Amended IN Senate April 07, 2025 CALIFORNIA LEGISLATURE 20252026 REGULAR SESSION Senate Bill No. 661Introduced by Senator HurtadoFebruary 20, 2025An act to add Section 21241.5 to the Public Utilities Code, relating to aeronautics. An act to add Section 21689 to the Public Utilities Code, and to add Section 7102.3 to the Revenue and Taxation Code, relating to airports, and making an appropriation therefor.LEGISLATIVE COUNSEL'S DIGESTSB 661, as amended, Hurtado. Aeronautics: County of Kern: Meadows Field Airport. Airports: financial assistance.The State Aeronautics Act establishes the Aeronautics Account in the State Transportation Fund, and continuously appropriates the moneys in the account for expenditure for airport purposes by the Division of Aeronautics within the Department of Transportation and the California Transportation Commission.This bill would require the revenues from the imposition of state sales and use taxes, at the rate of 4.1875%, on the sale, storage, use, or other consumption of aviation fuel, as defined, be transferred to the Aeronautics Account for allocation in specified percentages to qualifying general aviation airports, to commercial airports, and for other aviation-related purposes, as specified.By increasing the sources of funding for and expanding the purposes for which money may be used from a continuously appropriated fund, the Aeronautics Account, the bill would make an appropriation.The State Aeronautics Act requires the Department of Transportation, among other things, to encourage, foster, and assist the development of aeronautics in this state and to encourage the establishment of airports and air navigation facilities. The act requires the department to cooperate and assist the federal government, political subdivisions of this state, and others in the development of aeronautics, and to seek to coordinate their aeronautical activities.This bill would require the department to develop a plan to increase flight availability at Meadows Field Airport in the County of Kern. The bill would require the department, in developing the plan, to collaborate with the County of Kern, relevant state agencies, and with local and federal partners. The bill would require the plan to include, among others, a market study that identifies high-priority routes and assesses demand for additional flights to and from Meadows Field Airport.This bill would make legislative findings and declarations as to the necessity of a special statute for County of Kern, the City of Bakersfield, and Meadows Field Airport.To the extent that this bill would require a local entity to participate in the development of the plan, this bill would impose a state-mandated local program.The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.This bill would provide that, if the Commission on State Mandates determines that the bill contains costs mandated by the state, reimbursement for those costs shall be made pursuant to the statutory provisions noted above.Digest Key Vote: MAJORITY2/3 Appropriation: NOYES Fiscal Committee: YES Local Program: YESNO Bill TextThe people of the State of California do enact as follows:SECTION 1. (a) The Legislature finds and declares all of the following:(1) The City of Bakersfield is one of the fastest growing metropolitan areas in California, with a population exceeding 400,000 people, and serves as the hub of the County of Kern, an economic powerhouse driven by the agriculture, energy, logistics, and healthcare health care industries.(2) Enhanced air transportation services, both public and private, are critical to supporting economic development in the County of Kern by improving connectivity for residents, businesses, and visitors.(3) The availability of increased flights to the County of Kern will create significant opportunities for local job creation, particularly in industries such as:(A) Aviation and airport operations, including roles in ground services, maintenance, and customer support.(B) Hospitality and tourism, as better connectivity attracts conferences, business travel, and leisure visitors to the region.(C) Logistics and supply chain management, which rely on efficient air cargo services to support local businesses and industries.(D) Construction and infrastructure development, as investments are made in airport facilities and surrounding areas.(4) Job creation in the County of Kern is especially critical for addressing the unique challenges faced by the county, including, but not limited to, all of the following:(A) Higher than average unemployment rates in comparison to the state average.(B) Economic disparities in rural and underserved communities that would benefit from increased connectivity to statewide and national opportunities.(C) The need to diversify the economy and provide stable employment opportunities outside of traditional industries such as oil and gas.(5) Expanding flight access to the County of Kern will strengthen the regions competitiveness by attracting new businesses and investment, fostering innovation, and encouraging young professionals to stay in the area rather than seeking opportunities elsewhere.(6) Improved connectivity also directly supports key industries in the County of Kern, such as agriculture and energy, by providing quicker and more efficient access to clients, suppliers, and markets throughout California, the nation, and the world.(7) As California continues to emphasize equitable economic development, regional air transportation access should align with the needs of underserved and emerging areas, such as County of Kern, to ensure statewide economic resiliency and inclusivity.(b) It is the intent of the Legislature that this legislation does all of the following:(1) Facilitates increased public and private investments to expand the number of flights to and from the County of Kern, including domestic and international routes, to better serve the regions growing population and economic potential.(2) Encourages partnerships among local governments, the aviation industry, and private stakeholders to improve infrastructure at the Meadows Field Airport, near the City of Bakersfield in the County of Kern, and other related facilities, ensuring the region is well-equipped to support increased flight capacity.(3) Explores incentives and grants to attract airlines to add new routes or increase frequency of existing flights to the County of Kern, particularly targeting underserved or high-demand routes.(4) Prioritizes the creation of local, high-quality jobs in aviation, airport operations, hospitality, and associated industries as part of any expansion plan, ensuring that the economic benefits directly support residents of the County of Kern.(5) Promotes economic development through enhanced air connectivity, including attracting conferences, trade shows, and other large-scale events to the region.(6) Recognizes the importance of air travel as a means to improve access to healthcare, health care, education, and business opportunities for residents of the County of Kern, especially for rural and underserved communities.(7) Establishes a statewide task force or advisory committee to identify and address barriers to expanding air transportation in the County of Kern, with an emphasis on ensuring that such expansion benefits local businesses, residents, and underserved communities.(8) Evaluates and mitigates potential environmental impacts associated with increased air travel to ensure alignment with Californias sustainability and climate goals.SEC. 2.Section 21241.5 is added to the Public Utilities Code, to read:21241.5.(a)The department shall develop a plan to increase flight availability at Meadows Field Airport in the County of Kern.(b)In developing the plan, the department shall collaborate with the County of Kern, relevant state agencies, and with local and federal partners.