RECOMMENDATION

His Excellency the Governor General recommends to the House of Commons the appropriation of public revenue under the circumstances, in the manner and for the purposes set out in a measure entitled ``An Act respecting the commercialization of civil air navigation services''.

SUMMARY

This enactment provides the authority for the commercialization of air navigation services provided by the Minister of Transport. The key components of the enactment include:

    (a) the transfer of air navigation services assets under the management and control of the Minister of Transport to NAV CANADA, a corporation incorporated under Part II of the Canada Corporations Act;

    (b) the transfer of employees to NAV CANADA, with equivalent working conditions and benefits;

    (c) the continuation of current collective agreements and the granting of successor rights to bargaining agents;

    (d) the granting of certain powers to NAV CANADA, as well as the imposition of certain operating obligations;

    (e) the introduction by NAV CANADA of user charges;

    (f) the elimination of the air transportation tax two years after the transfer date;

    (g) the provision of transition period payments to NAV CANADA during the first two years equivalent to anticipated revenues from the air transportation tax;

    (h) the establishment of an economic regulatory framework in respect of user charges based on the principle of self-regulation;

    (i) the opportunity for users to appeal new or revised charges, other than in respect of charges that may be approved by the Minister of Transport during the first two years;

    (j) the establishment of a process to ensure public input to decisions by NAV CANADA in respect of the introduction, increase, termination or reduction of services, and the closure of facilities;

    (k) the preservation of air navigation services to northern and remote communities, including a special process involving provincial and territorial governments for service reductions proposed by NAV CANADA; and

    (l) provisions to ensure the continuing safety of air navigation services in Canada.