SR-11-C (16)
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AP:HED:mh
city council Meeting 01/24/89
Santa Monica,
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JAN 2 4 1989
California
TO:
Mayor and Council
FROM:
City staff
SUBJECT:
Recommendation to Increase Permanent and Transient
Aircraft Tiedown Rental Rates and Hangar site Rental
Rates at Santa Monica Municipal Airport
Introduction
This report recommends that the city council adopt a resolution
increasing tiedown space rental rates for monthly and transient
aircraft and rates for the rental of hangar sites at Santa Monica
Airport effective February 1, 1989.
Background
The city charges a range of fees for permanent and transient
aircraft tiedown space and land sites for the parking of aircraft
in privately owned hangars, as shown below in Figure 1.
Fees
have not been increased since October, 1985, primarily due to the
onset of the Airport Development Project. since October of 1986,
construction at the Airport has resulted in a range of
inconveniences to pilots and it was determined to forego further
tiedown
rate
increases
until
the
various
City-sponsored
construction projects were completed.
Conversely, with completion of Airport construction, a much
improved environment for both based and transient airplanes is
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now available, as well as a number of pilot amenities that did
not previously exist.
The Airport has installed a new drainage system which prevents
rain water from sheeting across the runway. Taxiways and ramps
have been repaved or reconstructed and the runway has been crack
sealed. The installation of a new runway lighting system, newly
lighted taxiways and lighted parking aprons make night operations
safer and more convenient both on the ground and in the air.
Airfield security has also been increased. The new Airport
perimeter road and service roads provide safer, more convenient
vehicle access to tiedown locations. Finally I the new
administration building offers a pilots' lounge, flight planning
room, conference facilities and considerably expanded runway
observation areas.
The Santa Monica Airport Agreement with the Federal Aviation
Administration and the Federal Airport and Airways Improvement
Act provide limited guidance for rate setting pOlicies. The Act
and the Agreement state that facilities and services will be
available to the public on "fair and reasonable terms without
unjust discrimination. II It is Airport policy to be
self-supporting and to require that all Airport users pay their
fair share of operational and maintenance expenses.
One measure of the increase in costs to operate the Airport,
independent of the debt service generated by the redevelopment
program, is the increase in consumer prices as measured by the
Consumer Price Index (CPI). Airport lease agreements for ground
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parcels, office and shop space all contain regular rate increases
pegged to the CPl. Staff believes that tiedown rates also should
be subj ect to regular CPI adj ustments to be consistent with
federal standards.
A staff survey of local general aviation airports show that
tiedown rates at Santa Monica are at or below what is charged at
seven comparable airports in the region. Figure 1 shows that the
Airport currently charges six different rates for tiedowns:
FIGURE 1
CURRENT TIEDOWN SPACE RENTAL RATES AT
SANTA MONICA AIRPORT
MONTHLY & TRANSIENT TIEDOWN RATES
T-HANGAR RENTAL RATES
HANGAR SITE RENTAL RATES
(effective October 1, 1985)
1. Tiedown Rates
Transient Trainsient
Maximum Minimum
Wing Span Monthly Daily Half Hour
Single Engine $65 $5.00 $0.65
(to 43 feet)
Twin Engine $85 $7.00 $0.75
(to 43 feet)
43 to 49 feet $110 $10.00 $1. 00
49 to 55 feet $135 $13.00 $1. 25
55 to 61 feet $150 $15.00 $1. 75
over 61 feet $200 $20.00 $2.00
2. Hangar sites $85.00 per month
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The vast majority of the based fleet fall within the first two
rate categories.
Figure 2 represents comparable monthly rate data from the seven
genera 1 aviation airports surveyed.
FIGURE 2
MONTHLY TIEDOWN SPACE RENTAL RATES AT COMPARABLE
SOUTHERN CALIFORNIA AIRPORTS
AIRPORT
El Monte
Airport
SMALL WINGSPAN MEDIUM WINGSPAN LARGER
OR OR WINGSPAN
SINGLE ENGINE LIGHT TWIN OR HEAVY TWIN
$70.00 $119.00 $128.00
(to 40' span) (to 50' span) (50+ span)
$90.00 $115.00 $122.00
$65.00 $100.00 $154.00
(30'-40' span) (40'-50' span) (50+ span)
$78.00 $130.00 $130.00
SE TE
$65.00 $l19.00 $125.00
(to 40' span) (TE or 50' span)
$65.00 $97.00 $106.00
(to 40' span) (TE or 50' span)
$75.00 $110.00 $l40.00
(gross wgt . )
John Wayne
Airport
Torrance
Airport
Fullerton
Airport
Compton
Airport
Whiteman
Airport
Hawthorne
Airport
It has been more than three years since tiedown space rental
rates were last increased by the city council.
