MOUNTAIN VIEW COUNTY - County council has approved a new airport reserve to manage funds received through the payment of frontage fees landowners and leaseholders at the county-owned Olds-Didsbury Airport and the Sundre Airport for future capital projects or improvements to internal.
The move came by way of motion at the recent regularly scheduled council meeting, held in person and online.
“Historically, landowners and leaseholders at the county’s two airports have been charged frontage fees intended to help fund the maintenance and capital improvement of ‘non-public’ airport infrastructure,” said chief administrative officer Jeff Holmes.
“The terminal building, runway and primary apron were excluded from this arrangement as that infrastructure was available for public use and was supported through the county’s general taxation levels.”
In the past, the frontage fees and municipal taxes obtained from properties at the airport were collected by the county and returned to the Olds-Didsbury Flying Association as part of a contract held by both parties.
With that contract now rescinded, “there has been a desire raised to ensure that these frontage fees collected by the county continue to be held for their intended purposes and do not get placed in general revenue as a ‘second tax’ on hangar owners and lease holders.
Administration has recommended the creation of an airport reserve for these funds to be held until such time that an appropriate expense is identified.
Annually, the county received about $15,000 in frontage fees combined for both airports.
The stated purpose of the new airport reserve is to “facilitate the storage of funds received through the payment of frontage fees landowners/leaseholders at the Olds-Didsbury Airport and the Sundre Airport for future capital projects or improvements to internal.”
The new reserve will have four principles:
• The funds moved into this reserve will be approved by council and will be transferred as part of year-end closing entries.
• Funding withdrawals will be based on actual expenditures and limited to the per project allocations in the reserves.
• Funds may only be used on existing or new airport infrastructure excluding the runway, primary apron and terminal building.
* This reserve does not accrue interest.
Council carried a motion approving Policy 1008 Reserves with the addition of 1008(o) Airport Reserve.
