HomeMy WebLinkAbout10/21/2025 07.G. Resolution authorizing the second amendment to Lease Agreement #2 with McCormick Air at the Yakima Airport r `y s ljlt
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BUSINESS OF THE CITY COUNCIL
YAKIMA, WASHINGTON
AGENDA STATEMENT
Item No. 7.G.
For Meeting of: October 21, 2025
ITEM TITLE: Resolution authorizing the second amendment to Lease Agreement
#2 with McCormick Air at the Yakima Airport (Revenue to Airport
Fund)
SUBMITTED BY: Gary Bellew, Assistant City Manager
SUMMARY EXPLANATION:
The proposed lease amendment with McCormick Air will add an additional 33,000 square feet to the
existing lease, 234,488 square feet, for 267,751 square feet in total. At the current aviation land lease
rate of$0.25/sq ft the lease will generate $66,938 annually to the Airport Fund. McCormick Air agrees to
invest $1,900,000 in the property, primarily through the development of two hangars. The investment
must occur within five years of the execution of the amendment. The lease will be extended an additional
20 years. In negotiation on the lease term staff introduced the concept of'lease term investment density,
the concept that lease terms should be based on the level of investment the lessee is making in the
property. The lease term investment density for this agreement is $0.30 sq ft/year. Similar to other
recently completed leases at the Yakima Airport and commensurate with other Eastern Washington
airports.
ITEM BUDGETED: No
STRATEGIC PRIORITY 24-25: A Resilient Yakima
RECOMMENDATION: Adopt Resolution.
ATTACHMENTS:
R-2025- lease_amend_2_to_lease_agmt_2_with_McCormick_Air.docx
McCormick.Lease Amendment 2 Lease 2.pdf
58
RESOLUTION NO. R-2025-
A RESOLUTION authorizing the second lease amendment to Lease Agreement#2 with
Robert Y and Joyce McCormick for property located at 3108 W.
Washington Avenue, Yakima Air Terminal-McAllister Field.
WHEREAS, the City owns and operates Yakima Air Terminal-McAllister Field in
accordance with applicable Federal, State and Local regulations; and
WHEREAS, the airport has property available for lease within parcel number
18133414902, which property is located at 3108 W. Washington Ave., Yakima, Washington
98903; and
WHEREAS, the 2015 Airport Master Plan adopted by City Council identifies the need for
additional hangar development in order to meet increasing demands within the aviation industry;
and
WHEREAS, McCormick Air has indicated the needs for additional Hangars, for aircraft
storage and has proposed a location for the Hangar development that is consistent with the Airport
Master Plan; and
WHEREAS, the City of Yakima and McCormick Air have negotiated a Lease Amendment
that would add 33,263 square feet of property to their existing property; and
WHEREAS, McCormick Air agreed to invest a minimum of$1,900,000 in the development
of the property, all of which is set forth in the "Lease Amendment#2 to Land Lease #2" attached
hereto and incorporated herein by this reference; and
WHEREAS, the City Council has determined that approval of the attached Lease
amendment is in the best interests of the City of Yakima and will promote the purposes of the
Yakima Air Terminal-McAllister Field, now, therefore,
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF YAKIMA:
The City Manager is hereby authorized and directed to execute the attached Lease Amendment
with Robert and Joyce McCormick for Yakima Air Terminal-McAllister Field property located at
3108 W. Washington Avenue, Yakima, Washington 98903 in accordance with the terms set forth
therein.
ADOPTED BY THE CITY COUNCIL this 21st day of October, 2025.
Patricia Byers, Mayor
ATTEST:
Rosalinda Ibarra, City Clerk
59
AMENDMENT#2 TO
LEASE AGREEMENT #2
ROBERT E. &JOYCE McCORMICK
THIS AMENDMENT TO THE AIRPORT LEASE AGREEMENT #2 is made and entered
into by and between the City of Yakima as the owner and operator of Yakima Air Terminal-
McAllister Field, hereinafter referred to for purposes of this Amendment and the
underlying Lease as the "LESSOR", and Robert E. & Joyce McCormick, husband and
wife, hereinafter referred to as "LESSEE":
WHEREAS, the Yakima Air Terminal — McAllister Field, an agency of the City of Yakima
and County of Yakima, Washington, as lessee, and the OPERATOR entered into a lease
Agreement#2 ("Original Lease") at 3202-3210 W Washington Ave.,Yakima, Washington effective
August 26, 2004;
WHEREAS, the parties to the Original Lease entered into that certain Amendment #1 to
Lease Agreement #2 ("Amendment 1") effective March 19, 2012. The Original Lease &
Amendment 1 may collectively be referred to herein as the "Lease";
WHEREAS, the City of Yakima is the successor in interest to Yakima County,
Washington's interest in the Lease. The City of Yakima holds all of the lessor's interest in the
Lease; and
WHEREAS, the parties wish to amend the Lease as follows;
NOW, THEREFORE, in consideration of the mutual covenants, promises, and
agreements set forth herein, it is agreed by and between LESSOR and LESSEE that the lease
shall be amended as follows:
Each party acknowledges this is a new amendment to the Lease between the LESSOR and the
LESSEE. Except as modified herein all terms of the Lease are unchanged and remain in full force
and effect. The Lease in effect at any given time is defined by the underlying Lease and all active
amendments.
