5198ORDINANCE N0. 5196
AN ORDINANCE APPROVING AIT AGREEMENT BETS °PEEN THE CITY OF LITTLE
ROCK AND THE UNITED STATES OF AMERICA TO PROVIDE FOR THE EREC-
TION OF A HANGER IN THE LITTLE ROCK AIRPORT; AUTHORIZING ITS
EXECUTION ON THE PART OF TH CITY OF LITTLE ROCK AND FOR OTHER
PURPOSES :
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF LITTLE ROCK,
ARKANSAS
SECTION 1. That the Agreement between the City of Little
Rock, Pulaski County, Arkansas, and the United States of ,America,
a copy of which is hereinafter set forth in full, be, and the same
is hereby, in all respects, approved:
(An original copy of said agreement consisting of twelve
(12) pages of mimeograph copy is attached hereto and ex-
pressly made a part hereof)
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SECTION 2. That the Mayor of said City be and he is hereby
authorized and directed to execute such Agreement in quadruplicate on
jbehalf of the City of Little Rock, and the Clerk of said City of
Little Rock be, and he is hereby, authorized and directed to impress
and affix the official seal of said City to each of said four copies
of said Agreement and to attest such seal.
SECTION 3. That said Clerk be and he is hereby authorized and
directed to forthwith forward four copies of said ,Agreement, as exe-
cuted on behalf of said City, to the Federal Emergency Administration
of Public Works, Washington, D. C.
SECTION 4. That said Clerk be and he is hereby authorized and
directed to forthwith send to said Federal Emergency Administration
of Public Works, two certified copies of the proceedings of the City
Cauricil in connection with the adoption of this Ordinance including
the Ordinance its--If, and such further documents or proofs in con -
nection with the approval and execution of said Agreement as may be
required by said Federal Emergency Administration of Public Works.
SECTION 5. That whereas there are large numbers of unemployed
in the City of Little Rock and considerable sums of money are being
expended for the relief of such unemployed persons:
Whereas the Agreement hereinabove set forth will result in the
expenditure of funds by the United States of America in the employ-
ment of labor, thereby reducing the number of unemployed:
Whereas the rapid development of air transportation without
adequate flying facilities has greatly increased the dangers inci-
dental thereto;
Whereas said Agreement will enable the City of Little Rock to
obtain the use of a combination administrative building and airplane
hanger, thereby reducing the hazards incidental to air transportation;
and
Whereas it is necessary for the preservation of the public
peace, health and safety that this Ordinance shall become effective
without delay: an emergency is hereby declared to exist and this Or-
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in
ance shall go into immediate operation and shall become effec-
ive from and after its passage and approval.
Passed: January 28, 1975
Attest:
city clerk
Approved:
Mayor.
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P.17. 25221
AGREEI271T dated as of , 1935,
between the CITY OF LITTLE ROCK, Pulaski
County, a municipal corporation of the State
of Arkansas (herein called the "City "), and
the UNITED STATES OF A1=ICA (herein called
the "Government"), acting by and through the
Federal Emergency Administrator of Public
Works (herein called the "Administrator ").
1. Preliminary. By a lease (herein called the "Lease ") executed by the
City on December 28, 1931, and by F. H. Payne, the Assistant Secretary of Par, on
December 30, 1931, the Secretary of War (herein called the "Secretary ") leased to
the City certain -property owned by the Government and known as the Little Rock
Air Depot, Little Dock, Arkansas (herein called the "demised premises ") shown on
the blue print of map attached to the Lease, for a period of twenty -five (25) years
beginning January 1, 1932, with an option for renewal by the City for an additional
twenty -five (25) years, in consideration of the annual rental (herein called "net
rent ") of twelve hundred ($1200) dollars for the first nine years of the Lease to
be paid by the City to the Chief of Finance, U. S. Army, Washington, D. C., quarter-
ly in advance, and u-oon the terms and conditions of the Lease. The City wishes to
construct, or cause to be constructed, on the demised premises a combination admin-
istrative building and airplane hangar and has, therefore, made application (P.W.A.
Docket No. 2001) to the Administrator to include the construction of the said im-
provement in the comprehensive program of public works, to be prepared by him, and
to aid in the construction or financing thereof, all pursuant to Title II of the
National Industrial Recovery Act. The Administrator has approved the construction
of the combination administrative building and airplane hangar on the demised
premises and the necessary facilities in connection therewith, and the leasing
thereof to the City, all as hereinafter more fully provided.
2. Description of the Project. The Government will, subject to the con-
ditions hereinafter set forth, construct on the demised premises, in accordance
with the plans and specifications prepared in accordance with the wishes of the
City, but only if satisfactory to the Government (all as .'Hereinafter in Section 12
more fully provided), a combination administrative building and airplane hangar
with all the necessary facilities, appurtenances and equipment. The construction of
Docket No. 2001
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P.ST. 25221
said improvements, including, the improvements themselves, is herein called the
"Project ";
3. Use of Demised Premises by Government. The City shall permit the
agents of the Government and all contractors or sub - contractors engaged directly
or indirectly in the construction of the Project, including their agents and em-
ployees, to enter upon, use and occupy the demised premises, or any part or parts
thereof, at all times and in every manner, and to take any and all such action, do
any and all such things, perform any and all such functions and exercise any and
all such powers in connection with the Project as may be deemed by the Government,
or its agents, to be suitable or convenient in connection with the Project or in
carrying out the provisions or effectuating the purposes of this .Agreement and the
City agrees that any such entry, use or occupation shall not constitute a taking of
possession of the premises or any part thereof by the Government, and that no
rights, whether of action, or to abatement in rent, or otherwise, shall accrue to
the City by reason of any such entry, use or occupation by the Government of, or
exclusion of the City from, the premises or any part thereof, and the City, for
itself, its successors and assigns, hereby waives any and all such rights.
4. Final Cost of the Project. The City represents and agrees to and
with the Government that the final cost of the Project determined as hereinafter
provided, will not exceed $68,000. In determining such cost, there shall be in- —�
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P.W. 25221
said improvements, including the improvements themselves, is herein called the
"Project"
3. Use of Demised Premises by Government. The City shall permit the
agents of the Government and all contractors or sub - contractors engaged directly
or indirectly in the construction of the Project, including their agents and em-
ployees, to enter upon, use and occupy the demised premises, or any part or parts
thereof, at all times and in every manner, and to take any and all such action, do
any and all such things, perform any and all such functions and exercise any and
all such powers in connection with the Project as may be deemed by the Government,
or its agents, to be suitable or convenient in connection with the Project or in
carrying out the provisions or effectuating the purposes of this Agreement and the
City agrees that any such entry, use or occupation shall not constitute a taking of
possession of the premises or any part thereof by the Government, and that no
rights, whether of action, or to abatement in rent, or otherwise, shall accrue to
the City by reason of any such entry, use or occupation by the Government of, or
exclusion of the City from, the premises or any part thereof, and the City, for
itself, its successors and assigns, hereby waives any and all such rights.
