AIRPORT in Spotlight at COW meeting Monday.

AIRPORT CAPITAL BUDGET , AIRPORT AS A REGIONAL FUNCTION and VERNON AIRPORT COMMITTEE (P. 29-37) COW AGENDA PACKAGE will be discussed at COW Meeting Tomorrow.

The explanation of how the Airport operated as a true corporation at arms length and decided on how the capital funds handed over by the City on behalf of the taxpayers were spent is explained. The Airport Board operated on their own under the mandate they were given in the approval of the Airport Master Plan of 2000 and the Strategic Business Plan of 2004.

"There was no capital spending approval requirement placed on the Airport Board from the City Council that I was aware of, or made aware of from City Representatives on the Board or from the City's former Finance Manager. The Airport Corporation Board provided an annual report to council." (P.29) (Airport Manager)
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The unspent portion of the capital projects budget of $113,333 has been transferred to to the City's books. The City Council will decide at the afternoon meeting whether the $300,000 in this years yet to be approved budget will be combined with the remaining $113,333 to be used to pay for the Taxiway Charlie Extension at an estimated cost of $415,627 ?

At the last budget committee meeting the suggestion to delete this and await the business Plan from the Airport Committee in March or April to justify the $415,627 for Taxiway Charlie, was thrown around and came very close to a vote. The suggestion that this money could be financed through borrowing rather than immediate taxation was well received. However, no formal vote was taken and the Treasurer has this $300,000 still in the budget that now stands at a 2.83% tax increase. I'm sure this suggestion to remove it and go to debt financing will be resurrected at the next council meeting.

The X Factor: The operating budget for the Airport has been proposed at $97,985 for 2007. Any operating deficits or surpluses must be considered in the 2007 budget cycle for the 2004-2006 year period in which the Airport had their own books of account. The accumulated deficit on Airport's books of $98,498 to 2005 year end and any loss or profit for 2006 affect the 2007 budget. When Amortization is backed out in the amount of $ 163,530 {$68314 (2004) and $95216 (2005)} the deficit of $98,498 becomes a surplus of $65,032 at 2005 year end. (Should be an interesting factor for the bean counters to debate)

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Discussions on the Airport as a possible Regional function and the Airport Committee structures and procedures will be discussed. (4.05 P. 36 --Committee meetings will be open to the public, and delegations may be permitted to speak at the meeting with the approval of the Chairman)

PUBLIC ARE WELCOME AT THIS MEETING WHICH STARTS AT 8:40 MONDAY MORNING. COME OUT AND SEE YOUR COUNCIL IN ACTION !