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HomeMy WebLinkAbout2004-04-26 04-127 ORDERItem No. M-127 Date: 4-26-04 Item/Subject: Order, Establishing a Special Committee on Halifax Pre -Clearance. Responsible DeparbneM: Airport Over the last year, there has been considerable discussion regarding Me Issue of pre- clearance at Halifax. Pr -clearance allows passengers to clear Customs and Immigration in a foreign country prior to a Flight Into the United States. Bangor has historically objected to any expansion of pre -clearance to foreign airports with which we might compete. Recently, there has been significant communication between officials in Halifax and Bangor on this Issue, and there b a desire on the part of both pardes for the City to review its position in opposition and to explore various alternatives. This Is a complex issue w8h numerous potential ramifications, both for the All and for those local businesses that supply goods and services to the All or those using the Airport To move the discussion forward, staff has recommended that a Special Committee be established! to review Me issue, explore available alternatives, and report back to the Coundl with a remmmenclatlon. This Committee would be composed of members of the City Council and local citizens familiar with our Airport and Its operations, the economic development potential of stronger Has with Atlantic Canada, and the local business community. Given are potential irrvolvement of the federal government, the involvement of representatives of our Congressional Delegation may also be useful. The attached Order will establish such a Committee. This approach has been reviewed and recommended by the Transportation and infrastructure Committee. Department Head Metal Comments: Recommend approval. .City Manager A ciated Information: Memorandum Budget Appro l: :ilr- m. -.m Legal Approval: el�aty swidmr Introdused for Consent Agenda X passage _ Fbat Resealing Page _ of Referral Aaiguedm Councilor FarriagCop April 26, 2006 C ,.0 CITY OF BANGOR (mLE.) ORDER, Establishing a Spedal Committee on Halifax Pre Clearance Whereas, preclearanceis a program which allows passengers W clear United States Customs and Immigration in a foreign country Mor to a flight Into the United States; and Whereas, Me City of Bangor has histarically opposed the extenstlon of pre -clearance to foreign airports with which Bangor International Airport may compete; and Whereas, Halifax International Airport is seeking approval from the United States government W establish pre -clearance operations at their airport; and _ Whereas, Halifax has also indicated that Mar interest is in pre -clearance for traffic originating in Halifax, not for in -transit traffic, and Whereas, Halifax has aim indicated a willingness to enter into an agreement with Bangor to indemnify Bangor International Airport for any business losses resulting from pre- clearance operetlers at their airport; and Whereas, the City of Bangor is interested in developing stronger relationships with Atlantic Canada while, at Me same time, protecting the interests of Bangor International Airport; and Whereas, given the complexity of this issue and its ramifications for Me Airport and our relationships with our Canadian neighbors, it is essential Mat this issue be fully explored and all alternatives examined. NOW, THEREFORE, BE IT RESOLVED BY THE CRY COUNCIL OF THE CITY OF BANGOR, THAT PURPOSE. The purpose of this Committee is W undertake a complete review of the Ctys current position In opposition W We extension of preclearance M Halifax International Airport, W investigate alternatives M Mis position and whether such alternatives can be implemented while providing for adequate protection of the interests of Bangor International Airport, and to report its findings and make recommendations to the City Council on whether the City's current position should be maintained or modified. COMPOSITION. The Committee shall be composed of no more than seven members M be appointed by the Chair of the Bangor City Council. The Caundl Chair shall designate one of the members M serve as Committee Chair. No more than two members of the Committee may be members of the Bangor City Council. The remaining members shall be individuals with knowledge or expertise regarding Bangor International Airport the economic development IP CIT4 COPPCf1 April 26. 20PA xamiaaxaae aaa secaaaea foC Passage xo[fav Doubted pore: 6 yes. 2 vo, t .L_:•� 1 abase[ Cwecilo[s vsCing Allen, Casbeell, Pa[ringrw. Tremble[, Pelee[ and Tremble Councilors acting vo. D'ErrCouncilor r Pealley Passed abase[: Cream PassedQ L (r C p DM12y ORDER (TITLE.) Establishing a special Casualties on Halifax Pref.' ea[avice Assigned to Councilor pa -121 April 16, 2009 To: and lnfrestruchure Committee Fr. FAward A. Barrett Su: Halifax Pre -Clearance Over the past several years, there has been considerable discussion regarding the Issue of pre -clearance in Halifax. Preclearance allows passengers to clear Customs and Immigration In a foreign country prior W a flight into the United States. Their are two types of pre-dearance: "originating", which applies m passengers originating in the region of the authorized airport' and "in transit", which applies W passengers originating in another country and stopping at the pre -clearance airport prior to proceeding W a U. S. destination. The City of Bangor has historically objectetl m expansion of the federal pre -clearance program m other airports in Canada or Europe. This