4. Final Cost of the Project. The City represents and agrees to and
with the Government that the final cost of the Project determined as hereinafter
provided, will not exceed $68,000. In determining such cost, there shall be in-
cluded as part of the cost of the Project interest at 4% per annum upon the sums
expended for such purposes from the first day of the month during which such sums
shall be expended to the Date of Occupancy hereinafter referred to. The "final
cost" (whenever such term is used herein) of the Project shall mean the aggregate
of all costs of or in connection with the Project, including (but without limita-
tion) the cost of the construction of the Project, the cost of preparing, printing,
executing and recording any leases or other instruments, all assessments and re-
cording and other fees, the cost of all legal opinions furnished to, and the fees
of special counsel employed by the Government in connection with the Project, cost
of superintendence and all miscellaneous costs during construction, interest at 4%
per annum upon all sums expended by the Government from the first day of the month
during which such sums shall be expended to the Date of Occupancy, and such other
costs as the Government may, in its reasonable discretion, allocate to the cost of
the Project. The determination of the final cost of the Project by the Government
shall be final and conclusive for all purposes.
Docket No. 2001 2
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P; W. 25221
The "reimbursable cost" (whenever such term is used herein) shall mean
the final cost of the Project less an amount which the Government shall determine
to be 30% of the cost of labor and materials employed upon the Project.
5. Modification of Lease; Additional Rent. Upon completion of the Proj-
ect the Government and the City will enter into an indenture (herein called the
"Indenture "), modifying the Lease, substantially in the form of Exhibit A hereto
annexed, with such changes and additions as the Government may require or approve,
whereby the Government will lease the Project,to the City, for a period of twenty -
one (21) years, or less, beginning; on January 1, 1936, or such later date as the
Government shall determine ti2e Project to be completed (January 1, 1936, or such
later date, as the case may be, being herein called the "Date of Occupancy"), upon
the terms and conditions of the Indenture and for the following additional consider-
ations:
(a) The payment by the City to the Administrator on or before
November 1 in each year, in respoct of additional rental
(herein called the "additional rent ") for the use and occupancy
of the Project for the yearly rental period ending on the thirty -
first day of December in the years 1936 -1955, both inclusive,
next succeeding the November 1 u1Pon which such payment is made,
of an amount equal to 6.401% of the reimbursable cost of the
Project and an amount equal to 29.643/ of the reimbursable cost
of the Project in the year ending December 31, 1956; provided,
however, that if the Lease is renewed in accordance with the pro-
visions thereof and hereof for a term of twenty -five (25) years
beginning January 1, 1957 and ending December 31, 1981, instead
of making the final payment of 29.643 of the reimbursable cost
of the Project in respect of additional rent for the yearly rental
period ending December 31, 1956, the City may, at its option,
pay an amount equal to 6.401% of the reimbursable cost of the
Project on or before November 1 in each of the years 1956 -1960,
both inclusive; provided that the City give notice in writing to
the Administrator on or before October 1, 1956 of its intention
to renew the Lease and to postpone payment of the final install-
ment of additional rent as herein provided. In the event that
the Date of Occupancy, as determined by the Administrator, shall
be later than January 1, 1936, the City shall pay as additional
rental on November 1 of such year the full yearly rental payment
Docket No. 2001 3
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P.G. 25221 •
herein provided.
(b) The payment by the City to the Administrator, from time to time,
upon demand, of all reasonable expenses of whatever nature or
kind incurred by the Government in connection with the Project
or the Indenture;
(c) The payment b,, the City to whomever may be entitled thereto of
all costs of maintenance, operation and repair of the Project
from the Date of Occupancy to the end of the term of the Lease,
including, (but without limitation), recording fees and all re-
pairs or changes in or additions to the Project, whether struc-
tural or otherwise; and
(d) The due and prompt observance and performance of all the obli,-
tions, covenants, conditions and terms to be observed or performed
by the City under the Indenture.
It is the intention of the foregoing that all expenses of any sort whatever from
and after the Date of Occupancy shall be borne by the City, to the end that the
amounts payable to the Government as additional rent, pursuant to subdivision (a)
of this Section, shall be received and enjoyed by the Government as a net sum and
may be applied by it to its governmental purposes without diminution thereof for
any reason whatever.
6. Pledge of Revenues. The City covenants and agrees that it will pledge
and apply to the payment of the additional rent, all gross receipts of every kind
and description received from the operation of the Project and all other airport
facilities of the City (whether or not situated on the demised premises),both those
now existing and those hereafter constructed or operated, without credit or deduc-
tion of any sort whatsoever. The term "gross receipts" as used herein shall include
the following items without intending thereby to limit or restrict any proper defi-
nition of such term: (a) all amounts received by way of rental of space in the Proj-
ect, (b) all amounts received by way of rental of space in hangars, terminals and
other airport buildings, (c) all amounts received by way of rental of space for open
storage of planes, (d) all amounts received by way of rental of lockers and tool
boxes, (e) all amounts received by way of rental under all sub- leases and assigments
(if any), either wholly or in part, of the Indenture, (f) all receipts for mechanics'
and washers' services and repair shops, (g) all receipts from operation of field
lights,(h) charges for use of airport for commercial or other flying operations,(i)
gross profits from the sale of oil,gasoline and supplies, (j) all amounts received from
Docket No. 2001 4
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P. W. 25221
concessions, including (but without limitation) news and candy stands, lunch rooms
and restaurants, vending machines, checking and parcel rooms, (k) all amounts re-
ceived from rental of rooms and hotel accommodations and from coin boxes and soda
fountains, and (1) all amounts received from the sale of seats in grand stand and
admission to the demised premises and from the operation of parking spaces for
automobiles.
7. Application of Gross Receipts. Until all the amounts required to be
paid as additional rent under this Agreement have been paid to the Administrator,
the City will deposit the gross receipts of the City from the Project and all other
airport facilities of the City (whether or not situated on the demised premises),
as received, in a bank or banks which are members of the Federal Reserve System and
of the Federal Deposit Insurance Corporation and which shall be satisfactory at
all times to the Administrator, in a special account or accounts (herein called the
"Revenue Fund "), the amounts in the Revenue Fund to be pledged to the security of
the obligations of the city under the Indenture and to be applied for the following
purposes and in the following manner:
(a) Rent Fund. On the Date of Occupancy (or so soon thereafter as there
shall be sufficient in the Revenue Fund for such purpose) and on the
first day of each month thereafter, the City will set aside from the
Revenue Fund, and deposit in a separate special account (herein
called the "Rent Fund ") an amount equal to one -tenth of the annual
additional rent (plus any deficiency from preceding monthly periods),
provided, however, that whenever the amount in the Rent Fund shall
equal two annual installments of additional rent plus one - twelfth
of the annual installment multiplied by the number of months from
the preceding November 1 to the end of the current calendar month,
the City shall, unless it shall then be in default under the terms
of the Indenture, be obligated to set aside in the Rent Fund on the
first day of each month an amount equal to one - twelfth of the annual
additional rent; provided further, however, that whenever the amounts
in the Rent Fund are sufficient to meet all the remaining obligations
of the City hereunder and under the Indenture, no deposits need be
made in the Revenue Fund or Rent Fund. The monies at any time in
the Rent Fund shall be held for the benefit of the Government, and
shall be applied solely to the payment of the annual installments of
additional rent as the same shall respectively become due and payable.
