VIA UPS AND REGULAR MAIL 

Office of the Chief Counsel 

At1n: FAA Part 16 Docket Clerk 

AGC-600 

Federal Aviation Administration 

800 Independence Avenue, SW 

Washington, D.C. 20591 

Richard J. Durden 

Attorney at Law 

27987 Richmond Hill Road 

Conifer, Colorado 80433 

616/901-6516 

February 18, 2016 

Re: Michael Pelzer and Pegasus Parachuting Service vs. The State of Michigan 

Docket No. Not yet assigned 

Dear Sir or Madam: 

Enclosed for filing please find an original and three copies ofthe Complaint in the 

captioned matter. One copy is unbound, as requested by the FAA. 

enc. 

cc: Mike Trout, Executive Administrator, Office of Aeronautics, MDOT 

Michael Pelzer 
BEFORE THE 

FEDERAL AVIATION ADMINISTRATION 

WASHINGTON, D.C. 

MICHAEL PELZER and 

PEGASUS PARACHUTING SERVICE 

Complainant, 

RECENED 

rEB 2 3 Z0\6 

PART 16 DOCKETS 

/~-/tt -czs 

vs. 

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Docket No.: Not Yet Issued 

THE STATE OF MICHIGAN 

Respondent ______________ ) 

14 CFR Part 16 COMPLAINT 

Please Serve: 

Richard J. Durden 

Richard J. Durden, Attorney at Law 

27987 Richmond Hill Rd. 

Conifer, Co. 80433 

T: 616/901-6516 

avlaWYer@yahoo.com 

Counsel for Complainant 

I. Entities/Persons That Are the Subject of the Complaint 

Mike Pelzer brings this Complaint for himself and as owner of Pegasus 

Parachuting Service ("Mr. Pelzer" or "Complainant"). As represented by counsel, 

Complainant makes the following Complaint under FAA Rules of Practice for 

Federally-Assisted Airport Proceedings, 14 Code of Federal Regulations ("CFR") Part 

16 for violations of 49 USC§§ 47107, 40103(e) and Grant Assurances 5, Preserving 

Rights and Powers, 22, Economic Nondiscrimination and 23, Exclusive Rights, failure 
to comply with grant obligations and Federal Aviation Administration Order 

5190.68, Airport Compliance Manual, and related Advisory Circulars prohibiting 

establishment of exclusive rights at an airport, unjust discrimination against a 

commercial aeronautical activity seeking airport access and the establishment of 

arbitrary, irrational, ad hoc, unattainable and discriminatory standards for a 

commercial aeronautical activity seeking airport access; against the State of 

Michigan as the owner and sponsor of the Airport, as will be more fully set out 

below. 

The State of Michigan, through its Michigan Department of Transportation, 

Office of Aeronautics, Executive Administrator Mike Trout, may be reached at 2700 

Port Lansing Road, Lansing, Michigan 48906-2160. 

II. and Ill. 14 CFR §16.21 Certification and Factual Background 

For the sake of attempting to shorten the length of this Complaint and avoid 

repetition, Complainant is respectfully combining the Part 16.21 Certification and 

Factual Background sections of his Complaint. 

The State of Michigan is the owner of Romeo State Airport (Airport). It leases 

the Airport to a private company, Romeo Airport Management which is owned by Steve 

Mazur. The company and its owner are responsible for the day-to-day operation of the 

Airport. The State of Michigan is a block grant state. It has received federal AlP funds 

that it has spent on the Airport. The Michigan Department of Transportation ("MDOT") 

is responsible for oversight of the activities of Romeo Airport Management. 

2 
Mike Pelzer has been a private hangar tenant on the Airport for over 20 years. He 

started Pegasus Parachuting Services in 1985 and was one of the earliest tandem 

parachute instructors in the State of Michigan. He worked for a skydiving operation in 

Marine City, Michigan for several years before moving to Napoleon, Michigan in 1990. 

It became Michigan's first, full-time, turbine aircraft drop zone. In 2006, after years of 

commuting two hours and working a full-time job in addition to running the drop zone, 

]\![r. Pelzer closed down the operation at Napoleon. 

Mr. Pelzer has been skydiving since 1979 and has been an instructor since 

1985. He currently holds Coach, Static Line Instructor, Tandem Instructor, Tandem 

Instructor Examiner and Professional Exhibition Skydiver ratings from the United 

States Parachute Association and is a USPA Safety and Training Advisor. He is also 

one of the largest parachute equipment dealers in Michigan. Mr. Pelzer also holds a 

commercial pilot certificate with an instrument rating and has approximately 2,400 

hours of flying time. 

February 2015 

In February 2015, Mike Pelzer contacted airport manager Bill Decker about 

his company, Pegasus Parachuting Service, setting up a commercial skydiving 

operation and parachute landing area on the Romeo State Airport. Mr. Decker 

expressed enthusiasm, saying it might bring more business to the Airport. (Exhibit 

1, page 1-Note, Exhibit 1 is the communications log kept by Mr. Pelzer of the 

communications he had during the course of trying to enter into a commercial 

3 
skydiving operational agreement on the Airport. It will be referred to, with the 

appropriate page number, throughout this Complaint.) 

March2015 

On March 6, Mike Pelzer had a telephone conversation with Steve Mazur, 

owner of Romeo Airport Management to set up a meeting for March 13. At the 

March 13 meeting, Mr. Pelzer went through his plan for the business, including drop 

zone location, hangar plan and projected fuel use. The business would be run from 

the Airport's community hangar ("Hangar"). (Exhibit 1, page 1} The Hangar (photos 

attached, Exhibit 2, Affidavit of Mark Weigand) was/is run down and had been 

vacated by the previous tenant due to its condition-the subject of a previous Part 

13 Complaint against Mr. Mazur and the State of Michigan. (Exhibit 2) Mr. Pelzer 

explained that the condition of the hangar precluded making necessary 

improvements to it-he would bring in a trailer for equipment storage and erect 

temporary classroom and office space that would not be attached to the Hangar. He 

would also store one or two airplanes in the Hangar. Mr. Mazur expressed approval 

of the plan. 

On March 26, Mr. Pelzer received a Concession and Lease Agreement from 

Mr. Mazur. (Exhibit 3) Note, to try to keep the size of this Complaint down and due 

to lack of relevance to any issue, the exhibits to the Agreement are not included. If 

they are desired, they will immediately be provided.) The agreed upon lease rate 

was $950 per month. This was slightly higher than, but consistent with, the $900 per 

month paid by the previous tenant. (Exhibit 2} Mr. Pelzer reviewed the Agreement, 

4 
thought it was acceptable overall and noted some internally conflicting terms and 

some that were not consistent with what he and Mr. Mazur had discussed. For 

example, despite it being a concession and license agreement, no commercial 

operations were allowed to take place in the Hangar even though that was where 

Mr. Pelzer had advised Mr. Mazur the business would take place within temporary 

structures. Also, despite there being room for multiple airplanes, the classrooms 

and office Mr. Pelzer planned to put in the Hangar, the Agreement only allowed for 

storage of one airplane. In addition, the Hangar had been allowed to deteriorate to 

an alarming condition, yet the Agreement put the onus for maintenance on Mr. 

Pelzer. Mr. Pelzer was also concerned that the term was for one year, potentially 

making it difficult for a commercial business to plan for future operations. Oddly, 

the lease also said that improvements to the Airport were scheduled to begin in 

2009, six years prior to the date of the lease. He emailed Mr. Mazur asking for 

clarification and corrections. (Exhibit 4) 

April2015 

Once Mr. Pelzer had asked for clarifications and changes to some of the 

language of the Agreement, Mr. Mazur demonstrated a behavior that would 

characterize and frustrate Mr. Pelzer's attempt to obtain Airport access-Mr. Mazur 

went quiet He refused to respond to telephone calls or emails from Mr. Pelzer. This 

continued through the entire month of April, when Mr. Pelzer should have been 

getting set up to begin his skydiving season. As part of his attempts to reach Mr. 

Mazur, Mr. Pelzer sent him a copy of the participant waiver (hold harmless 

5 
agreement) that Mr. Pelzer's company requires that each skydiver sign and which 

would include the airport and management company. (Exhibit 1, page 1) 

May2015 

By early May 2015, frustrated with Steve Mazur's failure to respond to emails 

and telephone calls, Mr. Pelzer went to his office and personally provided copies of 

his company's insurance and financial data. (Exhibit 1, page 1) Shortly after that, a 

meeting was organized between Juan Zapata of MDOT, Bill Decker and Steve Mazur 

of Romeo Airport Management and Mr. Pelzer to get MDOT's approval his proposed 

site for the parachute landing area. The meeting was held and MDOT approved the 

parachute landing area site the next day. (Exhibit 1, page 1 and Exhibit 5) 

On May 21, 2015, days of further silence by Mr. Mazur, Mike Pelzer sent yet 

another email to Steve Mazur asking for clarifications on the Agreement. (Exhibit 6) 

That day, they spoke on the telephone and Steve Mazur promised the revised 

Agreement the next day. Nothing was provided and Mr. Pelzer left multiple 

telephone messages. (Exhibit 1, page 1) On May 26, Mr. Pelzer received a telephone 

message from Mr. Mazur saying he had "no excuse" for not getting back to him. 

(Exhibit 1, page 1) 

On May 27 Mr. Pelzer and Mr. Mazur met Mazur started what would be 

another two of his characteristic behavior patterns during lease negotiationssuddenly interjecting new requirements and fees for the lease and promising that 

Pelzer could start operating "that weekend." This time it was compensation of the 

farmer for the parachute landing area, even though there was nothing but grass on 

6 
the site. (Photo, Exhibit 5) Mazur first demanded $200 per month and Mr. Pelzer 

offered double what the farmer was paying. Mazur promised the revised Agreement 

"tomorrow morning" and that Pelzer's operation could begin skydiving that 

weekend. (Exhibit 1, page 2) 

When no Agreement was forthcoming from Mazur the next day, as had been 

promised, Pelzer left six unanswered telephone messages and sent an email to him. 

(Exhibit 1, page 2, Exhibit 7) Mr. Pelzer was paying an attorney on retainer to be 

prepared to review the Agreement on short notice so that he could start operations 

immediately once the Agreement was in acceptable form. He then called juan 

Zapata of MOOT to express is frustration with the lack of communication from 

Mazur. On the 29th, Pelzer drove to Lansing to meet with MOOT personnel about the 

problems he was having dealing with Steve Mazur and provided a copy of the same 

insurance material and the participant waiver he had given to Steve Mazur. (Exhibit 

1, page 2) On the drive home, juan Zapata called Mr. Pelzer to say that Steve Mazur 

reported that, "they couldn't agree on price." Pelzer called Mazur and agreed to pay 

the farmer $1,800 for his loss assuming the space involved was less than three 

acres. Mazur then promised the Agreement "on Friday." The next day Pelzer sent 

juan Zapata a text to update him on the situation. (Exhibit 1, page 2) 

Skydiving did not start that weekend. 

June 2015 

On the afternoon of june 1, Mr. Pelzer received the second version of the 

Concession and Lease Agreement. (Exhibit 8) Upon review, Mr. Pelzer discovered 

7 
that it had not addressed any of the issues he had raised with the first version 

(except allowing two aircraft to be hangered), including prohibition on commercial 

activity (even though the operation was to be a commercial skydiving business), 

aircraft storage, fuel, maintenance, and signage. The only change that had been 

made was to raise the monthly fee by $200 and call it Parachute Landing Area (PLA) 

rent (Exhibit 8, page 4) 

Mr. Pelzer contacted Mr. Zapata at MDOT and advised him that Mazur had 

not addressed any of the issues with the original Agreement. (Exhibit 1, page 2) He 

then arranged to meet with Mazur on june 4. During the meeting the two reached 

agreement on most areas of concern-and Mazur said that Pelzer's company could 

start jumping that weekend. (Exhibit 1, page 3) Pelzer took action to have 

everything ready to begin skydiving, expending money on aircraft and equipment. 

The very next day, on june 5, Mazur called Pelzer and changed the insurance 

requirements-saying the insurance policy Pelzer had provided and had never been 

a problem, was suddenly inadequate. Interestingly, Mazur also insisted that Pelzer 

was to buy insurance from Mazur's insurance agent, Paul Calley rather than allow 

Pelzer to continue using the insurance agent he had worked with for years. 

Mr. Pelzer's company didn't start jumping that weekend. 

Over the next two weeks Pelzer worked with Mazur's hand-picked insurance 

agent, Calley, to try to buy a policy that was acceptable to Mazur. (Exhibit 1, page 3) 

Initially, the agent said that a policy that would provide liability coverage if a 

skydiver hit persons or property was available and the cost would be somewhere 

between $15,000 and $200,000. When Mr. Pelzer asked for a copy of the policy, the 

8 
agent was unable to produce one. The agent eventually said that there was no 

policy and that no such coverage existed. 

On June 19, Mazur said that skydiving would not be allowed on the airport 

because of liability concerns. (Exhibit 1, page 3) 

Mr. Pelzer recognized that Mr. Mazur's actions were contrary to the grant 

assurance's the Airport sponsor (State of Michigan) had made and arranged a 

meeting that took place between on June 24 between Mazur, Pelzer and MDOT 

personnel to discuss insurance. (Exhibit 1, page 3) 

Two days later, Mr. Pelzer received a voicemail telephone message from 

Mazur in which Mazur said skydiving was good to go with the existing insurance but 

that the "cost of doing business" just went up by $8,000 per year. A transcription by 

a court reporter of the voicemail is attached. (Exhibit 9) The suspected "pay to 

play" arrangement was confirmed by Mazur in a subsequent telephone conversation 

with Pelzer. (Exhibit 1, page 3) Pelzer then received the third version of the 

Agreement-with the yearly cost suddenly $8,000 higher. Pelzer asked for a 

written description of what the additional $8,000 provided him. He never received 

an answer. (Exhibit 10, page 2) 

On June 30, Mazur sentthe fourth version of the Concession and License 

Agreement (and, for the very first time, a Commercial Operating Agreement which 

contained no pricing or rent terms), with monthly hangar rent raised to $1,550 and 

PLA rental of $200 per month. (Exhibit 11, pricing page only) Despite the 

agreement that had been hammered out by Mazur and Pelzer on the terms of the 

lease on such things as commercial operations, fuel, maintenance, aircraft storage 

9 
and signage in their meeting of June 4, the fourth version of the Agreement 

addressed none of those items. Mr. Pelzer, responded, raising Mazur's continued 

failure to address issues and constantly increasing price as well as the 

inconsistencies between the Concession and Licensing Agreement and the new 

Commercial Operating Agreement. (Exhibit 12) 

July2015 

Mr. Pelzer asked for additional parking space on July 3-an area 100 by 150 

feet. Mazur responded on July 7 that of the additional $8,000 required annual "cost 

of doing business," $2,000 was now for parking and $6,000 for an insurance price 

increase that "may" happen next year. (It should be noted that the aviation 

insurance market has been "soft" for the last ten years and rates are going down, not 

up.) Pelzer advised Mazur that for $2,000, he didn't need the additional parking 

space. (Exhibit 1, page 4) 

Mr. Mazur and Mr. Pelzer then exchanged a number of emails-Mr. Pelzer 

continued to question the $8,000 Mazur wanted. (Exhibit 13) 

On July 15, Mazur changed his tune yet again and said his insurance price 

increase was immediate and he was just protecting his business and Mr. Pelzer's 

business with the additional $8,000 fee. (Exhibit 14, page 2) 

During the email exchange in Exhibit 15, Mr. Pelzer reached out to Mr. Mazur 

suggested a temporary agreement to allow skydiving operations to begin-at the 

price Mr. Mazur was demanding-while the two of them sorted out the details of the 

Agreement. Mazur immediately shot down Mr. Pelzer's above and beyond attempt 

10 
to find common ground with Mr. Mazur and begin operating with a resounding "no." 

(Exhibit 15) 

Because of the $8,0 00 "cost of doing business" fee and Mazur's continuing 

refusal to provide a written lease that reflected the agreements that he'd made on 

commercial operations, fuel, and signage, Mr. Pelzer's previous attorney sent a Part 

16.21 good faith attempt to resolve a disputed matter letter to MOOT. (Exhibit 16) 

From what can be determined from correspondence, MOOT treated the letter as a 

Part 13 Informal Complaint and took some action to follow up by demanding 

documents from Mr. Mazur. However, after that, MOOT ignored the Complaint and 

did not ever make a finding. 

During the rest of the month there were exchanges between Mazur and 

Pelzer over the fee structure, including a meeting at the Airport on July 28 in which 

Mazur used a measuring wheel to measure the ramp area and told Pelzer that he 

(Mazur) would be imposing yet another new, higher price schedule-this time 

Mazur was suddenly going to charge for ramp space (something no other tenant had 

to pay for). On July 29, Pelzer received the fifth price schedule for the operation, 

$1,925 per month for the Hangar space plus $995.07 per month for parking and 

ramp areas (the previous tenant had paid a total of $900 for the Hangar space, 

parking and ramp space.) (Exhibits 2 and 17) 

August2015 

During the first two weeks of the month, Mazur and Pelzer exchanged a 

number of emails. Due to the radically increased price, Pelzer sought to reduce the 

11 
size of the area he was to lease. Mazur repeatedly asked for information that Pelzer 

had already provided. (Exhibit 17) On August 12, Mazur produced what he said 

was the final Agreement-with the sixth pricing structure. It charged $1,925 per 

month for the Hangar space, plus $689.43 per month for the ramp and vehicle 

parking. (Exhibit 18, pricing page only) (The previous tenant had paid a total of 

$900 per month for the Hangar space, use of the ramp and vehicle parking-Exhibit 

2) 

The remainder of the month consisted of MOOT encouraging Pelzer to work 

with Mazur to negotiate an agreement and Mazur being given a deadline of August 

31 to produce documents to MOOT for the Part 13 Complaint, which he failed to 

meet. (Exhibit 19) 

September 2015 

On September 16, the promised deadline Mr. Mazur had established for his 

management company to replace the entry doors on the Community hangar came 

and went. (They still have not been replaced and, as the photos show, are rusted 

down to the foam core-Exhibit 2.) Mr. Pelzer continued to try to work through 

MOOT to get an agreement. The problems with Mr. Mazur's behavior having 

become so severe that MOOT escalated the matter to the top-scheduling a meeting 

that included Mike Trout, MOOT's Executive Administrator, Office of Aeronautics. At 

that meeting, on September 28, which included Mr. Pelzer and Mr. Mazur, Mr. Trout 

and Mr. Mazur set out the seventh price structure. This one totaled $1,800 per 

month. Mr. Trout confirmed the proposed $1,800 monthly price the next day via an 

12 
email. (Exhibit 20) The Agreement would run five years and contained pricing for 

each year. (The pricing included the unacceptable $8,000 "pay to play" fee.) 

Following the meeting Mr. Pelzer queried Mr. Trout about the repeated 

escalation of the price for the Agreement and received an email from Mr. Trout 

indicating a certain lack of interest in making the Airport competitive, user-friendly 

\ 

and self-sufficient, "We have the right to establish rates and charges and rules that 

suit us and are not obligated to match other airports, only to be consistent. If we 

choose to charge higher fuel prices it may not make great business sense, but it is 

our right." (Exhibit 21) Mr. Trout did not disclose anything about the process used 

for pricing in the Agreement or who conducted it, nor why the price rapidly and 

repeatedly changed-hardly a transparent method of running a State-owned 

airport. 

October 2015 

In keeping with his practice, Mazur immediately reneged on the agreement 

he had reached with Mike Trout of MDOT in the September 28 meeting. On October 

1 he sent out the eighth version of the Agreement in which he added $689.43 per 

month on top of the $1,800.00 monthly rate that had been stated four days earlier 

by Mazur and Mike Trout of MDOT. (Exhibit 22) 

To keep Pelzer off balance, on October 16 (Exhibit 22), Mazur suddenly 

added a new condition: He demanded architectural plans and drawings for the 

interior of the Community hangar even though he known since March about Mr. 

Pelzer's proposed use ofthe Hangar and that Mr. Pelzer was not going to make 

13 
improvements, simply park airplanes and an equipment storage trailer and put in 

temporary classroom and office space not attached to the Hangar. Nevertheless, Mr. 

Pelzer had scale drawings made and sent them-Mr. Mazur approved them. 

Mazur also came up with another new condition-that Pelzer get an 

occupancy permit from Ray Township (in which the Airport is situated) for the 

Hangar, insisting that the entire hold up for the Agreement has been a lack of an 

occupancy permit. (Exhibit 23) Mr. Pelzer contacted Ray Township and discovered 

that, as Mr. Mazur already knew, Ray Township had never inspected nor issued 

permits for buildings on the Airport and did not require such buildings to go 

through its permitting and inspection process. Mr. Mazur had recently constructed 

a large building on the Airport without any permits or inspections by the Township. 

In addition, a large hangar that was just completed on the Airport was not required 

to have any building permits from the Township. (Exhibit 2) Nevertheless, Mr. 

Pelzer made several calls to the Township regarding permits and was repeatedly 

told that the Township didn't require permits or inspections of buildings on the 

Airport (Exhibit 1, pages 6 and 7) 

November and December 2015, January 2016 

At some point during these months, MOOT quietly contacted Ray Township 

to attempt to force it to issue building and occupancy permits on the Airport as well 

as inspect buildings. The justification and authority for MOOT's actions is unknown. 

14 
Mr. Pelzer learned in late December that MOOT's actions were successful and 

that Ray Township will go through a permitting and inspection process for buildings 

on the Airport. 

Mr. Pelzer is willing to go through the permitting and inspection procedure, 

however, after expending over $30,000 on aircraft, life-limited skydiving equipment, 

insurance and attorney fees in preparing to start operations every time Mr. Mazur 

said he could begin "this weekend" only to have another roadblock erected by 

Mazur, he is not willing to spend the money for a permit until such time as he has a 

suitable signed Concession and Lease Agreement in hand. 

Part 16.21 Certification 

As may be seen from the above, Complainant hereby certifies that he and his 

company have made a substantial and reasonable good faith effort to resolve the 

matter informally-including a Part 16.21letter to MOOT, which MOOT apparently 

converted to a Part 13 Complaint but then made no finding-and there is no 

reasonable prospect of practical and timely resolution of the dispute. 

As a result of Complainant going above and beyond the demands of 

reasonableness in attempting to enter into an appropriate commercial skydiving 

agreement but being thwarted by the irrational behavior of the principal of the 

State's management company, and the State's condoning and supporting his 

irrational, ad hoc and opaque decision-making, as well as the State's failure to act on 

a Part 16.21letter that it apparently converted to a Part 13 Complaint, Complainant 

15 
elected to file this Complaint and respectfully requests that the FAA find he and his 

company have fulfilled its 14 CFR § 16.21 obligations 

IV. Violations by the State of Michigan 

What started as a routine negotiation of a commercial lease became an expensive 

nightmare for Mr. Pelzer, as Steve Mazur erected more and more barriers to access at the 

Airport. Every time Mr. Pelzer complied with or agreed to a condition, Mr. Mazur would 

either raise the price of the agreement or come up with new conditions. To make a 

grievous situation worse, Mazur demanded payment of $8,000 by Mr. Pelzer to Romeo 

Airport Management in what appears to be a shakedown, a demand for a bribe or, as is 

referred to in Michigan, "pay to play." MDOT not only failed to rein in Mr. Mazur's 

ever-increasing demands and pay to play scheme, it engaged in sub rosa action by going 

to a sovereign Township and demanding that it create a building permit and inspection 

procedure for the Airport despite that Township historically refusing to establish such a 

procedure. 

1. Grant Assurance 5, Preserving Rights and Powers. 

Grant Assurance 5 states, in part, that an airport sponsor: 

"a. It will not take or permit any action which would operate to deprive it of 

any of the rights and powers necessary to perform any or all of the terms, 

conditions, and assurances in this grant agreement without the written 

approval of the Secretary, and will act promptly to acquire, extinguish or 

modify any outstanding rights or claims of right of others which would 

interfere with such performance by the sponsor. This shall be done in a 

manner acceptable to the Secretary." 

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"f. If an arrangement is made for management and operation of the airport 

by any agency or person other than the sponsor or an employee of the 

sponsor, the sponsor will reserve sufficient rights and authority to insure 

that the airport will be operated and maintained in accordance Title 49, 

United States Code, the regulations and the terms, conditions and assurances 

in this grant agreement and shall insure that such arrangement also requires 

compliance therewith." 

Grant Assurance Sa has been evaluated and interpreted by the FAA to 

require that an airport sponsor make decisions regarding aeronautical activities and 

users in a rational, coherent and transparent manner. See jeff Bodin and Garlic City 

Skydiving v. County of Santa Clara, California, Final Decision, FAA Docket No. 16-11-

06 (August 12, 2013). In Gina Michelle Moor, individually and djbja Warbird 

Skyventures, Inc. v. Sumner County Regional Airport Authority, FAA Docket No.16-07-

16, Director's Determination (February 27, 2009), the FAA found a sponsor in 

violation of Grant Assurance 5 where "Respondent's processes and procedures for 

reviewing the Complainant's request to provide an aeronautical service were 

entirely lacking in transparency or documentation, making them confusing in nature 

to the Complainant and generally incoherent" In Warbird Skyventures the FAA 

found that the "laxity and incoherence associated with the decision making process" 

made it unclear to the Director whether or not the Respondent sponsor actually 

understood its Federal obligations. In that case the record showed the Respondent 

arbitrarily changing business practices, but the record did not contain any 

information as to why or upon what information the Respondent denied the 

Complainant's business request. [Garlic City, p. 41] The Director found that, in that 

case, the "incoherent, ad hoc practices cede[ d] the Respondent's ability to adhere to 

17 
the Grant Assurances which constitutes a violation of 49 U.S.C. § 47107(a) and Grant 

Assurance 5." [Warbird Skyventures, pp. 2 and 46] 

Steve Mazur has been referred to in southeastern Michigan aviation circles as 

"the man who can't take yes for an answer." As shown above, Mazur's inability to 

keep his word on an agreement and almost pathological need to irrationally demand 

additional conditions to any agreement, and MDOT's continued support of his 

unreasonable actions are not in keeping with the FAA's requirement for rational 

transparent operations under Grant Assurance 5. 

Here, the inexplicable, ad hoc, incoherent actions of the Airport sponsor's 

agent, Steve Mazur, supported by MDOT, in repeatedly changing the price for the 

Agreement (eight different prices), reneging on agreements reached in face-to-face 

meetings between the parties, failing to amend draft Agreements to reflect the 

agreements reached between the parties, suddenly demanding insurance estimated 

to cost as much as $200,000, then withdrawing the demand and substituting a 

demand for $8,000 as a" cost of doing business," which he later tried to cover up as 

paying for a potential liability concern and then demanding nonexistent permits and 

inspections are clear violations of Grant Assurance 5. The behind the scenes 

attempt by MDOT, without statutory authority, to force an independent political 

entity, Ray Township, to create permits and inspections it didn't have, in support of 

Mazur's irrational demands, is further evidence of a complete lack of transparency 

in the dealings by MDOT and its agent, Steve Mazur. 

It should be noted that Steve Mazur and MDOT were previously the subject of 

a Part 13 Complaint in which Mazur's erratic, unpredictable, irrational behavior in 

18 
contract negotiation meant it took three years for that complainant to negotiate a 

simple land lease with Mazur so a hangar could be built on the Airport. (Exhibit 2) 

In contracting out airport management, Grant Assurance Sf states that the 

airport sponsor is not relieved of its grant assurance obligation under such an 

arrangement-it must exercise its rights and authority to see that the management 

company complies with Federal obligations and grant assurances. In this matter, 

MOOT took no effective action to make sure Steve Mazur and Romeo Airport 

Management operated in a transparent, rational, predictable matter in entering into 

a commercial operating agreement with Mike Pelzer after Steve Mazur had agreed 

to terms. Instead, it sat back as Mazur repeatedly changed the pricing structure and 

imposed new terms and conditions-and then acted in support of his ad hoc, 

incredible actions by sub rosa approaching a sovereign political entity and 

successfully compelling it to impose inspections and permitting on a potential 

airport tenant for the first time ever. The violations are open and obvious. 

2. Grant Assurance 22, Economic Nondiscrimination. 

Grant Assurance 2 2 states in part, that an airport sponsor: 

"a. It will make the airport available as an airport for public use on 

reasonable terms and without unjust discrimination to all types, kinds and 

classes of aeronautical activities, including commercial aeronautical activities 

offering services to the public at the airport" 

It goes on to say in section (i) that, "[t]he sponsor may prohibit or limit any 

given type, kind or class of aeronautical use of the airport if such action is necessary 

for the safe operation of the airport or necessary to serve the civil aviation needs of 

the public," however, the provision does not provide the sponsor with unilateral 

19 
authority to ban certain aeronautical uses at its airport. [See jeff Bodin and Garlic 

City Skydiving v. County of Santa Clara, California, FAA Docket No. 16-11-06, Final 

Decision (August 12, 2013)]. FAA Order 5190.6B further outlines the limitations on 

a sponsor's restriction of aeronautical activities. It states that any restriction must 

be based on safety and efficiency and adequately justified and supported; must be 

reasonable and not unjustly discriminatory; and the FAA will be the final arbiter as 

to whether the particular activity can be conducted safely and efficiently and 

whether the sponsor's proposed limitations are reasonable. [See jeff Bodin and 

Garlic City Skydiving] 

Here, Steve Mazur's actions in repeatedly erecting barriers to Airport access 

in the form of new or changed conditions and a "pay to play" demand, have worked 

to establish a de facto ban on skydiving-despite any words to the contrary. 

Banning skydiving for the sake of efficiency by refusing to enter into a lease is a 

violation of grant assurance 22. 

3. Grant Assurance 23, Exclusive Rights. 

Grant Assurance 23 implements statutory provisions 49 §§ 47103(3) and 

47107(a)(4) providing, in summary, that there shall be no exclusive right for the use 

of any landing area on which Federal funds have been expended and there will be no 

exclusive right for the use of the airport by any person providing or intending to 

provide, aeronautical services to the public. 

