Plane (Image from Tobermory municipal website)
Hanover is approving a new cost sharing agreement for the Saugeen Municipal Airport.
Council approved the agreement during a meeting on Monday.
CAO Sherri Walden says the new agreement comes after the previous one with the municipalities of Brockton and West Grey is over 20 years old.
“It was timely that the three partners reviewed that accordingly and the objective during our review was that it be a simple and straight forward agreement and positive conversations occurred to get to that point,” says Walden.
The airport is jointly owned by the three municipalities, which financially support its ongoing operation.
Cost sharing discussions were held in September and November and all three municipalities reached a collective commitment to ensure the financial support of the airport was fair.
“The conversations that we had during these discussions were positive with respect to the Saugeen Municipal Airport and the asset that it is for our three respective municipalities, as well as for the area and region,” says Walden.
As a result, the new agreement will have each municipality pay one-third of the cost to maintain the facility starting in 2027.
This ups Hanover’s previous share to 33.33 per cent, compared to the previous 31 per cent.
Additionally, the agreement highlights how the goal of the airport is to become financially self-sustainable to the point where the member municipalities will no longer need to support its operations, as well as establish a five-year plan to outline the strategic direction of the airport.
Before the agreement is finalized, each partner municipality will need to approve it.