This amendment is effective November 1, 2025 through the entirety of the Lease unless further
amended which date shall also be referred to as the "Effective Date" herein.
Yakima Airport—McAllister Field Ground Lease Amendment—Amendment#2 for
McCormick Lease#2 60
a. Replace current paragraph 1. PREMISES with the following:
1. PREMISES:
Lessor does herby lease and let unto Lessee, and Lessee does hereby lease and take
from Lessor, approximately 267,751 square feet of land 3202-3210 W. Washington Ave.
in the City of Yakima, Washington, as is depicted in Exhibit A("Premises") attached hereto,
and by this reference made a part hereof, together with the right of ingress to and egress
from the Premises and the public use areas/facilities used in connection therewith, over
designated Airport property and roadways, subject to federal, state and local rules,
regulations and laws governing the use of the Airport and as the same may be
promulgated by Lessor and/or any governmental entity from time to time. A legal
description of the Premises is attached hereto as Exhibit B and is fully incorporated into
the terms of the Lease.
b. Replace current paragraph 2. TERM with the following:
2. TERM:
A. The tenancy under the Lease shall commence on the as of the Effective Date and
continue for a period of thirty (30) years, terminating on the 1st of November, 2055
("Original Term"), unless otherwise terminated as provided herein.
B. Lessee shall have the option to extend the term by two (2) separate ten (10) year
periods provided Lessee delivers to Lessor written notice of its intent to extend the
term. The written notice shall be provided not less than three-hundred and sixty-five
(365) days (one calendar year) before the expiration of the Original Term or the first
option period, as applicable. Unless Lessee timely delivers its written notification to
Lessor the option(s) shall automatically expire and shall terminate.
c. Replace current paragraph 4. RENT with the following:
3. RENT:
A. Lessee promises and agrees to pay Lessor rent for the property at the Airport's current
Aviation Land rate per square foot of the Premises, to be paid in advance on or before
the 10th day of each month. Payments shall be made to the City of Yakima, Accounts
Receivable, 129 N. 2nd St., Yakima, WA 98901. The Airport's Aviation Land rate per
square foot, as of the date of this Lease, is listed in Section 3(B) of this Lease. Each
payment shall contain the following notation "Rent & Fees for Airport Ground Lease
Agreement." Any rental payments/fees past due shall accrue a delinquency charge of
twelve percent (12(Yo per annum.)
Yakima Airport—McAllister Field Ground Lease Amendment—Amendment#2 for
McCormick Lease#2 61
(1) Lessor shall be entitled, at its sole and complete discretion, to either accept or
reject a tender of payment of rent or any fee which is not paid within the time
required by this Lease. In the event Lessor elects to accept a tender of payment
of rent or fee after the time required by this Lease, Lessor may do so without
thereby waiving Lessee's continuing obligation to make such payments when
required under the terms of this Lease. Lessee hereby acknowledges that this
constitutes a waiver by Lessee of any argument that by accepting a late
payment of rent or fees, Lessor has waived any default which is based upon
such late payment or has waived Lessee's continuing obligation to make such
payments when and as required by the terms of this Lease.
(2) In the event Lessor elects to provide written notice of delinquency or other
violation of the Lease, Lessee agrees to pay Lessor's cost and attorneys' fees
reasonably incurred in providing such notice in addition to the late charge and
all other payments and obligations called for herein.
B. The lease rental rate provided for above shall be determined by the Airport
Rates and Fees which are established and approved by Yakima City Council. These
Rates and Fees are outlined in the City of Yakima Master Fee Schedule and are based
on the fair market value for rental of the subject property. For the purposes of this
lease, the rental rate will be adjusted based on the Aviation Land rate set in the Airport
Rates and Charges. This rate is subject to review and modification upon each
anniversary of this lease. The current rate is $0.25 per square foot at a total monthly
rate of$ 5,578.15 for the 267,751 square feet of land as provided in Exhibit A.
