described below.
2. Description of Sub - Leased Premises. The Sub - Leased Premises which is the subject
of this Sub -Lease are the parcels improved with Buildings 13 and 14 located at the Immokalee
Regional Airport, Airpark Boulevard, Immokalee, Florida as identified in attached Exhibit
hereinafter referred to as the "Premises."
3. Simultaneous Sub - Lease. This Sub -Lease is simultaneous with the Sub -Lease
between the Parties for Buildings 7 and 8, and the site of private outdoor fuel tanks located
at the Immokalee Regional Airport. Breach of the Simultaneous Sub -Lease by the Sub -
Lessee shall void this Sub -Lease.
4. Initial Term. Based upon a received engineering report stating the expected life
spans of Buildings 13 and 14 exceed 10 years, the initial term of this Sub -Lease shall commence
as of the date first set forth above, and unless extended as set forth herein, shall terminate in 10
years. The leasable area shall be 250' by 120' totaling 30,000 square feet for both buildings.
5. Surrender at Expiration. Upon expiration or termination of lease term, Buildings 13
and 14 shall remain under the ownership of the Sub - Lessee or his assignee. Sub - Lessee shall, at
Sub - Lessee's expense, remove Building 13 and 14, tenant's personal property and trade fixtures
and those of all persons claiming under Sub - Lessee from the Sub - Leased Premises. All
improvements, alterations or additions made by the Immokalee Regional Airport shall remain the
property of the Immokalee Regional Airport when the property is vacated by Sub - Lessee at the
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termination of this Sub -Lease or any extension thereof, and shall remain upon and be surrendered
with Sub - Leased Premises. The Parties shall also conduct an Environmental Phase 2 audit. To
the extent that any hazardous substances are detected on the Sub - Leased Premises and generated
by Sub - Lessee or its employees or agents or guests, Sub - Lessee, at Sub - Lessee's sole cost and
expense, shall remediate such hazardous substances, except if such hazardous substances were
deposited by the Immokalee Regional Airport or its employees or agents at no fault of the Sub -
Lessee.
6. Conditions to Conveyance. The Sub - Lessee warrants and represents to the Authority
that it has examined the title and boundaries of the Premises. Accordingly, this conveyance is
subject to all of the following:
a. Any and all conditions, restrictions, encumbrances and limitations now recorded
against the Premises;
b. Any and all existing or future zoning laws or ordinances;
c. Any questions of title and survey that may arise in the future; and
d. The Sub - Lessee's satisfactory performance of all terms and conditions of this Sub -
Lease.
7. Use of Premises. The sole and exclusive purpose of this Sub -Lease is for the Sub -
Lessee to operate a storage and maintenance facility associated with a non - profit museum, which
use the Board of County Commissioners, acting in its capacity as the Collier County Airport
Authority, has found to be in the public's interest. The Authority shall have the right to terminate
this Sub -Lease should the Sub - Lessee utilize the Premises in any manner inconsistent with the
approved use. In the event the Sub - Lessee shall cease to use the Premises for the purposes
described above, and such cessation of use shall continue for a period of sixty (60) days, this Sub -
Lease, at the option of the Authority, upon thirty (30) days written notice to the Sub - Lessee, shall
be terminated and the Sub - Lessee shall surrender and vacate the Premises to the Authority within
thirty (30) days after notice of such termination. Provided, however, said sixty (60) day period
shall be tolled if such cessation is caused by events beyond the control of the Sub - Lessee such as
acts of God or if such cessation is due to closing for reconstruction or repairs to the Premises.
The Sub - Lessee and/or his Museum are to remove and no longer store any aircraft not
owned or loaned to the Sub - Lessee or the Museum unless approved in writing by the Airport
manager.
8. Permissible Alternations and Additions to Premises. The Sub - Lessee may not make
any alterations or additions to the Premises without first obtaining the Authority's prior written
consent, which consent may be withheld in the Authority's sole discretion. The Sub - Lessee shall
submit to the Authority plans and specifications for all alterations and additions at the time such
consent is sought.