(c)The plan shall include all of the following:(1)A market study that identifies high-priority routes and assesses demand for additional flights to and from Meadows Field Airport.(2)Funding mechanisms to support infrastructure upgrades, workforce development, and airline incentives. The funding mechanisms may include, but shall not be limited to, federal grants, state budget allocations, and private sector investments.(3)Local hiring initiatives and workforce training programs to ensure that residents of the County of Kern, including historically underserved communities, are qualified and competitive for new job opportunities generated by increased flight availability.(4)A plan to align training programs with the skills needed in industries such as aviation, logistics, hospitality, and construction. In addition to the entities described in subdivision (b), the department, in developing the plan, shall work with local business leaders, educational institutions, and workforce development boards to align training programs.(5)Performance metrics to evaluate the success of increased flight availability and its impact on the local economy, with a focus on job creation, business growth, and regional competitiveness.SEC. 3.The Legislature finds and declares that a special statute is necessary and that a general statute cannot be made applicable within the meaning of Section 16 of Article IV of the California Constitution because of the unique challenges faced by the County of Kern, the City of Bakersfield, and Meadows Field Airport.SEC. 4.If the Commission on State Mandates determines that this act contains costs mandated by the state, reimbursement to local agencies and school districts for those costs shall be made pursuant to Part 7 (commencing with Section 17500) of Division 4 of Title 2 of the Government Code.SEC. 2. Section 21689 is added to the Public Utilities Code, to read:21689. (a) Notwithstanding the provisions of this article, from the funds deposited into the Aeronautics Account in the State Transportation Fund pursuant to Section 7102.1 of the Revenue and Taxation Code, the Division of Aeronautics shall allocate annually to eligible recipients the following percentages of available funds for airports and aviation-related purposes:(1) Twelve percent for qualifying general aviation airports, to be credited to individual airport subaccounts in a manner consistent with the process established in Section 21682.(2) Thirty percent to be divided among large, medium, and small hub commercial airports and nonhub commercial airports, each as defined by the Federal Aviation Administration under Section 47102 of Title 49 of the United States Code, in the following percentages:(A) Twenty percent for large hub commercial airports.(B) Twenty percent for medium hub commercial airports.(C) Fourteen percent for small hub commercial airports.(D) Forty-six percent for nonhub commercial airports.(3) (A) Forty percent for grants to be made available to nonhub commercial airports with less than 300,000 enplanements annually to attract, establish, and expand air service through incentives, marketing, passenger studies, route analysis, and the acquisition of consultants.(B) Expenditures under subparagraph (A) shall be consistent with the Federal Register, Volume 64, Number 30, on February 16, 1999.(C) Priority for grants provided pursuant to subparagraph (A) shall be given to nonhub commercial airports located within cities with a population size greater than 400,000.(4) (A) Three percent to provide grants for aviation education that includes, but is not limited to, programs, projects, or initiatives that improve or enrich aviation within the California aviation community. Grants may include, but are not limited to, scholarships for flight training and aviation-related degrees from accredited universities.(B) Priority for grants provided pursuant to subparagraph (A) shall be given to underrepresented students, women, veterans, and persons of low income.(5) Ten percent for other state aviation programs and aviation-related purposes as authorized pursuant to this article.(6) (A) Not more than 5 percent for the divisions administrative costs.(B) Any unused funds under subparagraph (A) shall be allocated pursuant to paragraphs (1) to (5), inclusive, on a pro rata basis.(b) Sections 21686 to 21688, inclusive, shall apply to allocations of funds pursuant to this section.SEC. 3. Section 7102.3 is added to the Revenue and Taxation Code, to read:7102.3. (a) Notwithstanding Section 7102, revenues in the fund, less refunds, derived under this part from the imposition of state sales and use taxes pursuant to Sections 6051, 6051.3, 6201, and 6201.3, at the rate of 4.1875 percent, with respect to the sale, storage, use, or other consumption of aviation fuel shall be transferred to the Aeronautics Account in the State Transportation Fund for allocation to airports and aviation-related purposes in accordance with Section 21689 of the Public Utilities Code.(b) As used in this section, aviation fuel means jet fuel and aviation gasoline. Amended IN Senate April 07, 2025 CALIFORNIA LEGISLATURE 20252026 REGULAR SESSION Senate Bill No. 661Introduced by Senator HurtadoFebruary 20, 2025An act to add Section 21241.5 to the Public Utilities Code, relating to aeronautics. An act to add Section 21689 to the Public Utilities Code, and to add Section 7102.3 to the Revenue and Taxation Code, relating to airports, and making an appropriation therefor.LEGISLATIVE COUNSEL'S DIGESTSB 661, as amended, Hurtado. Aeronautics: County of Kern: Meadows Field Airport. Airports: financial assistance.The State Aeronautics Act establishes the Aeronautics Account in the State Transportation Fund, and continuously appropriates the moneys in the account for expenditure for airport purposes by the Division of Aeronautics within the Department of Transportation and the California Transportation Commission.This bill would require the revenues from the imposition of state sales and use taxes, at the rate of 4.1875%, on the sale, storage, use, or other consumption of aviation fuel, as defined, be transferred to the Aeronautics Account for allocation in specified percentages to qualifying general aviation airports, to commercial airports, and for other aviation-related purposes, as specified.By increasing the sources of funding for and expanding the purposes for which money may be used from a continuously appropriated fund, the Aeronautics Account, the bill would make an appropriation.The State Aeronautics Act requires the Department of Transportation, among other things, to encourage, foster, and assist the development of aeronautics in this state and to encourage the establishment of airports and air navigation facilities. The act requires the department to cooperate and assist the federal government, political subdivisions of this state, and others in the development of aeronautics, and to seek to coordinate their aeronautical activities.This bill would require the department to develop a plan to increase flight availability at Meadows Field Airport in the County of Kern. The bill would require the department, in developing the plan, to collaborate with the County of Kern, relevant state agencies, and with local and federal partners. The bill would require the plan to include, among others, a market study that identifies high-priority routes and assesses demand for additional flights to and from Meadows Field Airport.This bill would make legislative findings and declarations as to the necessity of a special statute for County of Kern, the City of Bakersfield, and Meadows Field Airport.To the extent that this bill would require a local entity to participate in the development of the plan, this bill would impose a state-mandated local