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Bill C-27

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Ownership of slots

27. Slots are the property of Her Majesty in right of Canada.

Designation of airports requiring slot allocation

28. (1) The Minister may make an order designating any airport as an airport requiring slot allocation, after consultation with the airport operator and the Corporation, as defined in subsection 2(1) of the Civil Air Navigation Services Commercialization Act. The Minister may indicate in the order the periods for which it applies and the maximum number of slots that may be allocated over a specific period.

Cancellation of designation

(2) The Minister may, by order, cancel, amend or renew a designation.

Slot coordinator

29. (1) If the Minister designates an airport as an airport requiring slot allocation or if the air carriers operating at an airport, after consultation with the airport operator, decide that slot allocation is desirable, the air carriers and the airport operator may, by agreement, select a slot coordinator.

Agreement

(2) The air carriers and the airport operator may agree on the terms for engaging a slot coordinator, including the amount of the coordinator's remuneration and their responsibilities for paying it.

Selection by Minister

(3) If the air carriers and the airport operator do not agree on the selection of a slot coordinator or the terms of the coordinator's engagement, the Minister may select the coordinator or decide on the terms for the coordinator's engagement.

Not an agent of Her Majesty

(4) For greater certainty, a slot coordinator is not an agent of Her Majesty in right of Canada.

Allocation, renewal or withdrawal of slots

30. (1) The slot coordinator must allocate, renew and withdraw slots in accordance with the regulations or, if there are no regulations, in a manner consistent with the slot allocation procedures applied by the international air transport industry.

Availability of facilities and services

(2) Subject to section 32, the slot coordinator may only allocate, renew or withdraw slots if the airport operator has confirmed the availability of the necessary facilities and services at the air terminal building.

Providing information about slots

31. (1) An airport operator and air carriers operating on the airport must provide the slot coordinator with any information in their possession if the information, in the opinion of the slot coordinator, is required to carry out the coordinator's functions.

Protection of confidential information

(2) Subject to subsections (3) and (4), the slot coordinator must not disclose any financial, commercial or technical information if it is confidential information supplied by an air carrier or airport operator that is treated consistently in a confidential manner by the air carrier or operator.

Provision of information to Minister

(3) The slot coordinator must provide to the Minister, in the form and manner, and within the time, indicated by the Minister, information that the Minister considers necessary to exercise his or her powers and carry out his or her duties and functions.

Exception

(4) Information referred to in subsection (2) may be disclosed if the disclosure is made in a way that does not identify or permit the identification of the source of the information.

Ministerial directions

32. (1) If, in the Minister's opinion, it is necessary for ensuring equitable access to slots by domestic air carriers that provide domestic air services, the Minister may direct a slot coordinator to allocate, renew or withdraw any slot, or a number of slots within a specified period, in respect of any person, on the terms specified by the Minister. The Minister may issue the direction to the airport operator if there is no slot coordinator for the airport.

Direction in respect of foreign air carriers

(2) The Minister may, with the concurrence of the Minister of Foreign Affairs, direct a slot coordinator, or the airport operator if there is no slot coordinator, to withdraw any slot from foreign air carriers or to withdraw a number of slots within a specified period from them.

Priority

(3) A direction of the Minister prevails over any regulations made under section 34 to the extent of any inconsistency.

Trade in slots prohibited

33. (1) No person who has been allocated a slot may sell or transfer it. Any sale or transfer of a slot is without effect.

Permitted trade in slots

(2) Notwithstanding subsection (1), a person who has been allocated a slot may, in accordance with the regulations, lend the slot free of charge to another person or exchange it for another slot. If there are no regulations, the loan or exchange may only be made after giving notice to the slot coordinator, or to the airport operator if there is no slot coordinator.

Regulations

34. The Governor in Council may make regulations respecting slots, including

    (a) the selection of slot coordinators;

    (b) the allocation, renewal and withdrawal of slots; and

    (c) the loan or exchange of slots.

PART 2

CONTINUANCE AND INCORPORATION OF AIRPORT AUTHORITIES

Continuance

Continuance of federal corporations

35. (1) The airport authorities set out in column 1 of Part 1 of Schedule 1, which are corporations incorporated under Part II of the Canada Corporations Act, being chapter C-32 of the Revised Statutes of Canada, 1970, are hereby continued as corporations under this Act, under the names set out in column 2 of Part 1 of Schedule 1.

Continuance of provincial corporations

(2) The Governor in Council may, by order, continue under this Act an airport authority incorporated under a provincial statute whose name is set out in column 1 of Part 2 of Schedule 1 by adding the authority to column 2 of Part 1 of Schedule 1, after the continuance is authorized by the laws of the province where it is incorporated. The authority is continued under this Act as a corporation under the name set out in column 2 of Part 1 of Schedule 1 on the day on which its name is added to Part 1 of Schedule 1.

Constating documents

(3) The constating documents of an airport authority referred to in subsection (1) cease to have effect on the day on which this section comes into force, and those of an airport authority referred to in subsection (2) cease to have effect on the day on which the name of the authority is set out in Part 1 of Schedule 1.

By-laws

(4) Notwithstanding subsection (3), the by-laws of an airport authority referred to in that subsection remain in effect until the day on which the by-laws replacing them are filed by that authority with the Minister under section 38.

Designations under Airport Transfer (Miscellaneou s Matters) Act

(5) Nothing in this Act affects the validity of a designation made by the Governor in Council under subsection 2(2) of the Airport Transfer (Miscellaneous Matters) Act.

