District of Muskoka Council increases the Tax Supported Capital Budget to $100,000 for Airport Governance Review
The District of Muskoka increased their Tax Supported Capital Budget to $100,000 for an Airport Governance Review, in the March 17, 2025, Council meeting.
Staff reported that the previous amended budget was $250,000 with funds coming from the Airport Capital Reserve, which will now total $350,000.
According to the staff report, the amendment will be applicable to the 2025-2026 Tax Supported Capital Budget and Forecast to support the creation of a new Municipal Services Corporation (MSC).
The District’s Muskoka Airport – MSF Flight Plan describes the MSC as “created by a municipality to manage specific services or assets,” allowing the airport to function with greater independence and flexibility regarding decision-making “similar to how private companies operate.”
The transition is also reported to provide faster decision making, streamlined communication and engagement, increased revenue, and additional financing opportunities outside of the District.
Staff indicated that they have already proceeded with the public consultation, which ran from last October until November.
Last January the Muskoka Airport Board reviewed the Business Case Study and elements that are required to create the MSC, and recommended forwarding it to Finances and Corporate Services for additional consideration prior to Council’s approval today.
Councillor, Don Smith, expressed concerns about the transition to the MSC, indicating that the change is all over one point, which is approval of the leases.
He explained that all requests still have to come back to Council, therefore, “[We] can save $100,000 and delegate authority to the Airport Board and move on as we have the past two years.” He suggested that the motion be defeated.
However, Council voted in favour of continuing with he MSC and finding the additional financial portion of funding they need from the budget in order to fund the project.
Staff were directed to finalize the necessary agreements and documents required to implement the project and report back to Finance and Corporate Services in the next quarter for final approval.