An exclusive right is defined as a power, privilege, or other right excluding or 

debarring another from enjoying or exercising a like power, privilege, or right. [See 

20 
Florida Aerial Advertising v. St. Petersburg-Clearwater International Airport, FAA 

Docket No. 16-03-01, Director's Determination (December 18, 2003)] Such a right 

conferred on one or more parties, but excluding others from enjoying or exercising a 

similar right or rights would be an exclusive right. [FAA Order 5190.1A, Exclusive 

Rights at Airports, p. 1] It is the FAA's policy that the sponsor of a federally obligated 

airport will permit no exclusive right for the use of the airport by any person 

providing, or intending to provide, aeronautical services to the public ... will not, 

either directly or indirectly, grant or permit any person, firm, or corporation, the 

exclusive right at the airport to conduct any aeronautical activities. [Florida Aerial 

Advertising] 

The application of any unreasonable or unjustly discriminatory requirement 

or standard to proposed aeronautical use of such airports is considered a 

constructive grant of an exclusive right contrary to applicable law and FAA 

regulations. [Florida Aerial Advertising] By unreasonably denying access to a 

proposed aeronautical activity, an airport sponsor is in violation of the exclusive 

right prohibition. 

FAA Order 5190.68, Airport Compliance Manual, describes in detail the 

responsibilities assumed by the owners of public-use airports developed with 

Federal assistance. It clearly defines parachute activities as an aeronautical activity 

and gives that activity no greater or lesser weight than other aeronautical activities 

protected by grant assurances. Chapter 14 explains that parachute activities are 

given equal access to airports developed with Federal assistance as are all other 

defined aeronautical activities. 

21 
49 USC § 4010 3 (e) prescribes, in part: 

"No Exclusive Rights at Certain Facilities.-A person does not have 

an exclusive right to use an air navigation facility on which Government 

money has been expended." 

FAA Advisory Circular AC150/5190-6, was created by the FAA to provide 

guidance to airport sponsors in complying with the statutory prohibition on 

granting of exclusive rights ( 49 USC§ 40103(e) and unjustly discriminating against 

aeronautical users of airports. It makes clear in Section 1.2 Agency Policy: 

"An exclusive rights violation occurs when the airport sponsor 

excludes others, either intentionally or unintentionally, from 

participating in an on-airport aeronautical activity." (emphasis 

added) 

As shown above, the sponsor, through its airport management company, has 

implemented a de facto policy of prohibiting skydiving and implemented it through 

continuously imposing new barriers, conditions and pricing structures and refusal 

to live up to agreements reached in face-to-face meetings. 

The FAA has long recognized that delay of approval for airport access is 

denial of access. [See Frank Hinshaw, Skydiving School, Inc. djbja Skydive Hawaii 

and Island Skydiving, L.L.C. v. The State of Hawaii, FAA Docket No. 16-12-04, 

Director's Preliminary Determination, (August 18, 2014)] Here, Mazur's actions 

have effectively denied airport access to Complainant, a violation of Grant Assurance 

23. 

The FAA has a statutory mandate to ensure that airport owners comply with 

sponsor assurances under the Federal Aviation Act and Airport and Airway 

Improvement Act of 1982 as amended and recodified, specifically under the statutes 

referenced above. FAA Order 5190.6B provides the policies and procedures to be 

22 
followed by the FAA in carrying out its legislatively mandated functions related to 

federally obligated airport owners' compliance with their sponsor assurances. The 

FAA monitors the administration of the valuable rights pledge by airport sponsors 

to the people of the United States in exchange for monetary grants to ensure the 

public interest is being served. The FAA considers it inappropriate to provide 

Federal assistance for improvements to airports where the benefits of such 

improvements will not be fully realized due to inherent restrictions on aeronautical 

activities. [See Skydive Perris, Inc. v. Henry County, Tennessee, FAA Docket No. 16-05-

06, Director's Determination Qanuary 20, 2006).] 

Conclusion 

As shown above, the irrational, ad hoc and opaque actions of the sponsor's 

agent and sub rosa actions of the sponsor in compelling a sovereign political entity 

to create more and more conditions as barriers to Airport access have functioned as 

an effective denial of access for a year. 

Complainant asks for a determination that the State of Michigan, as sponsor 

of Romeo State Airport, is in violation of grant assurances 5, 22 and 23. 

V. How Complainant Has Been Affected 

Complainant has expended of over $30,000 as described above preparing 

proposals for the Hangar use, drop zone location and skydiving operation; putting 

insurance in place that wasn't needed, life-limited skydiving equipment that 

couldn't be used and attorney fees as he repeatedly prepared to start operations on 

23 
the Airport and then was subsequently denied access by Mr. Mazur; he made 

repeated trips to Lansing and the Airport to meet with MDOT officials to attempt to 

get an agreement with Mr. Mazur, lost time at work to go to those meetings, and 

suffered an estimated loss of revenue or $200,000 to $300,000 for the 2015 

skydiving season due to the irrational and ad hoc actions of Mr. Mazur and MDOT in 

denying commercial skydiving access to the Airport. 

Individuals who were to come to work with Mr. Pelzer's company as 

skydiving instructors, parachute riggers and_pilots turned down other jobs because 

Mr. Mazur repeatedly said that Mr. Pelzer could start operating "that weekend" and 

Mr. Pelzer passed that word along to those individuals. Many then had to start 

looking for work again because they could not work with Mr. Pelzer's company. 

Mr. Pelzer has paid taxes that have gone into Federal Grants made to the 

State of Michigan for the Airport, but has been denied the benefits of using the 

Airport. 

Complainant has incurred the costs of instituting Complaint. 

VI. Relief Desired 

Complainant seeks an Order from the FAA requiring: 

That the State of Michigan issue, within 30 days, approval for Complainant to 

begin commercial parachute operations onto the Romeo State Airport immediately, 

and its immediate approval for Complainant to lease the community hangar for 

24 
office and classroom space, as well and ramp and parking use at the price originally 

quoted by Mr. Mazur of a total of $950 per month. 

Dated: February 18, 2016 

25 

Respectfully submitted, 

Richard J. Durden, Attorney at Law 

Attorney for Complainant 

By:,?<;~~~~~.,_ 

. urden 

ichmond Hill Road 

Conifer, Colorado 80433 

(616) 901-65156 

avlawyer@yahoo.com 
CERTIFICATE OF SERVICE 

I hereby certify that I have this day served the foregoing 14 CPR Part 16 Complaint on 

the following person at the following address by mail: 

l\1Llce Trout 

Executive Administrator, Office of Aeronautics 

Michigan Department of Transportation 

2700 Port Lansing Road 

Lansing, Michigan 48906-2160 

Dated this 18th day of February, 2016 
( 

Feb 2015 

3/6/2015 

3/13/2015 

3/26/2015 

3/31/2015 

4/17/2015 

Early May 

5/13/2015 

5/14/2015 

5/21/2015 

5/22/2015 

5/26/2015 

Spoke with Bill Decker (airport manager) about setting up a Drop Zone and he thought it was a good idea and may bring some 

additional business to the a 

Initial phone conversation with Steve Mazur, owner of airport management company. 

Meeting with Steve 

Reviewed first version of Concession Agreement from Steve. Hangar rent $950/month. 

Mike P. emailed Steve with concerns in the Agreement. 

Em ailed Steve the waiver I use. 

Went to Steve's office with my financials and current coverage because he ignored my numerous phone calls and voice mails. 

Had a meeting with Juan (MDOT), Bill Decker and Steve. 

State approval 

Sent Steve an email with concerns. 

I was suppose to have paperwork agreements and did not. Left Steve multiple messages, no response. 

Received phone message from Steve stating he had "no excuse" for not getting back with me. 

~~"""" 

E,x//1$;) I 

,-::.?/1 / ~ J 
( 

5/28/2015 

5/29/2015 

5/30/2015 

6/1/2015 

6/2/2015 

6/3/2015 

/~ 

i \ 

Met with Steve to work on COA. He brought up compensating the farmer for the landing area. Steve wasn't sure on the size of the 

landing area but I told him that I would give the farmer what he was paying for it. Steve said $200 per month and when I asked how 

he came up with that number, he couldn't come up with a good explanation. I asked what the farmer was paying and I mentioned 

that he didn't even farm the majority of the landing area. Together we estimated that the farmer was paying less than $100 per 

acre per year for the property he was farming. I offered to pay double for what the farmer was paying for the property and that's 

where it was left. I asked "how much longer on the paperwork" and was told, "you'll have it tomorrow morning". I asked if it was 

safe to tell my staff that we can get started this weekend and he said "Okay". 

Left six messages for Steve beginning at 1:30 p.m., no response. Called Juan. 

Out of frustration because of the lack of response from Steve, I decided to drive to MDOT in Lansing to express my concerns about 

the response time and the way things were being handled with Mr. Mazur. I spoke with Mark Noel who listened, made a few 

comments and before leaving I gave him a copy of my waiver as well as my insurance coverages. On the trip home, Juan called and 

said to call Steve. Steve told Juan that "we couldn't agree on price". (Steve was asking me to pay $200/month for property that 

was being leased to a farmer for less than $100/acre per YEAR. Called Steve, told Steve $200/month for 9 months ($1,800), he said 

he was about to go into a meeting and said that he would "contact me when he was out". He also said that he set aside four hours 

to complete the agreement on Friday and if it wasn't finished would complete it on Saturday. I attempted to contact Bill Decker 

about a current hangar lease and had no response or contact from either of them. 

Sent Juan a text to update him on the situation. 

Spoke with Juan at 8:47 a.m. and was told that I should have an agreement in ut an hour. That afternoon I received the 

Concession and License and Romeo COA. 

Reviewed documents and sent email to Steve with concerns. 

Spoke with Juan. 

1.4 U L 
6/4/2015 

6/4-6/10 

6/10-6/19 

6/17/2015 

6/18 and 19 

6/24/2015 

6/26/2015 

6/29/2015 

Met with Steve and almost had the agreement complete. Asked for written fuel price agreement, trailer, signage, entry way doors. 

He showed me an email from his "insurance guy" with insurance requirements. I told him that that type of coverage was 

unattainable and he agreed to what was written in the contract. I also asked if it was safe to tell my staff we could get started and 

again he said yes. 

I struggled to find an insurance policy that met his insurance agent's requirements, but was able to find something. Received on 

June 11th. 

I had numerous discussions with Paul Calley (Steve's insurance agent) in regards to insurance. Mr. Calley claimed he may be able to 

come up with a policy that met all of his requirements. I still have not seen it but Mr. Calley quoted me prices ranging from $15,000 

to $200,000 per year. He also made attempts to call the shots and make demands that do not conform to industry standards or 

FAA regulations. Most of this has been forwarded to Juan Zapata. 

I was told by Steve that he would "make a decision tomorrow". I have heard nothing from him. 

I discussed insurance and other demands from Paul Calley with Juan. Juan told me that Paul was going to cancel Steve's insurance if 

he allows skydiving. Steve said he is out because of liability concerns. 

Meeting with Steve at his offices. 

10:20 a.m. phone message from Steve saying that we were good to go but the rent is increased by and that it's "the 

cost of doing business". Miraculously all the insurance requirements that Mr. Calley was demanding went away and an additional 

$8,000/year would suffice. 

10:40 a.m. returned Steve's call, no answer. 

10:54 Steve called back, I inquired what the $8,000/yr was for and was told it was insurance requirement. I pressed for details and 

asked for a copy of his policy and a written explanation of what the $8,000/yr was covering. 

Side note: I had been told for the last five weeks I would have an agreement. It would get close to the end of the week and my 

texts and emails would be and unreturned bv Steve. This was a 

7:27 p.m. I received an email from Romeo Airport Management with the latest version of the agreements and I could not open 

them. 

f/Jli£. 3 
7/3/2015 

/2015 

7/9/2015 

7/16/2015 

7/17/2015 

7/20/2015 

7/21/2015 

,~ 

Received a readable version of the agreements. This version didn't change much from the version received on 6/1. There were 

some spelling corrections that we worked on in our meeting on 6/24 but the bulk of the issues in this version and the 6/1 version 

remained opened. Rent increased to $1,550/month plus an additional $200/month for landing areas. 

I did ask for an additional parking area, if needed, because of the speed at which things had been moving and didn't want to cut 

myself short. This area was approximately 150'x 100'. 

I was told in an email that the $8,000 was for parking and insurance: $6,000 for insurance and $2,000 for parking. Mr. Mazur said 

the insurance increase would happen December or January, or maybe not at all. Wondered if he was underinsured to begin with. 

Switched back to the original parking area because of the price change. ($2,000) 

I was told the insurance increase was immediate, that the nature of my business was increasing his liability and that he was 

protecting himself and my business. This was a red flag that he was probably underinsured for approved aeronautical activities. 

Because of Mr. Mazur's constant changes and delays, I asked my attorney to send a letter to MOOT in regards to an informal Part 13 

complaint. 

I asked if the increase was covering my jumpers since this was a huge concern of his back in June. 

His response was "No it does not. For anyone or any business to cover your jumpers it is cost prohibitive". Still no explanation for 

the $8,000. I asked to add this wording into the agreement ... This Agreement is being entered into between Romeo Airport 

Management, L.L.C., and Pegasus Parachuting Service, Incorporated, without prejudice to any 14 CFR Part 16 Airport Assurance 

matters raised by Pegasus Parachuting Service and/or Mike Pelzer. 

He refused to enter the above statement. He was asked to enter the email exchanges between him and me (from 7/3) as an exhibit. 

f4C£ '-I 
7/28/2015 

7/29/2015 

7/31/2015 

8/3/2015 

8/10/2015 

8/14/2015 

8/24/2015 

("', 

He ignored the last email and asked to set up a meeting to measure the hangar space and parking area to set up yet another new 

pricing structure, He claimed that I changed the area needed for parking three times, There was only one change that was not in a 

direct relationship to a price change that I made, 

was mformed that the previous tenant paid $900/month for the same area in the hangar that I was attempting to leasR They did 

pay parking or ramp rentals. They left when an attempt was made to raise their rent to $1693.75 per month. 

Met with Mr. Mazur at the airport. He walked around with a measuring wheel, told me what the new rate would be on a per square 

foot basis. He didn't ask what I needed for ramp area and informed me that I would now be responsible for the lawn maintenance in 

the parking area. 

I was informed what my new rent would be based on his new price schedule, $1 

for the ramp and parking. This amount seemed excessive so I asked for a diagram showing what he had measured. 

I received the diagram. 

I once again had to change the areas I needed to operate because of the price structure changes and the delays caused by Mr. Mazur 

in completing an agreement. It was getting close to the end of my season. 

I received an email from Mr. Mazur in regards to changes in the area 1 need. He was asKrng tor rntormation mat was 

provided. Rather than produce an agreement he chose to send additional emails requesting information that he already had. 

an agreement. In addition, 

the final agreement. In his email he stated that he refuses to further negotiate on price or areas. He had either 

developed another new price structure or has ignored the emails in regards to the area I need to operate because the numbers 

changed yet again. Hangar $1 ,925/month and ramp and parking is $689.43. 

ramp area according to my request 

acknowledge he had the information). His reasoning was because of "my type of business". 

Because of his inaction, Mr. Mazur was given a deadline of to produce a response and documents in regards to the complaint 

Jf'kl-L~~ 
9/28/2015 

10/28/2015 

/~. 

Mr. Mazur missed his deadline for replacing the deteriorated hangar doors (as of 10/4 the doors still hadn't been replaced). 

I attended an aviation event at PTK and introduce myself to Mike Trout. I expressed my displeasure and some opinions as to the 

way things were being handled. That·evening in an email exchange we decided to try another meeting. 

Mr. Trout, myself, Steve Mazur and his father met at Romeo Airport. We discussed several items and came up with a price that was 

I sent an email to Mr. Trout with some of my concerns in regards to Mr. Mazur's pricing structures and lack of attention to items 

discussed since dav one. 

I received the latest revision of documents from mr. Mazur which included a note from Steve saying that he was going to charge me 

for parking which was rolled in to the monthly rent rate. This is adding $689.43 per month and comes to more than $43,000.00 

In emails from the 16th and 10/20, Mr. Mazur switched gears again. He is now requesting "architechtual plans and drawings", 

claiming he'd known nothing about parking situations, and also claiming that these Items have been the delay for "several months" 

even though these were the first requests. He is also looking for "occupancy permits and approval from the township. He was told 

back in March that nothing would be done without the township's approval. 

Received another email from Mazur asking about items like plumbing, parking Jot striping, flooring, heating and cooling. He's 

full well that all of these items are additional roadblocks and hoops to jump through. Portable toilets don't use plumbing. The state 

approved the parking plan months ago. Carpeting or gym floor type padding would be laid on the floor to pack parachutes on. 

There is no heating or air conditioning to be added. 

f'lhlf 0 
d'IN .. /i: 9-
AIHDAVIT OF l\IIARK VJ1~IGftJ'fD 

l. I am the chief pilot tbr Excavating, a lt..!ficbigao"1 corporation. I an1 also an 

atto:r:ney licensed to practice law· in '1:he §tRte ofl·llictDgan. I rr1ake this affidavit based 

on rny personal kn{P,v1edge and could testify to the rvontents if called to do so. 

2. ItJ.20121 and since 2002~ Dan~s Excavating rented about half of the large con1mlLnity 

hangar eGHangi:U. '') at Romeo State Airport, located in Ray T ov:,mship~ lVlic:bJgan: 

(

'"A' ,...~r) 'T'~ --~~ ' .I " .,_ .;;-~ ~ . (;,: , :.n}JO.u. , JLl1.e purpose ot~.ne rern.:a~ was £0 store .. rte con1pa:ny s rurcrru-i:~ mos~; 

recently a Cessna CJ4, a general avfationjet. As of the iline Dan,s Excavating vacated 

the Hai1gar~ the rental fee ·was $900 per m,onili. 

3. I have spoken to N~Hce Pelzer and be has a1vise,el Y'11e thtr~ he vvisb.es to :rent 

Dm1l's exca>1ating '"v-acated, to use to ~tt1n a corc:rnerd<Jl skydiv-ing ope:~ation., 

space 

4. I have attached f.Jurphotographs depictir1g the condition of the Har.tgat in 2013. I took 

the photog;raphs and they truly and accurately shov; tl;;e condition of the Har.:g;ar then~ 

and today a.s vvelL 

5. Ron~eo State Airport is ovvned by the State of}<A:ichigan. The lvHchiga.11 Depa.'<"tr1err~ of 

Transportaticm OITice of Aeronautics ("~A_efonautics~~) leases it to Rorneo JJ.rpcrct 

M anagen1en t ~ L.L.L. v " 0 ("RA -

1 "'"' .,. ,-.• Vt J· 

cvvr1er of:R..4Jvf, eJnd told the 

H.a.ngar ·vv&s in such poor repair that 1'1: ~,;vas :J.eaz·iy unirJ1abitable and that Den ~s 

Exca:vath~1g ;,vanterl to build ZJ. private hwgarJ 'l;vlth self .. fueiing fa(·.ilit-f~ on ii1.e AJ:t;OCIJ"1 to 

house its aircraft. I told him that Dan, s Excavating wished to euter into a land lease for 

the space on which the hangar y;,rou.ld be built 

7. for the next 311nonths t &.rtd our cornpany, continued to mt;ke requests ofRAJ\1 and 

consiste-r~tly Tefused to provide a lease that did not vio1at~ Grant Assu.rw"'lces or 
to sen fuel to the public~ and several times he gave 1ne a comrnercialland use 

agreement to that effect. Even if 0&"19 s Excavmi:ng 1Nould ha-ve been vvHHng to sen fuel 

tc the public (it was not), th-e leases provided by RAivl not have enough space to 

erect a f.xel fann. During those 31 m.onths I repeatedly told RMvf that Dar.1~s 

Excavating only ~wanted a hangar ~vhere it could store and service its aiq;lan:e along 

v~'ith 2. suitable self~ fueling agTeement and :eetm.11ed marked up versions of the lease to 

RAN'L _RI\~1I never agreed to such 1:1n arrang.exnent. To n1-y k.novvledgeJ PJlJVi has never 

aUo-.Ned self., fueling on the .AJrport. 

g. The cvn1m.erdallfh>iJt.d use agmennent proposed by R..AJvl also had a pro·vision aHo~vir:tg 

Ron1eo .l\.irpor.t f".1anagem~ent to confiscate vrhat vvould be a hangar costing :rnore than 

$250,000 should Dr:m' s Exc~:nn:atlng violate any term of the agrecanent even once~ 

vvithout regard tv ~~lfichigan foreclosure law~ and the due process of law. 

9. I contacted Aeronat..<t:ics several times throughout the 31 month period in an attempt to 

get assista:t1.Ce in obtaiTiirrg a pdvare hangar grou..n.:d. ler.~.Se agreerrtent in p1aee. AU of the 

attet:npts vvere unmJ.ccessfuL 

10. P~fter 31 n1onths of being unable tn even get a draft p:dvate hangar ground lease 

agreement from "R.P,_l\.'1, I retsJned cov.nse1 on behalf of Dan~ s Excavating. Son1..e vveeks 

later~ onl\fovem.ber 12~ 2013 1 counsel filed a. Pa._rt 13 Complaint alleging violation of 

G:ra11t Assurances by the State of tvlic:fdgan and Romeo Airport IVIanagement for the 

failure to aUo¥,r construction of a private hangar and self-fueling facility on the Airport. 

11. J~rter filing the Psrt 13 Con1pk•int~ vve received a draft private hangar emd self-fheling 

lease frorn RAlVL Kt conta:L.-,ed ter1ns ond conditions tJu:rt vve"t.'e not n:;asona.ble and RP1.l\1I 

"lvas contacted to negotiate the terms. Over the next 111nonths, vvith the Involvement of 

J1teronautics a.nd the F f\J.i~s Great Lakes Region Allpcrts office~ I att~.mpted to 

negotiate an app:n1priate lease vl"lth IV[;;:. lvfazwr. I found 'Nhen I would agree to 

lease tenns~ RJ.~Jvi wm.dd irrr_mediately eith~.er chan,ge thenJ. or add. ne<Jl/ conditions t-,u {he 

lease that V{e:re unacceptable. 

12. During the course of the Part 13 Complaint, RJuvf provided a dr!IJ.'l: land lease to the 

FA.J't/s Great Lakes Region Airports office. On October 28, 2014, it fm.md that the 

draft lease~s tenns did. not violate gra:nt: assur--ances. I 9orrtin.ued to negol:iate v..-ith RAlvL 

to corne uu an acceptable Ieas·t-he conti:n:ued to ch?-U.J.ge te:rrns I bad. agreed . ~ • I p ' • • ~ • "'D ' p . to tf1ern~ m.c .. w::.n1g_, at one pornt~ :n1strtrn.g a tenn tnat requrrea ..;tir-1 s ~xcavatrng to 

lTISUl'e 
13.1n Decen1ber 2014~ an agreernent ¥las reached. on a bad lease, but not self~ fueling. The 

land lease ViaS placed in final fonn ibr 1\l.fr.lll:azrrr's signaU.tte. P-JJ:Jvl took no action for 

the next tP.;ree r.non:ths~ and did not retmn telephone caHs ur emai1s. 

14.ln March 2015~ a rneeting 1:vas held ft-.. eronaudcs and R.PJ\A to sign the lease, It 

date. The tenns he proposes J:nake self~fu.eliug i.r.a.possible~ so hls FBO h?JJs a n.1oncpoly 

on 11leli.."lg on. the Ah1'ort. 

15. On Iviarch 20$ 20155 _vvhich ·was after the h&.'1ga:r grr:nmd lease was sigx1ed~ we and our 

building cornpany, E3B1~ LLC sent an ema11 to R.A.N{ and Aeronautics~ to resolve the 

ren1aining issues with regard to the Sf;If~Fneling u1.atter. The m.e.rno c;ontained a &·aft of 

a SelfpFueHng Agreem.ent (v 2/13/2015) that 3eeu1.ed tf'J' :meet 

7Nuid. be ccrapliance ;,.\rith the Grani Assmm1ce:s. 

16. f~o r<;~sponse hcr.s been received to 

mouths. 

parties needs fuld 

last 12 

17. Before co:nstn1ction of the hangar beg&!, 011 "tlno occasions both I and Dan~ s building 

n18.11age.r contacted Ray Township to inquire if it ·would issue a buHdh1g perrnit~ inspect 

the hangar a11d issue an occupancy permit. I was infc1n1ed that Ray Tovvnship does not 

go du·ough a pennitting process foi· buikHngs on the i\irport. 

Ht Bofh D?:r/·s building ~:.ae,.:.11ager and I inqu.i.red of the Building Department of the State of 

?vi:ichlgan o.borrt the pr:::rr.t1itting process. TFJe >,vere told to cor.n.pkte tbJ-e application !3.nd. 

send it 

specified fOr a pennit. It v;s..s: retmned, ·vvith a statem.ent that the building -was ~ N"ot 

1

1ilithln Their Juzi.sdiction' 

19. The hangar \vas plarn±.ed. ?:rrd built to 1:11eet o1· exceed standc.~nis. f..i.,_ccordingly~ 

construction of the hangm· ·wer1t :f"'):t~.T>Jsrd V;,~thout a permit frou1. either Pc..ay Tovn1ship or 

the Building Departrru::nt. The ht:ngar is .notv co111plete End in use. '[ou should 

see it. f( s w;;ry tdce. 
20. J.11 Septentber~ 2014~ both of the Airpo:rfs Instnu:.uent Approaches \Vere restricted to 

daylight only operations. 

21. On December 23,2014 and Jam.;a,0 6, 2015, F"'>A Detroit ADO conferred with lv!DOT 

about conecting the dosu...re of both runway approaches~ vvhere it seerned that only one 

dosu.re ~vvcw rec1uired~ Pilld t.\at fviDOT ag~·ee0._ to work to Correct t1.1e obstacle that closed the 

remaining n.m.\vay IFR approach, 

22. Tf..1ose conversations~ and an agreed upon schedule for correction, Vias mernorlaHzed in a 

A.ero:nautics on February 5~ 2015 (ati:ached), and 

it requested that a '>Nrhten rr.J:itigctior~ plan by Ivfttrch 6~ 2015. 

"""'~ 1 "'-' t • .~ ' ""' t ' •)t'- ' • • • A L:;. Jte:.cer no ©d trlat- u1·an iissura:o.ce ..... v reg_u1res appropnate act1onro protect anu. 

1Iiliigate. 

24. I •vva.s told on February J_, 2016) by the Detroit ADO p·ersonnel, that no plan 'Was received 

in iVIarch 2015 ElS agreed. 

25. As cfth.is date, and for about 18 months prior~ both night appX"oaches are not authorized~ 

and there is no da';e by which they may be expected to be restored. 

Furtl.ter Affiant sayeth naught. 

Mark ~ eigarxd 

j AA a.M~ fXtz:;&k- · 

}\Jotary " 

Maria Plantus 

Notary Publlc of Michigan 

Qakland County 

Expires 01 20~ 8 

ACting in the County o · 

;".. !J, )/J/( t__,.- I /~~i 

Date 




U.S. Department 

afTranspor!afion 

Federal Aviation 

Administration 

February 5, 2015 

Ms. Carol Aldrich 

Detroit Airports District Office 

11677 South Wayne Road 

Suite 107 

Romulus, MI 48174 

Michigan Department of Transportation Office of Aeronautics 

2700 Port Lansing Road 

Lansing, Ml 48906 

Dear Ms. Aldrich: 

NOT AM Airport Runway Closed for Night Operations 

Romeo State Airport (098) Romeo, Michigan 

This letter is a follow-up to a January 6, 2015 telephone inquiry by the Aircraft 

Owners and Pilots Association (AOPA) to the Federal Aviation Administration (FAA) 

about night time closures at Romeo State Airport. As a reminder, the Michigan 

Department of Transportation-Aeronautics (MOOT) is responsible for project 

accomplishments at all airports covered by the State Block Grant Program (SBGP), 

including Romeo State Airport. However, the FAA had a teleconference regarding 

this matter with representatives from MOOT and AOPA on December 23, 2014. 

Based on this discussion and further investigation by the FAA, we offer the following 

information: 

• If penetrations are to the 20:1 visual area surface of the airport's instrument 

approach procedure for Runway 18, then only that runway end is restricted 

at night for IFR operations. We would not restrict VFR operations and aTNOTAM would be issued for the procedure. Consequently, there is no need 

to issue a local NOT AM. 

• If trees penetrate the visual approach surface, as defined in Table 3-2 of 

FAA Advisory Circular 150-5300-13A (Airport Design Standards), the airport 

would need to restrict operations to only the Runway 18 end. 

• If trees are penetrating the Part-77 Approach Surface, we would ask the 

airport to file an airspace study through the FAA's Obstruction Evaluation 

Airport Airspace Analysis (OEAAA) website. The airspace determination 

would provide recommended mitigation (if any). 

Issuing a NOT AM to close the entire runway at night restricts operations to Runway 

36, which appears unwarranted. Restricting more than what is required may result 

in non-compliance with the Sponsor's Airport Improvement Program Grant 

Assurances since they are not making the airport available for public use. 

Specifically, Grant Assurance# 20, Hazard Removal and Mitigation, states the 

Airport Sponsor "will take appropriate action to assure that such terminal airspace 
as is required to protect instrument and visual operations to the airport (including 

established minimum flight altitudes) will be adequately cleared and protected by 

removing, lowering, relocating, marking, or lighting or otherwise mitigating existing 

airport hazards and by preventing the establishment or creation of future airport 

hazards." 

The FAA treats each runway end independently. If Runway 36 has no 20:1 

penetrations, this runway can remain operational at night when Runway 18 is 

NO TAMed closed. We recommend reviewing the 40:1 departure surface for 

Runway 36 to ensure there are no "new" penetrations. 

MOOT provided the following information to the FAA on January 29, 2015: 

• MOOT is working with the airport to get the runway at Romeo back online as 

soon as possible. 

• Negotiations for acquisition of avigation easements are in process to allow 

the airport to cut trees north of the airport. 

• MOOT is working with the airport to move the displaced threshold an 

additional 169 feet. 

o The displaced threshold lights are scheduled to be moved by 

February 4, 2015. 

o There are issues with relocating the runway markings due to weather 

conditions. MOOT is proposing to temporarily mark the new 

displaced threshold with yellow cones placed over the displaced 

threshold light mounts. This would be supplemented by a NO TAM 

indicating non-standard runway markings for the Runway 18 

displaced threshold. 

o Once the temperatures allow for painting, they will go ahead and 

remove the existing displaced threshold markings and repaint the 

markings in the new location. 

• The PAP! for Runway 18 will remain unusable, and RNAV (GPS) approach 

procedure to Runway 18 will remain NA for night operations. 

