Proposed Sale of Yarrawonga Aerodrome

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Council is seeking feedback on a proposal to sell the publicly owned areas of the Yarrawonga Aerodrome (areas shaded red on the below map) Lot C, 122-140 Cahills Road, Yarrawonga.The proposal does not include sale of the privately owned areas (areas shaded grey or blue on the map) such as the hangars and public roads including John Duigan Drive. Capture.PNG

Sale of the aerodrome is expected to involve private owner(s)/investor(s):

  • Operating, maintaining and developing the aerodrome
  • Fulfilling all necessary safety and compliance requirements such as those required by CASA
  • Ensuring existing user access agreements are fulfilled at current or improved levels, for example private aircraft access to the aerodrome taxiways.

Have Your Say

You can provide your feedback to Council by lodging a submission online, by mail or at our service centres in Cobram and Yarrawonga. Your submission must be received by 5pm Thursday 11 October 2018.

When you lodge your submission please indicate if you, or your representative, would like to speak to your submission. If required, a Committee of Council will be held at 6pm Wednesday 31 October at the Yarrawonga Town Hall, 100 Belmore Street, Yarrawonga to hear any person who indicated they wished to be heard in support of their written submission. All submissions received by the deadline will be considered by Council prior to deciding whether to proceed with the proposal, with or without amendment, at the Ordinary Council Meeting, Wednesday 12 December 2018 at the Cobram Civic Centre.

All submissions, including submitter’s name and address, will be available at the meeting and on public display for 12 months. If council proceeds with the proposal to sell the aerodrome a separate and subsequent public sale process is required.

Further information

Call our customer service staff to access a hard copy of our Fact Sheet or download our Fact Sheet here relating to the proposed sale of Yarrawonga Aerodrome.

Click here to download Media Release issued 5 August 2018.

Q & A

Do Council receive Federal and State Government grants for the aerodrome?
Council has not receive any grants for the operation or development of the aerodrome. There are no dedicated aerodrome development grant programs and hence any application for state or federal funding would be though more general and hence very competitive grant funding programs.

What are the yearly associated costs with running the aerodrome?
The costs of operating the aerodrome are imbedded within overall council revenue and expenditure. For example mowing, fencing and bitumen (road) maintenance and depreciation expenses are reflected in the budgets for these activities. An apportionment of costs indicates ratepayers currently contribute $100,000 per annum to operate the facility. The operating costs are significant but it is the funding required to develop the facility that is the key obstacle for council with our limited financial resources.

What are Councils estimated cost of any planned improvement for the aerodrome?
At present council is seeking community feedback on a proposal to sell the public-owned areas of the aerodrome. If Council does not proceed with the sale, the future role of the facility will need to be reviewed and the timing and level of future development will be limited by available council funding.

How can I be involved in the process?
The best way to be involved is to make a written submission during this public consultation period. Your feedback, views or concerns helps Councillors make an informed decision on this proposal.  

What are the particulars of sale?
At this stage there are no particulars of sale available. Council is only seeking the public's opinion on whether the aerodrome should remain a public asset or proceed to sale.

Who has expressed interest in purchasing the aerodrome?
Council has not received any formal offer. An expression of interest process will follow if Council resolves to sell the aerodrome.

Fact Sheet

What is council proposing?

Council is seeking feedback on a proposal to sell the publicly owned areas of the Yarrawonga Aerodrome Lot C, 122-140 Cahills Road, Yarrawonga (areas shaded red on the map).
The proposal does not include sale of the privately owned areas (areas shaded grey or blue on the map) such as the hangars and John Duigan road will remain a public road.

Will council sell the aerodrome?
Council is currently seeking feedback on the proposal. Council will consider all feedback before making a decision on whether or not to proceed with the current proposal.

Why is council considering selling the aerodrome?
Council does not have the financial resources to develop the aerodrome to its full potential.
Prioritising funding to develop the aerodrome is at the expense of other service and infrastructure needs across the shire including council’s delivery of drainage, footpaths and roads which do not have alternative funding options. Many council owned aerodromes have little or no freehold private interests with airside access. In contrast Yarrawonga has embraced private sector investment within the aerodrome precinct and is well placed to consider private ownership of the remaining council interests. It has the potential to be one of the many successful privately owned and operated aerodromes.

How much does council expect to receive from the sale of the aerodrome?
If a sale was to go ahead council is required to obtain an independent valuation by a qualified valuer to confirm its market value.

What would council do with the money raised from the sale of the aerodrome?
The funds would be reinvested in the delivery of infrastructure across the shire including roads, drainage and community facilities and services.

Is the proposal to sell the aerodrome in response to buyer interest?
Over the past year we’ve had several approaches from within the aviation industry interested in whether the aerodrome was for sale but council has not received an offer.

When councils are considering selling land they are required to give public notice of that intent and allow at least 28 days for submissions. Given the significance of this matter we have allowed 60 days for feedback to ensure that all interested stakeholders have plenty of time to submit their views.

If council proceeds with the proposal to sell the aerodrome a separate and subsequent public sale process would be required – and there is no guarantee that someone would want to buy the aerodrome.

If a sale was unsuccessful the aerodrome would remain in council ownership and its development would be limited to council’s ability to fund required works.

What will change if the aerodrome is sold?
Sale of the aerodrome is expected to involve a private owner or group of owners

  • operating, maintaining and developing the aerodrome
  • fulfilling all necessary safety and compliance requirements such as those required by CASA
  • ensuring existing user access agreements are fulfilled at current or improved levels, for example private aircraft access to the aerodrome taxiways.

Council would cease any ongoing responsibility for the site and would transfer the balance of any registrations or fees to the new operator.

What will happen to privately owned hangars and infrastructure?
Current ownership of hangars, privately owned infrastructure and other site arrangements for example the BOM weather stations will not change.

Can the aerodrome site be used for a purpose other than an aerodrome?
No. Any proposed sale would be on the basis it remains an operating aerodrome. Importantly, under the Moira Shire Planning Scheme the Yarrawonga Aerodrome is zoned PUZ4 – which means the land can only be used for transport purposes. In summary, the aerodrome land can only be used for an aerodrome.

How is the aerodrome funded?
Council is the owner and manager of the Yarrawonga Aerodrome. In this role Council funds and provides quite unique services that must meet a range of user, industry and public safety standards, for example maintenance of the runways and taxiways, access to refuelling facilities as well as the overall site safety eg fencing, security and signage.

Council does not charge additional fees or charges for these services – the costs are funded through Council rates which means rate payers across the entire Moira Shire fund the aerodrome.

Does Council want an aerodrome in the shire?
Yes, the aerodrome provides a broad public benefit for the Yarrawonga community with air ambulance, police, and fire services using the facility from time to time. The aerodrome also supports aerial crop management services for local agriculture.
There is potential to grow the increasing tourist traffic as local golf and accommodation developments come online.