HomeMy WebLinkAbout09/18/2018 06H Airport Car Rental Agreement with Hertz Corporation dba Hertz Rent-A-Car1
BUSINESS OF THE CITY COUNCIL
YAKIMA, WASHINGTON
AGENDA STATEMENT
Item No. 6.H.
For Meeting of: September 18, 2018
ITEM TITLE: Resolution authorizing Rent-A-Car agreement between the Yakima
Air Terminal -McAllister Field and The Hertz Corporation dba Hertz
Rent-A-Car
SUBMITTED BY: Robert K. Peterson, Airport Director, 509-575-6149
SUMMARY EXPLANATION:
The Yakima Air Terminal -McAllister Field has various concessions/businesses that operate inside
the airport terminal to provide passengers and the surrounding community with a range of
services. The airport currently has two Rent-A-Car concessions which provide passengers with
rental options for vehicles, trucks, and moving vans.
In order to provide these services the Rent-A-Car concessions lease parking lots, a ticket
counter located in the main terminal adjacent to baggage claim and office space located in the
terminal to manage their operations. Leases with the Rent -A -Cars are 5 year agreements to
assure consistency for passengers traveling through airport facilities.
Traditionally, commercial services airports the Rent-A-Car concessions are one of the top
revenue generators as they support both arriving passengers and the surrounding
community. These revenues are collected from the following sources:
• Square foot lease for ticket counter space
• Concession Fees - 10% of the Gross Revenues
• Square foot lease for parking lots located East of the main terminal
• Overflow parking adjacent to the airport administration building
ITEM BUDGETED:
Yes
STRATEGIC PRIORITY: Economic Development
APPROVED FOR
SUBMITTAL:
City Manager
STAFF RECOMMENDATION:
Adopt Resolution
BOARD/COMMITTEE RECOMMENDATION:
ATTACHMENTS:
Description Upload Date
0 Resolution 8/29/2018
D Agreement 8/30/2018
Type
Resc ution
ac
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RESOLUTION NO. R -2018 -
RESOLUTION authorizing the City Manager to execute a Car Rental Agreement with The Hertz
Corporation dba Hertz Rent-A-Car.
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 181335-24018,
which property is located inside the main terminal building located at 2300 West Washington Avenue;
and
WHEREAS, the Yakima Air Terminal -McAllister Field advertised the need for Rent-A-Car
concessions under a competitive bidding process and received three bids that were thoroughly
evaluated by a selection committee; and
WHEREAS, the selection committee has identified The Hertz Corporation dba Hertz Rent-A-Car
as one of the potential Rent-A-Car companies that will furnish efficient, first-class rental car service
while meeting the demands of the Yakima Air Terminal -McAllister Field and travelers coming to the
Yakima Valley; and
WHEREAS, the City of Yakima and The Hertz Corporation dba Hertz Rent-A-Car have
negotiated a lease that includes a license to occupy and operate a Rent-A-Car company within the air
terminal, thereby providing the Yakima Air Terminal -McAllister Field passengers and the Yakima Valley
with reliable Rent-A-Car service, all of which is set forth in the "Car Rental Lease Agreement" attached
hereto and incorporated herein by this reference; and
WHEREAS, the City Council has determined that approval of the attached lease agreement 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 and administer the attached and
incorporated Car Rental Lease Agreement with The Hertz Corporation dba Hertz Rent-A-Car for the
lease of Yakima Air Terminal -McAllister Field property located at 2300 West Washington Avenue in
accordance with the terms set forth therein.
ADOPTED BY THE CITY COUNCIL this 18th day of September, 2018.
ATTEST: Kathy Coffey, Mayor
Sonya Claar Tee, City Clerk
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YAKIMA AIR TERMINAL-MCALLISTER FIELD
CAR RENTAL AGREEMENT
THE HERTZ CORPORATION dba HERTZ CAR RENTAL
THIS AGREEMENT, executed this 1St day of October, 2018, between the YAKIMA AIR
TERMINAL - McALLISTER FIELD, A department of the City of Yakima, Washington, hereinafter
referred to as "LESSOR," and THE HERTZ CORPORATION dba HERTZ CAR RENTAL, a
Washington corporation hereinafter referred to as "OPERATOR":
WITNESSETH:
WHEREAS, car rental services at the LESSOR are essential for proper ground transportation of
passengers arriving at and departing from the LESSOR,
NOW THEREFORE, in consideration of the concession rights granted herein and the mutual
covenants and agreements hereinafter contained, the parties hereto agree, for themselves, their
successors and assigns, as follows:
1. CONCESSION RIGHTS GRANTED:
OPERATOR is hereby awarded a concession to operate a rental car business at the
LESSOR in common with others having similar agreements with the LESSOR for the
sole purpose of arranging and providing rental car services. OPERATOR shall not
conduct any other business at the LESSOR without the prior written consent of the
LESSOR.
