2.

*Approval of Vouchers

Construction Warrant Numbers 002597 – 002627 $1,873,489.46

Operational Warrant Numbers 100179 – 100430 $1,556,068.32

3.

*Lease Agreement for Building 1378, Suite 115 – Acme Concrete Paving, Inc. – Acme Concrete Paving utilizes 286 square feet as an on-site office through the duration of the Multiple Building Demolition project. The month-to-month agreement commenced May 1, 2007 and rent is approximately $15.40 per square foot per annum or $367.03 per month excluding Washington state leasehold tax. Staff recommends approval.

ABP

4.

*Lease Agreement for Building 1525 – Cobra Roofing Services, Inc. – Cobra Roofing will utilize the outside storage area of Building 1525 in January and will completely occupy the facility no later than April 15, 2008. The term shall be approximately four years commencing January 1, 2008. The rental rate shall be $3.42 per square foot per annum for 7,500 square feet of space and 41,340 square feet of outside storage. Staff recommends approval.

ABP

5.

*Fourteenth Amendment to Lease Agreement for Building 2805 and Land – Dix Corporation – Dix Corporation leases approximately 5,097 square feet of warehouse space and approximately 35,333 square feet of adjacent land in the Airport Business Park. The term of this agreement is for one year effective April 1, 2007. Total annual rent for the building and the land shall be $12,103.18 excluding Washington state leasehold taxes. Staff recommends approval.

ABP

6.

*Eleventh Amendment to Lease Agreement for Building 1378, Suites 119 and 120 – E & H Engineering – E & H Engineering utilizes approximately 1,015 square feet of office space. This month-to-month agreement allows for an annual rental adjustment effective June 1. The rent shall be $11.69 per square foot per annum or approximately $11,865.35 annually excluding Washington state leasehold tax. Staff recommends approval.

ABP

7.

*Third Amendment to Lease Agreement for Building 1424 – Spokane County Sheriff The Spokane County Sheriff has been a tenant of the Business Park for the past 19 years. They wish to continue leasing 9,135 square feet of warehouse space with an adjacent storage area of 4,681 square feet. The term of this agreement shall be one year commencing July 1, 2007. Total annual rent shall be $9,256.72 excluding Washington state leasehold tax. Staff recommends approval.

ABP

8.

*First Amendment to Lease Agreement for Building 1423, Bay D – Willow Bay, LLC d/b/a Willow Bay Cabinets – Lessee has requested to continue leasing 1,590 square feet of office and warehouse space on a month-to-month basis. The adjusted rental rate shall be $3.71 per square foot per annum or $491.58 per month excluding Washington state leasehold tax. Staff recommends approval.

ABP

9.

*First Amendment to Lease Agreement – Absolute Aviation Services – Absolute Aviation has relocated to their new hangar/repair facility which was completed in May 2007. The cost of additional tenant improvements has been added to the initial 20-year rent amortization schedule which will increase the rental rate $122.85 per month. Absolute leases approximately 5,591 square feet of warehouse/office space and shall pay $2,378.43 per month or $28,541.16 per annum excluding Washington state leasehold tax. Staff recommends approval.

SIA

10.

*First Amendment to Lease Agreement – Empire Airlines, Inc. – Empire Airlines has relocated to their new repair facility which was completed in May 2007. The cost of additional tenant improvements has been added to the initial 20-year rent amortization schedule which will increase the rental rate $98.78 per month. Empire shall pay $5,449.52 per month or $65,394.24 per annum excluding Washington state leasehold tax for 3,703 square feet of shop space, 10,024 square feet of hangar space and 12,000 square feet of ramp. Staff recommends approval.

SIA

11.

*Use Agreement – Aronson Security Group, Inc. – Aronson Security specializes in the installation and maintenance of card reader security systems. They were recently awarded a contract to upgrade the airport’s Lenel security system and a use agreement is required for them to access the airport on a regular basis. This month-to-month agreement requires no fees to be paid to the airport. The necessary certificate and documentation has been provided. Staff recommends approval.

SIA

12.

