Exhibit 10.4


 


NON-EXCLUSIVE


 


LICENSE AGREEMENT


 


TO CONDUCT AN


 


AERONAUTICAL BUSINESS


 


AT


 


RICKENBACKER INTERNATIONAL AIRPORT


 


 


BETWEEN


 


COLUMBUS REGIONAL AIRPORT AUTHORITY


 


AND


 


AIRNET SYSTEMS, INC.


 

















 


TABLE OF CONTENTS


 


	
  Background Information

  	
   

  
	
  Statement of Agreement

  	
   

  
	
  §1. License Granted

  	
   

  
	
  §2. Term of Agreement and Renewals

  	
   

  
	
  §3. Fees

  	
   

  
	
  §4. Quality of Licensee’s Services

  	
   

  
	
  §5. Environmental Hazards

  	
   

  
	
  §6.
  Insurance

  	
   

  
	
  §7. The Authority Held Harmless

  	
   

  
	
  §8. Exemption of the Authority from
  Liability

  	
   

  
	
  §9. Default and Right of Termination

  	
   

  
	
  §10. Taxes and Licenses

  	
   

  
	
  §11. Operating Expenses

  	
   

  
	
  §12. Right of Inspection

  	
   

  
	
  §13.
  Signs

  	
   

  
	
  §14. Restrictions and Regulations

  	
   

  
	
  §15. Uniform Changes

  	
   

  
	
  §16. Leased Facilities

  	
   

  
	
  §17.
  Services

  	
   

  
	
  §18. No Representations by the Authority

  	
   

  
	
  §19. Nondiscrimination and Affirmative
  Action Program

  	
   

  
	
  §20. Other Restrictions

  	
   

  
	
  §21. Payments and Notices

  	
   

  
	
  §22. Attorneys’ Fees and Costs

  	
   

  
	
  §23. Relationship Between Parties

  	
   

  
	
  §24.
  Severability

  	
   

  
	
  §25.
  Governing Law

  	
   

  
	
  §26.
  Time of Essence

  	
   

  
	
  §27. Complete Agreement

  	
   

  
	
  §28. Successors In Interest

  	
   

  
	
  §29. Third Party Beneficiaries

  	
   

  
	
  §30. Waiver of Default

  	
   

  
	
  §31. Construction of Agreement

  	
   

  
	
  §32.
  Exculpation

  	
   

  
	
  §33.
  Survivability

  	
   

  
	
  Minimum Standards For Commercial
  Aeronautical Activities

  	
   

  
	
  Exhibit A

  	
   

  



 


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NON-EXCLUSIVE LICENSE AGREEMENT


 


This Non-Exclusive License Agreement (“License”) is entered into as of
January 20, 2004, by and between the Columbus Regional Airport Authority (the
“Authority”), a port authority organized and existing under the laws of the
State of Ohio and Airnet Systems, Inc. (“Licensee”), a corporation organized
and existing under the laws of the State of Ohio.


 


 


Background Information


 


A.                                   The
Authority is the owner of property (that property conveyed by Quitclaim) of the
former Rickenbacker Air Force Base located in Franklin and Pickaway Counties,
State of Ohio, the remainder of said former Base being still owned by the
United States of America. Pursuant to a Joint Use Agreement dated September 16,
1991, between the United States of America and the Authority, the Authority is
required or permitted to use and operate certain runways, ramps, navigational
aids, and other improvements (collectively the “Airfield”) located on the
property still owned by the United States. The Authority intends to develop the
Quitclaim property and Airfield as a public facility for the accommodation of
air commerce. The Quitclaim property, the Airfield and all other property owned
by the United States of America which was a part of the former Rickenbacker Air
Force Base will be referred to herein as “Rickenbacker Airport” or the
“Airport”.


 


B.                                     Licensee
desires to engage in certain aeronautical business activities at the Airport on
a non-exclusive basis under the terms and subject to the conditions set forth in
this License Agreement. This License Agreement is being executed and delivered
at the same time as the execution and delivery of (i) a lease between the
Authority and Licensee relating to Licensee’s lease of certain land at the
Airport upon which Licensee will conduct its aeronautical business activities
(the “Lease”), (ii) an Operating Agreement between the Authority and Licensee
relating to Licensee’s operations at the Airport (the “Operating Agreement”)
and iii) a Commingling Fuel Agreement between the Authority and Licensee
relating to Licensee’s use of the Airport Fuel System (the Fuel Agreement”).


 


 


Statement of Agreement


 


The parties acknowledge the accuracy of the foregoing background
information and hereby agree as follows:


 


§1.                               License Granted


 


§1.1.                       The Authority hereby grants to
Licensee, subject to all of the terms, conditions, and covenants of this
Agreement, a non-exclusive license to conduct at the


 


3

















 


Airport the aeronautical business activities as specified in
Categor(y)(ies) checked below, in accordance with, and subject to the minimum
standards therefor attached to this Agreement:


 


	
   

  	
  Category A

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  ý

  	
  a)

  	
   

  	
  Flight Training

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  ý

  	
  b)

  	
   

  	
  Aircraft Charter, Air Taxi and Freight Carriage (Not applicable to
  airline operations)

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  o

  	
  c)

  	
   

  	
  Aircraft Rental

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  Category B

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  ý

  	
  a)

  	
   

  	
  Maintenance and Rebuilding of Aircraft and Engines, aircraft
  Components and Accessories, and Installation of Aircraft Engines, Parts,
  Accessories and Equipment, excluding sub-category b)

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  ý

  	
  b)

  	
   

  	
  Maintenance & Installation of Aircraft Radios, Communications and
  Navigation Equipment (excluding over-the-counter repairs)

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  ý

  	
  c)

  	
   

  	
  Aircraft Sales

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  ý

  	
  d)

  	
   

  	
  Sale of Aircraft Parts, Accessories and Equipment

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  e)

  	
   

  	
  Aircraft Painting

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  o

  	
  f)

  	
   

  	
  Aircraft Interior Refurbishing

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  Category C

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  o

  	
  a)

  	
   

  	
  Aerial Advertising

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  o

  	
  b)

  	
   

  	
  Aerial Applications: Spraying, Dusting or Seeding

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  o

  	
  c)

  	
   

  	
  Aerial Photography

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  o

  	
  d)

  	
   

  	
  Aerial Surveying

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  o

  	
  e)

  	
   

  	
  Aerial Patrol of Pipelines or Utility Lines

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  o

  	
  f)

  	
   

  	
  Helicopter Operations in Construction or Repair Work (External Lift)

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  o

  	
  g)

  	
   

  	
  Air Ambulance and Medical Evacuation

  



 


4

















 


	
   

  	
  o

  	
  h)

  	
   

  	
  Parachute Rigging, Jumping, Jump Training and Flight Services for
  Parachute Related Activities

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  o

  	
  i)

  	
   

  	
  Sales of Pilot supplies

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  ý

  	
  j)

  	
   

  	
  Maintenance and Repair of Aircraft Radios, Communications and
  Navigational Equipment (delivered over-the-counter for such repairs)

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  Category D

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  ý

  	
  a)

  	
   

  	
  Storage of Aircraft - Single Volume Hangar

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  Category E

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  o

  	
  a)

  	
   

  	
  Storage of Aircraft - “T” Hangars

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  Category F

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  ý

  	
  a)

  	
   

  	
  Line Service

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  ý

  	
  b)

  	
   

  	
  Contract Fueling

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  ý

  	
  c)

  	
   

  	
  Cargo Handling

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  ý

  	
  d)

  	
   

  	
  Maintenance or Repair of Ground Support Equipment(GSE)

  



 


§1.2.                       Licensee
agrees to conduct each service and activity specified above. Licensee shall not
conduct any service or activity which is not specified above. In the event
Licensee wishes to discontinue any service or activity, or to conduct
additional services or activities, it shall submit in writing a request for
such deletion or addition of service or activity for approval of the Authority,
which approval shall not be unreasonably withheld or delayed.


 


§1.3.                       Licensee
shall be entitled, in common with others so authorized, to the use of all
facilities and improvements of a public nature which now are or may hereafter
be connected with or appurtenant to the Airport, including but not limited to
the use of landing areas, runways, taxiways, navigational aids, terminal
facilities and aircraft parking areas designated by the Authority.


 


§1.4.                       Licensee
hereby acknowledges and agrees for itself, its employees, agents, contractors,
customers, and invitees to comply with, abide by, uphold and enforce on, in and
about its place of business, the Rickenbacker Airport Rules and Regulations, as
they may be amended from time to time, which are incorporated into and made a
part of this Agreement.


 


5

















 


§1.5.                       Licensee
acknowledges that the Authority will not require any of the users of the
products or services specified above to use Licensee and that the Authority
will from time to time grant other non-exclusive licenses to others to supply
the same or similar products and services.


 


§1.6.                       Licensee
hereby consents and grants to the Authority permission to obtain credit reports
and conduct such other investigations of Licensee’s credit worthiness and
financial condition as may, from time to time, be reasonably desirable and
appropriate to satisfy itself that Licensee is able to fulfill its obligations
under this Agreement. If the findings are not satisfactory the Authority
retains the right to terminate this agreement upon thirty (30) days notice.
Licensee agrees to hold the Authority harmless from any damages caused to
Licensee in the course of such investigation(s). If in the Authority’s sole
reasonable judgment Licensee does not have sufficient financial strength and
responsibility, the Authority may require corporate and personal guarantees of
Licensee’s obligations hereunder.


 


§2.                               Term of Agreement and Renewals


 


§2.1.                       The
term of this License shall commence on the Rent Commencement Date (as such term
is defined in the Lease), and shall continue for a term of one year from such
date, unless sooner terminated as otherwise provided herein. This License shall
automatically renew thereafter for additional one-year terms for the balance of
the Lease term.


 


§2.2.                       This
License may be amended by the Authority upon thirty (30) days written notice to
Licensee, provided the terms and conditions and user fees continue to provide
Licensee access to the Airport at a level that permits Licensee to use the
Airport facilities and Preferential Use Area (as defined in the Operating
Agreement) consistent with the terms and conditions of the Lease and consistent
with terms and conditions provided to other similar users of the Airport. Upon
the termination of this License, by lapse of time or otherwise, Operator shall
promptly and peaceably surrender and deliver to the Authority, any assigned
Airport use areas, Airport identification badges, security access cards, and
all fees to which Authority is entitled hereunder.


 


§3.                               Fees


 


§3.1.                       Except
as hereinafter provided, Licensee shall pay to the Authority fees and charges
for any and all business conducted by Licensee on, at or from the Airport. Such
fees and charges shall be found in the Schedule of Rates and Charges attached
hereto and made a part hereof, as it may be amended from time to time by the
Authority.


 


§3.2.                       Applicable
fees and charges shall apply to all transactions, whether or not evidenced by
written agreements, (a) between Licensee and Licensee’s unrelated third party
customers, clients and vendees, including without limitation the military and
members of the general public, and (b) between Licensee and any person,
corporation, partnership, joint venture, department, division, company, entity
or other party directly or indirectly related to Licensee; provided, that such
fees and charges shall not be levied against transactions between Licensee and
any party described in (a) or (b) which has


 


6

















 


entered into a written agreement with the Authority specifically
exempting said exempt party from such fees or charges. A list of all such
exempt parties shall be provided to Licensee by the Authority from time to
time.


 


§3.3.                       Licensee
shall remit payment of the fees specified in §3.1 above, together with a report
on a form or forms acceptable to the Authority, within thirty (30) days after
the end of the month in which the transaction giving rise thereto occurred.
Licensee shall establish and maintain accounting and recording systems and
practices which accurately reflect the services at the Airport and the Revenues
received by Licensee.


 


§3.4.                       Any
amount due from Licensee to the Authority which is not paid within ten days of
the due date shall be charged a late fee of $50.00. Any outstanding balances
shall bear interest at a rate equal to two percent (2%) per month calculated on
the outstanding balance inclusive of previous interest charges and late fees,
(but not more than the maximum rate permissible by law), from the due date
until paid.


 


§3.5.                       The
term “Revenues” as used herein shall include the following:


 


§3.5.1.              The
gross amount charged by Licensee, whether wholly or partially for cash and/or
on credit or otherwise (including, but not limited to, any amount allowed upon
any “trade-in”) for services performed by Licensee, or anyone acting on
Licensee’s behalf, or under a license or concession from Licensee, which are
not excluded by any other provision of this Agreement, including without
limitation, all amounts charged for goods, wares, and merchandise sold and for
service or labor performed on, at, or from any part of the Airport by Licensee
or anyone acting on Licensee’s behalf or under a license or concession from
Licensee (including, but not limited to, public telephones and vending
machines), without deduction for uncollected or uncollectible accounts.


 


§3.5.2.              The
Authority shall have the right to review and approve rates, fees, and charges
imposed for the aeronautical services and goods provided to the public by
Licensee. Licensee shall furnish the Authority with a schedule of the rates and
fees which Licensee charges to the general public in connection with any
services performed by Licensee under this agreement, or by anyone acting on
Licensee’s behalf, or under a license or concession from Licensee, and shall
update such schedule each time any change is made in such rates or fees. In the
event Licensee or anyone acting on Licensee’s behalf or under a license or
concession from Licensee provides services to any person or entity directly or
indirectly related to Licensee or such provider, notwithstanding anything in
§3.5.1 to the contrary, such person or entity shall be deemed to have paid
Revenues to Licensee or such provider in an amount equal to those rates and
fees which would have been payable to Licensee or such provider if the same
services were instead provided to the general public, whether or not such
amount, or any greater or lesser amount, was actually paid to Licensee or such
provider.


 


§3.5.3.              There
shall be deducted from Revenues: (i) an amount equal to the amount of any cash
or credit refund in fact made by Licensee for returned goods, which amount was
previously included in Revenues; and (ii) the amount of any sales, luxury or
excise taxes on Revenues where such taxes are both included in the gross amount
reported as Revenues and subsequently paid to the taxing authorities by
Licensee.


 


7

















 


§3.6.                       Upon
ten (10) days prior notice from the Authority, Licensee shall make available to
the Authority, or its duly authorized representative(s), such documentation,
records, reports and other information as may be requested from time to time by
the Authority to assist in the determination of the fees due to the
Authority.  If Licensee requires access
to the books and records of the Authority to verify charges accrued and
payments made, access shall be provided by the Authority.


 


§3.7.                       The
Authority, or its duly authorized representative(s), shall, at all reasonable
times, have the right to examine and audit all documentation, records, and
reports of Licensee pertaining to the operation of its business under this
Agreement for any reasonable purpose. 
Licensee hereby authorizes its directors, officers, agents, and
employees to disclose to the Authority any and all information pertaining to
Licensee’s business operations under the license rights herein granted,
including all account books, records, and things done or performed by Licensee
in connection herewith during the term of this Agreement.  In the event that any audit by the Authority
or its authorized representative discloses any deficiencies in the fees paid by
Licensee to the Authority hereunder, Licensee shall pay said deficiency within
five (5) days after receipt of written notice from the Authority demanding
payment therefor which notice shall set forth the amount of said
deficiency.  If such deficiency is in
excess of two percent (2%) of the amount previously paid to the Authority for
the audited period, Licensee shall also pay all costs and expenses of the audit
upon written demand by the Authority. 
Should Licensee be entitled to a refund as a result of overpayment to
the Authority limits established herein shall be applicable thereto.


 


§3.8.                       Within
sixty (60) days after the end of each calendar year, Licensee shall furnish to
the Authority a statement of its business activities, revenues generated and
fees collected during such calendar year. 
The statement shall be on a form or forms prescribed or deemed
acceptable by the Authority, and shall be certified by an officer of Licensee
as to its accuracy.  Licensee and
Authority agree that the summary forms prepared in the normal course of
Licensee’s operations shall be acceptable for purposes of satisfying this
requirement, and that if reports certified or audited by an independent
certified public accountant are required, the due date for filing with the
Authority shall be extended for not more than 120 days.


 


§4.                               Quality of Licensee’s Services


 


§4.1.                       All
services performed by Licensee pursuant to this Agreement shall be performed in
a professional, timely, and efficient manner so as not to reflect any discredit
on the Authority or the Airport, and Licensee shall, at all times, maintain
adequate hours of operation and an adequate inventory of products, supplies,
and equipment at the Airport to satisfy the demands of tenants and users,
including the general public and military and civilian aircraft, which may
employ Licensee’s services from time to time at the Airport.  For purposes of determining adequacy,
Licensee may consider, in combination with such other factors as may be
appropriate, its prior experience in providing the services and activities
licensed herein.