9. Rent. The Sub - Lessee agrees to pay the Authority rent in the amount of $0.14 per
square foot, as the Federal Aviation Administration (FAA) has determined the leased Premises to
be non - aeronautical in nature. The rent shall be paid in advance, for each month during the term
of this Sub - Lease. The base rent may increase; provided, however, such increases shall occur
only when it shall be determined that there has been an increase in the cost of living using the
2 1
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2/14/2012 Item 16.G.1.
official Consumer Price Index Urban Wage Earners (CPI -U) base published by the Bureau of
Labor Statistics, United States Department of Labor. The Consumer Price Index to be used will
be that for the South Urban Size C Area (or comparable index if such index in discontinued),
hereinafter called ,CPI ,. An increase in the monthly base rent, if any, shall be based upon a
comparison of the most recent CPI published for the current lease year against the most recent
CPI published greater than 12 months preceding the most current CPI. The amount of the
additional base rent shall be the percentage difference between the two preceding CPI's. In no
event shall the base rent, once increased, be decreased, nor shall it be increased more than once in
a 12 month period.
10. Net Sub - Lease. This is a fully net Sub - Lease, with the Sub - Lessee responsible for
all costs, fees and charges concerning the Premises. Accordingly, the Sub - Lessee shall promptly
pay when due and prior to any delinquency all costs, fees, taxes, trash removal services,
assessments, utility charges, impact fees and obligations of any kind that relate to the Premises.
To the extent authorized by law, the Sub - Lessee will indemnify and hold the Authority harmless
from any and all claims, costs and obligations arising from the Sub - Lessee's use of the Premises.
In case any action or proceeding is brought against the Authority by reason of the Sub - Lessee's
use of the Premises, the Sub - Lessee shall pay all costs, attorneys' fees, expenses and liabilities
resulting therefrom and shall defend such action or proceeding if the Authority shall so request, at
the Sub - Lessee's expense, by counsel reasonably satisfactory to the Authority. It is specifically
agreed however, that the Authority may at its own cost and expense participate in the legal
defense of such claim, with legal counsel of its choosing.
11. Liens and Mortgages. The Sub- Lessee shall not in any way encumber the Premises,
and shall promptly remove any and all liens placed against the Premises. All persons to whom
these presents may come are put upon notice of the fact that the interest of the Authority in the
Premises shall not be subject to liens for improvements made by the Sub- Lessee and liens for
improvements made by the Sub - Lessee are specifically prohibited from attaching to or becoming
a lien on the interest of the Authority in the Premises or any part of either. This notice 'is given
pursuant to the provisions of and in compliance with Section 713. 10, Florida Statutes.
12. Obligation to Maintain Premises and Comply with All Lawful Requirements The
Sub - Lessee, throughout the term of this Sub - Lease, at its own cost, and without any expense to
the Authority, shall keep and maintain the Premises in good, sanitary and neat order, condition
and repair, and shall abide with all lawful requirements. Such maintenance and repair shall
include, but not be limited to, painting, janitorial, fixtures and appurtenances (lighting, heating,
plumbing, and air conditioning). Such repair may also include structural repair, if deemed
necessary by the Sub - Lessee. If the Premises are not in such compliance in the reasonable
opinion of the Authority, the Sub - Lessee will be so advised in writing. If corrective action is not
begun within thirty (30) days of the receipt of such notice and prosecuted diligently until
corrective action is completed, the Authority may cause the same to be corrected and the Sub -
Lessee shall promptly reimburse the Authority for the expenses incurred by the Authority,
together with a 5% administrative fee.
13. Quiet Enjoyment. The Sub - Lessee shall be entitled to quiet enjoyment so long as the
Sub - Lessee has not defaulted on any of the terms of this Sub - Lease. Accordingly, the Sub - Lessee
shall have the exclusive right to use the Premises during the term of this Sub - Lease. During the
3
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2/14/2012 Item 16.G.1.
term of this Sub - Lease, the Sub - Lessee may erect appropriate signage on the Premises. Any such
signage shall be in compliance with all applicable codes and ordinances.
14. Casualty and Condemnation
a. Casualty. If the Premises are destroyed, rendered substantially inhabitable, or
damaged to any material extent, as reasonably determined by the Parties, by fire or other casualty,
and the Sub - Lessee must use the insurance proceeds, hereinafter referred to as "Proceeds," to
rebuild or restore the Premises to substantially its condition prior to such casualty event unless the
Authority provides the Sub - Lessee with a written determination that rebuilding or restoring the
Premises to such a condition with the Proceeds within a reasonable period of time is impracticable
or would not be in the best interests of the Authority, in which event, Proceeds shall be shall be
promptly remitted to the Authority. If the Authority elects not to repair or replace the
improvements, then the Sub - Lessee or the Authority may terminate this' Sub -Lease by providing
notice to the other party within ninety (90) days after the occurrence of such casualty. The
termination will be effective on the ninetieth (90th) day after such fire or other casualty, unless
extended by mutual written agreement of the Parties. During the period between the date of such
casualty and the date of termination, Sub - Lessee will cease its operations as may be necessary or
appropriate. If this Sub -Lease is not terminated as set forth herein, or if the Premises is damaged
to a less than material extent, as reasonably determined by the Sub - Lessee and the Authority, the
Sub - Lessee will proceed with reasonable diligence, at no cost or expense to the Authority, to
rebuild and repair the Premises to substantially the condition as existed prior to the casualty.
