EXHIBIT 7

July 26, 2010

Chandler, Arizona

Where Vallles Make The Difference

Chandler Air Service, Inc.

Attn: John Walkup

1675 E. Ryan Rd.

Chandler, AZ 85286

Notice of Assessment

Transaction Privilege (Sales) and Use Tax

Chandler Air Service, Inc.

Chandler License No. 5220

H~ELIVERED

@~.

~jt? The City of Chandler has completed an audit of your account to determine if a Transaction

Privilege (Sales) and Use Tax liability exists. The audit covered the period from .June 1, 2004..

through February 28,2009. The results ofthis review indicate a City of Chandler tax deficiency

in the amount of $49,927.51. This liability consists of $44,230.93 in tax and $5,696.58 in

interest (calculated through July 31, 2010). Please refer to the enclosed workpapers for details.

. Re:

Per Chandler Tax Code (CTC) Section 62-570, Administrative review; petition for hearing or for

redetermination; finality of order, you have forty-five (45) days from receipt ofthis notice to take

one of the following courses of action or your rights of appeal will tenninate and collection

procedures will commence:

1. Pay the full amount ofthe assessment, without protest, or

2. Pay the full amount of the assessment, including amounts under protest to prevent

additional interest from accruing, and file a petition in writing with the Tax Hearing

Officer requesting either an oral hearing to present verbal arguments and supporting

documents, or a redetermination based solely on written statements and supporting

documents. Such petition should set f01ih the reasons why a hearing or

redetermination should be granted, and the amount by which tax, penalty, and/or

interest should be reduced, or

3. Pay only the amount of the assessment that is not protested, and file a petition in

writing with the Tax Hearing Officer requesting either an oral hearing to present

verbal arguments and supporting documents, or a redetennination based solely on

written statements and supp01iing documents. Such petition should set forth the

reasons why a hearing or redetermination should be granted, and the amount by

which tax, penalty, and/or interest should be reduced. Should you choose this option,

be advised that interest will continue to accrue on any unpaid tax balance.

Mailing Address

Mail Stop 701

PO Box 4008

Chandler, Arizona 85244-4008

Pdl/t,d 011 "9"kdpaper til

Tax iBlnd Ucense DiViS!@1ll

Telephone (480) 782-2280

TDD (800) 367-8939

Fax (480) 782-2343

www.chandleraz.gov

Location

Suite 105

55 North Arizona Place

Chandler, Arizona 85225





















































EXHIBIT 8
Privilege Tax Differential Due to May 1994 Tax Increase: AV Gas (0.5%) & Jet Fuel ($0.005) Sales at CMA

*** CONFIDENTIAL TAXPAYER INFORMATION: FOR INTERNAL USE ONLY ***

(A) (8) (C) (D) (E) (F) (G) (H) (I) (J) (K)

Period AVGas AVGas AVGas Jet Fuel Jet Fuel Jet Fuel Rate Increase AVGas Jet Total

Tax Collected Gross Receipts 0.5% Tax Collected Gallons $0.005 Total Totals by Fiscal Year

{TP Records} (8 f.015) (C x .005) {TP Records} (Ef.023) (F x .005) {D+G} (SUM (Col. D)) (SUM (Col. G)) (SUM (Col. H))

Jul-07 $2,026.36 $135090.67 $675.45 $321.91 13,996 $69.98 $745,43

Aug-07 1 459.75 97316.67 486.58 451.77 19,642 98.21 584.79

Sep-07 1765.09 117672.67 588.36 389.83 16,949 84.75 673.11

Oct-07 1 762.28 117,485.33 587.43 463.15 20137 100.69 688.12

Nov-07 2,685.83 179055.33 895.28 0.00 0 0.00 895.28

Dec-07 1738.31 115,887.33 579.44 443.99 19,304 96.52 675.96

Jan-08 1.803.06 120,204.00 601.02 446.54 19,415 97.08 698.10

Feb-08 1,749.54 116636.00 583.18 510.62 22.201 111.01 694.19

Mar-D8 2,295.24 153016.00 765.08 473.16 20,572 102.86 867.94

Apr-08 4,235.06 282,337.33 1,411.69 405.95 17650 88.25 1499.94

May-08 2,243.77 149584.67 747.92 593.65 25,811 129.06 876.98

Jun-D8 2,077.00 138,466.67 692.33 371.20 16,139 80.70 773.03 $8,613.76 $1,059.11 $9,672.87

Jul-08 $2,438.01 $162534.00 $812.67 $292,45 12,715 $63.58 $876.25

Aug-D8 2,379.15 158,610.00 793.05 393.94 17128 85.64 878.69

Sep-08 2,376.78 158452.00 792.26 417,47 18,151 90.76 883.02

Oct-08 2,519.56 167,970.67 839.85 364.14 15832 79.16 919.01

Nov-08 1631.72 108781.33 543.91 364.14 15,832 79.16 623.07

Dec-08 1199.78 79985.33 399.93 208.75 9,076 45.38 445.31

Jan-D9 1,331.79 88786.00 443.93 244.35 10,624 53.12 497.05

Feb-09 1,292.96 86,197.33 430.99 288.90 12561 62.81 493.80

Mar-09 1,605.97 107,064.67 535.32 235.75 10,250 51.25 586.57

Apr-09 1218.88 81,258.67 406.29 169.14 7,354 36.77 443.06

May-D9 2,250.74 150,049.33 750.25 256.29 11,143 55.72 805.97

Jun-D9 1,315.66 87,710.67 438.55 206.45 8,976 44.88 483.43 $7,187.00 $748.23 $7,935.23