program.The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.This bill would provide that, if the Commission on State Mandates determines that the bill contains costs mandated by the state, reimbursement for those costs shall be made pursuant to the statutory provisions noted above.Digest Key Vote: MAJORITY2/3 Appropriation: NOYES Fiscal Committee: YES Local Program: YESNO Amended IN Senate April 07, 2025 Amended IN Senate April 07, 2025 CALIFORNIA LEGISLATURE 20252026 REGULAR SESSION Senate Bill No. 661 Introduced by Senator HurtadoFebruary 20, 2025 Introduced by Senator Hurtado February 20, 2025 An act to add Section 21241.5 to the Public Utilities Code, relating to aeronautics. An act to add Section 21689 to the Public Utilities Code, and to add Section 7102.3 to the Revenue and Taxation Code, relating to airports, and making an appropriation therefor. LEGISLATIVE COUNSEL'S DIGEST ## LEGISLATIVE COUNSEL'S DIGEST SB 661, as amended, Hurtado. Aeronautics: County of Kern: Meadows Field Airport. Airports: financial assistance. The State Aeronautics Act establishes the Aeronautics Account in the State Transportation Fund, and continuously appropriates the moneys in the account for expenditure for airport purposes by the Division of Aeronautics within the Department of Transportation and the California Transportation Commission.This bill would require the revenues from the imposition of state sales and use taxes, at the rate of 4.1875%, on the sale, storage, use, or other consumption of aviation fuel, as defined, be transferred to the Aeronautics Account for allocation in specified percentages to qualifying general aviation airports, to commercial airports, and for other aviation-related purposes, as specified.By increasing the sources of funding for and expanding the purposes for which money may be used from a continuously appropriated fund, the Aeronautics Account, the bill would make an appropriation.The State Aeronautics Act requires the Department of Transportation, among other things, to encourage, foster, and assist the development of aeronautics in this state and to encourage the establishment of airports and air navigation facilities. The act requires the department to cooperate and assist the federal government, political subdivisions of this state, and others in the development of aeronautics, and to seek to coordinate their aeronautical activities.This bill would require the department to develop a plan to increase flight availability at Meadows Field Airport in the County of Kern. The bill would require the department, in developing the plan, to collaborate with the County of Kern, relevant state agencies, and with local and federal partners. The bill would require the plan to include, among others, a market study that identifies high-priority routes and assesses demand for additional flights to and from Meadows Field Airport.This bill would make legislative findings and declarations as to the necessity of a special statute for County of Kern, the City of Bakersfield, and Meadows Field Airport.To the extent that this bill would require a local entity to participate in the development of the plan, this bill would impose a state-mandated local program.The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.This bill would provide that, if the Commission on State Mandates determines that the bill contains costs mandated by the state, reimbursement for those costs shall be made pursuant to the statutory provisions noted above. The State Aeronautics Act establishes the Aeronautics Account in the State Transportation Fund, and continuously appropriates the moneys in the account for expenditure for airport purposes by the Division of Aeronautics within the Department of Transportation and the California Transportation Commission. This bill would require the revenues from the imposition of state sales and use taxes, at the rate of 4.1875%, on the sale, storage, use, or other consumption of aviation fuel, as defined, be transferred to the Aeronautics Account for allocation in specified percentages to qualifying general aviation airports, to commercial airports, and for other aviation-related purposes, as specified. By increasing the sources of funding for and expanding the purposes for which money may be used from a continuously appropriated fund, the Aeronautics Account, the bill would make an appropriation. The State Aeronautics Act requires the Department of Transportation, among other things, to encourage, foster, and assist the development of aeronautics in this state and to encourage the establishment of airports and air navigation facilities. The act requires the department to cooperate and assist the federal government, political subdivisions of this state, and others in the development of aeronautics, and to seek to coordinate their aeronautical activities. This bill would require the department to develop a plan to increase flight availability at Meadows Field Airport in the County of Kern. The bill would require the department, in developing the plan, to collaborate with the County of Kern, relevant state agencies, and with local and federal partners. The bill would require the plan to include, among others, a market study that identifies high-priority routes and assesses demand for additional flights to and from Meadows Field Airport. This bill would make legislative findings and declarations as to the necessity of a special statute for County of Kern, the City of Bakersfield, and Meadows Field Airport. To the extent that this bill would require a local entity to participate in the development of the plan, this bill would impose a state-mandated local program. The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement. This bill would provide that, if the Commission on State Mandates determines that the bill contains costs mandated by the state, reimbursement for those costs shall be made pursuant to the statutory provisions noted above. ## Digest Key ## Bill Text The people of the State of California do enact as follows:SECTION 1. (a) The Legislature finds and declares all of the following:(1) The City of Bakersfield is one of the fastest growing metropolitan areas in California, with a population exceeding 400,000 people, and serves as the hub of the County of Kern, an economic powerhouse driven by the agriculture, energy, logistics, and healthcare health care industries.(2) Enhanced air transportation services, both public and private, are critical to supporting economic development in the County of Kern by improving connectivity for residents, businesses, and visitors.(3) The availability of increased flights to the County of Kern will create significant opportunities for local job creation, particularly in industries such as:(A) Aviation and airport operations, including roles in ground services, maintenance, and customer support.(B) Hospitality and tourism, as better connectivity attracts conferences, business travel, and leisure visitors to the region.(C) Logistics and supply chain management, which rely on efficient air cargo services to support local businesses and industries.(D) Construction and infrastructure development, as investments are made in airport facilities and surrounding areas.(4) Job creation in the County of Kern is especially critical for addressing the unique challenges faced by the county, including, but not limited to, all of the following:(A) Higher than average unemployment rates in comparison to the state average.(B) Economic disparities in rural and underserved communities that would benefit from increased connectivity to statewide and national opportunities.(C) The need to diversify the economy and provide stable employment opportunities outside of traditional industries such as oil and gas.