b. Condemnation. The Authority may terminate this Sub -Lease as part of a
condemnation project. The. Authority will use its best efforts to mitigate any damage caused to
the Sub - Lessee as a result of such termination; however, in no event will the Authority be liable
to the Sub - Lessee for any compensation as a result of such termination.
15. Access to Premises. The Authority, its duly authorized agents, contractors,
representatives and employees, shall have the right after reasonable oral notice to the Sub - Lessee,
to enter into and upon the Premises during normal business hours, or such other times with the
consent of the Sub - Lessee, to inspect the Premises, verify compliance with the terms of this Sub -
Lease, or make any required repairs not being timely completed by the Sub - Lessee.
16. Sub - Lessee's Access to Premises. Based on the location of Sub - Lessee's premises
on the airport, Sub - Lessee is expected to take the most direct route. The most direct routing will
negate the Sub - Lessee's necessity to cross active taxiways and runways which will allow a
greater degree of safety and decrease the likelihood of runway incursions. Gate A access will be
provided to access Buildings 13 and 14.
17. Termination and Surrender. Unless otherwise mutually agreed by the Parties, within
ninety (90) days after termination of the Sub -Lease term, the Sub - Lessee shall redeliver
possession of the Premises to Authority in good condition and repair. The Sub - Lessee shall have
the right at any time during its occupancy of the Premises to remove any of its personal property,
equipment, and signs provided, however, at the termination of this Sub - Lease, Authority shall
have the option of either requiring Sub - Lessee to demolish and remove all improvements made by
Sub - Lessee to the Premises upon Sub - Lessee's vacation thereof, or to require Sub - Lessee to
Revised: September 7, 2011 CAO
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2/14/2012
retain said improvements with fixtures on the Premises which improvements and fixtures
become the property of the Authority upon Sub - Lessee's vacation of the Premises.
Item 16.G.1.
will .
18. Assignment. Sub- Lessee may assign this Sub -Lease upon the written consent of the
Authority, which consent shall not be unreasonably withheld.
19. Insurance. The Sub - Lessee shall provide all insurance deemed appropriate by the
Authority, as determined by Collier County Risk Management.
20. Defaults and Remedies.
a. Defaults by Sub - Lessee. The occurrence of any of the following events and the
expiration of the applicable cure period set forth below without such event being cured or
remedied will constitute a "Default by Sub - Lessee" to the greatest extent then allowed by
law:
i. Abandonment of Premises or discontinuation of Sub - Lessee's operation.
ii. Sub - Lessee's material misrepresentation of any matter related to this Sub -
Lease.
iii. If Sub - Lessee suffers this Sub -Lease to be taken under any writ of
execution and/or other process of law or equity.
iv. Sub - Lessee's failure to utilize the Premises as set forth above.
V. Any lien is filed against the Premises or Sub - Lessee's interest therein or
any part thereof in violation of this Sub -Lease, or otherwise, and the same
remains unreleased for a period of sixty (60) days from the date of filing
unless within such period Sub - Lessee is contesting in good faith the
validity of such lien and such lien is appropriately bonded.
vi. Failure of Sub - Lessee to perform or comply with any material covenant or
condition made under this Sub- Lease, which failure is not cured within
ninety (90) days from receipt of Authority's written notice stating the non-
compliance shall constitute a default (other than those covenants for which
a different cure period is provided), whereby Authority may, at its option,
terminate this Sub -Lease by giving Sub - Lessee thirty (30) days written
notice unless the default is fully cured within that thirty (30) day notice
period (or such additional time as is agreed to in writing by Authority as
being reasonably required to correct such default). However, the
occurrence of any of the events set forth above shall constitute a material
breach and default by Sub - Lessee, and this Sub -Lease may be immediately
terminated by Authority except to the extent then prohibited by law.
vii. Lessee's failure and/or failure of Lessee's invitees, agents, guests or sub-
lessee's to follow and law, rule, regulation and/or requirement applicable to
Revised: September 7.2011 CAO
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2/14/2012 Item 16.G.1.
the Immokalee Regional Airport, if after written notice such failure is not
immediately cured.
b. Remedies of Authority.