(1) The term "fair market value" means the most probable annual rate in
terms of money which the Premises, (which excludes those improvements
owned by the Lessee), would bring if exposed for lease in the open market for
similarly situated properties, with a reasonable time allowed to find a Lessee,
and with full knowledge of the highest and best use to which the Premises
could be put consistent with the then most current Airport Master Plan and
Federal Aviation Administration ("FAA") regulations.
(2) Airport Rates and Fees are reviewed and adjusted on an annual basis and
approved via resolution by the Yakima City Council. Rental rates are subject
to increase or decrease based on modifications made to the Airport Rates and
Fees.
C. All Lease rates identified above are Lease payment rates for property only and do not
include any taxes of any sort. All applicable taxes, including leasehold taxes, shall be
paid by Lessee and shall by computed on the basis of the Lease rate in effect at the
time the tax is imposed (see Section 6 of the Lease). Any taxes paid by Lessee shall
be in addition to the rent due as described herein.
Yakima Airport—McAllister Field Ground Lease Amendment—Amendment#2 for
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D. In the event the Lease term commences on a date that is not the first day of the month,
respectively, Lessee shall pay a pro-rated amount for the first month of the Lease.
E. Failure to calculate and apply the rental increase for any year shall not be considered
a waiver of an increase for any succeeding year and Lessee will be subject to back-
pay if determined by the Lessor, based on the rental increase.
F. Lessee understands and agrees that the installation of a fire hydrant is required for the
completion of the improvements on the Premises. The Lessor is responsible to
construct the hydrant. The hydrant installation shall include the installation of a water
line from Washington Ave. to the Premises and all other aspects required for
installation of a new fire hydrant. Lessee agrees to the installation and shall provide
Lessor, or Lessor's designee/contractor, access to the Premises for installation. Any
delay in the installation shall not be a default under the terms of this Lease. Lessee
understands that an easement may be recorded, in the sole discretion of Lessor,
burdening the Premises for installation and maintenance of utilities, including, but not
limited to the fire hydrant and the water/utility line(s) for the same. Lessee agrees that
its interest, and any interest of a subtenant of lessee, shall be subordinate to any such
easement. Lessee shall ensure that any sublease of the Premises contain a provision
acknowledging and subordinating to any such easement. Lessee, and any subtenant
of Lessee, shall execute, at the request of Lessor, additional document(s) evidencing
such subordination.
G. Property Investment: In addition to all other payments due from Lessee to
Lessor under this Lease, the Lessee shall make an investment in the Premises in the
aggregate sum of no less than $1,900,000.00. This investment shall be in the form of
the development and construction of two (2) hangars on construction sites located on
the Premises, including, but not limited to, all infrastructure to the hangars and paving.
The monetary value of the investment shall be determined by the actual costs of
construction incurred by Lessee and the submittal of receipts as evidence of the
level of expenditures. The hangar construction sites are labeled on Exhibit A as
Hangar#9 and Hanger#10. This Property Investment shall be fully completed no later
than five (5) years from the effective date of this Amendment #2. Until such time as
the terms and conditions of this Paragraph 3(G) are fully met, Lessee shall provide
written documentation of the status of the construction and receipts supporting the
financial investment ("Reporting") within ten (10) days of a request by Lessor and no
less than annually during the term of the Lease. Failure of Lessee to timely complete
the investment or to provide required Reporting shall be deemed a default under the
terms of the Lease. Hangars built on the Premises and all components of the same
shall not be deemed trade fixtures for the purposes of the Lease.
d. Replace current paragraph 20. INSURANCE with the following:
20. INSURANCE:
At all times during performance of the Lease, Lessee shall secure and maintain in effect
insurance to protect the Lessor and the Lessee from and against all claims, damages,
losses, and expenses arising out of or resulting from the performance of this Lease.
Yakima Airport—McAllister Field Ground Lease Amendment—Amendment#2 for
McCormick Lease#2 63
Lessee shall provide and maintain in force insurance in limits no less than that stated
below. Lessor reserves the right to require higher limits should it deem it necessary in the
best interest of the public. Lessee will provide a Certificate of Insurance to Lessor as
evidence of coverage for each of the policies and outlined herein. A copy of the additional
insured endorsement attached to the policy will be included with the certificate. This
Certificate of insurance shall be provided to Lessor prior to Lessee taking possession of
the Premises.
Failure of Lessor to demand such verification of coverage with these insurance
requirements or failure of Lessor to identify a deficiency from the insurance documentation
provided shall not be construed as a waiver of Lessee's obligation to maintain such
insurance.