(5) Expanding flight access to the County of Kern will strengthen the regions competitiveness by attracting new businesses and investment, fostering innovation, and encouraging young professionals to stay in the area rather than seeking opportunities elsewhere.(6) Improved connectivity also directly supports key industries in the County of Kern, such as agriculture and energy, by providing quicker and more efficient access to clients, suppliers, and markets throughout California, the nation, and the world.(7) As California continues to emphasize equitable economic development, regional air transportation access should align with the needs of underserved and emerging areas, such as County of Kern, to ensure statewide economic resiliency and inclusivity.(b) It is the intent of the Legislature that this legislation does all of the following:(1) Facilitates increased public and private investments to expand the number of flights to and from the County of Kern, including domestic and international routes, to better serve the regions growing population and economic potential.(2) Encourages partnerships among local governments, the aviation industry, and private stakeholders to improve infrastructure at the Meadows Field Airport, near the City of Bakersfield in the County of Kern, and other related facilities, ensuring the region is well-equipped to support increased flight capacity.(3) Explores incentives and grants to attract airlines to add new routes or increase frequency of existing flights to the County of Kern, particularly targeting underserved or high-demand routes.(4) Prioritizes the creation of local, high-quality jobs in aviation, airport operations, hospitality, and associated industries as part of any expansion plan, ensuring that the economic benefits directly support residents of the County of Kern.(5) Promotes economic development through enhanced air connectivity, including attracting conferences, trade shows, and other large-scale events to the region.(6) Recognizes the importance of air travel as a means to improve access to healthcare, health care, education, and business opportunities for residents of the County of Kern, especially for rural and underserved communities.(7) Establishes a statewide task force or advisory committee to identify and address barriers to expanding air transportation in the County of Kern, with an emphasis on ensuring that such expansion benefits local businesses, residents, and underserved communities.(8) Evaluates and mitigates potential environmental impacts associated with increased air travel to ensure alignment with Californias sustainability and climate goals.SEC. 2.Section 21241.5 is added to the Public Utilities Code, to read:21241.5.(a)The department shall develop a plan to increase flight availability at Meadows Field Airport in the County of Kern.(b)In developing the plan, the department shall collaborate with the County of Kern, relevant state agencies, and with local and federal partners.(c)The plan shall include all of the following:(1)A market study that identifies high-priority routes and assesses demand for additional flights to and from Meadows Field Airport.(2)Funding mechanisms to support infrastructure upgrades, workforce development, and airline incentives. The funding mechanisms may include, but shall not be limited to, federal grants, state budget allocations, and private sector investments.(3)Local hiring initiatives and workforce training programs to ensure that residents of the County of Kern, including historically underserved communities, are qualified and competitive for new job opportunities generated by increased flight availability.(4)A plan to align training programs with the skills needed in industries such as aviation, logistics, hospitality, and construction. In addition to the entities described in subdivision (b), the department, in developing the plan, shall work with local business leaders, educational institutions, and workforce development boards to align training programs.(5)Performance metrics to evaluate the success of increased flight availability and its impact on the local economy, with a focus on job creation, business growth, and regional competitiveness.SEC. 3.The Legislature finds and declares that a special statute is necessary and that a general statute cannot be made applicable within the meaning of Section 16 of Article IV of the California Constitution because of the unique challenges faced by the County of Kern, the City of Bakersfield, and Meadows Field Airport.SEC. 4.If the Commission on State Mandates determines that this act contains costs mandated by the state, reimbursement to local agencies and school districts for those costs shall be made pursuant to Part 7 (commencing with Section 17500) of Division 4 of Title 2 of the Government Code.SEC. 2. Section 21689 is added to the Public Utilities Code, to read:21689. (a) Notwithstanding the provisions of this article, from the funds deposited into the Aeronautics Account in the State Transportation Fund pursuant to Section 7102.1 of the Revenue and Taxation Code, the Division of Aeronautics shall allocate annually to eligible recipients the following percentages of available funds for airports and aviation-related purposes:(1) Twelve percent for qualifying general aviation airports, to be credited to individual airport subaccounts in a manner consistent with the process established in Section 21682.(2) Thirty percent to be divided among large, medium, and small hub commercial airports and nonhub commercial airports, each as defined by the Federal Aviation Administration under Section 47102 of Title 49 of the United States Code, in the following percentages:(A) Twenty percent for large hub commercial airports.(B) Twenty percent for medium hub commercial airports.(C) Fourteen percent for small hub commercial airports.(D) Forty-six percent for nonhub commercial airports.(3) (A) Forty percent for grants to be made available to nonhub commercial airports with less than 300,000 enplanements annually to attract, establish, and expand air service through incentives, marketing, passenger studies, route analysis, and the acquisition of consultants.(B) Expenditures under subparagraph (A) shall be consistent with the Federal Register, Volume 64, Number 30, on February 16, 1999.(C) Priority for grants provided pursuant to subparagraph (A) shall be given to nonhub commercial airports located within cities with a population size greater than 400,000.(4) (A) Three percent to provide grants for aviation education that includes, but is not limited to, programs, projects, or initiatives that improve or enrich aviation within the California aviation community. Grants may include, but are not limited to, scholarships for flight training and aviation-related degrees from accredited universities.(B) Priority for grants provided pursuant to subparagraph (A) shall be given to underrepresented students, women, veterans, and persons of low income.(5) Ten percent for other state aviation programs and aviation-related purposes as authorized pursuant to this article.(6) (A) Not more than 5 percent for the divisions administrative costs.(B) Any unused funds under subparagraph (A) shall be allocated pursuant to paragraphs (1) to (5), inclusive, on a pro rata basis.(b) Sections 21686 to 21688, inclusive, shall apply to allocations of funds pursuant to this section.SEC. 3. Section 7102.3 is added to the Revenue and Taxation Code, to read:7102.3. (a) Notwithstanding Section 7102, revenues in the fund, less refunds, derived under this part from the imposition of state sales and use taxes pursuant to Sections 6051, 6051.3, 6201, and 6201.3, at the rate of 4.1875 percent, with respect to the sale, storage, use, or other consumption of aviation fuel shall be transferred to the Aeronautics Account in the State Transportation Fund for allocation to airports and aviation-related purposes in accordance with Section 21689 of the Public Utilities Code.