THE POWERS OF AN AIRPORT BOARD, AND HOW THEY RAISE MONEY FOR AN AIRPORT.
Airport Boards are primarily governed by Kentucky Revised Statutes. Once appointed by the Fiscal Court, the board is tasked with bringing the concept of an airport into reality. While you may hear that the Airport Board is only a fact finding board, the reality is that they have very broad and sweeping powers. The following sections come directly from Kentucky Revised Statute, chapter 183 (aviation). Please, read these paragraphs carefully!
183.133 Purpose, duties and powers of the board — Rules and regulations,publication — Enforcement — Promotion of facilities.
(1) The purpose of the board shall be to establish, maintain, operate, and expand necessary, desirable or appropriate airport and air navigation facilities. It shall have the duty and such powers as may be necessary, or desirable to promote and develop aviation, including air transportation, airports and air navigation facilities.
(2) The board shall establish and fix reasonable rates, charges and fees for the use of the landing area, ramps and other common aviation facilities. In fixing such rates,charges or fees the board may take into consideration, among other factors, the total capital investment by the board or other local or state governmental authority, the revenue needed properly to maintain such facilities, the revenue needed properly to expand the airport and its facilities, the portion of the facilities utilized by the licensee or contracting party and its customers and the volume and type of business conducted. Any party aggrieved by the rates, charges or fees may appeal from the action of the board to the Circuit Court of the county within which the board operates, within ninety (90) days from the date that the board finally publishes such rates, charges or fees and gives notice of same to the contracting party or licensee. The Circuit Court may hear evidence and determine whether or not the rates,charges or fees are, or are not, reasonable in amount. Appeal from the judgment of the Circuit Court may be prosecuted as any other civil appeal.
(3) The board shall likewise have power, from time to time, to fix rates, charges or fees by contract, or by publishing general rates, charges or fees for commercial vendors,concessionaires or other persons for the use or occupancy of terminal or other ground use facilities, under such terms or conditions as it may deem to be in thebest interest of maintaining, operating or expanding necessary airport or air navigation facilities, and the public use thereof.
(4) The board may acquire by contract, lease, purchase, gift, condemnation or otherwise any real or personal property, or rights therein, necessary for establishing, operating or expanding airports and air navigation facilities. The board may erect, equip,operate and maintain on such property, buildings and equipment necessary,desirable or appropriate for airport or air navigation facilities. The board may dispose of any real or personal property, or rights therein, which, in the opinion of the board are no longer needed for operating or expanding the airport or air navigation facilities.
(5) The board or any other governmental unit may by resolution reciting that the property is needed for airport or air navigation purposes direct the condemnation of any property, including navigation or other easements. The procedure for condemnation shall conform to the procedures set out in the Eminent Domain Actof Kentucky. [ NOA Note: In 1986, there was a Kentucky Supreme Court decision, Bernard versus Russell County Airport Board, that made this power subordinate to a single governing body’s power—such as our fiscal court].
(6) The board or any other governmental unit may from time to time make, adopt and enforce such rules, regulations and ordinances as it may find necessary, desirable or appropriate for carrying into effect the purposes of this chapter, including those relating to the operation and control of the airport, airport facilities or air navigation facilities owned or operated by such board or such other governmental unit. All rules, regulations and ordinances adopted pursuant to this section shall be published according to the provisions of KRS 424.130, and the board or other governmental unit adopting them shall keep a permanent record of such rules, regulations and ordinances available for public inspection, on the airport premises. Prosecution for aviolation of any rule, regulation or ordinance adopted pursuant to this section shall be in the District Court of any county within which the airport is located.
(7) Any board may engage in activities to promote, encourage or develop the use of airports or air navigation facilities under its control and any board which has members thereof appointed by the Governor shall be assisted in such activities bythe state Cabinet for Economic Development if it requests such assistance from thecabinet.