OPERATOR shall conduct said rental car business in a first-class manner continuously
during the entire term of the Agreement. OPERATOR agrees it will not disturb the
LESSOR or any other tenant, or person using the LESSOR, make or permit any
disturbance or any unusual noise, vibration or other condition on or at the LESSOR.
It is understood and made a specific condition of this Agreement that the OPERATOR is
the holder of a license, franchise, agency agreement or other form of consent from
HERTZ CAR RENTAL and shall do business at the LESSOR under the trade name and
style of that company.
2. DEFINITIONS:
The following terms and phrases shall have the following meanings for purposes of this
Concession and Agreement:
Gross Revenues shall mean cash receipts derived from the time and mileage charges,
including credit transactions derived from the rental of cars in OPERATOR's car fleet
when delivered to the customer at the airport or where the rental contract was entered
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into at the airport even though the automobile is delivered elsewhere, whether returned
to the airport or not.
a. Gross Revenues shall include the following sales by Operator to its
customers:
1. Vehicle rental
2. Mileage charges
3. Fuel charges
4. Drop charges
5. Tow charges
6. Protection products, such as Collision Damage Waiver (CDW),
Personal Accident Insurance (PAI), Personal Effects Coverage (PEC)
and Supplemental Liability Protection (SLP).
b. The term "gross revenues" shall not include:
1. The amount of any federal, state or local taxes separately stated or
collected by OPERATOR from its customers.
2. Any sums received from damage to cars or other properties of
OPERATOR.
3. Payments for loss, conversion or abandonment of cars, or amounts
paid by customers of OPERATOR as additional charges for waiver by
OPERATOR of its rights to receive from customers any damages to
rented cars.
4. Amounts paid by customers of OPERATOR as additional charges on
one-way rentals to cover the cost of returning rented cars to the
airport.
5. Sums received by reason of OPERATOR's disposal of capital assets
or trade fixtures.
Transaction Fee means the fees charged by the LESSOR and required to be collected
by OPERATOR from its customers for each twenty-four (24) hour period or fraction
thereof that a Vehicle is rented under a rental agreement, regardless of the ownership,
area fleet or location assignment of the vehicle and without regard to the manner in
which, or place at which, the vehicles are furnished to the customer and without regard
to whether the vehicles are returned to the Airport or some other location. The
transaction fee is at all times the property of the LESSOR and collected by OPERATOR
as an agent in trust for the LESSOR. The LESSOR recognizes OPERATOR provides a
one (1) hour grace period for customers and if exercised the OPERATOR is not required
to collect an additional transaction fee from customer.
Location shall mean a place where motor vehicles owned or leased by OPERATOR for
commercial rental are delivered, parked, stored, fueled, washed or maintained by
OPERATOR or its employees; or, where OPERATOR'S employees or officials are
present to transact OPERATOR'S business and/or do transact such business; or, where
OPERATOR'S logo is displayed; or that is advertised for the transaction of
OPERATOR'S business; or, that is equipped for the transaction of business by an
OPERATOR computer terminal, business telephone, FAX or telex; or, where commercial
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rental car transactions are conducted in any manner whatsoever. The subject of this
Agreement is the "LESSOR Location".
Rental Car or Motor Vehicles shall mean motor vehicles designed primarily for the
carriage of passengers and commonly classified as sedans, coupes, convertibles,
station wagons, four-wheel drive vehicles, passenger vans, sports utility vehicles, 15
passenger vans, moving trucks. OPERATOR shall not park, store on or lease from the
LESSOR premises any vehicles except motor vehicles as defined herein that it owns or
leases and are properly available for rental as provided herein; except for bona fide
employee vehicles.
3. PREMISES:
A. COUNTER SPACE: LESSOR hereby grants to OPERATOR counter space in
the LESSOR Terminal Building as that property is depicted on the drawing marked
Exhibit "A" (Premises), attached hereto and by this reference made a part hereof.
B. PARKING AREA — EAST OF TERMINAL: LESSOR hereby makes available to
OPERATOR, in common with all other car rental tenants, the Rental Car Parking Area
as that property is depicted on the drawing marked Exhibit "B" attached hereto and by
this reference made a part hereof.
