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BOARD OF COUNTY COMMISSIONERS
AGENDA REQUEST
DATE: August 6, 2013
TO: Honorable Chairman and Members of the Board
FROM: Sunil Harman
SUBJECT: First Amendment-Delta Airlines Lease/operating Agreement
DEPARTMENT: Airport
BCC DISTRICT: All
STATEMENT OF ISSUE: The Board of County Commissioners is requested to approve the
First Amendment to Delta Airlines' Lease and Operating Agreement.
BACKGROUND: Airline Leases and Operating Agreements at VPS expire September 30,
2013. Rather than prepare a new agreement, as the current agreement was authorized and entered
into on April 11, 2011 (retroactive to October 1, 2010), the airlines have agreed, by an
amendment, to a three-year extension to September 30, 2016. In addition to the extension, certain
modifications to the Indemnification and Environmental sections of the lease have been made.
Delta Airlines is the first to have signed and returned the proposed amendment. Although the
other airlines have agreed to the extension through amendment, their coordination process has
been protracted due to recent mergers between United/Continental and American/US Airways,
and the County has not received executed amendments back from them. We anticipate receiving
their amendments prior to September 1, 2013, at which time we will submit them for Board
approval. In addition to the extension, the airlines have asked for and received some clarification
to the indemnification provisions of the basic agreement specifically relating to environmental
issues. Consequently, definitions have been added for environmental terms which were
capitalized in the basic agreement, but were not previously defined.
OPTIONS: Approve, Table or Disapprove.
RECOMMENDATIONS: Staff recommends approval of Delta's First Amendment including
the indemnification clarifications and defined terms.
RECOMMENDED BY:
APPROVED BY:
Ernie Padgett, County Administrator