Al0- The Terrace Standard, Wednesday, April 2, 2003 TERRACE STANDARD Businsss REVIEW City moves to borrow for runway extension By JEFF NAGEL THE CITY will seek ap- proval to borrow the $2.5 million the Terrace-Kiti- mat Airport Society wants to extend the main runway. The city belongs to the Municipal Finance Au- thority — which acts like a credit union for towns and cities - and as a result can borrow the money at much cheaper interest rates than the Terrace-Kitimat Air- port Society. The airport society would repay the city, says city councillor David Hull. Because the city would be underlaking long-term financing, council will have to take the issue to the voters by way of a re- ferendum or a counterpeti- tion. Hull says counterpeti- tion — a much cheaper op- tion — will likely be used. Rather than a yes or no vote, those against the proposed borrowing would have about six weeks to sign a an opposing petition at city hall. If five per cent of city voters sign, the measure is defeated. City staff are still re- searching the legalities of the move, saying the city has never before borrowed on behalf of another entity. They expect to report back to council on April 14, where the plan could get the formal go-ahead. “It's a little ground breaking,” said Hull, who was optimistic there will be no difficulty. “It hasn't been done a lot. But it is available.” He paints the drive to extend the runway as a race with Prince Rupert and Smithers to emerge with the one most technic- ally advanced airport that will ultimately be the northwest’s single portal for air passengers. “Down the road and | think sooner rather than later there’s only. going to be one airport in the northwest,” Hull said. “To think that just because Terrace is the geographic centre it's going to be the one airport is foolhardy.” “We see this as a race — aS a competititon -- as to who is going to have the Hawkair to fight WestJet arrival By JEFF NAGEL HAWKAIR is vowing to wage a price war to repel WestJet if the discount airline comes to Terrace. Hawkair partner Dave Menzies said they'll cut fares to rob Calgary-based WestJet of profits and market share in Terrace until it gives up and flies to friendlier skies. “We're going to dig our heels in,” Menzies said, re- sponding to plans for a runway extension here to atiract WestJet. “We are going to prevent WestJet from achiev- ing the numbers they need to be profitable,” Air Canada Jazz will pull out of the market during that contest, Menzies predicts. ; And when WestJet pulls the plug, he said, Terrace will be left with just one carrier — Hawkair —.a scenario he views as unhealthy and undesirable for both the air- line and the town. “What we’re going to end up with is Hawkair serving Terrace and nobody else,” Menzies told chamber of commerce members here March 27. “We don’t want to see that happen. But there is not enough room in this market for WestJet and anybody else.” Locals would then ‘be stuck pay- ing off what he called an unneces- sary bill for the planned $2.5 mil- - ay lion runway extension that airport Dave Menzies officials hope will attract WestJet. “We're not going to end up with something better than what we've got by doing this,” Menzies told the business -audience, “You've got ta be careful what you wish for.” If Terrace residents hope for the reverse outcome ~ a WestJet victory - Menzies said they can expect less fre- quent service. The larger 140-seat 737 jets WestJet uses means it would make anly one or two flights per day into Terrace, he said. Also at stake are nearly 60 Hawkair jobs in Terrace. Menzies said he disagrees with the suggestion of city councillors that the northwest is moving to one single te- gional airport ~- based in Terrace ~ or that it should. “I fail to see how closing airports counts as economic development,” Menzies said. “In times like these when our three chambers are talking about working together, | don't think we should be thinking about how to raid each other’s infrastructure.” He said he's confident WestJet won't stay if the route here isn’t quickly profitable. He noted WestJet persuaded Thompson, Manitoba to pay for expensive airport improvements and then aban- doned the town last November after [0 months when the passenger numbers it wanted didn’t materialize. WestJet marketing vice-president Bill Lamberton said the route proved impractical with 737 jets. He said it had become clear Thompson was best served by “airlines that can provide more frequency and smaller aircraft.” “If it weren't for WestJet we wouldn't be talking about a runway extension,” Menzies said. He said there’s no evidence the idea was on the drawing board before Westlet’s visit here last fall. “We had just put a $1 million ILS in, poured 90 tonnes of conerete to anchor it the ground, then we had a visit from WestJet and within three months we had a plan hatched to take it out," he said..‘‘So it doesn’t sound like long-term planning to me.” Prince Rupert Airport Authority reps doubted a single northwest airport will emerge. They cited more reliable landing weather in Prince Rupert, a need for a backup airport in the area, and the uncertainty of winter highway travel as reasons the on¢ airport model won't work. “We want to maintain the level of service in all com- munities,” said authority director Linda Lutz. “There should be no us and them. It's essential for everybody to have an airport.” CEE Ore POAT POS OBES OS 6 CHITTY CCHITEDS iF SELEUSY TP PTULIN es UIMLE Loe SDE OSY More people have epilepsy than AS., Muscular Bystrodby). and. . Cerebrai Palsy combined. Oc EPILEPSY INFO LINE (1-866-274-5377) 1-00 EPILEPSY airport in the northwest. And the- Northwest Regio- nal Airport is looking to be the one.” He said Prince Rupert continues 10 work towards an expensive bridge to its airport on Digby Island that would eliminate the inconvenience and added cost of its airport ferry. “Smithers has an appli- cation in for a couple thousand feet more runway and an ILS system,” he