1997 AGN DEC 29 I01 - Laserfiche WebLink

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M CITY OF COLTON AGENDA REPORT -2x-5 ,4 Council Meeting of December 29, 997 TO: Honorable Mayor and City Council FROM: Len Wood, Interim City Manager SUBJECT: Recommendation Regarding Continued Participation in the San Bernardino International Airport Authority DATE: December 22, 1997 BACKGROUND: On December 22, 1997, staff met with Jim Monger, Airport Authority General Manager, Martin Romeo, Chief Financial Officer, and Tim Sabo, Airport Authority Counsel regarding the City of Cotton's continued participation in the San Bernardino International Airport Authority. Specifically, we were seeking clarification and/or information regarding the following three major points: 1. Specifically, what direct benefits (if any) does the City of Colton glean from its financial contribution to the Airport Authority beyond a "seat" on the board. 2. Are other financing options available that would preserve Colton's membership in the Airport Authority short of loaning the authority $500,000 by December 31, 1997. , 3. What impact does being a member of the authority have on the following: the member's liability with regards to the Airport Authority's debt and, the liabilities assumed by the member as a result of claims filed against the Airport Authority. DISCUSSION/ANALYSIS: Direct Benefits to the City of Colton By retaining our seat on the Airport Authority, Colton would continue to have a vote on planning and economic development issues regarding the San Bernardino International Airport. Specifically, Colton could vote on strategic issues involving the Airport including what types of facilities will be housed there: will there be a major commercial aviation terminal, a refueling station, or some other variation, or combination of facilities. The flight paths of aircraft are established by the Federal Aviation Administration not the Airport Authority. Based on that fact it can be assumed that a seat on the Airport Authority would provide little or no control over the establishment of flight plans beyond possibly some minor influence. Since the Airport Authority and the Inland Valley Development Association (IVDA) are separate political subdivisions, the City of Cotton's standing in one agency should not affect the other.