C. OVERFLOW PARKING AREA — 2406 W Washington Ave: LESSOR hereby
makes available to OPERATOR, in common with all other car rental tenants, the
Overflow Rental Car Parking Area as that property is depicted on the drawing marked
Exhibit "C" attached hereto and by this reference made a part hereof.
4. TERM:
The term of this Agreement shall commence on October 1, 2018 and shall terminate on
September 301h, 2023, unless otherwise terminated as provided for herein.
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5. RENTS AND FEES:
OPERATOR promises and agrees to pay the following in advance on or before the 15th
day of each month. Payments shall be made to the City of Yakima, Accounts
Receivable, 129 N. 2nd St, Yakima, WA 98901. Any payment past due shall accrue a
delinquency charge of twelve percent (12%) per annum.
1. Counter Space — $1,020.87/Month based on square footage on the first floor
terminal building as set in the rates and charges. The lease rental rate as
provided for above shall be subject to review, modification and/or reset
annually whenever the Rates & Charges are set/reset by City Council, and
the rate per square foot shall be set at the then current first floor terminal
building as published in the Rates & Charges.
2. Concession Fee — (All vehicles and non -owned trucks) - Ten percent (10%)
of the gross receipts plus a state leasehold tax currently established at
12.84% of rent.
3. Car Rental Parking East of terminal based on the current commercial square
foot land rate. The lease rental rate as provided for above shall be subject to
review, modification and/or reset annually whenever the Rates & Charges are
set/reset by City Council, and the rate per square foot shall be set at the then
current first floor terminal building as published in the Rates & Charges.
4. Car Rental Overflow Parking - 15 parking spaces at a rate of $20 per vehicle
parking space per month. Location outlined in Exhibit C.
5. Transaction Fee: $5.00 (Five Dollars) on each transaction plus a state
leasehold tax currently established at 12.84% of rent.
6. ADDITIONAL OBLIGATIONS OF OPERATOR:
The OPERATOR hereby covenants and agrees:
A. To furnish prompt, efficient, first-class rental car service which is adequate to meet all
reasonable demands for its operation at the LESSOR.
B. That the rental cars used by the OPERATOR at the LESSOR shall be maintained, at
the OPERATOR'S sole expense, in good, safe and operative order, free from known
mechanical defects, and in a clean, neat and attractive condition, inside and outside.
C. That the facilities and services to be provided by the OPERATOR for the purpose of
providing rental car service at the LESSOR shall remain open and staffed for such
periods during each day, and such days during each week, as may be necessary to
meet reasonable demands for said service. At a minimum, the facilities and services
provided shall be open seven (7) days per week from 8:OOam-6:OOpm.
D. That the personnel performing services at the LESSOR shall be neat, clean and
courteous. The OPERATOR shall not permit its agents, servants or employees to
conduct business in a loud, noisy, boisterous, offensive or objectionable manner, or to
solicit business at the LESSOR in any manner whatsoever except through the use of
approved signs as defined in Section 13.
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E. That it shall observe and comply with any and all applicable Federal, state and local
laws, statutes, ordinances, regulations and standards and shall abide by and be subject
to all reasonable rules and regulations which are now, or may, from time to time, be
promulgated by the LESSOR concerning management, operation or use of the
LESSOR. The OPERATOR shall obtain and keep in force all permits required by law for
operation of the rental car business.
F. That it will meet all expenses in connection with its operation at the LESSOR, and the
rights and privileges herein granted, including, without limitation by reason of
enumeration, taxes, permit fees, license fees and assessments lawfully levied or
assessed upon the OPERATOR, and that it will secure all such permits and licenses.
G. That it shall not engage in any business or other activity that will divert customers
from the LESSOR to an off-site office, parking lot, garage, etc., for any purpose
whatsoever, including, but not limited to, writing of sales agreements off the LESSOR
premises. If the LESSOR believes, in its opinion, that the OPERATOR is engaging in
such diversion business or other activity described hereinabove, it reserves the right to
inspect off -LESSOR office records. Failure to permit such inspection or rectify any
violations provided herein shall be subject to the LESSOR's right to terminate as
specified in Section 23, herein. In addition, the LESSOR shall have the right to include
such business or other activity within the definition of gross revenues and the right to
recover any revenues lost as a result of any diversion of business from the LESSOR.
H. That it will comply with the rules and practices as set forth in the current Yakima Air
Terminal Security Plan as amended from time to time. Any fines assessed against the
LESSOR by the Transportation Security Administration as a result of the OPERATOR's
failure to comply with the provisions of this paragraph or other intentional or negligent
acts or omissions of OPERATOR, its employees or agents will be paid promptly upon
demand to the LESSOR by the OPERATOR.
