HomeMy WebLinkAbout~Master - approving Development Agreement Summit Agricultural Group, LLC for new private hangar at the Ames Municipal Airport RESOLUTION NO. 22-482
RESOLUTION APPROVING DEVELOPMENT AGREEMENT WITH SUMMIT
AVIATION, LLC FOR A NEW PRIVATE HANGAR
AT THE AMES MUNICIPAL AIRPORT
FOR THE CITY OF AMES,IOWA
WHEREAS, Summit Aviation, LLC (Summit)proposed to construct a new private hangar
at the Airport.For the project,potential locations on Airport property were evaluated in accordance
with the Airport's Master Plan; and,
WHEREAS, Summit proposed a site plan through the City's Development Review
Committee (DRC) process and received conditional approval for the site northwest of the old
terminal building where the Ramp Service building is located; and,
WHEREAS, the cost to demolish the Ramp Service building to make way for the new
hangar is estimated at $60,000. Impact 7G conducted an environmental investigation of the
building and found small amounts of asbestos in the roofing material and the window glazing. This
is estimated to increase the cost of demolition by up to $30,000; and,
WHEREAS, to expedite the project, Summit has agreed to take the lead and contract for
the demolition and asbestos abatement. In return for this work, the Development Agreement calls
for the City to provide an annual rent rebate of $6,000 to reimburse Summit for the actual
demolition costs, not to exceed$90,000 (no more than 15 years); and,
WHEREAS, because this building is listed in the Fixed Base Operator (FBO) agreement
with the City, an addendum provided in the Development Agreement requires that Summit
compensate the FBO for the loss of the building rental revenue. This side agreement will be
between Summit and the FBO only.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Ames,
Iowa, that the Development Agreement with Summit Aviation, LLC for a new private hangar at
the Airport is hereby approved.
ADOPTED THIS 23rd day of August, 2022.
Renee Nall, City Clerk John A. Haila, Mayor
Introduced by: Corrieri
Seconded by: Betcher
Voting aye: Beatty-Hansen, Betcher, Corrieri, Gartin, Junck, Rollins
Voting nay: None Absent: None
Resolution declared adopted and signed by the Mayor this 23rd day of August, 2022.