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Cost of Government Aircraft Takes Off

Author: Richard Truscott 1999/12/02
If you look into the Saskatchewan sky, you might see a politician flying by. It's a taxpayer-owned airplane, but you have no say; There go your tax dollars flying away.

Whoever is doing the budgeting for the Saskatchewan government's fleet of airplanes must be the Chuck Yeager of spending, because the costs are increasing so fast they are breaking the sound barrier.

Three airplanes belong to a government air service called "Executive Air." These planes fly cabinet ministers, the lieutenant governor, and senior officials, rather than "executives", but as one CTF supporter joked, calling it "Politician Air" might cause people to confuse it with a political speech-writing service.

Unlike the Canadian Air Force, this Saskatchewan Government Air Force is well funded by taxpayers. In fact, the cost to taxpayers has almost DOUBLED in just three years.

A Freedom of Information request by the Canadian Taxpayers Federation revealed that the cost of operating the airplanes has risen by 90%, from $738,907 in 1995-96 to $1,392,262 in 1998-99. Over the same period the per-mile cost of operating the airplanes rose from $2.32 to $3.47.

The planes may be on track for another record year. From April 1 to September 30 of 1999, the cost per mile was $4.30. Cabinet members are also logging more "frequent flier miles": 110,000 more miles last year than in 1996-97.

Some of the increased costs are tied to the Beechcraft King Air 350 that the government purchased for $3.75 million in 1997. The King Air cost $3.62 per mile to operate last year. But the cost of operating the two older Piper Cheyenne IIs has also increased, from $2.30 a mile in 1995-96 to $3.40 in 1998-99. Costs have risen dramatically in almost every spending category.

These numbers do not fully reflect the cost of owning and operating these aircraft. The cost of financing and depreciation on the planes do not show up on the same books.

The CTF says that the government could give taxpayers a break and the private sector a boost by using charter planes and commercial flights. While Executive Air keeps three airplanes on standby for the exclusive use of government big wigs, charter services can spread their costs around to more customers, and have to keep costs down to be competitive.

For example, in the first six months of this year the government's King Air cost $5.25 per mile to operate (not including interest costs and depreciation). By comparison, one charter company charges $4.15 a mile for use of a similar aircraft.

The government needs to explain the skyrocketing costs, and justify the expense. One thing is for sure, when the government defended Executive Air and the purchase of the King Air in 1997, they never told taxpayers that costs were about to double!

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Franco Terrazzano
Federal Director at
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Federation

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