Explanation
BACKGROUND: By Ordinance No. 2069-90, the City formed the Columbus Municipal Airport Authority, and on September 23, 1991, by Ordinance No. 1904-91, the City conferred upon the Authority certain powers authorized to a municipal port authority under Chapter 4582, Ohio Revised Code. That same date, an agreement was entered into between the City and the Authority defining airport operation and use at both Port Columbus International Airport and Bolton Field. That agreement was amended in 1995 and in 1999. As recited in the agreement, the City loaned $4 million to the former Airport Division in 1983, 1986, and 1990, but before this money could be repaid, with interest, by the Authority, the parties were required to negotiate an agreement to provide to the Authority the fair market rental value for past and future use by the City of airport property at both fields as public golf courses.
This ordinance authorizes the City to enter into a third amendment of the original airport agreement which resolves all outstanding issues between the City and the Authority by netting out against the debt owed by the Authority past and future golf course rental, by providing for transfers of property between the Authority and City, and by providing to the Authority all powers authorized to a port authority under Chapter 4582. The amendment has been approved by the Federal Aviation Administration and the Recreation and Parks Commission.
FISCAL IMPACT: The Authority will pay the City $2,853,886, to be deposited into the General Fund, as the obligation remaining due to the City after golf course rentals and property exchanges are taken into account. The Authority has also agreed to cancellation of a $350,000 obligation of the City to the Authority associated with an Executive Jet relocation.
Title
To authorize an amendment to the Airport Operation and Use Agreement between the City of Columbus and the Columbus Airport Authority and to authorize the latter to exercise all powers available to a port authority under Chapter 4582, Ohio Revised Code, and to declare an emergency.
Body
WHEREAS, the City of Columbus and the Columbus Airport Authority have reached agreement to resolve outstanding issues between them related to payment of an outstanding debt of the Authority to the City, payment by the City to the Authority for past and future rentals of two airport properties being used by the City as public golf courses, and the powers of the Authority under Chapter 4582, Ohio Revised Code; and
WHEREAS, an emergency exists in the usual daily operation of the City of Columbus, in that it is immediately necessary and in the City's best interest to receive, without delay, money due and owing from the Authority so as to provide for the efficient operation of the City, and for the immediate preservation of the public health, peace, property, safety, and welfare; Now, Therefore,
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
Section 1. The Mayor of the City of Columbus is authorized and directed to execute on behalf of the City of Columbus Amendment No. 3, attached hereto as Exhibit A, the exhibits to the agreement being on file in the offices of the City Clerk, to the Airport Operation and Use Agreement, dated September 23, 1991, between the City and the Columbus Airport Authority, or a substantially identical agreement that the City Attorney certifies to the Mayor contains no material deviation form the attached exhibit.
Section 2. The City Auditor is authorized and directed to deposit the $2,853,886 received by the City from the Authority, pursuant to Amendment No. 3, to the credit of the General Fund, Fund No. 10.
Section 3. The City Auditor is authorized and directed to cancel any encumbrance created pursuant to Ordinance No. 1510-98.
Section 4. The Columbus Airport Authority, as of the effective date of Amendment No. 3 and continuously thereafter, shall possess all of the powers and authority provided or available to a port authority under the provisions of Chapter 4582 of the Ohio Revised Code, as the same may be amended from time to time.
Section 5. That for the reasons stated in the preamble hereto, which is hereby made a part hereof, this ordinance is hereby declared to be an emergency measure and shall take effect and be in force from and after its passage and approval by the Mayor or ten days after passage if the Mayor neither approves nor vetoes the same.