HomeMy WebLinkAboutResolutions - 2014.04.30 - 21314MISCELLANEOUS RESOLUTION#14079 April 17, 2014
BY: Planning and Building Committee, Jim Runestad, Chairperson
IN RE: DEPARTMENTS OF FACILITIES MANAGEMENT/SHERIFF'S OFFICE - APPROVAL AND
ACCEPTANCE OF LEASE AGREEMENT WITH MIDFIELD MANAGEMENT, LLC, FOR USE OF
HANGAR SPACE FOR STORAGE OF HELICOPTERS AT 6544 HIGHLAND ROAD, WATERFORD,
MICHIGAN
To the Oakland County Board of Commissioners
Chairperson, Ladies and Gentlemen:
WHEREAS, pursuant to Miscellaneous Resolutions #00211 and #01315 the Oakland County
Sheriff's Office acquired two helicopters for the purposes of providing public safety and patrol support
services throughout Oakland County; and
WHEREAS, pursuant to Miscellaneous Resolution #13025, the helicopters are housed at the
Oakland County International Airport with Oakland Air at 6740 Highland Road; and
WHEREAS while the current lease provides adequate storage, fuel, and office space, several
instances in recent months have occurred where the hangar door has been broken, keeping the Sheriff's
Office helicopter from taking off in a timely manner; and
WHEREAS since the Sheriff's Office helicopter is often sent out on flight missions that involve
assisting with rescues, etc., this is a public safety issue; and
WHEREAS the Sheriff's Office is therefore requesting approval to terminate the current lease and
enter into a new lease; and
WHEREAS at the present time no adequate County-owned facility exists at the Oakland County
International Airport which would accommodate storage, fuel, and office space requirements for the said
helicopters and aviation staff; and
WHEREAS in response to this situation, Departments of the Sheriff and Facilities Management,
with the assistance of the Oakland County Purchasing Division, requested proposals from four companies
which own and operate hangars at the Oakland County International Airport (Pontiac Flight Service,
Pentastar Aviation, Michigan Aviation, and Midfield Management, LLC); and
WHEREAS only Midfield Management, LLC, had adequate available space and responded to the
bid request; and
WHEREAS the bid from Midfield Management, LLC, is comparable to the current Oakland Air
lease; and
WHEREAS the Departments of the Sheriff and Facilities Management, with the assistance of
Oakland County Corporation Counsel, have negotiated the terms and conditions of the attached Hangar
Lease Agreement; and
WHEREAS it is the recommendation of the Departments of the Sheriff and Facilities Management
that the Oakland County Board of Commissioners accept and approve the terms and conditions of the
attached Hangar Lease Agreement; and
WHEREAS under the terms and conditions of the attached Hangar Lease Agreement, Midfield
Management, LLC, will provide 30-minute access to the hangar, adequate storage space for the
helicopters, fuel for $0.35 / gallon above the owner's cost, and 425 sq. ft. of office space at 6544 Highland
Road at the Oakland County International Airport for a term of three years commencing April 1, 2014, at a
rental rate of $425.00 per month per helicopter; and
WHEREAS, under the terms and conditions of the attached Hangar Lease Agreement, the
County has the option to extend the initial term of the lease an additional three years at a rental rate of
$425.00 per month per helicopter; and
WHEREAS, the Departments of the Sheriff, Facilities Management and Corporation Counsel have
reviewed and/or prepared all necessary documents related to the attached lease agreement.
NOW THEREFORE BE IT RESOLVED that the Oakland County Board of Commissioners hereby
approves and authorizes the attached Hangar Lease Agreement for use of space at Midfield Management,
LLC, 6544 Highland Road at the Oakland County International Airport, Waterford, Michigan, and authorizes
the termination of the current lease with Aviation Station South, d/b/a Oakland Air.
BE IT FURTHER RESOLVED that the Oakland County Board of Commissioners hereby directs its
Chairperson or his designee to execute the attached Hangar Lease Agreement and all other related
documents between the County of Oakland and Midfield Management, LLC, which may be required.
Chairperson, on behalf of the Planning and Building Committee, I move the adoption of the
foregoing resolution.
PLANNING AND BUILDING COMMITTEE
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PLANNING AND BUILDING COMMITTEE
Motion carried unanimously on a roll call vote.