 


8

















 


§4.2.                       Licensee
shall maintain an adequate staff of employees with skills, training (both
initial and recurring), licenses, and certificates appropriate to the
performance of Licensee’s obligations under this Agreement.  All employees and agents engaged in
rendering any services authorized by this Agreement shall at all times be
appropriately attired and equipped for the duty or duties then being performed
by them.  For purposes of determining
adequacy, Licensee may consider, in combination with such other factors as may
be appropriate, its prior experience in providing the services and activities
licensed herein.


 


§4.3.                       All
tank trucks, automotive equipment, machinery, appliances, underground
installations, and any other equipment used by Licensee in its business
operations under this Agreement shall, at no cost to the Authority, be
maintained in good mechanical condition and appearance and shall be modern,
up-to-date equipment which shall at all times meet all requirements reasonably
necessary or lawfully required for fire protection and the enhancement of the
safety of operations at the Airport considering the nature of the business in
which Licensee is engaged.


 


§4.4.                       Licensee
shall not do any act, permit any act, or refrain from doing any act, in any
manner, that: (i) tends to create or permit any waste or nuisance at the
Airport; (ii) tends to disturb tenants, users, or any other party at the
Airport; (iii) invalidates or is in conflict with fire insurance or other
insurance policies covering the Airport; or (iv) increases the rate of fire
insurance on the Airport, or the property located therein, over that rate in
effect on the Commencement Date hereof. 
Licensee, at its own expense, shall comply with all rules, orders,
regulations, or requirements which the National Board of Fire Underwriters, or
any other similar body may impose.


 


§4.5.                       Licensee
shall comply with all sanitary, health and safety laws, rules and regulations
relating to the Airport and Licensee’s business operations at the Airport.


 


§4.6.                       Licensee
shall enter into such agreements with tenants or users of the Airport or such
other parties as may be necessary for the Licensee to conduct its business
operations under this Agreement; provided that, the Authority is not under any
obligation to permit or obtain access for Licensee to enter upon premises
occupied by any tenant of the Airport. 
In all cases, such right of access or entry must be arranged for or
obtained by Licensee from such user(s) or tenant(s) of the Airport.


 


§4.7.                       Licensee
shall take such actions as may be necessary, including but not limited to
posting of signs and notices, erecting fences and employing security personnel,
to prevent unauthorized persons, including but not limited to employees,
customers, visitors and the general public, from entering through areas under
its control into restricted areas such as aircraft flight, takeoff, landing,
loading, parking or taxi areas.  All
signage, fences, security personnel and procedures shall be subject to the
approval of the Authority.  Guidelines
for purposes of security may be found in the Rickenbacker Airport Rules and
Regulations, Section II.


 


9

















 


§5.                               Environmental Hazards


 


§5.1.                       Licensee
shall comply with, and shall take all actions within Licensee’s control to
cause all of Licensee’s agents, employees, representatives, licensees,
concessionaires, customers, clients, and vendees to comply with, all
Environmental Laws, (as hereinafter defined) and shall obtain and comply with,
and shall take all actions within Licensee’s control to cause all of Licensee’s
agents, employees, representatives, licensees, concessionaires, customers,
clients, and vendees to obtain and comply with, all Environmental Permits (as
hereinafter defined).  Without limiting
the generality of the foregoing, Licensee shall not engage in any activity or
manner of conduct, including but not limited to the use, treatment, generation,
transportation, processing, handling, disposal, production or storage of Hazardous
Substances (as hereinafter defined), whether gaseous, solid or liquid, or the
use of solvents, lubricants, petroleum, degreasers, or other compounds, in such
a manner as to risk contamination of the soil or ground or open waters or the
emission of vapors or gases which constitute atmospheric pollutants, which
creates or may create an unlawful, dangerous, injurious, noxious, or otherwise
objectionable environmental condition. 
Licensee shall at all times conduct its business, and assure to the
extent within Licensee’s control, that its customers, clients, vendees,
concessionaires, licensees and the general public, while present in or on
Licensee’s place of business or at the Airport, comply with all Environmental
Laws and Environmental Permits.  For
purposes of this Agreement (a) “Environmental Laws” shall mean all Authority,
federal, state and local environmental, land use, zoning, health, chemical use,
safety and sanitation laws, statutes, ordinances and codes relating to the
protection of the environment and/or governing the use, treatment, generation,
transportation, processing, handling, disposal, production or storage of
Hazardous Substances and the rules, regulations, policies, guidelines,
interpretations, decisions, orders and directives of the Authority and federal,
state and local governmental agencies and authorities with respect thereto
(including, without limitation, the Comprehensive Environmental Response,
Compensation and Liability Act of 1980, as amended (42 U.S.C. Sections 6901, et
seq.), the Hazardous Materials Transportation Act, as amended (49 U.S.C.
Sections 1801, et seq.) the Resource Conservation and Recovery Act, as amended
(42 U.S.C. Sections 6901, et seq.), the Toxic Substances Control Act, as
amended (15 U.S.C. Sections 2601, et seq.) and Chapter 3745 of the Ohio
Administrative Code, as now in effect or hereafter amended; (b) Environmental
Permits shall mean all permits, licenses, approvals, authorizations, consents
or registrations required by the applicable Environmental Law or Laws in
connection with the use and/or operation of Licensee’s business or businesses
or the Airport or the use, treatment, generation, transportation, processing,
handling, disposal, production or disposal of Hazardous Substances; and (c)
“Hazardous Substance” shall mean any substance classified as a hazardous or
toxic substance or hazardous waste under any applicable Environmental Law
(including, without limitation, any flammable explosives, radon, radioactive
materials, asbestos, urea formaldehyde foam insulation, polychlorinated
biphenyls, petroleum and petroleum based products, methane, hazardous
materials, hazardous wastes, hazardous or toxic substances or related materials
and the byproducts thereof).


 


§5.2.                       Should
Licensee, through its negligence or otherwise, experience an incident or
accident or in any way cause a real or potential environmental contamination,
it shall immediately take any and all reasonable actions to cease, contain and
remediate


 


10

















 


the pollution, contamination or other environmental damage or risk, and
shall notify all agencies, including but not limited to the Authority, having
jurisdiction over the activity which caused the incident and the containment,
cleanup, or mitigation thereof. 
Authority and Licensee agree that this paragraph is not intended to
affix responsibility for costs, but rather is intended to insure that Licensee
shall take immediate actions with respect to any problem of which it becomes
aware.


 


§5.3.                       The
Authority and other federal, state, and local agencies having jurisdiction
shall at all times have the right in their sole discretion to take any and all
actions as they may individually or collectively deem appropriate to cease,
contain, remediate, or otherwise respond to a condition which results from,
causes or threatens to cause environmental pollution, contamination or damage,
and to charge Licensee for any such action, which charges shall be paid
promptly by Licensee.


 


§ 5.4.                    Without
limiting the generality of the provisions of §7, Licensee shall assume the risk
of, be responsible for, defend, indemnify and hold harmless the Authority,
including without limitation its directors, officers, agents, employees,
customers, invitees and licensees from any and all losses, claims, costs,
liabilities, damages, and expenses (including costs of suit and fees and
expenses for legal services) resulting from any environmental pollution,
condition or damage, or from a failure to comply with any Environmental Law or
Environmental Permit, arising from Licensee’s, its agents’, employees’,
representatives’, licensees’, and concessionaires’ conduct of business or other
activities on the Airport.


 


§5.5.                       The
Authority shall not be responsible to Licensee, its owners, directors, officers,
agents, employees, representatives, customers, clients, vendees,
concessionaires or licensees for any environmental condition in existence at
the Airport, which condition may interfere with Licensee’s business or other
operations or activities, or which might otherwise cause damages to Licensee
through loss of business, destruction of property, or injury to Licensee, its
owners, directors, officers, agents, employees, customers, clients, vendees,
concessionaires and licensees.


 


§6.                               Insurance


 


§6.1.                       At
all times during the term of this Agreement, Licensee shall carry and maintain,
in such minimum amounts as may be established from time to time by the
Authority and specified on the Schedule of Insurance Coverages attached hereto
and made a part hereof: (i) workers’ compensation insurance with the statutory
maximum limit of liability; (ii) comprehensive general liability insurance
broadened to cover the liability of Licensee in connection with the services to
be rendered hereunder, including without limitation, coverage for personal
injury, wrongful death, property damage, and independent contractors’
coverages; (iii) fire and extended coverage insurance with respect to all
leasehold improvements, fixtures, equipment, inventory, and other personal
property owned by Licensee or in its possession at the Airport; and (iv) such
other insurance coverages as may be listed in the aforesaid Schedule of
Insurance Coverages as it may be amended from time to time.


 


11

















 


§6.2.                       All
insurance policies of Licensee shall be issued by responsible insurers licensed
to transact business in the State of Ohio; shall name the Authority and AGI,
Inc. as additional insured; and shall provide for notice to the Authority at
least thirty (30) days prior to any written cancellation, expiration without
renewal, or modification thereof.  All
policies providing casualty or hazard insurance coverage to Licensee shall
contain waivers of subrogation as to the Authority.  Licensee shall furnish the Authority with certificates of
insurance evidencing compliance with the insurance requirements of this
Agreement including renewal or replacement policies.


 


§7.                               The Authority Held Harmless


 


§7.1.                       Licensee
shall assume the risk of, be responsible for, and indemnify the Authority,
including without limitation its directors, officers, agents, employees,
customers, invitees, and licensees and shall hold it and them harmless from any
and all losses, claims, costs, liabilities, damages, and expenses (including costs
of suit and fees and expenses for legal services) on account of any liens
arising or damages claimed by any persons, including employees of Licensee, its
customers and invitees, or the Authority, to have been incurred or sustained
in, on or about the Airport or the premises or facilities occupied and used by
Licensee and arising out of Licensee’s use and occupation thereof; provided,
however, that Licensee shall not be liable for any damage, injury, or loss
caused solely by the negligence or willful misconduct of the Authority,
including without limitation its directors, officers, agents, and employees,
and provided further, that the Authority shall give to Licensee reasonable
notice of any such claim made or suit instituted against the Authority and afford
Licensee the right to compromise and/or defend the same.  If the conduct of both the Authority and
Licensee contribute to any damage, loss or injury, then Licensee and the
Authority shall be entitled to their respective rights of contribution and
Licensee’s indemnity of the Authority shall be limited to Licensee’s
contributory share (the burden of proving apportionment of damages shall be on
Licensee).


 


§7.2.                       Licensee
acknowledges that Rickenbacker Airport is a joint use civil/military
airport.  In accordance with such
agreements as may exist now or in the future between the Authority and the
United States of America, airport regulations or air traffic directives will
from time to time be issued which grant priority to military operations and
which may interfere with Licensee’s operations.  Licensee hereby assents to and agrees to comply with and abide by
all such regulations and directives, and Licensee further agrees to assume the
risk of and hold the Authority harmless from any damages or adverse effects
resulting from such regulations and directives.


 


§8.                               Exemption of the Authority from
Liability


 


Licensee hereby waives all claims (including subrogation claims)
against the Authority and the Authority shall not be liable to Licensee, for
any injury or damages which may be sustained by the persons, goods, wares,
merchandise, or property of Licensee, its employees, agents, invitees, or
customers or any other person in or about the Airport, caused by or resulting
from (i) latent or patent defects in the construction or


 


12

















 


condition of the Airport; (ii) acts of God; (iii) fire, steam,
electricity, gas, water, or rain which may leak or flow from or into any part
of the Airport; (iv) riot, civil disorder, aircraft, vehicles, smoke, noise,
vandalism or malicious mischief; (v) breakage, leakage, obstruction, or other
defects of the pipes, wires, appliances, plumbing, air conditioning, or
lighting fixtures of the same; or (vi) use or occupancy of the Airport, whether
said damage or injury results from conditions arising upon the Airport or from
other sources and whether or not caused or alleged to be caused by the
negligence of the Authority (other than gross negligence or willful
misconduct); provided, that this waiver shall not apply to any injury or
damages in an amount exceeding Licensee’s insurance coverage and caused by the
negligence of the Authority.  Further,
the Authority shall not be liable to Licensee or to any other person for any
damage arising from any act or omission, negligent or otherwise, of any other
tenant or user of the Airport.


 


§9.                               Default and Right of Termination


 


§9.1.                       If
either party shall materially fail to perform or observe any of the terms,
covenants, or conditions of this Agreement, the other party may give written
notice of such default to that party. 
If any such default shall remain uncured for ten (10) days after
receiving written notice of any failure to pay any fees or amounts due
hereunder or for thirty (30) days after receiving written notice of any other
default, then the party not in default may give notice to the defaulting party
of its election to terminate this Agreement, and ten (10) days after the
delivery of such notice, this Agreement shall cease and terminate.  Such election to terminate by either party
shall not be construed as a waiver of any claims it may have against the other
party.  If, however, any default, other
than a monetary default, is of such nature that it cannot be cured within
thirty (30) days and if the party in default shall have commenced the cure of
such default promptly after receipt of notice from the other party and shall
continuously and diligently proceed in good faith to cure such default, then
the period for correction shall be extended for such length of time as is
reasonably necessary (not to exceed 60 days) to complete such cure.


 


Notwithstanding the time provisions in this §9.1, the Authority, in the
interest of maintaining a continuity and availability at the airport of the
services and activities provided herein, may establish and extend the
termination date, and Licensee shall continue to provide services and
activities hereunder, for up to an additional six (6) months in the event the
defaulting party is the Licensee and up to an additional thirty days if the
defaulting party is the Authority, to enable the Authority to obtain another
party to provide the same.


 


§9.2.                       Notwithstanding
any other provision contained herein, if, in the reasonable judgment of the
Airport Manager or his representative, any activity or inactivity of Licensee
or any condition on or about Licensee’s property or area of operation creates a
hazard to persons or property or renders the conduct of normal business,
including but not limited to the operation or servicing of aircraft, hazardous
to persons or property, such hazardous situation or condition shall be remedied
by Licensee as soon as reasonably practicable upon receiving notice of the same
from the Airport Manager or his representative.  If such notice is delivered verbally by the Airport Manager or
his representative, a written confirmation of the verbal notice, specifying in
detail the nature


 


13

















 


of the hazardous situation or condition and the need for immediate action,
will be delivered to Licensee as soon as practicable.  If Licensee is unable to immediately remedy a hazardous situation
or condition, it shall suspend all operations which, as a result of the
existence of such hazardous situation or condition, may in the judgment of the
Airport Manager expose persons or property to risk of injury or damage.


 


§9.3.   Pursuant to §16 of this Agreement, Licensee must
secure a lease or sublease of land, buildings, improvements, or property or
other facilities in order to perform its obligations under this Agreement.  In the event Licensee’s leasehold rights
under such lease or sublease lapse, expire or terminate for any reason, then
Licensee shall be deemed in default of this Agreement.  In the event Licensee is in default of such
lease or sublease, then Licensee shall be in default of this Agreement.  If Licensee disputes the existence of a
default by it under such lease or sublease in court, then such leasehold
default shall not be a default hereunder until a final determination is made by
such court and all appeals are exhausted.


 


§10.                        Taxes and Licenses


 


Licensee shall pay, within the prescribed time, all taxes, fees,
penalties, and assessments related to the conduct of its business under this
Agreement, including without limitation any and all taxes which may be levied
on all personal property maintained by it on or about the Airport and any and
all taxes which may be levied against its license privileges granted
hereunder.  Licensee shall also pay all
license and permit fees necessary or required by law for the operation and
conduct of its business under this Agreement.


 


§11.                        Operating Expenses


 


All costs and expenses incurred by Licensee in the performance of its
obligations under this Agreement and any and all debts arising therefrom shall
be obligations of Licensee.  The
Authority shall not be responsible for any such obligations by reason of its
relationship to Licensee pursuant to this Agreement or otherwise.


 


§12.                        Right of Inspection


 


Licensee shall provide access to the Authority and authorized
representatives of any federal, state, and local agency for inspection of its
business operations at the Airport for any reasonable purpose at any time.


