Human Resources Report

2.

*Approval of Vouchers

Construction Warrant Numbers   002592 – 002596    $     19,861.61

Operational Warrant Numbers     099832 – 100178    $1,640,054.15

3.

*Lease Agreement – Empire Airlines, Inc. – Empire Airlines has been a co-tenant with Absolute Aviation in Building 745.  Due to the necessary removal of Building 745 both companies will be relocating.  Effective April 18, 2007, Empire Airlines leases 1,590 square feet of space in Building 1423 for storage space.  The agreement is month to month and the rent is $5.32 per square foot per annum or $8,458.80 annually excluding Washington state leasehold tax.  Staff recommends approval.

ABP

4.

*Use Agreement – Sterling Savings Bank – Sterling Savings, a tenant of Building 1100, has requested a use agreement that will allow them to utilize airport owned conduit runs to enhance their operations.  The term of this agreement shall run concurrently with their lease agreement.  They shall be responsible for all maintenance and expenses related to the project and shall pay a one-time fee of $1,000.  Staff recommends approval.

ABP

5.

*Amendments to Service Building Lease Agreements – On-Airport Rental Car Operators – The service building lease agreements for the on-airport rental car operators expired December 31, 2006.  The agreements have been on a month-to-month holdover pending the outcome of the rental car enhancement project, which includes the construction of a new consolidated quick turnaround facility available for beneficial occupancy on August 1, 2008.  These amendments change the term of the agreements to month to month and adjust the rental rates effective June 1, 2007.  The rental car operators shall enter into lease agreements for the quick turnaround facility no later than December 31, 2007.  Until the new facility is constructed, the rent received shall be $329,288.40.  Staff recommends approval.

SIA

6.

*Fifth Amendment to Lease Agreement – Olympic Security Services, Inc. – Olympic Security has requested a reduction in their leasehold as they are no longer providing terminal checkpoint and skycap services to the airlines but continue to provide aircraft cabin cleaning services for United Airlines.  The term of this agreement expires October 31, 2007 and all other terms and conditions remain the same.  Lessee shall pay $24.85 per square foot per annum or $4,373.60 annually for 176 square feet of office space.  Staff recommends approval.

SIA

7.

*Ratification of Contract for Ground Transportation Center Remodel Project – Hartanov/Fuller General Contractors, Inc. – In April 2007, two companies were selected from the Small Projects Roster to submit bids for the remodel of the ground transportation center ticket counters and a pre-bid meeting was held on April 4, 2007.  To meet project requirements and to allow work to commence, a phone poll was conducted on April 23, 2007 to award the project.  The Engineering Committee and staff recommend ratification of a contract to the lowest bidder, Hartanov/Fuller, in the amount of $119,460 including Washington state sales tax.

SIA

8.

*Sixth Amendment to Custodial Contract – American Building Maintenance Co. – ABM has been providing janitorial service at Felts Field Airport since April 2002.  The contract expired on April 15, 2007 with an option to renew for one additional year.  Effective April 16, 2007, the cleaning fee shall be $2,259.49 per month or $27,113.88 annually.  Staff recommends approval.

FF

9.

*Fourth Amendment to Lease Agreement – Read Broadcasting, LLC – Read Broadcasting has had a lease agreement for an antenna site at Felts Field since 1992.  The term of the agreement expired April 30, 2007 and lessee wishes to exercise the five-year renewal option.  Effective May 1, 2007, the rent is adjusted to $516.12 per month or $6,193.44 annually excluding Washington state leasehold tax.  Staff recommends approval.

FF

10.

*Land Lease Agreement – Christian Sturm – Christian Sturm has requested a lease for approximately 6,650 square feet of unimproved land at Felts Field to construct a 2,500 square foot aircraft storage hangar.  The term of the agreement shall be 25 years commencing upon beneficial occupancy with the option to renew for one 25-year option.  The initial rental rate shall be $0.18 per square foot per annum or $1,197 per year plus Washington state leasehold tax.  Staff recommends approval.

FF

11.

*Land Lease Agreement – Sky Blues Brothers, LLC – The principal for Sky Blues Brothers has requested a lease for approximately 15,400 square feet of unimproved land to construct a 7,200 square foot aircraft storage hangar.  The term of the agreement shall be 25 years commencing upon beneficial occupancy with the option to renew for one 25-year option.  The initial rental rate shall be $0.18 per square foot per annum or $2,772 per year plus Washington state leasehold tax.  Staff recommends approval.