(b) As used in this section, aviation fuel means jet fuel and aviation gasoline. The people of the State of California do enact as follows: ## The people of the State of California do enact as follows: SECTION 1. (a) The Legislature finds and declares all of the following:(1) The City of Bakersfield is one of the fastest growing metropolitan areas in California, with a population exceeding 400,000 people, and serves as the hub of the County of Kern, an economic powerhouse driven by the agriculture, energy, logistics, and healthcare health care industries.(2) Enhanced air transportation services, both public and private, are critical to supporting economic development in the County of Kern by improving connectivity for residents, businesses, and visitors.(3) The availability of increased flights to the County of Kern will create significant opportunities for local job creation, particularly in industries such as:(A) Aviation and airport operations, including roles in ground services, maintenance, and customer support.(B) Hospitality and tourism, as better connectivity attracts conferences, business travel, and leisure visitors to the region.(C) Logistics and supply chain management, which rely on efficient air cargo services to support local businesses and industries.(D) Construction and infrastructure development, as investments are made in airport facilities and surrounding areas.(4) Job creation in the County of Kern is especially critical for addressing the unique challenges faced by the county, including, but not limited to, all of the following:(A) Higher than average unemployment rates in comparison to the state average.(B) Economic disparities in rural and underserved communities that would benefit from increased connectivity to statewide and national opportunities.(C) The need to diversify the economy and provide stable employment opportunities outside of traditional industries such as oil and gas.(5) Expanding flight access to the County of Kern will strengthen the regions competitiveness by attracting new businesses and investment, fostering innovation, and encouraging young professionals to stay in the area rather than seeking opportunities elsewhere.(6) Improved connectivity also directly supports key industries in the County of Kern, such as agriculture and energy, by providing quicker and more efficient access to clients, suppliers, and markets throughout California, the nation, and the world.(7) As California continues to emphasize equitable economic development, regional air transportation access should align with the needs of underserved and emerging areas, such as County of Kern, to ensure statewide economic resiliency and inclusivity.(b) It is the intent of the Legislature that this legislation does all of the following:(1) Facilitates increased public and private investments to expand the number of flights to and from the County of Kern, including domestic and international routes, to better serve the regions growing population and economic potential.(2) Encourages partnerships among local governments, the aviation industry, and private stakeholders to improve infrastructure at the Meadows Field Airport, near the City of Bakersfield in the County of Kern, and other related facilities, ensuring the region is well-equipped to support increased flight capacity.(3) Explores incentives and grants to attract airlines to add new routes or increase frequency of existing flights to the County of Kern, particularly targeting underserved or high-demand routes.(4) Prioritizes the creation of local, high-quality jobs in aviation, airport operations, hospitality, and associated industries as part of any expansion plan, ensuring that the economic benefits directly support residents of the County of Kern.(5) Promotes economic development through enhanced air connectivity, including attracting conferences, trade shows, and other large-scale events to the region.(6) Recognizes the importance of air travel as a means to improve access to healthcare, health care, education, and business opportunities for residents of the County of Kern, especially for rural and underserved communities.(7) Establishes a statewide task force or advisory committee to identify and address barriers to expanding air transportation in the County of Kern, with an emphasis on ensuring that such expansion benefits local businesses, residents, and underserved communities.(8) Evaluates and mitigates potential environmental impacts associated with increased air travel to ensure alignment with Californias sustainability and climate goals. SECTION 1. (a) The Legislature finds and declares all of the following:(1) The City of Bakersfield is one of the fastest growing metropolitan areas in California, with a population exceeding 400,000 people, and serves as the hub of the County of Kern, an economic powerhouse driven by the agriculture, energy, logistics, and healthcare health care industries.(2) Enhanced air transportation services, both public and private, are critical to supporting economic development in the County of Kern by improving connectivity for residents, businesses, and visitors.(3) The availability of increased flights to the County of Kern will create significant opportunities for local job creation, particularly in industries such as:(A) Aviation and airport operations, including roles in ground services, maintenance, and customer support.(B) Hospitality and tourism, as better connectivity attracts conferences, business travel, and leisure visitors to the region.(C) Logistics and supply chain management, which rely on efficient air cargo services to support local businesses and industries.(D) Construction and infrastructure development, as investments are made in airport facilities and surrounding areas.(4) Job creation in the County of Kern is especially critical for addressing the unique challenges faced by the county, including, but not limited to, all of the following:(A) Higher than average unemployment rates in comparison to the state average.(B) Economic disparities in rural and underserved communities that would benefit from increased connectivity to statewide and national opportunities.(C) The need to diversify the economy and provide stable employment opportunities outside of traditional industries such as oil and gas.(5) Expanding flight access to the County of Kern will strengthen the regions competitiveness by attracting new businesses and investment, fostering innovation, and encouraging young professionals to stay in the area rather than seeking opportunities elsewhere.(6) Improved connectivity also directly supports key industries in the County of Kern, such as agriculture and energy, by providing quicker and more efficient access to clients, suppliers, and markets throughout California, the nation, and the world.(7) As California continues to emphasize equitable economic development, regional air transportation access should align with the needs of underserved and emerging areas, such as County of Kern, to ensure statewide economic resiliency and inclusivity.(b) It is the intent of the Legislature that this legislation does all of the following:(1) Facilitates increased public and private investments to expand the number of flights to and from the County of Kern, including domestic and international routes, to better serve the regions growing population and economic potential.(2) Encourages partnerships among local governments, the aviation industry, and private stakeholders to improve infrastructure at the Meadows Field Airport, near the City of Bakersfield in the County of Kern, and other related facilities, ensuring the region is well-equipped to support increased flight capacity.