(b) Revenue Fuaa Surplus. Any amounts remaining in the Revenue Fund
Docket No. 2001 5
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P.W. 25221
after settinn aside the Rent Fund shall be applied by the City to
the payment of the net rent and of the expenses of operation and
maintenance of the Project and the demised premises, and all amounts
not required for such purposes shall be set aside for additional im-
provements on the demised premises or other property of the City
adjacent thereto and similarly employed.
8. Rent Payable from General Fund of the City. If, at any time, the
amounts held in the Rent Fund and Revenue-Fund are insufficient to pay the annual
installments of additional rent and net rent when the same shall respectively be-
come due and payable, the City will pay the balance of all such installments out of
the general funds of the City.
9. Additional Improvements. '1e City will not install, or permit to be
installed, either on the demised premises, or on any adjacent property owned,
occupied or controlled by the City, any improvement or facility which in the judg-
ment of the Administrator will compete with the Project, without the prior written
consent of the Administrator and the Secretary.
10. Receipts from Additional Improvements. If the Government shall permit
the installation of additional hangars or other facilities, all receipts from the
operation of such facilities shall be deemed to be gross receipts and shall be
pledged and applied to the payment of the additional rent in the manner provided
b.' Section 7 of this Agreement.
11. Approval of Agreement and Indenture. Prior to the execution of this
Agreement, the Common Council of the City will have passed an ordinance setting
forth this Agreement (including Exhibit A) in full and authorizing and directing
the execution and delivery thereof, by the official or officials designated to sign
the same on behalf of the City. The City will also have passed an ordinance ap-
proving the Indenture and authorizing and directing the execution and delivery
thereof (with such insertions as may be required pursuant to the terms of t1111's
Agreement) by the official or officials designated to sign the same on behalf of
the City. The City will promptly send to the Administrator complete extracts from
the minutes of the meeting of the City Council showing all proceedings taken inci-
dent to such authorizations, including two copies of said resolutions, all duly cer-
tified, and five executed copies of this Agreement. The City will also have pro-
cured the approval of this Agreement and the Indenture by the Governor of the State
of Arkansas, and will promptly furnish to the Administrator a letter from said Gov-
ernor approving the same and authorizing the City to execute this Agreement and the
Docket No. 2001 6
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P.W. 25221
Indenture. The receipt of such extracts and of such letter all in form satisfactory
to the Administrator shall be a condition precedent to all obligations of the Gov-
ernment hereunder.
12. Construction of the Project. Forthwith upon the execution of this
Agreement, the City, if the Government shall request, will, or the Administrator
may, in his discretion, cause to be prepared working drawings, plans and specifica-
tions for the entire Project. The same shall, if prepared by the City, be sub-
mitted to the Administrator and approved by him. The City will also promptly upon
request, cause to be made such changes in said drawings, plans and specifications,
as the Administrator, after consideration, may request, and will promptly submit
to the Administrator for approval as aforesaid, revised drawings, plans and speci-
fications. Such drawings, plans and specifications shall cover so much of the Proj-
ect and be in such detail as the Administrator may require, and shall show that all
the work to be done thereunder will comply in all respects to the laws and require-
ments of the Federal, State, County and municipal governments, departments, bureaus,
or agencies having jurisdiction thereof. The cost of said drawings, plans and
specifications, or so much thereof as the Administrator shall approve, shall be
paid by the Administrator and included as past of the final cost of the Project.
The Administrator may, but without obligation on its part so to do, re-
quest the approval by the City of any architect engaged by the Administrator, any
contracts with such architects and drawings, plans and specifications prepared by
them. The City hereby designates and approves Tom Harding, Donaghey Building,
Little Rock, Arkansas, as architect for all the purposes of this Agreement and for
all architectural purposes in connection with the Project, and the City hereby ap-
proves the execution of the contract or contracts between the Government or the
Administrator and said Tom Harding, in such form and for all or so much of the work
in connection with the Project as the Administrator, in his discretion, may deter-
mine. The City agrees that it will promptly act upon any matter submitted for its
approval hereunder. The City will also submit or cause to be submitted to the Ad-
ministrator, reliable estimates of all construction costs, showing, among other
things, to the satisfaction of the Administrator that the final cost will not exceed
$68,000, if completed in accordance with the foregoing drawings, plans and specifi-
cations.
In the event that the Administrator shall approve the afores ^id drawings,
plans and specifications, and shall be satisfied that the Project will be completed
within the cost herein referred to, the Government, acting by and through the
Docket No. 2001 7
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P.T. 25221
Administrator, will (subject always, however, to the terms and conditions of this
Agreement) promptly commence the Project and cause the same to be constructed in
accordance with the drawings, plans and specifications as aforesaid.
13. Conditions Precedent to the GovernmentIs Obligations. The Govern-
ment shall be under no obligation to begin the Project, or having began the same to
continue the Project.
(a) Financial Condition and Budget. If in the judgment of the Adminis-
trator, the financial condition of the City shall have changed un-
favorably in a material degree from its condition as theretofore
represented to the Government, or the City shall have failed to
balance its budget satisfactorily or shall have failed to take
action reasonably designed to bring the ordinary current expenditures
of the City within the prudently estimated revenues thereof; or
(b) Cost of Project. If the Administrator shall not be satisfied that the
Project can be completed at a final cost (as herein defined) of not
exceeding $68,000; or
(c) Compliance. If the Administrator stall not be satisfied that the City
has complied with all the provisions contained or referred to in this
Agreement, theretofore to be complied with by the City; or
(d) Legal Matters. If the Administrator shall not be satisfied by decision
of the Supreme Court of Arkansas, or otherwise, that the City has the
power and authority to lease the Project from the Government; to pledge
the gross revenues received from the operation of the Project for the
payment of the additional rent; to agree to pay, out of the general
funds of the City, any balance of any installment of additional rent
and any expenses of operation and maintenance of the Project, in the
event that said gross revenues are insufficient for such purposes; or
shall not be satisfied as to all other legal matters and proceedings
affecting the City, the Project and the Indenture; or
(e) Approval of Plans and Specifications. If the plans and specifications of
the Project shall not have been approved by the Secretary, the Administra-
tor and the Aeronautical Division of the Department of Commerce of the
Government; or
(f) Representations. If any representation made by or on behalf of the City
in this Agreement or in the City's application or in any supplement there-
to or amendment thereof, or in any document submitted to the Government
Docket No. 2001 8
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P. W. 25221
by the City shall be found by the Administrator to be incorrect or in-
complete in any material respect; or
(g) Litigation. If any litigation or other proceedings shall be instituted
by or against the City which might, in the judgment of the Government,
adversely affect the City, the Project, or the Indenture.