*First Amendment to Lease and Concession Agreement – Flight Deck EP, LP – At last month’s meeting, the Airport Board approved a lease and concession agreement for Flight Deck EP, LP to build a new hotel on airport property. This amendment changes the name from Flight Deck EP, LP to Flight Deck Spokane, LP which is necessary so the name of the lessee correctly matches the state of Texas certificate of formation for the limited partnership. Staff recommends approval.

SIA

13.

*Concession Agreement – FSH Communications, LLC – FSH Communications has been providing public telephone service to the traveling public under an agreement that expired May 31, 2007. The term of this new agreement shall be for three years effective June 1, 2007. FSH shall provide all telephone equipment, all local and long distance services as well as four prepaid calling card machines and shall pay monthly commissions. Staff recommends approval.

SIA

14.

*Second Amendment to Lease & Operating Agreement – Horizon Air Industries d/b/a Horizon Air, Inc. – With modifications to Horizon’s facility due to the TRACE project and the addition of a new signatory airline, an adjustment to Horizon’s leasehold was necessary. This amendment shall reduce their communication room to 75 square feet and their baggage makeup area has been amended to reflect joint use space. All other terms and conditions of the lease remain the same. Staff recommends approval.

SIA

15.

*Lease Agreement - International Ram Associates, LLC d/b/a International Ram Associates – International Ram provides checkpoint and skycap services at the airport and shall lease 145 square feet of office space in the main terminal. They shall pay $33.42 per square foot per annum or $403.83 on a month-to-month basis excluding Washington state leasehold tax. Staff recommends approval.

SIA

16.

*Operating Agreement – Northwestern Stage Lines, Inc. d/b/a Northwestern Trailways Northwestern Stage Lines operates bus service to and from various cities and has requested an operating agreement so they may provide service from the airport to the Spokane Intermodal Center beginning July 1, 2007. The agreement provides for the rules and regulations of the use of the Ground Transportation Center as well as fee provisions. Staff recommends approval.

SIA

17.

*Third Amendment to Lease Agreement – XN Air, LLC – Due to the need to relocate airport-owned access control equipment, XN Air has agreed to allow the airport to utilize a portion of their communication room for the installation of the equipment. XN Air has agreed to allow the use of this space throughout the term of their agreement and any exercised options. Staff recommends approval.

SIA

18.

*Use Agreement – Express Messenger Systems, Inc. – Express Messenger provides courier service for a cargo carrier at Felts Field Airport and has requested a use agreement. This month-to-month agreement provides for the rules and regulations that regulate accessing and driving on Felts Field. As a service provider for a tenant, Express Messenger shall pay a $25 per month fee. Staff recommends approval.

FF

19.

*Use Agreement – PCS-Cargo Washington, LLC – PCS-Cargo Washington provides courier service for a cargo carrier at Felts Field Airport and has requested a use agreement. This month-to-month agreement provides for the rules and regulations that regulate accessing and driving on Felts Field. As a service provider for a tenant, PCS-Cargo Washington shall pay a $25 per month fee. Staff recommends approval.

FF

20.

*Lease Agreement – David Byard Taylor and April Marie Taylor – The Taylors have requested a lease for approximately 7,700 square feet of unimproved land to construct a 2,500 square foot aircraft storage hangar at Felts Field. The term of the agreement shall be 25 years commencing upon beneficial occupancy with the option to renew for one 25-year option. The initial rental rate shall be $0.18 per square foot per annum or $1,386 per year plus Washington state leasehold tax. Staff recommends approval.

FF

Regular Agenda

21.

Taxi Concession Agreement – TC Transportation Services, LLC – Request for proposals for taxi services were published in May and two proposals were received on June 8, 2007. Based on the results of the evaluation, TC Transportation Services earned the highest overall score. The term of the agreement shall be two years and shall commence on August 1, 2007. They shall pay a minimum annual guarantee of $42,000 or eight percent of gross revenues, whichever is greater. Staff recommends approval.

SIA

22.

Resolution No. 05-07 – In the matter of establishing a development policy for non-aeronautical property at Spokane International Airport known as the Airport Tech Park Development. Staff recommends approval

SIA

23.

