COUNCIL COMMUNICATION

DATE:

       

2-3-03

 

SUBJECT:  FINAL READING OF ORDINANCE NO. 2003-O-033

Authorizing the City Manager to execute an Amendment to the Lease Agreement between the City of Laredo, as Lessor, and Howland Surveying Co, Inc., as Lessee, authorized by Ordinance No. 2001-0-175 dated November 19, 2001, for the purpose of extending the term for an additional ninety (90) days ending on February 28, 2003, adjust the monthly rent obligation. Said amendment will amend, specifically, section 1.02 titled “Term”, adding ninety (90) days ending on February 28, 2003, and Section 1.03 titled “Rental Obligation” wherein commencing on December 1, 2002, the monthly rent obligation shall be Two Thousand Seven Hundred and Eighty Five Dollars and Twenty Cents ($2,785.20). All other terms and conditions remain unchanged and in effect; providing for an effective date.

 

 

 

 

INITIATED BY:    Cynthia Collazo

                            Assistant City Manager                            

STAFF SOURCE:    Jose L. Flores

                                 Airport Director

 

PREVIOUS ACTION:  On January 27, 2003, Ordinance was introduced by City Council, and Staff was instructed to proceed.

 

 

BACKGROUND: 

 

Lessee wishes to extend the term of the lease for an additional ninety (90) days as their newly constructed building will be ready for occupancy within 90 days.

 

LESSEE shall carry and maintain Public Liability Insurance in minimum amounts of Five Hundred Thousand Dollars ($500,000.00) per incident, and One Hundred Thousand Dollars ($100,000.00) property damage per incident, in which LESSOR shall be named as additional insured.

 

 

 

 

FINANCIAL IMPACT:                     Building Rent Revenues

                                                        Account No. 242-0000-361-1060  

                                                        Previous Monthly Rent:  $2,532.00

                                                        Proposed Monthly Rent:  $2,785.20 x 3 Months = $8,355.60

                                                        Percent Increase:  10%

 

 

COMMITTEE RECOMMENDATION:  The Airport Advisory Committee recommends approval.

STAFF RECOMMENDATION:  That the City Manager be authorized to execute a lease amendment with Howland Surveying Co., Inc.

 

 

 

 

 

ORDINANCE NO. 2003-O-033

 

AUTHORIZING THE CITY MANAGER TO EXECUTE AN AMENDMENT TO THE LEASE AGREEMENT BETWEEN THE CITY OF LAREDO, AS LESSOR, AND HOWLAND SURVEYING CO., INC., AS LESSEE, AUTHORIZED BY ORDINANCE NO. 2001-0-175 DATED NOVEMBER 19, 2001, FOR THE PURPOSE OF EXTENDING THE TERM FOR AN ADDITIONAL NINETY (90) DAYS ENDING ON FEBRUARY 28, 2003 AND ADJUST THE MONTHLY RENT OBLIGATION. SAID AMENDMENT WILL AMEND, SPECIFICALLY, SECTION 1.02 TITLED “TERM”, ADDING NINETY (90) DAYS ENDING ON FEBRUARY 28, 2003, AND SECTION 1.03 TITLED “RENTAL OBLIGATION” WHEREIN COMMENCING ON DECEMBER 1, 2002, THE MONTHLY RENTAL OBLIGATION SHALL BE TWO THOUSAND SEVEN HUNDRED AND EIGHTY FIVE DOLLARS AND TWENTY CENTS ($2,785.20). ALL OTHER TERMS AND CONDITIONS REMAIN UNCHANGED AND IN EFFECT; PROVIDING FOR AN EFFECTIVE DATE.

 

 

            WHEREAS, the Airport Director recommends that the City Council approve the proposed Amendment to the Lease Agreement authorized by Ordinance No. 2001-O-275 dated November 19, 2001, between the City of Laredo, as LESSOR, and Howland Surveying Co., Inc., as LESSEE, for approximately 6,174 square feet constituting Suite No. 100 of Building No. 170 located at 5103 Maher Avenue at the Laredo International Airport, as a contract and in furtherance of the development of the Laredo International Airport and as a support to the maintenance and operation of the Laredo International Airport.

 

            WHEREAS, LESSOR and LESSEE agree to amend the lease in order to extend the term an additional ninety (90) days ending on February 28, 2003, and adjust the monthly rent obligation.  Said Amendment will amend, specifically, Section 1.02 titled “Term”, adding ninety (90) days ending on February 28, 2003, and Section 1.03 titled “Rental Obligation” wherein commencing on December 1, 2002, the monthly rent obligation shall be Two Thousand Seven Hundred and Eighty Five Dollars and Twenty Cents ($2,785.20).  All other terms and conditions remain unchanged and in effect; and

 

            WHEREAS, the City Council of the City of Laredo having heard the recommendations of the Airport Director and of the Airport Advisory Committee agrees with same.

 

            NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF LAREDO THAT:

 

Section 1:         The City Manager be hereby authorized to execute an Amendment to the Lease Agreement authorized by Ordinance No. 2001-O-275 dated November 19, 2001, between the City of Laredo, as Lessor, and Howland Surveying Co., Inc., as Lessee, for approximately 6,174 square feet constituting Suite No. 100 of Building No. 170 located at 5103 Maher Avenue at the Laredo International Airport.  Said Amendment will extend the lease term an additional ninety (90) days ending on February 28, 2003, and adjust the monthly rental obligation, a copy of which Amendment is attached hereto as Exhibit A, and incorporated herein as if set out at length for all intents and purposes.

 

Section 2:         This Ordinance shall become effective upon passage hereof.

 

            PASSED BY THE CITY COUNCIL AND APPROVED BY THE MAYOR ON THIS THE ____ DAY OF ________________, 2003.

 

 

 

 

 

 

_______________________

ELIZABETH G. FLORES

MAYOR

 

ATTEST:

 

_______________________

GUSTAVO GUEVARA, JR.

CITY SECRETARY

 

APPROVED AS TO FORM:

JAIME L. FLORES

CITY ATTORNEY

 

BY:_______________________

VALERIA M. ACEVEDO

ASSISTANT CITY ATTORNEY