Town to try ‘Plan B’ for airport funding

Duane Hicks

The town again will try to get district municipalities to help pay to operate the Fort Frances Airport, but this time on a fixed contribution basis.
Last year, district municipalities were asked to consider cost-sharing based on each community’s percentage of the overall population.
This means they would make a contribution to help pay the airport’s operating deficit each year based on that percentage.
In recent years, this shortfall has ranged from $155,000-$200,000, meaning that even if the population percentage remained the same, the actual dollar amount contributed could go up or down each year.
The Townships of Emo and Chapple supported an initial proposal which would see them contribute $10 per capita towards the operating cost of the airport for 2012, with the contribution to be reviewed annually.
Area First Nations said they could not commit to any cost-sharing that fluctuated, but were interested in talking about it further, while other municipalities indicated they would not be participating.
Council agreed at its budget meeting Monday to approach all the parties again about helping to pay for operating costs, but this time through a fixed contribution of $5 per capita for a period of five years.
After five years, the fixed contribution would be reviewed and adjusted accordingly.
Fort Frances CAO Mark McCaig will contact all the parties and ask them once again to partner up.
Coun. Paul Ryan said he feels the lower fixed rate might be a better idea, adding any contribution is better than getting nothing.
“I think this would fly. I really do,” he stressed. “I think the reason why a lot of them said ‘No’ was because it fluctuates.
“‘If we agree to it this year, and it’s 10 bucks, what’s going to happen if it’s $50 next year? How are we going to handle that?’
“They have very, very small budgets out there,” Coun. Ryan conceded.
Coun. Rick Wiedenhoeft said he spoke to representatives from three municipalities that said “no,” and confirmed the reason they did so was because of the fluctuating costs.
Coun. Andrew Hallikas and Mayor Roy Avis agreed the town should propose a fixed lower contribution rate, with the option to review that rate in five years.
But Coun. Ken Perry said he was skeptical about using a fixed rate, as not only is the operating deficit bound to fluctuate, but a fixed rate doesn’t even take inflation into account.
McCaig, meanwhile, said the town really appreciates Emo and Chapple “stepping to the plate” the first time around.
“They recognized the importance of the airport and how crucial it is to the area, and they came and they put their money forward,” he remarked.
Mayor Avis noted that if Emo and Chapple need help down the line, Fort Frances will be there to aid them.