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Agenda 04/23/2019 Item #16G1 (Lease Agreement - Career Aviation)04/23/2019 EXECUTIVE SUMMARY Recommendation to approve and authorize the Chairman to sign the attached Collier County Airport Authority Standard Form Lease Agreement with Career Aviation Flight Training & Aircraft Rental, Holding, LLC for office and counter space at the Marco Island Executive Airport. OBJECTIVE: To generate revenue by leasing vacant space and provide commercial aeronautical services to the general public at the Marco Island Executive Airport (MKY). CONSIDERATIONS: On November 5, 2018, the Collier County Airport Authority (Authority) received written notice of the intent by Island Air Charters, Inc. to vacate approximately 168 square feet of office and counter space in the main terminal building at MKY, effective December 5, 2018. The Airport Authority solicited competitive proposals from parties interested in leasing the space vacated by Island Air for the purposes of conducting commercial aeronautical services. The advertisement was posted at MKY, on the Authority’s website, and email notices were sent to existing tenants and aviation service providers that previously expressed interest in leasing the space at MKY. On the closing date of March 1, 2018, one proposal had been received from Career Aviation Flight Training and Aircraft Rental Holding, LLC (Career Aviation). Staff has reviewed this proposal and recommends entering into an agreement with Career Aviation for available space at MKY in support of their commercial aviation activities. Career Aviation currently leases 45.5 square feet of office space at the airport that is located outside of the main terminal building. They have indicated a need for additional space for classroom training, management with flight documents associated with flight training, higher visibility for their flight school, and a place to service customers. Career Aviation has been in business at MKY since February 2014. It is in good standing with the Airport Authority. The organization has grown from operating one aircraft to five. With increased advertising capabilities and visibility that will be made available by leasing this counter space within the terminal building, Career Aviation anticipates approximately a ten percent increase in their purchase of aviation fuel. The term of the lease is five (5) years, with a sixty (60) day early-termination provision for either party. The initial lease rate is $276.86 per month, plus applicable taxes, in accordance with the currently approved rates and charges. The rent shall increase annually on January 1 st based on the Consumer Price Index (CPI) throughout the life of the agreement. As construction of the new terminal facility at MKY is expected to be completed during the term of this lease agreement, the lessee will be granted the first right of refusal to lease comparable office space within the new building. If such option is exercised, an amendment will be brought forth at a future date to reflect any applicable change in lease terms. FISCAL IMPACT: Monthly rent in the amount of $276.86, plus applicable sales tax of 7%, shall be deposited in Authority operating Fund (495), Marco Island Executive Airport Cost Center (192370). LEGAL CONSIDERATIONS: This item is approved for form and legality and requires a majority vote for Board action. - JAB 16.G.1 Packet Pg. 2360 04/23/2019 GROWTH MANAGEMENT IMPACT: There is no impact to the Growth Management Plan related to this action. RECOMMENDATION: To approve and authorize the Chairman to sign the attached Collier County Airport Authority Standard Form Lease Agreement with Career Aviation Flight Training & Aircraft Rental, Holding, LLC for office and counter space