Please provide an update to AOPA and FAA with respect to the mitigation plan by 

MOOT regarding this matter by March 6, 2015. 

If you have additional questions please contact me at (734) 229-2909. 

Sincerely, 

ORIGINAl SiGNED BY 

Marion D. Pefia 

Program Manager, Detroit Airports District Office 

cc: 098 Airport- Steve Mazur 

AOPA- Adam Williams 

AOPA- Mark Weigand 
I .ICE'IiSOR: 

c 

UCENSEI·:: 

) 

RO\!EO AIRPORT \lA'> H;f:\lF'IiT, LLC. 

2146 U\ER'IiOIS 

TROY, \liOHGA:"i 41'101!:1 

I'FGAStS I'ARACHI Tl"!(; St:RVIO:, l"iCORI'ORATEI) 

1!!-15 U m;\TE L\'liE 

RO( '!lESTER !!ILLS, \HCIUGA'\ 41!309 
( 

CO:'\CESSIO:">i A"ilJ UCE"iSE .v;REE:\IE\T 

THIS AGREF:\tENT mad~ I hi> d~:> of \l~rch. :'01 '·h) Jnd l:x:!\\c,·n Romeo Airport 

\t:.~na~ement~ L~L~C·~ ( hercirmftcr rdCrred to as .. i .i(..;:n~.;;n(') a \t ichigan Limihxi I .iahllit;. 

CtH'poratitlrL \\hose at:kfr~=~~ is 2l46 f _!\ ('t1h1i·:;~ -~roy. \fi\.'hig~ln 480S_,_ anJ I)C$!USUS Parat~huting 

Sen·ic(~s~ lnt"orporakd. \'.hos~· aJdrl'SS i:~ !R45 f udg:.th.' l.ane. R{)Ch~..?skr Hills. 1vikhlgan 4K10t}_ 

(hereinafter rt:f~.."rn.·d h) a~ ·"1.1n·n-;_cc--). 

Liccns ... •c al.!J'l'l':-~ fll h:;is.c flh..TrimJfk'r lilt,_· -·_-\"\2r\.:-l~ml'nt .. l thr FP!h.f\\11112. ~rat:c- Cnrnrnunit\ Hanear .._ ' .. - '- - - ~ 

Buddin2- th.:rr.:in~1~k·r thr "Pr~·mi'~~· i Lu1gar'"J~ The: Prrmisl.' t !angar ~mJ Bui!dmg m·l' ..,hnwn in E\:hihit 

.-.,c'!-~ ;HJ:a(:h1.xi hcn.:·in. TlH_.· Prx.·1nis.c .I L1ngar -shall h(" U:-\cJ and i.)Ctupil._~d h: t icrn-st:e snh.:·l} t~w the 

:--;!orag.t.:· of ~!lit' ain .:rufl \.\ ith th;;.'" t\ flin\\ in~. :\ irLT<lt1 !delHi llcHiPn \: Wllher i h,_.-rdn afh:r r('fcn\_·d 

io a;; the ·":\m.:rafi'-) .. i.iccns-t;~..;: rna;. :-..lor.;; Jnut!wr simib~·ain..:r~ll1 ... ntd; o\-\H~d and up..:r-a.tt:d hy 

Lic-..en:.:..t_"(' (th-:: ..... Substitute Ain·r~ff~ L pnn id~.·d lh~ Suhslituh.· Airt.::mh has {1htaln..:d tlw v.rittr.:n tY~1t:;.~..;m 

(\:Vrittcn Consent Contr-a\.'t! ifnm i ir~.·nst~r. In th .. - J...''\·'l·nl l.ir;,;cn~t:t..' ic,; pt:nnin.:d tn ">hlrt' n Suh;-;tilttk' 

.. -\in.:r~111 in tht:: Pn:m;:~l,._~ i!angdr. ,tll rnt\dl·gr:-; h~H·tn-nfthi-s i\grt"(:lll~n\ and the \\"ritkn Cons\;nt 

Cnm.ract shall apply !ii hnth thr.: Suh-;;tituh..' ~tnd :\]rL·rart dt:'-l'riheJ h..:-rt.·in tf i.ircns"-·~ Jo'!.'S no-t ha\;: 

\\ntkn pt..'JTlHs~.;_iun fpr nth .... ·r unomthnTil.l'd ::lirLTalt ~mtntnnhik:-;, anJ uthJ..'r rn·rrati~maf \-L'hidt.:·s. tb .... ~n 

L!(t.:rJStlf m:..~:· terminate th~:.: :\,Y..rccrni2'nt lmm.:Ji:.ndy and {..'hargt::: Lit:",.:·nsct.' h\'o I htndn .. ·J Perct:nt 

C200°·i~) adJiti•.·mai rt.'nP. ll-r irnrnediatd~ n:.'mtHC dk: Ain.:r~ln and flthcr \.·chick~ fmm the Prc-mis'l~ i bngar 

tu !h(' oubid~ ramp arl";J and ch~H·~-.; a daily ran1p rt::ntal t'i.:e .. 

2. AIRI'OIH DE\"ELOI'.\lEYL 

The- :"\irport Dt..·,ciuprn ... ·nt i:-;. lh.:Hn-t'd anJ s~Watcd on n:al prorH:rt;, h.lt..'ai..cd. in IIK· cily nf Ra:,. l ~-~40 

.i:' \lik Rr>ad. \.1id1igan 4R041l. as k:;alh Jeoceril>ed in Exhibi! ";\ -. In :oddili<>ll lo this ,'\gi\:"mt::nL 

Lit:J...;n.st';,_~ agn ... ·e;-; tn ahido...' h3 and i:., :-;.u.h.it...'l....'l: tn thr.: Ruk's anJ Rl'"guLHi~1!b linduJing.. tlx~s~...· :-;~,·i. t~H·th in 

Exhibit nf"' aUathcJ hcrC'to) as shall he ~.:·hanged and adopted fn"~-rn tlrnc l{'l lime without no-1ict:..• sold::r 

h:,- l.i'-.'i..~m>t'r ~md \fl 1r: n rh-c Pr,~·mi.:: .. ; i t.angar and Hull ding i"' part nf thl,: ..\iq-,on Di.;"\·clttrrnt·nt, as 

d~s;__:ri1"11."·d w E'hihit ·~tr~ attad1 ... ·J herrin. Thl· Pn:mi:--;l' J !an gar including hut not llmih:J to <.ill 

huildings. brxL !\):ads .. infrastn1t;:'!urc. uti!itil'"> •Pf an~- kind. St:\\l~f ~~nd v\ah.·r 1Jn th,;; Airport l)('vd·npmc--n! 

<m,· unJ"'-·r th~,.· -l':\dusivt· d..:\ek;pnwnL managl'nKnt and ~o..'lmlrol h: i i(:!.,:'!l:-;nr and \fDU r sha!! ht)ld 

i .1\..~t·n:..;c~; lwhk· and rcspon:::.thh.· for .:.d~ budd in~ nl.a~nh:n.am;.·;.;, "'-'f1·M~4tt: md.:..·r~..:d utditlt.:s. 1.nnfng e-nd.::~;, 

and rule::-; and rcguJatinn:; as c~t.ahl~shcd r~ofl.iccnsnL \-·ti)()"j :md lht: t-.,:\.A .. 

·\!t par/..:ir.:g areas ~hall incluJl" ;JnJ h...:- li:-mitJ..:d h1 ar<;;.'"a:'- a." > .. h.:-l~o'l·d l·~ l K~.~n~~..tr !"rom time h) tin1e Jut~ tn 

thl' Pn g_c1in~ n .... 'no\:ath.H"J)-lt.r {hl' .\iq'1~W1 D .... ·\l'loprn,::nL {n no f..'\1.,;11~ :-.;hall Llt.:~nset..' ahanUon ~H1:;. 

machinc1·: _ ~:qutrment or ;.Htkltnol"'ilc nr hlo(}.; {•r hinJl'"r nH l\<..'m(·nl lo 1.1T1~ nf th\...: hulk.llngs~ taxiv.,.a:\ :~­

Jt1 \ t,;\.\ ay:~,. n.tn\\a;,"' (>r an; ~.-n ht;t <.k·:,·d.:.;rrnr~nr \.\·hah~;h,:\ t>r. Llcl"lb·:...'·'-' ma: park {"Jl !ht s.idc pf or !n;-.;i.dc 

Iht: Pt-,:·mts;.; I I<Jn_gar Budding,. hw nt,'\<..T PH lh1.: ~ra_..,::> ~n·ca;;. [n ~-~Jdith:tr:L l.ll'L'l"\:>1..'~.: ft.dl) \.l!h .... kr;-;.t:md;;, Jnd 

h1~-; hct...'n no!1 ll~,.·d herein th;H th~.,· :\ irpt·ln [)~,..·" doprncm ~hall h--t' tmrni'.\_·d t'lver th .... · Filh.:~n \ 15} ~cars 

inrJudln~.t a inm~J(-,rrnaliL.lfl ft_>r ;t sat~·L (Jc-an.C~', nl:tJt'C '-.h..:s!rah]e ruhl!C :1irpnrt COnliH-I.."llt~lng in the _).(';lf 

·:ooq_ l ),:t.'lbi.:c ~hal! rh ... '\\'T Hlh:rfcrl· \\ith this -dc\'"'k1pm-,'nl \\hatsncn.:r. i iccnst'e -.;ha!l J'l('\-tf ahatl~< (\d 

1:dT {)r ,_kduc1 rent during ~m: part c,( th.._" m:pm;, c·men! !h_T;nd Hi" d<.Jring !h..: knn nf thh \gru .... 'mcnl 
( 

3. TER:VI OF AGREEMENT 

I he ··icrm·· nf th<: A~r;:c·nwnl is for On.: (I ) 'car cornm;:ncing on Arril l. 20 I 5 anJ shall krminate at 

midnight on \:br<:h 3l. 2010. Licensor and Lic-ense~ shalt mutually conHrm the Cnrnmencem;:nt Date 

In 8 v .. rittr.:n n:~:t:rnorandum anar-hcd hereto il:-' 1->dti:hit 11 IV' if! .icensec rcftht~.s lo sign Exhibit .;."0"', 

th(,~n Li!i:cnsc!...'- :;hall accept l.iccn~nr· s ( ommcnct.:rncnl Dati.? a;.:; thr.: h.:ginning of" th!,'- lertn of thh 

t\en:t:ment herein \\-i1hcnH ~un- tC'(t"l\W::.;.(' nr r\eht tn n:fut~.~ auainst Llc-c·ns.or \\hatst.H:vtr. - ,. \.:. ·-

4. LICE:'iSOR .\NI) UCFNSFE'S WORK 

[ ict..'rlS~t..' at~re~·:--~ to Uk(~ !1!1. .. ' Pri.Tnl~~l· .. ~~" i~-t· ~md r .{CL'n.;,;,~~ shall r ... ~t.urn th~..· Pn.:mLS(' ~ hmgar tmd f~ud-dint: 

to f i\:('lbnt in thl..· S-tH'>ii.' m ht.:Hcr t:ondittnn ~ll thl..· end df thl'.; ..-\gn . .:<.::JTil"nl Lict:n.•;c~;: ~lgrccs to rnuintnjn 

the Pr"'·rni~~ I f4H1g_ar ~rnJ pcrf(nrn maink·n:.~nn: hi insure ih sakt: ... <.il't'uri~: and prop~...·r op~..·ratwn. 

l itr."-"tJs.(·c agn .. ·t..·s that th~..::.· sh~llllk'\'cr rn.Jkc ;my ~hiditit_Hb. slrntlllrill or c~.l:.;.m.::l~c rhangc'S '"'-hatso~...·\ cr to 

the Pn.·mis...:: Hangar or .;.:dlov,. an:nnc tn p(:rfl1nn an: \\nrk in. Pn or tu thl' Pn.::rnist 1 hmgar \\ithout 

auhnn~lica!ly krminal~ng this .-\gn;-~rnc·nL 

{ .ltlly i .icJ,;nsor ts. a!k~\\ ..:-d ~o in~t.dl ~~n; hi.· at g~n~~·rat;ng !;;q,uirm~nt inside tht: Pr!2-m i.sL i Jan gar at the 

:-;nk ~\fH.::nsc oft .iCJ.,'rb..:~. Onl,\ l\'1-o (2 1· !yp--t,:s flf 11.:::11 gcncr.;:1 ing equirnh,·nt ..;;hall he all>tnvcd in t.h~ 

Pn:m ise ! Jan~ar· 12.ns fnrccd J>Jl dfl\ !.·n hit)\\ t:r un I~_;, t)r ~a:~ r~-1d1ant t ul"1>C heaters" ~otv. ithstandine. the "'- '- ' ~ - ... [11'0\ J~,{ons of !hi:-:; S(,•(1i'i1!1~ t .H:V.:ItSOf .\h~~n Htl\ ht.: !;,'i,.{lli_n."d li) ptnY]d(' an: beat ;:and Of {l~f CtmJitkH1ing 10 

th;..• Prt:~nlis~ fiangar fHlr1ilHl ~lfth..: Prnn-1:-;~_·lLmg~n Huitdlng ;ls h;_·r..;in pr~~"ided. i,ie-cnsee shall n(·rt us.t' 

additionalllt:at gt.~nt·rating cquipn1Cnt nr lig_h~_ing lither \h:.m :-.tandard Pn.:mis~..~ r faagat llghb that alrc-ct 

tht:" ternperatm\.' oth~~n\is.: n1alnuincd h~ naturat n~J-'.\. 

5. A.N'>jlTAL RENT. 

( .1-cen-set.: has .agrct_·d l\"; ra:· i i~v();.;i1f tb._· j,)lh!'\-\ Tng_ na~l.' RL:nf_ \\ i1ht?U! JcJUL1ions or '-'l't-offs 

\-\-h~HSOI,_.Yi.,,'r, in .it~h·ant:l,". on (h-e lirs1 dny nj ~\l(..;'h !,:ah.~nd<lf Hlon!}L -\.il B<.lSC R~nl ..;.hall h-e raiJ_ at the 

chk!r(':.ss nf Lil,.,'t;n~or given ahn\·t.: pr at such nthJ.?r pkv. .. -:1..· a::-~ Lic~..~n:.;.or rna; dc~.;,1gnal.t.: fh-Hl1 time to t~rne in 

v,riting. The Bast.: Rc-nl i"or tht.: l'~rm nf ~hi.._ .-\gr\.''...'lll~nl "'hall h~: 

fl.'ll,lg,:!r \lomhl_: B:"~ R,~n! 

S<.J50.oo 

i\nD>E\L.H<l,SE."n! 

S i I AWI.OO 

It' t H,:t:n;:;;~.;~ f~lih. to ra~ :.wd tk·lt n:r an:, i'll:it;)!!r:n.cni , d. Annual Ho_tsc Ro.:JH \\ ithin L~n. .. tJl)_) dd)'S ntk~r th\..· 

fir-o .. a da~. ~tf-;:\~~ry nwnrh during tht.'· ~-~:n1·l oflh(," .'\gn.:~.;mcrH 1 Lit:L'ns~c ·-zh~11! ra~ (\n adJitinn w .and at 

the r 1 me ('}f pa:-·ing sucb in:-n~tllrnt'nt -~ :.m addi!.ft)n~ll n:nt chur~c in thl" am()unt l,_'lf t!~\5~!:!!:l.:D_~-~.;_,J}qll;lG~! 

~A~LWL.LOiLl$.?.:~:Qtc!__] fkT mnnth_ ln ~u.kiit:HllL an.\ and a!! "U\:h unpaid ;HlltHJnts shan hear in!t:n'~t at iht;,· 

rate ()f L'JJ~een J\.=_x~~!U_ L] __ ·~-~-".1 p.:r ~~lliEH\1 unti! p:lid. 
c 

( 

5.1 AOIJITIONAL RE:\T 1'.\ Y\lf::>iT. 

:\ * t("pi\'s(·nt;.; u~ i lllit·s anJ t. in.'n:.;~~ s~Mll p~1y dirl'i;lJ~, :1!1 h1l ~s !'i.1r dt:~;tr1(.:. gas anJ h('at. i ( aq~iJahk. 

and an: t.Hhcr uti lily ~;nnsum.;:J in ~md firr the Pr<trnist: H:,:tngar upnil (:Ol1Hl11..'I1Ccmcnt ofth~ lt·n11 C< 

n..·prl"Sl'nts all utilities-gas, dt.~(tric ht.~~H ~md \\;:Her if availahk'). Lic\.'n~c~,..· must m;1ke a!! anung-:mcnh 

anJ :;;hal! cnsul\ .. ' 1h~:rt all utiliti~..·s arr .. · n:g_i::.;,tcn_·J in th('ir hu~lncss 1.1r pt."rsona! name. I.iLenst':'t: b 

rc"'ponsihk for ~md shaH turn on ail udHth:s., ~n their name __ as. nt•cdr:d to operate th~i r utiHtic~ and 

l'nntinu.,; unld iht' !·crm r:~_\pirat!mt and ~.>;Hl1if'll11: durin~ 1hc Tcrrn tn pa) ~!U utllitli..·s in nrdr::r no~ to 

Jm-rJag .... • tht: Prt'mi:-.J.; nang .. u· .;md Bullt!ing. L.i .... :~;.:nSJ;.."l,." shaH mainl~tin and \\arrant at its cxp~..~nsc tht" 

prt"lfK'f functwn of nil md-l'rs rnca;;.uring ihc crm3ump1[nn nfthe t..ni!Jtics \\-~!hin and ust•d fnr th-t~ 

Pn:rnl: ... ~' fbng~tr. Lic~:rr:-;.;:.._· ~~hall pay all utili!: amounts a:~ h!ik\J h.: th~.· utili1:1 cnn1pank•;.; v ..itht)tl1 an) 

d(·duction:::. nr St.'( ~or"f \\ hat:;ocY'-'L 

l ic~ .. 'n:-.cc :~gr.:'"·:.; ln sakly and tY·~r~.:~:tftdl} u:s.;:. m;:.un!-:.!in anJ ot\,:up~· th~..,- Pr1,_:mis.:..· Hangar durin_t; tht: 

tt..·rm t ~r (his i\gn:cnh..~nt. l_Jcc/bc-L' !s ~nkl_:. ft."Sf'\t'll1:>ihh: fnr an~ :.:.ccur1t~. s.y -;h:m and (l'f pt..·rsunn'-·l 

n .. ·garJmg th~ Pn.'rni~~e llangar lnduding but 11l'tt limit(':J 1-n I h..: sL-L'Urit; or its Aircraft and r~~r:->onal 

ik-n1S. Lict.'TlSL'L'" ~,hall in~U.I\' thai hi;-;...-'ht:r hangar ddor and ~lH oth-.... ·r ~ntranccs to th~: Pntmisl' I fangar an: 

h1~.:-kC"J upon cntcrinf!: and k~n.-in~ !he Pn..:mi.s ... • I bni_!aL l.ict.T!Sl?t.' ~hall t!Uuram:~ th3t th.: Ain..Tal) ~-;ha!i 

be :-;.tcm..::J lns.iJl.' the Pre.mis.t::] iangat a~ all tirnc;.. if ti'H::" Aircraft is not hL~ing US{."d fnr n:·ing purpose;;,. 

I _icL"nS{.'~ ~tgn:cs In remain in C\lt--npliilnc.;..• \\, ith I Iomcland Sr.:!curity. ihe StJ.tr nf \li-chigan and 

I _icens-t'lt-- s eJl1:-wt;.; to keep the Airport as s..af(? und-er the pn•setH and tmgnin~ cn:ru.:erns. ! .kt.::nset_• agrees 

to :Safd~ :-:.tntt· and ">lXUfl; ;;dt ~;..·ys ~o thl' Prt·mist: 1--hmgar and Ain.:raft nfl"c;Et~· t·n pre\·enl the l!kdihotJJ 

nfth~,~ Aircr~tn hcing :s!.ok·n vdK·n it is nol in u:->t:. 

! .ic!.:n:s,_--~,.- :-.;hall not do. pt...Tnlt{ ur sutl~.;r ~m~ :Jet llr thing tn hL' dllfK' '1\·hirh i"> mjurinu-s tn fh(:' Pn..:-rnis(" 

liang.arbL hHtlding Pr A!q;;nn Dt..'\Cl.;,lpn:enL 1shich !~a nuisancr. tontrar~. hl any hw-.. ordinance. ruk·. 

rr:gubei..-•n ()r nn .. h..·r of Lkcnst··,r_ ]\1[)( rr or the)· ./\~A. ~.!censor shall hi.nc ~K'~CSS i.O th~..· Prcrnf~ 

Hangar at aH tir:ncs. !o i:nsp-e-\.'"1 1~Jt' Fin: ("ode Ylobtinn.:-~. inspect ckLmlml'ss and nrderl_;. hu:si~K·:s.s, No 

nut~.;lde t..'nmpani\?"s. \HHsid-t' rnod corn.panir.:~. Yl'nding n1t..K·hinrs and nr rah..:R~rs. rnaintcnani;C p\-~rsonn~;,~[ 

or oth('r atrp~)rt related st:n·kcs arc .aihn\eJ nn 1..tr in tht..' Prcrni:->l·l ian gar or Airport Dl'v-doprn.~;nt 

unkss ~_:.- a \\riUcn 3-pp-ru\ aJ th-wn [ .icen~~:n· · ~: and \1 l)O ~--....; ( ·~Hl'!mi.Tcjal ( )p~raling Agrccn1.:nl. Fue-l 

Conrt'sslon .-\gn.:o;:men1 or a Land l.t:zt.;.c Cnl:KL""S:siun Ag.l\.."t..~m~.TlL I.i-r"-"n::-;~:t..~ sh~l!l kr:cp thl;." Pn:m.isc 

f bnF~r dean and fre~:· (:.f d~hri~ ::n],J oth ..·r ha;anh)us mat..:-rta~. 1 .i..:~ns.:c gu:..m.mt(~_:.;. to i .. it:t.•n:~or th:Jt 

lht;:'_- \\ill n(>t permit d-aJ"'fl<l.;i"C' Pr' conHnit \\a:;;..t>;; \If damage to th~ Pn·ml~.:.c r L:tng~r. building or '\irpor1 

{ · ornrnon _·\re:'ls. 

f i~z.·n;.;eL' sh;~ll lh~l t.:nndm::f i.'~r a flo'.\ :tn; cPmm..:r~ia! adi\ h;.- nf an: kimL including flight sdwoi 

tr~tinin_;;. rrn .. ·~-~hanica! n~r"'ai r~. 'ir ''"-" hno!in~ .. 1-d ht:' cnndw..:JLJ hy ! jc;.:'n:'<r..."'-' 1"lt ihl' [ .-iccn::-:.~..·t..~;., ill\ it<:(:- ( ~,"). i tL 

rron1 t)r arnu.nd rh~.., Pn..·mi "'·~~ l Lm_~~tr \ c~J. \:o cnainl.r:-nancc nn th<_' .:\ir..::raft :->hall n._, pc-rlim11-:d in t'lr on 

th~...· Pn:rn i...;;: I lang~n {':.;! \X ilhn•Jr rr1nr \\ nn~n ilf'lfHn\ ~11 nf I _.iccn~.;,lH .. L\t~pi such m~nur rnaint..:;nan~e a.s 

\'~ ou!J fl<)l111a!! y bt: fli..Tli. >rrnt .. 'l,_l h_:- :H1 ;_l( fl_T;l n 0\\ HL'f v.;! thou a tht.• .Js;.;.istan~ . .'L' cd' ~Hil al n;ra n mechanic i l f 

rcrsonnd. I ic..:nst..:l' m~~\' .allen\· maimt:·r'E-ln,~<.· hi h.: pcrti1rrr~<LJ •. us his. (lr h~,..~r .\in.:ran in the Premist: 

j bngar ;Yr .-\!rTH.irf nl_'\\ .. ~fprrn.cni and hudJing prYn idcd that :;;uc-h ~·~cn·icl~\ ~~rl' nnl on(·n:.~d (1["J th~~~ Alrpt:>rt 

f);._~\ c.."l,npn1~n~ h~ tht.· l _i~l __ 'n~dr ~~~r \>. ith 1 h;.: \..''\i:;tmg (i \._.,j ha~c op<.Tatf"Jt' .\n:- and ~~n J-1tTStH1n~l 

_, 
( 

pcrforrning aircratl maintenanct.? of any kind \vhn do not h~n ~ a signed CommJ.:rcial Opt;rating 

Agr(·cmcnt by and from Licensor and or \·I DOT arc· not rcrm)Hc·d in''' on the Airport Development 

whmsoc\cr and shall pay l.ict.:llS<lr all costs 1o rcmLn c them. [ .ic·cnscc shall take all steps to ensure that 

the performance nf any and ail maintt..~nance work shall not damage- the Prt:mi~e! iangar (s). Airport 

l)t'vc-!t)ptn~nt (}f other areas \vherc 1 ,ic-ensnr~s \\ork is p'l"'d~.lfm~:?d. 

Lic~..·nsc-~ shall cr,ntrol the c·ondu..:t and dt.:tl'll..-:anor ufits t:mplo;t'l's, guL·sb and invftL·L~s.. and of those 

doing hu~ines;;: wfth hirn/h,-·r in and arf<unz'l 1!1<.:~ Prcmi;:;c i !angar t <r. and shaH tak~ all steps nt:ces:iar) to 

rcmo\.¢ persons \\hom Lic ... ~nsor may_ fnr good anJ surt!ci~nl t:a:tJSl". dt:"('lll ohjt'ctionahk f()r pri\.tKY-

~al"\:ty. and -sCt'Uflty purp~lSL'S-. 

Licensor .'-'hall prn\ idt.:- ~h(:- [ .t~;.._·n:--;.;-..· \\ 11h on..; f. t \ ma::>!<."r kl..-'~ that sha!l pnwi,._h.:_. ~h.:.:C\.'s.s. to tht: Pr(:mi~c 

I fan gar tsJ t.>ntranccs. l.lccH:-;~(· agl\; .. ·;;.; to pa~ for ;l ~;.h,:~ptl~i~ of ri It) ( S50JIO) Do Hats_ if the key ts nn1 

rdurn~d \;,hen this. Agn:t:ffJ<:nt ]:-, h.:nnin. •. lh.:i..L 1.h .. ~ l.it.:"l.:n;.;;;;.,.: \\ill !~uk·i1 tht: i.kpo:-.lt. lo cover lohnr tlJ~~t~ 

h) ;:mJ install <:t n~\\ ~..~:- tindt;r. lf th: .. · kt:;. 1s n:turn~..·d. thtTl i .it:~ns,)r ·shall n:t·und thl.'" t..kp(lslt- A <kpo~it 

was r¢c(·ivt:d hy; At! kc~s ant.! lnck:-;. must r._~main m1tkr tht~ mask·r k1..'"\ system 

~..~~.!ahlt~h~~·d h: l.iccnsor for s.;;dl't} and -;.ccurity purposLs 

During !h~ t~rm of\hi~ i\gn.>.:rn!('nt L.itcHS\.~~..- at Li~.:J.:rli.S~\.~ ·~ :sok~ t:PS.t :-.h;lll k~t:p ~md rnaintain in the 

sa.rni.": condition anJ n:p~tir as. on thL· C.:.Hl1111l.:'ilt:-(ml'..~tH Dm~..·. th~.,· Prt:mls-.: I Lmgar. Building and every 

purt th~rc-t~r. im.:l:uding al! f!'\tur\_·~- k·a:.l,"h~:.!d irnpn)\\..'lllt.:nh. inh.TiiJr \'1--t"llh. tlniW~. ceiling. \~indnvos. 

doors. all '-"k:..::trlcat f~lciilti~...·s anJ equipment. in\.:fw .. hng lighi!ng ll:..;tun.~s. bmps. lims~ and ck~ctrica! 

motors. all o!bccr aprlianccs and cqmpmcn! n( nny kind 'md muurc· and all other nnn-slructural 

rermrs. n:plact~ilH .. ~nts and n:sinratinn~ to th\2' Pn::nJise ! !angar.. ShnuiJ l .in~m•ct: \:HttS(' Urbj d~Ul"l;~gc lf~ 

the Premise l Iangar or Airport DcYdopm~nL Ucenscc shall repair the- Jarnagc at lhl~ir sok cost ln nn 

t..'Ycnt shaH l.iccn:-;.c~ -nr any of ih suht·nntract~)rs. in\.-itccs. ·nr employees h~ aihl\\l'd on th~..: roof 

\\·hats~Jev~r. 

l.iccnsec ;)gfC'~S not hring upon or Shlfi. . .' in the Airp~Jn Dt.:\-t1llprn('nt rc'tl"t'ti·-cUH'I: proJucts,. t:\plosi\,(,."S, 

nr~amlS ~unless i .. Eccnset.' has a ('PI -·cnne~aled pistol !k·t'n:-;-:···,1, HlhHik or l1arnmabk t.:hcmu;als nr 

any oth~~r property which \\'OHJd (:t'catc ~a potendat fin: h::u:an.L destruction or securltj: hrc·<.H.::h to th~ 

.J\irr~w1 DevdrtpmenL Tht: shw~iff~ ofaYiatitm ga:-;otin~ i~ lirnikd to that slon:d in iht: Aircran fud 

tanks at ali times and !s !irnited h\ tl\('" (5} g.alinn~ "'u.tsiJ~,., th~ Ain.:r:11l in nt.m~-cornbuslibk· \.'"On~ain~.-·rs, 

Th~ :-;tn·ragc nr housing nf r1W~<tor y,;h:i:~.;k fud is strictly prohihit~U. I ·icen~J,;l' shall he n.·~pon.sih-k cd·' 

rrnr':l~.;rl;- dispnslng i)f ali li.ld fftmi surnpC<!, ~.;·ngin;;:{<l- t.:ngin~.? Gil \\ti~l-\.' and !uhri~ant:->, DlsfX1~i.d or all 

\\;J:;(~.,~ proJw.;t~; upon the ground];-., spccitlc:.dl;. prohlhittd anJ v.Ht he dc;.;mt'ti a J~·rault in a~;.:cor-dant;\; 

\\·ith this par:.tgraph. Lict·nscc and Ken :\ndn:v.-s pt..T'>Ota<.~Hy agn;c;.; h~ !nJl:mnif;. and hold Liccn:-;or 

hanT;k-:ss for all cn..:h incunl"J In ~til\ and JH dcanur~~ l\ .. ·~;uhing rrorn a spi!f of \V.a~tr: product:.;. rue! (~r 

nfl~::l'.an~. kirK! in Ll~~nse..:;"~ ~·rt~ntrn! 