During that
period, the CPI for urban wage earners and consumers in the Los
Angeles-Long Beach-Anaheim, California area has risen by 11. 7
percent, as measured between September 1985 and October, 1988.
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The new rates still would be well within the range of fees at
comparable airports shown in Figure 2.
New Tiedown Categories
In comparing Santa Monica tiedown rates with rates at other
airports, staff also determined that the wingspan categories used
at Santa Monica did not sufficiently account for the differences
in space taken up by different types of general aviation
aircraft. Airports with charges based on wingspan rather than
number of engines, limit the initial wingspan category to 401,
rather than 43' feet which is the wingspan limit for the two
lowest rates at Santa Monica. At Torrance Airport, for example,
the monthly charge is only $65 for small wingspan or single
engine aircraft to 40 feet. Airplanes with wider wingspans pay
$100. Owners of similar airplanes with wingspans between 40 to
431 at Santa Monica pay only $65.
Both size and weight of an airplane effect the size of the
tiedown that is required. Larger, single engine airplanes are
wider, heavier and more difficult to maneuver requiring a tiedown
space that provides sufficient room to drive the airplane into.
Some smaller, twin engine airplanes have wingspans similar to the
singles, but the weight of these airplanes necessitates or makes
it preferrable to drive them into their parking place.
Small, single engine airplanes, which make up the majority of
Santa Monica t s based fleet, can be pushed into their tiedown
spaces with little difficulty. Airplanes of this type can be
closely nested together on the ramps and provide for the most
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efficient utilization of space per airplane. When more space is
higher rate.
required for drive-in convenience, the city should receive a
In addition to Torrance Airport, El Monte, Compton and Whiteman
airports, managed by the Los Angeles County Department of
Airports, also have wingspan categories which reflect these
differences in airplane types (see Fig. 2). Staff proposes to
recategorize tiedowns as indicated below in Figure 3, which also
shows the new rates as increased by the CPI.
FIGURE 3
PROPOSED PERMANENT AND TRANSIENT AIRCRAFT
TIEDOWN RENTAL RATES AND HANGAR SITE RENTAL RATES
AT SANTA MONICA MUNICIPAL AIRPORT
1. Tiedown Rates
Wing Span
Monthly
$ 73.00
Single Engine
(to 40 feet)
Twin Engine
(to 40 feet)
$ 95.00
40+ to 44 feet
44+ to 50 feet
50 +
$168.00
2. Hangar sites:
Transient Transient
Maximum Minimum
Daily Half Hour
$ 7.00 $0.90
$10.00 $1. 00
$123.00 $15.00 $1. 25
$151. 00 $20.00 $1.50
$25.00 $2.50
$123.00 Per Month
Under the new categories, owners of heavy, single engine
airplanes with wingspans under 40 feet could request to pay the
higher tiedown rate for the light twins and be provided with a
larger parking space, if available. Despite the new categories,
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tiedown rates for the majority of based aircraft on the field
will only be increased equivalent to the CPI increase for the
period from 1985 through 1988.
The new categories also better meet the facility requirements of
the new, consolidated Airport. New aircraft tiedown space
allocations were recommended as part of the Airport Master Plan.
The allocations represent standardized tiedown dimensions based
on such factors as wingspan, maximum length, standard space size,
depth of rows, taxilane width and density of aircraft per acre.
On the old Airport, with parking aprons sprawled over a 215 acre
site, such precision was unnecessary to meet the requirement in
the FAA Agreement that the Airport accommodate 550 based aircraft
and 40 transients.
~angar site Rentals
Staff proposes that the month-to-month rental rate for hangar
sites on which privately owned hangars are placed be the same as
the rate for aircraft tiedowns of the same size. (See fig. 3,
page 6 ).
The present based fleet mix includes 22 privately owned hangars:
that is, hangars not owned by the city but constructed or brought
on to ground parcels leased by the City to individual owners.
All of the ground leases have now expired. Even the smallest of
these hangars can accommodate twin engine aircraft. Twenty-one
of these hangars are 40 feet wide; one is 43 feet wide.
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Therefore, under the staff proposal, the charge for each space or
site would be $123.00 per month.