In the event of the occurrence of any of the foregoing defaults, Authority,
in addition to any other rights and remedies it may have, shall have the
immediate right to re -enter and remove all individuals, entities and/or
property from the Premises. Such property may be removed and stored in a
public warehouse or elsewhere at the cost of and for the account of Sub -
Lessee, all without service of notice or resort to legal process and without
being deemed guilty of trespass, or being liable for any loss or damage
which may be occasioned thereby. If Sub - Lessee does not cure the defaults
in the time frames as set forth above, and Authority has removed and stored
property, Authority shall not be required to store for more than thirty (30)
days. After such time, such property shall be deemed abandoned and
Authority shall dispose of such property in any manner it so chooses and
shall not be liable to Sub - Lessee for such disposal.
ii. If Sub - Lessee fails to promptly pay, when due, any full installment of rent
or any other sum payable to Authority under this Sub - Lease, and if said
sum remains unpaid for more than five (5) days past the due date, the Sub -
Lessee shall pay Authority a late payment charge equal to five percent
(5 %) of each such payment not paid promptly and in full when due. Any
amounts not paid promptly when due shall also accrue compounded
interest of two (2 %) percent per month or the highest interest rate then
allowed by Florida law, whichever is higher ( "Default Rate "), which
interest shall be promptly paid by Sub - Lessee to Authority.
iii. Authority may sue for direct, actual damages arising out of such default of
Sub - Lessee or apply for injunctive relief as may appear necessary or
desirable to enforce the performance and observance of any obligation,
agreement or covenant of Sub - Lessee under this Sub - Lease, or otherwise.
Authority shall be entitled to reasonable attorneys fees and costs incurred
arising out of Sub - Lessee's default under this Sub - Lease.
c. Default by Authority. Authority shall in no event be charged with default in the
performance of any of its obligations hereunder unless and until Authority shall have
failed to perform such obligations within thirty (30) days (or such additional time as is
reasonably required to correct such default) after written notice to Authority by Sub -
Lessee properly and in meaningful detail specifying wherein, in Sub - Lessee's judgment or
opinion, Authority has failed to perform any such obligation(s).
d. Remedies of Sub - Lessee. In partial consideration for the nominal rent charged
to Sub- Lessee, Sub - Lessee hereby waives any claim it may have to direct or indirect
monetary damages it incurs as a result of Authority's breach of this Sub -Lease, and also
waives any claim it might have to attorneys' fees and costs arising out of Authority's
6
Revised: September 7, 2011 CAO
Packet Page -2038-
2/14/2012 Item 16.G.1.
breach of this Sub - Lease. Sub - Lessee's remedies for Authority's default under this Sub -
Lease shall be limited to the following:
For injunctive relief as may appear necessary or desirable to enforce the
performance and observance of any obligation, agreement or covenant of
Authority under this Sub - Lease.
ii. Sub - Lessee may cure any default of Authority and pay all sums or do all
reasonably necessary work and incur all reasonable costs on behalf of and
at the expense of Authority. Authority will pay Sub - Lessee on demand all
reasonable costs incurred and any amounts so paid by Sub - Lessee on behalf
of Authority, with no interest.
e. No Remedy Exclusive. No remedy herein conferred upon or reserved to either
party is intended to be exclusive of any other available remedy or remedies, but each and
every such remedy will be cumulative and in addition to every other remedy given under
this Sub -Lease or hereafter existing under law or in equity. No delay or omission to
exercise any right or power accruing upon any event of default will impair any such right
or power nor be construed to be waived, but any such right and power maybe exercised
from time to time and as often as may be deemed expedient.
f. Non - Waiver. Every provision hereof imposing an obligation upon Sub - Lessee
is a material inducement and consideration for the execution of this Sub -Lease by Sub -
Lessee and Authority. No waiver by Sub - Lessee or Authority of any breach of any
provision of this Sub -Lease will be deemed for any purpose to be a waiver of any breach
of any other provision hereof or of any continuing or subsequent breach of the same
provision, irrespective of the length of time that the respective breach may have continued.
21. Lease Manual. The Sub - Lessee shall be provided with the Authority's Lease
Manual (if any), which the Authority may be amend from time to time. The terms of this manual
shall be deemed to be incorporated by reference into this Sub - Lease, and Sub - Lessee shall be
bound by the terms of this Lease Manual, as of the 1St day of the second month the Sub- Lessee
receives a copy of the Lease Manual or an amended Lease Manual. With respect to any terms in
this Sub -Lease which are in conflict with the Lease Manual, the Lease Manual shall control.
