Fresno Municipal Code Art. 10 Rental Car Companies

(a) Unless the particular provision or the context otherwise requires, the definitions and provisions contained in this section shall govern the construction, meaning, and application of words and phrases used in this article, and except to the extent that a particular word or phrase is otherwise specifically defined in this section, the definitions and provisions contained in Article 2 of Chapter 1 of this Code shall also govern the construction, meaning and application of words and phrases used in this article unless the particular provisions or the context otherwise requires. The definition of each word or phrase shall constitute, to the extent applicable, the definition of each word or phrase which is derivative from it, or from which it is a derivative, as the case may be.

(b) "Airport" shall mean Fresno Air Terminal, a public airport operated by the city.

(c) "Airport Customer" shall mean any person who rents a vehicle from Permittee after being transported from the Airport in Permittee's courtesy vehicle, or who rents a designated rental vehicle from Permittee.

(d) "Applicable gross receipts" shall mean that portion of Permittee's income which is derived from the time and mileage charges paid by Permittee's Airport Customers for the rental of vehicles, whether by cash or credit, after any discounts, regardless of where the vehicle is delivered or returned.

(e) "Courtesy vehicle" shall mean any car, van or other motor vehicle driven by an employee of Permittee to transport Permittee's customers from or to the Airport, such vehicle to display Permittee's business signage.

(f) "Designated rental vehicle" shall mean a rental vehicle which is being delivered to Airport in order to fill a reservation for such rental vehicle, regardless of how far in advance such reservation was made.

(g) "Director" shall mean either the Transportation Director or the Airports Director of the city, or their respective designees.

(h) "Non-tenant rental car business" shall mean any business that rents vehicles to the public and does not have a rental car concession contract or lease with the city for the privilege of having offices on the Airport from which to conduct the rental car business.

(Added Ord. 91-69, § 2, eff. 7-26-91).

The Council finds:

(a) In order to retire city debts incurred for the construction of Airport facilities, pay for Airport equipment, protect the public, preserve order, provide for the public health, safety and welfare, enhance the welfare of the city, and govern the Airport, it is necessary to fix charges, fees and regulations for those persons and corporations who do not have leases or concession contracts with the city, including non-tenant rental car businesses, but who want the privilege of picking up and delivering passengers and supplying services at the Airport; and

(b) In establishing and fixing these charges, fees and regulations, the city has given due regard to the property and improvements used and to the expenses of operation to the city, and finds further that the charges and fees established and fixed herein are reasonable compensation from the users to the city for the use of Airport facilities; and

(c) Rental car businesses constitute a specific class of business operations on Airport property. (Added Ord. 91-69, § 2, eff. 7-26-91).

(a) Any non-tenant rental car business desiring access to the Airport for the purpose of conducting rental car business operations, either directly or indirectly, shall first obtain from the city a Non-tenant Rental Car Business Permit prior to conducting such business on Airport property and shall pay the fees for such permit as set forth in the Master Fee Resolution.

(b) Non-tenant Rental Car Business Permits shall be issued within sixty days after the application has been submitted to the city, provided the application is approved.

(c) The city may issue a Non-tenant Rental Car Business Permit only upon prepayment of the application fee set forth in the Master Fee Resolution and upon receipt of a signed and verified application from the non-tenant rental car business owner containing the following information, agreements and proof:

(1) The names, addresses and social security numbers or employer identification numbers of every person or corporation having an ownership interest in the business;

(2) For corporate owners, the number of shares of stock in the corporation, whether the shares are traded publicly or privately, the date and place of incorporation, whether the corporation is authorized to do business in California, and the names, titles, addresses, social security numbers, and number of shares held by each officer, director, and any person or entity holding ten percent or more of the outstanding stock of the corporation;

(3) Proof of comprehensive public liability and automobile insurance coverage in an amount not less than one million dollars ($1,000,000) for personal injury or death of any person or persons in any one accident or occurrence and for damages to property in any one accident or occurrence. In the policy providing such insurance coverage, the city, its officers, employees and agents shall be named as additional insureds, and such policies shall contain a standard cross-liability endorsement, and a thirty-day written notice of cancellation endorsement in favor of the city;

(4) Proof of financial responsibility in the form of a cash bond, a corporate surety bond, or a letter of credit issued by a financial institution acceptable to the city, in an amount equal to the reasonably estimated annual fees due to the city, but not less than five thousand dollars ($5,000) assuring the faithful performance of all obligations under the Non-tenant Rental Car Business Permit and permit application; such estimate of annual fees shall initially be made by Permittee in the application for the Non-tenant Rental Car Business Permit;