(3) Explores incentives and grants to attract airlines to add new routes or increase frequency of existing flights to the County of Kern, particularly targeting underserved or high-demand routes.(4) Prioritizes the creation of local, high-quality jobs in aviation, airport operations, hospitality, and associated industries as part of any expansion plan, ensuring that the economic benefits directly support residents of the County of Kern.(5) Promotes economic development through enhanced air connectivity, including attracting conferences, trade shows, and other large-scale events to the region.(6) Recognizes the importance of air travel as a means to improve access to healthcare, health care, education, and business opportunities for residents of the County of Kern, especially for rural and underserved communities.(7) Establishes a statewide task force or advisory committee to identify and address barriers to expanding air transportation in the County of Kern, with an emphasis on ensuring that such expansion benefits local businesses, residents, and underserved communities.(8) Evaluates and mitigates potential environmental impacts associated with increased air travel to ensure alignment with Californias sustainability and climate goals. SECTION 1. (a) The Legislature finds and declares all of the following: ### SECTION 1. (1) The City of Bakersfield is one of the fastest growing metropolitan areas in California, with a population exceeding 400,000 people, and serves as the hub of the County of Kern, an economic powerhouse driven by the agriculture, energy, logistics, and healthcare health care industries. (2) Enhanced air transportation services, both public and private, are critical to supporting economic development in the County of Kern by improving connectivity for residents, businesses, and visitors. (3) The availability of increased flights to the County of Kern will create significant opportunities for local job creation, particularly in industries such as: (A) Aviation and airport operations, including roles in ground services, maintenance, and customer support. (B) Hospitality and tourism, as better connectivity attracts conferences, business travel, and leisure visitors to the region. (C) Logistics and supply chain management, which rely on efficient air cargo services to support local businesses and industries. (D) Construction and infrastructure development, as investments are made in airport facilities and surrounding areas. (4) Job creation in the County of Kern is especially critical for addressing the unique challenges faced by the county, including, but not limited to, all of the following: (A) Higher than average unemployment rates in comparison to the state average. (B) Economic disparities in rural and underserved communities that would benefit from increased connectivity to statewide and national opportunities. (C) The need to diversify the economy and provide stable employment opportunities outside of traditional industries such as oil and gas. (5) Expanding flight access to the County of Kern will strengthen the regions competitiveness by attracting new businesses and investment, fostering innovation, and encouraging young professionals to stay in the area rather than seeking opportunities elsewhere. (6) Improved connectivity also directly supports key industries in the County of Kern, such as agriculture and energy, by providing quicker and more efficient access to clients, suppliers, and markets throughout California, the nation, and the world. (7) As California continues to emphasize equitable economic development, regional air transportation access should align with the needs of underserved and emerging areas, such as County of Kern, to ensure statewide economic resiliency and inclusivity. (b) It is the intent of the Legislature that this legislation does all of the following: (1) Facilitates increased public and private investments to expand the number of flights to and from the County of Kern, including domestic and international routes, to better serve the regions growing population and economic potential. (2) Encourages partnerships among local governments, the aviation industry, and private stakeholders to improve infrastructure at the Meadows Field Airport, near the City of Bakersfield in the County of Kern, and other related facilities, ensuring the region is well-equipped to support increased flight capacity. (3) Explores incentives and grants to attract airlines to add new routes or increase frequency of existing flights to the County of Kern, particularly targeting underserved or high-demand routes. (4) Prioritizes the creation of local, high-quality jobs in aviation, airport operations, hospitality, and associated industries as part of any expansion plan, ensuring that the economic benefits directly support residents of the County of Kern. (5) Promotes economic development through enhanced air connectivity, including attracting conferences, trade shows, and other large-scale events to the region. (6) Recognizes the importance of air travel as a means to improve access to healthcare, health care, education, and business opportunities for residents of the County of Kern, especially for rural and underserved communities. (7) Establishes a statewide task force or advisory committee to identify and address barriers to expanding air transportation in the County of Kern, with an emphasis on ensuring that such expansion benefits local businesses, residents, and underserved communities. (8) Evaluates and mitigates potential environmental impacts associated with increased air travel to ensure alignment with Californias sustainability and climate goals. (a)The department shall develop a plan to increase flight availability at Meadows Field Airport in the County of Kern. (b)In developing the plan, the department shall collaborate with the County of Kern, relevant state agencies, and with local and federal partners. (c)The plan shall include all of the following: (1)A market study that identifies high-priority routes and assesses demand for additional flights to and from Meadows Field Airport. (2)Funding mechanisms to support infrastructure upgrades, workforce development, and airline incentives. The funding mechanisms may include, but shall not be limited to, federal grants, state budget allocations, and private sector investments. (3)Local hiring initiatives and workforce training programs to ensure that residents of the County of Kern, including historically underserved communities, are qualified and competitive for new job opportunities generated by increased flight availability. (4)A plan to align training programs with the skills needed in industries such as aviation, logistics, hospitality, and construction. In addition to the entities described in subdivision (b), the department, in developing the plan, shall work with local business leaders, educational institutions, and workforce development boards to align training programs. (5)Performance metrics to evaluate the success of increased flight availability and its impact on the local economy, with a focus on job creation, business growth, and regional competitiveness. The Legislature finds and declares that a special statute is necessary and that a general statute cannot be made applicable within the meaning of Section 16 of Article IV of the California Constitution because of the unique challenges faced by the County of Kern, the City of Bakersfield, and Meadows Field Airport. If the Commission on State Mandates determines that this act contains costs mandated by the state, reimbursement to local agencies and school districts for those costs shall be made pursuant to Part 7 (commencing with Section 17500) of Division 4 of Title 2 of the Government Code. SEC. 2. Section 21689 is added to the Public Utilities Code, to read:21689. (a) Notwithstanding the provisions of this article, from the funds deposited into the Aeronautics Account in the State Transportation Fund pursuant to Section 7102.1 of the Revenue and Taxation Code, the Division of Aeronautics shall allocate annually to eligible recipients the following percentages of available funds for airports and aviation-related purposes:(1) Twelve percent for qualifying general aviation airports, to be credited to individual airport subaccounts in a manner consistent with the process established in Section 21682.