22. Rules and Regulations. The Sub - Lessee shall comply with the Authority's published
Rules and Regulations for this airport, which are on file at the address set forth above, as such
regulations may be amended from time to time by the Authority including such reasonable and
uniform landing fees, rates or charges, as may from time to time be levied for airfield operational
privileges and/or services provided at the Airport, provided all such Rules and Regulations comply
with current FAA rules, regulations and guidelines. Tenant shall also comply with any and all
applicable governmental statutes, rules, orders and regulations.
23. Airport Development. The Authority reserves the right to further develop or improve
the landing and other areas of the Airport as it sees fit, regardless of the convenience, desires or view
of the Sub - Lessee, and without interference or hindrance. Notwithstanding the foregoing, nothing
Revised: September 7, 2011 CAO
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2/14/2012 Item 16.G.1.
herein shall be construed to limit or impede Sub - Lessee's rights to object to any such development or
improvements in any lawful manner.
24. Airport Operations. The Sub- Lessee shall prevent any use of the Premises which
would interfere with or adversely affect the operation or maintenance of the Airport, or otherwise
constitute an airport hazard, and will restrict the height of structures, objects_of natural growth, and
other obstructions on the Premises to such height as comply with Federal Aviation Regulations, Part
77.
Miscellaneous Legal Matters
25. This Sub -Lease shall be construed by and controlled under the laws of the State of
Florida. In the event of a dispute under this Sub -Lease, the Parties shall first use the County's
then - current Alternative Dispute Resolution Procedure. Following the conclusion of this
procedure, either party may file an action in the Circuit Court of Collier County to enforce the
terms of this Sub - Lease, which Court the Parties agree to have the sole and exclusive jurisdiction.
26. This Sub -Lease contains the entire agreement of the Parties with respect to the
matters covered by this Sub -Lease and no other agreement, statement or promise made any party,
or to any employee, officer or agent of any party, which is not contained in this Sub -Lease shall
be binding or valid. Time is of the essence in the doing, performance and observation of each and
every term, covenant and condition of this Sub -Lease by the Parties.
27. In the event state or federal laws are enacted after the execution of this Sub - Lease,
which are applicable to and preclude in whole or in part the Parties' compliance with the terms of
this Sub - Lease, then in such event this Sub -Lease shall be modified or revoked as is necessary to
comply with such laws, in a manner which best reflects the intent of this Sub - Lease.
28. Except as otherwise provided herein, this Sub -Lease shall only be amended by
mutual written consent of the Parties hereto or by their successors in interest. Notices hereunder
shall be given to the Parties set forth below and shall be made by hand delivery, facsimile,
overnight delivery or by regular mail. If given by regular mail, the notice shall be deemed to have
been given within a required time if deposited in the U.S. Mail, postage prepaid, within the time
limit. For the purpose of calculating time limits which run from the giving of a particular notice
the time shall be calculated from actual receipt of the notice. Time shall run only on business
days which, for purposes of this Sub -Lease shall be any day other than a Saturday, Sunday or
legal public holiday. Notices shall be addressed as follows:
If to Authority: Collier County Airport Authority
2005 Mainsail Drive, Suite 1
Naples, Florida 34114
(239) 642 -7878
Revised: September 7. 2011 CAO
cc: Real Property Management
3335 Tamiami Trail East, Suite 101
Naples, Florida 34112
Packet Page -2040-
2/14/2012 Item 16.G.1.
If to Sub - Lessee: Gregory Shepard
2243 Peck Street -
Fort Myers, Florida 33901
cc: Henderson Franklin Starnes & Holt, P.A.
Attn: Bruce E. Sands, Esq.
P.O. Box 280
1715 Monroe St.
Ft. Myers, FL 33901
Notice shall be deemed to have been given on the next successive business day to the date of
the courier waybill if sent by nationally recognized overnight delivery service.
29. Sub - Lessee is an independent entity, and is not any agent or representative or
employee of Authority. During the term of this Sub - Lease, neither Sub - Lessee, nor anyone acting
on behalf of Sub - Lessee, shall hold itself out as an employee, servant, representative or agent of
Authority. Neither party will have the right or authority to bind the other party without express
written authorization of such other party to any obligation to any third party. No third party is
intended by the Parties to be a beneficiary of this Sub -Lease or to have any rights to enforce this
Sub -Lease against either party hereto or otherwise. Nothing contained in this Sub -Lease will
constitute the Parties as partners or joint ventures for any purpose, it being the express intention of
the Parties that no such partnership or joint venture exists or will exist. Sub - Lessee acknowledges
that Authority is not providing any vacation time, sick pay, or other welfare or retirement benefits
normally associated with an employee- employer relationship and that Authority excludes Sub -
Lessee and its employees from participation in all health and welfare benefit plans including
vacation, sick leave, severance, life, accident, health and disability insurance, deferred
compensation, retirement and grievance rights or privileges.
