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Second Regular Session

Sixty-first General Assembly

LLS NO. 98­0314.01 MKH SENATE BILL 98­028

STATE OF COLORADO

BY SENATOR Thiebaut;

also REPRESENTATIVE Entz.

TRANSPORTATION

APPROPRIATIONS

A BILL FOR AN ACT

CONCERNING INTRASTATE COMMERCIAL AIR SERVICE IN COLORADO, AND MAKING APPROPRIATIONS THEREFOR.

Bill Summary

(Note: This summary applies to this bill as introduced and does not necessarily reflect any amendments that may be subsequently adopted.)

Establishes the Colorado commercial air service assistance grant program in the aeronautics division of the department of transportation. Allows a qualified airport or consortium of qualified airports to apply to the Colorado aeronautical board for grant moneys to fund capital construction projects at a qualified airport that will improve intrastate commercial air service in Colorado. Allows the board to appoint advisory committees to assist the board in implementing the grant program. Sets forth certain criteria for grant applications. Requires the board to compile and submit an annual report to the capital development committee and the joint budget committee identifying certain information about each commercial air service assistance grant that the board awards.


Be it enacted by the General Assembly of the State of Colorado:

SECTION 1.  43­10­105, Colorado Revised Statutes, is amended BY THE ADDITION OF A NEW SUBSECTION to read:

43­10­105.  Duties of the board. (3)  THE BOARD SHALL ADMINISTER THE COLORADO COMMERCIAL AIR SERVICE ASSISTANCE GRANT PROGRAM CREATED PURSUANT TO SECTION 43­10­118.

SECTION 2.  Article 10 of title 43, Colorado Revised Statutes, is amended BY THE ADDITION OF THE FOLLOWING NEW SECTIONS to read:

43­10­117.  Colorado commercial air service assistance grant program ­ legislative declaration. (1)  THE GENERAL ASSEMBLY HEREBY FINDS, DETERMINES, AND DECLARES THAT:

(a)  THE HEALTH, SAFETY, AND WELFARE OF THE PEOPLE OF THE STATE ARE DEPENDENT UPON THE CONTINUED EXISTENCE AND EXPANSION OF INTRASTATE COMMERCIAL AIR SERVICE IN THE STATE;

(b)  THE INCREASED COSTS OF OPERATING OUT OF DENVER INTERNATIONAL AIRPORT (DIA) HAS FORCED AIR CARRIERS TO DROP OR SIGNIFICANTLY REDUCE SERVICE ON THEIR LESS PROFITABLE INTRASTATE COMMERCIAL ROUTES IN COLORADO;

(c)  THERE ARE MANY UNIQUE FACTORS THAT NECESSITATE INTRASTATE COMMERCIAL AIR SERVICE IN COLORADO, SUCH AS THE SEASONAL DEMAND FOR AIR SERVICE TO SUPPORT THE SKI AND TOURISM INDUSTRIES AND SIGNIFICANT DISTANCES AND EXTREME ROAD TRAVEL CONDITIONS FROM THE STATE'S OUTLYING AREAS TO MAJOR AIRPORTS SUCH AS DIA AND COLORADO SPRINGS;

(d)  THE AVAILABILITY OF INTRASTATE COMMERCIAL AIR SERVICE IS CRUCIAL TO THE ECONOMIC LIVELIHOOD OF THE STATE'S OUTLYING COMMUNITIES, THE AIR SERVICE NEEDS OF WHICH VARY NOTICEABLY DEPENDING ON EACH COMMUNITY'S UNIQUE CHARACTERISTICS; AND

(e)  THE PUBLIC PURPOSE TO BE SERVED BY THE COLORADO COMMERCIAL AIR SERVICE GRANT PROGRAM CREATED IN SECTION 43­10­118 OUTWEIGHS ALL OTHER INDIVIDUAL INTERESTS.

