BILL NUMBER: SB 446	AMENDED
	BILL TEXT

	AMENDED IN ASSEMBLY  JUNE 9, 2011
	AMENDED IN SENATE  MAY 10, 2011
	AMENDED IN SENATE  APRIL 7, 2011

INTRODUCED BY   Senator Dutton
   (Principal coauthor: Senator Negrete McLeod)
   (Coauthor: Senator Huff)
   (Coauthors: Assembly Members Carter, Donnelly, Hagman, Jeffries,
Knight,  Morrell,  Nestande, and Torres)

                        FEBRUARY 16, 2011

   An act to add Division 17.5 (commencing with Section 175000) to
the Public Utilities Code, relating to airports.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 446, as amended, Dutton. Ontario International Airport.
   Existing law provides for creation of airport districts. Existing
law provides for transfer of the San Diego International Airport from
the San Diego Unified Port District to the San Diego County Regional
Airport Authority.
   This bill would establish the Ontario International Airport
Authority as a local entity of regional government. The bill would
establish the membership of the board of directors of the authority
and set forth the powers of the authority. The bill would authorize
the authority to enter into an agreement with the City of Los Angeles
to facilitate the sale of, or the transfer of management and
operational control of, the Ontario International Airport to the
authority. The bill would require the authority, in cooperation with
the City of Los Angeles and the City of Ontario, to develop a
transition plan to facilitate the sale of, or the transfer of
management and operational control of, the Ontario International
Airport to the authority. The bill would also require the authority,
the City of Los Angeles, the City of Ontario, the County of San
Bernardino, other local and regional agencies, and the Department of
Transportation to cooperate to develop effective surface
transportation access to the Ontario International Airport.
   To the extent these provisions would impose additional duties on
entities of local government, the bill would impose a state-mandated
local program.
   The California Constitution requires the state to reimburse local
agencies and school districts for certain costs mandated by the
state. Statutory provisions establish procedures for making that
reimbursement.
   This bill would provide that, if the Commission on State Mandates
determines that the bill contains costs mandated by the state,
reimbursement for those costs shall be made pursuant to these
statutory provisions.
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: yes.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Division 17.5 (commencing with Section 175000) is added
to the Public Utilities Code, to read:

      DIVISION 17.5.  Ontario International Airport Authority


   175000.  This division shall be known and may be cited as the
Ontario International Airport Authority Act.
   175001.  The Legislature finds and declares all of the following:
   (a) Airports help to link local, regional, statewide, national,
and global economic activities. Airports are also essential features
of comprehensive transportation systems that include streets and
highways, rail transit, transit over water, and mass transit.
   (b) It is essential to the public health, safety, and welfare that
local and regional government officials jointly plan, develop, and
operate the Ontario International Airport so as to promote economic
development, protect environmental quality, and enhance social
equity.
   (c) The significant local and regional consequences of airport
planning, development, and operations require the creation of a
regional airport authority.
   175002.  (a) There is hereby established the Ontario International
Airport Authority, as a local governmental entity of regional
government.
   (b) The area of jurisdiction of the Ontario International Airport
is the area described in the "Agreement between the City of Los
Angeles and the City of Ontario for the Acquisition of the Ontario
International Airport by the City of Los Angeles dated June 19, 1985."