No waiver by the Government, express or implied, of any such condition shall
constitute a waiver thereof as applied to any subsequent obligation of the City
under this Agreement.
14. Construction Contracts. All construction contracts entered into by
the Government and all subcontracts for work on the Project shall be subject to
the rules and regulations adopted by the Administrator to carry out the purposes
and control the administration of the National Industrial Recovery Act and acts
amendatory thereof and supplemental thereto, irrespective of any increase in cost
by reason thereof (and whether or not the cost would thereby be increased beyond
the limitations hereinabove provided for and thereby release the Government from
its obligations hereunder). The Government may, from time to time, in its dis-
cretion or to comply with.any orders of the Administrator or other regulations under
said Acts, modify the provisions of any such contracts in such manner as it may
deem desirable.
15. 'Representations and Warranties. The City represents and warrants
as follows:
(a) Litigation. No litigation or other proceedings are now pending or
threatened which might adversely affect the construction and opera-
tion of the Project, the financial condition of the City or the
Indenture;
(b) Financial Condition. The character of the assets and the financial
condition of the City are as favorable as at the date of the City's
most recent financial statement, furnished to the Government as a
part of its application, and there have been no changes in the
character of its assets or in its financial condition except such
changes as are necessary and incidental to the ordinary and usual
conduct of the City's affairs;
(c) Fees and Commissions. It has not and does not intend to pv any
bonus, fee or commission in order to secure the agreement of the
Government hereunder;
Docket No., 2001 9
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P. T. 25221
(d) Affirmation. Every statement contained in this Agreement, in the
City's application, and in any supplement thereto or amendment
thereof, and in any other document submitted to the Government is
correct and complete, and no relevant fact materially affecting the
City, the Project or the Indenture, or the obligations of the City
under this Agreement has been omitted therefrom.
16. Waiver. Any provision of this Agreement may be waived or amended
with the consent of the City and the written approval of the Administrator and the
Secretary, without the execution of a new or supplemental Agreement.
17. Supplemental Instruments. Upon request the City will furnish such
data, agreements and other instruments as the Government may deem necessary or
desirable in connection with the performance of the obligations of the City under
this Agreement or the Indenture.
18. Agreement Not for the Benefit of Third Parties. This Agreement is
not for the benefit of any person or corporation other than the parties hereto,
their respective successors or assigns, and no person or corporation, except the
parties hereto, their respective successors or assigns, shall have any rights or
interest in or under this Agreement, except as expressly provided for herein.
19. Interest of member of Congress. No I;Zember of or Delegate to the
Congress of the United States of America shall be admitted to any share or part
of this Agreement, or to any benefit to arise thereupon.
20. Validation. The City hereby covenants that it will institute, prose-
cute and carry to completion, in so far as it may be within the power of the City,
any and all acts and things to be performed or done to secure the enactment of
legislation or to accomplish such other proceedings, judicial or otherwise, as may
be necessary, appropriate or advisable to empower the City to execute this Agree-
ment and the Indenture and to remedy any defects, illegalities and irregularities
in the proceedings of the City relative to the execution of this Agreement and the
Indenture and to validate the same and to make the same the valid and binding obli-
gations of the City, if in the judgment of the Government such action may be deemed
necessary, appropriate or advisable. The City further covenants that it will pro-
cure and furnish to the Government, as a condition precedent to the Government's ob-
ligations hereunder, a letter from the Governor of the State of Arkansas, stating
Docket No. 2001 10
(P. W. 25221) P. W. 25541
that if in the judgment of the Administrator it may be advisable to enact legisla-
tion to empower the City to enter into this Agreement or to remedy any defects, il-
legalities or irregularities in the proceedings of the City relative to the execu-
tion of this Agreement or to validate the same, said Governor will recommend and
cooperate in the enactment of such legislation.
21. Miscellaneous. This Agreement shall not become binding or obligatory
for any purpose until it shall have been duly executed on behalf of the Government
by the Administrator and approved by the Secretary and duly executed on behalf of
the City by the official or officials designated to sign the same on its behalf.
This Agreement shall be binding upon and inure to the benefit of the
parties hereto and their successors and assigns provided, however, that no rights
of the City hereunder shall be assignable except with the prior written consent of
the Secretary and the Administrator.
22. Namin of Project. The Project shall never be named except with the
written consent of the Administrator.
23. Undue Delay by the City. If in the opinion of the Administrator,
which shall be conclusive, the City shall delay for an unreasonable time in carry-
ing out any of the duties or obligations to be performed by it under the terms of
this Agreement, the Administrator may cancel this Agreement.
24. Construction of Agreement. If any provision of this Agreement shall
be invalid in whole or in part, to the extent it is not invalid it shall be valid
and effective and no such invalidity shall affect, in whole or in part, the valid-
ity and effectiveness of any other provision of this Agreement or the rights or
Docket No. 2001 11
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(P. "J. 25221)
P. W. 25541
obligations of the pa..rties hereto, provided, in the opinion_ of the Administrator,
the Agreement does not then violate the terms of the National Industrial Recovery
Act, approved June 16, 1933, and acts emendator;, thereof and supplemental thereto.
WITIV "ESS W."�REOF, the CITY OF LITTLE ROCK and the Ui'IM STATES OF
AP.IERICA, have respectively caused this Agreement to be duly executed as of the
day and year first above written..
CITY OF ? ITTLE ROCK_
3 -,
(SAL)
ATTEST:
U`'ITED STATES OF Ai,�'ERICA
3 Y
Federal Emergency Administrator
of P,Liolic Works.
Approved:
SECRETARY OF WAR
By
The Assistant Secretary of ?.'Jar
Docket No, 2001 12
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(P W. 25:21) P. 7. 25541
EXHIBIT A
INDENTURE dated as of 193 ,
between the MMED STATES OF A`MRICA
(herein called the 'United Statest'),
acting by and through the Federal
Emergency Administrator of Public 'forks
(herein called the "Administrators'), and
the CITY OF LITTLE ROCK, Pulaski County,
a municipal corporation of the State of
Arkansas (herein called the "City►l).
