Title
Airports, a division of the Chief Administrative Office, recommending the Board:
1) Approve and authorize the Assistant Chief Administrative Officer to sign Lease Agreement 3036, as well as any successive options, with REACH Air Medical Services, LLC for approximately 5,500 square feet of leasable land located at 3501 Airport Road, Placerville for a term of ten years, with the option for two additional successive ten-year terms commencing on November 15, 2026, with an initial annual rate of $5,544; and
2) Authorize the Assistant Chief Administrative Officer to sign any amendments to the Lease increasing the cost share cap related to the shared utilities noted in Section 2.E. of the lease agreement.
FUNDING: Revenue to Airports of approximately $5,544 annually.
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DISCUSSION / BACKGROUND
REACH Air Medical Services, LLC (REACH) provides critical care air- and ground- transport service to communities throughout California, Colorado, Hawaii, Nevada, Oregon and Wyoming. REACH employs hundreds of highly trained nurses, paramedics, pilots and aircraft maintenance technicians to provide service to patients using their fleet of medically equipped helicopters, airplanes and ground ambulances. REACH is requesting to lease approximately 5,500 square feet of land at the Placerville Airport to house a 24/7 flight crew. In addition to the ground lease revenue of approximately $5,544 annually, REACH will also enter into a tie-down agreement for their helicopter estimated at approximately $4,400 annually. REACH will also be purchasing a significant amount of fuel from the Placerville Airport which will provide a steady revenue source for the Airport.
Facilities staff are currently working with PG&E, REACH, and our Airport Consultant, Brandley Engineering, to complete the design for a new transformer, new panel board/electrical and new electrical conduits that will serve the REACH modular as well as the future Sheriff Hangar. Lease Agreement 3036 allows for a 50/50 cos...
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