Airports (Economic Regulation) Act

Link to law: http://www.moj.gov.jm/laws/airports-economic-regulation-act-0

AIRPORTS (ECONOMIC REGULATION)

THE AIRPORTS (ECONOMIC REGULATION) ACT

NOTICE
(under section 4(5))

NOTICE
(under section 4(6))

ORDERS
(under section 6(1))

The Airports (Economic Regulations) (Expansion Fund) Airport L N 2 4 1 2 ~ 3
Improvement Fee (Norman Manley International Airport) Order, 2003 4712006

The Airports (Economic Regulation) (Expansion Fund) Airport L N 2s12003
Improvement Fee (Sangster International Airport) Order, 2003

NOTICE
(under section 8)

The Airports (Economic Regulation) (Charges and Fees) Notice, 2003 L N ~112003

NOTICE
(under section I0 (6))

REGULATIONS
(under section 2 1)

The Airports (Economic Regulation) (Expansion Fund) (Sangster L N 2 6 1 2 ~ 3
International Airport) Regulations, 2003

The Airports (Economic Regulation) (Licence) Regulations, 2003 L N
142~'/2003

The Airports (Economic Regulation) (Expansion Fund) (Norman Manley L N
International Airport) Regulations, 2003 142~~12003

[The i~iclusion of tliis page is authorized by L.N. 17/2009]

AIRPORTS (ECONOMIC REGULAl'ION)

THE AIRPORTS (ECONOMIC REGULATION) ACT

ORDER
(under section 6(1))

(Made by the Minister on the 21st day of January, 2003) L.N. 2412033
4712006

1. This Order may be cited as the Airports (Economic Regulation)
(Expansion Fund) Airport Improvement Fee (Norman Manley International
Airport) Order, 2003.

2. In this Order-
"Airline Payment Arrangements" means the payment arrangements

with any operator for the collection of the airport improvement
fee approved by the Minister;

"Airport Expansion Fund Agreement" means such agreement-
(a) to be entered into by the Airports Authority, and the

Government of Jamaica; or
(b) where applicable the Airports Authority, the

Government of Jamaica, an airport operator and any
other person approved by the Minister in accordance
with provisions of the Act,

for the purpose of establishing the special fund under section 6(5)
of the Act;

"commencement date" means the 15th day of February, 2003;
"current rate of exchange" means the spot market weighted average

selling rate of exchange for United States dollars published by the
Bank of Jamaica-

(a) on the last business day of the week for which
payment has been computed under the Airline
Payment Arrangements in respect of the airport
improvement fee payable; or

(b) in other cases the said rate of exchange for the
business day preceding the date on which payment
is to be made;

"departing passenger" means a person using the Norman Manley
International Airport for the purpose of travel fi-om Jamaica;

"Expansion Account" means the Norman Manley International Airport
Expansion Account established pursuant to paragraph 6;

"major international airport" means the Norman Manley International
Airport and the Sangster International Airport;

[The iliclusiori of tliis page i s authorized by L.N 1712009]

THE AIRPORB (ECONOMIC REGULATION) @.PANSION FUND) AIRPORT
IMPROVEMENT FEE ( N O M N MNLEY INTERNATIONAL AIRPORlJ ORDER, 2003

"operator" means, in relation to an aircraft, the person who at the
relevant time has the management of the aircraft;

"relevant account bank" means the bank in which the Expansion
Account is held.

3.--(I) An airport improvement fee of ten dollars in the lawful currency
of the United States shall be payable in relation to every departing
passenger-

(a) embarking on an international flight (commercial or non-
commercial) at a major international airport;

(b) embarking on an international flight (commercial or non-
commercial) at a major international airport to connect at another
major international airport, using airside facilities only;

(c) arriving on a domestic flight at a major international airport, who
then embarks on an international flight and has not paid such a
fee under paragraph (a) or (b),

and shall be for the account of the first major international airport of
embarkation.