Lessee's insurance coverage shall be primary insurance with respect to those who are
additional insureds under this Lease. Any insurance, self-insurance or insurance pool
coverage maintained by Lessor shall be in excess of and in addition to the Lessee's
insurance and neither Lessor nor its insurance providers shall contribute to any
settlements, defense costs, or other payments made by Lessee's insurance. All additional
insured endorsements required by this Section shall include an explicit waiver of
subrogation.
If at any time during the life of the Lease, or any extension, Lessee fails to maintain the
required insurance in full force and effect, this shall be deemed a material breach by
Lessee entitling Lessor to its remedies under this Lease and at law. Any failure to maintain
the required insurance shall be sufficient cause for Lessor to terminate the Agreement.
Failure of Lessor or any of the additional insureds to report a claim under any insurance
policy required by this Lease shall not prejudice the rights of Lessor, its officers,
employees, agents, and representatives thereunder. Lessor, and its elected officials,
officers, principals, employees, representatives, and agents shall have no obligation for
payment of premiums because of being named as additional insureds under any policy.
The following insurance is specifically required:
A. Commercial Liability Insurance. Before this Lease is fully executed by the parties,
LESSEE shall provide the City with a certificate of insurance as proof of commercial
liability insurance with a minimum liability limit of Two Million Dollars ($2,000,000.00) per
occurrence combined single limit bodily injury and property damage, and Four Million
Dollars ($4,000,000.00) general aggregate. This insurance requirement can be satisfied
with a combination of commercial general liability insurance and excess or umbrella
liability insurance coverage. If Lessee carries higher coverage limits, such limits shall be
shown on the Certificate of Insurance and Endorsements and the City of Yakima and the
Yakima Air Terminal, its elected officials, officers, agents, and employees shall be named
as additional insureds for such higher limits. The certificate shall clearly state who the
provider is, the coverage amount, the policy number, and when the policy and provisions
provided are in effect. Said policy shall be in effect for the duration of this Lease. The
policy and Endorsements shall name the City of Yakima and the Yakima Air Terminal, its
elected and appointed officials, officers, agents, attorneys, volunteers and employees as
additional insureds. The policy shall contain a clause providing that the provider will not
cancel or change the policy without giving the Lessor prior written notice. The Lessee
Yakima Airport—McAllister Field Ground Lease Amendment—Amendment#2 for
McCormick Lease#2 64
shall not cancel or change the insurance without first giving Lessor thirty (30) calendar
days prior written notice. The insurance shall be with an insurance company or
companies rated A-VII or higher in Best's Guide and admitted in the State of Washington.
B. Property Insurance. Before this Lease is fully executed by the parties, Lessee
shall provide the Lessor with a certificate of insurance as proof of property insurance
coverage in the minimum of Four Million Dollars ($4,000,000.00) covering loss of use or
income due to damage to the subject Premises. The certificate of insurance and
additional insured endorsement shall name the Lessor, its elected and appointed officials,
employees, agents, attorneys and volunteers as additional insureds. The policy shall
contain a clause providing that the provider will not cancel or change the policy without
giving the Lessor prior written notice. The Lessee shall not cancel or change the
insurance without first giving Lessor thirty (30) calendar days prior written notice.
C. Course of Construction Insurance Coverage and Business Interruption Insurance
Coverage. In the event Lessee makes improvements to the Premises which, under the
Lessor's opinion requires Course of Construction Insurance Coverage and Business
Interruption Insurance Coverage, Lessee also shall cause its general contractor to carry
$2,000,000.00 of Course of Construction or Builder's Risk coverage for improvements
being made by the Lessee and the existing structure, or more in the event Lessor deems
it necessary to require a higher coverage for such improvements. Business interruption
or loss of use coverage shall also be provided in an amount not less than $1,000,000.00,
and in an amount agreed upon in advance by the City. The Lessor shall be named as a
loss payee on said policies. Lessee shall provide the Lessor with a certificate of
insurance as proof that this insurance coverage has been met before construction on the
Premises begins.
D. Automobile Liability Insurance. Before this Lease is fully executed by the parties
and to the extent Lessee has or will have any vehicles on the Premises or common areas,
Lessee shall provide Lessee with a certificate of insurance as proof of automobile liability
insurance and personal umbrella liability insurance with a minimum liability limit of Two
Million Dollars ($2,000,000.00) per occurrence. The policy will apply to "Any Auto" and
be shown on the certificate. The certificate shall clearly state who the provider is, the
coverage amount, the policy number, and when the policy and provisions provided are in
effect. Said policy shall be in effect for the duration of this Agreement. The certificate of
insurance and additional insured endorsement shall name the Lessor, its elected and
appointed officials, employees, agents, attorneys and volunteers as additional insureds.
