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09/30/2009 5190.6B <br />Page 12-2 <br />12.3. Review of Agreements. <br />a. Scope of FAA Interest in Leases. <br />The FAA does not review all leases, <br />and there is no requirement for a <br />sponsor to obtain FAA approval <br />before entering into a lease. <br />However, when the ADO or regional <br />airports division does review a lease <br />agreement, the review should include <br />the following issues: <br /> <br />(1). Determine if a lease has the <br />effect of granting or denying rights <br />that are contrary to federal statute, <br />sponsor federal obligations, or FAA <br />policy. For example, does the lease <br />grant options or rights of first refusal <br />that preclude the use of airport <br />property by other aeronautical <br />tenants? <br /> <br />(2). Ensure the sponsor has not <br />entered into a contract that would <br />surrender its capability to control the <br />airport. <br /> <br />(3). Identify terms and conditions <br />that could prevent the airport from <br />realizing the full benefits for which it <br />was developed. <br /> <br />(4). Identify potential restrictions that could prevent the sponsor from meeting its grant and other <br />obligations to the federal government. For example, does the lease grant the use of aeronautical <br />land for a nonaeronautical use? <br /> <br />b. Form of Lease or Agreement. The type of document or written instrument used to grant <br />airport privileges is the sole responsibility of the sponsor. In reviewing such documents, the <br />FAA office should concentrate on determining the nature of the rights granted and whether <br />granting those rights may be in violation of the sponsor’s federal obligations. The most <br />important articles of a lease to review include: <br /> <br />(1). Premises. What is being leased – land or facilities or both? Does the lease include only the <br />land and/or facilities that the aeronautical tenant can reasonably use or has the tenant been <br />granted options or rights of first refusal for other airport property and/or facilities that it will not <br />immediately require? Do options or rights of first refusal grant the tenant an exclusive right by <br />In reviewing airport leases and agreements, the airports district <br />office (ADO) or regional airports division should give special <br />consideration to those arrangements that convey the right to offer <br />services and commodities to the public. In particular, ensure that <br />the sponsor maintains a fee and rental structure that will make <br />the airport as self-sustaining as possible and that the facilities of <br />the airport are made available to the public on reasonable terms <br />without unjust discrimination. (Photo: FAA)