HANGAR LEASE AGREEMENT
This Lease Agreement ("Agreement") by and between Midfield Management, LLC, of 6544
Highland Road, Waterford, MI 48327 ("Lessor") and Oakland County, of 1200 North Telegraph
Road, Pontiac, Michigan 48341, ("Lessee") is to provide for the storage of designated aircraft at
Oakland County International Airport in Waterford Township, Oakland County, Michigan
("Airport").
1. Lease of Hangar Space. Lessor shall lease to Lessee space within a hangar facility located
at 6544 Highland Road, Hangar #2, Waterford, Michigan (located at the Oakland International
Airport) and approximately 6,512 square feet of space within a building described and depicted
in Schedule A ("Leased Premises"). The Leased Premises shall be for storage of the
designated aircraft identified on Schedule B, Paragraph 1 ("Aircraft") and for general office use
according to the terms and conditions set forth in this Agreement. Lessor shall also provide
Lessee with related aircraft services identified on Schedule C.
2. Schedules. This Agreement includes and fully incorporates herein all of the following
documents: (1) Schedule A—Description and Depiction of Leased Premises; (2) Schedule B—
Identification of Aircraft; (3) Schedule C—Aircraft Services; and (4) Schedule D—Use
Regulations.
3. Term. This Agreement shall commence on April 1 st 2014 and shall remain in effect for a
period of three (3) years unless terminated by either party upon thirty (30) days written notice for
any reason ("Initial Term"). Prior to the expiration of the Initial Term, Lessee shall have an option
to extend the Initial Term for an additional three (3) year period with thirty (30) days advance
written notice to Lessor. Lessee may terminate this Agreement for any reason upon one
hundred and eighty (180) days written notice to Lessor.
4. Rent For the use of the Leased Premises, Lessee shall pay Lessor, at the address specified
for payments in Paragraph 10, the amount indicated on Schedule B, Paragraph 2, as rent, on or
before the first day of each month. Lessee shall keep billing information current and accurate
with Lessor. Lessee agrees to pay interest at the rate of 1 34, percent per month on rent not
paid on or before the first day of each month. In the event that any action must be taken to
collect any rent due, Lessee will pay Lessor's collection costs, including but not limited to,
attorney's fees, collector fees, and court costs. Lessee's obligation to pay rent shall cease the
date this Agreement terminates.
5. Security Deposit. No security deposit is required by Lessee under this Lease.
6. Use of Leased Premises. Lessee shall use the Leased Premises to store aircraft that are
used for law enforcement and public safety purposes and for general office use. Lessee shall
comply with all applicable statutes, ordinances, rules and regulations established by any federal,
state, or local government agency or by Lessor (attached to and incorporated herein as
Schedule D). No commercial activity of any kind whatsoever shall be conducted by Lessee in,
from or around the Leased Premises. No maintenance on the Aircraft shall be performed in the
Hangar without the prior written approval of Lessor, except such minor maintenance as would
normally be performed by an aircraft owner without the benefit of an aircraft mechanic.
7. Insurance. Lessee agrees to maintain insurance against liability for damage or loss to the
Aircraft or other property and against liability for bodily injury, personal injury or death, arising
from acts or omissions of Lessee, its agents and employees in amounts deemed appropriate by
1
FINAL LEASE AGREEMENT
Lessee. Prior to the commencement of the Agreement, Lessee shall deliver to Lessor
certificates or binders evidencing the existence of the insurance required herein.
8. Liability. Lessor shall be responsible for loss or damage to the Lessee's aircraft and its
contents arising from acts or omissions of Lessor and its agents and employees in performance
of this Agreement. All liability, loss or damage to third parties, as a result of claims, demands,
costs or judgments arising out of or caused by activities of Lessee under this Agreement shall
be the responsibility of Lessee, and not the responsibility of Lessor, if the liability, loss, or
damage is caused by or arises out of the acts or omissions of Lessee or its employees;
provided however, that nothing herein shall be construed as a waiver of any government
immunity that has been provided to Lessee or its employees by statue or court decision.
Neither Party shall be liable for any loss, injury, damage or delay of any nature whatsoever due
to causes beyond its control including acts of God, fire, flood, accidents, strike, labor dispute,
riot, insurrections, war, terrorism or any other such cause beyond its control.
9. Disclaimer of Liability. The Parties agree that under no circumstances shall Lessor be liable
for indirect, consequential, special or exemplary damages, whether in contract or tort (including
strict liability and negligence), such as, but not limited to, loss of revenue or anticipated profits,
loss of use, diminution of value or other indirect damage related to the leasing of the office
and/or hangar space under this Agreement.
