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Prince Rupert airport to borrow $7 million for renovations and repairs

The Prince Rupert Airport Authority has been given the green light by city council to borrow $7 million.

The Prince Rupert Airport Authority has been given the green light by city council to borrow $7 million after it warned the current state of the airport left it in danger of being shut down.

The work includes $5.15 million to completely refurbish the terminal building, something airport manager Rick Reed said needs to essentially be rebuilt entirely.

"It is essentially the paint that is holding the building together right now. It is constantly leaking and that threatens the only good part of the structure, which is the beams ... the building is not a safe one for human occupation. It is rated Level 2, which is the minimal safety level and it would collapse in the event of significant seismic activity," he said, adding that the issues go beyong the physical building.

"The building is in such bad condition that one weekend we had people lined up to use the washroom because only one or two pieces were working. It's not due to lack of maintenance, the sewage system simply failed ... the mechanical system collapsed and last year there were three weeks where we had no heat."

Along with the building, the loan includes $550,000 to repave the access road to the airport, last done in the 1970s, and $600,000 to completely replace the runway.

"There are three layers of asphalt on the runway, and it is the middle one that is failing. That is causing the top layer to crack open," explained Reed.

Another $700,00 will make up the contingency fund for the project.

The city became involved because the airport will be borrowing from the Municipal Finance Authority with the approval of council. But the money will be paid back over 20 years and Reed said it will be paid using fees collected from passengers.

"Taxpayers would not be on the hook for any of this. It would be the users who pay for it through fees based on a modest projection of a three per cent increase in traffic," said Reed.

"Without any capital improvements, we are on the verge of having to close our much needed airport."