WI EREAS, by an act (46 Stat. 1549) approved Riarch 4, 1931, the
Senate and House of Representatives of the United States in Congress assembled,
duly authorized the Secretary of War (herein called the "Secretary") to lease
to the City, for an indeterminate number of ;,rears, upon such terms and condi-
tions as the Secretary should deem advisable, such ;portions of the Little Rock
Air Depot, Arkansas, as were then or might thereafter become available for
leasing, reserving to the United States, however, the riYht to resume possession
and occuroy said tract, or any portion thereof, whenever in the judgment of the
President an emergency might exist that required the use and appropriation of the
same for the public defense; and
WHEREAS, by a lease (herein called the "Leases) executed by the City
on December 28, 1931, the United States acting by and through the Secretary
let to the City the aforesaid property known as the Little Rock Air Depot,
Arkansas (herein called the "demised premises") shown on the blueprint of map
attached to the Lease and made a part thereof, for a term of twenty --five (25)
years from January 1, 1932, with the option of renewal by the City for an
additional twenty"five (25) years, to which Lease reference is hereby made for
all and singular the terms, provisions, conditions and reservations thereof; and
dated
'+EREAS, the Lease was modified by the parties thereto by an agreement
, 1935; and
WIMREAS, the United States acting by and through the Administrator has
constructed upon the demised premises at its own cost and expense, pursuant to
the request and in accordance with the wishes of the City, a combination adminis-
trative building and airplane hangar (herein called the "Project,l), all as more
fully set forth in the application of the City to the Administrator (P..W*A.
Docket No. 2001
P. IV. 25221
Docket No. 2001), which Project has been constructed under the terms of an
agreement (herein called the "Agreement") dated
, 1935 between
the City and the United States acting by and through the Administrator; and
'+AREAS, in consideration of the construction of the Project, the City
has agreed to pay additional rental for the use and occupancy of the demised
Premises, all as more fully provided in the Agreement and in this Indenture; and
'iMP,.EAS, the parties hereto desire to enter into this Indenture to
cover the use of the Project by the City and the payment by the City of additional
rental, and said parties desire to modify the said Lease, to express their said
intention and agreement, all as hereinafter more fully set forth:
NOW, THEREFORE, IT IS 1«UTUALLY AGREED AS FOLLOWS:
FIRST: In addition to the annual rent (herein called the "net rent')
required to be paid pursuant to the Lease, as amended to -wit: Twelve Hundred
($1200) Dollars annually for the first nine years of the term of the Lease, the
City hereby covenants and agrees to pay to the United States on or before Novem-
ber 1 in each of the years 1936 to 1955, both inclusive, unless the Lease is
sooner terminated as therein and hereinafter provided, in respect of additional
rental (herein called the °additional rent") for the use and occupancy of the
Project, an amount equal to
, and will pay to the United States
on or bef ore November 1, 1956, an amount equal to $
however, that instead of making said payment of $
, provided,
on or before
November 1, 1956, the City may, at its option, pay an amount equal to $
on or before November 1 in each of the years 1956 to 1959, both inclusive; pro-
vided, that the City shall have given notice in writing to the Administrator on
or before October 1, 1956, of its intention to renew the Lease and to postpone
payment of the final installment of additional rent as herein provided. It is
further agreed that each of said payments shall be made at such place or places
as may be requested by the Administrator, or other duly designated agent of the
United States.
SECOND: The City covenants and agrees that it will pledge and apply
to the payment of the additional rent, all gross receipts of every kind and
description received from the operation of all the airport facilities of the
City (whether or not situated on the demised premises), both those now existing
and those hereafter constructed or operated, without credit or deduction of any
sort whatsoever. The term 'gross receipts" as used herein shall include the
Docket No. `'.001 2
P. W. 25221
following items without intending thereby to limit or restrict any proper
definition of such term: (a) all amounts received by way of rental of space
in the Project, (b) all amounts received by way of rental of space in hangars,
terminals and other airport buildings, (c) all amounts received by way of
rental of space for open storage of planes, (d) all amounts received by way
of rental of lockers and tool boxes, (e) all amounts received by way of rental
under all sub -- leases and assignments (if any), either wholly or in part, of
this Indenture, (f) all receipts for mechanicst and washerst services and re-
pair shops, (g) all receipts from operation of field lights, (h) charges for
use of airport for commercial or other flying operations, (i) gross profits
from the sale of oil, gasoline and supplies, (j) all amounts received from
concessions, including (but without limitation) news and candy stands, lunch
rooms and restaurants, vending machines, checking and parcel rooms, (k) all
amounts received from rental of rooms and hotel accommodations and from coim
boxes and soda fountains, and (1) all amounts received from the sale of seats
in grand stand and admission to the demised premises and from the operation
of parking spaces for automobiles.
THIRD: Until all the amounts required to be paid as additional rent
under this Indenture have been paid to the Administrator, the City will deposit
the gross receipts of the City from all the airport facilities of the City
(whether or not situated on the demised premises), as received, in a bank or
banks which are members of the Federal Deserve System and of the Federal Deposit
Insurance Corporation which shall be satisfactory at all times to the Adminis-
trator, in a special account or accounts (herein called the "Revenue Fund "), the
amounts in the Revenue Fund to be pledged to the security of the obligations of
the City under this Indenture and to be applied for the following purposes and
in the following manner:
(a) The City will set aside from the Revenue Fund, on the first day
of each month, and deposit in a separate special account (herein
called the "Rent Fund ") an amount equal to one —tenth of the annual
additional rent (plus any deficiency from preceding monthly
periods), provided, however, that whenever the amount in the
Rent Fund shall equal two annual installments of additional
rent plus one -- twelfth of the annual installment multiplied by
the number of months from the preceding November 1 to the end
Docket No. 2001 3
• P. W. 25221 •
of the current calendar- month, the City shall, unless it shall
then be in default under the terms of this Indenture, be obli-
gated to set aside in the Rent Fund on the first day of each
month an amount equal to one-twelfth of the annual additional
rent; provided further, however, that whenever the amounts in
the Rent Fund are sufficient to meet all the remaining obligations
of the City hereunder no deposits need be made in the 3evenue Fund
or Rent Fund. The monies at any time in the Rent Fund shall be
held for the benefit of the United States, and shall be applied
solely to the payment of the annual installments of additional
rent as the same shall respectively become due and payable.
(b) Any amounts remaining in the Revenue Fund after setting aside
the Rent Fund shall be applied by the City to the payment of
the net rent and of the expenses of operation and maintenance
of the Project and of the demised premises, and all amounts
not required for such purposes shall be set aside for additional
improvements on the demised premises or other property of the
City adjacent thereto and similarly employed.
FOURTH: If, at any time, the amounts held in the Rent Fund and
Revenue Fund are insufficient to pay the annual installments of additional rent
and net rent when the same shall respectively become due and payable, the City
will pay the balance of all such installments out of the general funds of the City.
FIFTH: The City will not install, or permit to be installed, either
on the demised premises, or on any adjacent property owned, occupied or controlled
by the City, any improvement or facility which in the judgment of the Admin-
istrator will compete with the Project, without the prior written consent of the
Administrator and the Secretary.
SIXTH: If the United States shall permit the installation of additional
hangars or other facilities, all receipts from the operation of such facilities
shall be deemed to be gross receipts and shall be pledged and applied to the
payment of the additional rent in the manner provided by Article THIRD hereof.