10. Default This Agreement shall be breached if: (a) Lessee shall default in the performance of
any covenant herein, and such default shall continue for fourteen (14) days after receipt of
written notice by Lessee from Lessor of the specific defaults; (b) Lessee shall cease to do
business as a going concern; (c) a petition is made by or against Lessee under the Bankruptcy
Act or any amendment thereto (including a petition for reorganization or an arrangement); or (d)
Lessee assigns his/her property for the benefit of creditors.
In the event of any breach of this Agreement by Lessee, Lessor shall have, at its option and with
written notice, the right to terminate this Agreement and to remove the Aircraft and any other
property of Lessee from the Lease Premises using such force as may be reasonably necessary,
without being deemed guilty of trespass, breach of peace or forcible entry and detainer.
Exercise by Lessor of either or both of the rights specified above shall not prejudice its right to
pursue any other remedy available to Lessor in law or equity.
11. Notices. Any notice given by one party to the other in connection with this Agreement shall
be in writing and shall be sent by mail, delivery confirmation requested:
(1) (a) Lessor, general correspondence addressed to:
Midfield Management
6544 Highland Road
Waterford, Ml 48327
Jason Zimmerman: 248-420-3239
JZimmermanmidfieldmanacrement.com
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FINAL LEASE AGREEMENT
(b) Lessor, payments addressed to:
Midfield Management
6544 Highland Road
Waterford, MI 48327
(2) (a) Lessee, general correspondence addressed to:
Oakland County Sheriff Headquarters
1200 N. telegraph Rd., Bldg. 38E
Pontiac, MI 48341
Contact Name:
Phone: Cell:
Fax:
(b) Lessee, billing matters addressed to:
Oakland County Sheriff Headquarters
1200 N Telegraph Rd., Bldg. 38 E.
Pontiac, MI 48341
Contact Name: Dale Cunningham, Business Mgr.
Phone: 248-858-5512 Cell:
Fax:
Email: cunninghamd@oakgov.com
Notices shall be deemed to have been received on the date of receipt as shown on the delivery
confirmation.
IN WITNESS WHEREOF, the Parties have executed this Agreement as of the below day and
year. Facsimile signatures on this agreement are just as binding as original signatures.
LESSOR LESSEE
Signature: Signature:
Printed Name: Printed Name: Michael J. Gingen
Title: Title: Chairperson
Date: Date:
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FINAL LEASE AGREEMENT
HANGAR LEASE AGREEMENT
SCHEDULE B
1. Identification of Aircraft
Aircraft Type: Eurocopter Helicopter
Serial Number:
Registration: N632SD & N6315D
2. Rent
Monthly Rent: $425.00_per Helicopter for initial 3 year term and any renewal terms.
Security Deposit: WAIVED
3. Emergency Contacts
Name:
Phone:
Name:
Phone:
No. t No. 2:
No. 1: No. 2:
* Lessee is responsible for keeping emergency contact information current with Lessor *
Acknowledgment:
(Lessor's Initials) (Lessee's Initials)
(Date) (Date)
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FINAL LEASE AGREEMENT
AIRCRAFT SERVICES
SCHEDULE C
1. Lessor will provide Lessee with designated parking and a parking sign.
2. Lessor shall ensure refuel the aircraft within 30 minutes of landing
3. FUEL PRICE is $0.36 over cost provided by Barnstormers Flight Support, LLC, the
fuel provider based at Lessor property.
4. Lessee shall pay for all service performed or fuel provided at time of service. Fuel and line
service is provided at Lessors property by Barnstormers Flight Support, LLC. Fuel and line
services purchased shall be paid for using Lessee's "Voyager" fleet card.
Acknowledgment:
(Lessor's Initials) (Lessee's Initials)
(Date) (Date)
5
FINAL LEASE AGREEMENT
USE REGULATIONS
SCHEDULE D
1. Lessee will provide Lessor with a key to the Aircraft and will lock the Aircraft at all times
when it is unattended outside of the hangar.
2. Lessee will provide Lessor with two hours advance notice of the time when the Aircraft
should be available for use. Lessor will remove the Aircraft from the hangar, and will place
chocks, set brakes, tie down as necessary, and will lock and secure the Aircraft at a location
accessible to the airport runways at the time designated. In the case of emergencies,
lessee's designate flight personnel may pull out or put away the aircraft.
