Bill C-27

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First Reading

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	Auditor
Appointment	90. (1) The board must appoint an auditor for the airport authority to hold office for a renewable term of one year.
Qualifications	(2) The auditor must be
	(a) an individual who
	(i) is a member in good standing of an institute or association of accountants incorporated by or under an Act of the legislature of a province,
	(ii) has at least five years experience at a senior level in carrying out audits,
	(iii) is a Canadian citizen or a permanent resident within the meaning of the Immigration and Refugee Protection Act,
	(iv) is not related to the airport authority or any subsidiary or to any directors or officers of the authority or subsidiary,
	(v) is not subject to any influence, interest or relationship that may impair, or be perceived to impair, the independence or objectivity of the auditor in carrying out the audit,
	(vi) meets the standards for independence of auditors established by law and by the Canadian Institute of Chartered Accountants,
	(vii) is not the internal auditor of the airport authority, and
	(viii) does not provide accounting services to the authority; or
	(b) a firm of accountants
	(i) that meets the requirements of subparagraphs (a)(v) to (viii),
	(ii) that has jointly designated, with the authority, a person who meets the requirements of paragraph (a), to conduct the audit of the books and records of the authority, and
	(iii) that has disclosed, before becoming the auditor, whether any partner, associate or employee of the firm who provides similar services does not meet the requirements of subparagraphs (a)(iv) to (viii).
Maximum term	(3) An individual may not hold office as auditor for more than five consecutive years after the transfer date. A firm of accountants may not hold the office for more than 10 consecutive years after that date, and a person designated under subparagraph (2)(b)(ii) may not hold the office for more than five of those 10 years.
Transitional	(4) A firm of accountants that, on the coming into force of this section, has held office as auditor for 10 consecutive years or more may continue to hold office until the end of the second calendar year after that coming into force.
Waiting period	(5) An individual may not be reappointed as auditor until the expiry of three years after the day on which the individual ceased to hold office. A firm of accountants may not be reappointed until the expiry of five years after ceasing to hold office.
Vacancy	(6) The board must immediately fill a vacancy in the office of auditor.
	Conflict of Interest Rules
Adoption	91. Every airport authority must adopt in its by-laws rules governing the conduct of its directors and officers, including conflict of interest rules.
Conflict of interest rules	92. The conflict of interest rules must provide that directors and officers not allow their personal interests or the personal interests of a related person to conflict with or give rise to the appearance of a conflict with the interests of the airport authority. The rules must also set out the procedures to be followed to avoid or resolve a conflict or the appearance of a conflict.
Disclosure of interest	93. (1) A director or an officer of an airport authority must disclose to the authority, in writing or by requesting to have it entered in the minutes of a meeting of the board or of a committee of the board, the nature and extent of any interest that they have in a transaction, whether made or proposed, with the authority.
By-laws	(2) The airport authority must adopt by-laws respecting the disclosure of interests and transactions by directors and officers, including the time and manner of disclosure, prohibiting voting by a director who is in a conflict of interest and respecting the consequences of disclosure or non-disclosure.
Gifts	94. (1) The conflict of interest rules must prohibit directors and officers of an airport authority and related persons from accepting cash, the equivalent of cash or a gift from any person having or attempting to develop a relationship with the authority or from offering cash, the equivalent of cash or a gift to any such person.
Exception	(2) This section does not apply to a gift that is not of sufficient value to be construed as improper and the acceptance of which is in accordance with customary business practice.
Meaning of ``gift''	(3) A gift includes any good, service, benefit, hospitality or promise of a favour.
Declaration while in office	95. (1) Within the first 30 days after the adoption of the conflict of interest rules, the directors and officers must provide a written declaration to the board acknowledging that they have read the rules and that, to the best of their knowledge, they are in compliance with them.
Declaration before taking office	(2) Any individual must, before taking office as a director or officer, provide a written declaration to the board acknowledging that they have read the conflict of interest rules and that, to the best of their knowledge, they are in compliance with them.
Annual declaration	(3) Within the first 30 days after the beginning of each fiscal year, all the directors and officers must provide a written declaration to the board acknowledging that they have read the conflict of interest rules and that, to the best of their knowledge, they are in compliance with them.
	Bid Solicitation
Contracts over $100,000	96. (1) An airport authority must disclose any contracts involving expenditures in excess of $100,000 that were not awarded under a public bid solicitation process, the name of the contracting party, the purpose and value of the contract and the reasons why a public bid solicitation process was not followed.
Prohibition	(2) An airport authority must not engage in contract splitting to avoid the application of subsection (1).
Governor in Council	(3) The Governor in Council may, by order, prescribe a higher limit for the purposes of subsection (1).
	Consultation
	Meetings with Air Carriers
Air carriers	97. (1) Every airport authority must invite the air carriers operating on the airport to meet with the authority at least once a year. Each air carrier may be represented by a maximum of three directors and officers, and the airport authority must be represented by its chief executive officer, one other officer and the chairperson or, in the event that the chairperson cannot attend, a director.
Purpose of meetings	(2) The meetings are a forum for directors and officers of the airport authority and of air carriers to discuss strategic issues related to the airport.
	Meetings with the Community
Consultative mechanisms	98. The by-laws of the airport authority must provide for mechanisms for the authority to consult its community, which includes passengers, persons living or carrying on business near the airport and persons, other than air carriers, having a business relationship with the authority.
Purpose of forum	99. The mechanisms under section 98 must include a discussion forum where, at least two times a year, members of the community may discuss matters related to the airport with the chief executive officer and at least one other officer of the airport authority and receive information regarding planning and operational matters, including information on capital expenditures, any proposed revisions to fees and any matter related to the protection of the environment or noise emanating from the airport and the use of aircraft that land on or take off from the airport.