I. The LESSOR shall be the sole and final judge of the quality and the adequacy of the
services furnished by the OPERATOR as specified herein. In the event the LESSOR
determines that OPERATOR has failed to comply with the requirements hereunder with
respect to the quality and adequacy of its services, the LESSOR may, upon thirty (30)
days written notice, exercise its right to terminate this Agreement as per Section 23,
contained herein. However, the LESSOR may, in its discretion, extend the time for
compliance if, in its opinion, the OPERATOR is making reasonable progress in
complying with the requirements of this Agreement.
J. OPERATOR shall provide to LESSOR, within thirty (30) days of execution of this
Agreement, a Performance Bond issued by a surety company authorized to do business
in the State of Washington, in an amount of Three Thousand Dollars and No Cents
($3,000.00) as security for the full and faithful performance of the terms, covenants and
conditions of this Agreement on OPERATOR'S part to be performed or observed,
including but not limited to payment of all rents and fees. The Performance Bond may
be issued for a one year period, and shall be renewed annually throughout the term of
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this Agreement. The Performance Bond shall be in the form provided in Section VII.
Bonds of the Request for Proposal 11815P.
7. TAXES AND LIENS:
In addition to the rent and fees payable above, OPERATOR promises and agrees to
pay, as the same become due and payable, all licenses, fees and taxes, including but
not limited to the leasehold excise, required to be paid by OPERATOR by reason of this
Agreement and by reason of OPERATOR's use and occupancy of the premises and by
reason of OPERATOR's construction or ownership of improvements to the premises.
OPERATOR shall neither suffer nor permit the attachment of any lien or other
encumbrance to the premises by reason of OPERATOR's occupancy thereof.
OPERATOR agrees to indemnify LESSOR and shall hold LESSOR harmless from any
such taxes and liens.
8. USE:
OPERATOR shall use and occupy the premises solely for the purpose of maintaining
and conducting a non-exclusive commercial rental car, van and truck operation, as
defined herein. Any occupancy, use, activity, display or product not specifically
permitted herein shall be and is hereby prohibited. The use of the property for any other
purpose shall be deemed a material breach of this Agreement constituting grounds for
its termination. This provision shall apply to any assignment of this Agreement, whether
voluntary or due to mortgage foreclosure or for any other reason. Failure of the
assignee to comply with this Section shall be reasonable cause for LESSOR to withhold
approval or consent to assignment.
9. UTILITIES:
LESSOR shall supply all power, water, sewer and garbage without additional cost to the
OPERATOR.
10. JANITORIAL:
OPERATOR shall furnish all janitorial services at OPERATOR'S expense.
11. PREMISES CONDITION:
OPERATOR has made a full inspection of the premises, is fully aware of its condition
except with respect to environmental conditions and accepts the premises on an "AS -IS"
basis. OPERATOR agrees to pay for any improvements, repairs and/or modifications
necessary to the operation of OPERATOR'S business.
12. MAINTENANCE:
OPERATOR agrees to keep and maintain the premises in at least as good a condition
as the condition of the premises at the beginning of OPERATOR'S occupancy, normal
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wear and tear excepted. OPERATOR further agrees that OPERATOR shall be
responsible to maintain all areas, trade fixtures and other improvements, existing and
future, in an attractive and usable manner as reasonably determined by the LESSOR
Manager and consistent with other properties at the LESSOR. Maintenance shall
include, but not be limited to weed control, garbage and debris removal, painting, snow
removal and pavement maintenance.
13. SIGNS:
OPERATOR, at OPERATOR'S own expense, may erect sign(s) of a type, number and
location suitable to LESSOR. No signs or other advertising matter or devices shall be
used or displayed in or about the premises or upon any portion of the LESSOR without
the prior written approval of the Airport Director, which approval shall not be
unreasonably withheld.
14. EMPLOYEE PARKING:
OPERATOR's employees are required to park privately owned vehicles in the employee
designated parking adjacent to the terminal building. Any parking pass fees associated
with parking in the employee parking lot shall be paid by employee or OPERATOR.
