Improvement Fee Frequently Asked Questions

The North Peace Airport Society introduced an Airport Improvement Fee September 01, 1998 to raise funds for the renovation and construction of the Air Terminal Building.
The fee is $12.00 per departing passenger.

How Is It Collected?

North Peace Airport Services has negotiated with airlines to have the AIF added to the ticket price. It is included when you purchase an Airline ticket and there is no need to purchase an AIF ticket prior to departure. All non scheduled flights who use the terminal building will be billed by North Peace Airport Services for AIF fees.

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How Long Will The Fee Be In Place?

Initial projections are for a maximum of 25 years; however, the amount of borrowing interest rates and revenues will all play a factor. The Society wants the shortest possible time to reduce unnecessary interest costs.

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How Will The Fee Be Spent?

NPAS will use the money to renovate and increase space in the terminal building.

The $4.5 million rebuilding project will provide the following enhancements:

  • Barrier free access
  • A new arrivals area
  • Realigning check-in counters for more efficiency
  • An expanded waiting and queuing areas and automatic entrances
  • Relocation of the restaurant to a more visible, central location
  • A conference and emergency operations centre
  • And relocation of Airport Operations inside the terminal.
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Is This a Legal Fee?

Yes. The common law foundation of trespass, as set out in Section 41 of the Criminal Code, ensures the right to collect the AIF. Since the airport is under the exclusive ownership of the Society, it can assess the fee to passengers using its facilities much the same way as the owner of a private toll bridge or a highway, such as the Coquahalla Highway, can charge a fee to the people using it.

The use of an airline ticket is subject to the holder's obligation to comply with all departure procedures, including security requirements and payment of the Airport Improvement Fee.

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What's Wrong With The Existing Terminal?

First, it' is 30 years old and important parts of the infrastructure are at the end of their useful life: things like the roof, the boilers, electrical and fire alarm systems, plumbing and the heating and ventilation systems can no longer do what we need them to do. Exterior walls and window framing are damaged and deteriorating. Lack of a sprinkler system and automated doors do not meet current building code and accessibility requirements.

Secondly, we are running out of space. A lack of space for new Airline services and retail and passenger services exists now. The terminal will no longer meet the demands of a growing North Peace Region.

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Why Do You Need A Fee To Pay For This?

Before 1997, when the Federal Government operated the Airport, capital improvements were paid through general tax revenues.

In 1997, the Airport was transferred to the North Peace Airport Society to be operated as a private business. The airport raises money for normal operations through aviation fees and rent from sub-leases. These revenues, however, are not sufficient to pay for the major upgrade, which is now needed, and we do not have the option of asking for taxpayers' money. The only option is to charge a fee for using the facility, in effect a user pay philosophy.

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Who Has Accountability?

We are committed to a transparent process, in which money collected is accounted for separately in our financial statements. We will ensure that the public has input into decisions about the building and is kept informed of progress.

We are further committed to spending prudently and frugally, understanding that we are collecting directly from the public, and need to be accountable for how that money is spent. We understand that people are looking for a functional, efficient building, not a monument.

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When Will We See The Improvements?

Construction for the new air terminal building is scheduled to commence in the spring of 2004.

The first phase will be the construction of a temporary building that will house all the air terminal building functions. These include airline check-in, security screening, arrivals area and rental car companies.

Once the temporary terminal building is in operation, the current air terminal building will be demolished, making way for the construction of the new air terminal building.

The new air terminal is scheduled to be open in early 2005.

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