Transient Tiedown Rates
The staff proposal for daily rates for transient aircraft is also
shown in Figure 3 (page 6 ). Staff recommends that the first
two hours of transient parking be free. This is more consistent
with what is done at Airports throughout California and the
Southwest. It accommodates pilots who must land at the Airport
for food, gas and other necessities. After two hours, charges
accrue on half hour intervals, which is the existing policy. The
new daily rates are based on the philosophy that while transient
aircraft are welcome at the new Airport, they, too, must pay
their fair share of the cost of the improved facilities.
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Recommendation of the Santa Monica Airport Association
The Santa Monica Airport Association (SMAA) is a group comprised
of airplane owners, pilots and commercial aviation operators. In
successive meetings with representatives of the (SMAA), it was
agreed that the seven airports listed in Fig. 2 were "comparable"
to Santa Monica. The Association passed a resolution stating
that tiedown rates at Santa Monica Airport should be based on an
average of tiedown rates for five of the seven comparable
Airports, with the highest and lowest rates dropped out of the
equation.
Staff evaluated SMAA IS posi tion and determined that the
comparability method was not as sensitive to the impact of price
increases on Airport operations as the CPI. Moreover, the method
results in an inequitable burden on the owners of heavy single
and light twin engine airplanes. Under the SMAA plan, the rate
charged for light twins would jump 136 percent, an increase
having no relationship to actual increases in airport operational
expenses.
Figure 4 shows what the tiedown rates would be using the
"averaging" method proposed by the Association.
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FIGURE 4
RATE INCREASES AS PROPOSED BY THE
SANTA MONICA AIRPORT ASSOCIATION*
(Rates shown are the averages of rates at
El Monte, Torrance, Fullerton, Compton and Hawthorne airports.
See Figure 2.)
1. Tiedown Rates
Wing Span Monthly
single Engine $ 71. 00
(to 40 feet)
Medium Wingspan $116.00
or Light Twin Engine
Larger Wingspan $135.00
or Heavy Twin
2. Hangar Site: $135.00
*The SMAA did not object to the reclassification of tiedown
categories or to the new daily and hourly transient parking
rates.
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Airplane owners in the first category would benefit by $2.00 a
month over the staff proposal. But the owners of heavy single
engine airplanes and light twins would be charged $21.00 a month
more than the proposed CPI increase calls for and owners of twins
and single engine aircraft with wingspans from 40 to 44 feet
would see their monthly rates jump from the current $85 a month
to $135.00 or $50 a month. Conversly, two high end categories of
aircraft -- mostly business and corporate aircraft -- would be
eliminated. This means the owners of the largest, most
expensive airplanes would be given an unfair price break. In
some cases, these owners would end up paying less than they
currently do.
consequently, staff believes basing tiedown rate increases on the
CPI is a more balanced approach to fee increases. It distributes
the burden of increased operational expenses more fairly over the
entire fleet and does not discriminate against light twins.
Budgetary Fiscal Impact
Revenues from monthly and transient tiedown space rentals were
estimated at $311,000 for FYI988-89. (The estimate included an
across-the-board CPI increase of 10% for the 12 month period.)
Estimated permanent and transient revenues for seven months at
current tiedown rates, without the 10 percent CPI adjustment, and
for five months with the 11.7 percent CPI increase are
$297,892.85. Airport revenue account 33-911-214-000-000 would
thus be reduced by $l3,107. Increased land lease revenues from
the individually owned hangar land leases would total an
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additional $1,936 , resulting in an increase in Airport revenue
account 33-911-213-000-000 to $705,336.
Recommendations
Ci ty staff respectfully recommends that the city Council adopt
the attached resolution increasing rates for monthly and
transient aircraft tiedown and land lease rates for privately
owned hangars as outlined in Figure 3, effective February 1, 1989
and revise FY1988-89 revenues as follows:
-Reduce account 33-911-214-000-000 by $13,107.
-Increase account 33-911-213-000-000 by $1,936.
Prepared by: Hank Dittmar, Airport Director
ccOl2489
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BE?ORE DISTRIBU?IO~ C~K CONTENT OF ALD FOR CITY
DISTRIBUTION OF RESOLUTION ~ j77s- 7 ORDINANCE ~
ERK'S
ACTIOi'<
Councll ~eetlng Date
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Introduced:
Agenda Item #
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VOTE: Aff~rmatlve:
Negatlve:
Abstaln:
Absent: ~~
PROOF VOTES WITH ANOTHER ~ERSON BEFORE ANYTHING
DISTRIBUTION: ORIGINAL to he slgned, sealed and flied ~n Vault.
No
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Adopted:
ALWAYS PUBLISH ADOPTED ORDINANCES
Cross out Attorney's approval
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Was ~t amended?