FF

12.

*Use Agreement – TJD Delivery d/b/a City Parcel – TJD Delivery provides courier service for Aeroflight Executive Services, a cargo carrier, at Felts Field Airport and has requested a use agreement.  This month-to-month agreement provides for the rules and regulations that regulate accessing and driving on Felts Field.  TJD shall pay a $25 per month fee.  Staff recommends approval.

FF

13.

*License to Use Airport Facilities – Northwest Biplane Fly-In – A group of aircraft owners are planning the bi-annual Northwest Biplane Fly-In scheduled July 20, 21, and 22, 2007 at Felts Field Airport and a license to use facilities is required.  Staff has met with the fly-in committee and is working closely with its members to assure that all safety, FAA and board requirements are met.  Staff recommends approval.

FF

Regular Agenda

14.

Award Contract, Rent-A-Car Design and Construction Management Services – Cortner Architectural Company – Statements of qualifications for the design and construction of a new Ready Return and Queuing Lot were received on March 23, 2007.  Oral presentations from three companies that submitted SOQs were conducted on April 12, 2007.  Staff recommends the award of design and construction management services to Cortner Architectural Company based on the successful negotiation of scope and fee.  Staff further requests authorization of expenditures of up to $20,000 for advertising, printing and other miscellaneous expenses incurred for this project work.

SIA

15.

Authorization of Award, Access Control System Upgrade – Aronson Security Group - This project consists of the purchase and installation of a new access control system in order to successfully integrate and continue with the existing access control system.  Aronson Security currently supports the airport’s system and has proposed a base bid to upgrade the access control system in the amount of $154,906.77.  Staff recommends approval.

SIA

16.

Sixteenth Amendment to Lease Agreement – County of Spokane, Geiger Corrections Center – Geiger Corrections Center has been a tenant of the Airport Business Park for over 28 years.  Effective June 1, 2007, this amendment allows lessee to add two (2) temporary structures that will be utilized for housing inmates.  Upon termination of agreement, lessee shall provide for the removal of all buildings and improvements under lease and shall also be responsible for any necessary environmental remediation caused by their occupancy.  Staff recommends approval.

ABP

17.

Concession and Lease Agreements, On-Airport Rental Car Operators – Avis, Budget, Dollar, Enterprise, Hertz, Thrifty, and Alamo/National – The previous agreements for on-airport rental car operators expired on December 31, 2006.  On March 20, 2007, the airport sent a notice inviting proposals to permit the operation of up to eight rental car concessions.  As a result of the RFP process, the airport received seven proposals with one operator proposing to dual brand.  The term of the new agreements shall commence June 1, 2007 and expire May 31, 2012.  Over the five-year term, the cumulative total rent received shall be $18,198,675.  Staff recommends approval.

SIA

18.

Lease and Concession Agreement – Flight Deck EP, LP – Flight Deck has requested a lease and concession agreement for the purposes of constructing a new hotel at the airport.  They shall lease approximately 4.75 acres and the hotel shall consist of approximately 52,231 square feet.  During the 15-month construction period, Flight Deck shall pay $0.12 per square foot per annum or $24,829.20 annually.  Staff recommends approval.

SIA

19.

Contract with Louise Kodis for Artwork in the Airport – In April 2006, the Airport Board approved the allocation of $50,000 per year for three years to enhance the presence of art in the airport.  For 2007, the cost of artwork by two local artists totals $45,000.  In 2008, in lieu of Steve Adam’s glass art installation, the Art in the Airport Committee recommends the installation of Louise Kodis’ sculptures and delaying Mr. Adams’ work until 2009.  The committee and staff also recommend board authorization to allocate 2008/09 funds to pay Ms. Kodis a not-to-exceed amount of $100,000 including all fees and applicable taxes.  The committee is developing a fundraising plan to pay Mr. Adams $45,000 necessary to complete the Art in the Airport project.

SIA

Staff Reports

·         Update on The Kitchen Center

·         Airport Director’s Report

Election of 2007/2009 Board Officers

The Airport Board may take action on other routine business issues as they may arise while the Board is in session.

Executive session to follow for discussion of litigation, personnel and real estate.

Note: The consent agenda (*) may be considered in a single action.  Any Board Member or anyone in the gallery may ask for the separation of any item from the consent agenda for individual consideration.  Please notify the Board Clerk if you wish to make such a request.

The next scheduled Board meeting will be June 20, 2007 in the Airport Boardroom.