Jul-D9 $1,126.41 $75,094.00 $375.47 $232.94 10,128 $50.64 $426.11

Aug-D9 1,190.48 79365.33 396.83 207.02 9,001 45.01 441.84

Sep-09 1,297.39 86492.67 432.46 265.49 11,543 57.72 490.18

Oct-09 1,428.69 95246.00 476.23 321.59 13982 69.91 546.14

Nov-09 1,470.65 98,043.33 490.22 224.80 9,774 48.87 539.09

Dec-09 1244.70 82980.00 414.90 330.69 14378 71.89 486.79

Jan-l0 1,489.92 99,328.00 496.64 390.29 16969 84.85 581,49

Feb-l0 1435.12 95674.67 478.37 259.69 11,291 56.46 534.83

Mar-10 161688 107,792.00 538.96 49724 21619 108.10 647.06

Apr-10 1,636.82 109121.33 545.61 355.37 15,451 77.26 622.87

May-l0 1,611.80 107,453.33 537.27 296.38 12886 64.43 601.70

Jun-10 1,389.77 92,651.33 463.26 336.05 14,611 73.06 536.32 $5,646.22 $808.20 $6,454.42

Jul-10 $1,117.97 $74531.33 $372.66 $372.03 16175 $8Q.88 $453.54

Aug-10 1,193.81 79587.33 397.94 385.43 16,758 83.79 481.73

Sep-10 1,440.27 96,018.00 480.09 317.26 13,794 68.97 549.06

Oct-10 1,591.43 106095.33 530.48 286.79 12469 62.35 592.83

Nov-l0 1,649.01 109,934.00 549.67 383.89 16691 83.46 633.13

Dec-10 1,502.62 100174.67 500.87 383.66 16681 83.41 584.28

Jan-11 2,037.72 135848.00 679.24 493.07 21438 107.19 786.43

Feb-11 1,504.70 100313.33 501.57 353.46 15,368 76.84 578.41

Mar-ll 1,660.38 110,692.00 553.46 431.16 18746 93.73 647.19

Apr-ll 2,533.92 168928.00 844.64 425.11 18483 92.42 937.06

May-ll 1,922.30 128,153.33 640.77 464.30 20187 100.94 741.71

Jun-l1 1,702.32 113,488.00 567.44 422.67 18,377 91.89 659.33 $6,618.83 $1,025.87 $7,644.70

Jul-ll $1,746.41 $116,427.33 $582.14 $351.14 15267 $76.34 $658.48

Aug-ll 1,591.11 106074.00 530.37 358.98 15,608 78.04 608.41

Sep-ll 1,627.33 108,488.67 542.44 381.69 16595 82.98 625,42

Oct-ll 2,236.91 149127.33 745.64 400.32 17,405 87.03 832.67

Nov-ll 1,784.73 118,982.00 594.91 476.05 20,698 103.49 698.40

Dec-ll 1,748.71 116,580.67 582.90 413.75 17,989 89.95 672.85

Jan-12 1,815.12 121,008.00 605.04 571.30 24,839 124.20 729.24

Feb-12 2,026.53 135102.00 675.51 472.56 20,546 102.73 778.24

Mar-12 2,303.89 153,592.67 767.96 495.31 21535 107.68 875.64

Apr-12 2,538.65 169243.33 846.22 392.45 17,063 85.32 931.54

May-12 2,248.15 149,876.67 749.38 495.10 21526 107.63 857.01

Jun-12 2,173.95 144,930.00 724.65 438,45 19,063 95.32 819.97 $7,947.16 $1,140.71 $9,087.87

Jul-12 $2,124.63 $141,642.00 $708.21 $390.54 16980 $84.90 $793.11

Aug-12 2,236.26 149084.00 745.42 339.37 14,755 73.78 819.20

Sep-12 2,511.86 167,457.33 837.29 305.12 13266 66.33 903.62

Oct-12 2,441.78 162,785.33 813.93 372.88 16,212 81.06 894.99

Nov-12 2,416.63 161,108.67 805.54 44054 19154 95.77 901.31

Dec-12 1,953.57 130238.00 651.19 376.19 16,356 81.78 732.97

Jan-13 2,066.45 137,763.33 688.82 420.00 18261 91.31 780.13

Feb-13 2670.47 178,031.33 890.16 402.20 17,487 87.44 977.60

Mar-13 3,153.63 210,242.00 1051.21 413.13 17962 89.81 1,141.02

Apr-13 2,781.71 185447.33 927.24 409.95 17,824 89.12 1,016.36

May-13 2,625.67 175,044.67 875.22 493.01 21435 107.18 982.40

Jun-13 2,337.42 155,828.00 779.14 392.86 17,081 85.41 864.55 $9,773.37 $1,033.89 $10,807.26

TOTALS: $137,358.94 $9,157,262.67 $45,786.34 $26,752.81 1,163,165 $5,816.01 $51,602.35 $45,786.34 $5,816.01 $51,602.35