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BOARD OF COUNTY COMMISSIONERS
AGENDA REQUEST
DATE: March 19, 2013
TO: Honorable Chairman and Members of the Board
FROM: Dino J. Villani
SUBJECT: MSA Amended Lease and Debt Repayment
DEPARTMENT: Airport
BCC DISTRICT: All
STATEMENT OF ISSUE: The BCC is requested to approve an amended and restated lease
and operating agreement with Miracle Strip Aviation (MSA) and Debt Repayment Agreement
BACKGROUND: The existing MSA lease agreement assumed by the new owner needs
revisions to bring it into line with the current operating environment. The current lease from
June 1998 has been amended twice, but still includes references to past conditions and surveys.
This amended and restated edition corrects previous survey errors, requires a new environmental
baseline survey, adjusts the percentage of gross sales to equalize rates for each FBO, establishes
facility maintenance responsibilities, and defines lease assignment provisions to include a fee.
The performance bond was also raised from $25,000 to $50,000. Other terms for fees for
insurance/indemnification were raised to the current levels required for an FBO. The lease also
includes the provisions of an approved debt repayment agreement (Exhibit D) assumed by the
new owners. This document has been coordinated in accordance with County policy.
The Debt Repayment Agreement is a separate document attached and reflects the BCC counter
offer to the original offer extended by Regal. This was originally presented to the BCC on
February 19, 2013. The original offer was a $207,500 credit for terminal renovations and a
$100,000 cash payment upon the transfer of the lease to Regal. The balance of $177,882 was to
be amortized over a 5 year period at 4% interest with monthly payments of $3,275.97.
At that meeting the BCC countered with a $100,000 terminal renovation credit, a cash payment
of $150,000 upon transfer of the lease, and the remaining $235,382 to be paid in equal monthly
installments over 6 years at 4% interest. Regal has agreed to these terms and signed the attached
Debt Repayment Agreement March 12th 2013
OPTIONS: Approve, Reject, Table
RECOMMENDATIONS: Approve the Amended and Restated Agreement and Debt
Repayment Agreement.
RECOMMENDED BY:
RECOMMENDED BY:
APPROVED BY:
James D. Curry, County Administrator