   175003.  (a) The Ontario International Airport Authority shall be
governed by a board of seven directors, appointed as follows:
   (1) The City Council of the City of Ontario shall appoint four
directors  , two of whom shall be elected officials of the City
of Ontario. The remaining two directors shall be representatives of
the primary air service market served by Ontario International
Airport and need not be persons residing in the City of Ontario or
the County of San Bernardino  .
   (2) The Board of Supervisors of the County of San Bernardino shall
appoint three directors  , one of whom shall be an elected
official of the County of San Bernardino representing a district in
which the Ontario International Airport is located. The remaining two
directors shall be representatives of the primary air service market
served by Ontario International Airport and need not be persons
residing in the City of Ontario or the County of San Bernardino 
.
   (b) The term of office of a member of the board of directors
appointed pursuant to subdivision (a) is three years or until his or
her successor qualifies and takes office, whichever date occurs last;
provided, however, that the initial term of one of the initial
directors appointed by the City Council of the City of Ontario and
one of the initial directors appointed by the Board of Supervisors of
the County of San Bernardino shall each be one year, and the initial
term of another of the initial directors appointed by the City
Council of the City of Ontario and another of the initial directors
appointed by the Board of Supervisors of the County of San Bernardino
shall each be two years.
   (c) If a member of the board of directors is appointed to be a
member as a result of holding another public office, as indicated by
resolution adopted at the time of appointment, and that person no
longer holds that other public office, then that person shall no
longer serve on the board of directors and a vacancy shall exist.
   (d) A director shall hold membership on the board during the term
for which he or she was appointed and until his or her successor has
been appointed and qualified; provided, however, that a director may
resign voluntarily or may be removed by and at the pleasure of the
authority that appointed him or her.
   (e) In case of a vacancy in membership on the board, the vacancy
shall be promptly filled by the authority that appointed the vacating
member. An appointment to fill a vacancy during an unexpired term
shall be for the period of the unexpired term.
   175004.  (a) At the first meeting of the board of directors, and
at the first meeting of the board on or after the first Monday in
July of each even-numbered year thereafter, the board of directors
shall meet and elect its officers.
   (b) The officers of the board of directors are a chair, a vice
chair, and those additional officers created by the board of
directors pursuant to subdivision (c). The chair shall preside over
meetings of the board of directors, and the vice chair shall serve
during the chair's absence or inability to serve.
   (c) The board of directors may create additional offices and elect
members to those offices, provided that no member of the board of
directors shall hold more than one office.
   (d) The board shall appoint a general manager, a chief counsel,
and a chief financial officer. The general manager may enter into
contracts on behalf of the board, consistent with policies adopted by
the board.
   175005.  (a) Meetings of the board of directors are subject to the
provisions of the Ralph M. Brown Act (Chapter 9 (commencing with
Section 54950) of Part 1 of Division 2 of Title 5 of the Government
Code).
   (b) A majority of the total voting membership of the board of
directors shall constitute a quorum for the transaction of business.
In the absence of a quorum at any meeting of the board, a majority of
the members present may adjourn the meeting from time to time
without further notice, but no other business may be transacted.
   (c) Any action taken by the board at a meeting shall require the
affirmative vote of a majority of the members of the board.
   175006.  (a) The authority may enter into an agreement with the
City of Los Angeles to facilitate the acquisition of the Ontario
International Airport by the authority, or the transfer of management
and operational control of the Ontario International Airport from
the City of Los Angeles to the authority, upon the approval of the
Federal Aviation Administration and the federal Transportation
Security Administration. Upon the agreement of the City of Los
Angeles, the authority, in cooperation with the City of Los Angeles
and the City of Ontario, shall develop a transition plan to
facilitate either the sale of, or the transfer of management and
operational control of, the Ontario International Airport to the
authority, including appropriate amendments to the existing contract
between the City of Los Angeles and the City of Ontario for the joint
exercise of powers in relation to the Ontario International Airport.

   (b) The authority, the City of Ontario, the County of San
Bernardino, the City of Los Angeles, other local and regional
agencies, and the Department of Transportation shall cooperate to
develop effective surface transportation access to the Ontario
International Airport.
   175007.  (a) Upon the completion of the transfer pursuant to
Section 175006, the authority shall assume all revenue streams from
the operation of the Ontario International Airport to fund its
activities, operations, and investments consistent with its purposes.

   (b) To the extent practicable, the authority shall endeavor to
maximize the revenues generated from enterprises located on the
property of the authority.
   (c) The authority may receive state and federal grants for
purposes of planning, constructing, and operating an airport and for
providing ground access to airports under its control.
   (d) The transfer of the Ontario International Airport to the
authority shall not in any way relieve the authority from all
liabilities and obligations that are secured by revenues generated
from airport activities.
   175008.  (a) The authority may sue and be sued in all actions and
proceedings, in all courts and tribunals of competent jurisdiction.
   (b) All claims for money or damages against the authority shall be
governed by Part 3 (commencing with Section 900) and Part 4
(commencing with Section 940) of Division 3.6 of Title 1 of the
Government Code.
   175009.  The authority may take by grant, purchase, devise, or
lease, or otherwise acquire, hold, enjoy, lease, and dispose of, real
and personal property within its area of jurisdiction in order to
further its purposes. The authority may acquire property outside of
its area of jurisdiction for the purpose of installing equipment
related to the safe operation of the airport and the aircraft using
the airport, environmental mitigation, or environmental remediation.
   175010.  The authority may contract with any department or agency
of the United States, with any state or local governmental agency, or
with any person upon those terms and conditions that the authority
finds are in its best interests.
   175011.   (a)    The authority
may issue bonds, from time to time, payable from revenue of any
facility or enterprise operated, acquired, or constructed by the
authority, for any of the purposes authorized by this division in
accordance with the Revenue Bond Law of 1941 (Chapter 6 (commencing
with Section 54300) of Part 1 of Division 2 of Title 5 of the
Government Code), excluding Article 3 (commencing with Section 54380)
of Chapter 6 of Part 1 of Division 2 of Title 5 of the Government
Code.
   175012.  The authority may levy special benefit assessments
consistent with the requirements of Article XIII D of the California
Constitution to finance capital improvements.
   175013.  The authority may borrow money in accordance with Article
7 (commencing with Section 53820) of, Article 7.6 (commencing with
Section 53850) of, or Article 7.7 (commencing with Section 53859) of,
Chapter 4 of Part 1 of Division 2 of Title 5 of the Government Code.

   175014.  The authority may bring an action to determine the
validity of any of its bonds, equipment trust certificates, warrants,
notes, or other evidences of indebtedness or any of its revenues,
rates, or charges pursuant to Chapter 9 (commencing with Section 860)
of Title 10 of Part 2 of the Code of Civil Procedure.
  SEC. 2.  If the Commission on State Mandates determines that this
act contains costs mandated by the state, reimbursement to local
agencies and school districts for those costs shall be made pursuant
to Part 7 (commencing with Section 17500) of Division 4 of Title 2 of
the Government Code.