30. Force Maieure. Neither party to this Sub -Lease will be liable for any delay in the
performance of any obligation under this Sub -Lease or of any inability to perform an obligation
under this Sub -Lease if and to the extent that such delay in performance or inability to perform is
caused by an event or circumstance beyond the reasonable control of and without the fault or
negligence of the party claiming Force Majeure. "Force Majeure" shall include an act of God,
war (declared or undeclared), sabotage, riot, insurrection, civil unrest or disturbance, military or
guerrilla action, economic sanction or embargo, civil strike, work stoppage, slow -down or lock-
out, explosion, fire, earthquake, abnormal weather condition, hurricane, flood, lightning, wind,
drought, and the binding order of any governmental authority.
31. Hazardous Materials. Sub - Lessee will not transport, use, store, maintain, generate,
manufacture, handle, dispose, release or discharge any Hazardous Materials upon or about the
Sub - Leased Premises except in strict compliance with all applicable codes, laws and ordinances
relating thereto, nor permit employees, representatives, agents, contractors, sub- contractors, sub -
sub- contractors, material men and/or suppliers to engage in such activities upon or about the Sub -
Leased Premises.
32. Nondiscrimination Clause. The Sub - Lessee for himself, his personal representatives,
successors in interest, and assigns, as part of the consideration hereof, does hereby covenant and
9
Revised: September 7, 2011 CAO
Packet Page -2041-
2/14/2012 Item 16.G.1.
agree that (1) no person on the grounds of race, color, or national origin shall be excluded in
participating in, denied the benefits of, or be otherwise subjected to discrimination in the use of the
Sub - Leased Premises; (2) that in the construction of any improvements on, over or under such land
and the furnishing of services thereon, no person on the grounds of race, color or national origin shall
be excluded from participating in, denied the benefits of, or otherwise subjected to discrimination;
(3) that the Sub - Lessee 'shall use the Sub - Leased Premises in compliance with all other requirements
imposed by or pursuant to Title 49, Code of Federal Regulations, Department of Transportation,
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, as said
regulations may be amended. That in the event of breach of any of the above nondiscrimination
covenants, Authority shall have the right to terminate this Sub -Lease and to re-enter and as if the
Sub -Lease had never been made or issued. The provision shall not be effective until the procedures
of Title 49, Code of Federal Regulations, Part 21 are followed and completed, including exercise or
expiration of appeal rights.
33. Radon. In compliance with Section 404.056, Florida Statutes, all Parties are hereby
made aware of the following: Radon is a naturally occurring radioactive gas that, when it has
accumulated in a building in sufficient quantities, may present health risks to persons who are
exposed to it over time. Levels of radon that exceed federal and state guidelines have been found
in buildings in Florida. Additional information regarding radon and radon testing may be
obtained from your County Public Health Department.
34. Dominant Agreements. This Sub -Lease Agreement is subordinate and subject to all
existing agreements between the Authority and the Federal Aviation Administration, the Authority
and the State of Florida, and the Authority and Collier County. During the time of war or national
emergency, the Authority shall have the right to lease the landing area or any part thereof to the
United States Government for military or naval or similar use, and, if such lease is executed, the
provisions of this Lease Agreement insofar as they are inconsistent with the provisions of the lease to
the Government, shall be suspended. Any executed agreement shall be subordinate to the provisions
of any existing or future Agreement between Authority and the United States, relative to the
operation or maintenance of the Airport, the execution of which has been or may be required as a
condition precedent to the expenditure of Federal funds for the development of the Airport.
35. This Sub -Lease Agreement may be recorded by the Authority in the Official Records
of Collier County, Florida, within fourteen (14) days after the execution of this Sub - Lease, at the
Sub - Lessee's sole cost and expense.
Revised: September 7, 2011 CAO 10 1
i
Packet Page -2042-
2/14/2012 Item 16.G.1.
