Airport Authority Subsidy Approved In A Split Vote
It has been a controversial topic for years with the city split not only on whether or not to create it, will it actually generate the economic activity its proponents predict but also whether or not the City of Moose Jaw should fund it and to what degree.
The issue is the Moose Jaw Municipal Airport Authority and once again for the third budget in a row funding the newly created Airport Authority was subject to debate with the end result being a split 5 - 2 vote in favour of it.
Speaking against funding the Airport Authority was once again spearheaded by Councillor Brian Swanson who pointed out the true cost to the City.
“This is the largest change to our operating budget,” Councillor Swanson said.
The Airport Authority will receive a grant of $30,000 annually from the City, $29,800 from hangar rental fees as well as $86,000 rent from farmland attached to the municipal airport property. The Airport Authority will also receive a one time grant of $500,000 from the City for runway expansion.
Additionally the RM of Moose Jaw will provide a $30,000 annual grant to the Airport Authority - previously the RM was not paying an annual grant to the municipal airport located within its boundaries but they did fully fund a study supporting conversion of the former municipal airport to an airport authority on an airport they did not own.
In breaking down the cost to taxpayers Councillor Swanson claimed the Airport Authority would bring in revenue at a rate of one dollar for every $16 contributed by Moose Jaw taxpayers.
“This is a heavily, heavily subsidized operation…for every dollar generated (by the Airport Authority) the taxpayer will pay 16 dollars,” he said.
Under the financial proposal put forward by the Airport Authority the authority will enact a fuel surcharge of five cents per litre on aviation fuel sold to help fund their operations.
In a daily breakdown of revenues Councillor Swanson said the Airport Authority will generate $19.31 whereas taxpayers will contribute $318.
“This is for the users (to pay for) who up to now have not generated any funds and afterwards generate one-sixteenth (what taxpayers contribute,” he said.
In a 5 - 2 vote with Councillors Dawn Luhning and Swanson opposed Council approved the funding for the Airport Authority.
Creating an Airport Authority has been highly controversial with its proponents at one time claiming the former municipal airport if the runway was lengthened would be used as part of training for the NATO Flight Training School at 15 Wing Moose Jaw a claim the Department of National Defence told MJ Independent is untrue. Recently proponents have stated lengthenning the runway will assist Saskatchewan Air Ambulances use the airport although no actual numbers of air ambulance flights have been released the number was claimed to be about once every two weeks.