“The Airport/Community Relationship is Stronger and More Transparent than Ever” CAC President Tells SCOT
Monday, May 9, 2005
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“The Airport/Community Relationship is Stronger and More Transparent than Ever” CAC President Tells SCOT
OTTAWA – May 9, 2005 – Canada’s airports have a stronger, more transparent relationship with the communities they serve than ever before, according to Jim Facette, President and CEO of the Canadian Airports Council (CAC). Appearing before the House of Commons Standing Committee on Transport (SCOT) today, Mr. Facette noted that this improved relationship, one of accountability and transparency, was one of the guiding principles established by government when airport transfer to local control was first announced in 1987.
“When we measure the performance of airports against the 8 guiding principles, we pass the test with flying colours”, Mr. Facette said. “Canada’s airports are more responsive and responsible to their communities, regional development has been enhanced and local economies have grown because airports have aggressively sought new opportunities”, he continued.
Mr. Facette drew the Committee’s attention to how airports have used their websites as one of their most important communication tools. He noted that these websites contain a wealth of information. Annual reports, including detailed audited financial statements, relevant news about the airport, including the members of the airport’s Board and its activities and the opportunity to communicate directly with airport management are some of the features on these sites. Even executive compensation can be found on the website.
Airport accountability to their communities is not limited to the internet however. Airport officials are very active in the community speaking to service clubs and community organizations. An airport’s Board of Directors are members of their communities, nominated by municipalities and other community organizations and chosen for their expertise. In addition, every airport has an advisory committee, made up of concerned citizens. Other committees that include significant local input deal with such issues as noise, the environment and accessibility can be seen at many airports.
The accountability of airports to their communities is not just a matter of airport largesse. Airports are bound by the terms of their leases and by Public Accountability Principles for Canadian Airport Authorities. Together these two documents impose strict rules on an airport’s behaviour, including the process for nominating and appointing Directors, tendering of contracts, notice of changes in user fees, and even a performance review.
Formed in 1992, the Canadian Airports Council represents Canada’s non-federal airports for industry policy and regulatory matters, facilitating industry education and exchange, and promoting the industry in Canada and globally. CAC members account for 100% of all international passenger and cargo air transportation in Canada and 95% of domestic passenger traffic. With 44 members, operating more than 150 airports, the CAC includes all major international airports and a number of regional airports across Canada.
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Background Information
The eight guiding principles below were approved by the Federal Cabinet in 1987 and laid the foundation for the transfer of federal airports to local control.
- Permit each respective airport to serve local interests better;
- Enhance regional economic development;
- Allow the airport system to operate more efficiently and commercially;
- Bring capital expansion more quickly than under federal government stewardship;
- Leave the government no worse off financially;
- Reduce the effect of airport operating and capital expansion on the federal deficit, and over time diminish federal funding;
- Provide equitable benefits packages for employees; and
- Not diminish safety and security standards.
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Presentation before the House Standing Committee on Transport