Effective: July 15, 1986History: Amended 1986 Ky. Acts ch. 347, sec. 2, effective July 15, 1986. — Amended1976 (1st Extra. Sess.) Ky. Acts ch. 14, sec. 171, effective January 2, 1978. –Amended 1976 Ky. Acts ch. 140, sec. 86. — Amended 1970 Ky. Acts ch. 244, sec. 1.– Amended 1964 Ky. Acts ch. 134, sec. 6. — Created 1960 Ky. Acts ch. 179, sec. 33.
Kentucky Revised Statute: 183.135 Power to borrow money.
The board may borrow money on its own credit in anticipation of revenue to be derived from taxes, appropriations, or other income. For these purposes, the board may pledge the taxes, appropriations, or income anticipated. The board may pledge the airport and facilities, or any interest in the airport and its facilities, or contract for service from the airport or its facilities, as security for moneys borrowed.
Effective: July 15, 1996History: Amended 1996 Ky. Acts ch. 274, sec. 44, effective July 15, 1996. — Amended1968 Ky. Acts ch. 83, sec. 2. — Created 1960 Ky. Acts ch. 179, sec. 35.
Kentucky Revised Statute: 183.134 Appropriations for airports — Bond issue, election, tax.
(1) In order to provide money for the purchase of property necessary for the establishment or expansion of airports and to construct, equip, and maintain buildings necessary, desirable, or appropriate for airport purposes, or to acquire rights or interests or contracts for services, the legislative body of any governmental unit owning in whole or part any airport or operating an airport, or having any rightsor interests in an airport or contracts for services from an airport, may make an annual appropriation from its general fund; or the governmental unit may make an annual levy to collect a tax on taxable property situated in the governmental unit for airport development. Any appropriation shall be made by the legislative body in amounts, in proportion and upon terms as the legislative body may determine. All funds derived from an appropriation or tax shall be turned over to the airport board, if any, for the purpose of carrying out the duties and powers of the board.
(2) Whenever a governmental unit deems it necessary to acquire, construct, maintain,expand, finance, or improve any airport facilities or air navigation facilities or rights or interests in any facilities, or to contract for services from the facilities, or for anyor all of these purposes, and the annual funds raised from other sources are not sufficient to accomplish the purpose, the governmental unit shall make a careful estimate of the amount of money required for the purpose and shall certify to the proper tax levying authority the fact that an election for an issue of bonds for aviation purposes shall be held, together with the amount of money for which bonds shall be issued and the purpose to which the proceeds shall be applied. The taxing authority shall then adopt an ordinance or resolution submitting to the qualified voters of the district the question as to whether bonds shall be issued for the purpose. The question shall be so framed that the voter may by his vote answer “For” or “Against.”
(3) The ordinance or resolution shall fix the time the bonds shall run and, if a serial issue, the amount to mature at each time. It shall limit the rate of interest to be permitted on the bonds and the total amount of bonds to be issued, and shall provide for the levy of a tax to pay the interest and to create a sinking fund to retire them attheir maturity.
(4) The election shall be held at a time fixed in the ordinance or resolution, not less than fifteen (15) nor more than thirty (30) days from the time the certificate of the governmental unit is filed with the tax levying authority, and reasonable notice of the election shall be given. The election shall be conducted and carried out in the governmental unit district in all respects as required by the general election laws,and shall be held by the same officers as required by the general election laws. The expense of the election shall be paid by the fiscal court except where the election is held in a district embracing a city of the first five (5) classes, in which case the cost of the election shall be paid by the governing body of the city.
(5) Not withstanding the limitations contained in KRS 132.023, any governmental unit which after March 21, 1968, levies a tax for aviation purposes under this chapter may exclude the tax from consideration in calculating the compensating tax rate as now or subsequently defined in KRS 132.010 or any amendments or other actsubstituted relating to that section.
Effective: July 15, 1996History: Amended 1996 Ky. Acts ch. 274, sec. 43, effective July 15, 1996. — Amended1980 Ky. Acts ch. 188, sec. 137, effective July 15, 1980. — Amended 1968 Ky. Actsch. 83, sec. 1. — Amended 1964 Ky. Acts ch. 134, sec. 7. — Created 1960 Ky. Acts
ch. 179, sec. 34.