 


§13.                        Signs


 


Licensee shall have the right, at its expense, to place in or on its
place of business a sign or signs identifying Licensee.  Said sign or signs shall be of a size, shape
and design, and at a location or locations, approved by the Authority and in
conformance with


 


14

















 


any overall directional graphics or signage program established by the
Authority.  The Authority’s approval of
any proposed signs shall not be unreasonably withheld.  When required, this approval shall then be
forwarded by the Port Authority to the FAA with a completed form 7460-1.  Upon FAA review and approval the Licensee
shall be granted a notice to proceed. 
Upon termination of this agreement, Licensee shall remove, at its
expense, all lettering, signs and placards erected by it.


 


§14.                        Restrictions and Regulations


 


§14.1.   At all times during the term of this Agreement,
Licensee agrees to abide by: (i) any and all applicable written rules,
regulations, orders, and restrictions which are now in force or which may be
hereafter adopted or amended by the Authority relating to the operation of the
Airport; (ii) any and all written orders, directives, or conditions issued,
given or imposed by the Authority relating to the use of the roadways,
driveways, curbs, sidewalks, and parking areas in and about the Airport; (iii)
any and all applicable laws, ordinances, statutes, rules, regulations, or
orders of any federal, state, or municipal governmental agency lawfully
exercising authority over the Airport or Licensee’s conduct of its business
pursuant to this Agreement; and (iv) any obligation, condition, or restriction
imposed by or any right reserved in any conveyance of property, real or
personal, to the Authority.  The
Authority shall not be liable to Licensee for any damage to, diminution of,
deprivation of, or possession of Licensee’s rights or privileges hereunder, on
account of the exercise, by any person or entity, of the authority described in
this Section, or which may arise from the Airport’s development or operation of
the Airport during the term of this Agreement.


 


§14.2.   Licensee agrees that its employees will become
familiar with the Rickenbacker Airport Rules and Regulations, a current copy of
which is attached, as they now exist or may be hereafter amended, with
applicable provisions of this Agreement, and with applicable laws, regulations,
policies and/or standards governing the functions being or to be performed by
said employees, that it will provide its employees with appropriate instruction
regarding the same, and that it will provide its employees with copies of the
same if so requested.  Licensee will
post in a conspicuous location in its place of business, in full view of its
employees, its customers and the public, a current copy of the Rickenbacker
Airport Rules and Regulations or such portions thereof as may be directed by
the Authority.


 


§15.                        Uniform Changes


 


The Authority may amend or modify any term, condition, or covenant of
this Agreement, provided that such amendment or modification shall: (i) apply
prospectively only from and after the effective date thereof; (ii) be uniformly
applicable to all persons holding non-exclusive licenses to conduct the
affected activity or activities at the Airport; and (iii) become effective only
after the expiration of thirty (30) days following the giving of written notice
of such amendment or modification by the Authority.  If Licensee determines it is not economically feasible to comply
with any proposed amendment or modification adopted pursuant hereto, Licensee
may, within fifteen (15)


 


15

















 


days of such written notice from the Authority, notify the Authority in
writing that it intends to terminate this Agreement, which shall then terminate
upon the expiration of six (6) months after the date of Licensee’s written
notice to the Authority.  If Licensee
elects to terminate under this section, the terms of this Agreement through the
termination date shall not include the modifications or amendments objected to
by Licensee.


 


§16.                        Leased Facilities


 


§16.1.   Prior to commencing business, Licensee must
secure a lease or sublease of such land, buildings, improvements, or property
or other facilities required by the Minimum Standards for Operators of
Commercial Activities for such services or activities as Licensee is to conduct
pursuant to this Agreement.


 


§16.2.   The Authority shall have the right to approve
or disapprove any lease, sublease, rental or use of any land, buildings,
improvements or property or other facilities within the aeronautical use areas
of the Airport on the basis that it conforms or fails to conform with FAA
regulations, rules, standards, orders or policies or with the Amended and
Restated Master Lease and Development Agreement, where applicable.  Licensee shall lease only such land, buildings,
improvements, property or other facilities for which a demonstrable need
presently exists or with respect to which Licensee demonstrates an intent to
immediately develop for aeronautical use. 
Approval of any such lease, sublease, rental or use agreement shall be
contingent upon the Authority’s subsequent approval of any proposed leasehold
improvements and timely completion thereof in accordance with the terms and
conditions herein set forth.


 


§16.3.   Before Licensee enters into any agreement with
a third party whereby Licensee provides to said third party by lease, sublease,
rental or otherwise, the use of any land, buildings, improvements or property
or other facilities, or any portion thereof, on the Airport, and, before
Licensee enters into any agreement or arrangement whereby a third party
provides or conducts any service or activity to or on behalf of Licensee,
Licensee shall provide three copies of such agreement to the Authority for its
approval or disapproval.  The Authority
shall have ten (10) days within which it may approve or disapprove the form and
content of such agreement.  The
Authority’s review may include, but is not limited to the scope of services to
be provided by the third party, the length of term, the appropriateness of the
space including location and square footage, leasehold improvements, public
facilities, and whether the third party should be a sub-licensee of Licensee or
a direct licensee of the Authority.  All
leases and agreements with third parties shall comply in all respects with this
Agreement.  If the Authority determines
that the service or activity is of a character as to require the execution of a
Non-Exclusive License Agreement with the Authority, said third party shall enter
into a Non-Exclusive License Agreement with the Authority prior to commencing
such service or activity.  Licensee
shall not sublicense any of the rights, privileges or benefits granted
hereunder without the Authority’s consent, and any attempt by Licensee to do so
shall be null and void.


 


§16.4.   The Authority shall have the right to review
and approve or disapprove architectural plans and designs for proposed
improvements, on the basis that they


 


16

















 


conform or fail to conform with FAA regulations, rules, standards,
orders or policies or with the aforesaid Amended and Restated Master Lease and
Development Agreement, where applicable, prior to Licensee awarding contracts
therefore or commencing construction thereof. 
Licensee agrees that it shall submit to the Authority, within six (6)
months after execution of any lease, detailed plans and specifications for all
proposed leasehold improvements.  The
Authority agrees that it shall transmit its approval of the plans and
specifications as submitted, or its disapproval thereof together with an
explanation of the reason(s) therefore within ten (10) business days of receipt
of the plans and specifications.  The
Authority’s approval of plans and specifications shall not be withheld
unreasonably.


 


§16.5.  Unless otherwise
approved by the Authority in writing, construction of proposed leasehold
improvements or renovation of existing facilities shall commence within six (6)
months after approval by the Authority of the architectural plans and
specifications, and within a reasonable time thereafter shall be completed and
placed into service.  Facilities already
existing shall be placed into service within six (6) months after the effective
date of the lease thereof.


 


§16.6.  Licensee shall comply
with and obey all federal, state and local laws, as they now or may apply in
the future, for determining the prevailing wage rates for the construction of
facilities at the Rickenbacker Airport.


 


§16.7.  Licensee shall complete
and submit Federal Aviation Administration (“FAA”) Form 7460-1 “Notice of
Proposed Construction or Alteration”, in accordance with its attached
instructions for any and all proposed construction, alterations or
improvements.  The Authority’s written
approval must accompany submission of this form to FAA.  Licensee shall then submit to the Authority
a copy of FAA’s written approval of Form 7460-1, all building permits,
licenses, certificates and other approvals required by applicable laws,
regulations, codes and standards, and shall certify compliance with all
applicable laws, regulations, codes and standards in the design and
construction of the improvements prior to commencement of any construction or
alteration of facilities at the Airport.


 


§17.                        Services


 


§17.1.  In the event that the
Authority provides services directly to Licensee, including, but not limited
to, security, janitorial, aircraft rescue and fire fighting, maintenance and
repair services, snow and ice removal, or the furnishing of utilities, Licensee
shall pay the Authority all charges therefore within ten (10) days after
receipt of a statement for said services. 
With the exception of emergency services, or those necessary to maintain
the safety of persons, property, or operations on the Airport, or to comply
with FAA’s regulations or other applicable laws, ordinances or regulations, the
Authority shall provide no services to Licensee except pursuant to a separate
written agreement with Licensee or upon request from Licensee.


 


§17.2.  The Authority is not
obligated to furnish any fire fighting services or security services to or for
Licensee.  Licensee shall maintain its
own security services and


 


17

















 


agrees that the operation, maintenance or other provision by the
Authority of either security or fire fighting services shall not constitute a
waiver of this section.  Notwithstanding
the provisions hereof, however, the Authority agrees that the responsible
governmental fire fighting unit shall be provided access to the premises for
such services.


 


§17.3.  The Authority shall not
be liable in damages or otherwise for any failure or interruption of any of the
foregoing services, or for any interruption in utility services to the Airport,
and no such failure or interruption shall entitle Licensee to terminate this
Agreement or to an abatement of fees payable to the Authority.  The Authority shall not be liable to
Licensee under any circumstances for loss of property, injury to person or
property, or consequential damages, however occurring, through, in connection
with, or incidental to failure to furnish any of the foregoing.


 


§18.                        No Representations by the Authority


 


Licensee acknowledges that neither the Authority nor any of its agents,
representatives, employees, or officers have made any representations or
promises with respect to the Airport except as herein expressly set forth.  Further, Licensee acknowledges that it has
not executed this Agreement in reliance upon any representations or promises of
the Authority or its agents, representatives, employees or officers with
respect to the Airport, except as herein expressly set forth, and that Licensee
has made its own independent examination of the Airport.


 


§19.                        Nondiscrimination and Affirmative
Action Program


 


The following provisions are required by the Federal Aviation
Administration policy concerning airport leases and related documents:


 


§19.1. If any facilities are constructed, maintained or otherwise
operated on the Airport for a purpose for which a United States Department of
Transportation program or activity is extended or for another purpose involving
the provision of similar services or benefits, the user shall maintain and
operate such facilities and services in compliance with all requirements
imposed pursuant to 49 CFR Part 21, Nondiscrimination in Federally Assisted
Programs of the Department of Transportation, as said Regulations may be
amended.


 


§19.2. Licensee, for itself, its personal representatives,
successors-in-interest, and assigns, as a part of the consideration hereof,
does hereby covenant and agree that: (i) no person on the grounds of race,
color, or national origin shall be excluded from participation in, denied the
benefits of, or be otherwise subjected to discrimination in the use of said
facilities, (ii) that in the construction of any improvements on, over, or
under the Airport and the furnishing of services therein, no person on the
grounds of race, color, or national origin shall be excluded from participation
in, denied the benefits of, or otherwise be subjected to discrimination, and
(iii) that Licensee shall use the premises in compliance with all other
requirements imposed by or pursuant to 49 CFR Part 21,


 


18

















 


Nondiscrimination in Federally Assisted
Programs of the Department of Transportation, as said Regulations may be
amended.


 


§19.3. Licensee assures that it will undertake an affirmative action
program as required by 14 CFR Part 152, Sub-part E, to insure that no person
shall, on the grounds of race, creed, color, national origin, or sex, be
excluded from participating in any employment activities covered in 14 CFR Part
152, Sub-part E.  Licensee assures that
no person shall be excluded on these grounds from participating in or receiving
the services or benefits of any program or activity covered by this
sub-part.  Licensee assures that it will
require assurances from its sub-organizations, as required by 14 CFR Part 152,
Sub-part E, to the same effect.


 


§19.4. Licensee shall furnish its accommodations and/or services to be
provided pursuant to this Agreement on a fair, equal, and not unjustly
discriminatory basis to all purchasers thereof and Licensee shall charge fair,
reasonable, and not unjustly discriminatory prices for each service; provided,
that Licensee may be allowed to make reasonable and nondiscriminatory
discounts, rebates, or other similar type of price reductions to volume users.


 


§19.5. Non-compliance with the provisions contained above shall
constitute a material breach hereof and, in the event of such non-compliance,
the Authority shall have the right to terminate this Agreement and the license
hereby created without liability therefore or, at the election of the Authority
or the United States, either or both shall have the right to judicially enforce
§§19.1, 19.2, 19.3 and 19.4 above.


 


§19.6. Subject to the provisions of §16.4 and §29 prohibiting
sublicensing, Licensee agrees that it shall insert the above subsections in any
lease agreement or contract by which Licensee grants rights or privileges to
any person, firm, or corporation to render accommodations and/or services to
the public under this Agreement.


 


§20.                        Other Restrictions


 


§20.1. The Authority reserves the right, but shall not be obligated to
Licensee, to develop or improve the Airfield and all publicly-owned public-use
facilities of the Airport.  The Port
Authority will coordinate with Licensee, as with all Airport tenants, any
proposed Airport improvements.  The
Authority reserves the right to take any action deemed necessary to protect
aerial approaches and to prevent Licensee from erecting or permitting to be
erected any structure which in the reasonable opinion of the Authority will
limit the usefulness of the Airport or constitute a hazard to aircraft.


 


§20.2. This Agreement shall be subordinate to the provisions of any
existing or future federal statutes and any existing or future agreement
entered into between the Authority and the United States of America relative to
the improvement, operation, or maintenance of the Airport, and to the
reasonable provisions of all minimum standards, rules, and/or regulations
governing the operation of the Airport from time to time adopted by the
Authority.


 


19

















 


§20.3. Licensee agrees to comply with the notification and review
requirements covered in Part 77 of the Federal Aviation Regulations in the
event any future structure or building is planned for the Airport or in the
event of any planned modification or alteration of any present or future building
or structure on the Airport.


 


§20.4. Licensee will not by any act or omission, cause any violation of
the provisions in the Quitclaim deed. 
The following paragraphs are excerpts of the Quitclaim deed signed and
dated April 17, 1984 and of The Airport Improvement Program Grant Assurance
Number 23.  The word “grantee”, as used
herein, shall mean the same as Authority:


 


The grantee will not grant or permit any exclusive right for the use of
the airport at which the property is located which is forbidden by Section 308
of the Federal Aviation Act of 1958, as amended, by any person or persons to
the exclusion of others in the same class and will otherwise comply with all
applicable laws.  In furtherance of this
covenant (but without limiting its general applicability and effect), the
grantee specifically agrees that, unless authorized by the Administrator, it
will not, either directly or indirectly, grant or permit any person, firm or
corporation the exclusive right to conduct any aeronautical activity on the
airport including but not limited to charter flights, pilot training, aircraft
rental and sightseeing, aerial photography, crop dusting, aerial advertising
and surveying, air carrier operations, aircraft sales and services, sale of
aviation petroleum products whether or not conducted in conjunction with other
aeronautical activity, repair and maintenance of aircraft, sale of aircraft
parts, and any other activities which because of their direct relationship to
the operation of aircraft can be regarded as an aeronautical activity.  The grantee further agrees that it will
terminate as soon as possible and no later than the earliest renewal,
cancellation, or expiration date applicable thereto, any exclusive right existing
at any airport owned or controlled by the grantee, or hereinafter acquired, and
that, thereafter, no such right shall be granted.  However, nothing contained herein shall be construed to prohibit
the granting or exercise of an exclusive right for the furnishing of
non-aviation products and supplies or any service of a non-aeronautical nature
or to obligate the grantee to furnish any particular non-aeronautical service
at the airport.


 


Licensee will permit no exclusive right for the use of the airport by
any persons providing, or intending to provide, aeronautical services to the
public.  For purposes of this paragraph,
the providing of services at an airport by a single fixed-based operator shall
not be construed as an exclusive right if both of the following apply:


 


(a)  It would be unreasonably
costly, burdensome, or impractical for more than one fixed-based operator to
provide such services, and;


 


(b)  If allowing more than one
fixed-based operator to provide such services would require the reduction of
space leased pursuant to an existing agreement between such single fixed-based
operator and such airport.


 


Licensee further agrees that Licensee will not, either directly or
indirectly, grant or permit any person, firm or corporation the exclusive right
at the airport, or at any other airport now owned or controlled by Licensee, to
conduct any aeronautical activities,


 


20

















 


including, but not limited to charter flights, pilot training, aircraft
rental and sightseeing, aerial photography, crop dusting, aerial advertising
and surveying, air carrier operations, aircraft sales and services, sale of
aviation petroleum products whether or not conducted in conjunction with other
aeronautical activity, repair and maintenance of aircraft, sale of aircraft
parts, and any other activities which because of their direct relationship to
the operation of aircraft can be regarded as an aeronautical activity, and that
Licensee will terminate any exclusive right to conduct an aeronautical activity
now existing at such an airport before the grant of any assistance under the
Airport and Airway Improvement Act of 1982.