The policy shall contain a clause providing that the provider will not cancel or change the
policy without giving the Lessor prior written notice. The Lessee shall not cancel or
change the insurance without first giving Lessor thirty (30) calendar days prior written
notice. The insurance shall be with an insurance company or companies rated A-VII or
higher in Best's Guide and admitted in the State of Washington. The business auto
liability shall include Hired and Non-Owned coverage if necessary.
E. Employer's Liability (Stop Gap). The Lessee and any and all agents, employees,
and representatives of the same shall at all times comply with all applicable workers'
compensation, occupational disease, and occupational health and safety laws, statutes,
and regulations to the full extent applicable, and shall maintain Employer's Liability
insurance with a limit of no less than $1,000,000.00. Lessor shall not be held responsible
in any way for claims filed by the Lessee or its employees, agents or representatives for
services performed under the terms of this Lease. The Lessee agrees to assume full
Yakima Airport—McAllister Field Ground Lease Amendment—Amendment#2 for
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liability for all claims arising from this Lease including claims resulting from negligent acts
of all agents, employees, and representatives. The Lessee is responsible to ensure
subcontractor(s), agent(s), and representative(s) have insurance as needed. Failure of
subcontractor(s), agent(s), and representative(s) to comply with insurance requirements
does not limit the Lessee's liability or responsibility.
e. New paragraph 32. OFFICIAL NOTIFICATIONS:
32. OFFICIAL NOTIFICATIONS:
All notices, requests and other communication under the Lease shall be effectively given
only if in writing and sent by United States certified mail, returned receipt requested,
postage prepaid, or by nationally recognized and receipted overnight courier service (e.g.
FedEx, UPS, DHL, or Airborne Express) guaranteeing next business day delivery,
addressed as follows:
If to Lessor: AIRPORT DIRECTOR
Yakima Air Terminal — McAllister Field
2406 W. Washington Ave, Suite B
Yakima, WA 98903
(509) 575-6149
If to Lessee: Robert E. &Joyce McCormick
3210 W WASHINGTON AVE
YAKIMA, WA 98903
509-248-1680 (Office)
509-945-2219 (Cell)
Rob@McCormickaircenter.com
f. New paragraph 33. RECORDS, INSPECTION & PRODUCTION:
33. RECORDS, INSPECTION & PRODUCTION:
Lessee shall maintain (in accordance with generally accepted accounting practices)
books, accounts, records, documents and other materials ("Records") related directly or
indirectly to the costs, expenses, and expenditures incurred and/or made pursuant to this
Lease.
The Records shall, at all times, be subject to inspection by and with the approval of Lessor.
The making of (or failure or delay in making) such inspection or approval by Lessor shall
not relieve Lessee of responsibility for performance in accordance with this Lease,
notwithstanding Lessor's knowledge of defective or non-complying performance, its
substantiality or the ease of its discovery. Lessee shall provide Lessor sufficient, safe,
and proper facilities, and/or send copies of the requested documents to Lessor. The
Lessee's Records relating to this Lease will be provided to Lessor upon the request of
Lessor.
Lessee shall promptly furnish Lessor with such information and records which are related
to this Lease as may be requested by Lessor. All records relating to the Lessee's
obligations under this Lease must be made available to Lessor, and the records relating
to the Lessee's obligations under this Lease are City of Yakima records. Such records
Yakima Airport—McAllister Field Ground Lease Amendment—Amendment#2 for
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must be produced to third parties, if required pursuant to the Washington State Public
Records Act, Chapter 42.56 RCW, or by law.
All records relating to the Lessee under this Agreement must be retained by the Lessee
for the minimum period of time required pursuant to the Washington Secretary of State's
records retention schedule. If any litigation, claim or audit is started before the expiration
of the of the minimum period of time required pursuant to the Washington Secretary of
State's records retention schedule, the records shall be retained until all litigation, claims,
or audit findings involving the records have been fully resolved.
The terms of this section shall survive any expiration or termination of this Agreement.
g. New paragraph 34. REGULATIONS & FAA GRANT ASSURANCE COMPLIANCE:
34. REGULATIONS & FAA GRANT ASSURANCE COMPLIANCE:
A. Lessee agrees to comply with all applicable laws, ordinances, rules, regulations,
minimum standards, federal grant assurances, and policies of all governmental
authorities having jurisdiction over the Airport, including policies adopted by Lessor,
as such laws, ordinances, rules, regulations and policies apply to the use and
operation of Airport property, facilities and operations as those laws, ordinances, rules,
regulations and policies now exist or may hereafter become effective. Lessee further
agrees to accept responsibility for not allowing unauthorized persons access to the
Airport Operations Area ("AOA").