(2) Thirty percent to be divided among large, medium, and small hub commercial airports and nonhub commercial airports, each as defined by the Federal Aviation Administration under Section 47102 of Title 49 of the United States Code, in the following percentages:(A) Twenty percent for large hub commercial airports.(B) Twenty percent for medium hub commercial airports.(C) Fourteen percent for small hub commercial airports.(D) Forty-six percent for nonhub commercial airports.(3) (A) Forty percent for grants to be made available to nonhub commercial airports with less than 300,000 enplanements annually to attract, establish, and expand air service through incentives, marketing, passenger studies, route analysis, and the acquisition of consultants.(B) Expenditures under subparagraph (A) shall be consistent with the Federal Register, Volume 64, Number 30, on February 16, 1999.(C) Priority for grants provided pursuant to subparagraph (A) shall be given to nonhub commercial airports located within cities with a population size greater than 400,000.(4) (A) Three percent to provide grants for aviation education that includes, but is not limited to, programs, projects, or initiatives that improve or enrich aviation within the California aviation community. Grants may include, but are not limited to, scholarships for flight training and aviation-related degrees from accredited universities.(B) Priority for grants provided pursuant to subparagraph (A) shall be given to underrepresented students, women, veterans, and persons of low income.(5) Ten percent for other state aviation programs and aviation-related purposes as authorized pursuant to this article.(6) (A) Not more than 5 percent for the divisions administrative costs.(B) Any unused funds under subparagraph (A) shall be allocated pursuant to paragraphs (1) to (5), inclusive, on a pro rata basis.(b) Sections 21686 to 21688, inclusive, shall apply to allocations of funds pursuant to this section. SEC. 2. Section 21689 is added to the Public Utilities Code, to read: ### SEC. 2. 21689. (a) Notwithstanding the provisions of this article, from the funds deposited into the Aeronautics Account in the State Transportation Fund pursuant to Section 7102.1 of the Revenue and Taxation Code, the Division of Aeronautics shall allocate annually to eligible recipients the following percentages of available funds for airports and aviation-related purposes:(1) Twelve percent for qualifying general aviation airports, to be credited to individual airport subaccounts in a manner consistent with the process established in Section 21682.(2) Thirty percent to be divided among large, medium, and small hub commercial airports and nonhub commercial airports, each as defined by the Federal Aviation Administration under Section 47102 of Title 49 of the United States Code, in the following percentages:(A) Twenty percent for large hub commercial airports.(B) Twenty percent for medium hub commercial airports.(C) Fourteen percent for small hub commercial airports.(D) Forty-six percent for nonhub commercial airports.(3) (A) Forty percent for grants to be made available to nonhub commercial airports with less than 300,000 enplanements annually to attract, establish, and expand air service through incentives, marketing, passenger studies, route analysis, and the acquisition of consultants.(B) Expenditures under subparagraph (A) shall be consistent with the Federal Register, Volume 64, Number 30, on February 16, 1999.(C) Priority for grants provided pursuant to subparagraph (A) shall be given to nonhub commercial airports located within cities with a population size greater than 400,000.(4) (A) Three percent to provide grants for aviation education that includes, but is not limited to, programs, projects, or initiatives that improve or enrich aviation within the California aviation community. Grants may include, but are not limited to, scholarships for flight training and aviation-related degrees from accredited universities.(B) Priority for grants provided pursuant to subparagraph (A) shall be given to underrepresented students, women, veterans, and persons of low income.(5) Ten percent for other state aviation programs and aviation-related purposes as authorized pursuant to this article.(6) (A) Not more than 5 percent for the divisions administrative costs.(B) Any unused funds under subparagraph (A) shall be allocated pursuant to paragraphs (1) to (5), inclusive, on a pro rata basis.(b) Sections 21686 to 21688, inclusive, shall apply to allocations of funds pursuant to this section. 21689. (a) Notwithstanding the provisions of this article, from the funds deposited into the Aeronautics Account in the State Transportation Fund pursuant to Section 7102.1 of the Revenue and Taxation Code, the Division of Aeronautics shall allocate annually to eligible recipients the following percentages of available funds for airports and aviation-related purposes:(1) Twelve percent for qualifying general aviation airports, to be credited to individual airport subaccounts in a manner consistent with the process established in Section 21682.(2) Thirty percent to be divided among large, medium, and small hub commercial airports and nonhub commercial airports, each as defined by the Federal Aviation Administration under Section 47102 of Title 49 of the United States Code, in the following percentages:(A) Twenty percent for large hub commercial airports.(B) Twenty percent for medium hub commercial airports.(C) Fourteen percent for small hub commercial airports.(D) Forty-six percent for nonhub commercial airports.(3) (A) Forty percent for grants to be made available to nonhub commercial airports with less than 300,000 enplanements annually to attract, establish, and expand air service through incentives, marketing, passenger studies, route analysis, and the acquisition of consultants.(B) Expenditures under subparagraph (A) shall be consistent with the Federal Register, Volume 64, Number 30, on February 16, 1999.(C) Priority for grants provided pursuant to subparagraph (A) shall be given to nonhub commercial airports located within cities with a population size greater than 400,000.(4) (A) Three percent to provide grants for aviation education that includes, but is not limited to, programs, projects, or initiatives that improve or enrich aviation within the California aviation community. Grants may include, but are not limited to, scholarships for flight training and aviation-related degrees from accredited universities.(B) Priority for grants provided pursuant to subparagraph (A) shall be given to underrepresented students, women, veterans, and persons of low income.(5) Ten percent for other state aviation programs and aviation-related purposes as authorized pursuant to this article.(6) (A) Not more than 5 percent for the divisions administrative costs.(B) Any unused funds under subparagraph (A) shall be allocated pursuant to paragraphs (1) to (5), inclusive, on a pro rata basis.(b) Sections 21686 to 21688, inclusive, shall apply to allocations of funds pursuant to this section. 21689. (a) Notwithstanding the provisions of this article, from the funds deposited into the Aeronautics Account in the State Transportation Fund pursuant to Section 7102.1 of the Revenue and Taxation Code, the Division of Aeronautics shall allocate annually to eligible recipients the following percentages of available funds for airports and aviation-related purposes:(1) Twelve percent for qualifying general aviation airports, to be credited to individual airport subaccounts in a manner consistent with the process established in Section 21682.