LAWA EXECUTIVE DIRECTOR GINA MARIE LINDSEY RESPONDS TO CITY OF ONTARIO POLL RESULTS

01/17/2012 12:00 AM

LAWA EXECUTIVE DIRECTOR GINA MARIE LINDSEY RESPONDS TO CITY OF ONTARIO POLL RESULTS

 

      In 1967 the City of Los Angeles, at the request of the City of Ontario, began managing and developing Ontario Airport, which at the time was serving less than a million passengers.  Today LA/Ontario International Airport (ONT) is a medium-hub, full-service airport with commercial jet service to major U.S. cities and through service to many international destinations.

      Over the past 45 years, Los Angeles World Airports (LAWA) has made significant investments to modernize ONT.  Over $560 million in airport capital improvements have been made utilizing funds from a combination of LAX and ONT airport revenues, Federal Aviation Administration (FAA) grants and bond proceeds secured by LAWA.

 

      At the time these investments and improvements were being made at ONT, LAX was deteriorating and not enough money was being re-invested for capital improvements. 

 

      Now that LAWA has done the work, has invested significant time and money, the City of Ontario wants the City of Los Angeles to GIVE the airport back to them for $50 million, a price that doesn't come close to either the value of the airport today (and let's be clear, this is a "down" market) or the value of the significant investment the City of L.A. has dedicated to ONT.  The operating costs of ONT do not come at taxpayer expense.  Ontario airport is self-supporting and LAWA intends to hold onto this important City of Los Angeles asset.

 

      As aviation industry data supports, LAWA has not mismanaged the airport as has been implied by the City of Ontario.  The airport is built to a capacity that is far above what the current economy of the Inland Empire can support.  Combined with airline response to the economic recession, including cut backs in the number of flights and available seats along with airline consolidation and wholesale withdrawal from medium-hub airports, you have a situation that will not improve in the near future.  

 

      The poll released today by the City of Ontario is misleading and an attempt to deflect the truth.  It is ridiculous for any governmental body to presume that an airport developed and modernized at the expense of another city, is entitled to a “transfer” of that asset.  Ontario has enjoyed decades of benefit from LAWA’s time and investment in ONT, and now with a slump in the economy, expects to wrest the asset back for a sum far below its real worth. 

 

      LAWA has refrained from criticizing the City of Ontario because we continued to hope our consistent invitations (three to be specific) for them to participate in marketing ONT would be accepted.  It is now clear they have only one objective:  to take the asset the City of L.A. built, at a foreclosure price. 

 

      Mayor Antonio Villaraigosa and the Board of Airport Commissioners recognize this move for what it is and will not abandon their fiduciary responsibilities.  As we have been doing for over 40 years, LAWA expects to continue to focus its work on building ONT to its potential, rather than be distracted by repeated attempts to engage in a process to sell an airport that is not for sale. 

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