References to airport authorities

(6) Any reference to an airport authority under the name set out in column 1 of Schedule 1 in a document made before the coming into force of this section or, in the case of an airport authority referred to in subsection (2), before the day on which its name is added to column 2 of Part 1 of that Schedule is deemed to be a reference to the airport authority set out in column 2 of Part 1 of that Schedule, unless the context otherwise requires.

New authority

36. (1) If the Governor in Council makes an order adding the name of a new airport authority to Part 1 of Schedule 1, the order must name the authority's first directors and contain its first by-laws.

Incorporation

(2) On the day on which the name of a new authority is added to Part 1 of Schedule 1, it becomes a corporation governed by this Act.

Rights preserved

37. When any airport authority is continued as a corporation under this Act,

    (a) the property of the authority continues to be the property of the corporation;

    (b) the corporation continues to be liable for the obligations of the authority;

    (c) an existing cause of action, claim or liability to prosecution is unaffected;

    (d) a civil, criminal or administrative action or proceeding pending by or against the authority may be continued to be prosecuted by or against the corporation; and

    (e) a conviction against, or ruling, order or judgment in favour of or against, the authority may be enforced by or against the corporation.

Filing of by-laws by corporations in Part 1 of Schedule 1

38. (1) An airport authority whose name is set out in Part 1 of Schedule 1 must file new by-laws that are consistent with this Act with the Minister within three months after the day on which this section comes into force. Any subsequent amendment to those by-laws must be filed with the Minister within 30 days after the day on which the amendment is made.

Filing of by-laws by other corporations

(2) An airport authority whose name is added to Part 1 of Schedule 1 by an order referred to in subsection 35(2) must file new by-laws that are consistent with this Act with the Minister within three months after the day on which the order is made. Any subsequent amendment to those by-laws must be filed with the Minister within 30 days after the day on which the amendment is made.

Ministerial directions

(3) If the Minister is of the opinion that the by-laws of an airport authority do not comply with this Act, the Minister may, within 90 days after the day on which the by-laws or any amendments are filed, direct the authority to amend its by-laws to ensure that they are in compliance with this Act and specify in the direction the date before which the amendment must be made.

Duty to inform

(4) The airport authority must inform all selecting bodies without delay of all amendments to the authority's by-laws.

Cessation

(5) Any by-law or any amendment to a by-law that is not filed with the Minister in accordance with subsection (1) or (2) or that is not amended as directed by the Minister under subsection (3) ceases to be in force.

By-laws - transitional provisions

39. The by-laws referred to in section 38 must provide for amendments to the airport authority's nomination and appointment process to make it comply with this Act, as soon as possible and in any event not later than three years after

    (a) the coming into force of that section; or

    (b) the day on which the order referred to in subsection 35(2) is made, in the case of by-laws referred to in subsection 38(2).

Statutory Instruments Act

40. No by-law, plan or other document that an airport authority is required to have, adopt or prepare under this Act is a statutory instrument within the meaning of the Statutory Instruments Act.

Head Office

Location

41. The head office of an airport authority must be at or near the airport leased to it on the transfer date or in the principal municipality that is served by that airport.

Dissolution

Dissolution

42. (1) The Governor in Council may, by order, dissolve an airport authority by deleting its name from Part 1 of Schedule 1 if the Governor in Council is satisfied that the authority has adequately provided for the payment or discharge of all its obligations.

Effect of dissolution

(2) In the event of dissolution of an airport authority, all property remaining after dissolution must be transferred to the Minister, in the name of Her Majesty in right of Canada, or, alternatively, to any successor organization to the authority designated by the Minister.

Order on dissolution

43. In case of dissolution, the Governor in Council may, by order, take any measures that are necessary for the transfer of property and the carrying out of airport operations.

Powers and Capacity

Purpose of airport authority

44. (1) The purpose of an airport authority is to carry out its airport undertaking in respect of its airports in a manner consistent with this Act.

Carrying out purpose

(2) In carrying out its purpose, an airport authority must take into account the interests of users, the airport's contribution to the national air transportation system and the airport's contribution to the economy and public of the region it serves.

Not agent of Her Majesty

45. An airport authority is not an agent of Her Majesty in right of Canada.

Legal capacity

46. (1) Subject to this Act, an airport authority has the capacity, rights, powers and privileges of a natural person.

Power to make by-laws

(2) An airport authority may make by-laws.

Debt obligations

(3) An airport authority may issue a bond or debenture or other evidence of indebtedness.

Without share capital and not for profit

47. An airport authority is a corporation without share capital. The airport authority must apply all its revenues towards promoting its purpose in accordance with this Act and may not distribute any surplus.

Authorized investments

48. An airport authority may invest moneys in its reserves, or moneys that it does not require in the short-term, only in debentures, bonds or other debt obligations of or guaranteed by

    (a) any bank set out in Schedule I to the Bank Act; or

    (b) a government, or corporation, whose credit rating is in one of the three highest rating categories as established by an internationally recognized credit rating agency.

Authority of directors, officers, etc.

49. (1) No airport authority and no guarantor of an obligation of an airport authority may assert against a person dealing with the authority or against a person who acquired rights from the authority

    (a) that the by-laws of the authority have not been complied with;

    (b) that a person held out by the authority as a director, an officer, an agent or a mandatary of the authority has not been duly appointed or is not authorized to exercise the powers and perform the duties that are customary in the business of the authority or usual for a director, an officer, an agent or a mandatary; or

    (c) that a document issued by any director, officer, agent or mandatary of the authority with actual or usual authority to issue the document is not valid.

Exception

(2) Subsection (1) does not apply in respect of a person who has, or ought to have, knowledge of a situation described in that subsection by virtue of their relationship to the airport authority.

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