SEVENTH: The City will, at its own proper cost and expense:
(1) Pay to the Administrator from time to time upon demand all
reasonable expenses of whatever nature or kind incurred by
the United States or the Administrator, in connection with the
Project, the improvements thereon or the furniture or equip-
ment situated therein, or the Indenture, including any other
Docket No. 2001 4
P. W, 25221
charges referable to said Project or the Indenture or the
additional rent herein reserved; and
(2) Pay to whomever may be entitled thereto, within thirty days
after the same shall become payable, all costs of maintenance,
operation and repair of the Project or the improvements thereon
or any furniture or equipment situated therein, including (but
without limitation) insurance, recording fees, assessments,
water rents and charges, extraordinary as well as ordinary,
of every kind and nature whatsoever, and including the cost
of all repairs to and changes in or additions to the Project
or the improvements in connection therewith, or the furniture
or equipment situated therein, whether such repairs, changes
or additions be structural or otherwise, as shall during the
term hereby granted become due or payable;
it being the intention of the parties hereto that the additional rent herein re-
served shall be received and enjoyed by the United States as a net sum, and that
the City shall pay any and all charges against or which might diminish said sums,
in such manner that said additional rent may be received and enjoyed by the United
States and applied by it to its governmental purposes without diminution thereof
for any reason whatever.
EIGHTH: In the event that the City shall make default in the perform-
, nce of any of the agreements, co�.ditions,covenants or terms herein contained,
tize United States may immediately, or at any time thereafter (but without any
obligation on its part so to do), perform the same for the account of the City,
acid any amount paid, or expense or liability incurred, by the United States, in
the performance of the same, shall be payable forthwith by the City and the same
may, at the option of the United States, be deemed to be additional rent hereunder
and be added to any additional rent then due or thereafter falling due hereunder;
and the United States shall have all the rights and remedies herein provided, or
as may be granted by law, in respect of said sums as if the same were herein
specifically reserved as additional rent for the demised premises; and the United
States shall have the further right to enter the demised premises for the purpose
of correcting or remedying any such default and to remain therein until the same
shall have been corrected or remedied, all at the expense of the City. No pay
ment of any sum or other performance of any agreement, condition, covenant or
term by the United States shall waive any default of the City or the right of the
Docket No. 2001 5
(P. W. 25221) P. W. 25541
United States to take such action as may be permissible hereunder by reason of
such default of the City.
In the event of a breach, or threatened breach, by the City of any of
the agreements, conditions, covenants or terms hereof, the United States shall
have the right of injunction to restrain the same, and the right to invoke en y
remedy allowed by law, or in equity, as if specific remedies, indemnity or reim-
bursement, were not herein provided for.
It is expressly covenanted that the rights and remedies given to the
United States in this Indenture are distinct, separate and cumulative remedies,
and that no one of them, whether or not exercised by the United States, shall
be deemed to be in exclusion of any of the others.
NINTH: If the said City shall fail to pay any of the additional rent
or net rent or any other sums payable hereunder, or if the United States shall
fail to collect any of the additional rent or net rent or any other sums payable
hereunder, at or within the time prescribed for said payment, such failure to
pay or to collect shall not be, and shall not be construed to be, a waiver of
the right of the United States to demand payment of or to collect said rent or
rents or other sums, due or past due, at any time daring the term of this Inden-
ture, or a waiver of the right to enter the demised premises, or a waiver of any
other rights or remedies of the United States hereunder.
TENTH: The City covenants that it will, at the Cityfs sole cost and
expense, repair and maintain the Project in good condition and working order and
in a manner satisfactory to the United States both outside and inside, and all
furniture and equipment situated therein, including (but without limitation) all
walks, roofs, floors, vaults, sidewalks, light, water and sewage systems, roads,
windows and other glass, plumbing, gas and electric fixtures and connections,
pipes, wires, conduits and all boilers, machinery, fixtures and appurtenances,
in, on or connected with the Project; and that the City shall replace and renew
with like kind and quality, any of the said things in, on or about the said
Project that may be too worn to be repaired, so that, at all times, the said
Project, furniture and equipment shall be in good order, condition and repair.
Throughout the term of this Indenture, the City shall, at its own ex-
pense, promptly observe and comply with all laws, orders, regulations, rules,
ordinances and requirements of Federal, State, County or other competent govern-
ment, and of each of them, and of any and all of its, or their departments,
bureaus or officials.
Docket No. 2001 6
P•. W. 25221
The obligations of the City under this paragraph and any other similar
obligations shall include changes, repairs and improvements of every kind,
structural or otherwise, and shall be binding in case of total as well as
partial destruction.
The City accepts the Project in its present condition and state
of repair and without any representations, statements or warraxities, express or
implied, in respect thereof, or in respect of its condition, or the use or
occupation that may be made thereof, and the United States shall in no event be
liable for any latent or other defects therein, whether structural or otherwise,
or for any damage caused thereby.
The United States shall not be responsible for any damage to property or
injuries to persons resulting from the use of the Project by the City, its
officers, agents, em-ployees or sub-- tenants, or any other persons that may be
in, on or about said Project at the City's or their invitation; and the City
shall hold the United States harmless from any and all such claims.
ELEVENTH: The City will not, without prior written approval of the
United States, make any alterations or improvements to the Project which will
affect the structural strength or the architectural appearance thereof.
'B ELFTH: The City shall not assign or sub -let the whole or any part
of the Project for the whole or any part of said term, without the iorior written
consent of the Administrator. Any consent to any assignment or sub —lease shall
apply only to the assignment or sub - -lease expressly consented to and shall not
constitute any waiver of the right of the United States to insist upon the secur-
ing of such prior written consent to any further or other assignment or sublease,
whether by the City or any assignee or sub - lessee.
THIRTEENTH: Throughout the term of this Indenture, if requested by
the United States, the City, at its own expense,
(1) Shall keep the Project and all furniture and equipment
situated therein insured for the benefit of the United States,
against loss or damage from such hazards, including (without
limitation) fire, tornado and lightning, as the United States
may from time to time request, to the full amount of the insurable
value thereof,
(2) Shall at all times maintain in good working order fire hydrants
for the protection of the demised premises and all buildings,
structures and improvements thereon, and
(3) Shall provide and keep in force, for the benefit of the United
States, general liability insurance, protecting the United States
Docket No. 2001 7
P. 17. 25221
against any and all liability occasioned by accident, or dis-
aster, in the amount of $20,000 in respect of any one accident
or disaster, and in the amount of $40,000 in respect of injuries
to any one person in any one accident or disaster.
All said policies shall be in form and with insurers satisfactory to the
Administrator and shall be made payable to the United States and the City as their
respective interests may appear.