IN WITNESS WHEREOF, the Sub - Lessee and Authority have hereto executed this Sub-
Lease Agreement the day and year first above written. r
Ar SSEE:
i ess ( gnature) GkEGORY SHEPARD
fie d6c E •
(print name)
Witness (signature)
(print name)
Remainder of page intentionally left blank.
Remaining signature page to follow.
11
Revised: September 7, 2011 CAO
Packet Page -2043-
AS TO THE AUTHORITY:
ATTEST: ,
DWIC*ft,E- .BROCK, CLERK
I.G• AA•.
and
y:
iL-7. r
Steven T. Williams
Assistant County Attorney
Revised: September 7, 2011 CAO
2/14/2012 Item 16.G.1.
BOARD OF COUNTY CONMSSIONERS
COLLIER COUNTY, FLORIDA IN ITS
CAPACITY AS THE COLLIER COUNTY
AIRPORT AUTHORITY
BY: W
FRED W. COYLE, Chairman
L'
I
12
Packet Page -2044-
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Attachment A
, Packet Page -2045-
2/14/2012 Item 16.G.1.
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U.S. Department
of Transportation
Federal Aviation
Administration
May 25, 2011
Mr. Chris Curry
Executive Director
Collier County Airport Authority
2005 Mainsail Drive
Suite I
Naples, Florida 34114 -8955
Dear Mr. Curry:
2/14/2012 Item 16.G.1.
5950 Hazeltine National Drive, Suite 400
Orlando, Florida 32822
I am writing this letter in response to your April 26, 2011 letter regarding lease negotiations with Mr.
Gregory Shepard. Based on the information in your letter, the information provided by Mr. Shepard and a
subsequent site visit we offer the following determination and comments.
Mr. Shepard is not operating an aeronautical museum at Immokalee Regional Airport. Based on the
information provided, Mr. Shepard's non - profit business (South Florida Defense Antiquities Museum,
Inc.) is located in Punta Gorda, not Immokalee. Further, museums typically have visitors and visitor's
fees. Mr. Shepard's hangars have had no such visitors or visitor's fees. Additionally, most museums that
are allowed to pay reduced rental/ lease rates offer community benefits. The stored property in hangars 7,
13 and 14 currently offer no such community benefits.
Although some of the aircraft in the three hangars may have N numbers and airworthiness certificates,
none have been flown in over a year. During my site visit it appeared that the hangars are used primarily
for storage of some aircraft that are disassembled, non - aviation equipment, and a few `in tact' aircraft.
Based on the grant assurance to be as self - sustaining as possible we find it appropriate for the airport
authority to charge non - aeronautical use rates for the hangars in question unless Mr. Shepard can produce
flight records documenting that the aircraft in his hangars are being flown on a regular basis. These
records should include fuel flowage fees and flight logs, and should identify the N number of the aircraft
along with the number of annual operations/ annual gallons of fuel. If Mr. Shepard produces these records,
the airport authority may prorate the rental fees according to the percentage occupied by flying aircraft and
the percentage occupied by other equipment and property.
Please let me know if you have any questions.
Sincerely,
ORIGINAL SIGNED BY
Krystal G. Ritchey, P.E.
Program Manager
Packet Page -2046-
X�
U.S. Department
of Tronsportafion
Federal Aviation
Administration
November 21, 2011
Mr. Chris Curry
Executive Director
Collier County Airport Authority
2005 Mainsail Drive
Suite 1
Naples, Florida 34114
Dear Mr. Curry:
2/14/2012 Item 16.G.1.
5950 Hazeltine National Drive, Suite 400
Orlando, Florida 32222
I am writing this follow -up letter to provide clarification to our letter to you dated May 25,
2001 regarding Mr. Shepard's request to qualify his operation as an aeronautical museum and
receive reduced rates, and his request to allow a separate tenant (Mr. Fletcher) to store fuel
service vehicles within his (Mr. Shepard's) leasehold. Based on our interpretation of the grant
assurances and applicable FAA policy, we offer the following information.
Mr. Shepard provided airworthiness certificates to our office to demonstrate the presence of
aircraft in his hangars. Therefore we.find it appropriate for the airport authority to charge
aeronautical use rates for Mr. Shepard's leasehold. Regarding Mr. Shepard's request to qualify
his operation as an aeronautical museum and receive a discounted lease rate, the FAA does not
designate aeronautical museums, nor do we set lease rates. Rather, those decisions are solely
within the jurisdiction of the airport sponsor. Based on the information Mr. Shepard provided,
it appears that Mr. Shepard's museum is located in Punta Gorda rather than Immokalee. While
the State of Florida recognizes Mr. Shepard's operation as a nonprofit defense antiquities
museum, the documentation does not support designation as an aeronautical museum in
Immokalee.
