Thank you, Mr. Speaker. Mr. Speaker, yesterday the honourable Minister of Transportation spoke at length about Yellowknife Airport evolution. This plan is somewhat controversial, and even more so perhaps in the light of a recent CBC investigative report that showed that between 4 to 6 per cent of airport improvement fees are pocketed by airline carriers and go into their direct revenues. How does the Minister plan to avoid this in light of our airport improvement planning and ensure that 100 per cent of all of the proposed fees are invested in crucial airport infrastructure, as he has promised? Thank you, Mr. Speaker.
Masi. Minister of Transportation.
Thank you, Mr. Speaker. The plan moving forward is, yes, we are going to introduce an airport improvement fee into the Yellowknife Airport to help pay for some capital expenditures moving forward. The airline fees typically charge a percentage on these fees across Canada, and it is something that we are keeping a close eye on. As the Member alluded, that is in the news today, and we will see what the outcome is from that. Thank you, Mr. Speaker.
So it does not sound like there is a plan. When they were considering doing this, was the Minister aware of how these fees operate across Canada, or is this investigative report new to the Minister's knowledge, too?
Yes, we were well aware that this fee was charged when the airlines collect the outbound passengers, so that is the answer.
I and my constituents eagerly await the Minister's plan to stop the pocketing of this fee. Further to his statement, the Minister also made reference to the Yellowknife Airport currently employing approximately a thousand people and that there is an opportunity to generate more jobs. How many direct jobs will the proposed airport plan create?
I want to thank the Member for bringing that forward. Yes, the Yellowknife Airport has a significant economic benefit to the City of Yellowknife and the residents of the Northwest Territories, with a thousand direct jobs. When we move to this new funding model for how we develop the airport, it has the potential of creating probably tonnes of more jobs. I couldn't give him the exact number. We realize the economic potential that lies there, particularly for the City of Yellowknife. It brings in significant amount of dollars to the community as well as the Northwest Territories.
I can't remember the number exactly, off the top of my head, the amount of GDP that the Yellowknife Airport brings. I believe it is somewhere in excess of $100 million. The direct taxes to the City of Yellowknife and the Government of the Northwest Territories is around $40some million.
If we could take this asset and develop it into a better economic opportunity to bring more tourists to the Northwest Territories, more business through cargo, more direct flights, more businesses that are operating in the airport, it is going to bring significant opportunities for all residents of the Northwest Territories.
Masi. Oral questions. Member for Kam Lake.
Thank you, Mr. Speaker. I have tonnes of more questions, but I understand I only have one left. You know, for the definition of "tonnes," I think it is a thousand, so maybe a couple of more thousand is what the Minister is getting at, but I digress.
The Minister also said that there is an infrastructure deficit, there is a strain that needs to be upgraded in the short term to cope with the pressure. These improvements that the Minister has listed off today, and on other days, as well, when will Yellowknifers be able to enjoy them? Is it next year? Is it the year after? Is it 10, 20, 30 years? What year will a new airport be delivered to Northerners and we will start seeing all these benefits, and what is the cost? Thank you.
Thank you, Mr. Speaker. As soon as we pass the budget and pass the Revolving Funds Act, we will be able to address this. Moving forward, we anticipate to collect upwards of $8 million to $9 million extra in revenue per year, offsetting the $4 million that the government already subsidized the airport by, so, with the collection of these new fees, we will be able to invest this money at an opportune time once we move forward.
Masi. Oral questions. Member for Frame Lake.
