Council wrestles with future airport governance

Jeff Helsdon, Editor
Tillsonburg council once again tackled governance of the Tillsonburg Airport, considering several options.
The report followed a request from council in March 2026 when a recommendation was made for a tender to operate the airport. At the time, council asked for a review of airport governance models, which came before council at the Sept. 28 meeting. The current contract was extended while the review took place.
One challenge is that that Tillsonburg Airport is located in South-West Oxford Township, not within Tillsonburg town limits. Although the town owns the land and buildings on the airport property, it receives none of the $113,596 generated in property taxes, which are all paid to SWOX, Oxford County, and the province for education taxes.
Since the March meeting, the town has requested that a portion of the taxes be paid to the town, which would all go to infrastructure improvements; another challenge is that the airport needs $7.8 million in updates over the next 20 years. The request was sent to SWOX and Oxford County, and SWOX has has since answered and denied it.
Airport operations netted a surplus of $43,808 in 2025, following losses of $50,000 to $72,000 in the three preceding years.
The 21-page detailed report identified four different models thatcould be used fto operatethe airport.
The first option is the status quo, which sees contracted management of the airport. The tender price for management was $164,000 per year. Option two would transfer airport operations to an airport commission or airport authority. The third option is to establish a regional airport authority or joint municipal partnership, while the fourth option is to sell the airport. Most options identified capital upgrade costs as the challenge.
Coun. Chris Parker noted the report gives options, but no prices with the options.
Carlos Reyes, Director of Operations and Development, said the first option is the status quo, but the challenge is long-term sustainability and asset management. He said he could look into costing on the other options.
Coun. Bob Parsons said the airport has been an issue for council for years, including in the 1990s when he was first elected to council. He said the mayor of the day and staff asked neighbouring municipalities to participate because of the economic benefits generated by the airport.
“No luck then, and no luck now,” he said.
Parsons doesn’t believe a regional authority option will go any further, given the response of neighbouring municipalities. He said this is an issue the next council needs to deal with.
“I don’t think the airport will ever be a money maker, or ever break even. It is an expense and cost of doing business,” he said, adding that the federal government is selling airports.
Mayor Deb Gilvesy asked if the report would go to the airport advisory committee for comment.
Reyes said the report's purpose was to review the options, and he can investigate further.
Gilvesy pointed out that, operationally, the airport is doing better, but said capital issues are the challenge. She noticed the option of the town hiring a manager is not included, which was used previously.
Reyes said the town could go back to staff operating the airport instead of a contractor, but the challenge is specific skills are required, and the issue is attracting and retaining staff. He said they would need one full-time and two part-time staff.
Gilvesy also asked if Reyes had reached out to neighbouring municipalities with airports for feedback. She did point out the airport operated last year without taxpayer dollars, with a surplus and capital funded through land sales.
Reyes said he had not talked to other municipalities with small airports, but was attending an airport conference the next week and hoped to talk to small airport operators there.
The final motion passed was to refer the report to the airport advisory committee and for Reyes to report back with more information when available.


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