1!. !NSiiRA:\( E A:\11 1:\I>E'.I"iiFIC.\TION. 

f k~ns.ct.:' ag.r~r:~ in crht~ln and tn~un1~un :.It a!! iim~·:o: arid sun l1..·lng 1his AiJ_re-cment dur1ng and f(u· any· 

and aU Hiigmi~_-;n that rna;. arL;..: during tl11.:· l crm_ a builJ]ng anJ ..:stah; instmmce po!i.cy·. l(ir HK 
( 

hcrh .. :tlr an!l..f C~)V;..T:..H.;c or Liccnst~t' and Llcl'HSOL in:;urinc ili!ainsl ~mv J..nJ all !iahdit\ fbr Jama~~ and .... '" .... .. .. .. loss to Liccns..:.:'s AtrcrulL personal properly, Prcmisl· Hangar. r<:al <:state and liability !(;r any and all 

personal injtll)' and death and pr<" iding in:;urmw~ pmtc~:tion to I ,iccnsnr, This polic: :>hull abo insure 

against any and ali ca ... ;,;uahy and propt.~rty d~H1htgt.:: ~~)r I HO~'i-' of n:pLJ11;~mcnt to~t of the Pn.:mis.e, 

f!angar, Building and Ct,'tl1prdl¢nsin: guwra! puoli~: liability insurance, Ucc-ns;;c shall provide 

l.k~rt:'illf.. uron nn;.. and uH r~ncv.·als and ('hangt~s. ct~rifficak"> \,Tid"·m:lng th~.:" exish.·nc'-' ofHK· pt)tky. 

lht: !lahlllt: and prnptn~ l'tl\"Cfa!:{C under the policy 5haH namt.• i .!censor and Lk~nsnr's miJrtgag~..~~ a~ 

an addi1ional insured .. and \l;iJ! rnn·id...: i,."nmpn:hcn:c:i\'t:= gt:n~rill publi~ !i;Jhlliiy insurartce on:erage 

against duims I(.H or ari~ing out nfbnJil:-. inJur:. d~..~mh or prnr1..~rty Jamag(:. m:4;urring. in, on or ahout 

th<: Premise I !angar. Building and ,\irport LkwlnpmcnL l'hc' polic·\ shall han: a cnr11!1in~d bodily 

iniuf\ <>r d~a!h nr 3 sm!'k P'"""n nnl k" than ( lnc Mill inn Dollar' 1 S l JJOOJlOIHlO) p,·r ncnnrrene<\ 

and \J.;Ith rcsr(·d tn an: P1h.: (·l~t."u.rn.:ncL' l,lf pror:.crty dan'Jag·.: {itK.!uding aircraft damag~) Hf nul kss. than 

On~ !'vfi!linn ( S i J)OO.OOO_OO) Dotbr~ and thcr-:after in such f!2;JS-~.-.nahly appropriat~~ in~:r~as-.\J ankn.mts 

a:-; tHa} ht:: d.!.:'k.Ttnincd h) Lic;,·nsoL pnn,-idt:-LL hti\\ l'\ cr, that thL' a.tTHHlrif 1.1f CP\'crag.c \\ill not h~..· 

in-~.;n.:ascd mor~ fr~Lp.J<:r11f; .. thm1 al on~..~ {! :l )-.:-ar mkr\als. Th"-" ~h:ductihk nn such ins.unuK·~,.· \\ill nt>t 

C\cc·c·d on.: lhnus;md and (J()i ton 1 S l JlllfUIO) dnllars ;,nd any om! all clt:ductihk·s in tll.: :1hon: dcscrih~d 

insur;.mc~ poiil'y shaH b ... ~ a::''-:Unl~',j h_:. and h~,· for thl· ~tl~t~oun! ot'. mad at ih~ snlc risk (lf f it"t:nscc_ 

'). INUENMifiC!lt TIO:'>i A:'>![) IIOU> liARMEU:ss 

Licr.:n:..c·t: '.i..'Ui\l:-s an: and idl \,2bim~~ ~.,1r :~ctim1s that ma: .. arise against Th~.~ Statl.: \ff \H~higan~ Th.: 

Michigan Dcpnrtm..:nt pf lr;;:mspor!aiH.Hl and i(;.; ( 'ommiss.ions ... !.ict...:ns,lf an:J it'~ ovuH.::rs. i.hre~,:tors. 

manag~..·rs ..... ~rnpf.oyel'S. gu(·~.;,t'S, ag~,.·nts and ali falnHy lll(:"mhcrs. a.s a rt!sull of an:-. tkaHt. injurie-s. l<t):SS. 

th(:n or dumag~.~ to an: or Liccn:sc\.~:~ /\lr(.::f~ln. or r~r-sona! it~rn;.;. ~nduding anJ \Vithout Emitatirm~ 

p~..::rsnnaL huddy or m':ntai in_1ury. cconnmi..:: lns:S or HH) d;_·~mag~.; 1o l.lc:~nsce-s spo.tt:.;,l.. .... children or gucs.ts 

rl'suhing from nny .a\.'tion or nrm <.H.~titHl. ncglig'l~m.:~..: <:)f d~s.rt.~g..;:mJ nf \-tJ)( Yr nr LicensnL if lhi..TC ban: 

daim of any kind hy nr from Licensee or irs in\·itees .. ha.st.:J nn but not lln1ited to any injury. !nss. thet1 

n1· l.hlmagc thnt in\'(:h·~:s l k-cn;:.;.e~, or an; person or personal ih.:·m that is pan oft icl.."n.sec·s, nr rdated 

ro tht: Airpor! L}e\(:lnprnt:nt, I i~;\.."!ht:C .-~t:'-ret;s tn Jeft:nJ l\-·1D()'I. ~nd Lic~...,.nstW agams1 any and aH s.uch 

daims and 1 j~r.;-nscc shall pa) \H)O r and I.k~~nsor f{.tr a1! cxr~nSi..''>~ induding liqutdah.."'rl damages, 

rt'hiting to s.m..:h cbtms. ;.lnd in1.kr11nd~ and hrdJ !\-·H)( fl and i .i(J.:ns-or harrnkss t~.r· all obligati-ons 

re;-;tdt.ing fl\Hn ail ~;uch cialrns 

In addi1ion. Lii..'t:nse...:- agr~es that in an~ untl..-,rtunatl' t'\'J....~nt th~H ij(:cns,·t.• incur~. ;;m:: and aH injury 

int,."iudin~ hut tWl lirnttcd to inJuries. that rcs.utt m ~..kath and ~lf i..; ph~sical!:y. emi..)thmaHy or nK~ntally 

di~;ahk,d 1.\hik utdii'ing th~ AirpPrt De\dnp!Th.~nt l .iccns ... ~e sha,H indcmn~f~ and hold Liccn~rw 

harmks~ n:k:a:;c LH.::. .. ·nsor lfom ~-Hl) and 11il li3hdlt~. nnt hring k·gal ;Kfinn again~t Licc-nsor. ifs 

rn\nc-rs. Jirc~t.nrs. Ltmdy m~~mbt:rs.. manag-ers. heirs. etnplo]-~...·~~ or -cnntn.u,:tors a;;. a r·csuit fjf r.my death~ 

an~ and an mjun·. di;:;al_,ilit·~. i!tn ... ·s"i nf an> kind rJr nature thaf tit~(:ur.s, and 1.!..:-cn"'~t.' anJ aU of i(s 

in\·~.tccs sh;::dl ..:lnp!;y~, ...:tHm(·~l :~ati:.;.f~Kl.Pr) to I iccnsnr. ~-,~r ilt Lict:nsnr oplitm, i icc-nsnr m::.ry i'C'tlin i~·"' 

tJv,:n l:ihmcii at th~.? ' .. ·xpt·ns.;: pf Licrn::.;-.:..;,· ur L.i-c-.:tb.:c:-:. in\·it'i:\2'::>. to proso;,."I..'Uh~. t.kl¢!kL and nl;!gollatt: an;. 

and all l"h!im::-> .. actinn;.; or t',;,Ht~.:;t...':'-> n( aui•.ins nnd Licensor s_hatl haY<: rb..; riglH tn cnmprnnJis"-' or -..;'("Uk: 

an:, :mch c !ai rn~. ad inn~; nr ~ausl..':s nf .ad;nn.o; \\ l~hout :Ji.im~Hing Jctual hubi lit;.· anJ \\·~thout L i·n.:-nst:~ t1r 
c 

Licensees itn itecs cons~nL I ic~.:ns.t:l..' s.h.a!l puy any and all irKkht~dnt.•ss arising urH..icr said indemnity 

and hnki J .iccnsor ham·dt:s.s tr~ immediately upon d~mand h: I .kcn~or iogcthcr with intcr~st th~r~.:.·on. at 

the R.:mdy Ra!::. from the dat;; such indchwdnc'' 'm~es until p;1id. Li~cns.:e and invitc..:s duty w 

indemnify and hold l.ic~nsor harmks~ shan survl ,.l' th.: termination ur t:xpimtion of this t\grt:t:m{;nt. 

In tht: t:\\:nt thnt l.ii.:~nst;\.' '-hK·s hring adinn again:-.\ any nfthc pank·s m~ntinncJ hcrdn. it \\Hi he a 

hre.ach of" this Agn .. ~-..·m~~nt gidng the \1DOT. ifs J'"T:t~H1mt:nts.and Lk:ctl"·Or a right tn s\!ek and obtain 

any ncct.~ss~try rdicf or rem~d) !ncitaJing a judgrn~n1 i~)r mont:: ~bmag1.:s against J.kcnscc induding 

any and ail i.:'"-OS!S rt'btt~d ~0 1h~ r~·li,._.-f '\.)f i..hfn1<l~<i..';S S>..>ugh[ rhc i .it~.-~lT::'-C-C h~..·r~hy gin.,·:;; and gmnt~ to 

\clllOl and Ji<:.:nc;or a li<:n upon allltxturcs. chands and fl<Tsnnal pwpall ol"ewry kind and 

description flO\\ or hcr1.:.~after to he pi~K·~·d_ instalkd or slor('d h) l.ic:.:n-scc~ at th\." Airp~:1rt Dc-vdoplTH.'llL 

and agn:t:s th~tt in th-e ~vent nfony 1-ai!urc on the part oftht: l.i~(-ns.ce tn comply wi.th each and ~..~·.:cry 

onC" of the cnYenants ~tnd obligations. b.:.-r-t:oL ;.tf in d1(~ ~_~v\:lH of an~ '-kf~nlli con1 irwing t~w sixty d.J.)iS nf 

.J.ny spcdlir;,:J r,;nt. Alq1-nr1 rk'u.,-h.lrH11J,:nt md~ tal.. ... ~ pos:-:.<..:~s.i<:ill nL:md S·dlthi..' sam;: in W1) manrw..~rptO'Vlth:-d hy Ln-v ~md rna;. .;,;n.~dit !hi.· n~..~~ pnli,_:~i:d~ upon ~w: nH.kl"l-kdn'l.·;_.;.:-; du(~ or tL_unagt: s.ustaincJ b~ 

Airport Dc\·t.~loprtl(:n1. \\ithout prcjudit:(: l!.i rurth\."r 1..~lalms thi.'Tt:aticr th~H arisr: WKkr lh~ ~~nns hl:!'COf 

rhis intkrnndlcation shaH SUf\-'1\l.."lhn.Y Y'-'ar:; aftrr ~ht.: tt.:rrntn~ttion of this ,:\grt\,'nK·nt 

HI. 'WAIVER OF Sl BRO(;A TION. 

Licensee pt:rsonaH; sh.<Ji!J c;:msc .:a.ch insurance p·ojic) carri~J hy Lk·L~nsee ~mJ insuring tht.· Pn:n1is~ 

~ langar and Building and iH fi:xrun:s and cnnk•nts nf l ic~:nsc..:-s: prnt)('rty+ li-xtun.•s and contr.:nts against 

!o~:s h)· flrt: and caus.cs t:n\ ~r~d i."l: 1.:'\~~ndt•d lt"l\·~rag.~, ~o he\\ ritlt.:'n in a manner sn as tn proviJc that 

Ut:en;-;ee and its in;;urani.:t.~ ,:arri~,.~r v.ai\'1..~~ ul! right of n..·,nvcry h,: '\.\·a.y of suhrogatinn against Lk~nsnr 

and ih insurance t:arrit..T and poli..:·!~..·:S \-Vh~ttsn"o\ t..~r. 

I I. ACTS Of' OTHER un::-;su:s. 

Liccrtsor shall not he- rl...'spnnsibk (if ~klhk tn !.ic~nsce i~x any loss nr lkm1agc- that HKlJ he orca.sionnl 

hy ~Jr through the acts o-r .-nni<.;sinn.s n( rersnrh o!2"LlJp) in g. the Pr~.:m[s.;,~ Hangar or arry part of the 

Building f(•r any !o~:-{ nr dam3~C re.s.u!ting hl l.kcn;;.c-c nr hi"" prop.::·rt;. frorn the t~1lh:n\-·Ing hut nnl 

liml1-ed to: int-erruption of dccirkai ser\ i~.:l' Pr the bursting. sh)ppngt: nr kah ing of w~-tl>~..~r. ckctrlc rmd 

ga,:; t~dures. nr ffom ::my other cJ:u~..:' \\-hat.sOC\'t.'r inc-luding at"h "-'f(fnd and na~urt·. Li"-x~nst.lr agn::·cs tn 

use lts l1:l.:"S[ d1~H'lS to r~..·qu1r~ ~llt ikc-nsce~-.. tu cnrnpiy \Vith the Ruk-:-: and 1\xg.uiation~ ~is requir'-'d in the 

existing a8"fllX'1lk"tHs 31 lh.c Pn. .. -·-rnist:! b.ngar. i4uilding ;.1JiJ A~rpon [)t:vdnpn1cTH. 

12. StiBORIHNATION AND .c\T'TOI~:"<i\IF.NT. 

I !'ens(>( shan l1t: t:ntiili.~d ln ~u~l~·~...:\ mh..l snht-1!'\.finart.: rhi:-; Agreement_ at aH tlmr..'s. t.o the lien t)f any 

mongag.: nr !Hd-r1gag~s nn\\ nr h!.,Tt:at'tc·r pl,:_t\:t.'d Uj''IPn fh~ ,.\1rp~Jn n~_-,., dnpm-rnL rro\'idt,~d that iLmd 

','t.·"!''J":n any sw;h fHt.lngag~.~ is pbn:d. llw m~H'\g.o·1gc~ .;;haU cl¢:;1\~...:- t·~Jr it;;ctf anJ li.)r l'Y>l·ry o.;uhs.~...~qucnt 

hold-.~r •'.ff ov-dkT of th<.: nwrtg<i~t;-." ,::~nd kn' any r\.'c.;,+~,_,r nr purchaser of the _..\irpt"'~rt Lkvdopmcnt. 1hat in 

dll.: 1:\.-~11~ or i(Jrt:dosurc l iJ;,.:~ll~l·J:'S qui~.~t P,.1S,;;.~S::i-ion nf th(:' Pn:misoe i hmgar wdl Dt.H 1:1.; di.sturh~d fH! 

3:CLOtmt or saiJ mortgag.: o:r h~ n .. ·ason of ~m:~thir1g dt)fh.!' !he-r..: lJ.tki~L ·~o ion~ as Ut:t.~nst.•(," pt~ys thr.: Rent 

and kt:.:."ps th(' other Cfl\cnant...:. on lts. part k> he p!..:·d~1n11~J. 
Liccnst2'~ shall at ~11) tint~."" UfH..if1 the request of i .k-.:nsttr. cx~cut~ and ddin .. ·r in n.·cprJahk !t}rm anJ in 

suh~tan{.\,~ satisti~~Wry to l it:-.':n~;;~.:I'. an (:'~.;topp~d t:~rtiticak ccrtit~ing: th<.:· date 1 ict:~t'>'CC <-H.:c~..~ptcd 

nccup~~n;:~; or the Premist:: l bngnr: the dak· to \\ hich Rem has. hccn p.ai-tl tht: tHH-PUlH nr an~.· S<t;urit) 

Dcpof;iL that this Agn.~t;mt:nt i~ in full fi)n:e J.nd effect and has tWtt hcc~n modifit..·d or amt~nd~d (nr if 

i1ll_)di n~d or an-l ... ~th_kd' de"scrl hmg th-e \\ rlttcn tnu.tually agn.:~d up~H1 tl"fnlS.) and. [O the best of Lkens~('';.; 

!..no\\ h.:dg~ ~HH.i bdi.:.·t· ~mJ \-\;~dKlut dttL' dilq; ... ·nct: and irn ~stigmion. thm thcrr: arc nn Jcft.:'ns-e~ n.r offSets 

thero;.:to nr Jc fault::-; of Lkcn~or Hnikr t.hi;;. :\g_n:crn-l,.'nt (or i r any hl..' z·l::iimJ...:d. de~crihing 1h~ ;:;.aml2 r anJ 

~;w.::h dlhcr rnaH!...'r;;. a~ 1 icl"nsnr nld) n:ast1nahly requ't·:-;L Li~.:cnsee's. fai~un:- tu thAiver such c-crtificat'i,; 

\"-!thin thirty { -;o} J3:··:-~ nf lb.: dcmar:d 1h~·r~.:fnre '<hall tx~ a dd:rull r1f thi;\ A~reernr.:nL 

! iccnsL"c shall nl'\('r ~L..;~ign. i.r:.m:-.kr many rnanncr. hypu!ht.:cHc. n:rjrtga~L'. sublet ~'r furnis.h to any 

t)!.hcr rC'f."iOli. i.'Hrporalitm ~rr ;:_H]tlth..:r '"'nttt~ thL Pr .... ~mis-c i LmFar ~H' an:. ti~ht \OJ' pri\ ikg~ \-dia{:-!.\ti;\'i;t" in 

nr i.'111 the Airpo-n D'l'\\_·k,pmGn~ \Vithuut tbc rri~)f \HiHen COih;;2'111 of I .il:~n~or. :\ \-j~;)]ali-t_Hl O.:tf1hi~ 

prn\ i<;ifHt :•;hn:l! in1Hlt."l..hat\:1) t~.'rmlnak this .. \grcernent and t.hc ! .io.:nsr1r shall h;_;n.c irnm-t:l...li.at.: 

po:'>:.:,t:ssion of {he Pr~.-'"1111:->-r ! L.mgar. !ltL' tKCL'[)tancc of n:n1 frr'!tn an a:.;signct:. ;;;uh-h-~;~·ns"·.; or tK\:Hpant 

shaH nol ronsw.ut;,:· a n:h.:;Js<.:- i.~!" i .ict.:nsc.;: h-rmt th~ oh·liJ-;;,atiolh ~md t..:O\ ('mmts in th~:-;. Ag:n:crn>:nt. 

If part o(or lhr: t;'ntir-.· .. ·\irporr !k'\c[nrnk'n! i..-: takl'n h~ an~v public aulh~.-H·it_y lllH.k•r th...:- p~_Iw..:r of 

~nti!h..'!H dumain. IJK·n 1 his Agn:-:mcnt shall tcrminah.: nn th~ date poss~ssit HI nf thl' Premise l Ian gar i~ 

ddi\(T('d tt; su(h puhflc ~wthorit:-. Ba~c RLTi.t shaU b-e paid to th;:H tbtc and proratL'd accordingly . ..\n} 

and all amounrs a"xardcd {t_i J.j,_.:,_'T!"";nr l'Dr ti.:.Hnagc~ arc 1 ic~n:-;.tif:'<. I kr..·n~.:;:cc ha~ lh1 dairn~ n-r at:"t!nns 

;l~ain:-->t trr !l.)'r l.i~t:nsor:..; i..'i.''~ndernn_;_HJ,_HJ-a\'l.an..I that i~ ail,;.H . .:ahic ttl the Pn:mlse ~ langar. \;tJt\--\il.bstandini; 

rhl,~ ft1n:~olog. l i(''-.'Tl;o;.i . .'t..~ sha!l ha•.-,.; the righl ln maki:? a d~~im ag.atn.sl the cnnd~rrmin~ authority tl:1r the 

rt..:-a~~nnahk \·ah_K" of l.iL'l'nS('t;\ trade riX t\lrl..:'S., ftt'l'll itun,;, p('-tSCtna~ prflf'L'rty, itttt,"·rn.Jption Ot dis[o!§.;a1ion Of 

busH"lC:~.s- loss \·1fgnod ;.viU anJ lor tlh•\·in~ ;~nd r'L'fHtllidln~ (""Xf't::ns-:s. 

15. UEFAI LT ANH RE'\U:I>IFS. 

An: nft!w ftJtlO\\in~: occurr<elh;r::-;. hut no1 tinlih:d to t_h~,·s.l~· h~:n.:in,. :->lwll.;(m~,;,t[tuh: additional Fvt;nts of 

lkicwlt. 

:\. I _icc-nsc-t.· Ltil"' to ra; any insLdltnt:nt ;."Jf Rent b; th1..· lin-ada) ~~r ew:.h mlmHt 

H. J .icc!ht:'i...' d('·cbr~,·.:; m:-:;ohcnc .... -: banknlp!t.:: nr! it.:~n">t~r .;,_h_·clarl.";.; an !·:vent 1."Jf Dd~u.rlt :y; 

p~..·nm t h.·d in t hi~;, -\~ n: ~.Trh.' ;H . 

( · f .iu..:nsi.'l" \ iiJ.bl.,>~ i'f bd":.'- i_(;. o....:ompt:, .,.., i:;b nr i~ m t..kl~wll. in tht~ p..:-rf<.-wmant::c- ,)j" .any nth~r 

f'Jl'O\ i:;,;i~_H1 \1 J" thi;-;. \gn.'t.'int.~ri( 1\:.•r a p1..:riod or \t;H ( [ 0) ._JH:;- S. aftl'r wtith;-n nolitC" frOtll 

{ it.:t,.'I\:-i{)r u( ~~uch l-!nh!Ju·n. n~lnrnmrd<m.,·-..·, ~.·~r l,_h:Lmlr. 

D f .!ctT~S"-"t." ~~~d.;. h'r f;,:rair. maintam ur n:phH .. ';,;' an:- ih.-nl d.S r~·q~~'l'SH,:d h) r ii."~il"1i_l·f 

\\ ithin k~n! t 0) J~1~ "-

1- Li.~c·nsc\.' assignc' :x :;ubkts am r:.~rt ur an ,,fllw l'rc·nw;,: llangur or slor<:s an 

aherna1c .J.irrraft nr Ptbcr \'1.-'hick:--:-:. 

I. 
( 

. I '-.. ~ 

In an Even! of Defauli. and notwl!hst:mding l.ic~nsPr may ha' c other r~mcdics umkr the· Agre-ement. 

Ia\\ or in {,"quity. Lict·nsor may gi'\·~ Liccnsz'e wrl1tcn nntl~c {tbt' HTcrmination \iotke") of the intention 

~o <~nd th~.." Term of thl!<t Agre~'OK"nt. :;pt:-ci(~ h:!:;t a day {''Tcrrnination Dat~"). Th~ lcrrnimuion N(Jtict.--: 

shall ,;pc·cifv that th.; Agre~mcm and ·krrn '\hall expire and termirlill<" "ith the same lilr~c and d"fect as 

if the f'~n11inatinn Date \\('t(:' t!K· ~xplratinn Jak of !ha: Agn~·t·rncrH and ail right~ of License(· ~haH 

ten11inat(:. Lk¢ns.nr and Liccns.:t mutmdly agn:c that Licn~sor is entitled ~o. \\ ithuut demand or 

further noti-::c. rc~~ntcr and po~:.;s;t"ss rhc Prcn1iscs. by s.tnnmary proo.:ettdings, t~ic\..:tm~nt or as otb.;-r\vl.s~ 

rcnttittcd h~ hrw~ ;_md flTi10\':l' Lken;;,ec anJ r-cr·::.(ttl:·• and prnrel1Y from thl' Preml'lC$ and han~~ hnhi 

anJ enjo) lhc Premise:.;; \\ith lhc rlght L(t n;t;:eivt:< aH r~nt and mht:'r inc-orne. 

l.iccn:.:.or, z:1t its oplHJn~ rna; ,J.:"t~hca tcnrnnaht thi:.:. ..-\;;n:t'HliO::n1 h; gning tht..~ Termi-nation Nc~tH.::c 

d~.,-..;_;.;(l'lbll:J all~n. t.: or. \J. lthou1 tl'rminatlng th1s .i\gn .. ·cmt-nt n:--k'L a he Pn.~mis~;s. or an;. part th("n:·of ~)n !'";uch 

ti.~rms and conditions a;;. Liccns.nr d.ct•ms ~H.ivi:-iahtt: in its suk· d}scrcuon. The proi\:t;.·cds or ;.;w.:h ft,'"~ 

ktting shaH he arr:.lh:.·d. {a) rir"l.. lO th;,..• p;..~~men! u( an:; in\..h.:htt:dncs;\ nf i.i~t~!1Si..'t": \0 Lic~nsor o{hc-r 

than I\·!Ininum1 Annual RenL (b) ~ccr•nJ, tct tht pl:lyllk'li1 r.d' an_y r~asnnahk costs t~f such n>kttfn.g 

inchKHn.g the t"OSl nf an:-- n:asnnablc a!tcra~inns and repair~ tn ifK Pn.::mis.-cs. f;rnki.T3gc kt:~.; and 

C\ pt.:nS1.:'~. ~ldv.:rti.sing ;,.··.;,pt;ns.;;\, H1:.c.;p~...:.._:~ ion !'<:i..'.;; :md ;}HfirtK',\ ~ fees: (c) i'hlrJ. to the payment nf 

\-1\n!mum Annual R~.~nt Ju ... ~ and unpmd hcr;:uJhk~r; l-d) 1-'ourth. lu an) damagt:s_ co;-..ts an.J expenses 

iacurn,:J hy i .ict...•nsor a~ a n .. 'Std1 or f.[.c ... Tr~;:l·'s P:n.:~.u.::h: and(;,~) Th~: rJ,.~;.;idu..;, rr an; .. ;;hail he hdd hy 

LJcens.:H .and applk·J in paynR'tH. 1li. futun.: R"-~nt a~ the ;;.amc rna) h~cnmc dw: umJ payahk hereunder. 

Should th~ proceeds of such rc-kH~ng during an~ month ht: k·ss than thi.: 111t.H1~hly instaHments 0f 

i\•1ininuJrn _.\nnual R-~,.~nt n:qulrt~d h~J\.zundcr, th;.:n l.iLL'n~cc shal! J.urtng such month p.ay such dcl'iv:iencj 

to l.kcn:.sor up1m dt.~minhJ. 

~~- xc(·pt u~ othcrwi;,;c pnJ\ i(kd hy la\\. 1. i~:cns.{lt' :<>hall hu\·~.._~ no tiai'i"ility lH' responsihiEty in any "vay 

\\·hatsn~-..·\'t:f n.lr !b ~~lfhlr~ h.f n>kt lhl..' Pn:mi:-.;1,,;:.:. or~ in lhc C\·..;n~ uf rt.'··ktting~ f~x faBun: to Ct"tk\:'t lhti..~ 

ReT>! unda su~h rc··i<'Hing. Except '" nlh<:rwis<: pr<,,ided hy b\\ .. Licensors failure' to r.:·kt the 

Pn~rni:'-iC:--:: nr ;_my part !h~n..~flf shall no~ r~..~h:ast: or :1fl~·d I .icens..:.:s l~nhility f.t')r rent or damages. 

On.: or m(Jf\~ v.-aivt:r b\ Lic;.;n:-:.nr of an) krrn or condilion ht:!'I.!Hndcr nr d~~~~wh hy Lict:>nsce hereunder 

shaH not he crmstrut:d as a \\:a]\t;.'f of s,u-~.:Ji t~rm or ~ondldfm or det;u.Jh in tht· fuwn: or any subst.)LjUf..~n! 

Jt~fm.ilh for the s;.m1\"..' caus~..·_ ,.\ny cons~._·n( or appn_Ha1 ghcn h: I .i(·~nS(lf r>.:'quiring suL":h (.:onscnt or 

.appnn al shall not constitute cnn~nt nr approval !o an;- suhs-l'"qw:nf similar a~1 hy J.kenscc .. 

~n the c\:cnt Licensor dects to terminate thi-:-: _.-\gn .. ~crr~~ .. ·nt. Lu.:;;;rhor shall ha\ e the right to ao .. ~ckratc all 

nfthc Rem t,to the ~..~--..:tent dett.:rmin~di due ht'f('tmdcr f(~r the h;:·d~HK-e !.lfthc Tenn. Licensee sh.aH pay to 

! .iu;nsor upcm demand .. as liquidah:J darnagc1. thJ..? <..kt"i1.."i.J:rh.:;. hd.\\o,;en t.be amount of said U\~ci.:!kfah..~d 

R-<;:rtt nnd th.: procet.:ds of rL'-lclt int:: !'nr \-\· ha~ \\ou.ld ha'<t' Plh.:n\ i:s~· cort;;lituted tht.: ha!aw..::~:::- of tht: T;,;;m1 .. 

in ~.~fnnpu~ing 1iquld~tkd damklg_c..; I .i~t:ns1.\r shall add any ;;..·-...:.lx:nsl'."s incurred in connc·-crion v~,:ith 

-nl_,~aining pns::z;;;.;s.i~~n 11f ;:md t'1>k·uin~ tht: Pn:lT!lscs mcludin);_ hvt not l!rnit~d to aH>1Jl11l'YS !~t.:s. 

brob .. Tag.;.:- t~ ... t-.'4 and t..:\p-cn~;~"'· adv-;,:rti:"iin;; ~xpcn:ses .. rea:-;.pnabk· alh:rations. an:..f repairs to th.t..· PrcTnis~...~s. 

') 
16. SEClfRITY m:rosrr. 

Upon c•xecution of this :\gf(ccmcllt. Li~:c·ns.:c >hall dcliwr tn LHxnsor the swn of nine hundn:d tifty 

and 00/lllO {$950.001 dollars. which rcprc;;.:ms the first month rent and.a security deposit of(951l00) 

a..;, consid-cratton f()t th\.,· [~tithhJl p.cr1t)n1lcmct:~ hy J.icensce of all of the tenns and conditions ofthi~ 

Ag_1·\~crncrH. in rhe e\·ent Llcenst:c defaults in any rtfth..:- tcrrns and condition~ ofth1s ,-\grc~n1cnt. 

