The $3.50 Rental Car Spat Over a $1 Billion Project

Marina Within the Chula Vista Bayfront

Once again, pure greed appears to have surfaced in the American car rental industry. The Port of San Diego has plans in place to build a $1 billion Bayfront hotel and convention center in Chula Vista, the second largest city in the San Diego metropolitan area. A project like that could create hundreds of new jobs and provide the city with a welcome injection of new business.

The Port of San Diego thought it a good idea to charge car rental companies a $3.50 fee each time one of their vehicles entered the envisaged 1,600-space parking garage that was part of the design. They figured this would eventually fund that part of the project.

 

Airport Authority Supports Enterprise and Hertz

 

From where we sit, this sounds fair since the rental companies would be making a profit from the process. Moreover, the rate appears reasonable, and non-profiteering since the payback period would be eight years. However, Enterprise Rent-A-Car and Hertz Corp. want nothing to do with it according to San Diego Tribune.

They opened a lawsuit against the Port of San Diego, which the San Diego Airport Authority joined in a move that surprised many residents. Several officials criticized the airport authority’s decision, including Chula Vista Mayor Mary Casillas Salas and State Assemblywoman Lorena Gonzalez Fletcher.

 

Truce Between Airport Authority and San Diego Port

 

This Monday August 27 the two authorities got around to deciding to stop wasting taxpayers’ money over a spat involving two very wealthy car rental companies. The San Diego Airport Authority withdrew from the case, on the basis the Port of San Diego would not increase the $3.50 fee going forward.

Curiously, it also agreed to give the airport authority 30-day’s notice before levying any taxes on ride-sharing companies and shuttle services in future. However, Rent-A-Car and Hertz Corp. are still not letting go. They figure the fee is actually a tax and therefore requires voter approval.

We’ll let the airport authority have the final backslapping moment of self-praise. “The Airport Authority stands behind important projects, like the Chula Vista Bayfront redevelopment, that draw visitors to our region. Regional prosperity hinges on everyone working together, and in this case, both parties have done that.”

Bonzah primary rental car insurance publishes this in the interest of renters of autos everywhere. We thought you would like to know where some of the ridiculously high collision damage and loss waiver money goes, that they are assure you is great value for money.

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Marina Within the Chula Vista Bayfront: Port of San Diego BY CC 2.0