3. Upon returning the Aircraft for storage, Lessee will lock and secure the Aircraft and notify
Lessor that the Aircraft has been returned for storage. Lessor will secure the Aircraft within
the hangar as soon as reasonably possible, and not later than two hours after its return.
4. Lessor shall determine the specific location and may change from time to time, the space
within the hangar to be occupied by the Aircraft. Lessee shall at all times be kept informed
as to where the Aircraft are located.
5. There shall be no smoking at any time within the Leased Premises or any designated No
Smoking area on the Leased Premises.
6. Lessor shall be accessible to the Lessee at all times by telephone at 248-420-3239
Acknowledgment:
(Lessors Initials) (Lessee's initials)
(Date) (Date)
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FINAL LEASE AGREEMENT
Resolution #14079 April 17, 2014
The Chairperson referred the resolution to the Finance Committee. There were no objections.
FISCAL NOTE (MISC. #14079) April 30, 2014
BY: FINANCE COMMITTEE, TOM MIDDLETON, CHAIRPERSON
IN RE: DEPARTMENT OF FACILITIES MANAGEMENT/SHERIFF'S OFFICE — APPROVAL
AND ACCEPTANCE OF LEASE AGREEMENT WITH MIDFIELD MANAGEMENT, LLC FOR
USE OF HANGAR SPACE FOR STORAGE OF HELICOPTERS AT 6544 HIGHLAND ROAD,
WATERFORD, MICHIGAN
TO THE OAKLAND COUNTY BOARD OF COMMISSIONERS
Chairperson, Ladies and Gentlemen:
Pursuant to Rule XII-C of this Board, the Finance Committee has reviewed the above
referenced resolution and finds:
1. The Sheriff's Office proposes terminating the [ease agreement with Oakland Air
at 6740 Highland Road and entering into a new lease agreement with Midfield
Management, LLC, at the Oakland County International Airport at 6544 Highland
Road for the two (2) helicopters, fuel, equipment, and office space requirements
for the aviation staff.
2. A hangar space lease agreement has been negotiated with Midfield
Management, LLC, to lease their Hangar Number 2 facility located at 6544
Highland Road atthe Oakland County International Airport.
3. The new lease agreement, which will be effective April 1, 2014, is for a period of
three (3) years, at a lease rate of $425.00 per month per helicopter or $10,200
per year.
4. Under the new lease agreement the County also has the option to extend the
initial term of the lease an additional three years at a rental rate of $425.00 per
month per helicopter.
5. This agreement also provides the option to purchase fuel for $.35 above cost, but
does not include the cost of fuel for the helicopters.
6. Funding for this lease agreement for Fiscal Years 2014, 2015, and 2016 is
available in the Adopted Budget of the Sheriffs General Fund, Patrol Services
Division Rent line item; therefore no budget amendment is recommended at this
time.
MICE COMMITTEE
/771
FINANCE COMMITTEE VOTE:
Motion carried unanimously on a roll call vote with Taub and Crawford absent.
"Plc(
Resolution #14079 April 30, 2014
Moved by Taub supported by Quarles the resolutions (with fiscal notes attached) on the Consent Agenda
be adopted (with accompanying reports being accepted).
AYES: Gershenson, Gosselin, Hatcheft, Hoffman, Jackson, Long, Matis, McGillivray, Middleton,
Quarles, Runestad, Scott, Spisz, Taub, Weipert, Woodward, Zack, Bosnic, Dwyer. (19)
NAYS: None. (0)
A sufficient majority having voted in favor, the resolutions (with fiscal notes attached) on the Consent
Agenda were adopted (with accompanying reports being accepted).
I HEREBY APPROVE THIS RESOLUTION
CHIEF DEPUTY COUNTY EXECUTIVE
ACTING PURSUANT TO MCL 45.559A (7)
STATE OF MICHIGAN)
COUNTY OF OAKLAND)
I, Lisa Brown, Clerk of the County of Oakland, do hereby certify that the foregoing resolution is a true and
accurate copy of a resolution adopted by the Oakland County Board of Commissioners on April 30, 2014,
with the original record thereof now remaining in my office.
In Testimony Whereof, I have hereunto set my hand and affixed the seal of the County of Oakland at
Pontiac, Michigan this 30 th day of April 2014.
Lisa Brown, Oakland County