2008-129• s:\our documents\ordinances\08\airport self-fuel ordinance.doc
ORDINANCE NO. ,o~~- 1z /
AN ORDINANCE OF THE CITY OF DENTON, TEXAS, APPROVING AND
AUTHORIZING THE ESTABLISHMENT OF MINIMUM STANDARDS FOR SELF-
FUELING OF AIRCRAFT UTILIZING TENANT SELF-OPERATED FUEL FARMS AT THE
DENTON MUNICIPAL AIRPORT; AND PROVIDING AN EFFECTIVE DATE.
WHEREAS, the Airport Advisory Board desires to establish Minimum Standards for
self-fueling of aircraft via lease owned and operated fuel farms at the Denton Municipal Airport
("Airport"); and
WHEREAS, the Airport Advisory Board has recommended that an ordinance be ratified
establishing rules and regulations under which a tenant at the Airport may lease property from
the City of Denton and construct and operate a fuel farm for the purpose of fueling their own
aircraft for non-retail use only and on the day indicated herein and approved by the City Manager
or his designee; and
WHEREAS, the City Council deems it in the public interest to approve and establish said
ordinance; NOW, THEREFORE,
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS:
SECTION 1. The findings set forth in the preamble of this Ordinance are incorporated
by reference into the body of this Ordinance as if fully set forth herein.
SECTION 2. Tenants at the Denton Municipal Airport are hereby authorized to enter
into lease agreements with the City of Denton to construct and operate a fuel farm for the
purpose of fueling their own aircraft for non-retail use only under the conditions approved by the
City Manager or his designee thereto subject to compliance with all applicable local, state and
federal laws, including without limitation, the following additional conditions:
1. Tenant must demonstrate the purchase of a minimum of 96,000 gallons of fuel per year
through a bill of lading.
2. Said fuel farm shall have a minimum of one 10,000 gallon above ground tank.
3. A fuel flowage fee of 6% of wholesale fuel purchase price shall be paid to the Denton
Municipal Airport on a monthly basis.
4. Tenant must provide to Airport Management evidence of $2,000,000 General Liability
insurance to include coverage for Premises/Operations, Products/Completed Operations,
Contractual Liability, and Independent Contractors.
5. Tenant must provide. to Airport Management $1,000,000 Environmental Impairment
Liability insurance and Environmental Spill insurance or bond.
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6. Tenant must provide a Storm Water Prevention Plan (SWPP) and Spill Prevention
Containment Control (SPCC) program at tenant's cost. Said plan shall be reviewed and
approved by Airport Management.
7. Tenant and said fuel farm must comply with all current and future state, local, and federal
laws, rules, and regulations for handling and displacing aviation fuel in compliance with
NFPA 407 (for fuel farm and truck).
8. On the tenant insurance policies, tenant must indemnify the City of Denton against any
and all liability and name the City of Denton as an Additional Insured.
9. Tenant must meet with the City of Denton Fire Marshal and Airport Management prior to
any action to ensure placement of fuel farm, so as not impede future development.
10. The minimum payment of fuel flowage must be equal to 6% of wholesale cost of 96,000
gallons, which must be met within two years and subsequent years or be in default.
Should the tenant default, the City of Denton shall have the option to have and hold the
property free and clear and the tenant's environmental spill insurance or bond shall be
utilized to address any and all environmental compliance issues.
SECTION 3. This ordinance shall become effective immediately upon its passage and
approval.
PASSED AND APPROVED this the day of 2008.
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PERK R. McNEILL, MAYOR
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
BY:
APPROVED AS TO LEGAL FORM:
EDWIN M. SNYDER, CITY ATTORNEY
BY: .