TO: Board of Supervisors
FROM: Steven Lederer, Director of Public Works
REPORT BY: Mark Witsoe, Airport Manager
SUBJECT: Approve Amendment No. 3 to Agreement No. 230301B with Napa Jet Center, Inc. DBA Atlantic Aviation.
RECOMMENDATION
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Approve and authorize Amendment No. 3 to Agreement No. 230301B with Napa Jet Center, Inc., doing business as Atlantic Aviation, to extend the term of use of transitional space at the Napa County Airport to the end of the “Pioneering Period” or June 30, 2026. (Fiscal Impact: $55,752 Revenue; Airport Fund; Budgeted; Discretionary)
[4/5 vote required]
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BACKGROUND
Napa County Agreement No. 230301B was executed on February 7, 2023 with Atlantic Aviation for the purpose of providing space, through June 30, 2025, at the County’s new General Aviation Terminal located at 2000 Airport Road, for flight training services. This space is sublicensed to their flight training school operator which is a contractually required service provided by Atlantic Aviation, one of the Fixed Base Operators (FBOs) located at the Airport. Amendment No. 2, executed on March 27, 2024, provided for the subtenant to remain in Hangar 55 for the purpose of maintaining the flight school’s small aircraft fleet for the duration of the Agreement. The Agreement expired on June 30, 2025. This Amendment No. 3 extends the term of the Agreement through the FBO construction (“pioneering period”), estimated to be March 25, 2026 but in no case later than June 30, 2026. It additionally increases rent by the regional change in the Consumer Price Index (CPI), and effective July 1, 2025, increases the flat rate charge for utility use in Hangar 55 from $145 to $150 per month. Retroactively effective, on July 1, 2025, the rental rate for the two license areas increases to $2,872 per month for the office space and to $1,707 per month for the Hangar 55 premises. The County is authorized to enter into this space license pursuant to Government Code section 25536.
REQUESTED ACTION:
Approve and authorize Amendment No. 3 to Space License Agreement No. 230301B with Napa Jet Center, Inc., doing business as Atlantic Aviation, to extend the term of use of transitional space at the Napa County Airport to the end of the “Pioneering Period” or June 30, 2026.
FISCAL IMPACT
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Is there a Fiscal Impact? |
Yes |
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Is it currently budgeted? |
Yes |
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Where is it budgeted? |
Airport Operations Fund 5010, Subdivision 5010000 |
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Is it Mandatory or Discretionary? |
Discretionary |
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Discretionary Justification: |
Approval of Amendment No. 3 will facilitate efficient operation of the flight school services offered through Atlantic Aviation via a sublease. In addition, the Napa County Airport Enterprise Fund will continue to receive monthly income totalling $4,729 per month for the two space licenses until the completion of the FBO construction period, no later than June 30, 2026. |
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Is the general fund affected? |
No |
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Future fiscal impact: |
None |
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Consequences if not approved: |
The flight school operator, a required Atlantic Aviation service, would need to relocate to the FBO leasehold while it is under construction. This is not desirable because the operator has found it impractical to relocate their operation. |
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ENVIRONMENTAL IMPACT
ENVIRONMENTAL DETERMINATION: General Rule. It can be seen with certainty that there is no possibility the proposed action may have a significant effect on the environment and therefore CEQA is not applicable. [See Guidelines for the Implementation of the California Environmental Quality Act, 14, CCR 15061(b)(3)].