Part 5 — CAR RENTAL AGENCIES
San Jose Municipal Code · 2026-09 edition · updated 2026-09-29 · San Jose
25.08.500 - On-airport car rental agencies.¶
A.
No on-airport car rental agency shall occupy airport terminals, service lots, parking spaces, or other areas on the airport without a lease providing authorization to occupy such areas in accordance with this title.
B.
The director may approve and execute a lease with an on-airport car rental agency, on behalf of the city, if:
The total monetary value received by the city from such lease does not exceed two hundred fifty thousand dollars ($250,000.00); or
The term of such lease where the total monetary value received by the City exceeds two hundred fifty thousand dollars ($250,000.00) is for three (3) years or less, including the term of any extensions or renewals of such lease for which either the city or the on-airport car rental agency has the option or right to renew under the terms of the lease.
C.
The city council shall approve the execution of any lease required pursuant to this section if the total monetary value received by the City exceeds two hundred fifty thousand dollars ($250,000.00) and the term of the lease is greater than three (3) years. The city council shall also approve the execution of amendments to extend the term of any lease required by this section on behalf of the City beyond three (3) years, if the total monetary value received by the City from such lease from the original effective date through the extended term exceeds two hundred fifty thousand dollars ($250,000.00).
D.
A lease for use of the airport for on-airport car rental agency commercial activity that is otherwise within the authority of the director to execute under this section may be approved and executed by the director on behalf of the city if the director determines:
That adequate space is available to accommodate such activity consistent with the space requirements of other airport uses;
That the proposed lease of space would conform to the most recent airport layout plan for the airport; and
That the proposed lease of space conforms to the council policy for on-airport car rental agency commercial activity.
E.
Approval of such leases by either the director or the city council is at the city's sole discretion.
F.
An on-airport car rental agency shall maintain insurance in amounts and under terms and conditions established by the city's risk manager to be necessary or desirable to protect the city and the general public. The insurance requirements shall be included in any leases with the on-airport car rental agency.
G.
An on-airport car rental agency shall pay such rentals, fees, charges and deposits as may be established by resolution of the city council if the lease is approved by the director, or as otherwise set forth in leases authorized by the city council.
H.
All leases with an on-airport car rental agency shall contain such other terms, conditions and provisions as may be determined by the city council or the director, if the director is authorized to approve the leases, to protect the safety, welfare and convenience of the city and the general public.
I.
As an alternative to the authority granted in this section to approve leases with on-airport car rental agencies, the director may enter into license agreements with an on-airport car rental agency in accordance with the provisions of Sections 25.08.1500, 25.08.1510, 25.08.1310, and 25.08.030.
(Ords. 25529, 28017.)
25.08.510 - Off-airport car rental agencies.¶
A.
No off-airport car rental agency shall engage in or perform any car rental commercial activity at the airport without a ground transportation permit issued pursuant to Section 25.08.710, except that off-airport car rental agencies may be authorized to install direct line telephones pursuant to Section 25.08.1100.
B.
The director is authorized to issue permits under this section. Such permits shall be valid for specified periods not exceeding three years from date of issuance. In addition to the terms and conditions required by this chapter, such permits shall contain such other terms and conditions as the director determines to be necessary for the protection of the safety, convenience and welfare of the city and the general public.
C.
An off-airport car rental agency shall be limited to the commercial activity of delivering rental cars to a customer, or picking up or dropping off the customer at the airport for delivery or return of a rental car off of the airport. No other commercial activity shall be authorized by any permit issued to an off-airport car rental agency under this section.
D.
An off-airport car rental agency, in delivering rental cars or picking up or dropping off customers at the airport, shall be limited to authorized locations for such delivery, pick-up or drop-off on the airport, as designated by traffic markings or signs, in rules and regulations issued by director or in the permit.
(Ord. 25529.)
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