Twenty days prior to the expiration of any policy or policies of such
insurance, the City shall -pay the premiums for renewal insurance, delivering to
the Administrator, within said period of time, the original policies and dl.plicate
receipts, evide.cing the payment thereof, maid if such premiums or any of them,
shall not be paid, and the policy or policies shall not be so delivered, then the
Administrator may procure and /or pay for the same, and any amounts so paid by the
United States, with interest thereon at the rate of six per cent (60) per annum
from the time of payment, shall become due and payable forthwith by the City, and
the same may, at the option of the Administrator, be deemed to be additional rental
hereunder and be added to any additional rent then due or thereafter falling due
hereunder, and the United States shall have all the rights and remedies herein pro-
vided, or as may be granted by law, in respect of said sums as if the same were
herein specifically reserved as additional rent for the demised premises; it being
expressly covenanted, ho,rever, that any such payments by the United States hereunder
shall not be deemed to waive or release the &faalt in the payment thereof by the
City, or the ri-ht of the United States to take such action as may be permissible
hitireunder by re,--.son of such default.
TI:e City shell not violate, or permit to be violated, any of the conditions
of any of said insurance policies; ._;nd the City shall so perform and satisfy the
requirements of the companies issuinj, such policies that, at all times, companies
of good standing, satisfactory to the Administrator, shall be willing to issue and
continue sucr: insurance.
W-herever, in this Indenture, policies of insurance, or bonds, are to be
provided for the benefit of the United States, the same may, at the option of the
Administrator, be assigned, transferred or made payable to, and shall secure, the
United States.
FOURTEENTH: If the Project, or any part thereof, or any of the furniture
or equipment at any time situated therein, shall during the term hereof, be destroyed
or damaged, in whole or in part, by fire, tornado, lightning, act of God or public
Docket No. 2001 8
P. W. 25221
enemy or by any other cause, whether or not within the control of the City, and
whet'r_er or not caused by the fault or neglect of the City, the same shall be
promptly repaired, rebuilt and replaced by the City, at its own expense, at
least to the extent of the value, and as nearly as possible to the character of
the building, structure or improvement, furniture or equipment existing immediately
prior to such occurrence; and the United States shall in no event be called upon
to repair, replace or rebuild said building, structure or improvement or any part
or parts thereof, or to pay any of the expense or cost thereof, beyond or in
excess of the proceeds of the insurance monies actually received by it and to be
applied to such repair, rebuilding or replacement, as herein provided.
The City shall repair, replace or rebuild said damaged or destroyed
building, structure or improvement, or said furniture or equipment,expeditiously
and shall commence such repair, replacement or rebuilding within thirty days from
the date on which such destruction or damage shall have occurred; the plans and
specifications for such repair, replacement or rebuilding shall be submitted in
advance to, and be subject to the prior written approval of the Administrator;
it being agreed, however, that if the City shall be in default in the performance
of any of the terms or covenants of the Indenture, the United States shall not be
obliged to make any payment of said insurance monies until and unless such default
shall have been cured.
If the work of repairing, replacing or rebuilding the Project or any part
thereof shall riot have been commenced within the - oeriod of thirty days as herein
provided, the United States shall have the right to terminate the Lease and this
Indenture, and the term hereby and thereby granted, by giving the City not less
titan thirty dayst written notice of such intention.
Before commencing the work of such repair, replacement or rebuilding,
the City shall, at its own expense, deliver to the Administrator a bond, in the
form and executed by a surety satisfactory to the Administrator, in a sum equal to
the estimated cost of such repair, replacement or rebuilding, which shall guarantee
to the United States:
(1) That said repairs, replacements or rebuilding will be completed
within a reasonable time satisfactory to the United States, to be
specified in said bond, in accordance with the plans and specifica-
tions therefor, which, prior to the delivery of the said bond, shall
have been submitted to, and shall have been approved in writing by,
Docket No. 2001 9
f ,
P. W. 25221
the Administrator;
(2) That the United States shall be indemnified and saved harmless of
and from any and all claims, counsel fees, loss, damages and ex-
pense, whatsoever, by reason of any work done or materials fur-
nished in connection with the said repairs, replacement or rebuild-
ing.
Before commencing said repairs, replacement or rebuilding, the City
shall, at its own expense, deliver to the Administrator a general accident or
public liability policy, including a policy for workments compensation, in the
name and for the benefit of the United States, such policy or policies to be in
form and with insurers satisfactory to the Administrator in such amount as may
be requested by the United States, not to exceed, however, the sum of $20,000.
At least ten days before the co.miencement of such repairs, replacement
or rebuilding, the City shall notify the Administrator of its intention to commence
the same and the City shall pay to the Administrator on behalf of the United States,
upon demand, the amount of any increase in premiums on insurance policies, cover-
ing the building, structure or improvement on account of any endorsement to be made
upon said policies governing the risk during the course of such repairs, replace-
ment or rebuilding.
In the event that the Project, or any part thereof, shall be made un
tenantable, as the result of such fire, tornado, lightning, damage or destruction,
the additional rent, taxes and all other sums herein provided for and made payable
by the City, shall in no event be abated on account of such untenantability, and
all obligations of the City hereunder, including the obligation to pay the addi-
tional rent herein reserved without abatement or set --off, shall continue; and, not-
withstanding any law now in force or hereafter enacted, the Lease or this Indenture
shall not terminate or be affected in any manner by reason of the damage to, or
the total or substantial destruction of the Project or any part thereof, or any
furniture or equipment at any time situated, therein or by reason of the untenant --
ability of the Project or any part thereof.
.FIFTEENTH; The City shall indemnify and save harmless the United
States from and against any and all claims, suits, actions, damages and /or causes
of action arising, during the term of the Lease and this Indenture, for any per-
sonal injury, loss of life and /or damage to property or other reason whatsoever, in
connection with this Indenture, the Project, the buildings or any part thereof,
Docket No. 2001 10
14 1 ' a . v
P. W. 25221
or the furniture or equipment therein, or upon the adjacent walks or roads, and
from and against all costs, counsel fees, expenses and liabilities incurred in
and about any such claim, the investigation thereof, or the defense of any action,
or proceeding, brought thereon, and from and against any orders, judgments and /or
decrees, which may be entered therein and against any and all costs, expenses,
claims or obligations (for whatever cause) which would or might diminish the net
return herein provided to be paid to the United States,
SIXTEENTH: The City shall permit the United States or its agents to
enter the demised premises, at all reasonable hours, for the purpose of inspecting
the same, or of making repairs that the City may neglect, or refuse to make, in
accordance with agreements, conditions, covenants and terms hereof.
SEVENTEENTH: The Project and all personal property and equipment now
situated thereon, are the sole and absolute property of the United States, or
shall be deeded such, and all fixtures, and all personal property placed within the
Project by the United States, during the term of this Indenture, shall be and im-
mediately become the sole and absolute property of the United States for all pur-
po se s.
