# , CITY OF J\1ERCED

Off ice of t he City Ma nager Telephone 209 1 385-6834 May 17 , 2012 M r. Dennis DeVaney Ch ief , EAS & Domesti c Analysis Division, X-53 Office of Aviation Analysis, Room 6401 U

. S. Department of Transportation 400 Seventh Street, SW Washington , DC 20590 Fax 2 091723-1780

;·,I RE : pOT 2012-5-11 , DOCKET OST-1998-3521 Essential A i r Service ( EAS) Program Proposals for Me rced , California**~-** 

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.**~· .:** **~ ::~**  ;:;::<**~~~ j** **(~ )**  Dear Mr. · DeVaney :

____,) The US Department of Transportation ( DOT) has issued a Request for Proposals for EAS service to Merced , Cal ifornia. Great Lakes A i rlines has been prov id ing this service since September 2008. ------- .. · --;--·

The City of Merced welcomes proposals from all airlines and is ready to work w ith airlines in the deve lopment of their proposals

. If directed by the DOT , the City wishes to have a seamless transition of air service if a different air serv ice provider is selected. To ass ist in this , we are prov iding each potential proposer (that we know of) with identical information on the lease of the Merced Regional Airport Terminal ; a cost wh ich should be reflected in their formal EAS proposals

. T he lease cost for the Merced terminal is $5,100 monthly , or $61 ,200 annually. I n the event that a proposer in cludes different lease rate informat ion in t he i r proposal , the Department is adv i sed that information is i naccurate

. Due to local economic condit ions, ou r lease rates have not risen in over two years. W e look forward to working successfully in the transition and thank you for your efforts

. S incerely,**_.~ ,** 

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### J-) \4...-( 't Jo hn M. Bramble C ity ManagerParties: Terms Sheet for Lease, Merced Regional Airport Terminal
Lessor: The City of Merced, 678 West 18th Street, Merced, California 95340 ("City") Lessee: TBD Premises: The leased Premises are located at the Merced Regional Airport Terminal, 20 Macready Drive, Merced, CA, and consist of approximately 834 square feet of offices and counters for Lessee's exclusive use, 768 square feet (approximately) of modular building space and approximately 1,250 square feet of common area for Lessee's non-exclusive use, including restrooms and lobby. Lessee also receives non-exclusive rights to use of the Airport and its aviation improvements, including aprons, taxiways, and runways. Term: The Term of the Lease shall be a minimum of two (2) years. Commencement Date: Commencement Date of the Lease shall be



## ------ Rent: The Monthly Rent is: $5,100 monthly.



# . Payrrientof Rents: Lessee shall pay Rents each month in advance, with the first month's payment due within five days of the execution of the Lease by both parties. Deposits: Lessee shall make a Good Faith Deposit of $5,000 upon execution of the Lease by the parties, in the form of cash. Uses: The leased Premises shall be used for the purpose of commercial passenger aviation, including passenger assembly, ticketing and sales, and waiting. Uses may be subject to Federal Aviation Administration rules and restrictions. Maintenance: Lessee shall keep the Premises and ali improvements in good repair and condition. Common Area Maintenance and Utilities: Lessee acknowledges that Lessor provides common area maintenance and janitorial service to non-exclusive use areas of the Premises, and utilities (electricity and natural gas) to both exclusive and non-exclusive use areas of the Premises. As compensation, Lessee shall pay $850.00 per month in Common Area Maintenance charges.Landing Fees: Notwithstanding any other policy or rate established for use of the Merced Regional Airport, Lessee shall pay to City $17.00 for each landing at the Airport. Taxes:
Other:
Broker: Lessee shall pay all property taxes, liens or assessments when due, without offset or reduction by Lessor. Other provisions shall be included in the Lease, covering nondiscrimination, notices, defaults, and cure of defaults, FAA requirements, and others. Neither party is represented by a broker in this transaction. Conditions: Any Lease Agreement is subject to the approval of the Merced City Council, and may be subject to the consent of the Federal Aviation Administration.