Lessee understands and agrees that Lessor is responsible, as an airport sponsor, for
compliance with the Federal Aviation Administration ("FAA") grant assurances ("Grant
Assurances"). A copy of the Grant Assurances is attached hereto as Exhibit D and is
fully incorporated by this reference. Lessee agrees that it has read and is familiar with
the Grant Assurances. Lessee shall use and occupy the Premises in a manner that is
consistent with and in compliance with the Grant Assurances. If at any time the terms
of this Lease or the actions or inactions of Lessee are not in compliance with the Grant
Assurances, this shall be deemed a material default under the terms of this Lease and
Lessor may immediately terminate the Lease.
B. Lessee shall comply with all laws and shall observe all applicable present or future
ordinances, rules and regulations, including any rules and regulations adopted by the
Lessor, and any future amendments thereto (which rules and regulations may include,
without limitation, an Airport Security Plan, restrictions as to storage, noise, prohibited
activities, and design standards), which are made part of this Lease and shall have
the same effect as though written herein. Lessee understands and agrees that Lessor
may amend the rules and regulations applicable to Airport property (of which the
Premises is a part), and that such amendments shall be binding upon Lessee. If there
is a conflict between the rules, regulations, ordinances or minimum standards of the
Lessor and this Lease, the rules, regulations, ordinances, or minimum standards shall
control.
Specifically, and not by way of limitation, the Lessee shall also comply with the
following rules and regulations pertaining to hangar storage:
Yakima Airport—McAllister Field Ground Lease Amendment—Amendment#2 for
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(1) The use of the Premises shall be limited solely to storage of aircraft and routine
maintenance of the aircraft stored on the Premises;
(2) Lessee shall not store gasoline, explosives, or hazardous substance as defined in
Section 35 in the Premises;
(3) Lessee agrees to keep the Premises secured at all times when not in use;
(4) Lessee shall keep the Premises clean and free of debris and clutter;
(5) Lessee shall not park or leave an aircraft, vehicle, or other items of personal
property on the pavement adjacent to the Premises, including taxilane and areas
of common use with other Lessees of the Lessor for longer than as reasonably
needed to conduct the allowed use of the Premises as provided for in Paragraph
7 of the Lease;
(6) Lessee shall not conduct any business from the Premises, including, but not limited
to, charter, rental, repair, or instructional services, without the advance written
consent of the Lessor or as may be reasonably allowed in the Lessee's role as
Fixed Base Operator;
(7) Lessee, and any employees, agents, or representatives of Lessee, must apply for
and obtain a complete Airport Badge and any other training reasonably required
by the Airport prior to obtaining access to the Premises. Lessee and any
employees, agents, or representative of Lessee, must also successfully pass a
Federal Security Threat Assessment (STA).
(8) Lessee must keep all contact information and identification information of any
aircraft kept in the hangar current with the Lessor
C. Lessee, at Lessee's sole expense, shall comply with all laws, orders and regulations
of Federal, State and municipal authorities, and shall specifically comply with all health,
safety and security codes applicable to the use of the Premises, and shall comply with
any direction of any public officer, pursuant to law, which shall impose any duty upon
the Lessor or the Lessee with respect to the Premises. The Lessee, at Lessee's sole
expense, shall obtain all licenses or permits which may be required for the conduct of
Lessee's business within the terms of this Lease, or for the making of repairs,
alterations, improvements, or additions at the discretion of the Lessor, Lessor, at
Lessee expense and when appropriate and reasonably necessary, may join the
Lessee in applying for such permits or licenses.
D. The access to the parcel upon which the Premises sits may be shared and is non-
exclusive. In addition, the Lessee agrees that the access may be gated at a location
determined by the Lessor, which may be relocated by Lessor, as Lessor determines,
so long as Lessee continues to have reasonable access to and from the Premises.
