The Palm Springs International Airport commissioners recently agreed to consider asking the City Council to impose a $10 transaction fee on car rentals at the airport, according to The Desert Sun (Palm Springs, Calif.).
Richard Walsh, aviation director, said California law allows the fee to be collected to create a revenue source to pay debt service on bond issues sold to finance construction of car rental facilities. If approved, the move could capture $1.6 million in added revenues, Walsh said.
David Ready, city manager, said he expects the council will want to know more about the construction projects ahead, if it agrees to incorporate this state law in its municipal code.
Walsh said the airport wants to create a structure within walking distance of the terminal, possibly one having parked vehicles and car rentals under one roof, The Desert Sun reports. The ready return area may also be reconfigured, Walsh said.
The proposal, likely to resurface in January, got the preliminary nod from the commission in June. Then, it voted to put a placeholder to collect the $10 per transaction fee in concession agreements awarded to The Hertz Corp.; Budget Rent A Car System Inc.; DTG Operations Inc.; Vanguard Car Rental USA Inc.; Avis Rent A Car System LLC; and one limited service airport rental car concession agreement to Enterprise Rent-A-Car Company of Los Angeles.