EIGHTEENTH: No receipt of monies by the United States from the City,
after the termination of the Lease and this Indenture, in any lawful manner, shall
reinstate, continue or extend, the term of the Lease and this Indenture or affect
any notice theretofore given to the City, or operate as a waiver of the rights
of the United States to enforce the payment of any additional rent or other sums
then due or thereafter falling due, or operate as a waiver of the right of the
United States to enforce the payment of any additional rent or other sums then due
or thereafter falling due, or operate as a waiver of the right of the United States
to recover possession of the demised premises and /or the Project by proper suit,
action, proceeding or remedy;it being agreed that, after the service of notice to
terminate the Lease and this Indenture, or the commencement of suit, action or
suLuiary proceedings, or any other remedy, or after final order or judgrent, for
the possession of the said demised premises and/or the Project, the United States
may demand, receive and collect any monies due, or thereafter falling due, without
in any manner affecting such notice, proceeding, suit, action, order or judgment;
and any and all such monies collected shall be deemed to be payments on account of
Docket No. 2001 lI
P. N. 25221
the use and occupation of the Project or, at the election of the United States,
on account of the Cityts liability hereunder.
The failure of the United States to enforce any agreement, condition,
covenant or term, by reason of its breach by the City after notice had, shall not
be deemed to void or affect the right of the United States to enforce the same or
any other agreement, condition, covenant or term on the occasion of a subsequent
default or breach.
NINETEENTH: The agreements, conditions, covenants and terms herein
contained shall in every case apply to, be binding upon and inure to the benefit
of the respective parties hereto and of their successors and assigns with the
same force and effect as specifically mentioned in each instance where the United
States or City is named; provided, however, that no assignment by the City shall
be made of the Lease or this Indenture, unless approved by the United States.
TWENTIETH: The City shall and will, on the last day of the term of
the Lease, or its renewal or upon the sooner termination of said term, surrender
to the United States the Project and the demised premises and all buildings,
structures and improvemerts thereon together with all alterations, renewals and
replacements thereof, and all equipment and personal property of the United States
in or appurtenant to the de,_.ised premises, in as good order, condition and state
of repair as of the date of erection or installation, as the case may be.
T�7ENTY- FI ^_ST: Any notice to or demand upon the City shall be con-
clusively deemed to have been sufficiently given if delivered at the City Hall,
in the City of Little Rock, Arkansas, or deposited in the United States mails
in the City of Washington, D. C. or elsewhere, in a sealed, postage -prepaid
or franked envelope, or delivered with charges prepaid to any telegraph company
in the City of Washington, D. C. or elsewhere, for transmission, in either of
the said last two cases addressed to the City of Little Rock, Arkansas, or such
other address as the City shall subsequently specify in writing to the United
States for such purpose.
All notices and papers (except insurance policies) required to be
delivered to the United States shall, unless otherwise specified herein or sub-
sequently specified in writing to the United States, be delivered to the United
States care of the Federal Emergency Administrator of Public Works, Interior
Department Building, Washington, D. C., and any notice to or demand upon the
United States shall be conclusively deemed to have been sufficiently given if
delivered at the office of said Administrator in the City of Washington, D. C.,
Docket No. 2001 12
P. W, 25221
or deposited in the United States mails in the City of Little Rock, Arkansas, or
elsewhere, in a sealed,)ostagQ prepaid envelo1 e, or delivered, with charges pre-
paid, to any telegraph company in the City of Little Rock, Arkansas, or elsewhere,
for transmission, in either of said last two cases addressed to the United States
at such address as the United States shall subsequently specify in writing to the
City for such purpose.
Any such notice shall be deemed to have been given as of the time of
actual delivery or (in case of mailing) when the same Mould be received in due
course of post, or as of the time of such delivery for telegraphic transmission,
as the case may be.
BTENTY- SECOND: No Member of or Delegate to Congress shall be admitted
to any sha -re or part of this Indenture, or to any benefit to arise thereupon.
Tii't3NTY -TH' IRD: All of the covenants, terms, provisions, reservations
and conditions of the Lease shall continue and remain in full force and effect,
except as herein expressly modified.
PROVIDED, HOWEVER, and the Lease and this Indenture are on the express
condition that if the additional rent herein reserved, or any portion thereof, or
any of the net rent, charges or expenses, or any other sum or sums of money to
be paid by the City hereunder or under the Lease shall not be paid as and when the
same shall become due and payable, or if the City shall default in the performance
of any of the other agreements, conditions, covenants or terms herein contained,
or if there shall be an unauthorized abandonment by the City of the demised premises
and/or the Project, then the Lease and this Indenture and the term thereby granted,
as well as all the right, title and interest of the City hereunder and under the
Lease, shall, at the option of the United States, to be evidenced by the United
States giving the City not less than thirty days? notice in writing thereof, de-
termine and be void upon the date specified in said notice, unless prior thereto
said non - payment, default, or other cause of termination specified in such notice,
small have been made good or removed, all with the same force and effect (except
as to the Cityts obligations hereunder, which shall continue notwithstanding) as if
the expiration of time in such notice were the end of the term herein originally
demised; and the City shall on the date specified in the notice immediately quit
and surrender to the United States the demised premises and the Project, including
all buildings, structures and improvements erected thereon, and all other improve-
ments thereto, and the United States may enter into, or repossess the demised
premises and the Project, summary proceedings or otherwise and may remove all
Docket No. 2001 13
(P. M. 25221) P. W. 25541
persons therefrom and may have, hold and enjoy the demised premises and the Proj-
ect as of its full estate and interest therein; and the City hereby waives all
right to recover or gain possession of the said demised premises and the Project,
or to reinstate or to redeem, the Lease or this Indenture notwithstanding any law,
or decision now or hereafter in force and effect.
The liability of the City to pay the additional rent herein reserved and
all other slams which it is bound by the terms of the Lease and this Indenture to
pay, shall remain unaffected by the termination of the Lease and this Indenture
or any re -entry upon the demised premises, or any portion thereof, by the United
States, but all obligations of the City hereunder shall continue to the end of
the term of this Indenture (that is to say, until December 31, 1956, or, if the
City shall elect to postpone payment of the final installment of additional rent
pursuant to Article FIRST hereof, until December 31, 1959) as fully and to the
same extent as if the Lease and this Indenture had not been terminated and such
re -entry had not been made. The City shall, however, be credited with the net
amounts (after deduction of any and all expenses in connection therewith) real-
ized from any re- letting of the demised premises or any part thereof, but with-
out obligating the United States so to re -let said premises. Any re- letting may
be by the United States for its own account or as agent of the City, as the United
States shall prefer, and the City hereby confirms all such action by the United
States.
IN WITNESS MHEREOF the UNITED STATES OF AMERICA and the CITY OF LITTLE
ROCK have respectively caused this Indenture to be duly executed as of the day
and year first above written.
SEAL
ATTEST
UNITED STATES OF AP/fERICA
By
Federal Emergency Administrator
of Public Works
CITY OF LITTLE ROCK
By
Docket No. 2001 14