43­10­118.  Colorado commercial air service assistance grant program ­ creation. (1)  IN ORDER TO FOSTER AND SUPPORT INTRASTATE COMMERCIAL AIR SERVICE IN COLORADO, THERE IS HEREBY ESTABLISHED IN THE AERONAUTICS DIVISION OF THE COLORADO DEPARTMENT OF TRANSPORTATION THE COLORADO COMMERCIAL AIR SERVICE ASSISTANCE GRANT PROGRAM THROUGH WHICH A QUALIFIED AIRPORT OR CONSORTIUM OF QUALIFIED AIRPORTS MAY APPLY TO THE COLORADO AERONAUTICAL BOARD FOR GRANT MONEYS FOR SUCH QUALIFIED AIRPORT OR AIRPORTS. SUCH GRANT MONEYS SHALL BE USED SOLELY FOR CAPITAL CONSTRUCTION PROJECTS, AS DEFINED IN SECTION 24­75­301 (1), C.R.S., TO ESTABLISH, MAINTAIN, OR IMPROVE INTRASTATE COMMERCIAL AIR SERVICE IN THIS STATE, INCLUDING BUT NOT LIMITED TO PROJECTS RELATING TO AN AIRPORT'S INFRASTRUCTURE, SAFETY, OR OPERATIONS.

(2)  AFTER CONDUCTING PUBLIC HEARINGS, THE BOARD SHALL ADOPT BY RULE POLICIES AND PROCEDURES TO IMPLEMENT THE COLORADO COMMERCIAL AIR SERVICE ASSISTANCE GRANT PROGRAM.

(3)  THE BOARD MAY APPOINT ADVISORY COMMITTEES TO EVALUATE GRANT APPLICATIONS SUBMITTED PURSUANT TO THIS SECTION, TO DEVELOP SHORT­ AND LONG­TERM MARKETING PLANS FOR INTRASTATE COMMERCIAL AIR SERVICE, AND TO DEVELOP SHORT­ AND LONG­TERM STRATEGIC PLANS THAT INCORPORATE CAPITAL CONSTRUCTION NEEDS FOR INTRASTATE COMMERCIAL AIR SERVICE AND FOR ANY OTHER PURPOSE ASSOCIATED WITH THE IMPLEMENTATION OF THE GRANT PROGRAM. MEMBERS OF SUCH ADVISORY COMMITTEES SHALL RECEIVE NO COMPENSATION FOR THEIR SERVICES.

(4)  IN ORDER FOR AN AIRPORT OR CONSORTIUM OF AIRPORTS TO RECEIVE A GRANT, THE AIRPORT OR CONSORTIUM OF AIRPORTS SHALL SUBMIT A GRANT PROPOSAL TO THE BOARD. A GRANT PROPOSAL SHALL DEMONSTRATE, AT A MINIMUM, THE FOLLOWING:

(a)  THAT THE GRANT WILL BE USED SOLELY FOR THE PURPOSE OF ESTABLISHING, MAINTAINING, OR IMPROVING INTRASTATE COMMERCIAL AIR SERVICE AND NOT PRIMARILY TO MAINTAIN OR INCREASE AIR SERVICE TO OUT­OF­STATE AIRPORTS;

(b)  THAT THE GRANT WILL BE USED IN A MANNER SO AS TO COMPLY WITH ALL FAA RULES AND REQUIREMENTS; AND

(c)  THAT THE GRANT WILL BE USED SOLELY FOR CAPITAL CONSTRUCTION PROJECTS AT A QUALIFIED AIRPORT, AS SET FORTH IN SUBSECTION (1) OF THIS SECTION.

(5)  THE BOARD SHALL NOT REQUIRE AN AIRPORT OR CONSORTIUM OF AIRPORTS TO DISCLOSE ITS MARKETING STRATEGIES AS PART OF ANY GRANT PROPOSAL SUBMITTED UNDER THIS SECTION.

(6)  NO LATER THAN JANUARY 1, 1999, AND JANUARY 1 OF EACH YEAR THEREAFTER, THE BOARD SHALL COMPILE AND SUBMIT A REPORT TO THE CAPITAL DEVELOPMENT COMMITTEE AND THE JOINT BUDGET COMMITTEE REGARDING THE GRANTS AWARDED BY THE BOARD PURSUANT TO THE PROVISIONS OF THIS SECTION; EXCEPT THAT THE BOARD SHALL NOT BE REQUIRED TO COMPILE AND SUBMIT SUCH REPORT IF IT DOES NOT AWARD ANY GRANTS PURSUANT TO THIS SECTION IN A GIVEN YEAR. THE REPORT SHALL SPECIFY THE RECIPIENT AND THE AMOUNT OF EACH GRANT AWARDED AND THE PURPOSES FOR WHICH SUCH GRANT WAS AWARDED. THE REPORT SHALL ALSO INCLUDE ANY SHORT­ OR LONG­TERM MARKETING OR STRATEGIC PLAN DEVELOPED BY AN ADVISORY COMMITTEE APPOINTED PURSUANT TO SUBSECTION (3) OF THIS SECTION.

