Agenda Item Wording:
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Authorize an Amendment and Extension to Airport Lease Agreement and Ordinance Adoption - Second reading and adoption of Ordinance No. 2025-08 authorizing the City Manager to execute an amendment and extension to the Airport Lease Agreement between the City of Visalia and Aircraft Mechanical Services, Inc. for its location at the Visalia Municipal Airport.
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Deadline for Action: None
Submitting Department: Administration - Airport
Contact Name and Phone Number:
Jody Miller, Airport Manager, (559)713-4282, Jody.Miller@visalia.city
John Lollis, Assistant City Manager, (559)713-4323, John.Lollis@visalia.city
Department Recommendation:
Staff recommends that the City Council approve the second reading and adoption of Ordinance No. 2025-08 authorizing the City Manager to execute an amendment to the current Airport Lease Agreement with Aircraft Mechanical Services, Inc. (AMS), adding four (4) additional five (5) year mutual extension option periods to the current lease agreement. These options would be exercised upon mutual agreement sequentially at the conclusion of the current lease which ends in 2032, leading to a potential new lease end date of 2052. The amendment also adds Byron Vander Weide as an additional LESSEE with AMS.
Background Discussion:
At its meeting on May 20, 2002, the City Council authorized a thirty (30) year lease agreement between the City of Visalia and Darrel Tunnel Co. for a hangar at Visalia Municipal Airport beginning on July 1, 2002 and ending on June 30, 2032. Darrel Tunnel Co. was subsequently incorporated as Aircraft Mechanical Services, Inc. (AMS) on January 20, 2004. AMS is requesting four (4) additional five (5) year mutual extension options be added to the lease. The proposed lease amendment contains a clause that the LESSEE (AMS) shall provide LESSOR (City) with a written request to extend the term of the Lease pursuant to the requirements of Section 2.A of the proposed amendment at least Nine...
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