LEGISLATIVE ACTION ITEM
SPONSOR: Grover C. Robinson, IV, Mayor
SUBJECT:
title
AIRPORT - AIR METHODS CORPORATION LEASE AGREEMENT
end
RECOMMENDATION:
recommendation
That City Council authorize the Mayor to execute the Lease Agreement with Air Methods Corporation to provide for office, hangar, and aircraft ramp space at the Pensacola International Airport for an air ambulance service. Further, that City Council authorize the Mayor to take all actions necessary to execute the Lease Agreement.
end
body
HEARING REQUIRED: No Hearing Required
SUMMARY:
In October, 2019 the Pensacola International Airport was contacted by Mr. Andy Goldstrom of Air Methods Corporation, a Specialized Aviation Service Operator (SASO) operating an air ambulance service, about the availability of hangars to rent. Staff showed him a 9,200 square foot office/hangar facility located at 55 Service Center Road that was available.
Mr. Goldstrom contacted the Airport in November 2019 to indicate that he would like to enter into a Lease Agreement with the City for the hangar. The lease includes a 6,400 square foot hangar, 2,800 square foot office/administrative space, 24,500 square feet of paved aircraft ramp, and a 34 vehicle automotive parking lot. The Lease Agreement is for a term of three (3) years with extensions of three (3) and one (1) years.
PRIOR ACTION:
None
FUNDING:
N/A
FINANCIAL IMPACT:
The Lease Agreement will generate approximately $72,521 in non-airline revenue to the Airport during the first year. The rental amount was determined via a previously performed market rent analysis of the property updated via changes to the Consumer Price Index (CPI). The initial rental amount will be updated each year based on annual changes to the CPI.
CITY ATTORNEY REVIEW: Yes
12/24/2019
STAFF CONTACT:
Keith Wilkins, City Administrator
Richard Barker, Jr, Deputy City Administrator - Administration & Enterprise
Daniel E. Flynn, Airport Director
ATTACHMENTS:
1) Air Methods Corporation Lease Agreement
PRESENTATION: No end