Clearview Township withdrew support of the airport in late 2017 and now Wasaga Beach is indicating it could pull out and withdraw funding from the regional facility
Council to Talk Airport Sale Monday February 12th
On Monday February 12, 2018, Collingwood Council will receive Staff Report C2018-01 asking for approval of up to $100,000.00 from the land acquisition reserve funds to retain “Consulting Advisory Services in the Sale of the Collingwood Regional Airport.”
In September 2017 based on a detailed report from the Chief Administrative Officer, Council authorized the following:
“THAT Council receive Report CAO2017-03 regarding options for the future of the Collingwood Regional Airport;
AND FURTHER THAT Council herein declare the Collingwood Regional Airport as surplus to the needs of the municipality and commence the disposal of the property in accordance with the Town’s land disposition by-law.”
The report concluded that if Council authorized the recommendation as proposed, a notice would be provided to the public, and staff would consult with the Town’s solicitor to immediately prepare the divestiture/sale package which will require detailed proposals and commence the sale process for the subject lands.
Staff had consulted with the Town’s Municipal Solicitor, Jean Leonard, at Miller Thomson, LL.P.
“Ms. Leonard confirmed that a divestiture of this significance with the various complexities of aviation regulations, existing leases, outstanding infrastructure payback, etc… would require a specialist in this field. As such, Staff worked with the advice from legal to prepare an appropriate request for proposal to obtain the expert advice needed to proceed with the divestiture.”
How The Sale Will Work
The Staff Report stated that the Town’s Treasurer was consulted regarding available funds in the budget that may be transferred to this project until the divestiture takes place. Following the sale, the funds would be reimbursed from the sale proceeds. The funds needed would be allocated from the land acquisition reserve fund.
RFP FIN2018-01, “Provision of Consulting Advisory Services in the Sale of the Collingwood Regional Airport” was issued late 2017. The objective of this RFP was to seek proposals from Proponents that would provide the following services on behalf of the Town. The proposal was broken down into 5 phases and services retained as needed:
PHASE 1: Project Initiation, Planning and Control
PHASE 2: Preparation of an RFP
PHASE 3: Manage and Market RFP until Bid Closing Date
PHASE 4: Conduct RFP Proposal Review and Recommendation to Council
PHASE 5: Final Sale Negotiations and Closing
The staff report stated that three proposals were received and were evaluated by staff members from Public Works & Engineering, Clerk Services and Planning Services with the assistance of the Procurement Officer.
The Evaluation Team with the support of the CAO and Treasurer, would like to proceed with negotiation with the highest overall bidder, which was also the lowest price of $93,850.00 (excluding taxes).
In the past for other smaller land sale transactions, the Town utilized professional realtor services based on a commission price of 3%. As the appraised value of this the Airport lands is significant, these costs would be substantial. Therein, retaining the services of a consultant undertaking all phases of the airport divestiture would still be at a cost savings to the municipality.
As this is a significant asset of the Municipality, and based on the time and expertise needed to successfully manage this project, staff request allocating up to $100,000.00 for this project for the “Provision of Consulting Advisory Services in the Sale of the Collingwood Regional Airport”.
This project is scheduled to commence immediately following completion of successful bid negotiations, and to be completed by approximately the end of July 2018.
CLICK HERE to return to News Headlines