When considering whether to grant a tenant status as an aeronautical museum, an airport
sponsor may require evidence of the proper state licensure /designation as a museum, that the
museum is aeronautical in nature, and that the museum be located at the airport for which the
aeronautical museum status is requested. Therefore, the sponsor does not appear be in conflict
with their Federal obligations by failing to recognize your operation at Immokalee as an
aeronautical museum.
FAA Order 5190.6B and the FAA's 1999 Policy and Procedures Concerning the Use of Airport
Revenues indicate that airport sponsors "may" offer reduced rates for aeronautical museums,
however they are under no Federal obligation to do so.
Regarding Mr. Shepard allowing Mr. Fletcher to store his fuel service vehicles on his
leasehold, fuel service vehicles are aeronautical in nature, in that they support an aeronautical
activity. However, grant assurance 22h gives the airport sponsor the right to establish
reasonable rules and regulations for the safe and efficient operation of the airport. Such rules
Packet Page -2047-
2/14/2012 Item 16.G.1.
2
and regulations may include things like where fuel may be stored, the quantity of fuel that may
be stored in a particular location, where fueling may be conducted, and the rules /procedures
that tenants must follow when conducting fueling activities on the airport (i.e. no fueling in
hangars, no storage of fuel in hangars, no smoking when handling fuel or in the vicinity of the
fuel storage /dispensing equipment, etc...).
The storage of aircraft/equipment on another tenants leasehold may be considered a
commercial aeronautical operation, regardless of whether the owner of the aircraft/equipment
is charged by the leaseholder. As such, the airport sponsor may restrict leaseholders from sub-
leasing space or from making a commercial use of their leaseholds without prior approval from
the airport sponsor. The sponsor may also require leaseholders to adhere to commercial
rules /regulations /minimum standards and/or pay commercial rates for such uses.
Failing to impose commercial rules /regulations /minimum standards/rates on a tenant who
allows others to store aircraft/equipment on its leasehold may also cause the airport sponsor to
be in conflict with grant assurance 22c. Such use may economically discriminate against
aeronautical tenants who provide commercial aeronautical storage services at the airport.
I trust you find this information helpful. Please feel free to contact me if you have any
questions.
Sincerely,
Krystal G. Ritchey, P.E.
Program Manager
Enclosure
Packet Page -2048-
r�
U.S, Department
of Transportation
Foderal Aviation
Administration
May 25, 2011
Mr. Chris Curry
Executive Director
Collier County Airport Authority
2005 Mainsail Drive
Suite 1
Naples, Florida 34114 -8955
Dear Mr. Curry:
2/14/2012 Item 16.G.1.
5950 Hazeltine National Drive, Suite 400
Orlando, Florida 32822
I am writing this letter in response to your April 26, 2011 letter regarding lease negotiations with Mr.
Gregory Shepard. Based on the information in your letter, the information provided by Mr. Shepard and a
subsequent site visit we offer the following determination and comments.
Mr. Shepard is not operating an aeronautical museum at Immokalee Regional Airport. Based on the
information provided, Mr. Shepard's non - profit business (South Florida Defense Antiquities Museum,
Inc.) is located in Punta Gorda, not Immokalee. Further, museums typically have visitors and visitor's
fees. Mr. Shepard's hangars have had no such visitors or visitor's fees. Additionally, most museums that
are allowed to pay reduced rental/ lease rates offer community benefits. The stored property in hangars 7,
13 and 14 currently offer no such community benefits.
Although some of the aircraft in the three hangars may have N numbers and airworthiness certificates,
none have been flown in over a year. During my site visit it appeared that the hangars are used primarily
for storage of some aircraft that are disassembled, non - aviation equipment, and a few `in tact' aircraft.
Based on the grant assurance to be as self - sustaining as possible we find it appropriate for the airport
authority to charge non- aeronautical use rates for the hangars in question unless Mr. Shepard can produce
flight records documenting that the aircraft in his hangars are being flown on a regular basis. These
records should include fuel flowage fees and flight logs, and should identify the N number of the aircraft
along with the number of annual operations / annual gallons of fuel. If Mr. Shepard produces these records,
the airport authority may prorate the rental fees according to the percentage occupied by flying aircraft and
the percentage occupied by other equipment and property.
Please let me know if you have any questions.
Sincerely,
ORIGINAL SIGNED BY
Krystal G. Ritchey, P.E.
Program Manager
Packet Page -2049-