(1) All persons applying for a lease for non-commercial aeronautical activity at a State-owned airport who will be constructing improvements to the lease property shall provide the Department evidence, in a form acceptable to ODA, of the applicant's financial capability and responsibility to complete the project, in one of the following forms:
- (a) A performance bond in the amount equal to the cost for constructing the proposed improvements, which may be supplied by a contractor;
- (b) An irrevocable letter of credit guaranteeing funds to complete the project;
- (c) An escrow agreement administered by a title and escrow company; or
- (d) A trust administered by a commercial bank.
- (2) At its option, the Department may require the prospective Lessee to obtain one or more of the above documents as proof of financial responsibility to complete the project.
Statutory/Other Authority
ORS 835.035, 835.040 & 835.112
Statutes/Other Implemented
ORS 935.035, 935.040, 835.112 & 836.055
History
AVIA 1-2002, f. & cert. ef. 9-3-02