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TO: BOARD OF SUPERVISORS
FROM: J. MICHAEL WALFORD, PUBLIC WORKS DIRECTOR
DATE: MAY 15, 1990
SUBJECT: DEVELOPMENT OF T-HANGARS AT BUCHANAN FIELD AIRPORT
SPF.C[ItIC REQUFSr(S)OR &BACKGROUND AND JUST7FICAIION
I. Recommended Action:
AUTHORIZE the Public Works Director to enter into negotiations for a final agreement with
Jerry Alves and Dean Lesher for the purpose of developing approximately eighty T-hangars at
Buchanan Field Airport.
II. Financial Impact:
This will generate approximately $95,380 per year following the initial construction. The initial
construction will generate $300 per month for a period of nine months.
II1. Reasons for Recommendations and Background:
See Page 2.
Continued on Attachment: X SIGNATURE-
RECOMMENDATION OF COUNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE
APPROVE OTHER
SIGNATURE(S):
ACTION OF BOARD ON MAY 15 lggn APPROVED AS RECOMMENDED_�OTHER
VOTE OF SUPERVISORS
✓ UNANIMOUS (ABSENT
AYES: NOES:
ABSENT: ABSTAIN: I hereby certify that this is a true and correct copy of
an action taken and entered on the minutes of the
HEW:dg Board of Supervisors on the date shown.
alves.bo ATTESTED: MAY 15 IND
PHIL BATCHELOR,Clerk of the Board
Orig Div: Airports of Supervisors and County Administrator
cc: County Administrator �tU1 �h�
Public Works Director e!► //J -- .Deputy
Public Works Accounting
Auditor/Controller
Aviation Advisory Committee
Federal Aviation Administration
Alves/L.esher
Alves/Lesher
May 15, 1990
Page 2
M. Reasons for Recommendations and Background:
On June 12, 1989, the Airport received bids for this site. Bids were received from Port-A-Port, Inc.
and Jerry Alves/Jed Garthwaite. Port-A-Port, Inc. has since gone out of business as its original
company was conceived and the Public Works Director and Airport staff do not recommend any
further consideration of Port-A-Port. In the original bid,Alves/Garthwaite bid 35.1 cents per square
foot and Port-A-Port, Inc. bid 35.5 cents per square foot.
In the interim, while the Airport staff was determining the status of Port-A-Port, Jerry Alves has
entered into a new partnership agreement with Dean Lesher and Jed Garthwaite has dropped from
the partnership agreement.
Alves/Lesher has advised the Airport that they are unable to secure financing for the project
amounting to somewhat over $2 million with the term of lease being twenty years. They are asking
for an extension of the term to thirty years. In exchange for this, they are willing to increase their
rent payments beginning the first of the sixth year by adding a percentage of gross income to their
lease (specific amount to be negotiated). If authorized, the negotiated agreement will be brought
back to the Board within three weeks.