ORDINANCE 2987: AUTHORIZATION TO ENTER INTO LEASE AGREEMENT WITH KELMAR CONSULTING LTD, DOING BUSINESS AS KELMAR AVIATION, FOR SUITE 203 AT GLENDALE MUNICIPAL AIRPORT
Staff Contact: Jack Friedline, Director, Public Works
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Purpose and Recommended Action
Recommendation
This is a request for City Council to waive reading beyond the title and adopt an ordinance authorizing the City Manager to enter into a Lease Agreement with Kelmar Consulting LTD, doing business Kelmar Aviation, for the lease of Suite 203 for a total of 226 square feet in the terminal building at the Glendale Municipal Airport (GMA).
Background
Kelmar Aviation is an aircraft broker and aircraft sales firm. Their business has increased over the past several years, and they wish to conduct business at the GMA. Kelmar Aviation intends to have office space and Light Sport Aircraft (LSA) at the GMA, which will likely lead to tie-down or hangar rentals, aviation fuel purchases, pre-buy inspections, ferry services, and check rides.
Analysis
The Aviation Advisory Commission (AAC) approved a recommendation at the meeting of March 10, 2016, for the city to enter into a Lease Agreement with Kelmar Aviation for Suite 203 of 226 square feet in the amount of $3,460.44 per year ($288.37 per month) and a pro-rated share of utilities. Staff and the AAC recommend removing the 2.5% payment of gross sales standard in the contract template, as no other local general aviation airports have this charge.
Previous Related Council Action
On November 10, 2015, the City Council approved the new rates and charges that included variable and negotiable lease rates.
On January 25, 2011, the City Council approved Ordinance 2761 approving a Master Airport Terminal Office Lease Agreement.
Community Benefit/Public Involvement
The Glendale Municipal Airport plays an important role in meeting the demand for aviation services in the West Valley and serves as a general aviation reliever airport for ...
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