Ontario Airport Deal Gets Approval of Ontario International Airport Authority
Posted on: Thu, 12/17/2015 - 07:56
Ontario, CA – The authority poised to operate LA/Ontario International Airport gave final approval of the $250 million agreement that would transfer control of the facility.
The Ontario International Airport Authority met Thursday afternoon in closed session to review and approve the settlement agreement.
“The OIAA will take all steps to ensure that Southern California has the airport capacity needed to meet the long-term demand for air travel while boosting the Inland Empire’s most important economic and jobs engine,” Alan Wapner, Ontario councilman and president of the authority, said in a statement.
Ontario filed a lawsuit in June 2013 over damages and was set to go to trial in August when the deal was announced. The lawsuit has been placed on hold while the agreement was finalized.
On Thursday, the Los Angeles City Council gave its approval of the transfer of ownership of ONT to a local authority.
Ontario will pay $30 million from its reserves, take over the airport’s $60 million debt and make payments of $50 million over five years and $70 million in the final five years, officials said.
LAWA will transfer $40 million from Ontario airport’s unrestricted cash accounts to Los Angeles International Airport.
All parties in the deal still have to sign the document which officials say is expected to occur in the new year.
Once it does, Ontario will submit the document to be reviewed by the Federal Aviation Administration. The city will also begin the process to obtain a certificate of operation from FAA, which is expected to be completed in July .
“We are committed to working closely with FAA officials and Los Angeles World Airports to ensure a smooth transition of airport control in the second half of 2016,” Wapner stated.