at the Marco Island Executive Airport. Prepared By: Justin Lobb, Airports Manager, Airport Authority ATTACHMENT(S) 1. Career Aviation Lease (PDF) 2. ADVERTISEMENTMarcoIslandCo (PDF) 3. CFTAR Proposal 2-28-19 (PDF) 16.G.1 Packet Pg. 2361 04/23/2019 COLLIER COUNTY Board of County Commissioners Item Number: 16.G.1 Doc ID: 8305 Item Summary: Recommendation to approve and authorize the Chairman to sign the attached Collier County Airport Authority Standard Form Lease Agreement with Career Aviation Flight Training & Aircraft Rental, Holding, LLC for office and counter space at the Marco Island Executive Airport Meeting Date: 04/23/2019 Prepared by: Title: Operations Coordinator – Airport Authority Name: Debra Brueggeman 03/13/2019 12:51 PM Submitted by: Title: Division Director - Operations Support – Growth Management Department Name: Gene Shue 03/13/2019 12:51 PM Approved By: Review: Airport Authority Justin Lobb Additional Reviewer Completed 03/13/2019 4:01 PM Growth Management Department Gene Shue Additional Reviewer Completed 03/14/2019 3:15 PM Growth Management Department Jeanne Marcella Level 1 Reviewer Completed 03/19/2019 3:42 PM Growth Management Operations Support Christopher Johnson Additional Reviewer Completed 03/19/2019 6:19 PM County Attorney's Office Jennifer Belpedio Level 2 Attorney of Record Review Completed 03/20/2019 10:10 AM Growth Management Department Thaddeus Cohen Department Head Review Completed 03/20/2019 4:13 PM Growth Management Department James C French Deputy Department Head Review Skipped 03/26/2019 5:01 PM County Attorney's Office Jeffrey A. Klatzkow Level 3 County Attorney's Office Review Completed 03/28/2019 2:52 PM Office of Management and Budget Valerie Fleming Level 3 OMB Gatekeeper Review Completed 04/01/2019 8:21 AM Budget and Management Office Ed Finn Additional Reviewer Completed 04/01/2019 1:05 PM County Manager's Office Nick Casalanguida Level 4 County Manager Review Completed 04/15/2019 2:27 PM Board of County Commissioners MaryJo Brock Meeting Pending 04/23/2019 9:00 AM 16.G.1 Packet Pg. 2362 16.G.1.a Packet Pg. 2363 Attachment: Career Aviation Lease (8305 : Career Aviation Lease) 16.G.1.a Packet Pg. 2364 Attachment: Career Aviation Lease (8305 : Career Aviation Lease) 16.G.1.a Packet Pg. 2365 Attachment: Career Aviation Lease (8305 : Career Aviation Lease) 16.G.1.a Packet Pg. 2366 Attachment: Career Aviation Lease (8305 : Career Aviation Lease) 16.G.1.a Packet Pg. 2367 Attachment: Career Aviation Lease (8305 : Career Aviation Lease) 16.G.1.a Packet Pg. 2368 Attachment: Career Aviation Lease (8305 : Career Aviation Lease) 16.G.1.a Packet Pg. 2369 Attachment: Career Aviation Lease (8305 : Career Aviation Lease) 16.G.1.a Packet Pg. 2370 Attachment: Career Aviation Lease (8305 : Career Aviation Lease) 16.G.1.a Packet Pg. 2371 Attachment: Career Aviation Lease (8305 : Career Aviation Lease) 16.G.1.a Packet Pg. 2372 Attachment: Career Aviation Lease (8305 : Career Aviation Lease) 16.G.1.a Packet Pg. 2373 Attachment: Career Aviation Lease (8305 : Career Aviation Lease) 16.G.1.a Packet Pg. 2374 Attachment: Career Aviation Lease (8305 : Career Aviation Lease) 16.G.1.a Packet Pg. 2375 Attachment: Career Aviation Lease (8305 : Career Aviation Lease) VACANT AIRPORT OFFICE FOR LEASE INVITATION FOR SEALED PROPOSALS NOTICE IS HEREBY GIVEN THAT THE COLLIER COUNTY A IRPORT AUTHORITY (AUTHOR ITY) IS SOLIC IT ING PROPOSALS FROM ANY PARTY(IES) INTERESTED IN LEAS ING VACANT COUNTER (OFFICE) SPACE LOCATED AT THE MARCO ISLAND EXECUTIVE AIRPORT (MKY) FOR COMMERCIAL AVIATION SERVICE PROVIDERS Use of the propert y shall be for the sole purpose of providing commercial aeronautical services (ie: air carrier/charter operations, air taxi, pilot training, aircraft rental, sightseeing, aerial