 


§20.5.  The following uses shall
not be permitted on any portion of the Airport at any time: residential;
trailer courts; junkyard; mining and quarrying; dumping, disposal (other than
incidental disposal), incineration, or reduction of garbage, sewage, offal,
dead animals, or refuse; fat rendering, stockyards or slaughtering of animals;
smelting of iron, tin, zinc, or other ores; and animal raising.


 


§20.6.  No portion of the
Airport shall be used or occupied in any manner so as to create any dangerous,
injurious, noxious, or otherwise objectionable conditions that may affect any
other property, including but not limited to the following:


 


(a)  No activity shall be conducted on any portion of the
Airport that may be or may become hazardous to public health and safety, that
shall be illegal, or that may interfere with or be a hazard to the flight of
aircraft over into, from or around the Airport.


 


(b)  No activity which produces atmospheric emissions shall
be conducted on the Airport unless such activity shall comply with the
standards, if any, of the U.S. Environmental Protection Agency, any state or
local environmental regulatory body, or any successor organizations performing
similar functions, as such regulations exist at the date of this Agreement, or
which may be enacted during the term hereof. 
No portion of the premises leased by Licensee shall be activated for
Foreign Trade Zone usage except upon the request of Licensee.


 


(c)  No electrical, electronic, or radio emissions shall be
produced from the Airport that may interfere with, obstruct, or adversely
affect the operation of air navigation aids or communications between any
installation on the airfield and landing, departing or maneuvering aircraft.


 


(d)  No exterior lighting shall be permitted on the Airport
unless the design and location thereof shall comply in all respects with the
requirements of the FAA and any other governmental agency having jurisdiction
with respect to height, type, and placement of lighting standards as they may
affect the ability of aircraft to distinguish between airfield lights and
others, visibility in the vicinity of the Airport, or the safety of flight
operations into, from, and around the Airport.


 


(e)  No cesspool, septic tank, or other sewage disposal
system or device shall be installed, maintained, or used on any portion of the
Airport, other than systems or devices existing on the date of this Agreement,
without the prior written approval of the Authority.


 


21

















 


§20.7.  If any portion of the
Premises is activated for Foreign Trade Zone usage, said portion and any
occupant thereof shall comply with the security requirements imposed by the
U.S. Customs Service or other federal agencies having jurisdiction.


 


§20.8.  This Agreement and all
provisions hereof shall be subject to whatever right the United States
Government now has, or in the future may have or acquire, affecting the
control, operation, regulation and taking over of said Airport, or the
exclusive or non-exclusive use of the Airport, by the United States during time
of war or national emergency or otherwise.


 


§20.9.  Licensee shall use
reasonable precautions, including but not limited to those specified in §4.7
hereof, to prevent unauthorized persons from gaining access to restricted
flight and aircraft operational areas.


 


§20.10.  In the event any
provision of this §20 is violated, in addition to any other right it may have
at law or in equity, the Authority shall have the right, but not the
obligation, to enter upon any premises and cause the abatement of any such
violation at the expense of Licensee.


 


§21.                        Payments and Notices


 


All license fees and other amounts required to be paid by Licensee to
the Authority hereunder shall be delivered or mailed to the Authority at the
address first set forth below, unless and until the Authority designates to
Licensee in writing some other party or place to receive license fees and
compensation.


 


Any notice to Licensee, required under this License, will be written
and will be deemed to have been given (a) when personally delivered, (b) when
deposited with a reliable overnight courier service or (c) on the day it is
deposited in any depository regularly maintained by the United States Postal
Service, postage prepaid, certified or registered mail, return receipt
requested, addressed to


 


The Authority:


 


President & CEO


Columbus Regional Airport Authority


4600 International Gateway


Columbus, OH 43219


 


With copy to General Counsel


 


22

















 


Licensee:


 


Prior to Licensee’s commencement of actual use at the Airport:


Airnet Systems, Inc.


3939 International Gateway


Columbus, OH 43219


Attn: Chief Executive Officer


 


After Licensee’s commencement of actual use at the Airport:


Addressed to the Licensee’s Premises at the Airport.


Attn:  Chief Executive Officer


 


or at such other address as that party may previously have specified in
notice to the party giving notice, or is delivered personally to that address.


 


§22.                        Attorneys’ Fees and Costs


 


In the event an action or proceeding is brought by either party against
the other under this Agreement, the prevailing party shall be entitled to
recover its costs and reasonable attorneys’ fees in such action or proceeding.


 


§23.                        Relationship Between Parties


 


Nothing contained in this Agreement shall be construed as creating a
partnership or joint venture between Licensee and the Authority.


 


§24.                        Severability


 


It is the intention of the parties to comply fully with all laws and
public policies, and this Agreement shall be construed consistently with such
laws and public policies to the extent possible.  If and to the extent that any court of competent jurisdiction is
unable to so construe any provision of this Agreement and holds that provision
to be invalid, in whole or in part, such holding shall in no way affect the
validity of the remainder of this Agreement, which shall remain in full force
and effect.


 


§25.                        Governing Law


 


All questions concerning the validity, intention, and meaning of this
Agreement or relating to the rights and obligation of the parties with respect
to performance under this Agreement shall be construed and resolved under the
laws of the State of Ohio in a court of competent jurisdiction within Franklin
County, Ohio.


 


23

















 


§26.                        Time of Essence


 


The time for payment of all amounts to be paid by Licensee under this
Agreement and for performance and observance of all other obligations and
conditions to be performed by Licensee under this Agreement shall be of the
essence.


 


§27.                        Complete Agreement


 


This Agreement sets forth the entire agreement among the parties with
respect to the matters dealt with herein. 
Except as provided in §15 hereof, no change, alteration, modification,
addition, or qualification to the terms of this Agreement shall be made or be
binding unless made in writing and signed by each of the parties.


 


§28.                        Successors In Interest


 


This Agreement is personal to Licensee and no rights or obligations
under this Agreement shall be assigned or sublicensed by it, in whole or in
part, without the prior written consent of the Authority.  Licensee shall not enter into any concession
agreement with respect to the services covered by this Agreement without the
prior written consent of the Authority. 
Except as provided in the previous sentence, this Agreement shall be
binding upon, shall inure to the benefit of, and shall be enforceable by and
against the respective heirs, successors, and assigns of each party.


 


§29.                        Third Party
Beneficiaries


 


This Agreement is intended for the exclusive benefit of the parties and
their respective heirs, successors, and assigns.  Nothing contained in this Agreement shall be construed as
creating any right or benefit in or to any third party.


 


§30.                        Waiver of Default


 


No failure by any party to insist upon strict compliance with any term
of this Agreement, to exercise any option, enforce any right, or seek any
remedy upon any default of the other party shall affect, or constitute a waiver
of the first party’s right to insist upon such strict compliance, exercise that
option, enforce that right, or seek that remedy with respect to that default or
any prior, contemporaneous, or subsequent default, nor shall any custom or
practice of the parties at variance with any provision of this Agreement
effect, or constitute a waiver of,  any
party’s right to demand strict compliance with all provisions of this
Agreement.


 


24

















 


§31.                        Construction of Agreement


 


The captions at the beginnings of the sections of this Agreement are
not part of the context hereof, but are merely labels to assist in locating
those sections, and shall be ignored in construing this Agreement.  Each pronoun shall include any number or
gender thereof as the identity of its antecedent may require.  This Agreement may be executed in several
counterparts and each such executed counterpart shall be considered as an original
of this Agreement.


 


§32.                        Exculpation


 


Notwithstanding anything to the contrary contained in this Agreement,
no officer, director, shareholder, partner, employee, or agent of the Authority
shall have any personal liability for any failure by the Authority to perform
any covenant, term, or condition of this Agreement.


 


§33.                        Survivability


 


The indemnity provisions shall survive the termination of this
agreement.


 


 


	
  COLUMBUS REGIONAL AIRPORT

  AUTHORITY

  	
  AIRNET SYSTEMS, INC.

  
	
   

  	
   

  
	
   

  	
   

  
	
  /s/ Elaine Roberts

  	
   

  	
  /s/ Joel E. Biggerstaff

  	
   

  
	
  Elaine Roberts, A.A.E.,

  	
  By

  	
  Joel E. Biggerstaff

  	
   

  
	
  President & CEO

  	
  Title

  	
  CEO

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  Date 

  	
    1-20-04

  	
   

  	
  Date 

  	
    1/15/04

  	
   

  
							



 


25

















 


RICKENBACKER INTERNATIONAL AIRPORT


MINIMUM
STANDARDS FOR OPERATORS OF


COMMERCIAL ACTIVITIES


 


	
  SECTION 1 - GENERAL PROVISIONS

  	
   

  
	
  1.01
  - INTRODUCTION

  	
   

  
	
  1.02 - REQUIRED CONDITIONS

  	
   

  
	
  1.03 - COMMERCIAL SERVICES DEFINED

  	
   

  
	
  A. - Single Service Operator

  	
   

  
	
  B. - Limited Service Operator

  	
   

  
	
  C. - Full Service Operator

  	
   

  
	
  1.04 - FAA NON-DISCRIMINATION REGULATIONS

  	
   

  
	
  1.05 - DEVELOPMENT OF ADDITIONAL MINIMUM
  STANDARDS

  	
   

  
	
  1.06 - PRE-QUALIFICATION REQUIREMENTS

  	
   

  
	
  A. - Intended Scope of Activities

  	
   

  
	
  1.07 - ACTION ON APPLICATION

  	
   

  
	
  1.08 - THE WRITTEN AGREEMENT

  	
   

  
	
  1.09 - SITE DEVELOPMENT STANDARDS

  	
   

  
	
  1.10 -
  PERSONNEL

  	
   

  
	
  1.11
  - EXPERIENCE/FINANCIAL STABILITY

  	
   

  
	
  A. -
  Experience

  	
   

  
	
  B. -
  Financial Stability

  	
   

  
	
  1. - Capital Improvement / Equipment
  Funding

  	
   

  
	
  2. - Operating Capital

  	
   

  
	
  3. - Security for Payment

  	
   

  
	
  4. - Wavier of Contract Security

  	
   

  
	
  1.12 - INDEMNITY AND INSURANCE

  	
   

  
	
  A. - Indemnification

  	
   

  
	
  B. - Minimum Liability / Insurance
  Requirements

  	
   

  
	
  C. - Environmental Impairment

  	
   

  
	
  D. - Performance Bonds

  	
   

  
	
  1.13 - LEGAL NON-CONFORMING USE

  	
   

  
	
  A. -
  Defined

  	
   

  
	
  B. - Safety/Security Compliance

  	
   

  
	
   

  	
   

  
	
  SECTION 2 - AERONAUTICAL SERVICES

  	
   

  
	
  2.01 -
  INTRODUCTION

  	
   

  
	
  2.02 - DEVELOPMENT OF QUALITY SERVICES

  	
   

  
	
  2.03 - EXCLUSIVE RIGHTS

  	
   

  
	
  2.04 - SINGLE SERVICE OPERATOR

  	
   

  
	
  A.
  - Aircraft Sales

  	
   

  



 


26

















 


	
  1. - Services

  	
   

  
	
  2. -
  Land Area

  	
   

  
	
  3. -
  Buildings

  	
   

  
	
  4. -
  Personnel

  	
   

  
	
  5. - Hours of Operation

  	
   

  
	
  6. - Dealership/Aircraft

  	
   

  
	
  7. - Parts and Service

  	
   

  
	
  8.
  - Maintenance

  	
   

  
	
  B. - Airframe And Powerplant Repair

  	
   

  
	
  1. - Land Area

  	
   

  
	
  2. -
  Buildings

  	
   

  
	
  3. - Personnel

  	
   

  
	
  4. - Hours of Operation

  	
   

  
	
  5. -
  Equipment

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
  C. - Aircraft Rental

  	
   

  
	
  1. -
  Land Area

  	
   

  
	
  2. - Building

  	
   

  
	
  3. -
  Personnel

  	
   

  
	
  4. -
  Aircraft

  	
   

  
	
  5.
  - Hours of Operation

  	
   

  
	
  6. -
  Maintenance

  	
   

  
	
  D.
  - Flight Training

  	
   

  
	
  1. -
  Certification

  	
   

  
	
  2. -
  Land Area

  	
   

  
	
  3. -
  Buildings

  	
   

  
	
  4. -
  Personnel

  	
   

  
	
  5. -
  Aircraft

  	
   

  
	
  6.
  - Hours of Operation

  	
   

  
	
  7. -
  Maintenance

  	
   

  
	
  E. - Air Taxi And Charter Services

  	
   

  
	
  1. -
  Land Area

  	
   

  
	
  2. -
  Buildings

  	
   

  
	
  3. -
  Personnel

  	
   

  
	
  4. -
  Aircraft

  	
   

  
	
  5. -
  Hours of Operation 

  	
   

  
	
  6. -
  Certification

  	
   

  
	
  7. - Ground Transportation Services

  	
   

  
	
  8. -
  Maintenance

  	
   

  
	
  F. -
  Avionics, Instruments, And/Or Propeller Services

  	
   

  
	
  1. -
  Land Area

  	
   

  
	
  2. -
  Buildings

  	
   

  
	
  3. -
  Personnel

  	
   

  
	
  4. -
  Hours of Operation 

  	
   

  
	
  G. - Specialized Commercial Flight Services

  	
   

  
	
  1. - Land
  Area

  	
   

  
	
  2. -
  Buildings

  	
   

  



 


27

















 


	
  3. -
  Personnel

  	
   

  
	
  4. -
  Aircraft

  	
   

  
	
  5.
  - Hours of Operation

  	
   

  
	
  6. -
  Maintenance

  	
   

  
	
  H. - Into-Plane Fuel Services

  	
   

  
	
  1. - Land
  Area

  	
   

  
	
  2. -
  Buildings

  	
   

  
	
  3. -
  Personnel

  	
   

  
	
  4. -
  Equipment

  	
   

  
	
  5.
  - Hours of Operation

  	
   

  
	
  6. -
  Maintenance

  	
   

  
	
  L - Cargo Handling Services

  	
   

  
	
  1. - Land
  Area

  	
   

  
	
  2. -
  Equipment

  	
   

  
	
  3. -
  Personnel

  	
   

  
	
  4. -
  Hours of Operation

  	
   

  
	
  5. -
  Maintenance

  	
   

  
	
  J. - Commercial Hangar Storage

  	
   

  
	
  1. -
  Land Area

  	
   

  
	
  2. -
  Equipment

  	
   

  
	
  3. -
  Personnel

  	
   

  
	
  4.
  - Hours of Operation

  	
   

  
	
  5. -
  Maintenance

  	
   

  
	
  2.05 - LIMITED SERVICE OPERATOR

  	
   

  
	
   

  	
   

  
	
  2.06 - FULL SERVICE OPERATORS

  	
   

  
	
  A. - Minimum Service required of Full
  Service Operators are:

  	
   

  
	
  1. - Aircraft Maintenance and Repair
  Services

  	
   

  
	
  2. - Charter Service (Part 135 or 121
  Certificate)

  	
   

  
	
  3. - Aircraft Rental

  	
   

  
	
  4. - Commercial Fuel Sales/Line Services

  	
   

  
	
  5. - Aircraft Hangar/Tie-down Services

  	
   

  
	
  6. - Preferred Additional Services

  	
   

  
	
  7. - Marketing/Promotion

  	
   

  
	
  8. -
  Hours of Operation

  	
   

  
	
  a. - Fuel & Line Services

  	
   

  
	
  b. - Aircraft Maintenance and Repair
  Services

  	
   

  
	
  9. -
  Personnel

  	
   

  
	
  10. - Future Development and Expansion

  	
   

  
	
  11. - Required Facilities

  	
   

  
	
  a. - Land

  	
   

  
	
  b. -
  Buildings

  	
   

  
	
  12. -
  Maintenance

  	
   

  
	
  2.07 - TERMINATION OR MODIFICATION OF
  COMMERCIAL OPERATING AUTHORIZATION

  	
   

  
	
   

  	
   

  
	
  SECTION 3 - AIRCRAFT / AUTO FUELS,
  DISPENSING, and STORAGE

  	
   

  
	
  3.01 -
  INTRODUCTION

  	
   

