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20-1082ORDINANCE NO.20- 1082 AN ORDINANCE OF THE CITY OF DENTON AUTHORIZING THE CITY MANAGER TO EXECUTE THE THIRD AMENDMENT TO THE AIRPORT LEASE AGREEMENT BETWEEN THE CITY AND NEBRIG PROPERTIES, L,P. RELATiNG TO LEASED PREMISES AT THE DENTON ENTERPRISE AIRPORT; AND PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, the City of Denton (“City” or “Lessor”) leased certain property at the Denton Enterprise Airport (the “Airport”) to Nebrig & Associates, Incorporated on September 23, 1996 (the “Nebrig Lease”), as evidenced by Ordinance No. 96-216; and WHEREAS, the Nebrig Lease was amended on February 18, 1997, Ordinance No. 1997- 050, and again on October 5, 1999 to allow for the construction of hangers and a fuel farm, Ordinance 99-372 (as amended, the “Effective Lease”); and WHEREAS, Nebrig & Associates, Incorporated assigned the Effective Lease to Nebrig Properties, L.P., a Texas limited partnership (“Lessee”) in September 2000, as approved by City Council through Ordinance No. 2000-290; and WHEREAS, in February 2020, the City, through Ordinance 20-240, adopted a new Chapter 3 of the Code of Ordinances, entitled “Airports,” and related to Airport governance documents, including Airport Rules and Regulations and Airport Minimum Operating Standards; and WHEREAS, Lessor and Lessee desire to amend the Effective Lease to allow Lessee to utilize the newly adopted Chapter 3 of the Code of Ordinances, as well as the Airport Rules and Regulations, adopted in February 2020, to serve Lessee, Lessee’s tenants, and the Airport; and WHEREAS, the City Council finds that the Plan as amended is in the public interest; NOW, THEREFORE, THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS: SECTION 1. The recitals and findings contained in the preamble of this Ordinance are incorporated into the body of this Ordinance. SECTION 2. The City Manager, or his designee, is authorized to execute the Third Amendment to the Airport Lease Agreement between the City as Lessor and Nebrig Properties, L.P. as Lessee related to leased premises at the Denton Enterprise Airport, attached hereto at Exhibit A. SECTION 3. The City Manager, or his designee, is further authorized to carry out all duties and obligations of the City as specified in the Lease as amended herein. SECTION 4. This Ordinance shall become effective immediately upon its passage and approval. Aye Z ,/ k/- \// ,/ V/ ../‘ Nay Abstain Absent Chris Watts, Mayor: Gerard Hudspeth, District 1 : Keely G. Briggs, District 2: Jesse Davis. District 3 : John Ryan, District 4: Deb Armintor, At Large Place 5 : Paul Meltzer, At Large Place 6: PASSED AND APPROVED this the m©mjMMi ATTEST: ROSA RIOS, CITY SECRETARY ,_,#Za , /Ag APPROVED AS TO LEGAL FORM: AARON LEAL, CITY ATTORNEY DocuSign Envelope ID: 859D293C-5DF34CCC-B9EA-62A4EC3A7414 THIRD AMENDMENT TO NEBRIG & ASSOCIATES LEASE AGREEMENT DATED SEPTEMBER 23, 1996 STATE OF TEXAS § § § KNOW ALL MEN BY THESE PRESENTS: COUNTY OF DENTON WHEREAS, the City of Denton (“Lessor”) leased certain property at the Denton Enterprise Airport (the “Airport”) to Nebrig & Associates, Incorporated on September 23, 1996 (the “Nebrig Lease”); and WHEREAS, the Nebrig Lease was amended on February 18, 1997 and again on October 5, 1999 to allow for the construction of hangers and a fuel farm (as amended, the “Effective Lease”); and WHEREAS, Nebrig & Associates, Incorporated assigned the Effective Lease to Nebrig Properties, L.P., a Texas limited partnership (“Lessee”) in September 2000; and WHEREAS, Lessor and Lessee desire to amend the Effective Lease to allow Lessee to utilize the newly adopted Chapter 3 of the Code of Ordinances, as well as the Airport Rules and Regulations, adopted in February 2020, to serve Lessee, Lessee’s tenants, and the Airport; NOW, THEREFORE, in consideration of the mutual promises and agreements contained in this Amendment, including the recitals set forth above, the parties agree as follows: 1. Subsection A3(a) related to “Use of Leased Premises” of Article V of the Effective Lease is amended to read as follows: V. RIGHTS AND OBLIGATIONS OF LESSEE 3.sale of fuel, including Jet A and Av Fuel. (a) Sale of fuel to be provided via the above ground fuel system constructed by Lessee in the southeast seCtion of Parcel 2 and shall be for the use of Lessee and Lessee’s tenants, unless and except Lessee or Lessee’s tenant has (i) obtained a business permit pursuant the Chapter 3 of the Code of Ordinances, (ii) complied with all applicable laws and licensing to sell fuel to the public; (iii) met or exceeded all Airport Minimum Operating Standards related to sale of fuel to the public; and (iv) remit fees in accordance with the Airport Rates and Fees Schedule. 2. This Amendment is intended to amend the provisions of the Effective Lease, last amended pursuant to Ordinance No. 99-372, only to the extent expressly set forth above. All of the terms, covenants, provisions, and conditions set forth in the Effective Lease are ratified and confirmed except as expressly modified by this Amendment. This Amendment shall be binding upon and inure to the benefit of the respective successors and assigns of Lessor and Lessee. DocySiqn Envelope ID: 859D293C-5DF34CCC-B9EA-62A4EC3A7414 IN IWITNESS WHEREOF, the parties have executed this Amendment as of the J/\DaM p , 2020./ USSOR: a CITY OF DENTON Wday of ATTEST: ROSA RIOS, CITY SECRETARY It bb .„: THIS AGREEMENT HAS BEEN BOTH REVIEWED AND APPROVED as to financial and operational obligations and business terms.; DocuSlgned by: g'at aQa%By: Director – Airport, Capital Planning, Facilities Date Signed: 5/26/2020 APPROVED AS TO LEGAL FORM: AARON LEAL, CITY ATTORNEY LESSEE: NEBRIG PROPERTIES, L.P., a Texas limited Partnership By: DREWCY, INC. its General Partner By:Fa:I ffamm);iiant