Yakima Airport—McAllister Field Ground Lease Amendment—Amendment#2 for
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E. In order to comply with Homeland Security requirements or other considerations, the
Lessor may install fencing, which due to topography, or other practical considerations
(at the sole discretion of the Lessor), may encroach into the Premises or alter the
current access to the Premises. As a material part of the consideration to Lessor for
entering this Lease, the Lessee hereby waives any and all claims arising from or
associated with the installation or future relocation of any such fence.
h. New paragraph 35. PRESENCE AND USE OF HAZARDOUS SUBSTANCES:
35. PRESENCE AND USE OF HAZARDOUS SUBSTANCES:
All hazardous substances shall be stored in accordance with all legal regulations
regarding storage of hazardous substances and Lessee shall store on or around the
Premises only those amounts of hazardous substances that are necessary for
maintenance and operation of aircraft and in no case in amounts greater than permitted
by any legal regulation. "Hazardous substances" shall include those substances
designated as, or containing components designated as hazardous, dangerous, toxic or
harmful and/or which are subject to regulation by any federal, state or local law,
regulation, statute or ordinance. For purposes of this Lease, all aircraft fuels shall be
considered hazardous substances.
A. With respect to any hazardous substance, Lessee shall:
(1) Comply promptly, timely, and completely with all governmental requirements for
reporting, keeping and submitting manifest, and obtaining and keeping current
identification numbers;
(2) Submit to Lessor true and correct copies of all reports, manifests and identification
numbers at the same time as they are required to be and are submitted to the
appropriate governmental authorities;
(3) Within five (5) days of Lessor's request, submit written reports to Lessor regarding
Lessee's use, storage, treatment, transportation, generation, disposal or sale of
hazardous substances and provide evidence satisfactory to Lessor of Lessee's
compliance with the applicable governmental regulations;
(4) Allow Lessor or Lessor's agents or representatives to enter the Premises, after
reasonable notice, to check Lessee's compliance with all applicable governmental
regulations regarding hazardous substances;
(5) Comply with minimum levels, standards or other performance standards or
requirements which may be set forth or established for certain hazardous
substances (if minimum standards or levels are applicable to hazardous
substances present on the Premises, these levels or standards shall be
established by an on-site inspection by the appropriate governmental authorities
and shall be set forth in an addendum to this Lease);
Yakima Airport—McAllister Field Ground Lease Amendment—Amendment#2 for
McCormick Lease#2 69
(6) Comply with all governmental rules, regulations and requirements regarding the
proper and lawful use, sale, transportation, generation, treatment and disposal of
Hazardous Substances.
(7) Lessor shall have the right, at reasonable times and upon reasonable notice to
Lessee, to inspect the Premises to monitor Lessee's compliance with this
Paragraph. Lessee shall reimburse Lessor for any costs or expenses paid by
Lessor to third parties (non-Lessor employees, including Lessor's retained
inspectors, engineers, consultants, etc. or representatives of government
entities). If an inspection reveals the use or presence of hazardous substances
requiring clean-up or other action, then Lessee shall pay, as part of the clean-up
costs incorporated in Section 28(B)(3) below, Lessor's actual costs, including
reasonable attorney's fees and costs, incurred in making or providing for the
clean-up required and any follow-up inspections.
B. With respect to any cleanup costs, default and indemnification, Lessee shall:
(1) Be fully and completely liable to Lessor for any and all clean-up costs and any
and all charges, fees, penalties (civil and criminal) imposed by any governmental
authority with respect to Lessee's use, disposal, transportation, generation and/or
sale of Hazardous Substances, in or about the Premises.
(2) Indemnify, defend and hold Lessor harmless from any and all costs, fees,
penalties and charges assessed against or imposed upon Lessor including Lessor's
reasonable attorney's fees and costs as a result of Lessee's use, disposal,
transportation, generation and/or sale of hazardous substances.
(3) Upon Lessee's default under this Paragraph, in addition to the rights and remedies
set forth elsewhere in this Lease, Lessor shall be entitled to the following rights and
remedies:
a. At Lessor's option, to terminate this Lease immediately; and
b. To recover any and all damages (including Lessor's expectancy and
consequential damages) associated with the default, including, but not
limited to clean-up costs and charges, civil and criminal penalties and fees,
loss of business, sales and rents, by Lessor and any and all damages and
claims asserted by third parties together with reasonable attorney's fees
and costs.
Yakima Airport—McAllister Field Ground Lease Amendment—Amendment#2 for
McCormick Lease#2 70
LESSOR
CITY OF YAKIMA
AIRPORT
YAKIMA AIR TERMINAL— MCALLISTER FIELD
2406 W. Washington Avenue, Suite B
Yakima, Washington 98903
By: Date:
Victoria Baker, City Manager
ATTEST:
By:
Rosalinda Ibarra, City Clerk
STATE OF WASHINGTON )
) ss
County of Yakima )
I certify that I know or have satisfactory evidence that signed this instrument,
on oath stated that they are authorized to execute the instrument and acknowledged it as the City
Manager of the City of Yakima, Washington to be the free and voluntary act of such party for the
uses and purposes mentioned in the instrument.