  



 


28

















 


	
  3.02
  - FUEL STORAGE

  	
   

  
	
  3.03 - COMMERCIAL AVIATION FUELING

  	
   

  
	
  3.04 - AUTO AND WHOLESALE FUEL SALES

  	
   

  
	
  3.05 - SELF FUELING OF PRIVATE AIRCRAFT

  	
   

  
	
  3.06 - USE OF THE FUEL STORAGE FACILITY

  	
   

  
	
   

  	
   

  
	
  SECTION 4 - FLYING CLUBS: - (Ref: FAA Order
  5190.6A/Appendix 8)

  	
   

  
	
  4.01 -
  DEFINED

  	
   

  
	
  4.02 -
  OWNERSHIP OF AIRCRAFT

  	
   

  
	
  4.03 - PROPERTY RIGHTS OF
  MEMBERS/GENERATION OF REVENUES

  	
   

  
	
  4.04
  - NON-COMMERCIAL OPERATION ONLY

  	
   

  
	
  4.05 - CLUB CHARTER INFORMATION

  	
   

  
	
  4.06 - COMPLIANCE WITH LAWS

  	
   

  
	
  4.07 - LOSS OF EXEMPTION

  	
   

  
	
   

  	
   

  
	
  SECTION 5 - OPERATOR’S AGREEMENTS WITH
  ANOTHER COMMERCIAL OPERATOR

  	
   

  
	
   

  	
   

  
	
  SECTION 6 - ENVIRONMENTAL

  	
   

  
	
  6.01 - ENVIRONMENTAL LAWS

  	
   

  
	
  6.02 - ENVIRONMENTAL AUDIT

  	
   

  
	
   

  	
   

  
	
  SECTION 7 - PENALTIES FOR FAILURE TO
  MAINTAIN COMPLIANCE WITH MINIMUM STANDARD REQUIREMENTS 

  	
   

  
	
  7.01 - FAILURE TO COMPLY WITH MINIMUM
  STANDARDS OF THE AUTHORITY

  	
   

  
	
  7.02 - AUTHORITY OF THE AIRPORT DIRECTOR

  	
   

  
	
  7.03 - TERMINATION OF LEASE

  	
   

  
	
  7.04 - CIVIL REMEDY OR CRIMINAL PROSECUTION

  	
   

  
	
  7.05 - LIABILITY FOR FINES

  	
   

  
	
  7.06 -
  AUDITS

  	
   

  
	
  7.07
  - AMENDMENTS

  	
   

  



 


29

















 


SECTION 1 - GENERAL PROVISIONS


 


1.01  INTRODUCTION


 


The Rickenbacker Port Authority (“Authority”) adopts these minimum
standards in order to protect and promote the best interests of the airlines
and aviation public with regard to sound and equitable development and
provision of commercial services to the airlines and the aviation public at
Rickenbacker International Airport (“Airport”).


 


1.02  REQUIRED CONDITIONS


 


Any Person desiring to engage in one or more commercial service at the
Airport must adhere to the applicable minimum standards as a condition to
establishing and providing the permitted activity and must be a party to a
written lease and/or use agreement with the Authority.


 


1.03  COMMERCIAL SERVICES DEFINED


 


Commercial Services are defined as certain commercial activities
conducted at or from the Airport for the purpose of securing earnings, income,
compensation, or profit, whether or not such objectives are actually
accomplished.  Commercial Services which
shall be subject to these Minimum Standards include, but are not limited to,
the following commercial activities: 
aircraft sales, airframe or power plant repair, aircraft rental, flight
training, air taxi and charter services, avionics, instrument, and/or propeller
services, specialized commercial flight services, into-plane fuel services,
cargo handling services, commercial hangar storage, and commercial retail fuel
sales and line services.


 


For purposes of these standards, Operators shall be classified as
follows:


 


A.                                   Single Service Operator - provides one commercial
service, no retail fuel sales or line services.


 


B.                                     Limited Service Operator - provides two or more
commercial services, but no retail fuel sales or line services.


 


C.                                     Full Service Operators - provides multiple
commercial services including retail fuel sales and line services.


 


1.04  FAA NON-DISCRIMINATION REGULATIONS


 


These minimum standards are designed to ensure the Airport &
Commercial Operators comply with the following FAA Non discrimination
regulations:


 


A.                                   A
fair and reasonable opportunity, without discrimination, shall be afforded all
applicants to qualify, or otherwise compete, for available Airport facilities;
or to engage in selected commercial activities, subject to the Minimum
Standards and requirements as may be established and amended from time to time
by the Authority.


 


30

















 


The Authority’s goal, through these Minimum Standards, is to maintain a
“level playing field” on which all Commercial Operators of a similar
classification of aeronautical activity may conduct business for the benefit of
the aviation public. In developing these Minimum Standards, the Authority
intends neither to block competition between service providers, nor to protect
any existing or incumbent provider from competition.


 


B.                                     Commercial
Operators on the Airport are required to (1) furnish services on a fair, equal,
and not unjustly discriminatory basis to all customers, and (2) charge fair,
reasonable, and not unjustly discriminatory prices for each unit or service,
provided that the Operator is allowed to make reasonable and nondiscriminatory
discounts, rebates, or other similar types of price reductions to volume
purchasers.


 


C.                                     No
Commercial Operator shall exclude from employment, participation in, access to
the benefits of its operations or otherwise discriminate against persons on the
grounds of race, color, national origin, religious belief, disability, age or
sex. Commercial Operators shall be responsible for compliance with any
applicable local, state and federal rule, regulation, ordinance or law
regarding nondiscrimination.


 


1.05  DEVELOPMENT OF ADDITIONAL MINIMUM STANDARDS


 


Authorized Commercial Services are not limited to those listed in these
Minimum Standards. In the event that a prospective Operator desires to conduct
a commercial activity not listed in these standards, the Minimum Standards for
that activity may be identified as a part of the application process. Further,
the Authority may, at any time, identify additional activities to be subject to
Minimum Standards.


 


1.06  PRE-QUALIFICATION REQUIREMENTS


 


A prospective Operator shall submit, in written form, to the Airport
Director, at the time of application, a business plan including the following
information, and any other information as may be requested by the Authority:


 


A.                                   Intended Scope of Activities


 


To provide high quality service to the airlines and aviation public as
a condition precedent to the granting of an operating privilege on the Airport,
the prospective Operator must submit a detailed description of the intended
activity(s) to be conducted, and the means and methods to be employed to
accomplish the applicable operating standards and requirements, including the
following:


 


1.                                       The
services to be offered.


 


2.                                       The
amount of land to be leased or subleased.


 


3.                                       The
building space to be constructed, leased, or subleased.


 


31

















 


4.                                       The
number of Aircraft (or Vehicles) to be provided, if applicable.


 


5.                                       The
number of qualified and/or certified employees.


 


6.                                       The
proposed hours of operation.


 


7.                                       Evidence
of required minimum insurance coverage as established by the Authority.


 


8.                                       Evidence
of operator’s financial capability to perform the proposed services and provide
and maintain the required facilities. The names and signatures of all parties
owning an interest in the business or who will appear on leases or other
documents as being a director, partner, officer or agent or manager of the
business.


 


9.                                       Evidence
of the Operator’s level of competency and experience in successfully performing
the proposed service.


 


10.                                 Written
authorization allowing the FAA and aviation or aeronautics commissions,
administrations and departments of all states in which applicant has engaged in
the aviation business to release information to the Authority.


 


11.                                 Such
other information as the Authority deems necessary to a particular request.


 


1.07  ACTION ON APPLICATION


 


The Authority encourages the expansion of commercial services at the
Airport and, to that end, is committed to being responsive to all applicants.
Applications will be reviewed and the Authority will respond within 90 days
receipt of the application.


 


1.08  THE WRITTEN AGREEMENT


 


Upon the approval of the application by the Authority, prior to the
commencement of Commercial Operations, the prospective Operator will be
required to enter into a written agreement with the Authority. The agreement
will detail the terms and conditions under which the Operator will conduct
business on the Airport, including, but not limited to, the term of agreement;
the rentals, fees, and charges; the rights, privileges and obligations of the
respective parties; and other relevant covenants. The conditions contained in
the schedule of Minimum Standards and Requirements do not represent a complete
recitation of the provisions to be included in the written agreement. Agreement
provisions, however, will not change, modify, or be inconsistent with, the
Minimum Standards and Requirements.


 


1.09  SITE DEVELOPMENT STANDARDS


 


Minimum Land and Building requirements for each aeronautical service,
listed in Section 2, are based on the following guidelines:


 


32

















 


A.                                   The
minimum hangar space necessary for an independent commercial provider of
aeronautical services involving the storage or maintenance of aircraft is 3,600
square feet.


 


B.                                     The
minimum requirement for hangar space will generally be 75% of the total
building space required with the remaining 25% of the space being allocated for
offices, restrooms, reception areas and other space required for good customer
service.


 


C.                                     The
minimum requirement for land space will generally be twice the amount of space
required for the building.


 


D.                                    In
planning a commercial development, it is expected that all aircraft associated
with the operation will be stored in the Operator’s hangar or on a tie down
ramp that is constructed or leased by the Operator on leased Airport premises.
The Authority is not obligated to provide or construct public ramp/apron or
connecting taxiways for Commercial Operators. Further, the Authority’s ability
to construct a ramp/apron or taxiways is limited to the availability of federal
and state grant funds which are not dedicated to higher priority projects on
the Airport. Thus, the prospective Operator should expect to fund all
facilities needed (building, parking lots, ramps/aprons, connecting taxiways)
as a part of the total plan.


 


E.                                      A
prospective Commercial Operator may conduct business under the “umbrella”
(subcontract) of a Full Service Operator, using a portion of the Full Service
Operator’s hangar and office space to fulfill the hangar and office space
requirement.


 


F.                                      The
minimum space requirements hereinafter provided may be satisfied by the lease,
construction or sublease of single, abutting, or separate parcels having one
(1) building, attached buildings, or separate buildings. For businesses
proposing to offer services directly to the general public, the use of mobile
home type buildings, or T-Hangar space, to satisfy the space requirements is
prohibited. The use of mobile home type facilities is discouraged on the
Airport for any application, and will generally only be considered for approval
on a temporary basis. A minimum 50’ setback from public aviation apron areas is
required for new construction.


 


G.                                     For
construction of any new facilities not already contained on the Airport or the
expansion of existing facilities, the Operator shall be subject to the
Declaration of Protective Covenants and Design Standards for the Airport, as
well as all applicable federal, state, and local laws, ordinances, and codes.


 


H.                                    No
Person shall make any alterations of any nature whatsoever to any buildings,
aprons, or other Airport space, nor shall any building or other structure be
erected, without prior submission of a written request, including detailed
plans and specifications, and the receipt of written permission from the
Authority. Prospective Operators shall comply with all applicable building
codes and shall deliver to the Authority “as built” plans upon completion.


 


I.                                         Operator’s
must submit the required notice of alterations or construction to the Federal
Aviation Administration (“FAA”), FAA Form 7460-1 (Notice of Proposed


 


33

















 


Construction and/or Alteration) and receive a favorable determination,
prior to commencement of any construction.


 


1.10  PERSONNEL


 


A.                                   As
a part of a perspective Operator’s business plan, the prospective Operator
shall show the business will have in his employ, and on duty during the
required operating hours, such numbers and types of trained personnel with
proper FAA credentials, certificates, and ratings, as applicable, to provide
adequate and efficient services.


 


B.                                     Operators
must demonstrate that procedures have been established to assure that all
persons employed, or to be employed, who will have unescorted access to any
area on the Airport controlled for security reasons, have had or will have
background checks to the extent required by law, or FAA regulation including,
at a minimum, references and prior employment histories to the extent necessary
to verify representations made by the employee/applicant relating to employment
in the preceding five years.


 


C.                                     Operator’s
employees shall be neat, clean, and courteous. 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 outside
the space assigned as stated in lease or operating agreement.


 


1.11  EXPERIENCE / FINANCIAL STABILITY


 


A.                                   Experience


 


The prospective Commercial Operator must demonstrate that the operation
through the key management assigned to the Airport, will be able to meet the
minimum experience requirement for the specific business classification being
proposed. Experience must be in the successful operation of a business in the
proposed business classification, as its primary business, at an airport
approximately the same size and activity mix as the Airport.  Specific minimum experience requirements per
classification are:


 


Single Service Operator:    No experience required,
but some experience recommended, other than for a Single Service Operator
providing commercial Into-plane (non-retail) fueling who must have five (5)
years experience.


Limited Service Operator:    Two (2) years
experience in the service area to be provided. If one of the services is
into-plane (non-retail) fueling, the operator must have five years experience
in fueling.


Full Service FBO:   Five (5) years experience in the
operation and management of a full service fixed base operation business
including retail fueling and line services.


 


B.                                     Financial
Stability


 


1.                                       Capital Improvement / Equipment Funding:  The Operator must demonstrate that it has,
or is able to secure, the necessary level of capital for the purpose of (i)
constructing new facilities, or remodeling existing leased facilities, and (ii)
acquiring


 


34

















 


maintenance equipment and aircraft, as may be necessary to service
existing and future business demands.


 


2.                                       Operating Capital: 
The prospective Operator must demonstrate that it has the necessary
available operating capital to enable it to (i) hire the necessary personnel,
(ii) pay Airport rents, operating expenses and fees and (iii) generally cover
all other business operating expenses for the initial 12 start up period of the
business. Operator must also demonstrate that the proposed business is
projected to generate the level of revenue to sustain business operations past
the initial 12 months.


 


3.                                       Security for Payment:  The prospective Operator shall agree to provide Authority, on the
effective date of an operating agreement, a surety bond, or other similar
security acceptable to Authority (“Contract Security”) in a minimum amount
equal to the estimate of six (6) months’ rentals, fees and charges payable by
the Operator to Authority as a guarantee the faithful performance by the
Operator of its obligations under the agreement and the payment of all rentals,
fees, and charges. Operator must maintain such contract security in effect
until the expiration of eighteen (18) consecutive months during which period
Operator commits no event of default as detailed in the operating agreement. At
that time, a reduced security will be agreed upon. Security shall be in a form
and with a company reasonably acceptable to Authority.


 


4.                                       Wavier of Contract Security:  The Authority may waive or reduce such
Contract Security requirements conditioned upon the Operator having
successfully operated a business, similar to the one being proposed, at a
minimum of two (2) other airports with activity levels and characteristics
similar to the Airport, during the most recent eighteen (18) month period,
without committing any material default under the terms of the respective lease
and use agreements at each of the two (2) facilities, and without any history
of untimely payments for rentals, fees, and charges.


 


1.12  INDEMNITY AND INSURANCE


 


A.                                   Indemnification


 


Perspective Operator’s must agree, except for matters resulting from
the negligence or intentional wrongful acts of Authority or its directors,
officers, employees, public officials or agents, to indemnify and hold harmless
Authority and its directors, officers, and employees, public officials, and
agents, against, any and all demands, claims, causes of action, fines, penalties,
damages, losses, liabilities, judgments, and expenses for bodily injury, death,
damage to property, any other personal injury, and business interruption
(including, without limitation, attorneys’ fees and court costs) incurred in
connection with or arising from: (1) the use or occupancy of the Airport by
Operator, or its employees, agents, contractors, invitees, visitors, any other
person entering upon the Airport under the express or implied invitation of
Operator, or any person claiming under Operator; (2) any activity, work, or
thing done, or permitted or suffered on or about the Premises by Operator, or
its employees, agents, contractors, invitees, visitors, any other person
entering upon the Airport under the express or implied invitation of Operator,
or any person claiming under Operator; (3) any acts, omissions, or negligence
of Operator, or its employees, agents, contractors, invitees, visitors, any
other


 


35

















 


person entering upon the Airport under the express or implied
invitation of Operator, or any person claiming under Operator; (4) any breach,
violation, or nonperformance by Operator, or its employees, agents,
contractors, invitees, visitors, any other person entering upon the Airport
under the express or implied invitation of Operator, or any person claiming
under Operator, of any term, covenant, or provision of this License or any law,
ordinance, or governmental requirement of any kind; or, (5) any injury or
damage to the person, property, or business of Operator, or its employees,
agents, contractors, invitees, visitors, any other person entering upon the
Airport under the express or implied invitation of Operator, or any person
claiming under Operator. If any action or proceeding is brought against
Authority, its directors, officers, employees, public officials, or agents, by
reason of any such claim, Operator, upon notice from Authority will defend the
claim at Operator’s expense with counsel satisfactory to Authority.