Licensor shaH ha\'t: th~ right (hut rh.lt tlw obl·iga{i4)n} lo apply any part of th\.· scr..~urity depos~t to cure 

an;. :;.ut:h '-h;t~tult. induding Jamagc~ or Jdlcicncy in the r~..:-k.·uing of thJ.:" !>remise l kmgar. in t.hc ~v~·nl 

I kt:n~or ~o applies th~ s~;.·cur1!y dep-osit I jcen~ee shall upon 1.kmanJ !mmt>diatdy deposit v.:lth 

Li\:cn~or an amount suffident tn fund the s.t>curity t.k•p{JSit in th~ anh.Hmt requirt:J hereunder. If 

Lkenset:' dtH.~s not depn~i! tht:' rcqHt.~S~t:d Jllon~} ~qu.a! !o th(' nrig_imll :·oll.:"(Hrit:- d~posit amount Zero 

{$000.00)~ then I .icenst:'e shrd! b-e in (i.;LtUh nf1his _,;\gn:cnH:nt. In thl: c-v~nt l.kr.:n!{t!C duHy cnrnplh:s 

v.-ilh a.H the l..crms and conditions of 1his -\gr.:~tnJ;nt. the ~l.-·cudty depnstt or ha1anci" ~hereof, possL"ssion 

of th.: Prt:mis~ f bngar to I .i{:t.'11:..,~iL l.ic~·nsnr ;.;h;~ll ntH h'l..· o-bligated to k.r:~.;p th.._· s~.::-curity deposit a.s a 

;t.;<i.-~purat..~ fund but may I..:'OH"lr111ng_h: .such\\ !th I ,ict:nsors funds provi.J(:d I .it't;.Tls.tX maintains s.cparah: 

ar:._:(;otmting n ... ~~,nd~ ktr such zkpns~t 

17. NOTICES. 

if in the Agreement a prrn iskm ;.._made f(-;r any k[nd nf nntict: cottld he neccssar:;.. induding th~ 

mfHHhl_: !'Cnt coupon~;, it sh<Jll hr.: Jecrn~d s.u!1k!ent notke and ~ef'\·i-ce th..:-re·nf if such notic~.."!" to 

l.ice:nsc(• is in v. dting addressed h) i .. iccrtsc\· at Ann. \1lk¢ Pd1~r at l X4~ I .udgatc I . .ane. Rochester 

Hills. !\hchig~n 4&.109 and dcpusit<:d in !ht: mail 'en! by regular iirsl class maiL with pos!age prepaid. 

Notict." nceJ n~ SC"nl to nnly nne [ .i'l.:.:.::n~;cc \Jr \Vh<;.Tt' l.it:cnsCt._' is more than Ollt: person. 

Licensor shall have easements 14:-~r, existing pipes and \\'Ire conduits on. in. undt.:~r. over ami through the 

PrlCm.ist." f-latigar forth~· bent:-fit,_\!. I .icensnr <.U1d:'~H· •"thcr llccn~1.'t'~ in th~· Premise I fangar Building. 

L~censor n13j· cnkr the Premise J bngar f(H' the purpose of repbclng such itcn1s" providcJ that. ~xf..:cpt 

in the t·v('n1 of an t:Tncq~ciKy, Lio:t:llstlr ·~.hail ~nlct 1he Prt:mise Hangar fnr "'uch purpo$CS only (a) up-on 

rr.;-a;;onahk \\·tiHcn no(ic;:- to! .it:~nst;;;, th} at such tirnes a:-; n:1ay h~ approved. by Lict:n;s"-~...:. and (c) in 

~'uch a rnanncr ,a,;;; to cause rh~.,· rninimum di~rurHinn tn Licens.ee's empl~."i'J cl:s and persona! at"tiviti~:S on 

th.;- AirpfH1 Dcv~!,opm~rH. \.~\:}t\\-ithstanding the : ..d:m\'t: Lkcnsor may not dirninish Li('Cli;)~t:S. no-or arc.a 

(H" alf~ct I .icense,·s us.: ... ~r the Pr~mis.:.• l Ian gar. 

19. TRIAl BY .HRY. 

Lic~nsor anD Lit.:~tn~~..· h~r~h: nruHmH;- \.\ai-,.·c tria~ hy jury in any ac~ill)n: pn.lc~.:·t;;ding or l:Ountcrda!m 

Prough~ hv -.:ithj,_~f tlfth'l~m ~agamst th1.: ntht:r ~H) an) rnau-:r~ \"\h3tsoC\Cf ;:~rl-sing. from Li-cerbec's. us,;: or 

ncc~upam.·~ ,.Jf tht;;: Prem1s~..· }hfngar and .\lrpnrl Dt:<\'dr~pm~nL 1.1r any claim of injur;. .. d~ath nr d;.urw.ge 

of arn kirHJ v.:hcHs.Oc\·>:T 
( 

( 

20. ilOLI)I:\G OVER. 

lr. tht.' e\cnt of J Jc~n;;;;t;¢ hoidim.! f,)H;r : . .dlcr thl' ~:xpiratinn ofthb Acr~cmcnt. thereafter the Tcrrn shall 

only he from month to tnonth i~ the ah~ence of a v.riHen agn:cmt:n~ s1gncd mutualiy hy Li~cnsor and 

l.kemcc w the cmnmry. In such ~'entthe mnmhly inswlimvrll ortlw Annual R•·m shall lie Twt> 

HundreJ ( 200°·o ljWfl;cnt "r lh<: !a.sl mtmthly r<:nt in>talimc·m of the Agreement and all other terms and 

condhtons orthi;:; Agn;~menL mdutJing_ Additional Rent shaH ht.' applicahl~ h!- th~ rnomh ttl month 

Tt..~Tm, 

21. SIG:\S. 

l.!c~.~n.s~.: shall not t..:rc~t or instal'! ;:my cxh:ri~··r or lnti2'rinr Premis(' l Iang.iJr nr Buih.Iing sign::._ a\-~;-nlng:;~ 

lights. tksigns. flags~ sateJ!hes~ \\in:-.; or ..:qu!prnc·nt \\hat;)tK'\~L 

22. SI<TESSORS A~D ASSIG:\S. 

rhe -co\·cmmts. ennditinns and Jgr~,·cn'lt.:ni.\ m~lt.k~ ~~nd cmt:n~d into b; r u.:i,~n:o;.nr and l kr;:n;{t.;'t;: hereto ~lr(~ 

dedan.:d hindin~ ;,Jn ilh.:ir n,;sp~o·..:ti'>-'t'lwirs, ~~w.:·t.·<:ssors. "iU(Tt.:~sc~rs. m im~n:st n:rn:s~.:nwtiv\."s and 

23. FORCE. MA.lEI HE. 

fn th\-' ;.;v-cn1 that Lic('n~;;or shaH hL' dd~j~,.-....~d (lr hindered in 11r pl\:\c-nted t!'O!l'l the pt'rf()rnlanet! oL:my m::t 

required h~...·rc:under h; rcas·on ofsaik.:s~ redt:\dopnK"ill (jfthe 3l:rpnrL lo\.:k-ouls~ labor troubfcs~ 

in~~hiiit_;. to procun.~ 111Jkrbl"'~ ~~tiiun: n( fil!\\'C!'. snO\\-· !){Orrns, mln, h.aiL nn:. flfKtd. accident Act of 

God. resldcti\-T gnvemmcntal !a\\S vr r-t.·gu!ations. riots. in8urr-teti,)·n~ \var o~Jtr r~thcr reason or cause of a 

like r1aturc lxc)nnd the contrnl of Liccn<;or. then licensee agn,rs to rd.:asc. indemnil) and hold 

Licensor h~1rrnk•:;s rrorn Hnd ag~~in~t aH hahi!itit:s cost.;:; and dmnap .. ~s of any kmd as aln:ady c-.:.pn:~st:d 

herein :)Od l.i~;,:~n.st')r shall n:ol ht." hab!c k .. r 1hi.s failure to perform thi·s Agn:cm~nl or ~rt(ln'ning \\ork or 

doing .cu..·ts. n:quir;.;J unJ.:r the terms of !his Agreem~nt. l'his docs no! include the pert{·~m1:.mce and 

nhl!gat~nnlo r-ay aH n:~nts anJ additional rt"n~~· a?-; f!'l,n·J by f.k~..~ns~.> .. : t~) the Statt...~ cd' \-1h:higan or 

! _itt:.:nsor. 

I [ct,~ns~;.-1.." shaiL a1 its '!'de exrcn;-;.1..."_ ht': in full cornpli.anct' "'"" ith aH k.nYs. nrdinant..:c~~ ruk·s and 

rcguiatlons. cnat:kd ~l1r the protecti~Hl nf lhc cnvir\HUncnt :Js tht:y Jl'lT1ain in activities on the Airport 

Ueve!oprncnt as \"etl as an:· uJ'!Sttt: iflh!igati,Jrb ussociah:.:d tht:rt:'-A-ith. l.i~..Tnsce shall not spi~J. 

introduce. discharge or bury ~m~ h·~xic ch~n1icaL g3s-_ ~1\ iatinn fuel of any k mJ. oils of any n::rtur~. 

s-uhstant:"~ or contaminant nfany kind in. on or tmdcr th<.: /\irp;_•rt Dr.:;,ck'~rn!o..~nt 1.1r cmy rortion th!..!r~nf. 

or pt·nnit th~,_~ dischatl~'-' tb.:n:o.finh~ th~...· sani-t.tr~ t>r ~•lorn-! sC\\<.::r or \vakT s;st-i..."n:"l st:n·fng 1!11:.· Airp~}rt 

Dc\-etopmenl in\\ hich the Premise Hang.ar Bui1ding rna} l.J-c h.lc.Hcd. or mto an> rnunicrpal or ntht:r 

govcrnmcnta~ \\iJiC'f s::::;tcrn Ol' :'11J)f1n and·'(~f ;;anh<IJ)'" SCW!Cif S]'"-;tCrn_ '.V{lb(~Ut nrst nhtalning tht: \'1-fitten 

lk·r.,•nst~. fl~tmi~ oroth~r.appn.J\~ll ;ifafl 1]<.)\:,;rnmer!la! :lh)_C'!H.:iC:i h~Y\ingjurisdictil.rl) thi:rC OVt;r, and in 

an::· event Liccn~.:e sl-raH cmptt·,y.- all approrri(H~ .:-..nf~guarri~~ and procedure-~ required hy bv~.- 1.X 

othtT\\i:-:.t: nt:ct:·:.;;sary or uppropn;Jtl' h' pn:+ ... :l.'t su<.:h s:-st-t.:'nt:;.. !"rm_-n 1.2Urllarninatinn. l.ll't-"BS<t.'t:, at its sok 

l j 
c 

cost and cxpc11s.L" sh:1l! he fiJI!) respons.ibk f~.a· ohtaining and complying with all nect.'Ss.i.try 

cn,-irnnmental pt:rrn!t:.:, ll'.'C~ht._:s and -~._-nh~r authorizations rd::Uc-dln an:·' v.:ay to it"~ activities on the 

Airport Devdnpmcnt. A!l storage of ,,il ami polluting materials hy th~ Lken,;cc shall h.: in and all 

other applicahk ~,;nvironmcnt}t b\\-S. ordinanc~~- rul~s ~md regulations. I.icenst:c shall \·crba!ly notify 

I .1{,:t:nsor fT1f any vil,Jatjon nf the prod;.-;lnn <:'11' !his ~(~ction .;l....; S-t){H1 ;Js pnssiOk· Out no iuk·r than t\vt.~nty~ 

fiHlr(14J h~~..mrs anr;;.•r l..icensce dtsC:0\1;\'S ..;w;h violat\OJ1, I.ic..:cns-('t"" ~shall provide \-\Tlth.:n nolitkatinn of 

any \·hJiation tn Lkcnst)C\\lthin ~cvcnt)·~two (72} hour">. Licensee shall immeJiateiy Lmdt·rtake, at its 

expt:.'t1se" Jn;- n(:CL"SS-ar; awl or appropri.;.H.c dean up proc,.;-5-s in conn..:d.}on \\-ith any hrcaeh c~fthe 

foreg-oing \;nvcnmH. aJ1d '\\ithou\ limiting Licenst:~'s other inJ..:mnit) or insurance ohHgati(ms under 

this ..-\grc..:n1cnL Licensee shn\1 p•.:rsmMily d;.;·f\:nd. indcrnni(y nnd htJkt I -it..:t;ns.or harrnks'< from anJ 

againsf ail lbhilir~ _ \\hclh(.~r Jin.·\.'L md1n:cL ·~·nn~cyut·ntial ur f\fhcr\-.l~c inehuJing all costs and 

attnrn~y tl::-t:':i. arising kom un;. i nc~,Jcrlt nr ;.>c\.'urn.-nc~ Gwsed by t.ic-cibC1;2'_ irs emplo) ~es, ag~ms. 

cnntrjct.ors. gu~;,·s.ts (H" tn_\ llt:-:s <.~n Pr about \h(' Pn~nHsc l !angdr or Ihc Airport De\dopmJ.:nt in '"'hich 

~ht.· P!"t.'Trti:•A.: I hng~.tr Budding ~mJ !and ma_:. h>: tt~.;..-.-Jk'd p~.,.·rtai111ng tq an~ environrncnta! or tuxic 

cnndilimi. 

25. CLEA:-i l'i[)OOR AIR I'OUCY. 

The \iq>M! lk\dqpmnH ;, non-"m>kmg. r.:~ul;,kd umkr 1hc !\!Jchigall Ckan Indoor .-\1r :\l'l ( 19~6 

P,,\ 1 1-IX ~ls ;:lmt.~n~kd h: l9~S P :'\. 2\}-~. :::96. :md 31 S }. Smuking .._,ill he prnhihitn! ins~d;,_: uny and a11 

.-\irpt}ft huild1ngs and hangar;.;. Sm-oking. ~;ha~l ~ ... · pn~hihitcd in or on an:. State pf ~vtkhigan or 1.k:cnsor 

prnp~_'rt) or huiiding, 

26. FIRE PREVENTIO"i 

Li~xn~~~:~l'" :;.halL at its 1.n.\n e\p~n:>.e, tn:--otall and mainL.un tin: c-xtinguis.htr:-!. hJgi..·thcr v.ith an:.·- o~hcr finprokt.~t!Pn. ptC\'eiH~nn (W v .. arnin:g t.k\ k-.:-s. (_other than the ;.;pri nkkr sy sterns or similar capital 

imrrn\'Cmcnls extep1 i r rcquir~.;d h:, r~:lisrm nr f .kc-n:_;;~t:~ panicubr usi.'" of the Pn.:-mf.qe i fan gar}_ 

License~ i-"' respnns.ibk· and liahh::· t~x th(: prorcr rnainkrn:~ncc ;:md functifm anJ any damagJ.? caused Jue 

to the rnalfunt::tion ufth4.~ fit'<.> pr(:v~..~n1iol! :md pr~J-h.:-ction dc\iCi.."S_ 

I .. tCci'i;.;l..'".: shuJl nni L)flt'll ~!1~.: Pn..'1Tti·o;._-: Ilangar Bi~l'tJid t.kH)f rf \\ i1hJs ~~n.: ~;:\<,:(,'t;:ding l\v~.,.·n.t: -fi;,..,_• (_"~S 

HLp. h.} miks r~:r hour_ Lk~n~~c t~ rcsp-~ lfhthk f(l \ t:ri fy and l:aU ! ~&no~ \\'XBR n-T 1l1gh1 ."i\,·n--icc 

co:;SS'; to pR'\\.:nt any dan1ag~ ~n the Prr.:m!s.c Hangar doors. Hui!Jlng .. :\(reran and peupk f.ict.:ns..;t;:" is 

n ... ·<.;.nonsihk- j;)r anv antl aH tk!rna~:.: cau:..;L·1J tP tlK' P'n.·mist' Hant!ar Donrs. Bi~!~)ld door. or rnHin~ dnnr,;;, • ' " '- c '· 

anJ "·lhaH r..:imhurs.._. LicL'n?<or J(·,r ~Ul) cn1d all n:pairs m:o.:~.s~lf) dw .. ~ w ~my damagt.~ t-n tht· PrL:-rnl~c 

Hangar and B~~ddin:.;, 

L 
( 

28. E"'TIRE AGREr~MEi'iT: :VJODIFICATION: SEVEIUBILITY. 

Thfs A~re"rn~nt contains th.,_· en tin: agreement hei\Yt.?Cn thl" Li-censor and i .-k-cnsee and no 

rcprcsl~ntmlnn. induccmt:;nts~ promises or agreem-ents, nral or otherxi"e. C'ntcn.;~d into prior tn the 

~xc<:ution nf ~hls Agnx·n1ent will alt.::r tht: \.'tn·enar.ns. ugr~cm!.."nts and und~naking.s h~rcin s;~t fiwth. 

i'h1s ..\gn:::ttml~fH shaH not be modified in an; manner ('\(t:pt h~ an lnstrum<.;nt in \Vti[jng C\.Ct:"Utt:d 

mutually hy hoth i .kcnsor and J. kcns1.~c. ~fan; tt.:nn or pnn-i~ion of this ,\gn.:crn~nt or thl.;' applkation 

there-of. to any person or circumstan~..'l~ shall. to any t'X!enL h<L invalid >)f U!''l<t:nfon:-cahk· forth(· 

r~mninJ..:-r of this ...\gn.:l.?mcnL or tltt.• application of su<eh it:m·t or proYision to persons or circumsh.nKe.; 

other than those~-' to which it is h.cld imalid ,,r un.:cnt(wceahk-_ 'hall nnt he afticcted thereh: and each 

term and pl'o\'ishm nrthi·.;, .:\g!\;-t,_'!~lt:'nt sha11 ht: \aJi-d and ht.• ~·n!"t"'lrt;:~d tn the fut!i;S-~ C"\.It:m fli:~rmlHed by 

la\4.. 

WIT'iESSEI) BY: 

WITi\ESSE:D B'l': 

UCf:\SOI{: 

l~omco Airport \lanagemenl, L.L.C. 

lA \llchi~,tan l.imitcd liahility Corporation) 

!late: 

IJ(EC\SEE: 

l'e·ga~us Parachuting Service, Incorporated 

i. A \·1khigan Cnrpnr:1~ion) 

lly: 

' ' '' 
( 

\ 

c 

j_j_j_j_j_L 

Subject: Fw: Pegasus Lease. 

From: Mike Pelzer (mikeyp@prodigy.net) 

To: mbdevelopment@comcast.net; 

Cc: mikeyp@prodigy.net; 

Date: Wednesday, April1, 201510:23AM 

Sent fi·om Yahoo Mail on Android 

From:"Mike" <mikeyp@prodigy.net> 

Date:Tue, Mar 31, 2015 at 7:36am 

Subject:Pegasus Lease. 

Hi Steve, 

rage 1 or L 

I'm still out of town but will be back on Thursday afternoon. Sorry for the delay in my response. 

I'm not sure if your working Friday but if you are, maybe we can touch base? I am wondering if 

you're still working on the building site as well? 

The agreement that I received looks like just a template but here are some suggestions for 

changes to make your life, mine, and Bill's a little easier in case we get pushback from other 

tenants. 

Language for jumpers landing on the airport 

Section # 1 says that I can only have one aircraft in the building. (There will most likely be a 

minimum of two and an enclosed trailer to secure my gear) 

Section #4 refers to Licensor and Licensee work. We will be workL'lg in the hangar. 

Section #6 talks about no commercial operations without a "commercial operating agreement"? 

Section #7 Am I responsible for maintaining the bifold doors? If they're damaged due to my 

misuse or negligence I don't have a problem fixing them but given their current conditions, it 

could be a problem at any time? 

Exhibit D Start and end dates. If the building plans move forward and they're complete before 

the end date on the agreement, am I paying rent on both parcels? 

There are some other items in the Romeo Rules section to cover all of us but those seem more 

easily workable. 

Let me know what you think? 

https://us-mg5.mail.yahoo.corn!neo/launch?.partner=sbc&.rand=7ftdde8n66adk 11114/2015 
( 

\ 

c 

1 11HL 

Thank: You! 

Mike Pelzer 

(586) 484-9384 

(517) 536-5252 

Sent from my iPad 

https://us-mg5.mail.yahoo.com/neollaunch?.partner=sbc&.rand=7ftdde8n66adk 

J:'age L OIL 

I 1114/2015 
c 

\. 

RICK SNYDER 

GOVERNOR 

Steve Mazur 

STATE OF MICHIGAN 

DEPARTMENT OF TRANSPORTATION 

LANSING 

May 14,2015 

Romeo Airport Management, LLC 

2146 Livernois 

Troy, Michigan 48083 

RE; Skydiving operations at Romeo State Airpmt 

Dear Mr. Mazur, 

We're writing this letter per your request to have the Office of Aeronautics recommend a 

location where skydivers can land at the airport. Attached is the recommended Parachute 

Landing Areas (PLA's) at the airport. 

KIRK T. STEUDLE 

DIRECTOR 

In selecting these PLA's we referenced the document titled "Development of Criteria for 

Parachute Landing Areas on Airports" (DOT/FAA/AR-11130). Since skydiving operations are 

considered an aeronautical activity perF AA regulations, they are to be held to the same 

standards as any other aeronautical activity on the airport. We expect the skydivers to adhere to 

federal, state and local regulations, as well as to United States Parachute Association (USPA) 

basic safety requirements. 

Since the skydiving operation will occasionally need to retrieve a skydiver from other areas on 

the airport, we will require that the retrieval vehicle be equipped with a flashing yellow light and 

a two way aviation radio. Any operator of this vehicle is to be familiar with airport 

communication procedures. 

We would also like to see a 30-day termination clause in the commercial agreement in the event 

this operation is unable to comply with the rules and regulations of the airport. 

If you have any questions or comments concerning this issue do not hesitate to contact me. 

lH·lAN·O (01/11) 

Sincerely, ,_:....,. ____ _ j/l/~~ 

Mike Trout 

Executive Administrator 

Office of Aeronautics 

Aeronautics B~flding - 2700 Port Lansing Road, lansing, Michigan 48906 

ww•.v.mfchigan.gov • {517} 335·9283 

f XI}; /31:7 s-
Main .!"LA 
Pnnt Page 1 ot L 

Subject: Romeo Lease 

From: Mike Pelzer (mikeyp@prodigy.net) 

To: mbdevelopment@comcast. net; 

Date: Thursday, May 21, 2015 4:23AM 

Hi Steve, 

Here it goes. 1 hope this makes sense to you? I'm breaking tt down by sections in both the lease agreement and the airport 

rules. I think that a lot of this can be written into a separate document or the Commercial Operating Agreement (if it is a 

separate document?} 

In The GOA put language permitting ...... 

Jumpers to land on the airport in the designated landing areas we discussed. 

Us to perform the routine maintenance and inspections on OUR aircraft. 

Us to have vending machine/s and a water cooler. 

Us to install telephone, TV, and internet. I'm not sure if this will be a satellite dish or wiring? 

I would also like to put up some signs for both safety and advertising purposes. Business name, parking area, landing 

area, keep out, etc., etc. 

1 feel that we should include the ramp on the West side of the hangar as part of the lease so that I can keep people off 

for safety reasons and such. 

Give the GOA priority over the "Concession & License Agreement" and "Airport Rules" because a lot of the above items are 

in those documents and it would probably take forever to pick out all the spots where they are referenced. Most of that is 

usually prefaced or followed by something like "without prior written consent of the Licensors" (Romeo Airport 

Management) 

In the Concession and License Agreement 

page 2 section 1 

Can we change that to 2 small aircraft or 1 large aircraft? I will also have an enclosed trailer or something to secure our 

gear in there. 

Page 3 section 3 

References dates, adjust accordingly. I would like to have a minimum of 5 years? Whether in that building, one that the 

airport builds, or one that I build. 

Page 3 section 4 

1 Stop the last sentence of the first paragraph at "Premise Hangar" we will be working in the hangar . 

• 

Page 4 section 6 and 7 

https://us-mg5.mail.yahoo.com/neollaunch?.partner=sbc&.rand=7ftdde8n66adk 11114/2015 
( 

l'nnt !'age 2 ot 2 

Talks about the GOA, vending machines, and such. It also talks about the building maintenance. I have no problem with 

minor routine stuff but don't feel I should be held responsible if the bi-fold falls apart or a wall falls down. 

Page 11 section 21 

Signs, satellites, wires, and equipment 

ExhibitO 

Dates 

In The Airport Rules 

1.27 Signs 

3.1 Commercial Operating Agreement 

4.2 Consent for TV, internet, & phone 

5.4 Permission for signs 

6.16 Skydiving 

7.11 Fueling Operations 

A. Allow us to fuel the aircraft with the engine running provided approved procedures are followed. (Bill and I can 

come up with something) 

These seem to be the most obvious things we should probably address just so that no one can say that either one of us is 

acting improperly or in violation of anything. I'm looking forward to getting this done. If you still have the furniture and idea 

of when I may be able to grab it (I have people available from Friday through Monday), or have any questions, please let 

me know? 

Thank you! 

Mike 

(586) 484-9384 

https://us-mg5.mail.yahoo.com/neollaunch?.partner=sbc&.rand=7ftdde8n66adk 11114/2015 
rnnl 

Subject: commercial agreement 

From: 

To: 

Date: 

Hi Steve, 

Mike Pelzer (mikeyp@prodigy.net) 

mbdevelopment@coincast.net; 

Thursday, May 28, 2015 2:31 PM 

Is t4e agreement available for reviewing? I've got my attorney on standby. 

Mike Pelzer 

(586) 484-9384 

Sent from Yahoo Mail on Android 

https://us-mg5.mail.yahoo.com/neo/launch?.partner=sbc&.rand=7ftdde8n66adk 

rag<: 1 01 1 

11/14/2015 
LICENSOR: 

( 

'-- -- LICENSEE: 

CONCESSION & LICENSE AGREEMENT 

ROMEO AIRPORT MANAGEMENT, L.L.C. 

2146 LIVERNOIS 

TROY, MICIDGAN 48083 

PEGASUS P ARACHUTEING SERVICE, IN CORPORA TED 

1845 LUDGATE LANE 

ROCHESTER IDLLS, MICIDGAN 48309 
( 

( 

CONCESSION AND LICENSE AGREEMENT 

TIDS AGREEMENT made this __ day of June, 2015, by and between Romeo Airport 

Management, L.L.C., (hereinafter "Licensor") a Michigan Limited Liability Corporation, whose 

address is 2146 Livernois, Troy, Michigan 48083, and Pegasus Parachuting Service, Incorporated, 

whose address is 1845 Ludgate Lane, Rochester Hills, Michigan 48309, (hereinafter referred to as 

"Licensee"). 

1. PREMISES HANGAR. 

Licensee agrees to occupy, use, maintain and pay for (hereinafter "Agreement") the following hangar 

space in the Community Hangar Building, Premises 1 (hereinafter "Premises Hangar). The Premises 

Hangar and Building are shown in Exhibit "C" attached herein. The Premises Hangar shall be used 

and occupied by Licensee solely for the storage of up to two (2) aircraft with the following Aircraft 

Identification Numbers: C-182 N and C-206 N or one large aircraft: C208, King Air, DHC-6 or Kodiak N (herein after referred to as the "Aircraft"). 

Liseasee may store another similar airsrafi: selely evmed and operated by Lieeasee (the "Sftbstitute 

Airer11ft"), fl£6Vided the Substitute Aireraft has obtaffied the vlrittea eoosent (Written Consent 

Contrllet) frem Lieeaser. IH the e'/eHt Lieeasee is permitted te store a Substitute Aireraft ffi the 

Premises Ilangar, aH privileges herem ef this i\greemeat and the Wri-ttea CeHSeat Coiltraet shall apply 

te beth the Substitute and Aireraft deseribed herein. If Licensee does not have written permission for 

other unauthorized aircraft, automobiles and other recreational vehicles, then Licensor may terminate 

the Agreement immediately and charge Licensee Two Hundred Percent (200%) additional rent or 

immediately remove the Aircraft and other vehicles from the Premises Hangar to the outside ramp area 

and charge a daily ramp rental fee. In addition, Licensee shall pay for the use, maintenance and care 

for the Airport land (Parachute Landing Areas "PLA' s")located in the northwest comer of the Airport, 

as shown in Exhibit "F", solely for a drop zone for their skydiving business and for no other purpose 

in the recommended Parachute Landing Areas (hereinafter "PLA' s) at the Airport as established by 

MDOT and mutually agreed upon by Licensee and MDOT. 

2. AIRPORT DEVELOPMENT. 

The Airport Development is defined and situated on real property located in the city of Ray, 15340 

32 Mile Road, Michigan 48096, as legally described in Exhibit "A". In addition to this Agreement, 

Licensee agrees to abide by and is subject to the Rules and Regulations (including those set forth in 

Exhibit "E" attached hereto) as shall be changed and adopted from time to time without notice solely 

by Licensor and MDOT. The Premises Hangar, PLA'S and Building are part of the Airport 

Development, as described in Exhibit "B" attached herein. The Premises Hangar and PLA'S 

including but not limited to all buildings, land, roads, infrastructure, utilities of any kind, sewer and 

water on the Airport Development are under the exclusive development, management and control by 

Licensor and MDOT shall hold Licensee liable and responsible for all Premises Hangar and PLA'S 

maintenance, separate metered utilities, zoning codes and rules and regulations as established of 

Licensor, MDOT and the F.A.A. 

All parking areas shall include and be limited to areas as defmed by Licensor from time to time for 

safety purposes and due to the on going renovations to the Airport Development. Licensee shall use 

2 
( 

the concrete ramp in front of the Premises Hangar western bi-fold door for customer, guest and 

employee parking and must provide a parking design, stripe, maintain and secure in writing an 

approved parking plan from Licensor before commencement of this Agreement. In no event shall 

Licensee abandon any aeronautic devices, machinery, equipment or automobile or block or hinder 

movement to any of the hangars, buildings, taxiways, driveways, runways or any other development 

whatsoever. Licensee may park on the side of or inside the Premises Hangar Building, but never on 

the PLA'S or any grass areas. In addition, Licensee fully understands and has been notified herein that 

the Airport Development shall be improved over the Fifteen (15) years including a transformation for a 

safer, cleaner, more desirable public airport commencing in the year 2015. Licensee shall never 

interfere with this development whatsoever. Licensee shall never abate, set off or deduct rent during 

any part of the improvement period or during the term of this Agreement. 