Resolution No. 04-07, Restricting Land Use in the Vicinity of the Airport – This resolution urges the City of Spokane and the County of Spokane to take all actions necessary to ensure that no incompatible land uses are approved that may jeopardize future flight operations at Spokane International Airport.

SIA

24.

Award Contract for Construction Services, Building 1100 Re-Roof Project – ICON Corporation – Bids for the Building 1100 re-roof project were received on June 5, 2007. Staff recommends acceptance of the lowest bid and award to the low bidder, ICON Corporation of Spokane in the amount of $129,733.45 which includes Washington state sales tax. Staff further requests authorization of expenditures of up to $10,000 for advertising, printing and other miscellaneous expenses incurred for this project.

ABP

25.

Award Contract for Design and Construction Management Services, Terminal Ramp – Reynolds, Smith and Hills, Inc. (RS&H) – An inspection of the existing aircraft operations area indicates the need for concrete panel replacement in multiple locations. Following the review of SOQs, staff recommends award of a contract for design and construction management services to RS&H contingent on successful negotiation of scope and fee. Staff further requests authorization of expenditures of up to $20,000 for advertising, printing and other miscellaneous expenses incurred for this project.

SIA

26.

Award Contract for Design and Construction Management Services, Air Cargo/UPS Building – USKH, Inc. – This project involves the design and construction of a new air cargo building on the eastside of the airfield. Following the review of SOQs, staff recommends award of a contract for design and construction management services to USKH, Inc. contingent on successful negotiation of scope and fee. Staff further requests authorization of expenditures of up to $20,000 for advertising, printing and other miscellaneous expenses incurred for this project.

SIA

27.

Award Contract for Design Services, Taxiway Rehabilitation and Airfield Lighting Upgrades – Taylor Engineering – The scope of this project includes two sections: (1) the evaluation of the existing pavement on Taxiway Alpha and the design for needed improvements and (2) airfield lighting upgrades. Following the review of SOQs, staff recommends award of design services to Taylor Engineering in the amount of $416,894. Construction management scope and fee will be negotiated once the design analysis is complete. Staff further recommends authorization of expenditures of up to $20,000 for advertising, printing and other miscellaneous expenses incurred for this project work.

SIA

28.

Award Contract for Construction Services, South Pilot Ramp – Acme Concrete Paving, Inc. – Bids for this project were received on June 7, 2007. Pending approval by the FAA to award, staff recommends acceptance of the low bid and award to the low bidder, Acme Concrete Paving, in the amount of $3,094,014 which includes Washington state sales tax. Staff further requests authorization of contingency funds of ten percent of the contract amount for miscellaneous expenses incurred for this project.

SIA

29.

Award Contract for Asbestos Abatement Services, Geiger Blvd. Properties – Phalon Abatement Services – Structures on three properties located on Geiger Blvd. are slated for abatement. Staff recommends award of a contract to Phalon Abatement Services, Inc. in the amount of $48,641.94 including Washington state sales tax. Staff further requests authorization of contingency funds in the amount of $10,000 to address unforeseen conditions and changes on the project.

SIA

30.

Award Contract for Demolition Services, Geiger Properties – Larson’s Demolition, Inc. – Bids from two qualified contractors for the demolition of three properties located on Geiger Blvd. were received on June 15, 2007. Staff recommends award of a contract to Larson’s Demolition in the amount of $59,941.77 including Washington state sales tax. Staff further requests authorization of contingency of funds in the amount of $10,000 to address unforeseen conditions and changes on the project.

SIA

Staff Reports

• Airport Director’s Report

The Airport Board may take action on other routine business issues as they may arise while the Board is in session.

Executive session to follow for discussion of litigation, personnel and real estate.

Note: The consent agenda (*) may be considered in a single action. Any Board member or anyone in the gallery may ask for the separation of any item from the consent agenda for individual consideration. Please notify the Board Clerk if you wish to make such a request.

The next scheduled Board meeting will be July 18, 2007 in the Airport Boardroom.