15. IMPROVEMENTS:
OPERATOR agrees to do all repair, remodeling, alterations, upkeep, and replacement of
the premises and facilities therein at OPERATOR'S expense. All repair, remodeling,
alterations, trade fixtures and improvements to the premises by OPERATOR shall
conform to applicable rules, regulations and codes, and OPERATOR shall procure all
building and other permits therefor. All repair, remodeling, alterations, trade fixtures and
improvements shall be designed with a view toward aesthetic considerations and
installation shall not commence until plans and specifications therefor have been
submitted to and approved in writing by the LESSOR Manager which approval shall not
be unreasonably withheld.
16. REVERSION OF IMPROVEMENTS:
Upon termination of this agreement for any reason, LESSOR may, at its option, either
accept ownership of the improvements constructed or installed on the Premises, except
for trade fixtures, or require OPERATOR to remove such improvements within sixty (60)
days of such termination. LESSOR shall notify OPERATOR of its intent within twenty
(20) days of the termination.
Prior to the expiration of this Agreement, OPERATOR shall remove all such trade
fixtures and repair any damage to the premises caused by removal of trade fixtures to
the reasonable satisfaction of the LESSOR Manager. Fixtures not removed within sixty
(60) days after termination become the property of the LESSOR unless other
arrangements have been previously approved in writing by the LESSOR Manager.
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OPERATOR shall, as additional consideration for grant of this Agreement, insure that all
liens, security interest and other encumbrances against said improvements and
structures except those created or suffered by LESSOR, whether consensual or
involuntary, shall be paid, discharged or satisfied prior to time for reversion thereof to
LESSOR; and, in any event, the parties acknowledge that LESSOR shall not, by virtue
of termination of the leasehold interest nor reversion of the structures or other
improvements, be liable for any debt or encumbrance associated therewith.
17. REGULATIONS:
OPERATOR agrees to comply with all applicable laws, ordinances, rules, regulations
and policies of all governmental authorities having jurisdiction over the LESSOR,
including policies adopted by LESSOR, as such laws, ordinances, rules, regulations and
policies apply to the use and operation of LESSOR property, facilities and operations as
those laws, ordinances, rules, regulations and policies now exist or may hereafter
become effective. OPERATOR further agrees to accept responsibility for not allowing
unauthorized persons access to the LESSOR Air Operations Area (AOA).
18. SUBLETTING:
There shall be no subletting of this agreement.
19. ASSIGNMENT:
OPERATOR shall not assign this Agreement without the prior written approval of
LESSOR, such approval not to be unreasonably withheld. Such assignment shall be in
conformance with all applicable LESSOR, local, state and federal laws, ordinances,
rules, regulations and policies. OPERATOR shall give preference to aeronautical
activities and all assignees shall comply with all laws, ordinances, rules, regulations and
policies applicable to the use and operation of LESSOR property, facilities and
operations as those laws, ordinances, rules, regulations and policies now exist or may
hereafter become effective. Consent to assignment by LESSOR shall not be construed
to be a consent to any subsequent assignment.
20. MISCELLANEOUS PROVISIONS:
A. The parties agree that LESSOR, through the Airport Director or other person
authorized by the Airport Director, may enter upon the premises at any reasonable time
to make such inspections as LESSOR may deem necessary to the proper enforcement
of any term, provision or condition of this Agreement. No such entry or inspection by
LESSOR is required by this provision, and the failure of LESSOR to enter and make
inspection shall not alter the relationship of the parties and their respective rights and
duties provided by this Agreement. OPERATOR shall be granted the right of quiet
enjoyment upon performance of all terms of this Agreement.
B. LESSOR may further develop or improve LESSOR property and facilities,
regardless of the desire or views of OPERATOR regarding any such development or
improvement, and without interference or hindrance on the part of OPERATOR and
without liability to OPERATOR, provided the operations of the OPERATOR are not
unreasonably interrupted.
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C. LESSOR reserves the right, but shall not be obligated to OPERATOR, to maintain
and keep in repair the landing area of the LESSOR and all publicly owned facilities of the
LESSOR, together with the right to direct and control all activities of OPERATOR in that
regard.
D. LESSOR reserves the right to take any action necessary or desirable by LESSOR to
protect the operations of the LESSOR against obstruction, or any other activity
interfering with the efficient operation of the LESSOR, together with the right to prevent
OPERATOR from erecting, or permitting to be erected, any building or other structure on
the LESSOR which, in the opinion of the Airport Director, would limit the usefulness of
the LESSOR or constitute a hazard to aircraft.
E. During time of war or national emergency, LESSOR shall have the right to lease the
landing area or any part thereof to the United States of America for military use, and, if
any such lease is executed, the provisions of this Agreement shall be suspended insofar
as they are inconsistent with the provisions of the lease agreement with the United
States of America.