photography, flying clubs, etc) to the general public. The counter/office space is approximately 168 square feet, and is located within the main lobby of the general aviation terminal building. The Authority desires to award a lease term not-to-exceed five years, to include a 60-day earl y- termination provision. The minimum annual rent for the first year term shall be at a rate of $19.7757 per square foot, remitted monthly. The rent shall increase annually on January 1 st, based on the Consumer Price Index (CPI) throughout the life of the lease agreement. The proposer shall meet the requirements set for in the Authority’s published “Minimum Standards for Commercial Aeronautical Activity and Service Providers at the Collier County Airports” (Minimum Standards) in order to be deemed responsive. The proposal shall contain, at a minimum, the requirements outlined in Section 3 – “Applications and Qualification” to demonstrate sufficient intent. Proposals will be reviewed and ranked by Authority staff in accordance with the process outlined in Section 4 – “Action on Application.” The awarded proposer shall enter into a Lease Agreement with the Authority within sixty (60) days from the last publication of this notice in order to address additional terms and conditions deemed necessar y by the Authority. The awarded proposer shall also be responsible for the costs associated with the publication of this notice. Additional information may be obtained b y contacting Justin Lobb at (239) 642-7878. P LEASE FORWARD SEALED PROPOSALS TO: (Indicate: "SEALED PROPOSAL" on envelope) Justin Lobb Airport Manager Collier County Airport Authority 2005 Mainsail Drive, Suite 1 Naples, Florida 34114 PROPOSALS W ILL NOT BE ACCEPTED AFTER THE NOON HOUR ON MARCH 1, 2019. THE BOARD OF COUNTY COMMISSIONERS RESERVES THE RIGHT TO REJECT ALL PROPOSALS AND/OR NEGOTIATE WITH THE QUALIFIED ON ANY PROVISIONS OF THE LEASE. 16.G.1.b Packet Pg. 2376 Attachment: ADVERTISEMENTMarcoIslandCo (8305 : Career Aviation Lease) 16.G.1.cPacket Pg. 2377Attachment: CFTAR Proposal 2-28-19 (8305 : Career Aviation Lease) 16.G.1.cPacket Pg. 2378Attachment: CFTAR Proposal 2-28-19 (8305 : Career Aviation Lease) 16.G.1.cPacket Pg. 2379Attachment: CFTAR Proposal 2-28-19 (8305 : Career Aviation Lease) 16.G.1.cPacket Pg. 2380Attachment: CFTAR Proposal 2-28-19 (8305 : Career Aviation Lease) 16.G.1.cPacket Pg. 2381Attachment: CFTAR Proposal 2-28-19 (8305 : Career Aviation Lease) 16.G.1.cPacket Pg. 2382Attachment: CFTAR Proposal 2-28-19 (8305 : Career Aviation Lease) 16.G.1.cPacket Pg. 2383Attachment: CFTAR Proposal 2-28-19 (8305 : Career Aviation Lease) 16.G.1.cPacket Pg. 2384Attachment: CFTAR Proposal 2-28-19 (8305 : Career Aviation Lease) 16.G.1.cPacket Pg. 2385Attachment: CFTAR Proposal 2-28-19 (8305 : Career Aviation Lease) 16.G.1.cPacket Pg. 2386Attachment: CFTAR Proposal 2-28-19 (8305 : Career Aviation Lease) 16.G.1.cPacket Pg. 2387Attachment: CFTAR Proposal 2-28-19 (8305 : Career Aviation Lease) 16.G.1.cPacket Pg. 2388Attachment: CFTAR Proposal 2-28-19 (8305 : Career Aviation Lease) 16.G.1.cPacket Pg. 2389Attachment: CFTAR Proposal 2-28-19 (8305 : Career Aviation Lease) 16.G.1.cPacket Pg. 2390Attachment: CFTAR Proposal 2-28-19 (8305 : Career Aviation Lease) 16.G.1.cPacket Pg. 2391Attachment: CFTAR Proposal 2-28-19 (8305 : Career Aviation Lease) 16.G.1.cPacket Pg. 2392Attachment: CFTAR Proposal 2-28-19 (8305 : Career Aviation Lease) 16.G.1.cPacket Pg. 2393Attachment: CFTAR Proposal 2-28-19 (8305 : Career Aviation Lease) 16.G.1.cPacket Pg. 2394Attachment: CFTAR Proposal 2-28-19 (8305 : Career Aviation Lease) 16.G.1.cPacket Pg. 2395Attachment: CFTAR Proposal 2-28-19 (8305 : Career Aviation Lease) 16.G.1.cPacket Pg. 2396Attachment: CFTAR Proposal 2-28-19 (8305 : Career Aviation Lease)