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| Response to Letter of May 22 from Minister of Transport. Dear Mr. Gold: The office of the Honourable John Baird, President of the Treasury Board, has provided the Honourable Lawrence Cannon, Minister of Transport, Infrastructure and Communities, with a copy of your correspondence of May 22, 2006, regarding the Toronto Port Authority (TPA). Minister Cannon has asked me to reply on his behalf. At the outset, allow me to assure you that Transport Canada's first priorities are safety and security. The department's mission is to develop and administer policies, regulations and programs for a safe, secure and efficient transportation system. I should explain that the TPA was established in June 1999 to operate the Port of Toronto under the Canada Marine Act (CMA), as a result of a decision by the Parliament of Canada. The TPA is required to operate in accordance with the CMA, its Letters Patent, operations and management regulations, and any other applicable legislation. While the Government of Canada has established the framework that governs ports, the TPA's Board of Directors is responsible for decisions and planning with respect to the Port's day-to-day operations and management, including infrastructure improvements, maintenance and other discretionary spending. I should note, however, that section 25 of the CMA prohibits federal appropriations to Canada Port Authorities, except under very limited circumstances, such as emergencies. With respect to legal issues concerning the TPA, its directors have a statutory fiduciary duty to act in the best interests of the Authority. The TPA is an arm's-length, autonomous entity and does not report to Parliament through any minister of the Crown. The Minister is unaware of any investigation by the RCMP or any other branch of law enforcement with respect to the TPA. Concerning activities at Toronto City Centre Airport (TCCA), I should clarify that the TPA operates TCCA according to the terms and conditions of a Tripartite Agreement between the TPA, the City of Toronto and the federal government. Among other provisions, the Tripartite Agreement prohibits the use of jet aircraft at TCCA and establishes allowable noise parameters. The TPA is obligated to abide by these provisions. In turn, the City and the federal government have a responsibility not to interfere with the rights and freedoms granted to the TPA under the Agreement. As you may be aware, on May 2, 2005, the federal government enacted the Toronto Port Authority Regulations, which prohibit the TPA from constructing a fixed link from mainland Toronto to TCCA. However, it should be noted that the TPA has not been prohibited from pursuing business opportunities to improve its overall financial position that are consistent with the activities it is authorized to undertake within its Letters Patent and the CMA. That being said, on May 1, 2006, the Minister appointed Mr. Roger Tassé to review and provide a report on the decisions and transactions associated with the proposal by the TPA to construct a fixed link. The mandate for the review of past actions and issues associated with the TPA and TCCA being conducted by Mr. Tassé does not specifically include an examination of the future of the port or airport. Moreover, the TPA and TCCA are expected to continue regular operations while the review is underway. A report detailing the review's findings is expected to be submitted to the Minister by October 15, 2006. I trust that the foregoing has clarified the department's position with respect to this matter. Again, thank you for writing to the federal government. Yours truly, Andrew Walasek Special Assistant - Ontario c.c. Office of the Honourable John Baird, P.C., M.P. |