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r-10744City Council Meeting: April 30, 2013 Santa Monica, California RESOLUTION NUMBERi �4 ,(CCS) (City Council Series) A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SANTA MONICA SETTING FEES FOR LANDING AT THE SANTA MONICA MUNICIPAL AIRPORT WHEREAS, it is the general policy of the City of Santa Monica to charge for the full costs of services provided by the City when such services benefit individual users rather than members of the community as a whole; and WHEREAS, Ordinance No. 1754 (CCS), adopted July 12, 1994, establishes this policy; and WHEREAS, the City of Santa Monica owns and operates the Santa Monica Municipal Airport ( "Airport ") and does so to the particular benefit of Airport users; and WHEREAS, the Airport's operating and capital costs are consistent with its status as a high- traffic, general aviation airport; and WHEREAS, Airport operating and maintenance costs currently exceed Airport revenues and so are subsidized by the City's General Fund; and WHEREAS, the increased demands on the General Fund, exacerbated by the recent dissolution of the City's redevelopment agency, require that all City enterprises, including the Airport fund, become financially self - supporting; and E WHEREAS, the City is obligated under federal law to maintain an Airport user fee structure that makes the Airport as financially self- sustaining as possible; and WHEREAS, at the direction of the City Council, the existing landing fee program has been reviewed; and WHEREAS, it has been determined that the current fee, with its exemption for aircraft based at the Airport, does not provide for adequate cost recovery to allow the Airport to operate financially without additional subsidies from the City's General Fund; and WHEREAS, aircraft based at the Airport account for a significant portion of the operations at the Airport; and WHEREAS, in order to develop a landing fee that is fair and reasonable to all Airport users and allows the Airport to recover its operating and capital costs for existing public -use airfield facilities and services, a comprehensive landing fee study was conducted in accordance with the methodology stated in the Rates and Charges Policy promulgated by the Office of the Secretary of Transportation and by the Federal Aviation Administration ( "FAA "); and WHEREAS, the landing fee study concluded that in order for the Airport to generate sufficient revenue to recover its costs and ensure that costs are borne by all users, and for it to achieve financial self - sustainability apart from the City's General Fund, the current fee needs to be increased and applied equally to all Airport users, whether they utilize itinerant or based aircraft; and 2 WHEREAS, staff conducted extensive research into the landing fee programs and the rates charged to general aviation aircraft at 58 other airports located throughout the United States and identified at least seven airports that charge a fee to both itinerant and based aircraft; and WHEREAS, the methodology and data supporting the landing fee study and staffs research on other airports' landing fee programs have been shared and discussed with the general public, regional representatives of the FAA, Airport users, and other members of the aviation community; and WHEREAS, Section 10.04.06.100 of the Santa Monica Municipal Code provides that the City Council shall establish and may amend from time to time landing fees for Santa Monica Municipal Airport and that the City Council may set Airport landing fees by resolution or by any other means authorized by law. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF SANTA MONICA DOES RESOLVE AS FOLLOWS: SECTION 1. Resolution No. 10047 (CCS) is hereby repealed in its entirety. SECTION 2. The landing fee for all aircraft landing at the Santa Monica Municipal Airport, including all of those aircraft which are based at the Airport, is hereby established at the rate of $5.48 per 1,000 pounds of the maximum certificated gross landing weight of the aircraft as published by the aircraft manufacturer. SECTION 3. The landing fee provided for by this Resolution shall become effective as of August 1, 2013. 3 SECTION 4. Pursuant to Santa Monica Municipal Code §10.04.02.030(d), the Airport Director is authorized to adopt such regulations as may be necessary to carry out the purposes of this Resolution. SECTION 5. The City Clerk shall certify to the adoption of this Resolution, and thenceforth and thereafter the same shall be in full force and effect. APPROVED AS TO FORM Mar, ha Jo Moutri Cityttorn ty El Adopted and approved this 30th day of April, 2013. Pam O'Connor, Mayor 1, Sarah P. Gorman, City Clerk of the C4 of Santa Monica, do hereby certify that the foregoing Resolution No. 10744 (CCS) was duly adopted at a meeting of the Santa Monica City Council held on the 30th day of April, 2013, by the following vote: AYES: Councilmembers: Davis, Holbrook, McKeown, Vazquez, Winterer Mayor O'Connor NOES: Councilmembers: None ABSENT: Councilmembers: Mayor Pro Tern O'Day ATTEST: Sarah P. Gorman, City Clerk