	PART 4
	OBLIGATIONS OF AIRPORT AUTHORITIES
	Application
Application	100. This Part applies to all airport authorities. It applies only in respect of an airport leased to an airport authority by Her Majesty in right of Canada on the transfer date.
	Airport Name
Change of airport name	101. No airport authority may change the name of any airport without the written consent of the Minister. The Governor in Council may, by order, direct an airport authority to change the name of any airport.
	Land Use
Compliance with land use plan	102. Every airport authority must have a land use plan, have it approved by the Minister and carry out its airport undertaking in accordance with it.
Contents of plan	103. (1) The land use plan must, by means of a drawing or detailed plan, with accompanying text, include
	(a) a description of how airport land will be divided into zones;
	(b) a description of the use to which each zone will be put over the next 20 years or more;
	(c) the development strategies for each zone;
	(d) a development strategy to ensure that the uses to which the zones are put are compatible with one another;
	(e) any conditions or restrictions on development to ensure that future airport operations are not detrimentally affected by it;
	(f) a description of the interim use of land in zones reserved for the expansion of the facilities, air terminal building or road network referred to in paragraph (a) of the definition ``essential activities'' in subsection 2(1) and the terms and conditions of its use; and
	(g) an explanation of the method for restoring the condition of the land in those zones so that it is suitable to be used for the expansion.
Prohibition	(2) An airport authority may use or permit the use of land in zones reserved for the expansion of the facilities, air terminal building or road network referred to in paragraph (a) of the definition ``essential activities'' in subsection 2(1) for an interim use only if the use would permit the land to be restored to its original state when it is required for the expansion.
Regulations	(3) The Governor in Council may make regulations respecting the contents, including additional contents, of airport land use plans.
Proposal to amend land use plan	104. (1) An airport authority may, at any time, submit an amended land use plan to the Minister for approval.
Consultation	(2) Before submitting an amended land use plan for approval, the airport authority must consult with any municipalities and regional authorities affected by the proposed amendments, interested federal and provincial departments, air carriers operating on the airport and persons referred to in section 98, as well as any other person who has notified the authority in writing of their interest in the airport's land use plan.
Other information to be submitted	(3) The airport authority must submit with the amended land use plan a summary of any representations made during the consultations, a resolution of its board approving the amended land use plan and a summary of its implications for the business plan and the master plan.
Minister's decision is final	(4) The Minister's decision to approve or refuse to approve an amended land use plan is final and may not be questioned or reviewed in any court.
Deeming	(5) If the Minister does not refuse to approve a proposed amended land use plan within 120 days after receiving it and all information referred to in subsection (3), the Minister is deemed to have approved it.
Land use in the vicinity of the airport	105. An airport authority must consult with the appropriate municipal, regional and provincial authorities in respect of existing or proposed land uses in the vicinity of its airports to promote land uses that are compatible with the safe operation of airports and aircraft.
	Airport Master Plan
Master plan	106. (1) Every airport authority must have a master plan and must carry out its airport undertaking in accordance with it.
Contents of airport master plan	(2) The airport master plan must include
	(a) a description of the anticipated development of aviation in the community and the types and levels of aviation activity intended for the airport for the next 20 years or more, including the distribution of traffic among the airports set out in Part 1 or 2 of Schedule 1 opposite the airport authority's name;
	(b) an assessment of future requirements for facilities and services on the airport, including the ground transportation system;
	(c) a strategy to meet those requirements, including a strategy for long-term development of
	(i) the area of the airport used for the landing, taking off, movement and parking of aircraft,
	(ii) terminal buildings,
	(iii) the ground transportation system, and
	(iv) airport commercial facilities and services;
	(d) an assessment of the economic and financial feasibility of the strategy for long-term development of the airport;
	(e) a description of the current state of the environment on the airport and of the environmental impacts of implementing the master plan;
	(f) noise exposure forecasts, noise exposure projections and planned noise mitigation procedures;
	(g) priorities and an estimated timeframe for any development proposed in the master plan;
	(h) the financial implications of the interim use of land in zones reserved for the expansion of the facilities, air terminal building or road network referred to in paragraph (a) of the definition ``essential activities'' in subsection 2(1) and restoring it to the condition that it was in before the use; and
	(i) a description of the airport's role in the local or regional economy.
Regulations	(3) The Governor in Council may make regulations respecting the contents, including additional contents, of airport master plans.
Submitting master plan to Minister	(4) Every airport authority must submit its master plan to the Minister within one year after the coming into force of this section or, in the case of a new airport authority, after its name is added to Part 1 of Schedule 1.
Updating master plan	(5) The airport authority must update its master plan and submit the updated plan to the Minister for review
	(a) every 10 years after the transfer date;
	(b) whenever, in the opinion of the authority, an update is necessary; and
	(c) whenever, in the opinion of the Minister, the master plan is not consistent with the approved land use plan.
Consultations	(6) In preparing or updating its master plan, the airport authority must consult with any municipalities and regional authorities affected by the plan, interested federal and provincial departments, air carriers operating on the airport and any persons referred to in section 98 as well as any other person who has notified the authority in writing of their interest in the plan.
Other information to be submitted	(7) The airport authority must submit with its master plan or updated master plan a summary of any representations made during the consultations and a resolution of the board approving the master plan or updated master plan.
Review of master plan by Minister	107. (1) The Minister may review the master plan or updated master plan to determine whether it is consistent with the airport authority's approved land use plan.