F. This Agreement shall be subordinate to the provisions of any existing or future
agreement between LESSOR and the United States of America relative to the operation
or maintenance of the LESSOR, the execution of which has been or may be required as
a condition to the expenditure of federal funds for the development of the LESSOR.
G. If the premises or any interest therein is taken as a result of the exercise of the
right of eminent domain, this Agreement shall terminate as to such portion as may be
taken. If the portion taken does not feasibly permit the continuation of the OPERATOR's
operations, OPERATOR shall have the right to terminate this Agreement. Such
termination shall be effective as of the date OPERATOR's operations cease.
OPERATOR shall be entitled to a portion of the award representing its interest in the
premises. LESSOR shall be entitled to the remainder of the award.
21. INDEMNITY/DUTY TO DEFEND:
A. At no expense to LESSOR, OPERATOR shall defend against and indemnify fully and
save harmless the LESSOR, the City of Yakima and their elected and appointed
officials, employees and agents, from any and all liability, damages, suits, claims,
actions, judgements or decrees, made against the LESSOR the City of Yakima or their
elected and appointed officials, employees and agents, including all expenses incidental
to the investigation and defense thereof, including reasonable attorney fees, based on or
arising from the occupancy or use of the premises by OPERATOR or as a result of
OPERATOR'S operations at the LESSOR or from any other act or omission of
OPERATOR, its servants, employees, agents, invitees, independent contractors or any
other entity, person, firm or corporation acting on behalf of OPERATOR or under its
direction, whether such claim shall be by OPERATOR or a third party; provided,
however, that OPERATOR shall not be liable for any injury, damage or loss occasioned
solely by the negligence of LESSOR, its agents or employees. LESSOR shall give to
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OPERATOR prompt and reasonable notice of any such claims or actions and
OPERATOR shall have the right to investigate, compromise and defend the same to the
extent of its interest.
B. OPERATOR agrees to reimburse LESSOR for any damage to the premises caused
by the occupancy of OPERATOR, its employees, agents, servants, invitees,
independent contractors or any other person acting on behalf of OPERATOR or under
its direction.
C. LESSOR agrees to defend, indemnify and hold OPERATOR harmless against and
from any claim or liability arising from or alleged to arise from the presence of hazardous
material or toxic waste on the subject premises at the inception of this Agreement and
the introduction to the premises of such materials due to LESSOR'S activities or under
its control.
D. OPERATOR shall keep and hold the LESSOR the City of Yakima, their elected and
appointed officials, agents and employees, free and harmless from any and all claims
and actions, loss, damage, expense or cost, including reasonable attorneys fees,
incidental to the investigation and defense thereof, resulting from, arising out of, or
caused by OPERATOR resulting in any liability under the Federal Comprehensive
Environmental Response Compensation Liability Act of 1980, as amended, 42 U.S.C.
9601 et seq.; Hazardous Materials Transportation Act, 49 U.S.C. 1801 et seq.; Resource
Conservation and Recovery Act, 42 U.S.C. 6901 et seq.; the Clean Water Act, 42 U.S.C.
1251 et seq.; the Washington Environmental Policy Act, RCW Ch. 43.21C; the
Washington Water Pollution Control Act, RCW Ch. 90.48; the Washington Hazardous
Waste Management Act, RCW Ch. 70.105; the Washington Model Toxic Control Act,
RCW Ch. 70.105D, and the regulations promulgated thereunder, or under any applicable
local or state environmental ordinance, statute, law, rule or regulation. The provisions of
this Sub -section shall survive the termination of this Agreement.
22. INSURANCE:
OPERATOR shall file with LESSOR a certificate of insurance, or other proof of
insurance acceptable to LESSOR, evidencing an insurance policy with the Yakima Air
Terminal - McAllister Field, the City of Yakima as additional insureds providing:
1. Comprehensive general liability insurance coverage in amounts of not less
than $2,000,000 Combined Single Limit for bodily injury and property damage
covering OPERATOR'S occupancy of and activities pertaining to the premises.
2. Tenant Legal Liability insurance coverage in an amount of not less than
$100,000.
3. Automobile Public Liability and Property Damage insurance in an amount not
less than $2,000,000 combined single limit coverage.
Not less than 30 days written notice, or other such time period as may be acceptable to
LESSOR, must be supplied to LESSOR in the event of cancellation, material change to
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the policy or non -renewal of any or all policies. Certificate shall be issued by carrier(s)
with a minimum A.M. BEST rating of A -VII which are admitted in the State of Washington
or other such carriers as shall be acceptable to LESSOR.
