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(a) Except as expressly authorized under a lease or City-approved sublease, or as expressly authorized under a concession agreement or other permit issued by the City or the Airport Manager, a person must, before engaging in any of the following on the Airport, hold a current business activity permit issued under this section expressly authorizing the conduct of that business on the Airport:

(1) an aircraft maintenance or aircraft support facilities maintenance;

(2) mobile aircraft or storage tank fueling (wing & bulk) and/or defueling;

(3) water extraction from float plane basin;

(4) aircraft ground handling services;

(5) catering for in-flight meals;

(6) mobile food service business;

(7) chauffeur services.

(b) If the Airport Manager determines the action is in the best interest of the City, the Airport Manager may, as a condition of a business activity permit, limit the conduct of the Permittee’s business to one (1) or more specific locations on the Airport.

(c) A person who seeks a business activity permit under this section must submit a written request to the Airport Manager and must include:

(1) the non-refundable application fee specified in the City’s schedule of rates, charges and fees adopted by the City Council; and

(2) a written description of the services and operations the applicant proposes to conduct under the permit.

(d) The Airport Manager will grant a request for a business activity permit unless the Airport Manager determines that:

(1) the applicant has violated a provision of the Airport Regulations, FAA regulations, or the Kenai Municipal Code, which violation the applicant has not resolved to the Airport Manager’s satisfaction;

(2) the applicant has violated a material term of a contract, lease or permit with the City, which violation the applicant has not resolved to the Airport Manager’s satisfaction;

(3) the applicant is in arrears on a rental payment or other material financial obligation due the City;

(4) the proposed activity would interfere with or is otherwise incompatible with the security, safety, maintenance, or operation of the Airport;

(5) the proposed activity would violate:

(A) applicable law;

(B) the City’s obligations under revenue bonds issued in connection with the Airport;

(C) an exclusive right the City has granted to another person on the Airport;

(D) a covenant running with the land of the Airport; or

(E) an applicable requirement or Assurant to which the City is committed under a grant from the FAA issued in connection with the Airport; or

(6) the proposed activity would be inconsistent with sound airport planning.

(e) A decision by the Airport Manager to deny an application for a business activity permit will be in writing.

(f) As a condition of a business activity permit issued under this Section 10.05.015, the Permittee must:

(1) pay the business activity permit fee required by the City’s schedule of rates, charges and fees adopted by the City Council; and

(2) provide insurance coverage that the Airport Manager determines is comparable to the insurance coverage the City requires of a land leaseholder or terminal building space tenant operating a business like that authorized in the Permittee’s business activity permit.

(g) A business activity permit is not transferable and shall be issued for a term the Airport Manager determines is in the best interest of the City, but not exceeding five (5) years.

For purpose of this Section 10.05.015, business activity is conducted on the Airport if the activity, including any transportation offered or arranged by the operator of the activity:

(1) is conducted all or in part on the Airport; or

(2) derives business on the Airport and offers or arranges for transportation between an off-airport location and a location on the Airport.

(Memo dated 2-25-2015)