(2) Thirty percent to be divided among large, medium, and small hub commercial airports and nonhub commercial airports, each as defined by the Federal Aviation Administration under Section 47102 of Title 49 of the United States Code, in the following percentages:(A) Twenty percent for large hub commercial airports.(B) Twenty percent for medium hub commercial airports.(C) Fourteen percent for small hub commercial airports.(D) Forty-six percent for nonhub commercial airports.(3) (A) Forty percent for grants to be made available to nonhub commercial airports with less than 300,000 enplanements annually to attract, establish, and expand air service through incentives, marketing, passenger studies, route analysis, and the acquisition of consultants.(B) Expenditures under subparagraph (A) shall be consistent with the Federal Register, Volume 64, Number 30, on February 16, 1999.(C) Priority for grants provided pursuant to subparagraph (A) shall be given to nonhub commercial airports located within cities with a population size greater than 400,000.(4) (A) Three percent to provide grants for aviation education that includes, but is not limited to, programs, projects, or initiatives that improve or enrich aviation within the California aviation community. Grants may include, but are not limited to, scholarships for flight training and aviation-related degrees from accredited universities.(B) Priority for grants provided pursuant to subparagraph (A) shall be given to underrepresented students, women, veterans, and persons of low income.(5) Ten percent for other state aviation programs and aviation-related purposes as authorized pursuant to this article.(6) (A) Not more than 5 percent for the divisions administrative costs.(B) Any unused funds under subparagraph (A) shall be allocated pursuant to paragraphs (1) to (5), inclusive, on a pro rata basis.(b) Sections 21686 to 21688, inclusive, shall apply to allocations of funds pursuant to this section. 21689. (a) Notwithstanding the provisions of this article, from the funds deposited into the Aeronautics Account in the State Transportation Fund pursuant to Section 7102.1 of the Revenue and Taxation Code, the Division of Aeronautics shall allocate annually to eligible recipients the following percentages of available funds for airports and aviation-related purposes: (1) Twelve percent for qualifying general aviation airports, to be credited to individual airport subaccounts in a manner consistent with the process established in Section 21682. (2) Thirty percent to be divided among large, medium, and small hub commercial airports and nonhub commercial airports, each as defined by the Federal Aviation Administration under Section 47102 of Title 49 of the United States Code, in the following percentages: (A) Twenty percent for large hub commercial airports. (B) Twenty percent for medium hub commercial airports. (C) Fourteen percent for small hub commercial airports. (D) Forty-six percent for nonhub commercial airports. (3) (A) Forty percent for grants to be made available to nonhub commercial airports with less than 300,000 enplanements annually to attract, establish, and expand air service through incentives, marketing, passenger studies, route analysis, and the acquisition of consultants. (B) Expenditures under subparagraph (A) shall be consistent with the Federal Register, Volume 64, Number 30, on February 16, 1999. (C) Priority for grants provided pursuant to subparagraph (A) shall be given to nonhub commercial airports located within cities with a population size greater than 400,000. (4) (A) Three percent to provide grants for aviation education that includes, but is not limited to, programs, projects, or initiatives that improve or enrich aviation within the California aviation community. Grants may include, but are not limited to, scholarships for flight training and aviation-related degrees from accredited universities. (B) Priority for grants provided pursuant to subparagraph (A) shall be given to underrepresented students, women, veterans, and persons of low income. (5) Ten percent for other state aviation programs and aviation-related purposes as authorized pursuant to this article. (6) (A) Not more than 5 percent for the divisions administrative costs. (B) Any unused funds under subparagraph (A) shall be allocated pursuant to paragraphs (1) to (5), inclusive, on a pro rata basis. (b) Sections 21686 to 21688, inclusive, shall apply to allocations of funds pursuant to this section. SEC. 3. Section 7102.3 is added to the Revenue and Taxation Code, to read:7102.3. (a) Notwithstanding Section 7102, revenues in the fund, less refunds, derived under this part from the imposition of state sales and use taxes pursuant to Sections 6051, 6051.3, 6201, and 6201.3, at the rate of 4.1875 percent, with respect to the sale, storage, use, or other consumption of aviation fuel shall be transferred to the Aeronautics Account in the State Transportation Fund for allocation to airports and aviation-related purposes in accordance with Section 21689 of the Public Utilities Code.(b) As used in this section, aviation fuel means jet fuel and aviation gasoline. SEC. 3. Section 7102.3 is added to the Revenue and Taxation Code, to read: ### SEC. 3. 7102.3. (a) Notwithstanding Section 7102, revenues in the fund, less refunds, derived under this part from the imposition of state sales and use taxes pursuant to Sections 6051, 6051.3, 6201, and 6201.3, at the rate of 4.1875 percent, with respect to the sale, storage, use, or other consumption of aviation fuel shall be transferred to the Aeronautics Account in the State Transportation Fund for allocation to airports and aviation-related purposes in accordance with Section 21689 of the Public Utilities Code.(b) As used in this section, aviation fuel means jet fuel and aviation gasoline. 7102.3. (a) Notwithstanding Section 7102, revenues in the fund, less refunds, derived under this part from the imposition of state sales and use taxes pursuant to Sections 6051, 6051.3, 6201, and 6201.3, at the rate of 4.1875 percent, with respect to the sale, storage, use, or other consumption of aviation fuel shall be transferred to the Aeronautics Account in the State Transportation Fund for allocation to airports and aviation-related purposes in accordance with Section 21689 of the Public Utilities Code.(b) As used in this section, aviation fuel means jet fuel and aviation gasoline. 7102.3. (a) Notwithstanding Section 7102, revenues in the fund, less refunds, derived under this part from the imposition of state sales and use taxes pursuant to Sections 6051, 6051.3, 6201, and 6201.3, at the rate of 4.1875 percent, with respect to the sale, storage, use, or other consumption of aviation fuel shall be transferred to the Aeronautics Account in the State Transportation Fund for allocation to airports and aviation-related purposes in accordance with Section 21689 of the Public Utilities Code.(b) As used in this section, aviation fuel means jet fuel and aviation gasoline. 7102.3. (a) Notwithstanding Section 7102, revenues in the fund, less refunds, derived under this part from the imposition of state sales and use taxes pursuant to Sections 6051, 6051.3, 6201, and 6201.3, at the rate of 4.1875 percent, with respect to the sale, storage, use, or other consumption of aviation fuel shall be transferred to the Aeronautics Account in the State Transportation Fund for allocation to airports and aviation-related purposes in accordance with Section 21689 of the Public Utilities Code. (b) As used in this section, aviation fuel means jet fuel and aviation gasoline.