 


B.                                     Minimum Liability / Insurance Requirements:


 


1.                                       Without
limiting the Operator’s obligation to indemnify the Authority, the Operator
shall provide, pay for, and maintain in force at all times during the term of
this Agreement a policy of:


 


a.                                       Comprehensive
general aviation liability insurance including premises, products liability,
blanket contractual and completed operations, to protect against bodily injury
liability and property damage in an aggregate amount of not less than:


 


Single or Limited Service Operator – $2,000,000 to $5,000,000 per
occurrence depending on activity and location at the Airport.


Single or Limited Service Operator doing Into-plane fueling or Full
Service Operator – $20,000,000 per occurrence.


 


b.                                      Comprehensive
vehicle liability insurance in a combined single limit of not less than
$1,000,000.00 per occurrence for all vehicles that will be operating on the
Airport.


 


c.                                       If
applicable, hangar keepers insurance in amounts sufficient to cover the loss of
aircraft in the care, custody or control of Operator.


 


d.                                      Aircraft
liability insurance for owned or leased aircraft with an inclusion in the
coverage for passengers and a commercial use rating of not less than $1,000,000
per occurrence. And, if applicable, student instruction and renter pilots
insurance.


 


e.                                       Statutory
Worker’s Compensation insurance.


 


f.                                         For
any Operator fueling or conducting other activities involving hazardous
materials an environmental liability insurance policy in an amount of not less
than $1,000,000 per occurrence.


 


g.                                      Fire
and Extended Coverage Insurance on the Operator’s buildings and other
improvements on the Airport under Operator’s control, insuring against loss and
damage


 


36

















 


by fire, vandalism and extended coverage perils. The Operator shall
furnish evidence of insurance in an amount no less than the replacement cost of
the improvements.


 


2.                                       The
above mentioned insurance amounts and types of insurance shall be reviewed from
time to time by the Authority and may be adjusted by the Authority if the
Authority reasonably determines such adjustments are necessary to protect the
Authority’s interests. The Operator shall furnish the Authority, as evidence
that such insurance is in force, a certified copy of the insurance certificate
including the Authority as additional insured within 30 days after the
policy(s) is issued. Said policies shall be in a form and content satisfactory
to the Authority and shall provide for thirty (30) days written notice to the
Authority prior to the cancellation of or any material change in such policies.


 


C.                                     Environmental Impairment


 


Operators must agree to comply with any environmental permits and
regulations affecting its operations, including furnishing of insurance or
other security against environmental impairment risks as required by the
Authority, or agencies of the State or Federal Government.


 


D.                                    Performance Bonds


 


Operators must agree to cause a surety bond, or other acceptable
security, to be issued in the name of the Authority in the amount equal to 100%
of the future building construction costs, prior to the beginning of any
construction financed by the Operator.


 


1.13  LEGAL NON-CONFORMING USE


 


A.                                   Defined:   These Minimum Standards shall
not apply so as to effect Operators at the Airport which have a current, valid
lease and/or use agreement with the Authority on the effective date of the
adoption hereof. However, after any lease and/or use agreement with the Port
Authority expires, or is terminated, or if the Operator wishes to modify,
delete, increase, or expand its services, full compliance shall be made with
the appropriate provisions of the Minimum Standards.


 


For new Operators, the pertinent Minimum Standards for such Operator
shall be based upon the nature of its initial business venture. If, at a later
date, the business is expanded to encompass new and additional types of
services, then, in such event, the Minimum Standards established for these
additional services shall immediately apply.


 


In the event that a current Operator which has a valid lease and/or use
agreement with the Port Authority does not have the minimum types or amounts of
insurance coverages required by the Authority for the categories of services
offered by the Operator, then, the Authority shall determine whether additional
insurance coverage shall be obtained by the Operator.


 


B.                                     Safety/Security Compliance:                                          Legal
Non-Conforming Use status shall not be granted to Persons or organizations for
non-compliance with fueling, chemicals, and equipment maintenance, or other
safety/security related activities, for a period longer


 


37

















 


then sixty (60) days from the date of notification of noncompliance. If
the event of Non-Compliance involves a violation of state or federal
regulations, immediate compliance is required.


 


SECTION 2 - AERONAUTICAL SERVICES


 


2.01  INTRODUCTION


 


The Minimum Standards For Commercial Aeronautical Services incorporate
by Reference FAA Advisory Circular No. 150/5 1909-1A, Minimum Standards for
Commercial Aeronautical Activities on Public Airports (1985) and any update or
amendments thereto, and the Authority’s rules and regulations, as may be
adopted or amended.


 


The Authority does not certify that the required minimum land, and
building areas, personnel or equipment levels will be adequate for an
individual Operator’s successful operation of the commercial activities
described. Operators must determine if additional land and building space, or
personnel and equipment exceeding the minimums, may be necessary for the Operator
to ensure that services are effectively provided to meet the needs of the
public.


 


All Aeronautical services and use of the Airport shall be conducted in
strict compliance with federal, state and local laws and regulations.


 


2.02  DEVELOPMENT OF QUALITY SERVICES


 


It is the Authority’s intent to ensure that the Airport, through its
authorized Commercial Operators, provides a full range of quality business
services to the aviation public. To accomplish this objective, the Authority
has established a Full Service Operator development process. The development
process is founded on the principle that experienced, well capitalized,
Operators have the greatest chance of successfully providing quality services
to Airport customers. The process also provides opportunities for interested
parties, with limited experience, to establish aviation service businesses, to
gain the necessary experience, and to grow into a full service operator level.


 


2.03  EXCLUSIVE RIGHTS


 


In accordance with FAA regulations, no private aeronautical service
provider will be granted an exclusive right to provide any aeronautical service
on the Airport. Any interested party meeting the Minimum Standards may qualify
for authorization to begin business.


 


It is the intent of the Authority to promote private retail fuel sale
activities. The Authority, however, reserves the right to establish retail fuel
operations at anytime it believes that in doing so would be in the best
interest of the public. Further, in the absence of a qualified Operator, the
Authority reserves the right to provide retail fuel sales or any other
commercial service. The Authority may provide retail fuel sales as an


 


38

















 


“exclusive right” of the Authority. In such case the service can no
longer be considered a service that can be offered by private Commercial
Operator at the Airport without the Authority specifically relinquishing such
“exclusive right.”


 


2.04  SINGLE SERVICE OPERATOR


 


A person or organization, meeting the Minimum Standards of any one (1)
of the following aeronautical services, may apply to the Airport for permission
to operate as a Single Service Operator. Single Service Operators are
prohibited from retail sales of fuel or petroleum products and/or providing
aviation line services. Fuel/petroleum retail sales and line services are
privileges reserved for qualified Full Service Operators. Single Service
Operations are considered to be “entry level” business activities and thus no
actual experience in operating such a business in required. Some experience is,
however, recommended. The exception to this is the Single Service Operator
performing Into-Plane Fueling. Into-Plane Fuelers must have a minimum of five
(5) years experience in into-plane fueling. A Single Service Operator may
conduct business under the “umbrella” of an authorized Full Service Operator.
In such cases, with the Authority’s approval, the minimum requirements for the
combined services may be combined.


 


A.                                   Aircraft Sales


 


Any operator desiring to engage in the sale of new or used aircraft
must lease or provide as a minimum the following:


 


1.                                       Services


 


Operator must be capable of repairing the engines and other operational
components of the Aircraft being sold or have an agreement with another operator
at the Airport to perform such maintenance. Repairs also include warranty work
on new aircraft. Operators that are only authorized to provide aircraft sales
service are prohibited from performing aircraft maintenance and repair work for
the general public.


 


2.                                       Land Area


 


Operator shall lease a site at the Airport, in accordance with Section
1.09 of these Minimum Standards, of a size that will accommodate the proposed
buildings, ramp, storage of aircraft, auto parking, and access to the Airports
runway/taxiway system.


 


3.                                       Buildings


 


Lease, sublease, or construct a building or buildings in accordance
with Section 1.09 of these Minimum Standards, that includes properly lighted
and heated space for offices, hangar storage, personnel, aircraft maintenance,
and public waiting areas, including restroom facilities and public telephones.


 


39

















 


4.                                       Personnel


 


Provide one or more persons holding current commercial pilot
certificate with ratings appropriate for the type of aircraft to be
demonstrated or for sale. One person currently certificated by the FAA to
perform aircraft maintenance work on the aircraft being sold, if the Operator
intends to do his own maintenance.


 


5.                                       Hours of Operation


 


Dealer shall provide normal operating hours of at least eight (8) hours
per day, five (5) days per week.


 


6.                                       Dealership/Aircraft


 


A new Aircraft dealer shall be an authorized factory dealership or
sub-dealership having a “license” or the permits required by the state, and
knowledge of applicable Ohio statutes concerning sales, contracts, and
warranties. A dealer in new Aircraft shall own or have exclusive lease on a
minimum of one current model demonstrator, not more than twelve (12) months
old.


 


7.                                       Parts and Service


 


Dealer shall have an adequate supply of parts and servicing facilities
to provide maintenance service to customer’s aircraft during warranty period,
an agreement with another authorized Operator to perform such maintenance.


 


8.                                       Maintenance


 


Aircraft must be maintained in accordance with FAA regulations and the
manufacturers maintenance standards.


 


B.                                     Airframe and Powerplant Repair


 


Any Operator desiring to engage in airframe and/or powerplant repair
service must provide as a minimum the following:


 


1.                                       Land
Area


 


Operator shall lease land at the Airport, in accordance with Section
1.09 of these Minimum Standards, of sufficient size to accommodate the proposed
buildings, ramp, storage of aircraft, customer and employee auto parking, and
access to the Airport’s Runway/Taxiway System.


 


2.                                       Buildings


 


Lease, sublease, or construct a building, in accordance with Section
1.09 of these Minimum Standards, that includes properly lighted and heated
maintenance shop, parts storage space, office space, and a public waiting area
including public restrooms and telephones.


 


40

















 


3.                                       Personnel


 


In addition to complying with Section 1.10 of these Minimum Standards,
Operator shall employ a minimum of one person currently certificated by the FAA
with ratings appropriate for work to be performed.  Additional personnel shall be provided to keep office attended
during normal hours of operation.


 


4.                                       Hours of Operation


 


Hours of operation shall be a minimum of eight (8) hours per day, five
(5) days per week, with provisions for emergency on-call service during nights,
weekends, and holidays.


 


5.                                       Equipment


 


Sufficient equipment, supplies and availability of parts to perform
maintenance on various types of based aircraft in accordance with manufacturer
specifications and FAA regulations.


 


C.                                     Aircraft Rental


 


Any service desiring to engage in the rental of aircraft to the public
shall provide as a minimum the following:


 


1.                                       Land
Area


 


An area of land on the Airport, in accordance with Section 1.09 of
these Minimum Standards, to provide space for aircraft parking, auto parking
and building.


 


2.                                       Building


 


Lease, sublease, or construct a building, in accordance with Section
1.09 of these Minimum Standards, that includes office space, adequately lighted
and heated, with public use telephones, public restrooms, flight planning, and
customer waiting areas.


 


3.                                       Personnel


 


In addition to complying with Section 1.10 of these Minimum Standards,
Operator shall employ a minimum of one person holding a current commercial
pilot certificate with appropriate ratings and additional persons to attend the
office during normal working hours.


 


4.                                       Aircraft


 


Operator shall own or have an exclusive lease in writing for one (1)
air worthy single-engine aircraft equipped for flight under both visual and
instrument conditions.


 


41

















 


5.                                       Hours of Operation


 


Minimum hours of operation shall be eight (8) hours per day, five (5)
days per week.


 


6.                                       Maintenance


 


Aircraft must be maintained in accordance with FAA regulations and the
manufacturers maintenance standards.


 


D.                                    Flight Training


 


Any Operator desiring to engage in pilot flight instruction shall
provide as a minimum the following:


 


1.                                       Certification


 


Flight training service shall meet all FAA requirements for flight
instruction leading to private, commercial, instrument and flight instructor
ratings, and shall meet all requirements of appropriate state and federal
regulations.


 


2.                                       Land
Area


 


An area of land in accordance with Section 1.09 of these Minimum
Standards on the Airport for building space, aircraft parking, customer and
employee vehicle parking, and access to the Airport’s Runway/Taxiway System.


 


3.                                       Buildings


 


Lease, sublease, or construct a building in accordance with Section
1.09 of these Minimum Standards, that includes office, pilot lounge, classroom
and flight planning area’s, restrooms, and hangared aircraft storage.


 


4.                                       Personnel


 


In addition to complying with Section 1 10 of these Minimum Standards,
Operator shall employ a minimum of one (1) person certified by the FAA as a
flight instructor with proper ratings for VFR/IFR training required and such
additional persons as required to attend to the office during normal working
hours.


 


5.                                       Aircraft


 


One (1) aircraft equipped for flight training under both visual and
instrument conditions, shall be owned or exclusively leased by the Operator for
flight training.


 


42

















 


6.                                       Hours of Operation


 


Minimum hours of operation shall be eight (8) hours per day, five (5)
days per week.


 


7.                                       Maintenance


 


Aircraft must be maintained in accordance with FAA regulations and the
manufacturers maintenance standards.


 


E.                                      Air Taxi and Charter Services


 


Any Operator desiring to engage in air taxi or charter service shall
provide as a minimum the following:


 


1.                                       Land Area


 


An area of land, in accordance with Section 1.09 of these Minimum
Standards, on the Airport to provide space for buildings, aircraft parking,
customer and employee vehicle parking, and access to the Airport’s
Runway/Taxiway System.


 


2.                                       Buildings


 


Lease, sublease, or construct a building, in accordance with Section
1.09 of these Minimum Standards, that includes office, customer lounge, flight
planning, hangar space, public restrooms and telephones.


 


3.                                       Personnel


 


In addition to complying with Section 1.10 of these Minimum Standards,
Operator shall employ a minimum of one (1) FAA certified commercial pilot
appropriately rated to conduct air service offered and such additional
personnel as required to attend to the office during normal working hours.


 


4.                                       Aircraft


 


A minimum of one (1) twin engine aircraft capable of carrying six (6)
passengers, and equipped for flight under visual and instrument conditions,
shall be owned or exclusively leased by the Operator.


 


5.                                       Hours
of Operation


 


Minimum hours of operation shall be eight (8) hours per day, five (5)
days per week.  Operator shall also
provide 7 day a week, 24 hour a day, on call service during non-office hours.


 


43

















 


6.                                       Certification


 


Operator and all pilots must meet all provisions of all appropriate
federal regulations (i.e. Part 135 or Part 121).


 


7.                                       Ground Transportation Services


 


The Operator may make provisions for the transportation of pilots and
passengers of transient General Aviation Aircraft to and from the Operator’s
facilities across the Airport’s Apron areas as a part of his business
operations.  The Operator performing
this service with motor vehicles driven on the Airport property shall do so
only in strict compliance with any Airport rules and regulations, applicable
federal, state and municipal laws, ordinances, codes, or other similar
regulatory measures as may be hereafter added, modified, or amended.


 


The Operator shall procure and maintain for any motor vehicles he
operates on the Airport motor vehicle liability insurance in the limits
specified in these standards.


 


8.                                       Maintenance


 


Aircraft must be maintained in accordance with FAA regulations and the
manufacturers maintenance standards.


 


F.                                      Avionics,
Instruments, and/or Propeller Services


 


Operator desiring to provide avionics, instrument, or propeller service
must hold the appropriate FAA repair station certificates and ratings for same
and provide as a minimum the following:


 


1.                                       Land Area


 


An area of land, in accordance with 1.06D, on the Airport for
buildings, customer and employee vehicle parking, and temporary aircraft ramp
parking, and access to the Airports Runway/Taxiway System.


 


2.                                       Buildings


 


Lease, sublease, or construct a building, in accordance with Section
1.09 of these Minimum Standards, that includes office, public restrooms and
telephones, customer lounge, and hangar space for aircraft undergoing repair.


 


3.                                       Personnel


 


In addition to complying with Section 1.09 of these Minimum Standards,
Operator shall employ a minimum of one (1) FAA certified mechanic, qualified in
terms of the applicable FAA repair station certificate.