(5) A written agreement to increase the amount of the cash bond, corporate surety bond, or letter of credit required under subdivision (4) of subsection (c) of this section, when reasonably required to do so by Director based on actual fees due to the city, which are in turn based on applicable gross receipts as required to be reported in subdivisions (10) and (11) of subsection (c) of this section;

(6) A written agreement to pay to the city for the duration of the Non-tenant Rental Car Business Permit the fees for such permit as set forth in the Master Fee Resolution;

(7) The names and job titles of local management personnel;

(8) A written agreement covenanting to obey and follow all applicable laws, standards and regulations promulgated by the Director or the city;

(9) Proof of possession of all valid business and motor vehicle permits required by local, state and federal laws and regulations;

(10) A written agreement to submit written proof to the city of all applicable gross receipts at the time payment is due, accompanied by a statement certified by an officer of the company attesting to the truth and accuracy of payments due the city;

(11) A written agreement to submit annual statements of all applicable gross receipts, said annual statements to be certified by a certified public accountant as being a complete, true, and accurate accounting of all applicable gross receipts for the annual period covered by the statement;

(12) A written agreement authorizing the city, its agents and employees, to audit all of the applicant's business records and accounts and to make said records and accounts available in the city when deemed necessary by the Director, upon reasonable notice;

(13) A written agreement that courtesy vehicles will stop or wait on Airport property only while in the process of waiting for, loading or unloading customers; drivers of vehicles, or company personnel who may accompany the driver, shall be prohibited from solicitation of business in any manner whatsoever upon the Airport; the operation of vehicles shall be strictly limited to the picking up or delivery of Airport Customers, or the delivery or picking up of designated rental vehicles;

(14) A written agreement to park only in the parking and pickup area designated for non-tenant rental car business vehicles;

(15) A written agreement to indemnify, defend and hold harmless the city, its officers, employees and agents from any and all claims whatsoever and proof of insurance for such contractual liability.

(d) No vested right or property interest of any type is acquired by a permit issued to any person under this article. (Added Ord. 91-69, § 2, eff. 7-26-91).

A Non-tenant Rental Car Business Permit shall authorize the business issued such permit to:

(a) Pick up and deliver Airport Customers at or to the Airport in a courtesy vehicle. No non-tenant rental car business shall operate more than two courtesy vehicles on Airport property at the same time provided both vehicles are needed to pick up or deliver Airport Customers at or to the Airport. Such businesses may have more than two vehicles on Airport property at the same time if a special need therefore is demonstrated to the Director and the Director grants written permission therefor to such business.

(b) Pick up and deliver designated rental vehicles at or to Fixed Base Operator or Corporate Aviation locations at Airport.

(c) Purchase, at commercial rates, advertising space and direct telephone access unit connection at the Airport from the Airport's designated advertising concessionaire. (Added Ord. 91-69, § 2, eff. 7-26-91).

A Non-tenant Rental Car Business Permit shall not authorize the business issued such permit to rent motor vehicles on Airport property (other than as provided in subsection (b) of Section 9-1004), to have an office or station on Airport property, to park or operate rental cars on Airport property (other than as provided in subsection (b) of Section 9-1004) or to solicit business either directly or indirectly on Airport property (other than as provided in subsection (c) of Section 9-1004) and all these actions and activities are expressly prohibited. (Added Ord. 91-69, § 2, eff. 7-26-91).

(a) A Non-tenant Rental Car Business Permit may be denied or revoked by the Director for cause. "Cause" includes, but is not limited to, a breach of any of the provisions of this article, including a failure to make timely payments, violation of Airport or city ordinances, standards or regulations, violation of the laws of the federal government or the laws of any state, and any act or omission of the permittee which adversely affects Airport business operations or poses a danger to the public health, safety or welfare. "Cause" shall also include financial insolvency or instability, conviction of a crime or other offense involving moral turpitude, or a conviction of use, possession or sale of a controlled substance. In addition, a Non-tenant Rental Car Business Permit may be denied or revoked when such action is necessary to protect the public health, safety or welfare, or to preserve the financial welfare of the city.

(b) An applicant for a permit whose application is denied shall be given written notice of the reasons for denial and shall have the right to a hearing before the Director or his designee and may thereafter appeal the Director's decision according to the procedure set forth in Chapter 1, Article 4 of this Code.

(c) The causes for revocation in this section shall be in addition to any provided in Section 9-107. The procedures to revoke shall be those in Section 9-107. (Added Ord. 91-69, § 2, eff. 7-26-91; Am. Ord. 98-65, §§ 5—7, eff. 10-1-98; Am. Ord. 2003-67, § 21, eff. 8-31-03).