NEWSPAPER PUBLICATION (Date:
Department orlg~natlng staff report( Laur~e L~eberman)
Ord~nances only for Attorney ( Claudla Tho~pson) -z-
Manageme~t Servlces Lynne Barrette ORDINANCES ONLY ~
Agency ~entlor.ed In doeument or staff report
(certlfled? )
SubJect flle (agenda packet)
1
Counter flie
1
Others: (Revlew
Alrport
Aud~tor1um
BU11dlng Dept.
for departments who need to know) .
I Parklng Auth.
Personnel
Plannlng
PolJ.ce
Purchasl.ng
Recr!Par'<s
Transportatlon
Treasurer
ClEO
Flnance
General Servo
L~brary
Manager
Flre
SEND FOUR COPIES OF ALL ORDINANCES TO:
CODED SYSTEMS
120 Maln Street
Avon, New Jersey 07717
4
SEND FOUR COPIES OF ALL ORDINANCES TO: 4
Debra :-lyrl.ck
Santa Monlca ~unlclpal Court
1725 ~aln Street, Room 118
Santa Monlca, CA 90401 Total Coples
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AP:HED:mh
City council Meeting 01/24/89
Santa Monica, California
RESOLUTION NUMBER 7757 (CCS)
City Council Series
A RESOLUTION OF THE CITY COUNCIL
OF THE CITY OF SANTA MONICA SETTING TIEDOWN
AND HANGAR SITE RENTAL RATES AT
SANTA MONICA MUNICIPAL AIRPORT
WHEREAS, Section lOl08 of the Santa Monica Municipal Code
provides for the charging of tiedown or parking rental rates for
aircraft using the Santa Monica Municipal Airport1 and
WHEREAS, Section 10108 of the Santa Monica Municipal Code
provides for the charging of hangar rental rates for aircraft
using the Santa Monica Municipal Airport; and
WHEREAS, section 10108 of the Santa Monica Municipal Code
provides that all tiedown, parking, and hangar rates shall be set
by Resolution of the City council,
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF SANTA MONICA
DOES RESOLVE AS FOLLOWS:
SECTION 1. Pursuant to section 10108 of the Santa Monica
Municipal Code, the following tiedown or parking rates shall be
charged at Santa Monica Municipal Airport effective February 1,
1989:
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(a) The rate for SINGLE ENGINE AIRCRAFT with wingspan of up
to but not more than 40 feet shall be $73.00 for each month or
$7.00 for each day or $0.90 for each one-half hour, after the
first two hours.
(b) The rate for TWIN ENGINE AIRCRAFT wit.h wingspan up to
but not more than 40 feet shall be $95.00 for each month or
$10.00 for each day or $1.00 for each one-half hour, after the
first two hours.
(c) The rate for AIRCRAFT with wingspan of more than 40 feet
but not more than 44 feet shall be $123.00 for each month or
$15.00 for each day or $1.25 for each one-half hour, after the
first two hours.
(d) The rate for AIRCRAFT with wingspan of more than 44 feet
but not more than 50 feet shall be $151.00 for each month or
$20.00 for each day or $1.50 for each one-half hour, after the
first two hours.
(e) The rate for AIRCRAFT with wingspan of more than 50 feet
shall be $168.00 for each month or $25.00 for each day or $7.00
for each one-half hour, after the first two hours.
SECTION 2. Pursuant to section lOIOS of the Santa Monica
Municipal Code, the following hangar site rental rates shall be
charged at Santa Monica Municipal Airport effective September 1,
1988:
(a) The rate for HANGAR SITES of not less than 40 feet wide
and not more than 44 feet wide shall be $123.00 for each month.
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SECTION 3. All owners of aircraft hangared or tied down at
Santa Monica Municipal Airport shall furnish proof to the Airport
Director at least once yearly that the aircraft possess a current
Air Worthiness Certificate. Temporary acceptions of up to one
year may be granted by the Airport Director
SECTION 4. The city Clerk shall certify as to the adoption of
this Resolution, and thenceforth and thereafter the same shall be
in full force and effect.
APPROVED AS TO FORM:
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ROBERT M. MYERS
CITY ATTORNEY
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Adopted and approved this 24th day of January, 1989.
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I hereby certify that the foregoing Resolution No. 7757 (CCS)
was duly adopted by the City council of the City of Santa Monica
at a meeting thereof held on January 24, 1989 by the followinq
Council vote:
Ayes: Councilmembers: Abdo, Finkel, Genser, Jennings,
Reed, Mayor Zane
Noes: councilmembers: None
Abstain: Councilmembers: None
Absent: Councilmembers: Katz
ATTEST:
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--- City clerk