23. DEFAULT, TERMINATION & FORFEITURE:
A. The failure by OPERATOR to pay rent and fees in the amounts and at the times
specified herein, or the failure by OPERATOR to otherwise comply with any term,
provision or condition of this Agreement, shall constitute grounds for termination of this
Agreement and forfeiture of all rent paid by OPERATOR to the time of termination. This
Agreement and tenancy shall terminate and rent paid shall be forfeited for cause as
specified above on written notice by LESSOR to OPERATOR stating the amount of rent
in default or otherwise stating accurately the manner in which OPERATOR fails or has
failed to comply with this Agreement. OPERATOR shall make full payment or otherwise
comply with this Agreement in the manner specified in the notice within thirty (30) days
(except three (3) days for payment of rent) from OPERATOR's receipt of such notice,
otherwise this Agreement and tenancy shall be terminated and rent forfeited. Such
notice shall be given in writing and served on OPERATOR by personal delivery or
mailed by certified mail with return receipt requested addressed to OPERATOR at its
address stated below OPERATOR's signature to this Agreement or such other address
as the parties may advise each other in writing. It is further agreed that after receipt of
notices and as an additional condition to avoid forfeiture, OPERATOR shall pay
LESSOR's costs and expenses, including attorney's fees, for the preparation and service
of such notice. Nothing contained herein shall release or diminish OPERATOR's
obligation to pay rent for the full term of this Agreement save such amount as LESSOR
recovers from any subsequent Operator during the term of this Agreement. Notices
shall be deemed received three (3) days after mailing to OPERATOR at the address
below OPERATOR's signature to this Agreement or such other address as the parties
may advise each other in writing.
B. As additional and not alternative remedy, optional with LESSOR and upon thirty
(30)days written notice to OPERATOR, should OPERATOR be in default hereunder
other than default in the payment of rent, LESSOR may cure or correct the same and the
cost of such action by LESSOR shall immediately become due and payable from
OPERATOR, together with late fees on said sum at a rate of twelve percent (12%) per
annum, and the non-payment of said sum by OPERATOR shall be adequate grounds for
LESSOR to invoke the other remedies as provided in this Agreement.
C. Upon termination of this Agreement for any reason, OPERATOR shall immediately
surrender the premises to the LESSOR in good condition and repair, ordinary wear and
usage excepted; and OPERATOR shall remove all of OPERATOR'S personal property,
trade fixtures, equipment or improvements removable by prior agreement with LESSOR
from the premises and shall repair any damage to the premises caused by such
removal. Any personal property of OPERATOR, or anyone claiming under OPERATOR,
which shall remain upon the premises at the expiration or termination of this Agreement
shall be deemed to have been abandoned and may be retained by LESSOR as
LESSOR'S property or disposed of by LESSOR in such manner as LESSOR sees fit
without compensation to any party.
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24. INSOLVENCY:
In the event OPERATOR is declared bankrupt by a court of competent jurisdiction or in
the event OPERATOR makes an assignment for the benefit of creditors, or if a receiver
otherwise is appointed for OPERATOR, or in the event OPERATOR'S leasehold estate
is subjected to execution to satisfy any judgement against OPERATOR, then in that
event LESSOR may immediately or at any time thereafter without notice or demand
enter into and upon the premises or any part thereof and repossess the same and expel
OPERATOR or any person upon the premises and remove their effects, and thereupon
this Agreement and the tenancy hereby created shall absolutely terminate, without
prejudice to any remedies which might otherwise be available to LESSOR for collection
of past due or future rent.
25. VENUE, ATTORNEY FEES:
In the event of litigation to enforce the rights and obligations hereunder, venue shall lie in
Yakima County, and the prevailing party shall be entitled to its reasonable attorney fees
in addition to court costs.
26. NON-DISCRIMINATION CLAUSE:
To the extent required by law, OPERATOR, for itself, its personal representative,
successors in interest and assigns, as a part of the consideration hereof, does hereby
covenant and agree as follows:
A. No person, on the grounds of race, color, religion, sex, age, marital status,
handicap or national origin, shall be unreasonably excluded from participation in, denied
the benefits of, or be otherwise subjected to discrimination in OPERATOR's personnel
policies and practices or in the use or operation of OPERATOR's services or facilities.
B. OPERATOR agrees that in the construction of any improvements on, over or
under LESSOR land and the furnishing of services thereon, no person, on the grounds
of race, color, religion, sex, marital status, handicap, age or national origin, shall be
unreasonably excluded from participation in, denied the benefits of, or otherwise be
subjected to discrimination.
