Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Economic Development topic
No spam. Unsubscribe anytime.
Council forwards NCAR/RARA license agreement to finance after extended discussion of terms, fees and operations
Summary
Councilors agreed to send a proposed license agreement with the Reno Air Racing Association (RARA/NCAR) to the finance committee. The agreement would set a long-term framework for air races at the Roswell airport, include a possible 30-year term after initial review, require extensive insurance and outline revenue-sharing and operational duties.
Councilors voted to forward a proposed license agreement with the Reno Air Racing Association (RARA/NCAR) to the finance committee after an extensive presentation by staff and supporters.
Staff said the draft merges an earlier memorandum of understanding into a single license document and clarifies term, operations, financial arrangements and responsibilities. Under the draft, RARA would hold a waiver period around the event during which it would control certain airport grounds; if the event proves economically sustainable after an initial three-year period, the license would convert to an automatic series of five-year renewals extending up to 30 years in total. The agreement contemplates the city appropriating up to $300,000 to cover public-safety and event services the city typically provides (police, fire, sanitation) in support of the event.
Financial provisions summarized in the meeting packet included a $50,000 base payment for certain premises and a per-day, per-vehicle parking fee structure (including $1 per day per parking spot, $5 per day for unimproved RV spots and $10 per day for RV spots with water and electricity if improvements are provided). Staff noted that airport-owned land, lodgers-tax rules and other property distinctions will affect which revenue stream applies. The license would require RARA to maintain large commercial general-liability insurance (transcript references a $100,000,000 policy) and broad indemnification language to protect the city; staff advised that the coverage is intended to be more than adequate for event liability.
Staff and councilors discussed operational supports — hangar space (the city committed to a capped contribution for hangars, not an open-ended obligation), auxiliary services, volunteer recruitment and a schedule of facility improvements supported by DOT and other partners. Staff cited an estimated 10-year gross-receipts-tax impact in the packet (approximately $4.5 million GRT over 10 years, $45 million in assessed impact mentioned in presentation materials); ticket sales were said to begin Saturday with early-bird periods for prior buyers. Council agreed to send the license agreement to finance for detailed fiscal and legal review.
Ending: Councilors directed the agreement to the finance committee; staff and RARA representatives said they will continue coordination on insurance, hangar arrangements, staging and volunteer recruitment and will return to council with finance and legal recommendations.