added. “It's a dog-eat-dog world.” Hull noted many Van- couver-area residents must travel an hour and a half or more to reach Vancouver International Airport. “You're not going to have the same scheduled air carrier bringing passen- gers into Terrace, Smithers and Prince Rupert,” he said, predicting rationali- zation will be driven by the financial difficulties facing major air carriers. “We're not so overly confident that just by de- fault it’s going to be Terrace,” The airport has planned the runway extension on the basis that WestJet will bring its discount airline here and revenue from the corresponding increase in traffic -in part taken from other northwest airports — will pay for the project without an increase in the $19 passenger fee. WestJet has indicated it wants a longer runway on which to land its 737 jets before it would come. Hull and others say the plan for the runway exten- sion goes beyond WestJet to attracting other large aircraft delivering air Incidents : are elated.” a proud sponser of. CGRIWI aa STOPPER: . Terrace Crime Stoppers are. asking for help. to solve some mischief to a school. | oe -On Friday, March 28th, 2003, ‘the ‘outdoor “jocks to Skeena Junior. ‘Secondary. School: “were glued shut. A note was glued ‘to the. front :door -of the’. school.: vandalism is believed to ‘be. related Some. weeks. previous, a “classroom oor : ‘fock was glued shut. It is not clear: the: two: s Terrace .- Crimestoppers _ “wants - “your. information; ‘not your name. “Any: is valuable and may lead to the arrest. and 1 conviction of. the offenders. . ee, cargo, mine supplies and charter tourists. The airport could also borrow money on its own. “Tf we don’t lend them the money they could just go get it from the bank,” Hull said. “By borrowing through. the Municipal Fi- nance Authority we're sav- ing, hundreds of thousands of dollars on this. project.” The city could presently borrow the $2.5 million at an interest rate of 6,2 per cent, city staff say. The airport society is controlled by four partners - the city, the regional district and the Terrrace and Kitimat chambers of commerce, But if the airport went bankrupt, its debts are the responsibility of the city. The project would ex- tend the runway by 1,500 feet. “The anticipation is they’d start digging by May and have it done by September,” Hull said. The airport is also ask- ing the province to contri- bute $800,000 through a new airport aid program that could cut the cost by a third. Many city residents are happy for Hawkair and its success to date, Hull said. But some fear West- Jet’s arrival will harm Hawkair. Hull said the city can’t block the runway exten- sion because of what it might do to the Terrace airline. “We can’t ‘havé a pro- tectionist”systény set up,” he said. “If we did the town would look like it did in the 1950s.” society the This act: of Crime Stoppers offars a cash reward of up to $1,000.00 for Information leading to an arrest and/or con- -| vietlon. If you have any Information call “Crime Stoppers” |. ‘| at 635-TIPS that's 635-5477. Callers will NEVER be required to reveal thoir name or teatity In court. Crime Stoppers does NOT subscribe to call display. Call 635-TIPS ae INSURANCE 5, 70 Home & Tenant CG Commercial # Liability © Jet Boats G. 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Dave smiled. “Tall enough to block out some annoyances.” Sue frowned. “Annoyances? The only thing behind us is the neighbours.” “Exactly!” Dave nodded. “But they're our friends!" Sua objected. Dave explained. “Honey, we naed some privacy. | find them a bit..." . *YOOHOO! SUZIE! DAVIE!” *_[ntrusive,” Dave groaned. Charlene called out from her sundeck. “What's all tha commotion, nelghbour? It’s not like me to pry but I've noticed those workman unload 4 truckloads of material.” Dave sighed as Charlene continued. "Come join us for breakfast overlooking our fabulous bay.” Suzie whispered to Dave. “What will the fence do to their view?” Dave hesitated. “Well...” “You'd better tell tham,” said Suzie. Dave and Suzie walked over to Charlene’s sundeck, She peered inside Charlene's home. “All your furniture faces the window!” Charlene beamed. “It stops us from fight ing over [he amazing view.” Suzie swallowed hard, “It wouldn't be the mY CLAPRE BEXNS TEIN end of the world if you didn’t have the view, right? | mean it'd still be a great house...” There was dead silence on the deck. Charlane gasped. “| think I'll go lie down.” Charlene’s husband apologized. “Please excuse my wife. She's very attached to the view.” When they got back home, Suzie blew up. ‘It's criminal blocking thelr view!” “Charlene will just have get used te it,” Dave replied wilh a shrug. A week jater, Charlene awoke to find her view blocked by the huge fence. “Aggghhhhi My beautiful bay... it's gone! Call a lawyer. | want that fence taken down!" IN THE COURTROOM Chariene was in tears. “Your Honour, the loss of the view has been devastating to my farnily and has lowered our property vatue. Dave can't put up a fortress-like fence just beacause he feels like it. Make him take it down!” Bave fought back. “I have a right to do any landscaping | want. It’s my property, | didn’t put up the wall to block their view. | just wanted a bit of privacy.” ls tha fance legal? You! Ba The Judge. Than look below for the court's decision. SPONSORED BY Phone: 638-0354 TERENCE WRIGHT LAW OFFICES TRIAL LAWYER since 1985 Serving the Pacific Northwest TERENCE WRIGHT Criminal and Family Law and Civil Litigation Free Initial Interview for LC.B.C. and _ Personal Injury Claims 201-3219 Eby Street, Terrace, B.C. V8G 4R3 Fax: 635-2919 YOU! BE THE JUDGE - DECISION: “The fence Is tegal,! held the Judge. “I sympathize with Charfene, but | the law doesn't recognize the right to a waterfront view, | would onty Intervene If the fence had been erected out of malice, But that’s not the casa here.” Today's column ishasexl on a case from Wisconsin. 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