apposition has largely been based on a desire to protect Bangor Intemational's position as the first point of entry Into the Unbad Stares for traffic originating in Europe. Airports with pre -clearance approval, particularly for in transit passengers, increases the level of competition we face in a stable to shrinking market ant would have a negative impact on airport revenues. Halifax has base seeking preclearance for a number of years. last year, the City Council adopted a resolution confirming the City's opposition to granting pre -clearance rights W Halifax. More recently, there has been considerable communication between Halifax, the City of Bangor, and various Canadian and U.S. officials regarding the issue of pre -clearance. Halifax has indicated that their Interest is in pre -clearance for only "originating" and not "in transit" traffic. Our primary interest is in protecting our competitive position on "in transit" traffic. All staff have been researching options and working with our congressional delegation to attempt to identify alternatives that might allow Bangor and Halifax W reach agreement on this issue. Airport personnel are concerned regarding any development that may lead to Hall _essentially serving as a US entry point In discussions to date, Halifax has agreed to indemnify Bangor for any loss resulting from their designation as a pre -clearance airport. - However, such direct losses would be difficult to identify and track. We are cendnuing to examine this offer to determine its feasibility and legal ramifications. Airport personnel have also been working with the Cangressional Delegation in an effort to seek modifications W the air service treaty between Canada and the U.S. that would allow Halifax preclearance for originating traffic but prohibit in -transit pre -clearance. Such an outcome would provide a higher level of protection for BIAs interests. At this point' there appears to be Council Interest in moving this issue toward a conclusion. There are a number of alternatives that can be pursued. 1. The City can retain and reaffrn its position in opposition W any pre -clearance approvals for Halifax 04-12) 2. We can adopt a position that would support originating tratBc pre -clearance while opposing in -transit pre -clearance, such position to be predicated on an amendment to the existing air service treaty. 3. We can adopt a position where we would consider dropping our objection to pre- clearance subject to a binding and workable agreement between Bangor and Halifax that would be sufficient W protect our interests. At this time, Airport personnel recommend that the City retain Its traditional position in opposition W any expansion of pre -clearance designations to potentially competRWe airports. At the same time, we would support joint efforts with Halifax to amend the existing air service braty with Canada to authorize only originating per -clearance in Halifax. We also recognize, however, that there may be some interest on the part of the Council In pursuing additional discussions with Halifax on this issue. While the majority of our concerns focus on the impact of pre -clearance on Bangor International Airport, national security is also a serious concern. Although it is a separate Issue, we are concerned about flights that transit Canada and Men over fly US airspace. It is crucial that the US and Canada standardize procedures for flights over- flying US airspace before expanding pre-deaance to new locations. As you are aware, this is a complex issue with potentially wide-ranging ramifications. Background materials on this issue are measured in inches and pounds, not pages. To move this discussion forward, I would recommend that the Counal consider establishing a Special Committee cemposed of members of the Council and individuals from the community with backgrounds or expertise on Bangor International Airport and economic development. This Committee would be charged with reviewing the voluminous documentation on this Issue, analysing the alternatives and their implications, and reporting back to the Council within a reasonable period of dime with recommendations on haw the City might proceed. Such an approach would serve to both move this discussion forward toward a resolution and Insure that it is given the amount of time and analysis that it requires. I look forward to discussing this issue with you and moving this discussion forward to a decision in the near future. Edward A. Barrett potential relat to stronger ties to Atlantic Canada, or the local business mmmun4. The Director of Bangor International Airport or bar designee shall be an ex -officio member of the Committee. In addition, representatives of the Maine Congressional delegation may be invited to participate as ex-ofBdo members of the Committee. TERM OF APPOINTMENT. Appointments to the Committee shall be for the term necessary for the Committee to complete its work. TERM OF EXISTENCE. The Committee shall have an Initial tens ending on August 31, 2009. The Chair of the City Councll may esderM this term for an additional Pemcl of no longer than 90 days if such extension is requested by the Committee and is deemed necessary by the Council Chair to allow the Committee m fulfil its obligations and report its findings and recommendations W the City Council. STAFF SUPPORT. Staff support for this Committee shall be provided by staff of Bangor Intemational Airport and may be supplemented by other City staff as determined by the City Manager.