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HELICOPTER AIR SERVICE PROGRAM                         145

The heliport, a parcel of land approximately two acres in size, has proven adequate as a replacement. Most of LAA's landing sites have been negotiated on long-term, low-cost lease operating arrangement. For example:
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Heliport |  Term  | LAA construction cost | Annual rental 
         | (years)|
San Bernardino_ _ _| 10|  $28,000|   $600
Riverside_ _ _ _ _ | 15|   31,000|      1
Anaheim_ _ _ _ _ _ |  5|   32,000|    300
Whittier_ _ _ _ _ _| 15|   22,000|      1
Newport Beach_ _ _ | 20|   14,500|    300
Van Nuys_ _ _ _ _ _|  3|        0|      1
Glendale_ _ _ _ _ _|  7|    4,000|    300
Pomona_ _ _ _ _ _ _|  5|      820|    600
Los Angeles Airport| 20|/1 31,000| 19,500
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/1 Represents LAA's share of special fueling system, modification of facilities, et cetera, at major terminal complex, LAX satellite 7.

Others under consideration or in negotiation are: Downey/1, Pasadena, Arcadia, West Valley, Ventura, Oxnard, and Thousand Oaks.

It is important to point out that LAA has underwritten the cost of these sites at an average capital expenditure of $30,000 per facility, to be amortized over the life of the land lease, after which time the assets revert to the community. Thus, a fully equipped air carrier facility can be built for the cost of a house. And in virtually all instances, the cost sharing between the company and community has been based on fostering and developing a level of service consistent with the present and future needs of the community at the lowest possible expense.

THE TOTAL TRANSPORTATION COMPLEX IN SOUTHERN CALIFORNIA

LAA plays a vital role in the planning for location of industries along the system.

Since the commencement of air express in 1953, there had been an ever increasing responsibility placed on LAA to assure planners for the location or enlargement of plants, schools, and industrial facilities of the continuity of helicopter passenger, mail and express service.

Steady growth of expense and mail was enjoyed until the pressure of the passenger business began to cut into the fleet capacity.

SURFACE CONGESTION

The freeway system in southern California at peak hours is already very near its capacity. Over half the automobiles in the State are located in the five counties we serve, and there are 3 million cars in Los Angeles County alone. To make the situation more difficult, the freeway pattern is not designed for primary benefits to the Los Angeles International Airport, compounding the long-range problem, because industry and the freeways are inseparable.

For example, the location of new industries along the freeways imposes a substantial burden on these arteries for movement of heavy goods and causes the building of a great number of residential tracts. This works at cross purposes, insofar as airport transportation is concerned, i.e., the plants populate the area and the trucks clog the freeways, with the consequence that freeway travel becomes slow, costly and hazardous.

At the same time, the heavy industrial buildup in southern California has prevented the building of more airports and is limiting construction of freeways. The fixed-wing airlines have preempted the airspace above 2,500 feet. Consequently the only remaining space available to the public for present and future use lies between these two parameters, and it is being used primarily by helicopters and small fixed-wing aircraft. The ability of the transport helicopter to utilize this national resource is of vital importance.
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/1 Downey has purchased land for heliport site.