 


44

















 


4.                                       Hours
of Operation


 


Minimum hours of operation shall be eight (8) hours per day, five (5)
days per week.


 


G.                                     Specialized Commercial Flight Services


 


Operators desiring to engage in an on-going business of providing
specialized commercial flight services including, but not limited to: banner
towing and aerial advertising; aerial photography or survey; fire fighting or
fire patrol; power line or pipeline patrol; any other operations specifically
excluded from Part 135 of the FAA Regulations shall provide as a minimum the
following: (Note does not include those aeronautical services conducted
incidental to the Operators primary off-airport business, such as aerial photo
as a part of an engineering business). 
If a specific Minimum Standard does not exist for a specific service,
one must be developed in accordance with Section 1.05 of these Minimum
Standards.


 


1.                                       Land Area


 


An area of land on the Airport, in accordance with Section 1.09 of
these Minimum Standards, to provide for buildings, aircraft parking and tie
downs.


 


2.                                       Buildings


 


Lease, sublease, or construct a building in accordance with Section
1.09 of these Minimum Standards, for office, hangar space, and a customer
reception area with public telephone and restrooms.


 


3.                                       Personnel


 


In addition to complying with Section 1.10 of these Minimum Standards,
Operator shall employ one (1) person having a current commercial certificate
with appropriate ratings for the aircraft to be flown.


 


4.                                       Aircraft


 


One (1) properly certificated Aircraft owned or leased by written
agreement.


 


5.                                       Hours of Operation


 


The minimum operating hours will be eight (8) hours a day five (5) days
per week.


 


6.                                       Maintenance


 


Aircraft must be maintained in accordance with FAA regulations and the
manufacturers maintenance standards.


 


45

















 


H.                                    Into-Plane Fuel Services


 


1.                                       Land Area


 


An area of land in accordance with Section 1.09 of these Minimum
Standards, on the Airport to provide space for buildings, customer and employee
parking, the parking and storage of equipment and access to the Airport’s
aircraft parking areas.


 


2.                                       Buildings


 


Lease, sublease, or construct a building in accordance Section 1.09 of
these Minimum Standards, for offices and restrooms.


 


3.                                       Personnel


 


In addition to complying with Section 1.10 of these Minimum Standards, Operator
shall employ one (1) person having current training in the fueling of large
airline type aircraft.


 


4.                                       Equipment


 


One (1) properly equipped and maintained aircraft fuel truck having a
capacity of 7,000 gallons or more.  One
(1) hydrant fuel pumping cart. 
Equipment and materials necessary to address a fuel spill.


 


5.                                       Hours of Operation


 


The minimum operating hours will be eight (8) hours per day five (5)
days per week or as necessary to meet the flight schedules of the airlines
serving the Airport.  Operator shall
have provisions for “On-Call” fueling outside of regular operating hours.


 


6.                                       Maintenance


 


Fuel equipment must be maintained in accordance with FAA regulations
and the manufacturers maintenance standards.


 


I.                                         Cargo Handing Services


 


1.                                       Land Area


 


Lease an area of land, in accordance with Section 1.09 of these Minimum
Standards, on the Airport for buildings, customer and employee parking, storage
of equipment, and access to aircraft parking areas.


 


46

















 


2.                                       Equipment


 


Sufficient equipment necessary to perform on-load and off-load of cargo
from large aircraft in accordance with customer requirements.


 


3.                                       Personnel


 


In addition to complying with Section 1.10 of these Minimum Standards,
Operator shall employ one (1) person having current training in the on-load and
off-load of cargo from large cargo aircraft.


 


4.                                       Hours of Operation


 


The minimum operating hours will be eight (8) hours per day five (5)
days per week or as necessary to meet the flight schedules of the airlines
serving the Airport.  Operator shall
have provisions for “On-Call” service.


 


5.                                       Maintenance


 


Ground Support Equipment (GSE) must be maintained in accordance with
manufacturers maintenance standards.


 


J.                                        Commercial Hangar Storage


 


1.                                       Land
Area


 


Lease an area of land, in accordance with Section 1.09 of these Minimum
Standards, on the airport for hangars, customer and employee parking and access
to the Airport Runway/Taxiway System.


 


2.                                       Equipment


 


Sufficient equipment necessary to perform aircraft towing operations
for the type and size of aircraft being stored.


 


3.                                       Personnel


 


In addition to complying with Section 1.10 of these Minimum Standards,
Operator shall employ one (1) person having current training in the towing of
aircraft for the type and size of equipment being stored.


 


4.                                       Hours of Operation


 


The minimum operating hours will be eight (8) hours per day, five (5)
days per week or as necessary to meet the flight schedule of the aircraft being
served.


 


47

















 


5.                                       Maintenance


 


GSE equipment must be maintained in accordance with the manufactures
maintenance standards.


 


2.05                           LIMITED SERVICE OPERATOR


 


A person or organization, meeting the Minimum Standards of more than
one (1) of the aeronautical services listed in Section 2.04 of these Minimum
Standards, may apply to the Airport in accordance with Section 1.06 of these
Minimum Standards, for permission to operate as a Limited Service
Operator.  Limited Service Operators may
provide multiple services, but are prohibited from providing retail sales of
fuel or petroleum and/or aviation line services.  The Minimum Standards set forth in Section 2.04 shall apply to
each service provided by a Limited Service Operator.  The minimum requirements listed for land, building, equipment and
personnel for each service may be combined with the Authority’s approval as
long as the provision of safe and comfortable services is ensured.


 


When determining actual space and other requirements, all doubts,
questions or decisions will be resolved in the favor of the Airport Customer,
unless there are overriding safety or security issues.  Actual space requirements will also be
dependent upon the nature of proposed individual commercial services to be
operated in combination; the design and configuration of the proposed building
and the operator’s expansion plans; the proposed geographic location on the
Airport; and what has been required of other Operators on the Airport who
provide a similar combination of services.


 


Further, actual space and personnel requirements will not necessarily
be the sum of the minimums for each individual aeronautical services in all
instances.  Because of the above
variables, the applicable Minimum Standards on combinations of service will be
discussed with the prospective Operator at the time of this application.


 


2.06                           FULL SERVICE OPERATORS


 


A person or organization meeting the Minimum Standards of the following
required aeronautical services as described in this Section, may apply for permission
to conduct business as a Full Service Fixed Base Operator on at the
Airport.  A Full Service Operator is the
only Commercial Operator classification authorized to either sell fuel or
petroleum products or provide line services.


 


A.                                   Minimum services required of Full
Service Operators are:


 


1.                                       Aircraft Maintenance and Repair Services:  Operator shall have FAA approved A and P
licensed mechanics available at all times to provide aircraft maintenance
services to meet the needs of the aircraft regularly utilizing the airfield,
including but not limited to the following aircraft:


 


a.                                       Jet
Aircraft (747, DC-10, A300, DC9, 727 and smaller)


b.                                      Twin
engine (turbine/reciprocating) aircraft


 


48

















 


c.                                       Single
engine aircraft


 


2.                                       Charter Service (Part 135 or 121 Certificate):  Operator shall own or have available at all
times at least one (1) aircraft capable of providing non-scheduled twin engine
passenger/cargo charter services. 
Operator shall also provide or coordinate jet aircraft charter services
upon request with at least a 5 day notice.


 


3.                                       Aircraft Rental: 
Operator shall own or have available at all times for rental a minimum
of two (2) aircraft, single-engine and or multi-engine, with one (1) aircraft
equipped for flight under instrument flight rules and conditions.  Rental Aircraft will be available for rent
to general aviation pilots who meet the Operator’s criteria for renting
aircraft.


 


4.                                       Commercial Fuel Sales/Line Services:  Operator shall have available at all times a
minimum of one (1) 750 gallon aviation gasoline truck, one (1) 7000 gallon jet
fuel truck equipped and maintained in accordance with State and Federal
Regulations and Authority Standards, one (1) hydrant cart and the necessary
equipment and materials to contain a fuel spill.  Operator is prohibited from selling fuels or other aviation
products to individuals or organizations who plan to resell those products to
others at the Airport.  Operator shall
provide, but shall not be limited to, the following services in a quantity and
level of quality to meet the needs of the airlines and general aviation:


 


a.                                       Retail
aviation fuel sales for end user consumption


b.                                      Into-plane
Airline Fueling


c.                                       Associated
aviation line (ramp) services including, but not limited to:


 


•                                          aircraft
deicing


•                                          aircraft
preheating/starting


•                                          aircraft
towing/parking


•                                          pilot
supplies


•                                          aircraft
meeting/greeting


•                                          tie
down services


•                                          in/out
hangar services


•                                          aircraft
washing


•                                          aircraft
parking


•                                          large
aircraft push back services


 


Authority shall retain the exclusive right to provide all fuel storage
and wholesale fuel sales including: all fuel sales on the Airport to other
individuals or other organizations who intend to resell the product to others
at the Airport, and all fuel sales to aircraft owners who desire to self-fuel
their own aircraft at the Airport using approved mobile fuel trucks.  All fuel brought onto the Airport shall be
processed through the Authority’s fuel storage facility.  Operator’s quality control personnel will
ensure that the quality of all outgoing fuel is consistent with ATA aircraft
fueling standards, and Airport Fire Safety/Standards.


 


5.                                       Aircraft Hangar/Tie-down Services:  Operator shall provide space as available
for the storage of aircraft visiting or based at the Airport on a first come,
first serve basis.


 


49

















 


6.                                       Preferred Additional Services: Operator shall
arrange for, or provide, the following preferred services as necessary to meet
customer needs at the Airport:


 


a.             Avionics Repair


b.             Propeller Repair


c.             Aircraft Painting


d.             Aircraft Engine
Rebuilding (Recip/Turbine)


e.             Air cargo ground
handling


f.              Pilot Training


 


The Operator will make an effort to recruit or establish these services
physically, on the Airport, as part of an Operator’s five (5) year development
plan for the FBO.


 


7.                                       Marketing/Promotion: 
Operator must demonstrate the ability to develop and maintain a
marketing and promotion program in an effort to market the Airport’s aviation
services on a regional, national, and international basis.


 


8.                                       Hours of Operation:


 


a.                                       Fuel and Line Services:  Operator agrees to have qualified staff available in levels
necessary to meet the airlines and publics demand for fuel and line service
needs 7 days a week at operating hours mutually agreed to by the Operator and
Authority.  Operator shall arrange for
emergency on-call service during periods of closure.


 


b.                                      Aircraft Maintenance and Repair Services:  Operator agrees to have qualified staff
available a minimum of eight (8) hours per day, five (5) days per week for the
purpose of providing aircraft maintenance, repair, pilot training, and other
services, with provisions for emergency on-call service for aircraft
maintenance during periods of closure.


 


9.                                       Personnel:  Operators shall
provide appropriately qualified employees necessary to meet the level of
service proposed.


 


10.                                 Future Development and Expansion:  The Operator represents that it has, and
will continuously maintain, the knowledge and experience to work in partnership
with the Authority in the further expansion and development of aviation
services (quality and quantity).


 


11.                                 Required Facilities:


 


a.                                       Land:  A minimum of 34,000 s.f. of land on Airport
property is required for Full Service Operations to accommodate buildings,
aircraft, equipment, and employee and customer parking.


 


b.                                      Buildings:  A minimum of 17,000 s.f. of building space
is required to include hangars, shops, offices, classrooms, a pilots lounge,
public restrooms, a flight planning/weather information area, and public
telephones.


 


50

















 


12.                                 Maintenance:  All of the Operator’s aircraft equipment
must be maintained in accordance with FAA regulations and the manufacturers
maintenance specifications.


 


2.07                           TERMINATION OR MODIFICATION OF
COMMERCIAL OPERATING AUTHORIZATION:


 


The Authority’s prime objective in granting permission to conduct
commercial services at the Airport is to meet the aviation needs of the
airlines and aviation public.  The Authority
reserves the right to immediately terminate the Operator’s commercial operating
authority, or reduce the Operator’s operating authority to that of a lower
operating classification, if the Operator reduces its service activities to a
level that does not meet the required minimum standards or the quality and/or
quantity of services, in the Authority’s sole opinion, deteriorates to a level
at which the services fail to meet the operating needs of the aviation public.


 


SECTION 3 - AIRCRAFT / AUTO FUELS, DISPENSING and STORAGE


 


3.01 
INTRODUCTION


The retail sale, storage or dispensing of aircraft and automobile fuels
and other petroleum products shall be conducted strictly in accordance with
Federal Aviation Regulations (FAR) Part 139, federal and state environmental
laws, Airport Rules and Regulations and Airport Fueling Standards.


 


3.02 
FUEL STORAGE


 


The storage of aviation or auto fuels on the Rickenbacker International
Airport is reserved as an aeronautical service (business) conducted by the
Authority as an “exclusive right”.  Fuel
storage activities shall be controlled in accordance with the following
conditions:


 


A.                                   No
fuel may be delivered to or otherwise brought onto Airport property unless
authorized by the Authority.


 


B.                                     All
fuels brought onto Airport property shall be stored in the Airport Authority’s
fuel storage facility.  Privately owned
fuel storage on Airport property is prohibited.


 


C.                                     Fuel
deliveries brought onto Airport property shall be in trucks having a capacity
of not less than 7,000 gallons.


 


D.                                    Mobile
fuelers, or fuel trucks/trailers, may not be used solely for fuel storage.  Fuel trucks approved by the Authority to
dispense fuels directly into aircraft, having capacities of no more than 8,000
gallons, shall not be considered to be “storage” as long as the fuel truck is
used to fuel aircraft daily.


 


E.                                      Authorized
Commercial Operators, and aircraft owners desiring to self fuel their privately
owned aircraft fleet, may request authorization to rent excess storage space
capacity in the Authority’s fuel storage facility.  Such a use of fuel storage space will


 


51

















 


only be considered by the Airport when the Operator or self-fueler
demonstrates that their fueling activities exceed 150,000 gallons per
year.  Authorized use of space shall be
discontinued if the Operator fails to maintain fueling levels of at least
150,000 gallons annually.


 


3.03  COMMERCIAL AVIATION FUELING


 


Retail sales of aviation fuels and petroleum products, are specifically
reserved for qualified Full Service Fixed Base Operators, as detailed in
Section 2.06 of these Minimum Standards. 
Single and Limited Service Operators are prohibited from retail fueling
activities.


 


3.04  AUTO AND WHOLESALE FUEL SALES


 


The sale of auto fuels (gasoline and diesel) and the sale of fuels to
other parties for resale are business activities specifically reserved as
“exclusive rights” of the Authority.


 


3.05  SELF FUELING OF PRIVATE AIRCRAFT


 


A person or organization owning or exclusively leasing aircraft shall
be permitted, personally or using the organization’s employees, to fuel their
own aircraft in accordance with the Airport’s Fire Safety / Fuel Handling
Standards.  Self fueling activities must
be accomplished with the owners own equipment. 
The aircraft owner is not permitted to contract with an off-airport
company to enter upon the Airport to refuel his aircraft.  Further, the Authority prohibits the use of
a “CO-OP” (an organization formed by several aircraft owners for the purpose of
self fueling) as a single aircraft owner for the purpose of self fueling.  The Authority has the right to request a
copy of the FAA aircraft registration or evidence of an exclusive aircraft
lease prior to allowing self-fueling. 
Self fueling owners may not dispense fuel from their privately owned
fueling equipment into aircraft not directly owned by the self fueler.  Further, the self fueler’s fuel may not be
sold, given, or ownership otherwise transferred, to other aviation Operators or
owners at the Airport.  The self fueling
owner must receive a self fueling license, enter into a self fueling agreement
with the Authority, and obtain the required General Liability and Environmental
Insurance prior to undertaking any self fueling.


 


3.06  USE OF THE FUEL STORAGE FACILITY:


 


A.                                   Use
of the Authority’s fuel storage facility by commercial fuel Operators is
limited to the storage of Operator’s aviation (100 octane) gasoline and jet
fuel.  The selection of fuel,
maintaining fuel quality once in the Operator’s fuel trucks and the dispensing
of the fuel, are the sole responsibility of Operator.


 


B.                                     Authorized
Operators shall have the access to the Authority’s fuel storage facility as
necessary to fill its mobile fuelers.