3. TERM OF AGREEMENT 

The "Term" of the Agreement is for Five (5) years commencing on July 1, 2015 and shall terminate on 

miduight on June 30, 2020. Licensor and Licensee shall mutually confirm the Commencement Date in 

a written memorandum attached hereto as Exhibit "D". If Licensee refuses to sign Exhibit "D", then 

Licensee shall accept Licensor's Commencement Date as the beginning of the Term of this Agreement 

herein without any recourse or right to refute against Licensor whatsoever. 

4. LICENSOR AND LICENSEE'S WORK. 

Licensee agrees to take the Hangar Premises and PLA'S "as is" and Licensee shall return the Premises 

Hangar, PLA'S and Building to Licensor in the same or better condition at the end of this Agreement. 

Licensee agrees to maintain the Premises Hangar and PLA'S and shall perform daily maintenance to 

insure its safety, security and proper operation. Licensee agrees that they shall never make any 

additions, structural or cosmetic changes whatsoever to the Premises Hangar and PLA'S or allow 

anyone to perform any work in, on or to the Premises Hangar and PLA'S without written approval 

from Licensor or this Agreement can be automatically terminated by Licensor with a thirty (300 day 

written notice. Licensee is allowed herein to install temporary and unattached but safe fixtures 

including drywall and stud framed walls for skydiving classroom purposes. 

Only Licensor is allowed to install any heat generating equipment inside the Premises Hangar at the 

sole expense of Licensee. Only two (2) types of heat generating equipment shall be allowed in the 

Premises Hangar: gas forced fan driven blower units or gas radiant tube heaters. Notwithstanding the 

provisions of this section, Licensor shall not be required to provide any heat and or air conditioning to 

the Premises Hangar portion of the Premises Hangar Building as herein provided. Licensee shall not 

use additional heat generating equipment or lighting other than standard Premises Hangar lights that 

affect the temperature otherwise maintained by natural flow. 

5. ANNUAL PAYMENTS. 

Licensee agrees to pay Licensor the following Base Rent, without deductions or set-offs whatsoever, in 

advance, on the first day of each calendar month. All 'Base Rent shall be paid, at the address of 

Licensor given above or at such other place as Licensor may designate from time to time in writing. 

The Base Rent for the Term of this Agreement shall be: 

3 
Years 

1-5 

Premises Hangar Rent 

$950.00N* 

PLA'S Rent Annual Base Rent 

$200.00 $13,800.00N* 

If Licensee fails to pay and deliver to Licensor any installment of Annual Base Rent within Ten (1 0) 

days after the first day of every month during the Term of the Agreement, Licensee shall pay (in 

addition to and at the time of paying such installment) an additional rent charge in the amount of 

Seventv-five Dollars and 001100 ($7 5 .00) per month. In addition, any and all such unpaid amounts 

shall bear interest at the rate of Fifteen Percent (15%) per annum until paid. 

5.1 ADDITIONAL RENT PAYMENT. 

N* represents utilities, that Licensee shall pay directly to the utility providers, regarding any and all 

bills for electric, gas and heat, if available, and any other utility consumed in and for the Premises 

Hangar upon commencement of the Term (N represents all utilities-gas, electric, heat and water if 

available). Licensee must make all arrangements that any and all utilities are in and registered in their 

business or personal name and shall tnrn on all utilities as needed to operate their utilities and shall 

continue to do so until the Term expiration in order not to damage the Premises Hangar and Building. 

Licensee shall maintain and warrant, at its expense, the proper function of all meters measuring the 

consumption of the utilities within and used for the Premises Hangar. Licensee shall pay all utility 

amounts as billed by the utility companies without any deductions or set-off whatsoever. 

6. USES AND OCCUPANCY. 

( Licensee agrees to use, maintain and occupy the Premises Hangar and PLA'S during the Term. 

Licensee is solely responsible for any security system and or personnel regarding the Premises Hangar 

including but not limited to the security of its Aircraft and personal items. Licensee shall insure that 

his/her hangar door and all other entrances to the Premises Hangar are locked upon entering and 

leaving the Premises Hangar. Licensee shall guaranty that the Aircraft shall be stored inside the 

Premises Hangar at all times if the Aircraft is not being used for flying purposes. Licensee agrees to 

remain in compliance with Homeland Security, the State of Michigan and Licensor's efforts to keep 

the Airport as safe under the present and ongoing concerns. Licensee agrees to safely store and secure 

all keys to the Premises Hangar and Aircraft offsite to prevent the likelihood of the Aircraft being 

stolen when it is not in use. 

Licensee shall not do, permit or suffer any act or thing to be done which is injurious to the Premises 

Hangar(s), PLA's, Building or Airport Development, which is a nuisance, contrary to any law, 

ordinance, rule, regulation or order of Licensor, MDOT or the F .A.A. Licensor shall have access to 

the Premises Hangar at all times to inspect for Fire Code violations, inspect cleanliness and orderly 

business. Licensee can provide and bring onto the Airport aircraft maintenance personnel for 

scheduled maintenance on Aircraft used by Licensee's skydiving business uuless those services and 

other Airport related services are on the Airport. Licensor shall review Licensee's services annually 

and may require Licensee to enter into additional written operating agreements upon Licensors sole 

discretion including but not limited to a Commercial Operating Agreement, Fuel Concession 

Agreement or a Land Lease Concession Agreement. Licensee shall keep the Premises Hangar and 

PLA's clean and free of debris and other hazardous objects and material. Licensee guarantees to 

Licensor that they will permit damage or commit waste or damage to the Premises Hangar, building or 

Airport Common Areas. 

4 
( 

Licensee shall not conduct or allow any connnercial activity of any kind, including flight school 

training, skydiving, mechanical repairs, or schooling, to be conducted by Licensee or the Licensees 

invitee (s), in, from or around the Premises Hangar (s). No maintenance on the Aircraft shall be 

performed in or on the Premises Hangar (s) without prior written approval of Licensor, except such 

scheduled maintenance as described above and herein and as would normally be performed by an 

aircraft owner without the assistance of an aircraft mechanic or personnel. Licensee may allow 

maintenance to be performed on his or her Aircraft in the Premises Hangar or Airport Development 

and building provided that such services are not offered on the Airport Development by the Licensor or 

with the existing frxed base operator. Any and all personnel performing aircraft maintenance of any 

kind who do not have Licensor's or MDOT's Connnercial Operating Agreement are not permitted in 

or on the Airport Development whatsoever and shall pay Licensor all costs to remove them. Licensee 

shall take all steps to ensure that the performance of any and all maintenance work shall not damage 

the Premises Hangar (s), Airport Development or other areas where Licensor's work is performed. 

Licensee shall control the conduct and demeanor of its employees and invitee, and of those doing 

business with him/her in and around the Premises Hangar (s), and shall take all steps necessary to 

remove persons whom Licensor may, for good and sufficient cause, deem objectionable for privacy, 

safety, and security purposes. 

Licensor shall provide the Licensee with one (1) master key that shall provide access to the Premises 

Hangar (s) entrances. Licensee agrees to pay for a deposit of Fifty ($50.00) Dollars. If the key is not 

returned when this Agreement is terminated, the Licensee will forfeit the deposit, to cover labor costs 

to and install a new cylinder. If the key is returned, then Licensor shall refund the deposit. A deposit 

was received by: . All keys and locks must remain under the master key system 

established by Licensor for safety and security purposes. 

7. LICENSEE'S MAINTENANCE. 

During the Term of this Agreement, Licensee, at Licensee's sole cost and expense, shall routinely keep 

and maintain in the same condition and repair as on the Connnencement Date, the Premises Hangar 

and Building and every part thereof, including all fixtures, leasehold improvements, interior nonstructural walls, floors, ceiling, windows, bi-fold door cables, latches, motors, man doors, all electrical 

facilities and equipment, including lighting fixtures, lamps, fans, and electrical motors, all other 

appliances and equipment of every kind and nature and all other non-structural repairs, replacements 

and restorations to the Premises Hangar. Should Licensee cause any damage to the Premises Hangar or 

Airport Development, Licensee shall repair the damage at Licensee's sole cost and expense. In no 

event shall Licensee or any of its subcontractors, invitees or employees be allowed on the roof 

whatsoever. Licensor shall only be responsible for the catastrophic or gross negligent failure of the hifold door or walls. Licensor shall replace the two (2) entry way man doors. In addition, Licensee shall 

routinely care for and maintain the PLA's including but not limited to the safety of the PLA's land and 

ground, grass and weed cutting, fill any and all holes, maintain and repair safe landing land grades, 

remove any and all unsafe debris and objects on a daily routine basis and insure a safe PLA's 

according to all Airport, local, state, MDOT and federal rules and regulations and laws. 

5 
Licensee agrees not bring upon or store in the Airport Development petroleum products, explosives, 

firearms, volatile or flammable chemicals or any other property which would create a potential fire 

hazard, destruction or security breach to the Airport Development. The storage of aviation gasoline is 

limited to that stored in the Aircraft fuel tanks at all times and is limited to five (5) gallons outside the 

Aircraft in non-combustible containers. The storage or housing of motor vehicle fuel is strictly 

prohibited. Licensee shall be responsible of properly disposing of all fuel from sumps, engine(s), 

engine oil waste and lubricants. Disposal of all waste products upon the ground is specifically 

prohibited and will be deemed a default in accordance with this paragraph. Licensee and Mr. Mike 

Pelzer personally agrees to indemnify and hold Licensor harmless for all costs incurred in any and all 

cleanups resulting from a spill of waste products, fuel or oil of any kind in Licensee's control. 

8. INSURANCE AND INDEMNIFICATION. 

Licensee agrees to obtain and maintain at all times and surviving this Agreement during and for any 

and all litigation that may arise during the Term, a building and real estate insurance policy, for the 

benefit and coverage of Licensee and Licensor, insuring against any and all liability for damage and 

loss to Licensee's Aircraft, personal property, Premises Hangar, real estate and liability for any and all 

personal injury and death and providing insurance protection to Licensor. This policy shall also insure 

against any and all casualty including personal injury and death, property damage and for 100% of 

replacement cost of the Premises Hangar, Building and comprehensive general public liability 

insurance. Licensee shall provide Licensor, upon any and all renewals and changes, certificates 

evidencing the existence of the policy. 

( The liability and property coverage under the policy shall name Licensor and Licensor's mortgagee as 

an additional insured, and will provide comprehensive general public liability insurance coverage 

against claims for or arising out of bodily injury, death or property damage, occurring in, on or about 

the Premises Hangar, Building and Airport Development. The policy shall have a combined bodily 

injury or death of a single person not less than One Million Dollars ($1,000,000.00) per occurrence, 

and with respect to any one occurrence of property damage (including aircraft damage) of not less than 

One Million ($1,000,000.00) Dollars and thereafter in such reasonably appropriate increased amounts 

as may be determined by Licensor; provided, however, that the amount of coverage will not be 

increased more frequently than at one ( 1) year intervals. 

9. INDENMIFICATION AND HOLD HARMELESS 

Licensee waives any and all claims or actions that may arise against The State of Michigan, The 

Michigan Department of Transportation and it's Commissions, Licensor and it's owners, directors, 

managers, employees, guests, agents and all family members as a result of any death, injuries, loss, 

theft or damage to any of Licensees Aircraft or personal items including and without limitation, 

personal, bodily or mental injury, economic loss or any damage to Licensees spouse, children or guests 

resulting from any action or non action, negligence or disregard of MDOT or Licensor. If there is any 

claim of any kind by Licensee or it's invitees, based on but not limited to any injury, loss, theft or 

damage that involves Licensee, or any person or personal item that is part of Licensee's, or related to 

the Airport Development, Licensee agrees to defend MDOT and Licensor against any and all such 

claims and Licensee shall pay MDOT and Licensor for all expenses relating to such claims and 

( indemnify and hold MDOT and Licensor hannless for all obligations resulting from all such claims. 

6 
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In addition, Licensee agrees that in any unfortunate event that Licensee incurs any and all injury 

including but not limited to injuries that result in death and or is physically, emotionally or mentally 

disabled while utilizing the Airport Development, Licensee shall indemnify and hold Licensor 

harmless release Licensor from any and all liability, not bring legal action against Licensor, it's 

owners, directors, family members, managers, heirs, employees or contractors as a result of any death, 

any and all injury, disability, illness of any kind or nature that occurs, and Licensee and all of it's 

invitees shall employ council satisfactory to Licensor, or at Licensor option, Licensor may retain it's 

own council at the expense of Licensee or Licensees invitees, to prosecute, defend, and negotiate any 

and all claims, actions or causes of actions and Licensor shall have the right to compromise or settle 

any such claims, actions or causes of actions without admitting actnalliability and without Licensee or 

Licensees invitees consent. Licensee shall pay any and all indebtedness arising under said indemnity 

and hold Licensor harmless to immediately upon demand by Licensor together with interest thereon, at 

the Remedy Rate, from the date such indebtedness arises until paid. Licensee and invitees duty to 

indemnify and hold Licensor harmless shall survive the termination or expiration of this Agreement. 

In the event that Licensee does bring action against any of the parties mentioned herein, it will be a 

breach of this Agreement giving the MDOT, it's departments and Licensor a right to seek and obtain 

any necessary relief or remedy including a judgment for money damages against Licensee including 

any and all costs related to the relief or damages sought. The Licensee hereby gives and grants to 

MDOT and Licensor a lien upon all fixtures, chattels and personal property of every kind and 

description now or hereafter to be placed, installed or stored by Licensee, at the Airport Development; 

and agrees that in the event of any failure on the part of the Licensee to comply with each and every 

one of the covenants and obligations hereof, or in the event of any default continuing for sixty days of 

any specified rent, Airport Development may take possession of and sell the same in 

any mauner provided by law and may credit the net proceeds upon any indebtedness due or damage 

sustained by Airport Development, without prejudice to further claims thereafter that arise under the 

tenns hereof. This indemnification shall survive three years after the termination of this Agreement. 

10. WAIVER OF SUBROGATION. 

Licensee and Pegasus Parachuting Service, Incorporated personally, collectively Licensee, shall cause 

each insurance policy carried by Licensee and insuring the Premises Hangar and Building and its 

fixtures and contents of Licensees property, fixtures and contents against loss by fire and causes 

covered by extended coverage, to be written in a marmer so as to provide that Licensee and its 

insurance carrier waives all right of recovery by way of subrogation against Licensor and its insurance 

carrier and policies whatsoever. 

11. ACTS OF OTHER LICENSEES. 

Licensor shall not be responsible or liable to Licensee for any loss or damage that may be occasioned 

by or through the acts or omissions of persons occupying the Premises Hangar or any part of the 

Building for any loss or damage resulting to Licensee or his property from the following but not 

limited to: interruption of electrical service or the bursting, stoppage or leaking of water, electric and 

gas failures or from any other cause whatsoever including acts of God and nature. Licensor agrees to 

use its best efforts to require all licensees to comply with the Rules and Regulations as required in the 

existing agreements at the Premises Hangar, Building and Airport Development. 

7 
12. SUBORDINATION AND ATTORNMENT. 

Licensor shall be entitled to subject and subordinate this Agreement, at all times, to the lien of any 

mortgage or mortgages now or hereafter placed upon the Airport Development, provided that, if and 

when any such mortgage is placed, the mortgagee shall agree, for itself and for every subsequent 

holder or owner of the mortgage and for any receiver or purchaser of the Airport Development, that in 

the event offoreclosure, Licensee's quiet possession of the Premises Hangar will not be disturbed on 

account of said mortgage or by reason of anything done there under, so long as Licensee pays the Rent 

and keeps the other covenants on its part to be performed. 

Licensee shall at any time upon the request of Licensor, execute and deliver in recordable form and in 

substance satisfactory to Licensor, an estopped certificate certifying: the date Licensee accepted 

occupancy of the Premises Hangar; the date to which Rent has been paid; the amount of any Security 

Deposit; that this Agreement is in full force and effect and has not been modified or amended (or if 

modified or amended, describing the written mutually agreed upon terms) and, to the best of Licensee's 

knowledge and belief and without due diligence and investigation, that there are no defenses or offsets 

thereto or defaults of Licensor under this Agreement (or if any be claimed, describing the same); and 

such other matters as Licensor may reasonably request. Licensee's failure to deliver such certificate 

within thirty (30) days of the demand therefore shall be a default of this Agreement. 

13. ASSIGNMENT/SUBLETTING. 

Licensee shall never assign, transfer in any manner, hypothecate, mortgage, sublet or furnish to any 

other person, corporation or another entity the Premises Hangar or any right or privilege whatsoever in 

or on the Airport Development without the prior written consent of Licensor. A violation of this 

provision shall immediately terminate this Agreement and the Licensor shall have immediate 

possession of the Premises Hangar. The acceptance of rent from an assignee, sub-licensee or occupant 

shall not constitute a release of Licensee from the obligations and covenants in this Agreement. 

14. CONDEMNATION. 

If part of or the entire Airport Development is taken by any public authority under the power of 

eminent domain, then this Agreement shall terminate on the date possession of the Premises Hangar is 

delivered to such public authority. Base Rent shall be paid to that date and prorated accordingly. Any 

and all amounts awarded to Licensor for damages are Licensors. Licensee has no claims or actions 

against or for Licensors condemnation award that is allocable to the Premises Hangar. 

Notwithstanding the foregoing, Licensee shall have the right to make a claim against the condemning 

authority for the reasonable value of Licensee's trade fixtures, furniture, personal property, interruption 

or dislocation of business, loss of good will and for moving and remodeling expenses. 

15. DEFAULT AND REMEDIES. 

Any of the following occurrences, but not limited to these herein, shall constitute additional Events of 

Default: 

A. Licensee fails to pay any installment of Rent by the first day of each month. 

B. Licensee declares insolvency; bankruptcy or Licensor declares an Event of Default as 

8 
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permitted in this Agreement. 

C. Licensee violates or fails to comply with or is in default in the performance of any other 

provision of this Agreement for a period of ten (1 0) days after written notice from 

Licensor of such violation, noncompliance, or default. 

D. Licensee fails to repair, maintain or replace any item as requested by Licensor 

within ten (10) days. 

E. Licensee assigns or sublets any part or all ofthe Premises Hangar or stores an 

alternate aircraft or other vehicles. 

F. Licensee violates this Agreement, the Rules and Regulations, Macomb County, 

MDOT or FAA laws or rules. 

In an Event of Default, and notwithstanding Licensor may have other remedies under the Agreement, 

law or in equity, Licensor may give Licensee written notice (the "Termination Notice") of the intention 

to end the Term of this Agreement, specifYing a day ("Termination Date"). The Termination Notice 

shall specifY that the Agreement and Term shall expire and terminate with the same force and effect as 

if the Termination Date were the expiration date of the Agreement and all rights of Licensee shall 

terminate. Licensor and Licensee mutually agree that Licensor is entitled to, without demand or 

further notice, re-enter and possess the Premises Hangar, by sununary proceedings, ejectment or as 

otherwise permitted by law, and remove Licensee and persons and property from the Premises Hangar 

and have, hold and enjoy the Premises Hangar with the right to receive all rent and other income. 

Licensor, at its option, may either terminate this Agreement by giving the Termination Notice 

described above or, without terminating this Agreement, re-let the Premises Hangar or any part thereof 

on such terms and conditions as Licensor deems advisable in its sole discretion. The proceeds of such 

re-letting shall be applied: (a) First, to the payment of any indebtedness of Licensee to Licensor other 

than Minimum Annual Rent; (b) Second, to the payment of any reasonable costs of such re-letting 

including the cost of any reasonable alterations and repairs to the Premises Hangar, brokerage fees and 

expenses, advertising expenses, inspection fees and attorneys fees; (c) Third, to the payment of 

Minimum Annual Rent due and unpaid hereunder; (d) Fourth, to any damages, costs and expenses 

incurred by Licensor as a result of Licensee's breach; and (e) The residue, if any, shall be held by 

Licensor and applied in payment of future Rent as the same may become due and payable hereunder. 

Should the proceeds of such re-letting during any month be less than the monthly installments of 

Minimum Annual Rent required hereunder, then Licensee shall during such month pay such deficiency 

to Licensor upon demand. 

Except as otherwise provided by law, Licensor shall have no liability or responsibility in any way 

whatsoever for its failure to re-let the Premises Hangar or, in the event of re-letting, for failure to 

collect the Rent under such re-letting. Except as otherwise provided by law, Licensors failure to re-let 

the Premises Hangar or any part thereof shall not release or affect Licensees liability for rent or 

damages. 

One or more waiver by Licensor of any term or condition hereunder or default by Licensee hereunder 

shall not be construed as a waiver of such term or condition or default in the future or any subsequent 

default for the same cause. Any consent or approval given by Licensor requiring such consent or 

approval shall not constitute consent or approval to any subsequent similar act by Licensee. 

9 
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In the event Licensor elects to terminate this Agreement, Licensor shall have the right to accelerate all 

of the Rent (to the extent determined) due hereunder for the balance of the Term. Licensee shall pay to 

Licensor upon demand, as liquidated damages, the deficiency between the amount of said accelerated 

Rent and the proceeds ofre-letting for what would have otherwise constituted the balance of the Term. 

In computing liquidated damages Licensor shall add any expenses incurred in connection with 

obtaining possession of and re-letting the Premises Hangar including but not limited to attorneys fees, 

brokerage fees and expenses, advertising expenses, reasonable alterations and repairs to the Premises 

Hangar. 

16. SECURITY DEPOSIT. 

Upon execution of this Agreement, Licensee shall deliver to Licensor the sum ofNine Hundred and 

fifty and 00/100 cents ($950.00) Dollars, which represents the first month rent and a security deposit of 

($000.00) as consideration for the faithful performance by Licensee of all ofthe terms and conditions 

of this Agreement. In the event Licensee defaults in any of the terms and conditions of this 

Agreement, Licensor shall have the right (but not the obligation) to apply any part of the security 

deposit to cure any such default, including damages or deficiency in the re-letting of the Premises 

Hangar. In the event Licensor so applies the security deposit Licensee shall upon demand innnediately 

deposit with Licensor an amount sufficient to fund the security deposit in the amount required 

hereunder. If Licensee does not deposit the requested money equal to the original security deposit 

amount Zero ($000.00), then Licensee shall be in default of this Agreement. In the event Licensee 

dully complies with all the terms and conditions of this Agreement, the security deposit, or balance 

thereof, possession of the Premises Hangar to Licensor. Licensor shall not be obligated to keep the 

security deposit as a separate fund but may commingle such with Licensors funds provided Licensor 

maintains separate accounting records for such deposit. 

17. NOTICES. 

If in tlle Agreement a provision is made for any kind of notice could be necessary, including the 

monthly rent coupons, it shall be deemed sufficient notice and service thereof if such notice to 

Licensee is in writing addressed to Licensee at Attn. Pegasus Parachuting Service, Incorporated at PO 

Box 667 Grosse Ile, Michigan 4813 8 and deposited in the mail sent by regular first class mail, with 

postage prepaid. Notice need be sent to only one Licensee or where Licensee is more than one person. 

18. LICENSOR'S EASEMENTS. 

Licensor shall have easements for, existing pipes and wire conduits on, in, under, over and through the 

Premises Hangar for the benefit of Licensor and/or other licensees .in the Premises Hangar Building. 

Licensor may enter the Premises Hangar for the purpose of replacing such items, provided that, except 

in the event of an emergency, Licensor shall enter the Premises Hangar for such purposes only (a) 

upon reasonable written notice to Licensee, (b) at such times as may be approved by Licensee, and (c) 

in svch a manner as to cause the minimum disruption to Licensee's employees and personal activities 

on tjJ.e Airport Development. Notwithstanding the above Licensor may not diminish Licensees floor 

area or affect Licensees use of the Premises Hangar. 

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19. TRIAL BY JURY. 

Licensor and Licensee hereby mutually waive trial by jury in any action; proceeding or counterclaim 

brought by either of them against the other on any matters whatsoever arising from Licensee's use or 

occupancy of the Premises Hangar and Airport Development, or any claim of injury, death or damage 

of any kind whatsoever. 

20. HOLDING OVER. 

In the event of Licensee holding over after the expiration of this Agreement, thereafter the Term shall 

only be from month to month in the absence of a written agreement signed mutually by Licensor and 

Licensee to the contrary. In such event, the monthly installment of the Annual Rent shall be Two 

Hundred (200%) percent of the last monthly rent installment of the Agreement and all other terms and 

conditions of this Agreement, including Additional Rent, shall be applicable to the month to month 

Term. 

21. SIGNS. 

Licensee shall not erect or install any exterior or interior Premises Hangar or Building signs, awnings, 

lights, designs, flags, satellites, wires or equipment whatsoever without providing Licensor with design 

and plans of the signage and the written approval from Licensor. Licensee shall secure all local 

building and sign permits. 

22. SUCCESSORS AND ASSIGNS. 

The covenants, conditions and agreements made and entered into by Licensor and Licensee hereto are 

declared binding on their respective heirs, successors, successors in interest, representatives and 

asstgns. 

23. FORCE MAJEURE. 

In the event that Licensor shall be delayed or hindered in or prevented from the performance of any act 

required hereunder by reason of strikes, redevelopment of the airport, lock-outs, labor troubles, 

inability to procure materials, failure of power, snow storms, rain, hail, fire, flood, accident, Act of 

God, restrictive governmental laws or regulations, riots, insurrection, war or other reason or cause of a 

like nature beyond the control of Licensor, then Licensee agrees to release, indemnifY and hold 

Licensor harmless from and against all liabilities costs and damages of any kind as already expressed 

herein and Licensor shall not be liable for this failure to perform this Agreement or performing work or 

doing acts required under the terms of this Agreement. This does not include the performance and 

obligation to pay all rents and additional rents as owed by Licensee to the State of Michigan or 

Licensor. 

24. ENVIROMENTAL PROTECTION. 

Licensee shall, at its sole expense, be in full compliance with all laws, ordinances, rules and 

regulations enacted for the protection of the environment as they pertain to activities on the Airport 

Development as well as any offsite obligations associated therewith. Licensee shall not spill, 

11 
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introduce, discharge or bury any toxic chemical, gas, aviation fuel of any kind, oils of any nature, 

substance or contaminant of any kind in, on or under the Airport Development or any portion thereof, 

or permit the discharge thereof into the sanitary or storm sewer or water system serving the Airport 

Development in which the Premises Hangar Building may be located, or into any municipal or other 

governmental water system or storm and/or sanitary sewer system, without first obtaining the written 

license, permit or other approval of all governmental agencies having jurisdiction there over, and in 

any event Licensee shall employ all appropriate safeguards and procedures required by law or 

otherwise necessary or appropriate to protect such systems from contamination. Licensee, at its sole 

cost and expense, shall be fully responsible for obtaining and complying with all necessary 

environmental permits, licenses and other authorizations related in any way to it's activities on the 

Airport Development. All storage of oil and polluting materials by the Licensee shall be in and all 

other applicable environmental laws, ordinances, rules and regulations. Licensee shall verbally notify 

Licensor of any violation of the provision of this section as soon as possible but no later than twentyfour (24) hours after Licensee discovers such violation. Licensee shall provide written notification of 

any violation to Licensor within seventy-two (72) hours. Licensee shall inunediately undertake, at its 

expense, any necessary and! or appropriate cleanup process in connection with any breach of the 

foregoing covenant, and without limiting Licensee's other indemnity or insurance obligations under 

this Agreement, Licensee shall personally defend, indemnify and hold Licensor harmless from and 

against all liability, whether direct, indirect, consequential or otheryse, including all costs and 

attorney fees, arising from any incident or occurrence caused by Li~ensee, its employees, agents, 

contractors, guests or invitees on or about the Premises Hangar or the Airport Development in which 

the Premises Hangar Building and land may be located pertaining to an~cenvironmental or toxic 

condition. 

25. CLEAN INDOOR AIR POLICY. 

The Airport Development is non-smoking, regulated under the Michigan Clean Indoor Air Act (1986 

PA 198 as amended by 1988 P.A. 294,296, and 315). Smoking will be prohibited inside any and all 

buildings, and Hangars. Smoking shall be prohibited in or on any State of Michigan or Licensor 

property or building. 

26. FIRE PREVENTION. 

Licensee shall, at its own expense, install and maintain fire extinguishers together with any other fire 

protection, prevention or warning devices, (other than the sprinkler systems or similar capital 

improvements except if required by reason or Licensees particular use of the Premises Hangar). 

Licensee is responsible and liable for the proper maintenance and function and any damage caused due 

to the malfunction of the fire prevention and protection devices. 

27. WIND. 

Licensee shall not open the Premises Hangar Bi-fold door if winds are exceeding Twenty-Five (25 

m.p.h.) miles per hour. Licensee is responsible to verify and call 1-800-WXBRIEF flight service 

(SSS) to prevent any damage to the Premises Hangar doors, Building, Aircraft and people. Licensee is 

responsible for any and all damage caused to the Premises Hangar Doors, Bi-fold door, or rolling doors 

and shall reimburse Licensor for any and all repairs necessary due to any damage to the Premises 

Hangar and Building. 

12 
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28. TERMINATION COVENANT. 

In the event that Licensee fails to comply with the conditions as listed in this Agreement, or the 

conditions listed in the Minimum Standards and Requirements for Commercial Aeronautical Activities 

at the Romeo State Airport, Airport Management and or Manager will notify Licensee in writing of 

such violations. If Licensee fails to correct the violations within the time specified, the Airport 

Management and or Manager may take any action deemed advisable by the State of Michigan-Office 

of Aeronautics, to include revocation of the Commercial Operating License. 

29. ENTIRE AGREEMENT; MODIFICATION; SEVERABILITY. 

This Agreement contains the entire agreement between the Licensor and Licensee and no 

representation, inducements, promises or agreements, oral or otherwise, entered into prior to the 

execution of this Agreement, will alter the covenants, agreements and undertakings herein set forth. 

This Agreement shall not be modified in any marmer except by an instrument in writing executed 

mutually by both Licensor and Licensee. If any term or provision of this Agreement or the application 

thereof, to any person or circumstance shall, to any extent, be invalid or unenforceable for the 

remainder of this Agreement, or the application of such term or provision to persons or circumstances 

other than those as to which it is held invalid or unenforceable, shall not be affected thereby and each 

term and provision of this Agreement shall be valid and be enforced to the fullest extent permitted by 

law. 

