744 

14 CFR Ch. I (1–1–19 Edition) 

Pt. 152, App. D 

do not apply to the covenant against exclu-
sive rights and real property acquired with 
Federal funds. Any breach of these covenants 
on the part of the sponsor may result in the 
suspension or termination of, or refusal to 
grant Federal assistance under, FAA admin-
istered programs, or such other action which 
may be necessary to enforce the rights of the 
United States under this agreement. 

18. 

Conditions and limitations on airport use. 

The Sponsor will operate the Airport as such 
for the use and benefit of the public. In fur-
therance of this covenant (but without lim-
iting its general applicability and effect), the 
Sponsor specifically agrees that it will keep 
the Airport open to all types, kinds, and 
classes of aeronautical use on fair and rea-
sonable terms without discrimination be-
tween such types, kinds, and classes. 

Pro-

vided, 

that the sponsor may establish such 

fair, equal, and not unjustly discriminatory 
conditions to be met by all users of the air-
port as may be necessary for the safe and ef-
ficient operation of the Airport; and 

Provided 

further, 

That the Sponsor may prohibit or 

limit any given type, kind, or class of aero-
nautical use of the Airport if such action is 
necessary for the safe operation of the Air-
port or necessary to serve the civil aviation 
needs of the public. 

19. 

Exclusive right. 

The Sponsor— 

a. Will not grant or permit any exclusive 

right forbidden by Section 308(a) of the Fed-
eral Aviation Act of 1958 (49 U.S.C. 1349(a)) at 
the Airport, or at any other airport now 
owned or controlled by it; 

b. Agrees that, in furtherance of the policy 

of the FAA under this covenant, unless au-
thorized by the Administrator, it will not, 
either directly or indirectly, grant or permit 
any person, firm or corporation the exclusive 
right at the Airport, or at any other airport 
now owned or controlled by it, to conduct 
any aeronautical activities, including, but 
not limited to charter flights, pilot training, 
aircraft rental and sightseeing, aerial pho-
tography, crop dusting, aerial advertising 
and surveying, air carrier operations, air-
craft sales and services, sale of aviation pe-
troleum products whether or not conducted 
in conjunction with other aeronautical ac-
tivity, repair and maintenance of aircraft, 
sale of aircraft parts, and any other activi-
ties which because of their direct relation-
ship to the operation of aircraft can be re-
garded as an aeronautical activity. 

c. Agrees that it will terminate any exist-

ing exclusive right to engage in the sale of 
gasoline or oil, or both, granted before July 
17, 1962, at such an airport, at the earliest re-
newal, cancellation, or expiration date appli-
cable to the agreement that established the 
exclusive right; and 

d. Agrees that it will terminate any other 

exclusive right to conduct an aeronautical 
activity now existing at such an airport be-

fore the grant of any assistance under the 
Airport and Airway Development Act. 

20. 

Public use and benefit. 

The Sponsor 

agrees that it will operate the Airport for 
the use and benefit of the public, on fair and 
reasonable terms, and without unjust dis-
crimination. In furtherance of the covenant 
(but without limiting its general applica-
bility and effect), the Sponsor specifically 
covenants and agrees: 

a. That in its operation and the operation 

of all facilities on the Airport, neither it nor 
any person or organization occupying space 
or facilities thereon will discriminate 
against any person or class of persons by rea-
son of race, color, creed, or national origin in 
the use of any of the facilities provided for 
the public on the Airport. 

b. That in any agreement, contract, lease 

or other arrangement under which a right or 
privilege at the Airport is granted to any 
person, firm, or corporation to conduct or 
engage in any aeronautical activity for fur-
nishing services to the public at the Airport, 
the Sponsor will insert and enforce provi-
sions requiring the contractor— 

(1) To furnish said service on a fair, equal, 

and not unjustly discriminatory basis to all 
users thereof, and 

(2) To charge fair, reasonable, and not un-

justly discriminatory prices for each unit or 
service; Provided, That the contractor may 
be allowed to make reasonable and non-
discriminatory discounts, rebates, or other 
similar types of price reductions to volume 
purchasers. 

c. That it will not exercise or grant any 

right or privilege which would operate to 
prevent any person, firm or corporation op-
erating aircraft on the Airport from per-
forming any services on its own aircraft with 
its own employees (including, but not lim-
ited to maintenance and repair) that it may 
choose to perform. 

d. In the event the Sponsor itself exercises 

any of the rights and privileges referred to in 
subsection b, the services involved will be 
provided on the same conditions as would 
apply to the furnishing of such services by 
contractors or concessionaires of the Spon-
sor under the provisions of such subsection 
b. 

21. 

Nonaviation activities. 

Nothing contained 

herein shall be construed to prohibit the 
granting or exercise of an exclusive right for 
the furnishing of nonaviation products and 
supplies or any service of a nonaeronautical 
nature or to obligate the Sponsor to furnish 
any particular nonaeronautical service at 
the Airport. 

22. 

Operation and maintenance of the airport. 

The Sponsor will operate and maintain in a 
safe and serviceable condition the Airport 
and all facilities thereon and connected 
therewith which are necessary to serve the 
aeronautical users of the Airport other than 
facilities owned or controlled by the United 

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