 


C.                                     Authorized
Operators shall fully comply with the operating procedures of the fuel storage
facility including those procedures required to test for contaminated fuel, and


 


52

















 


EPA, FAA, and Authority regulations regarding the handling and
dispensing of hazardous materials. 
Operator’s shall have adequate spill containment materials on hand.


 


D.                                    Operators
authorized by Authority to have exclusive use fuel storage space (Separate from
the Authority’s primary co-mingled storage) in the Authority’s fuel storage
area shall perform the following fuel quality tests in accordance with its use
of the fuel storage facility, unless other tests are required by the Authority:


 


1.                                       Perform
and make record of daily “white bucket” tests on fuel samples taken from
storage tank thief’s and the filter separators. 


 


2.                                       Perform
and make record of, daily pressure differential tests to determine the
condition of storage tank fuel filters.


 


3.                                       Perform
and make record of monthly filtration (Millipore) tests on fuel stored.


 


4.                                       Perform
and make record of “white bucket” tests on all fuel deliveries prior to placing
the fuel into storage.  Each compartment
of the delivery truck shall be tested before the fuel in that compartment is
placed into storage.


 


5.                                       Copies
of the Operators test records and results shall be sent to the Airport
Operations monthly.


 


6.                                       Evidence
of contaminated fuel, fuel storage leaks, system malfunctions, or fuel spills
shall be immediately reported to Airport Operations.


 


SECTION 4 - FLYING CLUBS: (Ref: FAA Order
5190.6A/Appendix 8)


 


All flying clubs desiring to base their aircraft and operate on the
Airport must enter into an operating agreement with the Authority that
specifies compliance with these Minimum Standards for Flying Clubs.  Flying clubs shall be exempt from meeting
the commercial operating requirements and Minimum Standards for commercial
providers of aeronautical services upon satisfactory fulfillment of the
following conditions:


 


4.01 
DEFINED


 


A flying club shall be defined as a nonprofit entity (corporation,
association or partnership) organized for the express purpose of providing its
members with an aircraft, or aircraft, for their personal use; to foster and
promote flying for pleasure; develop skills in aeronautics including pilotage,
navigation, and an awareness and appreciation of aviation requirements and
techniques.


 


4.02  OWNERSHIP OF AIRCRAFT


 


The ownership, or exclusive lease, of the aircraft, must be vested in
the name of the flying club (or owned ratably by all of its members).


 


53

















 


4.03  PROPERTY RIGHTS OF MEMBERS / GENERATION OF
REVENUES


 


The property rights of the members of the club shall be equal and no
part of the net earnings of the club will inure to the benefit of any member in
any form (salaries, bonuses, etc.).  The
club may not derive greater revenue from the use of its aircraft than the
amount necessary for the operations, maintenance, and replacement of its
aircraft.


 


4.04  NON-COMMERCIAL OPERATION ONLY:


 


A.                                   Flying
clubs may not offer or conduct charter, air taxi, rental of aircraft, flight
instruction or other commercial (for profit) operations. Only members of the
flying club may operate club aircraft. 
Regular members of flying clubs may use club aircraft to receive flight
instruction from a qualified instructor.


 


B.                                     No
flying club shall permit its aircraft to be utilized for the giving of flight
instruction to any person, including members of the club owning the aircraft,
when such person pays or becomes obligated to pay for such instructions, except
when instruction is given by a Commercial Operator authorized by the Authority
to provide flight training on the Airport in accordance with Sections 2 or 3.


 


C.                                     Any
qualified mechanic or flight instructor, who is a registered club member and
part owner of the aircraft owned and operated by a flying club, may do
maintenance work on aircraft owned by the club provided that the club does not
become obligated to pay for work performed. 
Maintenance must be conducted in designated areas of the Airport.


 


D.                                    While
the club, or any member, does not become obligated to pay for such maintenance
work or flight instruction, club members who are mechanics, or instructors, may
be compensated by credit against payment of dues or flight time.


 


E.                                      All
flying clubs and their members are prohibited from leasing or selling any goods
or services whatsoever to any person or firm other than a member of such club
at the Airport except that the flying club may sell or exchange its capital
equipment.


 


4.05  CLUB CHARTER INFORMATION


 


A flying club interested in operating at the Airport must apply for
authorization to do so in accordance with Section 1.06.  With its application, the flying club shall
furnish:


 


A.                                   A
copy of its charter and by-laws, articles of association, partnership agreement
or other documentation supporting its existence.


 


B.                                     A
roster, or list of members, including names of officers and directors, to be
revised on a semi-annual basis.


 


C.                                     Evidence
of insurance in the form of a certificate of insurance equal to the
requirements of a Single Service Operator as detailed in 1.07.


 


D.                                    Number
and type of aircraft; evidence that aircraft are properly certificated;
evidence that aircraft ownership is vested in the club; and operating rules of
the club.


 


54

















 


E.                                      The
books and other records of the club shall be available for review at any
reasonable time by the Authority.


 


4.06  COMPLIANCE WITH LAWS


 


A flying club and its members shall abide by and comply with all
federal, state, and local laws, ordinances, regulations, and the rules and
regulations of the Authority. 
Violations of laws by individual members shall be considered a
personal/individual matter unless the individual member violates the provisions
contained in this Section.


 


4.07  LOSS OF EXEMPTION


 


A flying club which violates any of the foregoing, including violations
by one or more members, will be required to terminate all operations at the
Airport.  Flying club termination’s are
subject to appeal to the Port Authority Board.


 


SECTION 5 - OPERATOR’S AGREEMENTS WITH ANOTHER COMMERCIAL OPERATOR


 


Prior to finalizing any agreement with another Operator conducting or
proposing to conduct commercial aviation operations at the Airport, the
Operator shall obtain the written approval of the Authority.  The Authority may require copies of
agreements between operators and leases or subleases entered into by Operators
for conducting commercial aviation activities or operations at the
Airport.  All Operators will be required
to meet all of the Minimum Standards established for the categories of service
to be furnished by the respective Operator. 
The Minimum Standards may be met in combination between a lessee and
sublessee with the approval of the Authority.  The sublease agreement shall specifically define those services to
be provided by the lessee which will be used to meet the Minimum Standards.


 


SECTION 6 - ENVIRONMENTAL


 


Any Operator, person, party, firm or corporation operating on the
Airport must comply with all federal, state and local environmental
requirements.


 


6.01  ENVIRONMENTAL LAWS


 


Operators shall comply with, and shall take all actions within
Operators’ control to cause all of its agents, employees, representatives,
licensees, concessionaires, customers, clients, and vendees to comply with all
environmental laws (as hereinafter defined).


 


A.                                   Operators
shall, at all times, conduct its business, and assure to the extent within
Operators’ control, that its customers, clients, vendees, concessionaires,
licensees, and the general public, while present in or on Operators’ place or
business or at the Airport, comply with all environmental laws and permits, and
be in possession of all required environmental permits required for Operators
business.


 


55

















 


B.                                     For
purpose of this Lease, environmental laws shall mean all Authority, federal,
state and local environmental land use, zoning, health, chemical use, safety
and sanitation laws, statutes, ordinances and codes relating to the protection
of the environment and/or governing the use, treatment, generation,
transportation, processing, handling, disposal, production or storage of
hazardous substances and the rules, regulations, policies, guidelines,
interpretations, decisions, orders and directives of the Authority and federal,
state and local governmental agencies and authorities with respect thereto
including, without limitation, the Comprehensive Environmental Response,
Compensation and Liability Act of 1980, as amended (42 U.S.C. Sections 6901,
et. seq.), the Hazardous Materials Transportation Act, as amended (49 U.S.C.
Sections 1801, et. seq.), the Resource Conservation and Recovery Act, as
amended (42 U.S.C. Sections 6901,et. seq.) the Toxic Substances Control Act, as
amended (15 U.S.C. Sections 2601, et. seq.) and Chapter 3745 of the Ohio
Administrative Code.


 


C.                                     As
now in effect or hereafter amended, environmental permits shall mean all
permits, licenses, approvals, authorizations, consents or registrations
required by the applicable environmental law or laws in connection with the
use, treatment, generation, transportation, processing, handling, disposal,
production or disposal of hazardous substances.


 


D.                                    Should
Operators, through their negligence or otherwise, experience an incident or
accident or in any way cause a real or potential environmental contamination,
they shall immediately take any and all reasonable actions to cease, contain
and remediate the pollution, contamination or other environmental damage or
risk, and shall notify all agencies, including but not limited to the
Authority, having jurisdiction over the activity which caused the incident and
the containment, cleanup, or mitigation thereof.


 


E.                                      The
Authority and other federal, state and local agencies having jurisdiction
shall, at all times, have the right in their sole discretion to take any and
all actions as they may individually or collectively deem appropriate to cease,
contain, remediate, or otherwise respond to a condition which results from,
causes or threatens to cause environmental pollution’s, contamination or
damage, and to charge Operators for any such action, which charges shall be
paid promptly by Operators.


 


F.                                      Operators
shall assume the risk of, be responsible for, defend, indemnify and hold
harmless the Authority, including without limitation its directors, officers,
agents, employees, customers, invitees, and licensees from any and all losses,
claims liabilities, damages, and expenses (including costs of suit and fees and
expenses for legal services) resulting from any environmental pollution,
condition or damage, or from a failure to comply with any environmental law or
environmental permit, arising from Operations’, agents’, employees’,
representatives’, licensees’, and concessionaires’ conduct of business or other
activities on the Airport.


 


6.02  ENVIRONMENTAL AUDIT


 


Operators shall bear the cost of an Environmental Audit to be performed
if the Authority has reasonable cause to believe that there are environmental
concerns relating to 


 


56

















 


Operators’ operations.  The
audit shall consist of such examinations, tests, inspections, samples, and
reviews as Authority or its consultant shall determine to be advisable.


 


A.                                   Failure
to conduct an Environmental Audit or to detect conditions attributable to
Operators’ operations, if such audit is conducted, shall in no fashion be
intended as a release of any liability of environmental conditions subsequently
determined to associated with Operators’ operation.


 


B.                                     Operators
shall remain liable for any environmental condition related to its operations
regardless of when such conditions are discovered and regardless of whether or
not an Environmental Audit is conducted.


 


SECTION 7 - PENALTIES FOR FAILURE TO MAINTAIN COMPLIANCE WITH MINIMUM
STANDARD REQUIREMENTS


 


7.01                           FAILURE TO COMPLY WITH MINIMUM
STANDARDS OF THE AUTHORITY


 


In the event a failure to maintain compliance with any of these Minimum
Standards, Operator’s will receive notification of the non-compliance from the
Airport Director.  If activities are not
brought into compliance subsequent to notification, the authorization for any
and all commercial activities may be terminated by the Authority, in accordance
with the terms of the written agreement entered into pursuant to Section 1.08
of these Minimum Standards.  Operators
may request that the Authority’s Board of Director’s review the proposed
termination.


 


7.02                           AUTHORITY OF THE AIRPORT DIRECTOR


 


The Authority hereby vests power and authority in the Airport Director
or his designee to enforce these Minimum Standards and otherwise to perform all
acts which may be necessary and proper for the safe and efficient operation of
the Airport.  Failure on the part of any
person to immediately comply with any reasonable request and direction of the
Airport Director or his designee shall be grounds for the ejectment or removal
of such persons from the Airport in any lawful and reasonable manner.


 


7.03                           TERMINATION
OF LEASE


 


Any violation of these Minimum Standards shall be considered an event
of default under a tenants lease.


 


7.04                           CIVIL REMEDY OR CRIMINAL PROSECUTION


 


The Authority, in its discretion, reserves the right to commence any
civil action or suit or file a complaint for criminal prosecution against any
person or persons violating any Minimum Standard which causes injury or damage
to person or property or if such violation appears to constitute the commission
of a criminal act.


 


57

















 


7.05                           LIABILITY
FOR FINES


 


The act, or failure to act, of any Operator, its contractors, agents,
employees, invitees, visitors, or other person entering the Airport through
Operator’s premises that results in a fine or penalty being assessed against
the Airport or Authority by any governmental agency having jurisdiction, or the
FAA shall be fully liable for the payment or reimbursement of such fine or
penalty in addition to the costs associated with the restitution, repair, or
clean-up of conditions resulting from such violations.


 


7.06                           AUDITS


 


Authority shall have the right to conduct periodic audits of Operator’s
premises and business records to determine Operator’s compliance with the
Minimum Standards set forth in this document. 
Authority shall give Operator prior notice of Authority’s intent to
conduct such an audit and such audits shall be conducted during Operator’s
normal business hours.


 


7.07                           AMENDMENTS


 


These minimum standards will be modified or amended from time to time
as the needs of the Airport and the aviation public change.


 


	
  ADOPTED:

  	
  June 2, 1999

  
	
  EFFECTIVE DATE:

  	
  June 2, 1999

  



 


58

















 


RICKENBACKER INTERNATIONAL AIRPORT


SCHEDULE OF RATES AND CHARGES


EXHIBIT
“A” (EFFECTIVE
July 1, 2003)


Landing Fees:


 


•                  Signatory Airline                                                                                                                                                                                                                                     $1.44
per 1000 pounds MCGLW


•                  Non-Signatory Airline                                                                                                                                                                                                           $1.81
per 1000 pounds MCGLW


•                  Commercial Minimum Landing Fee (12,500 lbs.
or less) - $16.25 per landing


•                  General Aviation Landing Fee (Only aircraft
over 60,000 MCGLW):  Same as Signatory/Non-Signatory depending on
the classification of the owner/operator.


 


Fuel Flowage Fees
(General Aviation Landing Fee/ Aircraft less
than 60,000 MCGLW):


 


•                  Per
Gallon of Aviation Fuel Sold at Retail/Wholesale                                                $.05
per gallon.


 


Fuel System Management Fees
(on all gallons processed into storage)                   $.045
per gallon.


 


General License / Commission Fees:


 


•                  Aeronautical Activities:  Two
percent (2%) of the gross revenues derived from the conduct of all approved
aeronautical activities.


 


•                  Non-aeronautical Activities:


Car rental agencies:                                        On airport agencies shall pay 10% of the
gross revenues derived from their activities.


Off airport car rental agencies shall pay 8%
of the gross revenues derived from such activities.


Hotels:                                                                                                          On airport hotel operators shall pay 3% of
the gross revenues derived from their activities.


 


Aircraft Parking Charges:  (Daily Rates)


 


	
  Single Engine

  	
   

  	
  $

  	
  6

  	
   

  
	
  Light Twin

  	
   

  	
  $

  	
  8

  	
   

  
	
  12,500 – 40,000

  	
   

  	
  $

  	
  20

  	
   

  
	
  40,001 – 90,000

  	
   

  	
  $

  	
  30

  	
   

  
	
  90,001 – 150,000

  	
   

  	
  $

  	
  50

  	
   

  
	
  150,001 – 250,000

  	
   

  	
  $

  	
  80

  	
   

  
	
  250,001 – 400,000

  	
   

  	
  $

  	
  100

  	
   

  
	
  400,001 – Over

  	
   

  	
  $

  	
  150

  	
   

  



 


•                  Parking Charges
for Signatory Airlines  do not apply on the first 24 hours,
weekends or holidays.


•                  Parking Charges
for Non-Signatory Airlines apply
after the first 6 hours.


•                  Parking Charges
for General Aviation aircraft exceeding
60,000 lbs. apply after the first 6 hours.


•                  Parking Charges
for General Aviation aircraft less than
60,000 lbs. apply when remaining over night.


•                  Parking Charges
for any General Aviation aircraft based at
the airport do not apply if the owner/operator rents hangar or
tie-down space from the Port Authority or the FBO.


•                  Monthly Parking
Charges for based aircraft using remote
aircraft ramp, as designated by the Authority, will be assessed at a
rate equal to 30% of the daily rate.


 


Definitions:


•                  Signatory - Having a lease or sublease of a ground site or building space on in
accordance with the Authority’s Rates & Charges Policy.  An airline having a contractual airline
operating arrangement with an organization who has such a lease on airport property.


•                  Non-signatory
- Those operators who do not have an on airport lease agreement with the
Authority in accordance with the Rates & Charges Policy.


•                  MCGLW -
Maximum Certificated Gross Landing Weight.


 


Rates and Charges are calculated within an
annual period beginning January 1st and ending December 31st.


 


59