WITNESSED BY: 

WITNESSED BY: 

LICENSOR: 

Romeo Airport Management, L.L.C. 

(A Michigan Limited Liability Corporation) 

By: _____________________ ___ 

Print Name: __________ _ 

Date: _____________ _ 

LICENSEE: 

Pegasus Parachuting Service, Incorporated 

(A Michigan Corporation) 

By: ____________ ___ 

Print Name: ___________ _ 

Date: _____________ __ 

13 
1 

2 

3 

4 TRANSCRIPTION OF AN AUDIO RECORDING OF 

5 A TELEPHONE MESSAGE RECORDING 

6 FROM STEVE MAZUR TO MIKE PELZER 

7 

8 

9 

10 

11 

12 

13 

14 

15 

16 

17 

18 

19 

20 
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21 

zz 

23 

24 

25 

1 

2 

MR. MAZUR: Mike, Steve Mazur. 

I just got confirmation from my agent and 

3 the insurance company that we are all set. No 

4 additional insurance is required but the rental and 

5 the cost of doing business for that hanger is going 

6 to go up $8,000.00 annually. 

7 Please give me a call to discuss further 

8 and we are ready to go. 

9 Thank you. 

10 

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16 

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25 

1 

2 STATE OF MICHIGAN ) 

CERTIFICATE 
3 ) 

4 COUNTY OF SAINT CLAIR) 

5 

6 I, JILL L. SPITZER, HEREBY CERTIFY that I 

7 transcribed this audio recording and that this is a 

8 full true, complete and correct transcription of 

9 said audio recording. 

10 

11 

1Z JILL L. SPITZER, CER 5503 

Notary -Publ-ic 

13 Macomb County, Michigan 

My Commission Expires: 11/19/2021 

14 

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ragt: 1 01 .t. 

Subject: Re: Romeo Airport 

From: mbdevelopment@comcast.net (mbdevelopment@comcast.net) 

To: mikeyp@prodigy.net; 

Cc: zapataj@michigan.gov; 

Date: Monday, June 29, 2015 7:28PM 

Hello Gentlemen, 

Attached are the Commercial Operating Agreement and Lease from the desk of Steve 

Mazur. Please review and speak with Mr. Mazur if you have any questions or comments. 

Thank you, 

-Michael S.-

Romeo Airport Management, LLC. 

M&B Development 

248-7 40-8700 

mbdevelopment@comcast. net 

From: "Mike Pelzer" <mikeyp@prodigy.net> 

To: mbdevelopment@comcast.net 

Sent: Friday, June26, 201511:11:52AM 

Subject: Romeo Airport 

Hi Steve, 

Here is my hit list ... 

6/26/2015 

I need a current copy of all documents 

WORDING CHANGES or ADDITIONS INTO THE AGREEMENT 

These have all been previously discussed. 

My cost of fuel? $1.00 over wholesale deducted from the monthly rent. 

Permission for trailer in the hangar for secure storage of equipment. 

Signs are needed to direct and protect the public 

Is the wording of the documents cleaned up? 

Length of agreement (at least six years) 

Replacement of 3 entry doors (timeline on completion?) 

https://us-mg5.mail.yahoo.com/neo/launch?.partner=sbc&.rand=7ftdde8n66adk 

&rtu,r I CJ 

11114/2015 
( 

~ ~.t..Ltt. 

Hangar Condition (the outside needs to be cleaned up) 

Move dumpster to east side of building 

Snow/Lawn care is Airport managemenfs responsibility. 

When do we discuss the new Building possibilities? 

Copy of your insurance policy and written proof of $8,000.00 increase specific to skydiving. 

You can email the documents to me at mikeyp@prodigy.net 

Business address is 1845 Ludgate Lane Rochester Hills, Ml 48309 

(586) 484-9384 

(517) 536-5252 

Attachments 

• Pegasus Parachute and Mik:e Pelzer.doc (98.50KB) 

• RAM Commercial Operation Agreement.doc (145.00KB) 

https://us-mg5.mai.Lyahoo.cornlneo/launch?.partner=sbc&.rand=7ftdde8n66adk 

\ 

11114/2015 
( 

Years 

1-5 

Premises Hangar Rent 

$!,550.00N* 

PLA'S Rent Annual Base Rent 

$200.00 $2l,OOO.OON* 

If Licensee fails to pay and deliver to Licensor any installment of Annual Base Rent within Ten (1 0) 

days after the first day of every month during the Term of the Agreement, Licensee shall pay (in 

addition to and at the time of paying such instalhnent) an additional rent charge in the amount of 

Seventy~five Dollars and 00/100 f$75.00) per month. In addition, any and all such unpaid amounts 

shall bear interest at the rate of Fifteen Percent (15%) per annmn until paid. 

5.1 ADDffiONALRENTPAYMENT. 

N* represents utilities, that Licensee shall pay directly to the utility providers, regarding any and all 

bills for electric, gas and heat, if available, and any other utility consumed in and for the Premises 

Hangar upon conimencement of the Term (N represents all utilities-gas, electric, heat and water if 

available). Licensee must make all arrangements that any and all utilities are in and registered in their 

business or personal name and shall turn on all utilities as needed to operate their utilities and shall 

continue to do so until the Tenn expiration in order not to damage the Premises Hangar and Building. 

Licensee shall maintain and warrant, at its expense, the proper function of all meters measuring the 

consumption of the utilities within and used for the Premises Hangar. Licensee shall pay all utility 

amounts as billed by the utility companies without any deductions or set-offwhatsoever. 

6. USES AND OCCUPANCY. 

Licensee agrees to use, maintain and occupy the Premises Hangar and PLA'S during the Term. 

Licensee is solely responsible for any security system and or personnel regarding the Premises Hangar 

including but not limited to the security of its Aircraft and personal items. Licensee shall insure that 

hisJher hangar door and all other entrances to the Premises Hangar are locked upon entering and 

leaving the Premises Hangar. Licensee shall guaranty that the Aircraft shall be stored inside the 

Premises Hangar at all times if the Aircraft is not being used for flying purposes. Licensee agrees to 

remain in compliance with Homeland Security, the State of Michigan and Licensor's efforts to keep 

the Airport as safe under the present and ongoing concerns. Licensee agrees to safely store and secure 

all keys to the Premises Hangar and Aircraft offsite to prevent the likelihood of the Aircraft being 

stolen when it is not in use. 

Licensee shall not do, permit or suffer any act or thing to be done which is injurious to the Premises 

Hangar(s )~ PLA 's, Building or Airport Development, which is a nuisance, contrary to any law, 

ordinance, rule, regulation or order of Licensor, MDOT or the F .A.A. Licensor shall have access to 

the Premises Hangar at all times to inspect for Fire Code violations, inspect cleanliness and orderly 

business. Licensee can provide and bring onto the Airport aircraft maintenance personnel for 

scheduled maintenance on Aircraft used by Licensee's skydiving business unless those services and 

other Airport related services are on the Airport. Licensor shall review Licensee's services annually 

and may require Licensee to enter into additional written operating agreements upon Licensors sole 

discretion including but not limited to a Commercial Operating Agreement, Fuel Concession 

Agreement or a Land Lease Concession Agreement. Licensee shall keep the Premises Hangar and 

PLA's clean and free of debris and other hazardous objects and material. Licensee guarantees to 

Licensor that they will pennit damage or commit waste or damage to the Premises Hangar, buildlng or 

4 
( 

( 

Subject: Fw: Agreements 

From: 

To: 

Cc: 

Bee: 

Date: 

Steve, 

Mike Pelzer (mikeyp@prodigy.net) 

mbdevelopment@comcast. net; 

zapataj@michigan.gov; 

mikeyp@prodigy.net; 

Tuesday, June 30, 2015 6:37 PM 

The Commercial Operating Agreement and Concession & License Agreement that I just received have not changed much 

from the version sent on 6/1/2015. The concerns I had back then are still in these documents (please see the forwarded 

email from 6/2/2015) and are still concerns. The only changes I can see are some spelling issues, the dates, and dollar 

amounts. Also nothing in my email from 6/26/2015 has been addressed. When will these items be taken care of? 

Mike Pelzer 

----· Forwarded Message ----- From: Mike Pelzer <mikeyp@prodigy.net> 

To: "mbdevelopment@comcast.net" <mbdevelopment@comcast.net> 

Sent: Tuesday, June 2, 2015 5:10PM 

Subject: Agreements 

Steve, 

Please look over the highlighted areas. 

Concession Agreement 

Spelling on the name. 

Section 1. I am not sure why items are lined out? 

Section 2. Using the ramp for parking? See attachment. 

Section 6. Still says that we cannot have commercial activities in the hangar. 

Section 17. Incorrect address. 

Section 21. Signs, satellites, and wires. I still need something written in the agreement to permit this. 

I also need something written into the concession agreement about fuel prices as we had discussed earlier. 

($1.00 more per gallon than airport costs or mutually agreed upon amount) 

Commercial Operating Agreement 

1. Apron is to be used for aircraft. 

3. Does this statement mean snow shovels and rock salt or does it mean that I'm responsible for plowing the snow? For 

example, am I required to come out and clean snow in the middle of February when the business is closed? If so, 

why should it be different than in the past? 

https://us-mg5.mail.yahoo.com/neo/launch?.partner=sbc&.rand=4be47fd6d72cu 

Zmtg;] 12.. 

ll/15/2015 
( 

·-.... __ 

~ .l.l.L.U. 

Subject: Romeo Paperwork 

From: 

To: 

Cc: 

Bee: 

Date: 

Hi Steve, 

Mike Pelzer (mikeyp@prodigy.net) 

mbdevelopment@comcastnet; 

zapataj@michigan.gov; 

mikeyp@prodigy.net; 

Wednesday, July 1, 2015 2:29 PM 

ra.l:'V 1 U.l 1 

After further review, these documents appear to be in the same condition they were when we had our meeting on 

Junfl 4th. The only new changes I see are the dates, the striping and parking situation of the ramp, and the amount I am 

paying for rent The spelling corrections and address change were made in my presence at that afternoon's meeting. 

There are still issues that haven't been addressed, (parking, fuel price, doors, etc.). These have been discussed and 

mentioned in numerous e-mails. There is aiso contradicting language between the Concession Agreement and the 

Commercial Agreement I would like to see these items addressed before sending this to my attorney for review. 

Mike Pelzer 

/"' 

k ><'iallh{ )3 

https:/ /us-mg5 .mail.yahoo.com/neo/launch?. partner=sbc&.rand=4be4 7fd6d72cu 11/15/2015 
~ ~!HL 

Subject: Re: Romeo Airport 

From: 

To: 

Cc: 

Bee: 

Date: 

Hi Steve, 

Mike Pelzer (mikeyp@prodigy.net) 

mbdevelopment@comcast.net; 

zapataj@michigan.gov; 

mikeyp@prodigy.net; jlamonaca@avlaw.us; 

Thursday, July 9, 2015 6:39 PM 

I'll take things right down the list: 

r a.t;c; 1 Vi 'T 

The reason for 11/9/2020 is that I want five complete seasons and a normal season usually ends around November 1st. 

Also, looking ahead at the calendar for 2020, November 9th would give me a solid weekend to vacate the hangar and clean 

if you decide not to renew or operating out of Romeo is cost prohibitive. (You can refer back to the comments in the 

concession agreement seclion 3.) 

My biggest concern was the striping of the ramp area. In your revised contracl, this seems to be taken care of. 

M3 -Again, I want to make sure I am clear, are you saying I am responsible for coming out in the middle of February and 

clearing snow when not in operation? If we are open for business, I will insure that the ramp area will be clean and suitable 

for pedestrian traffic. I feel the snow plowing portion should continue as it has in the past. 

M4 Check 

( M5 Check 

Concession and License Agreement 

#1 Check 

#3 Check 

#6 I want to verify the Commercial Agreement has priority over the Concession Agreement. 

#7 M6 I would like a timeline on the doors. 

M7 I'm okay with that, the biggest concern was the grass cutting portion. 

# 21 Signs- Two signs for the business, one on the North wall (West side) and one on the West wall near the entryway 

door. Is there criteria as to size, shape, etc.? I will submit a more detailed plan for parking and crowd control signs. 

Do I still need written permission for phone, internet, and cable. 

When do we discuss building possibilities? 

As we discussed in our very first meeting, we need to have something that works for both of us. In the last 3 consecutive 

years I have purchased at least 10,000 gallons of Jet-A per season and about 1,000 gallons of 100LL (May-Oclober). You 

have not provided me with what you would like to see. As of yesterday my least expensive price on Jet-A delivered was 

$2.03 and was 15 day net. I will need to calculate costs for a tank or truck. Romeo is showing $4.09 self serve. 

Barnstormers at Pontiac is currently charging $3.37 full service and they will "hot fuel" me, resulting in additional savings for 

aircraft maintenance. The aircraft descent profile would take me to Pontiac for the same dollar amount as it would to 

Romeo. I would spend a small amount for fuel on the return flight but would make up the savings in fuel price and AIC 

maintenance. 

https://us-mg5 .mail.yahoo.com/neo/launch?.partner=sbc&.rand= 15uh7cdrrk48d 

t;<H tJ!,r) I 1 

11115/2015 
( 

.1 llllL 

Romeo is $5.48, Ray Community is $4.58. At Ray they also have a fuel discount club which is $0.05 per gallon. 

Sending the aircraft away for fuel does not look professional on my part, your part, or MOOT's part so I'm hoping we can 

come to an agreement. 

The last issue is the $8,000. This is where I feel we have the biggest gap. First, I have lost half of my season in advertising 

and revenue because of needless delays. I have been paying on a useless insurance policy for nearly a month, I have 

taken on expenses for equipment maintenance and replacement, I have put people's lives on hold for jobs, incurred 

administrative costs, and considerable other expenses. I understand the need for protecting yourself (I would do the 

same), but I am looking for a long term agreement and in turn will protect you, the state, myself, the sport, and everyone 

else involved to make this happen; as well as, being safe, efficient and profitable for all. I feel like this is where the gap 

starts and I am bearing the load. I jumped through hoops to get the coverage I obtained, which goes above and beyond 

what most drop zones across the country carry. Yetthat wasn't good enough. Your insurance agent, Mr. Calley, 

was requiring astronomical amounts in both premiums and coverage for a policy he has yet to produce and in the end all 

those requirements went away for an additional $8,000.00 per year. The explanation I'm given for the $8,000 is because of 

insurance costs, yet I still haven't seen any documentation to support those costs. Now, you tell me it is for parking areas 

and insurance. I am already paying 4 to 5 times more per acre than other commercial operators. So I am clear, you are 

asking for $2,000 for the additional parking area, correct? If that is the case, I'll limit my business to the original parking 

area. In addition, in your e-mail below, you are asking for $6,000 for an insurance increase you may or may not receive in 

December or January. It doesn't seem reasonable to pay for a cost you have not incurred yet. By my calculations that is 

close to $3,000 out of my pocket in addition to all the lost revenue. 

Please review the information above and give me a call if you would like to discuss. 

Mike 

From: "mbdevelopment@comcastnet" <mbdevelopment@comcast.net> 

To: Mike Pelzer <mikeyp@prodigy.net> 

Cc: "Zapata, Juan" <zapataj@michigan.gov> 

Sent: Tuesday, July 7, 2015 9:10PM 

Subject: Re: Romeo Airport 

Mr. Mike Pelzer, 

In regards to your comments and requests in the Commercial Operation Agreement: 

The commencement date for both License and Commercial Agreement shall be described in 

Exhibit "D" (Commencement Date Confirmation) of Concession and License Agreement 

since they both shall be signed simultaneously. In addition, this simplifies the 

commencement date, makes it consistent with all other past agreements and we do not 

know when this actually will get signed. You stated 11-9-2020, why this date? 

M2 - This shall not be deleted since this refers to adequate aircraft parking and that you 

have secured enough land and both aircraft and automobile parking. Exhibit "F" will be 

"Airport Land for Parachute Landing and Parking Areas" 

M3 - I cannot change since it is already in another airport agreement specifying that the 

owner/tenant is responsible for snow/ice removal. Removal of this language would 

discriminate against other owner. 

https:/ /us-mg5 .mail.yahoo.com/neo/launch? .partner=sbc&.rand=15uh7cdrrk48d 11/15/2015 
c 

r111U _._ Q.l::)\,.- _._ V.l J 

Subject: Re: Romeo Airport 

From: mbdevelopment@comcast.net (mbdevelopment@comcast.net) 

To: mikeyp@prodigy.net; 

Cc: zapataj@michigan.gov; 

Date: Tuesday, July 7, 2015 9:10PM 

Mr. Mike Pelzer, 

In regards to your comments and requests in the Commercial Operation Agreement: 

The commencement date for both License and Commercial Agreement shall be described in 

Exhibit "D" (Commencement Date Confirmation) of Concession and License Agreement 

since they both shall be signed simultaneously. In addition, this simplifies the 

commencement date, makes it consistent with all other past agreements and we do not 

know when this actually will get signed. You stated 11-9-2020, why this date? 

M2 - This shall not be deleted since this refers to adequate aircraft parking and that you 

have secured enough land and both aircraft and automobile parking. Exhibit "F" will be 

"Airport Land for Parachute Landing and Parking Areas" 

M3 - I cannot change since it is already in another airport agreement specifying that the 

owner/tenant is responsible for snow/ice removal. Removal of this language would 

discriminate against other owner. 

M4 -I agree. 

M5 - I agree that Airport Manager is responsible for lawn cutting. 

In regards to your comments and request in the Concession and License Agreement: 

#1 Premises Hangar: 

Lined-out sentences portion has been removed. 

Exhibit "F" has been edited to include the following wording "AIRPORT LAND FOR 

PARACHUTE LANDING AND PARKING AREAS." 

The enclosed trailer used to store equipment for added security will be permitted and 

allowed but must be stored only in the Premises Hangar and not outside. You will have 

written permission for the use and storage of an enclosed trailer. 

#3 Term of Agreement: Date has been modified/removed to be written in when signed. 

#6 Uses and Occupancy (page 5): I cannot delete this language due to that fact it is in 

every other license agreement. You Commercial Operating Agreement does allow you to 

perform maintenance on your aircraft and allows for this commercial activity. 

https://us-mg5.mail.yahoo.com/neo/1aunch?.partner=sbc&.rand=4be47fd6d72cu 11115/2015 
( 

r lUll .tae,~,;., "'-V.l J 

#7 Licensee's Maintenance: 

M6- Updated to "Licensor shall replace the three (3) entry way man doors." 

M7 - Updated to "In addition, Licensee shall routinely care for and maintain the PLA's 

including but not limited to the safety of the PLA's land and ground, fill any and all holes, 

maintain and repair safe PLA's land grades, remove any and all unsafe debris and objects 

on a daily routine basis and insure a safe PLA's according to all Airport, local, state, MOOT 

and federal rules and regulations and laws." 

#21 Signs: 

M8- You must submit plans for any building or parking signage to Licensor to enforce the 

Airport Rules and Regulations, prior and current agreements, and for the safety and security 

of the Airport. 

Exhibit "D": 

M9, M10- Dates to be updated and written in upon signing. 

Regarding the fuel situation, currently and in the past no one has received a fuel discount 

though I did discuss with you the possibility of a fuel discount. I need to know the quantities 

of fuel you will be purchasing in order to justify any and all fuel discounts. $1.00 over 

wholesale at my current price would be getting fuel for free. 

Regarding the rent increase, this is due to the extra land your leasing for parking needs and 

that my insurance upon signing these agreements will go up in excess of $6,000 per year 

due to the nature of your business. My insurance premiums will increase in December 2015 

or January 2016. 

In regards to clean up the hangar, we will pickup the pieces of crumbled block but will not 

make any repairs to Premises Hangar block. You may move the dumpster to east side of 

building and upon commencement will be responsible for the monthly dumpster rental fee. 

Please review and call me if you have any questions or concerns. 

Thank you, 

Steve Mazur 

Romeo Airport Management, LLC. 

248-7 40-8700 

mbdevelopment@comcast. net 

From: "Mike Pelzer" <mikeyp@prodigy.net> 

To: mbdevelopment@comcast.net 

Cc: "Zapata Juan (MOOT)" <zapataj@michigan.gov> 

Sent: Friday, July 3, 2015 8:33:43 AM 

Subject: Romeo Airport 

Steve, 

Please review the attached documents. I still would like something in writing in regards to the fuel situation. $1.00 over 

wholesale to be deducted from the monthly rent. I also need to know what the $8,000.00 increase. is specifically for. The 

other two items I have are smaller ones. Cleaning up the outside of the hangar and moving the dumpster to the east side 

https://us-mg5.mail.yahoo.com/neo/launch?.partner=sbc&.rand=4be47fd6d72cu 11/15/2015 
( 

ru1u 

of the building. I would also like a timeline on completing the paperwork, door replacement, moving in, and getting started. 

I don't feel that these items or any of the changes or requests I'm asking for in the agreements are unreasonable. 

Thank you. 

Mike Pelzer 

(586) 484-9384 

Attachments 

• Pegasus Parachute and Mike Pelzer.doc (3.10MB) 

• RAM Commercial Operation Agreement.doc (143.50KB) 

https://us-mg5.mail.yahoo.corn/neo!launch?.partner=sbc&.rand=4be47fd6d72cu 11/15/2015 
( 

_._ a.e.~ 1 U.1 11 

Subject: Re: Romeo Airport 

From: mbdevelopment@comcast.net (mbdevelopment@comcast.net) 

To: mikeyp@prodigy.net; 

Cc: zapataj@michigan.gov; 

Date: Tuesday, July 21,2015 5:13PM 

Dear Mr. Pelzer, 

I cannot add your last request anywhere in any of the agreements and my attorney will not 

add this into the agreements. If this is your final change in request and you accept this 

response, then we can proceed to draft the final agreements for signature. 

Sincerely, 

Steve Mazur 

Romeo Airport Management, LLC. 

248-740-8700 

mbdevelopment@comcast.net 

From: "Mike Pelzer" <mikeyp@prodigy.net> 

To: mbdevelopment@comcast.net 

Cc: "Zapata Juan (MOOT)" <zapataj@michigan.gov> 

Sent: Monday, July 20, 2015 5:09:27 PM 

Subject: Re: Romeo Airport 

Hi Steve, 

Most of this looks good. I would like you to add this somewhere into the agreement... 

This Agreement is being entered into between Romeo Airport Management, 

LL.C., and Pegasus Parachuting Service, Incorporated, without prejudice to any 

14 CFR Part 16 Airport Assurance matters raised by Pegasus Parachuting 

Service and/or Mike Pelzer. 

Thank You! 

Mike 

From: "mbdevelopment@comcast.net" <mbdevelopment@comcast.net> 

To: mikeyp@prodigy.net 

Cc: "Zapata, Juan" <zapataj@michigan.gov> 

Sent: Monday, July 20,2015 2:37PM 

Subject: Re: Romeo Airport 

https://us-mg5 .mail.yahoo.com/neo/launch?.partner=sbc&.rand= 1 citkupjcul2i 11/15/2015 
Ynnt Page I of 10 

Subject: Re: Romeo Airport 

From: Mike Pelzer (mikeyp@prodigy.net) 

To: mbdevelopment@comcast.net; 

Cc: zapataj@michigan.gov; 

Bee: jlamonaca@avlaw.us; mikeyp@prodigy.net; 

Date: Monday, July 20, 2015 5:09PM 

Hi Steve, 

Most of this looks good. I would like you to add this somewhere into the agreement.. 

This Agreement is being entered into between Romeo Airport Management, 

LLC., and Pegasus Parachuting Service, Incorporated, without prejudice to any 

14 CFR Part 16 Airport Assurance matters raised by Pegasus Parachuting 

Service and/or Mike Pelzer. 

Thank You! 

Mike 

From: "mbdevelopment@comcast.net" <mbdevelopment@comcast.net> 

To: rnikeyp@prodigy.net 

Cc: "Zapata, Juan" <zapataj@michigan.gov> 

Sent: Monday, July 20, 2015 2:37PM 

Subject: Re: Romeo Airport 

Dear Mr. Pelzer, 

Steve Mazur responses are in 

httpsJ/us-mgS.maiLyahoo.com/neo/launch?.partner=sbc&.rand= 1 citkupjcu12i 11115/2015 
rtull 

From: "mbdevelopment@comcast.net" <mbdevelopment@comcast.net> 

To: Mike Pelzer <mikeyp@prodigy.net> 

Cc: "Zapata, Juan" <zapataj@michigan.gov> 

Sent: Wednesday, July 15, 2015 6:35PM 

Subject: Re: Romeo Airport 

Dear Mr. Pelzer, 

Hi Steve, 

I'll take things right down the list: 

Page 2 of 10 

The reason for 111912020 is that I want flve complete seasons and a normal season usually ends around November 1st. 

Also, looking ahead at the calendar for 2020, November 9th would give me a solid weekend to vacate the hangar and clean 

if you decide not to renew or operating out of Romeo is cost prohibitive. (You can refer back to the comments in the 

concession agreement section 3.) 

My biggest concern was the striping of the ramp area. In your revised contract, this seems to be taken care of. 

M3 -Again, I want to make sure I am clear, are you saying I am responsible for coming out in the middle of February and 

clearing snow when not in operation? If we are open for business, I will insure that the ramp area will be clean and suttable 

for pedestrian traffic. I feel the snow plowing portion should continue as it has in the past. 

M4 Check 

M5 Check 

https ://us-rng5 .mail. yahoo .corn!neo/launch?. partner=sbc&.rand= 1 citkupj cu12i 11115/2015 
Print Page 3 oflO 

Concession and License Agreement 

#1 Check 

#3 Check 

#6 I want to verify the Commercial Agreement has priortty over the Concession Agreement. 

#7 M6 I would like a timeline on the doors. 

M7 I'm okay with that, the biggest concern was the grass cutting portion. 

# 21 Signs- Two signs for the business, one on the North wall (West side) and one on the West wall near the entryway 

door. Is there criteria as to size, shape, etc.? I will submit a more detailed plan for parking and crowd control signs. 

Do I still need written permission for phone, internet, and cable. 

https://us-mg5 .mail. yahoo .cornlneo!launch?. partner=sbc&.rand= 1 citkupjcu12i 11/15/2015 
Ynnt Page4 of 10 

When do we discuss building possibilities? 

As we discussed in our very first meeting, we need to have something that works for both of us. In the last 3 consecutive 

years I have purchased at least 10,000 gallons of Jet-A per season and about 1,000 gallons of 100LL (May-October). You 

have not provided me with what you would like to see. As of yesterday my least expensive price on Jet-A delivered was 

$2.03 and was 15 day net. I will need to calculate costs for a tank or truck. Romeo is showing $4.09 self serve. 

Barnstormers at Pontiac is currently charging $3.37 full service and they will "hot fuel" me, resulting in additional savings for 

aircraft maintenance. The aircraft descent profile would take me to Pontiac for the same dollar amount as it would to 

Romeo. I would spend a small amount for fuel on the return flight but would make up the savings in fuel price and NC 

maintenance. 

Romeo is $5.48, Ray Community is $4.58. At Ray they also have a fuel discount club which is $0.05 per gallon. 

Sending the aircraft away for fuel does not look professional on my part, your part, or MOOT's part so I'm hoping we can 

come to an agreement. 

The last issue is the $8,000. This is where I feel we have the biggest gap. First, I have lost half of my season in advertising 

and revenue because of needless delays. I have been paying on a useless insurance policy for nearly a month, I have 

taken on expenses for equipment maintenance and replacement, I have put people's lives on hold for jobs, incurred 

administrative costs, and considerable other expenses. I understand the need for protecting yourself (I would do the 

same), bull am looking for a long term agreement and in turn will protect you, the state, myself, the sport, and everyone 

else involved to make this happen; as well as, being safe, efficient and profitable for all. I feel like this is where the gap 

starts and I am bearing the load. I jumped through hoops to get the coverage I obtained, which goes above and beyond 

what most drop zones across the country carry. Yet that wasn't good enough. Your insurance agent, Mr. Calley, 

was requiring astronomical amounts in both premiums and coverage for a policy he has yet to produce and in the end all 

those requirements went away for an additional $8,000.00 per year. The explanation I'm given for the $8,000 is because of 

insurance costs, yet I still haven't seen any documentation to support those costs. Now, you tell me it is for parking areas 

and insurance. I am already paying 4 to Slimes more per acre than other commercial operators. So I am clear, you are 

asking for $2,000 for the additional parking area, correct? If that is the case, I'll limit my business to the original parking 

area. In addition, in your e-mail below, you are asking for $6,000 for an insurance increase you may or may not receive in 

December or January. It doesn't seem reasonable to pay for a cost you have not incurred yet. By my calculations that is 

close to $3,000 out of my pocket in addition to all the lost revenue. 

https://us-mg5.maiJ.yahoo.com/neo/launch?.partner=sbc&.rand= 1 citkupjcul 2i I I/15/2015 
J..LHU. 

Please review the information above and give me a call if you would like to discuss. 

Mike 

From: "mbdevelopment@comcast.nef' <mbdevelopment@comcast.net> 

To: Mike Pelzer <mikeyp@prodigy.ne!> 

Cc: "Zapata, Juan" <zapataj@michigan.gov> 

Sent: Wednesday, July 15,2015 6:35PM 

Subject: Re: Romeo Airport 

Dear Mr. Pelzer, 

Hi Steve, 

I'll take things right down the list: 

Page 5 oflO 

The reason for 11/9/2020 is that I want five complete seasons and a normal season usually ends around November 1st. 

Also, looking ahead at the calendar for 2020, November 9th would give me a solid weekend to vacate !he hangar and clean 

if you decide not to renew or operating out of Romeo is cost prohibitive. (You can refer back to the comments in the 

concession agreement section 3.) 

My biggest concern was the striping of the ramp area. In your revised contract, this seems to be taken care of. 

M3 -Again, I want to make sure I am clear, are you saying I am responsible for coming out in the middle of February and 

clearing snow when not in operation? If we are open for business, I will insure that the ramp area will be clean and suitable 

for pedestrian traffic. I feel the snow plowing portion should continue as it has in the past. 

https://us-mg5.mail.yahoo.com!neo/latmch?.partner=sbc&.rand=lcitkupjcul2i ll/15/2015 
( 

JOSEPH MICHAEL LAMONACA 

Attorney at Law, P.C., Inc. 