(7)  FOR PURPOSES OF THIS SECTION:

(a)  "OUTLYING AREA" MEANS AN AREA OTHER THAN DENVER OR COLORADO SPRINGS.

(b)  "QUALIFIED AIRPORT" MEANS THE FOLLOWING: ASPEN­PITKIN COUNTY AIRPORT; CORTEZ­MONTEZUMA COUNTY AIRPORT; DURANGO­LA PLATA COUNTY AIRPORT; EAGLE COUNTY REGIONAL AIRPORT; FORT COLLINS­LOVELAND MUNICIPAL AIRPORT; GUNNISON COUNTY AIRPORT; LAMAR MUNICIPAL AIRPORT; MONTROSE REGIONAL AIRPORT; PUEBLO MEMORIAL AIRPORT; SAN LUIS VALLEY REGIONAL AIRPORT; STEAMBOAT SPRINGS MUNICIPAL AIRPORT; TELLURIDE REGIONAL AIRPORT; WALKER FIELD AIRPORT; YAMPA VALLEY AIRPORT; AND ANY OTHER AIRPORT LOCATED IN AN OUTLYING AREA OF THE STATE THAT THE BOARD DETERMINES TO BE QUALIFIED FOR PURPOSES OF THIS SECTION.

SECTION 3.  24­75­302 (2) (k), Colorado Revised Statutes, is amended to read:

24­75­302.  Capital construction fund ­ capital assessment fees ­ calculation. (2)  As of July 1, 1988, and July 1 of each year thereafter through July 1, 2001, a sum as specified in this subsection (2) shall accrue to the capital construction fund. The state treasurer and the controller shall transfer such sum out of the general fund and into the capital construction fund as moneys become available in the general fund during the fiscal year beginning on said July 1. Transfers between funds pursuant to this subsection (2) shall not be deemed to be appropriations subject to the limitations of section 24­75­201.1. The amount which shall accrue pursuant to this subsection (2) shall be as follows:

(k)  On July 1, 1998, fifty million dollars plus three hundred sixteen thousand six hundred thirty­five dollars pursuant to H.B. 97­1186, enacted at the first regular session of the sixty­first general assembly, PLUS TEN MILLION DOLLARS PURSUANT TO S.B. 98­______, ENACTED AT THE SECOND REGULAR SESSION OF THE SIXTY­FIRST GENERAL ASSEMBLY;

SECTION 4.  Appropriations ­ adjustments to long bill. (1)  In addition to any other appropriation, there is hereby appropriated, out of any moneys in the capital construction fund created in section 24­75­302, Colorado Revised Statutes, not otherwise appropriated, to the department of transportation, for allocation to the aeronautics division, for the fiscal year beginning July 1, 1998, the sum of ten million dollars ($10,000,000), or so much thereof as may be necessary, for the implementation of this act.

(2)  In addition to any other appropriation, there is hereby appropriated, out of any moneys in the aviation fund created pursuant to section 43­10­109, Colorado Revised Statutes, to the department of transportation for allocation to the division of aeronautics, for the fiscal year beginning July 1, 1998, the sum of _____ dollars ($ ), or so much thereof as may be necessary, for the implementation of this act.

(3)  For the implementation of this act, the total appropriation made in the annual general appropriation act for the fiscal year beginning July 1, 1998, to the department of transportation for allocation to the division of aeronautics for discretionary grants shall be reduced by _____dollars ($ ), or so much thereof as may be necessary, for purposes of implementing this act. This amount shall be from moneys in the aviation fund created pursuant to section 43­10­109, Colorado Revised Statutes.

(4)  In addition to any other appropriation, there is hereby appropriated, to the department of law, for the fiscal year beginning July 1, 1998, the sum of ______ dollars ($ ), or so much thereof as may be necessary, for the provision of legal services to the division of aeronautics for purposes of this act. Such sum shall be from cash funds received by the division of aeronautics out of the appropriation made in subsection (2) of this section.

SECTION 5.  Safety clause.  The general assembly hereby finds, determines, and declares that this act is necessary for the immediate preservation of the public peace, health, and safety.