Date
By:
Notary Public for the State of Washington
Residing at:
Appointment Expires
Yakima Airport—McAllister Field Ground Lease Amendment—Amendment#2 for
McCormick Lease#2 71
LESSEE
ROBERT E. &JOYCE L. McCORMICK
3210 W WASHINGTON AVE
YAKIMA, WA 98903
Robert E. McCormick Date
Joyce L. McCormick Date
STATE OF WASHINGTON )
) ss
County of YAKIMA )
I certify that I know or have satisfactory evidence that Robert E. McCormick signed this instrument
and acknowledged it to be his free and voluntary act for the uses and purposes mentioned in the
instrument.
Date
By:
Notary Public for the State of WASHINGTON
Residing at:
Appointment Expires
STATE OF WASHINGTON )
) ss
County of YAKIMA )
I certify that I know or have satisfactory evidence that Joyce L. McCormick signed this instrument
and acknowledged it to be his free and voluntary act for the uses and purposes mentioned in the
instrument.
Date
By:
Notary Public for the State of WASHINGTON
Residing at:
Appointment Expires
Yakima Airport—McAllister Field Ground Lease Amendment—Amendment#2 for
McCormick Lease#2 72
EXHIBIT A
LEASE LEGAL DESCRIPTION
That portion of the Northeast Quarter of Section 34, Township 13 North, Range 18 East, W.M.
described as follows: Beginning at the Southeast corner of the Northeast Quarter of said Section
34; thence North 0°23'40" East, along the East line of said Section 34, 634.91 feet; thence North
79°00'10" West 234.55 feet to the True Point of Beginning; thence continuing North 79°00'10"
West 13.44 feet; thence South 12°26'44" West 132.86 feet; thence North 69°50'50" West 593.66
feet; thence North 70°07'02" West 106.47 feet; thence North 19°52'58" East 129.71 feet; thence
South 70°07'02" East 107.30 feet; thence North 20°14'52" East 235.68 feet to the Southerly
right of way line of Washington Avenue; thence South 79°00'08" East, along said right of way
line, 545.63 feet to a point bearing North 11°15'35" East from the True Point of Beginning;
thence South 11°15'35" West 322.28 feet to the True Point of Beginning;
TOGETHER WITH That portion of the Northeast Quarter of said Section 34 described as
follows: Beginning at the Southeast corner of the Northeast Quarter of said Section 34; thence
North 0°23'40" East, along the East line of said Section 34, 634.91 feet; thence North 79°00'10"
West 247.99 feet; thence South 12°26'44" West 132.86 feet; thence North 69°50'50" West
593.66 feet; thence North 70°07'02" West 146.47 feet to the True Point of Beginning; thence
continuing North 70°07'02" West 150.00 feet; thence North 19°52'58" East 129.71 feet; thence
South 70°07'02" East 150.00 feet to a point bearing North 19°52'58" East from the True Point of
Beginning; thence South 19°52'58" West 129.71 feet to the True Point of Beginning.
Yakima Airport—McAllister Field Ground Lease Amendment—Amendment#2 for
McCormick Lease#2 73
EXHIBIT A
l N w� NE CDR.SEC.34
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woi aTEW.E � 499,06.
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O wn ~4kwwPo ro°',�rv. u;-�- LEASE AREA 3 �CONMCN AAIRPCRiESS I WA • Me g 267.651i S.F. Pro° lMSh'.n"n rvry^'
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rn
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,.r NOTE 34-� @
`..,�' `�`' E 113/4 NOR.SEC. AA .,
BEARINGS AND DISTANCES IN PARENTHESIS()ARE i-13 N,R-18 E,PIN
FROM PREVIOUS LEASE EXHIBIT PREPARED BY 1-1/2-SOLID PIN
4l. 4 HUIBREGTSE,LOUMAN ASSOCIATES,INC. IN CONC.FOUND 3
3
7
A
BO 0 PO FEET
XA .. = PLS A ENGISEERPIG-SURVEYING-PLANNING -
MO WEST LINCOLN AVENUE
YAKIMA.WASHINGTON 95902 I
(5091 575-5990
LEASE EXHIBIT DRAM 8v- RICK 1
�/ VAKINA AIR-ERMINAL DATE' 9/4/2025 2
��H�JC,, -PREPARED FOR- Jo.ND.29053,'sl
ROBERT McCORMICK SHEET NO. g
5 1/2,NE 1/4,SEC.34,T-13 N,R-18 E,WM 1 of 1 I
Yakima Airport—McAllister Field Ground Lease Amendment—Amendment#2 for 15
McCormick Lease#2 74