Reply to: 

,[Xi Media Office 

n New Castle County 

~ Airport Office 

Mr. Steve Mazur 

Romeo Airport Management, LLC 

M&B Development 

2146 Livernois 

Troy, Michigan 48083 

Mr. Juan Zepata 

Michigan Department of Transportation 

Office of Aeronautics 

2700 Port Lansing Road 

Lansing, ~>"..ichigan 48096-2160 

July 16, 2015 

Telephone (610) 558-3376 

N (j l 'f, 

755 North Monroe St, 

Media, PA 19063 

New Casde County Airport 

P.O. Box 10583 

Wilmington, DE 19850-0583 

t * Joseph Michael Lamonaea 

Esquire 

Peggy Craven 

ParalegaUNotary 

OfCounsd 

**Gregory P. Lamonaea 

Esquire 

'"McmberP.~~au 

tAi.<lineT"""J"'r<l'ilo< 

••M.o<nber Pcnnsyh=ia &: Now J=q Bar 

Re: Pegasus Parachuting Services. Incorporated- FAA Rule 16 Settlement Letter 

Dear Mr. Mazur and Mr. Zepata, 

Please be advised that my office was retained to represent Pegasus Parachuting Services, 

Incorporated, and Mr. Mike Pelzer' regarding 14 CFR Part 16 FAA Airport Sponsor Assurances 

violations by Romeo Airport, (hereinafter referred to as the "airport"). As such, please accept this 

letter as Mr. Pelzer's 14 CFR Part 16.21 (a) Good Faith Effort to Resolve the Disputed Matters'. 

Primarily, Mr. Pelzer, on behalf of Pegasus Parachuting Services, Incorporated, asserts that 

Romeo Airport (D98) is in violation of a minimum of the following FAA Grant Assurances: 

1 Mr. Pelzer and Pegasus Parachuting Services are used as one in the same in this Good 

Faith Settlement Letter. 

2 This Good Faith Settlement Letter is without prejudice to any matter or damages that 

may be asserted by Pegasus Parachuting Services, Incorporated, and/or Mr. Pelzer in any Rule 16 

Complaint filed in this matter. 

www.avlaw.us 
JOSEPH MICHAEL IAMONACA 

Attorney at Law, P.C., me. 

1) Assurance 21 - The airport has made no effort to restrict the land adjacent to, or in the 

immediate vicinity of the airport, to activities and purposes compatible with normal airport 

operations, in that the airport is allowing a farm field to exist at a substantially reduced rental 

structure per acre, and without the same insurance considerations, as that being offered to Mr. Pelzer. 

2) Assurance 22{a) and Assurance 22(h) -The airport has offered unreasonable terms to Mr. 

Pelzer, by requiring him to pay an unsubstantiated $8,000.00 per year surcharge for his use of the 

airport for an FAA approved aviation/aeronautical activity. Further, the airport has engaged in 

unreasonable and substantially delayed negotiations regarding unnecessary and unreasonable 

insurance requirements, which delays have cost Mr. Pelzer serious economic damages during his 

busiest season. These economic damages to Mr. Pelzer's business are estimated at $50,000.00 as of 

June 1, 2015. Mr. Pelzer began fum phone discussions with Steve Mazur regarding his aeronautical 

activity use plans on March 6, 2015. These negotiations were unreasonably delayed by the airport 

with requests for insurance coverage that was not industry standard and did not exist, issues about 

farmer's compensation on the airport, lack of return calls, and other documented unreasonable issues 

raised by the airport, which continues to this day. 

3) Assurance 24 - The airport fee and rental structure is unclear at best for t..he facilities and 

( · services at Romeo Airport. 

4) Such other Grant Assurances and violations as may be deemed violated by the airport. 

5) Such other Grant Assurance violations as may be deemed to have been violated and/or 

disregarded by the airport. 

As such, in a Good Faith effort to settle this matter without intervention of the United States 

Department of Transportation and/or the Federal Aviation Administration, Mr. Pelzer is willing to 

settle this matter for the following: 

1. Rent at $950.00 per month with the agreement to pay an additional $200.00 per month 

for designated parachute landing and parking areas. 

2. $8000.00 surcharge per year to be removed by the airport. 

3. Length of agreement between the airport and Mr. Pelzer to be 5 years and 4 months. 

4. First months rent free in consideration for Mr. Pelzer agreeing not to seek related economic 

damages. This provision is optional, and Mr. Pelzer is willing to discuss this in Good Faith. 

5. Mr. Pelzer will agree not to pursue a 14 CFR Part 16 action related to the above matters, 

and not to seek additional economic damages. 
( 

JOSEPH MICHAEL LAMONACA 

Attorney at Law, P.C., Inc. 

Mr. Pelzer wants me to convey that he truly wants agoodrelationshipwiththe airport, airport 

management, and Michigan Department ofTransportation, Office of Aeronautics, and in that regards 

has made a "Good Faith Effort" above, to resolve this matter. If the matter cannot be resolved in a 

timely fashion, I would insist on an interim agreement being executed immediately between the 

airport and Mr. Pelzer, to mitigate further damages during settlement negotiations and/or the Rule 

16 Complaint process, which we truly hope will not be necessary. 

cc: Mr. Mike Pelzer 

File 

Very Truly Yours, 

Joseph Michael Lamonaca 
t'nnt rag~: 1 01 l"'t 

Subject: Re: Romeo Airport 

From: Mike Pelzer (mikeyp@prodigy.net) 

To: mbdevelopment@comcast.net; 

Date: Wednesday, July 29, 2015 3:13PM 

Hi Steve, 

Please include a diagram of all the areas I am being charged for with your Agreements. 

Thank: you! 

Mike Pelzer 

Sent from Yahoo Mail on Android 

From:"mbdevelopment@comcast.net" <mbdevelopment@comcast.net> 

Date:Wed, Jul29, 2015 at 3:02PM 

Subject:Re: Romeo Airport 

Dear Mr. Pelzer, 

Thank you for meeting with me at Romeo State Airport on Tuesday 7/28/2015. Bill and I 

revealed to you yesterday the following per square foot prices that we charge to all aviators 

that either rent a hangar or lease land for aviation purposes. The comparable per square 

foot price for the community hangar, which includes the same price that Dan's Excavating 

paid per square foot, is $3.08 per square foot. The land lease per square foot price for 

aviation purposes, which includes the same price that Chris Peyerk is currently paying, is 

$0.3036 per square foot. 

Based on your requirements as of 7/28/2015 for hangar, ramp, and parking land needs are 

the following per square foot measurements and prices: 

Ramp Size: 16,750 square feet 

Parking Size: 21,000 square feet 

Total Land Size: (37, 750) x ($0.3036) = $11,460.90/12 = $955.07 per month 

Hangar Size: (7,500 square feet) x ($3.08 per square foot)= $23,100/12 = $1925.00 per 

month 

I will be emailing you a blank land lease based on the same terms as recently negotiated 

and mutually signed by MOOT, Romeo Airport Management, LLC, and ESB1, LLC. 

https://us-mg5 .mail.yahoo.com/neo/launch? .partner=sbc&.rand= 1 citkupjcu12i 

f.,..M,et;Y It 

11115/2015 
( 

r1un rage L 01 l't 

Thank you for your consideration and if you have any further requests or changes, please do 

not hesitate to contact me or Mr. Juan Zapata. 

Sincerely, 

Steve Mazur 

Romeo Airport Management, LLC. 

M&B Development 

248-7 40-8700 

mbdevelopment@comcast.net 

From: "Mike Pelzer" <mikeyp@prodigy.net> 

To: mbdevelopment@comcast.net 

Sent: Monday, July 27, 2015 3:48:43 PM 

Subject: Re: Romeo Airport 

Mr. Mazur, 

I will see you at 5pm tomorrow. 

Mike 

Sent from Yahoo Mail on And;oid 

From: "mbdevelopment@comcast. net" <mbdevelopment@comcast. net> 

Date:Mon, Jul 27, 2015 at 2:29 PM 

Subject:Re: Romeo Airport 

Dear Mr. Pelzer, 

I am available to meet tomorrow (Tuesday) or Wednesday at 5:00pm at Romeo State 

Airport. 

Please let me know which day is convenient with your schedule. My cell phone number is 

248-730-1 060. 

Thank you, 

Steve Mazur 

Romeo Airport Management 

M&B Development 

248-7 40-8700 

mbdevelopment@comcast. net 

From: "Mike Pelzer" <mikeyp@prodigy.net> 

To: mbdevelopment@comcast.net 

Sent: Thursday, July 23, 2015 4:31:19 PM 

Subject: Re: Romeo Airport 

https://us-mg5 .mail.yahoo.com/neo/launch?.partner=sbc&.rand= I citkupjcu12i 11/15/2015 
( 

j_ j__ll.lL 

Subject: Re: Romeo Airport 

From: mbdevelopment@comcast.net (mbdevelopment@comcast.net) 

To: mikeyp@prodigy.net; 

Cc: zapataj@michigan.gov; 

Date: Monday, July 27, 2015 2:29 PM 

Dear Mr. Pelzer, 

I am available to meet tomorrow (Tuesday) or Wednesday at 5:00pm at Romeo State 

Airport. 

Please let me know which day is convenient with your schedule. My cell phone number is 

248-730-1060. 

Thank you, 

Steve Mazur 

Romeo Airport Management 

M&B Development 

248-7 40-8700 

mbdevelopment@comcast. net 

From: "Mike Pelzer" <mikeyp@prodigy.net> 

To: mbdevelopment@comcast.net 

Sent: Thursday, July 23, 2015 4:31:19 PM 

Subject: Re: Romeo Airport 

Hi Steve, 

I will be out there in the morning tomorrow with an 8:30 scheduled departure and a 3:30 

return. I will also be there on Saturday morning with a 1:30 departure and 3:30 return. If 

you can make it tomorrow, Juan said that he may be able to make it. He also said that you 

may have some availability on Sunday, if so please let me know. If none of that works, I can 

be there at 5:00pm on Tuesday or Wednesday. Let me know which one works for you? 

Mike 

From: "mbdevelopment@comcast.net" <mbdevelopment@comcast.net> 

To: Mike Pelzer<mikeyp@prodigy.net> 

Cc: "Zapata, Juan" <zapataj@michigan.gov> 

Sent: Thursday, July 23, 2015 3:26 PM 

Subject: Re: Romeo Airport 

https://us-mg5 .mail.yahoo.com/neo/launch? .partner=sbc&.rand= 1 citkupjcu12i 11/15/2015 
( 

rU . .lU 

Subject: RE: Romeo Airport 

From: 

To: 

Date: 

Mike, 

Zapata, Juan (MDOT) (ZapataJ@michigan.gov) 

mikeyp@prodigy.net; 

Friday, July 24, 2015 7:54AM 

rugc .1 u.1 .tu 

Dan's Excavating were paying $900 per month for 7500 sq ft at Romeo's community hangar just before they 

left for Pontiac. MB Development was trying to raise the rent fee to $1,693.75 starting in June of2014, Juan. 

From: Mike Pelzer [mailto:mikeyp@prodigy.net] 

Sent: Thursday, July 23, 2015 4:36PM 

To: Zapata, Juan (MDOT) 

Subject: Fw: Romeo Airport 

Juan, 

I just sent this off to Steve. 

Mike 

-----Forwarded Message -----

From: Mike Pelzer <mikevp!alprodigy.net> 

To: "n1bdevelopmentf2Vcomcast.net" <mbdevelopmentCCllcomcast.net> 

Sent: Thursday, July 23, 2015 4:31 PM 

Subject: Re: Romeo Airport 

https://us-mg5 .mail.yahoo.com/neo/launch? .partner=sbc&.rand=4be4 7fd6d72cu 11/14/2015 
( 

~ ~HiL ~ ae,v""' v~ ~v 

Hi Steve, 

I will be out there in the morning tomorrow with an 8:30 scheduled departure and a 3 :30 return. I will 

also be there on Saturday morning with a 1:30 departure and 3:30 return. If you can make it 

tomorrow, Juan said that he may be able to make it. He also said that you may have some availability 

on Sunday, if so please let me know. If none of that works, I can be there at 5:OOpm on Tuesday or 

Wednesday. Let me know which one works for you? 

Mike 

From: 11mbdevelopment@comcast.net" < mbdevelopment(@comcast.net> 

To: Mike Pelzer <mikeyp@prodigy.net> 

Cc: "Zapata, Juan" <zapatai@michigan.gov> 

Sent: Thursday, July 23, 2015 3:26PM 

Subject: Re: Romeo Airport 

Dear Mr. Pelzer, 

In order to avoid future litigation and the feeling I am getting that this is the direction you are heading, 

I am requesting a meeting with you at Romeo Airport for the following reasons: 

1.) Properly remeasure the space you need inside the community hangar and establish a new persqua..re-foot rate in order to avoid any notion of discriminate pricing. 

2.) Properly remeasure the area you need for parking since it has changed three times in our 

negotiations in order to avoid any notion of discriminate pricing. 

3.) Discuss and fmalize you and your attorneys' intent regarding his most recent correspondence. 

Other than your last email, I have agreed to all the other terms. 
( 

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Subject: Re: Romeo Airport 

From: mbdevelopment@comcast.net (mbdevelopment@comcast.net) 

To: mikeyp@prodigy.net; 

Cc: zapataj@michigan.gov; 

Date: Thursday, July 23, 2015 3:26 PM 

Dear Mr. Pelzer, 

In order to avoid future litigation and the feeling I am getting that this is the direction you are 

heading, I am requesting a meeting with you at Romeo Airport for the following reasons: 

1.) Properly remeasure the space you need inside the community hangar and establish a 

new per-square-foot rate in order to avoid any notion of discriminate pricing. 

2.) Properly remeasure the area you need for parking since it has changed three times in 

our negotiations in order to avoid any notion of discriminate pricing. 

3.) Discuss and finalize you and your attorneys' intent regarding his most recent 

correspondence. 

Other than your last email, I have agreed to all the other terms. 

I can meet anytime next week. Please contact me at 248-730-1060 to confirm a date and 

time to meet. 

Sincerely, 

Steve Mazur 

Romeo Airport Management, LLC. 

M&B Development 

248-740-8700 

mbdevelopment@comcast.net 

From: "Mike Pelzer" <mikeyp@prodigy.net> 

To: mbdevelopment@comcast.net 

Cc: "Zapata Juan (Moon" <zapataj@michigan.gov> 

Sent: Tuesday, July 21, 2015 5:27:28 PM 

Subject: Re: Romeo Airport 

Steve, 

If you're unwilling to add the language, then I am requesting that the letter from Joseph 

Lamonaca along with all e-mail exchanges starting on July 3, 2015 between me and Romeo 

Airport Management/M&B Development be added as an Exhibit into the contract. 

Mike 

https://us-mg5 .mail.yahoo.com/neo/launch? .partner=sbc&.rand= lcitkupjcu12i 11/15/2015 
( 

The Base Rent for the Term of this Agreement shall be: 

Years 

1-5 

Years 

1-5 

Premises Hangar Monthly Rent 

*$1925.00 per month 

Total Land Monthly Rent 

*689.43 

Premises Hangar Annual Rent 

$23,100.00N* 

Total Land Annual Rent 

$8273.16 

If Licensee fails to pay and deliver to Licensor any installment of Annual Base Rent within Ten (1 0) 

days after the first day of every month during the Term of the Agreement, Licensee shall pay (in 

addition to and at the time of paying such installment) an additional rent charge in the amount of 

Seventy-five Dollars and 00/100 ($75.00) per month. In addition, any and all such unpaid amounts 

shall bear interest at the rate of Fifteen Percent (15%) per annum until paid. 

5.1 ADDITIONAL RENT PAYMENT. 

N* represents utilities, that Licensee shall pay directly to the utility providers, regarding any and all 

bills for electric, gas and heat, if available, and any other utility consumed in and for the Premises 

Hangar upon commencement of the Term (N represents all utilities-gas, electric, heat and water if 

available). Licensee must make all arrangements that any and all utilities are in and registered in their 

business or personal name and shall tum on all utilities as needed to operate their utilities and shall 

continue to do so until the Term expiration in order not to damage the Premises Hangar and Building. 

Licensee shall maintain and warrant, at its expense, the proper function of all meters measuring the 

consumption of the utilities within and used for the Premises Hangar. Licensee shall pay all utility 

amounts as billed by the utility companies without any deductions or set-offwhatsoever. 

6. USES AND OCCUPANCY. 

Licensee agrees to use, maintain, and occupy the Premises Hangar, PRLA'S, and PLA'S during the 

Term. Licensee is solely responsible for any security system and or personnel regarding the Premises 

Hangar including but not limited to the security of its Aircraft and personal items. Licensee shall 

insure that his/her hangar door and all other entrances to the Premises Hangar are locked upon entering 

and leaving the Premises Hangar. Licensee shall guaranty that the Aircraft shall be stored inside the 

Premises Hangar at all times if the Aircraft is not being used for flying purposes. Licensee agrees to 

remain in compliance with Homeland Security, the State of Michigan and Licensor's efforts to keep 

the Airport as safe under 1i'le present and ongoing concerns. Licensee agrees to safely store and secure 

all keys to the Premises Hangar and Aircraft offsite to prevent the likelihood of the Aircraft being 

stolen when it is not in use. 

Licensee shall not do, permit or suffer any act or thing to be done which is injurious to the Premises 

Hangar(s), PRLA'S, PLA'S, Building or Airport Development, which is a nuisance, contrary to any 

law, ordinance, rule, regulation or order of Licensor, MDOT or the F.A.A. Licensor shall have access 

to the Premises Hangar at all times to inspect for Fire Code violations, inspect cleanliness and orderly 

business. Licensee can provide and bring onto the Airport aircraft maintenance personnel for 

scheduled maintenance on Aircraft used by Licensee's skydiving business unless those services and 

other Airport related services are on the Airport. Licensor shall review Licensee's services annually 

and may require Licensee to enter into additional written operating agreements upon Licensors sole 

discretion including but not limited to a Commercial Operating Agreement, Fuel Concession 

4 
( 

RICK SNYDER GOVERNOR 

Mr. Stephen Mazur 

STATE OF MICHIGAN 

DEPARTMENT OF TRANSPORTATION 

LANSING 

August 24, 2015 

Romeo Airport Management, LLC 

2146 Livernois Ave 

Troy, MI 48083 

Dear Mr. Mazur: 

KIRK T. STEUDLE 

DIRECTOR 

This office has not received a response to our letter dated August 11, 2015. We are now requesting a 

written response to be received by our office no later than August 31, 2015. 

Your response needs to address each of the alleged grant violations as stated in the complaint. Along 

with your response we need copies of all leases, contracts and commercial operating agreements the 

airport has with all commercial operators based at the Romeo State Airport. 

I suggest, to expedite the handling of this complaint, all interested parties receive copies of all 

pertinent future correspondence. If you have any questions regarding this matter I can be reached at 

517-335-9679 or by e-mail at zapataj@michigan.gov. 

Sincerely, 

/_...) 

·, ~. C-1 ~-~ ' / 'l. v.,_ I \ :'."~iJcr./'-1' 

"~~ \..-~ _...-"\ I 

J~C. Zapata, Cdmpliance Officer 

MiChigan Department of Transportation 

Office of Aeronautics 

Cc: Joseph Lamonaca, Attorney at Law 

James Shell, Asst AG 

LH-LAN-0 (01111) 

Paul Lo, FAA Great Lakes Region 

Aeronautics Building- 2700 Port Lansing Road, Lansing, Michigan 48906 

www.michigan.gov • {517) 335~9283 
( 

than 0.15 cents per gallon. Attached is yesterday's price quotes from two companies 

that I have used in the past. The current price on Airnav shows Romeo at $4.09 per 

gallon and Romeo's price on 100LL is 0.90 cents per gallon more than what Ray 

Community airport charges. 

Hopefully we can continue to move towards an agreement. In the meantime, I would 

agreement that is acceptable by all. 

Let me know if you have any questions. 

Thank you. 

Mike Pelzer 

From: ''Trout, Michael (MOOT)" <TroutM1@michigan.gov> 

To: "Zapata, Juan (MOOT)" <£.§.R:ata~~n.cov> 

Cc: 'steve Mazur' <mbdevelooment'ilicomcast.net>; Mike Pelzer <mikey.:Q_@pradigv,net>; "Shell, James (AG)" 

<She!1J2@-mlchlgan.gov> 

Sent: Tuesday, September 29, 2015 10:38 AM 

Subject Agreement for 098 

Juan: The following issues were discussed on September 28, 2015 at 5:00 p.m. at the 

Romeo Airport terminal building between Mr. Pelzer, Mr. Mazur, and Mr. Trout. Also in 

attendance was Mr. Mazur (Sr.). In addition to the standard provisions of our 

agreements the commercial operating agreement for this sky diving operation will 

include: 

Business Name: What is the legal entity and who is the responsible party for the 

Operator. 

Lease Term: 5 years to begin upon execution. 

I Rate: Year 1 - $1 ,800 mo./$21 ,600 yr. (2.88 s.f.) 

I 

I Year 2 - $1 ,862.50 mo./$22,350 yr. (2.98 s.f.) . 

Year 3 - $1 ,925 mo./$23, 100 yr. (3.08 s.f.) 

Year 4- $1,987.50 mo./$23,850 yr. (3.18 s.f.) 

Year 5 - $2,050 mo./$24,600 yr. (3.28 s.f.) 

Parking: Included in rate however a designated area will be assigned by the Airport 

Utilities: Paid by Operator and shared among occupants of the community hangar 
rnm !'age 1 ot 2 

Subject: Re: Agreement for 098 

From: Trout, Michael (MOOT) (TroutM1@michigan.gov) 

To: ZapataJ@michigan.gov; mikeyp@prodigy.net; 

Cc: mbdevelopment@comcast.net; SheiiJ2@michigan.gov; 

Date: Wednesday, September 30, 20151:11 PM 

Mr. Pelzer. Just so you are aware the FAA process wil only determine if we have violated a 

regulation, and will not address our negotiations. We can provide you with an agreement but it will be 

your decision on whether it works for you or not. We have the right to establish rates and charges and 

rules that suit us and are not obligated to match other airports, only to be consistent. If we choose to 

charge higher fuel prices it may not make great business sense but it is our right. The FAA will not be 

involved in price negotiations nor should they. Thanks. 

Mike Trout 

On: 30 September 2015 12:59, "Mike Pelzer" <mikeyp@prodigy.net> wrote: 

Mike, 

( Thank you for your time on Monday to discuss the airport lease agreement. Although there 

has been some progress, I am still greatly concerned over the various price versions 

(including the latest one} I have received. When this process began last March, I was 

quoted a monthly rate of $950 and that amount has grown considerably since then and 

now. I feel the $8,000 surcharge from June is rolled into other areas. I would still 

like clarification on what the previous tenant paid, how much space he was paying for, and 

his reason for leaving. 

Other items you mentioned in yotlr email (business name, signage} have been discussed 

and agreed upon. I would still like to see more of a discount for fuel than 0.15 cents per 

gallon. Attached is yesterday's price quotes from two companies that I have used in the 

past. The current price on Airnav shows Romeo at $4.09 per gallon and Romeo's price on 

1 DOLL is 0.90 cents per gallon more than what Ray Community airport charges. 

Hopefully we can continue to move towards an agreement. In the meantime, I would like to 

see the FAA complaint process continue to move forward until we have an agreement that is 

acceptable by all. 

Let me know if you have any questions. 

Thank you. 

Mike Pelzer 

https://us-mg5.mail.yahoo.com/neo/launch?.partne:r=sbc&.rand= 1citkupjcu12i 

fix H IJJJ'T c2 I 

ll/15/2015 
( 

Licensor given above or at such other place as Licensor may designate from time to time in writing. 

The Base Rent for the Term of this Agreement shall be: 

Years 

I 

2 

3 

4 

5 

Years 

1-5 

Premises Hangar Monthly Rent 

$1800.00 per month 

$1862.50 per month 

$1925.00 per month 

$1987.50 per month 

$2050.00 per month 

Total Land Monthly Rent 

*689.43 

Premises Hangar Annual Rent 

$21,600.00 N* 

$22,250.00 N* 

$23,100.00 N* 

$23,850.00 N* 

$24,600.00 N* 

Total Land Annual Rent 

$8273.16 

If Licensee fails to pay and deliver to Licensor any installment of Annual Base Rent within Ten (10) 

days after the first day of every month during the Term of the Agreement, Licensee shall pay (in 

addition to and at the time of paying such installment) an additional rent charge in the amount of 

Seventv-five Dollars and 00/100 ($75.00) per month. In addition, any and all such unpaid amounts 

shall bear interest at the rate of Fifteen Percent (15%) per annum until paid. 

5.1 ADDITIONAL RENT PAYMENT. 

N* represents utilities, that Licensee shall pay directly to the utility providers, regarding any and all 

bills for electric, gas and heat, if available, and any other utility consumed in and for the Premises 

Hangar upon commencement of the Term (N* represents all utilities-gas, electric, heat and water if 

available). Licensee must make all arrangements that any and all utilities are in and registered in their 

business or personal name and shall turn on all utilities as needed to operate their utilities and shall 

continue to do so until the Term expiration in order not to damage the Premises Hangar and Building. 

Licensee shall maintain and warrant, at its expense, the proper function of all meters measuring the 

consumption of the utilities within and used for the Premises Hangar. Licensee shall pay all utility 

amounts as billed by the utility companies without any deductions or set-offwhatsoever. 

6. USES AND OCCUPANCY. 

Licensee agrees to use, maintain, and occupy the Premises Hangar, PRLA'S, and PLA'S during the 

Term. Licensee is solely responsible for any security system and or personnel regarding the Premises 

Hangar including but not limited to the security of its Aircraft and personal items. Licensee shall 

insure that his/her hangar door and all other entrances to the Premises Hangar are locked upon entering 

and leaving the Premises Hangar. Licensee shall guaranty that the Aircraft shall be stored inside the 

Premises Hangar at all times if the Aircraft is not being used for flying purposes. Licensee agrees to 

remain in compliance with Homeland Security, the State of Michigan and Licensor's efforts to keep 

the Airport as safe under the present and ongoing concerns. Licensee agrees to safely store and secure 

all keys to the Premises Hangar and Aircraft offsite to prevent the likelihood ofthe Aircraft being 

stolen when it is not in use. 

Licensee shall not do, permit or suffer any act or thing to be done which is injurious to the Premises 

Hangar(s), PRLA'S, PLA'S, Building or Airport Development, which is a nuisance, contrary to any 

law, ordinance, rule, regulation or order of Licensor, MDOT or the F.A.A. Licensor shall have access 

to the Premises Hangar at all times to inspect for Fire Code violations, inspect cleanliness and orderly 

4 
( 

_l_.l.HU rage:: 1 u1 .c.. 

Subject: Romeo Airport Management, LLC - Pelzer Lease 

From: mbdevelopment@comcast.net (mbdevelopment@comcast.net) 

To: mikeyp@prodigy.net; 

Cc: troutm1@michigan.gov; zapataj@michigan.gov; 

Date: Friday, October 16, 2015 3:32PM 

Dear Mr. Pelzer, 

I am responding to Mr. Lamonaca and your request for Mr. Trout to enforce the terms of our meeting. 

Since 2005, you have abided by your hangar license agreement with Romeo Airport Management 

and have been a good tenant. This year you have requested to not only lease an additional hangar, 

specifically 50% of the community hangar (7,500 square feet) to store your aircraft but to restart your 

parachute business. In order to do so you have verbally and repeatedly stated your business needs that 

include hangar space for 1-2 aircraft but also you will be using the hangar building for commercial 

operations incorporating and adding office space, classroom space, bathrooms and parachute 

preparation space. By doing so, you have changed the use of the existing hangar building for solely 

aircraft storage to a commercial office and educational building combiuing aircraft storage. As I have 

been telling you since the inception of our negotiations regarding your proposal, when you requested 

in building out or the need for the office and classroom space, you changed the intended use of the 

hangar building. By doing so, you are required to not only abide by Romeo Airport Rules and 

Regulations, the Departments codes and laws but Ray Township building and fire codes and laws. At 

our meeting with Mr. Trout you never disclosed this critical term and your business requirements and 

needs, i.e. bathrooms and offices. As you full are aware, I have been asking from you and need your 

space plans and requirements. If you are going to need, install, or change the use of the hangar, any 

additions other than your aircraft(s) will need to be first known and plans submitted for approval from 

Romeo Airport Management and the Department and secondly sent to Ray Township for approval 

and permitting. Lastly, as stated in your 2005license agreement and the current agreement, when 

using any hangar at the airport for aircraft storage only, you may park your vehicle either in front of 

the hangar door or inside the hangar but never shall you park a vehicle in the grass areas of the 

airport. When you requested office and classroom needs you also requested customer parking needs in 

exc((ss of20 cars or more at any one time. At our summer 2015 meeting with Mr. Juan Zapata, Mr. 

Bill Decker, and I, you requested that you wanted to use the western portion of the concrete ramp area 

in front of the hangar for parking. For safety purposes alone, we all agreed this was not safe and 5 or 

more cars at any one time on the ramp was not safe. In addition, the ramp area for parking this many 

cars was not the intended use of the ramp. Hence, this is why you requested the use of the land on the 

north side of the hangar building. Though we were trying to accommodate your commercial lease 

needs, and can charge you for the land use, it is still unknown by both the Department and Ray 

Township whether or not you can park .vehicles on grass while occupying a building in Ray Township 

to operate a commercial business. Therefore, you must submit your space plan and/or architectural 

plans for approval and must provide the necessary building and land to satisfY the use according to 

your use of the airport to the Department, Romeo Airport Management, and Ray Township. 

If you have any further questions, please do not hesitate to contact me via emaiL 

https:/ /us-mg5 .mail.yahoo.com/neo/launch?.partner=sbc&.rand= 1 citkupjcu12i 11115/2015 
rnHL 

Sincerely, 

Steve Mazur 

Romeo Airport Management, LLC. 

M&B Development, Inc. 

248-7 40-8700 

mbdevelopment@comcast. net 

Mtaehments 

• Mike Pelzer Lease page 2.PDF (109.36KB) 

https://us-mg5 .mail.yahoo.com/neo/launch? .partner=sbc&.rand= 1 citkupjcu12i 11/15/2015