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Mayor discusses airport business plan at Rotary



Published on Febuary 2nd, 2010
Published on July 9th, 2010
Sabrina Skinner RSS Feed

Without giving away many details, Stephenville Mayor Tom O'Brien discussed the Stephenville Airport business plan at last week's Rotary luncheon.

The mayor said the town has played a major role in keeping the airport open over the years, despite its many financial difficulties. He added the grant money allotted for the airport back in September, $200,000, was the first money onto which the town attached conditions.

Topics :
Stephenville Airport , Stephenville council , Stephenville

Without giving away many details, Stephenville Mayor Tom O'Brien discussed the Stephenville Airport business plan at last week's Rotary luncheon.

The mayor said the town has played a major role in keeping the airport open over the years, despite its many financial difficulties. He added the grant money allotted for the airport back in September, $200,000, was the first money onto which the town attached conditions.

"We gave the airport previous funds, but the problems didn't go away," he said, noting the town said it would pay for the airport's new business plan, but would also install future board members and administer the funds as needed.

"We didn't give the airport $200,000, we administered it from town hall."

The mayor said the business plan took longer to prepare than expected because of the need for a 2008 audit, which ended up going back to 2005 in the airport's books.

"They found $51,000 in credits they can apply for," he said.

All together, the mayor said the town of Stephenville has invested $400,000 into the Stephenville Airport in the last six months. This equals about 16 per cent of the town's revenue from property tax.

"When you look at those numbers," he said, "You can understand why the town can't continue to finance the airport."

The mayor said while he realizes the general public is interested in learning the details of the business plan, businesses rarely divulge these details in order to remain competitive.

He did say that the financial ask of government for airport funding would be substantial, and going forward it would have to be determined if the airport should go ahead on its own or continue to seek a private operator.

"You struggle with all the aspects of it," he said.

The mayor told Rotary the Stephenville council held a special meeting recently to discuss the plan. A motion was passed at the end of that meeting to encourage the airport board to seek immediate interim financing from the provincial government.

In closing, the mayor commented the issue of Stephenville Airport comes not only with political baggage attached, but that it is an emotional issue for many people as well.

Rotarian Fintan Alexander asked Mayor O'Brien if the government seemed receptive to the idea of providing funding for the airport. The mayor said that unprompted by the board, some members of the provincial government had called seeking the business plan before it was completed.

The mayor thanked Rotary for the opportunity to speak on the issue and thanked them for the work they do in the community.

reporter@thegeorgian.ca

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