Article 4.5. Airport Facilities And Concessions of California Public Utilities Code >> Division 9. >> Part 1. >> Chapter 4. >> Article 4.5.
The Legislature finds and declares as follows:
(a) The proper operation of California's publicly owned or
operated airports is essential to the welfare of the state and its
(b) California's publicly owned or operated airports establish a
vital transportation link between the state and the economic systems
of the nation and the world, and enable the state to enjoy and
provide the benefits of an international tourist and commercial
(c) The economic validity and stability of California's publicly
owned or operated airports is, consequently, a matter of statewide
(d) The policy of this state is to promote the development of
commerce and tourism to the end of securing to the people of this
state the benefits of these activities conducted in the state.
(e) Therefore, since the proper operation of the state's publicly
owned or operated airports is essential to the welfare of the state
and its people, the Legislature recognizes and affirms such operation
as a governmental function to be discharged in furtherance of the
policy of securing the benefits of commerce and tourism for the state
and its people.
The provisions of this article shall apply to any airport
owned or operated by a political subdivision, including a charter
The governing bodies of publicly owned or operated
airports shall manage airport facilities and grant airport
concessions in furtherance of the development of commerce and tourism
in or affecting the state. In managing facilities and granting
concessions for services to the public, such airport governing bodies
shall promote the development of commerce and tourism by (a)
securing a diversity of airport services; (b) avoiding wasteful
duplication of such services; (c) securing to the users of airports
safe, courteous, and quality service; (d) limiting or prohibiting
business competition which is destructive of the ends of promoting
commerce and tourism in the state; (e) allocating limited airport
resources to promote such ends; and (f) fostering California's image
as a commercial and tourist center.
The Legislature recognizes that to further the policies
and fulfill the objectives stated in this article, it is often
necessary that publicly owned or operated airports enter into
exclusive or limited agreements with a single operator or a limited
number of operators. The governing bodies of publicly owned or
operated airports shall grant exclusive or limited agreements to
displace business competition with regulation or monopoly service
whenever the governing body determines, in consideration of the
factors set forth in Section 21690.9, that such agreements are
necessary to further the policies and to fulfill the objectives
stated in this article. The Legislature contemplates that publicly
owned or operated airports will grant exclusive or limited agreements
in furtherance of the policy of this state to displace business
competition by exclusive or limited agreements to fulfill these
policies and objectives.
Before entering any exclusive or limited agreement in
connection with the management of any airport facility or the
operation of any airport concession, the governing body of a publicly
owned or operated airport shall, under authority hereby expressly
delegated by the state, determine the necessity for an exclusive or
limited agreement. The governing body shall consider the following
factors to determine the necessity for an exclusive or limited
agreement to further the policies and objectives stated in this
(a) Public safety.
(b) Public convenience.
(c) Quality of service.
(d) The need to conserve airport space.
(e) The need to avoid duplication of services.
(f) The impact on the environment or facilities of the airport as
an essential commercial and tourist service center.
(g) The need to avoid destructive competition which may impair the
quality of airport services to the public, lead to uncertainty,
disruption, or instability in the rendering of such services, or
detract from the state's attractiveness as a center of tourism and
In making its determination, the airport operator shall not be
required to take evidence or to make findings of fact.
Nothing in this article shall excuse any local agency
from complying with applicable state or local requirements for
competitive bidding or public hearings which may be required prior to
the awarding or entering into of any bid, agreement or lease.