C. OPERATOR shall use the 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, Non-discrimination in
Federally Assisted Programs of the Department of Transportation -Effectuation of Title VI
of the Civil Rights Act of 1964, and as said Regulations may be amended.
D. It is the policy of the Department of Transportation that minority business
enterprise as defined in 49 CFR Part 23, i.e., firms owned and controlled by minorities;
firms owned and controlled by women and firms owned and controlled by financially
disadvantaged persons; shall have the maximum opportunity to participate in the
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performance of leases as defined in 49 CFR Section 23.5. Consequently, this
Agreement is subject to 49 CFR Part 23 as applicable.
OPERATOR hereby assures that no person shall be excluded from participation in,
denied the benefits of or otherwise discriminated against in connection with the award
and performance of any contract, including leases, covered by 49 CFR Part 23 on the
grounds of race, color, national origin or sex.
OPERATOR hereby assures that it will include the above clauses in all sub -leases and
cause SUB -OPERATORS to similarly include clauses in further sub -leases.
27. DISADVANTAGED BUSINESS ENTERPRISES:
A. CONCESSIONAIRE OBLIGATION: This Agreement is subject to the requirements
of the U. S. Department of Transportation's regulations, 49 CFR Part 23, Subpart F.
LESSOR agrees that it will not discriminate against any business owner because of the
owner's race, color, national origin or sex in connection with the award or performance of
any concession agreement covered by 49 CFR Part 23 Subpart F.
B. SUB -TENANT OBLIGATION: OPERATOR agrees to include the above statements
in any and all sub -leases.
28. INTEGRATION:
This document embodies the entire Agreement between the parties with respect to the
subject matter herein contained. No amendments or modifications hereof shall be
enforceable unless in writing, signed by the party to be charged.
Time is of the essence of this entire Agreement.
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LESSOR:
City of Yakima
YAKIMA AIR TERMINAL - McALLISTER FIELD
2406 W. Washington Avenue, Suite B
Yakima, Washington 98903
(509) 575-6149 - phone
(509) 575-6185 - fax
Cliff Moore, City Manager Date
STATE OF WASHINGTON
County of Yakima
I certify that I know or have satisfactory evidence that Cliff Moore signed this instrument, on oath
stated that he was authorized to execute the instrument and acknowledged it as the City
Manager respectively of the City of Yakima to be the free and voluntary act of such party for the
uses and purposes mentioned in the instrument.
Date
By:
Notary Public
Appointment Expires
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OPERATOR:
THET HERTZ CORPORATION dba HERTZ RENT -A -CAR
8501 Williams Road
Estero, Florida 33928
(239) 301-7000 Office
Stephen A. Blum, Senior Vice President, Date
Real Estate & Facilities
STATE OF FLORIDA
County of LEE
I certify that I know or have satisfactory evidence that Stephen A. Blum signed this instrument, on oath
stated that he was authorized to execute the instrument and acknowledged it as the Senior Vice
President, Real Estate & Facilities of Hertz Corporation dba Hertz Car Rental of Yakima to be the free
and voluntary act of such party for the uses and purposes mentioned in the instrument.
Date
By:
Notary Public
Appointment Expires
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EXHIBIT A
RENTAL CAR TICKET COUNTERS
GATE
Yakima Air Terminal McAliiater Field
ALARMED 3AERGE33CY EXIT
f-AI.ARMB EMERGENCY ENT
GATE 2 PASSENGER PRE-BGARGNG AREA
STERILE COKOURSE
-SATE 1
TERMINA;. BUtI.GING SIDA AREA
3PERA71ONS/BAGGAGE: MAKE-UP
TERMINAL BUELWING SJDA AREA
HORIZON XRLiNES.
CPERAT1CNS/TAGGAGG 14AKE.-UP.
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Hertz Car Rental Ticket Counter & Storage
Approximately 491 Square Feet
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YAKIMA AIR ERMINAL McAI1IS ER -F
UPDATED - A 2
EXHIBIT B
RENTAL CAR VEHICLE PARKING
VEHICLE PARKING TO BE DIVIDED EVENLY AMONGST THE THREE (3) PROPOSERS.
14 PARKING SPOTS PER OPERATOR
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EXHIBIT C
RENTAL CAR VEHICLE
OVERFLOW PARKING
2406 W. Washington Ave, Yakima, WA 98903
15 VEHICLE PARKING LOCATIONS TO BE PROVIDED.
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