RESOLUTION NO. _____________________ (N.C.S.)
A RESOLUTION APPROVING ADDENDUM NO. 1 TO THE JET WEST, INC. FACILITY LEASE AGREEMENT AT THE SALINAS MUNICIPAL AIRPORT IN CONSIDERATION OF RENTAL ABATEMENT FOR AMERICAN DISABILITIES ACT FACILITY TENANT IMPROVEMENTS WHEREAS, in 2009, by way of Resolution No. 19745, City Council approved a facility lease agreement for 280 Mortensen Ave., between the City of Salinas and Jet West, Inc. (Jet West) at the Salinas Municipal Airport; and WHEREAS, the City of Salinas owns 280 Mortensen Ave. in title; and WHEREAS, Jet West financed long-term tenant improvements to the facility to meet American Disabilities Act (ADA) building standards; and WHEREAS, the improvements were not considered under the original terms of the lease agreement. Jet West has requested reimbursement for said improvements; and WHEREAS, the Airport has established criteria for participating in offsetting costs for tenant improvements if the improvement improves the building versus the operations of the Lessee/tenant, the City agrees to the benefit the improvement provides to the facility, the improvement is permanent versus temporary in nature, and the City agrees to participate in rental abatements; and WHEREAS, the ADA improvements serve the utility of the facility and not [only] Jet West’s operations; and WHEREAS, the City is agreeable to participate in offsetting the costs of the improvements provided they were satisfactorily completed and accepted by the Airport Manager, the improvements were contracted in compliance with the State of Californian prevailing wage laws, the project received final approvals from the City of Salinas Building Division, and Lessee provided proof of payment to the contractor; and WHEREAS, the City agrees to reimburse Jet West 50% (fifty percent) of the contracted improvement value of $14,146.17 at a rate of $1,180.60 per month until the reimbursement is fully satisfied; and WHEREAS, when the reimbursement is fully satisfied, the monthly rental amount will return to the regularly scheduled monthly payment; and WHEREAS, at the November 16, 2023, Airport Commission meeting, the Airport Commission recommended that the City Council approve the rental abatement terms between the City of Salinas and Jet West for the ADA facility improvements.
NOW, THEREFORE, BE IT RESOLVED by the Council of Salinas that the Mayor of Salinas is hereby authorized and directed for and on behalf of the City of Salinas to execute the attached Addendum No. 1 to the Salinas Municipal Airport Lease Agreement by and between the City of Salinas and Jet West, Inc.; and THEREFORE, BE IT FURTHER RESOLVED in consideration for ADA Tenant Improvements made to the facility by the Lessee, the monthly rental amount shall be abated by $1,180.60 per month for a period of 12 months for City of Salinas Customer #208 in connection with the facility lease for 280 Mortensen Avenue.
PASSED AND APPROVED this 5th day of December 2023 by the following votes:
AYES:
NOES:
ABSENT:
ABSTAINED:
APPROVED:
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Kimbley Craig, Mayor
ATTEST:
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Patricia Barajas, City Clerk