Ron Cannan Announces the Government is Committing $1.35 million for Kelowna International Airport Expansion
October 13, 2007

Pictured from left to right: James Baker (Lake Country Mayor), Roger Sellick (Kelowna International Airport Manager), Sharon Shepherd (Kelowna Mayor), Ron Cannan (Member of Parliament Kelowna – Lake Country), Barry Lapointe (President Kelowna Flight Craft), Michael Ballingall (Senior VP Sales and Marketing Big White Silver Star Ski Resorts).

Kelowna, British Columbia — Ron Cannan, Member of Parliament for Kelowna – Lake Country, announced on behalf of the Honourable Rona Ambrose, President of the Queen’s Privy Council for Canada, Minister of Intergovernmental Affairs and Minister of Western Economic Diversification that up to $1.35 million is earmarked to expand the Kelowna International Airport. The expanded airport facility will generate greater access to business opportunities and a thriving tourism industry in the Central Okanagan region.

“Canada’s Government is delivering on its commitment to the City of Kelowna,” said MP Cannan. “Our investment of $1.35 million for the airport expansion will stimulate the local economy by bringing additional international flights to the Okanagan, boosting tourism and other business opportunities.”
Funding for the Kelowna International Airport expansion project is being delivered by Western Economic Diversification Canada through the federal Mountain Pine Beetle Initiative.

“Both as the Minister responsible for federal activities to combat the Mountain Pine Beetle and as a British Columbian, I know full well the importance the expansion of the Kelowna Airport will have for the future economic development of this area,” said the Honourable Gary Lunn, Minister of Natural Resources. “That is why we are making this vital investment.”

Government of Canada's contribution of $1.35 million is contingent upon the successful completion of a review of the business case including financial and market viability of the proposed airport expansion, its economic benefits, and other sources of funding. Steps in the federal due diligence review include assurances that appropriate consultative processes are addressed, that the project meets regulatory and environmental requirements, and confirmation of public and stakeholder support.

Western Economic Diversification Canada is actively working with the Airport Authority to finalize all steps in the due diligence process, allowing the Government of Canada’s investment to flow to the Kelowna Airport project.

The project will extend the north end of the main runway by 1,200 feet and the south end by 400 feet. The project includes installation of blast fences at both ends of the runway, and minor upgrades to airside aprons to accommodate large passenger aircraft. The total project costs are $8 million. In addition to the federal contribution, the Province of British Columbia is committing $1.35 million, and the City of Kelowna is contributing $5.3 million from Airport Improvement Fee revenues collected from passengers departing Kelowna International Airport.

“This runway expansion is important for the entire Thomson Okanagan region,” says Kelowna Mayor Sharon Shepherd. “It will mean this airport can offer direct intercontinental flights to countries such as the UK and Germany which will provide more business for the ski industry, increase tourism in general and be of significant benefit to the region’s business community.”

British Columbia is experiencing the worst Mountain Pine Beetle infestation recorded in Canada. Forecasts indicate at the current rate of spread, 50 per cent of mature pine forests in B.C. will be dead by 2008 and 80 per cent by 2013. The City of Kelowna in the Central Okanagan region is situated within the area affected by the beetle infestation.

In January 2007, Canada’s Government launched a $200 million comprehensive response to mitigate the effects of the infestation on B.C.’s forestry sector. The federal Mountain Pine Beetle Program is led by Natural Resources Canada, in collaboration with Western Economic Diversification Canada and Transport Canada. The objectives of the Program are to: control the spread of the beetle; recover economic value from infested timber; protect the forest resources and communities; and support economic diversification and infrastructure in affected communities.

Western Economic Diversification Canada is a department of the Government of Canada that works in partnership with the provinces, industry associations and communities to promote the development and diversification of the economy of Western Canada.

For more information on the Mountain Pine Beetle Program, please visit: http://mpb.cfs.nrcan.gc.ca/publications_e.html