GUNNEDAH Shire Council will introduce new charges for users of the Gunnedah Airport to achieve a 30 per cent cost recovery at the facility.
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Councillors resolved to introduce landing fees of $12.50 per tonne for the next 12 months from July 1 – a decision that was made 12 months ago at $10.20 but was not introduced while council continued to negotiate with the Aero club over other ways to reduce costs.
Last week an alternative proposal was put to council by the club but councillors felt more negotiation and discussion was needed.
In the past, airport users have not been charged landing fees, but some do pay hanger lease fees. Money is paid by the BAE flight school and Australian Defence Force for use of the runway and revenue is collected from drag races.
Council expects airport operating costs will be $204,000 in the 2016/2017 financial year, including depreciation of $98,000, and feels it’s only fair users should contribute. Some ratepayers have questioned the airport’s value and costs, however the community does use the air ambulance and flying doctor service.
“Council has taken the view that we would like to maintain the operation but users should be making some input. We don’t think it’s unreasonable and we don’t think ratepayers would think it’s unreasonable,” Mayor Owen Hasler said.
The new fees will be collected using information by AVDATA – a system that records all aircraft movements through call-ins. It’s expected there will be around 2000 aircraft movements a year and with other revenue collected, council expects to recoup $60,000.
The Gunnedah Aero Club believes that all members and users “respect and agree” that fees should apply, however said it has “concerns that our local council are implementing a cost recovery structure that will see little money returned to the community”.
“The vendor, AVDATA, seeks majority of the fees as commission. The members of the Aero club have made submissions to council for an annual fee returning 100 cents on the dollar to council,” the club stated.
“Further to that, recently the Aero club offered council an option for the sought cost recovery, but during a closed council meeting last week council decided to not adopt the proposal. Unfortunately this decision was made without any consultation with Aero club members.”
Both council and the club are willing to discuss any future arrangements.