Boise City Code § 8-6-1 CAR RENTAL CUSTOMER FACILITY CHARGE
8-6-1: CAR RENTAL CUSTOMER FACILITY CHARGE:
A. Definitions: As used in this section, the following definitions apply:
AIRPORT (OR “BOISE AIRPORT”): | The approximately five thousand (5,000) acre area of Boise Airport, operated by the Boise City Department of Aviation.
AIRPORT DIRECTOR: | The director of the Boise City Department of Aviation and their designees.
CAR: | Any vehicle or device in, upon or by which any person or property is or may be transported or drawn upon a highway, except devices moved by human power or used exclusively upon stationary rails or tracks.
CHARGE EFFECTIVE DATE: | The date on which the customer facility charge is effective as provided in subsection C of this section.
CITY OR THE CITY: | The city of Boise City, Idaho.
CUSTOMER FACILITY CHARGE (OR “CFC”): | The fee collected by a car rental company from a person arriving at the Airport and renting a car from an On-Airport car rental company serving the Airport. The amount of the CFC shall be as established by resolution of the City Council. The CFC shall be collected by the car rental company for the benefit of the Airport, pursuant to subsection C of this section.
OFF-AIRPORT: | A car rental company that is not a party to a concession and lease agreement for non-exclusive automobile rental services with Boise Airport.
ON-AIRPORT: | A car rental company that is a party to a concession and lease agreement for non-exclusive automobile rental services with Boise Airport.
TRANSACTION DAY: | That period of time a car is rented for twenty-five (25) or fewer hours for the initial or first transaction day, and any portion of one (1) or more additional twenty-four (24) hour periods for each transaction day thereafter. (1952 Code § 12-22-01)
B. Findings And Purpose:
1. Findings: The City finds that:
a. The City owns and controls the Boise Airport and associated facilities located in Ada County, State of Idaho; and
b. The Airport promotes and supports a strong economic base for the community, assists and encourages world trade opportunities, and is of vital importance to the health, safety, and welfare of the State; and
c. The operation of Boise Airport as a public facility attracting scheduled airline passengers who use car rental facilities at the Airport imposes financial responsibility on the City for car rental facilities and operations; and
d. The City will expend substantial resources for capital investment, operation, maintenance, and development of the car rental facilities to meet the future demand for rental car customers using the Boise Airport or its facilities; and
e. It is in the City's best economic interest, and likewise in the interest of the car rental customers and car rental companies, to adopt CFCs as identified in this section to maintain, improve, and further expand the car rental facilities of the Airport; and
f. In establishing and implementing CFCs, the car rental customers using the Airport should contribute to a greater degree toward the development and improvement of car rental facilities; and
g. The fees implemented by this section are reasonable for the use of the Airport and car rental facilities by the general public.
2. Purpose: The purpose of this section is to authorize CFC collection consistent with the above findings and this section and any regulations published in the Boise Airport Rules and Regulations pursuant thereto shall be liberally construed to effectuate the purposes expressed. (1952 Code § 12-22-02)
C. Car Rental Customer Facility Charge:
1. Rental car companies shall commence imposition of CFCs no later than sixty (60) days after this section shall take effect, or thereafter on a Charge Effective Date determined by the Airport Director.
2. The CFCs shall be used to pay or reimburse the Airport for the costs associated with the design, planning, construction and financing of rental car facilities or improvements exclusively used by the rental car companies doing business at the Airport. Any or all of the CFCs collected may be pledged to the punctual payment of debt service on obligations issued by or on behalf of the Airport for the cost of rental car facilities at the Airport, and to create and maintain reasonable reserves. Eligible costs for the car rental facilities shall include all costs, fees and expenses associated with the planning, design, equipping, construction and other related costs for the development, improvement or acquisition of car rental facilities. Eligible costs may include on-going facility maintenance and operating costs and transportation systems serving the rental car facilities, in addition to the foregoing costs.
3. The CFC fees collected by car rental companies shall be identified on separate lines on the car rental customer contract, before taxes, and shall be described as the "customer facility fee" or "facility fee".
4. The Airport Director is authorized to execute the authorization of CFCs, including the assurances contained therein and other documents necessary for implementation of CFC collection on behalf of the City. (1952 Code § 12-22-03)
D. Eligible Projects: The CFCs shall be expended solely for rental car projects approved by the Airport Director and the City Council. (1952 Code § 12-22-04)
E. Collection And Audit:
1. All CFCs collected by all car rental companies are and shall be trust funds held by the car rental companies for the benefit of the Airport. Car rental companies hold only a possessory interest in the CFCs, and no legal or equitable interest. All car rental companies shall separately account for and disclose all CFCs as trust funds in their financial statements, and shall maintain adequate records that account for all CFCs charged and collected. Failure to segregate the CFCs shall not alter or eliminate their trust fund nature. The Airport shall have the right to audit the car rental companies' CFC records upon reasonable notice.
2. All car rental companies shall remit all CFCs that were collected or should have been collected from its customers on a monthly basis to the Airport, together with the monthly statement of transactions and transaction days. The CFCs shall be remitted by the twentieth day of the month following the month the CFCs were collected. Failure to strictly comply with this subsection shall be considered a material breach of the car rental company's authorization to do business at the Airport.
3. CFCs shall only be imposed and collected for the first fourteen (14) Transaction Days of any car rental customer contract so that the remittance by any car rental company on any car rental customer contract is limited to fourteen (14) times the CFC rate. (1952 Code § 12-22-05)
F. Violations: In the event any car rental company violates any term or condition of this section, the City may exercise any rights or remedies allowed by law or equity. (1952 Code § 12-22-06) (amd. Ord. 49-22, 10-4-2022)