The Oregon Court of Appeals will hear full arguments in an appeal challenging a 2003 local ruling that affirmed the formation of the Coos County Airport District.

In an opinion rendered April 9, the court rejected an Airport District motion to dismiss the appeal, ensuring that attorneys for the cities of Lakeside and Powers as well as the district will continue their battles in the months ahead.

Airport General Manager Gary LeTellier said the district hoped to expedite a resolution to the court proceedings that have held up the district's full operation since it was approved by county voters in November 2002, but it is prepared to argue the case in full.

"We're not disheartened by it," LeTellier said of the appellate decision. "We were a little disappointed by it. We were hoping that they would just go ahead and dismiss it."

In November 2002, county voters approved the district with a 56-percent favorable vote. An original complaint challenging the district was filed in March 2003 on behalf of the cities of Myrtle Point, Lakeside, Powers and five residents. It claimed the taxing district - which charges 24 cents per $1,000 of assessed property value countywide - was illegally formed because the incorporated cities never passed resolutions favoring district inclusion. North Bend was the only municipality that petitioned the Board of Commissioners to place the issue on the November ballot.

Five months later, Circuit Judge Richard Barron dismissed the lawsuit, saying the complaint was filed too late after the November 2002 vote was certified and attacked the election illegitimately.

Barron wrote in his decision that the court has no jurisdiction to decide the validity of the district and precluded the refiling of the complaint, indicating a 60-day statutory deadline expired before the lawsuit was filed. That decision led to an appeal by the cities of Lakeside and Powers. Myrtle Point dropped the case after Barron's ruling.

Citing Barron's opinion, Airport District Attorney Jerry O. Lesan argued in his motion that the Court of Appeals also lacked jurisdiction to hear the case. The court's jurisdiction is dependent on having a timely appeal of the case. Lesan was not available for comment on Friday.

The Court of Appeals disagreed. In dismissing the motion, Chief Judge Mary J. Deits wrote that the court will determine Lesan's questions about jurisdiction after hearing full arguments in the case.

"If we ultimately determine that respondents are correct, we will not dismiss the appeal, but, rather, we will affirm the circuit court's judgment," Deits wrote.

Deits added that if the court finds in favor of the cities, the decision will be remanded to the local court to be reviewed again. There is no timeline for when the full case will reach the Court of Appeals.