(2) The airport improvement fee shall be-

(a) collected, on behalf of the Government, in respect of airline
tickets sold, written or issued by the operator of an aircraft for an
international flight to depart fiom a major international airport;

(b) remitted in full to the Government by that operator in accordance
with the provisions of the Airline Payment Arrangements and for
the'purposes of this sub-paragraph, the amount of the fee may be
remitted in the lawful currency of the United States of America,
or the equivalent amount in Jamaican currency converted at the
current rate of exchange; and

(c) paid within fifteen days by that operator and, if any fees, or any
part thereof are not paid within this period, the same shall incur
interest at the most recently published six-month treasury bill
average yield rate for Jamaica, compounded monthly until the
date of payment.

(3) The airport improvement fee may be paid by a passenger
referred to in paragraph (1) in the lawful currency of the United States of
America or the equivalent amount in Jamaican currency converted at the spot
market weighted average selling rate of exchange for United States dollars
published by the Bank of Jamaica in respect of the last business day
immediately preceding the date on which the airline ticket is issued, sold or
written, whichever is earliest.

[The inclusion of this page is authorized by L.N. 17/2009]

THE AIRPORTS (ECONOMIC REGULATION) @XPANSION F W ) AIRPORT 5
IMPROWENT FEE (iVORMAN MANLEY INTERNATIONAL AIRPORlJ ORDER, 2003

4. The airport improvement fee shall not be payable by-

(a) children under the age of 2 years;

(b) airline crew (cockpit or cabin) on duty;

(c) in transit passengers, being persons arriving in Jamaica on an
airc~&, who-

(i) use airside SerYices only;

(ii) land in Jamaica from an aircraft which is landed on an airfield
involuntarily by unforeseen circumstances.

5. Expenses or charges incurred in collecting the Airport Improvement
Fee and establishing and managing the Expansion Account shall be deducted
from the amounts collected and deposited to the Expansion Account, in
accordance with such arrangements as the Minister may approve from time to
time.

6.-(1) An account to be called the Norman Manley International Auport
Expansion Account shall be established at such bank or banks as the
Minister may approve.

(2) The operator shall have the responsibility to collect any airport
improvement fee not collected in accordance with paragraph 3(2)(a) and he
shall-

(a) collect such fee in the lawful currency of the United States of
America; and

(b) remit such fee within ffieen days to the airport operator.

(3) The airport operator shall forthwith lodge the fee remitted under
sub-paragraph 2(b) to the Expansion Account.

(4) All sums collected by way of airport improvement fee shall be
paid into the Expansion Account.

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I AIRPORTS (ECONOMIC REGULATION)

I THE AIRPORTS (ECONOMIC REGULATION) ACT

ORDERS
(under section 6 ( l ) )

I
I THE AIRPORTS (ECONOMIC REGULATION) (EXPANSION FUND) AIRPORT

IMPROVEMENT FEE (SANGSTER INTERNATIONAL AIRPORT) ORDER, 2003

I (Made by the Minister on the 21st day of January, 2003) L.N 25/2003
1. This Order may be cited as the Airports (Economic Regulation)

(Expansion Fund) Airport Improvement Fee (Sangster International Airport)
Order, 2003.

2. In this Order-

"Airline Payment Arrangements" means the payment arrangements
with any operator for the collection of the airport improvement
fee approved by the Minister;

"Airport Expansion Fund Agreement" means such agreement as is
entered into by the Airports Authority, MBJ Airports Limited, the
Government of Jamaica, the Security Agent and the relevant
account bank as approved by the Minister.

"Commencement Date" means the 15th day of February, 2003;
"Concessionaire" means the MBJ Airports Limited, a company

incorporated under the Companies Act;

"Concession Agreement" means the agreement dated 20th December,
2002 (as amended from to time) entered into between the Airports
Authority and the Concessionaire in relation to the operation and
development of the Sangster International Airport or such
authorized transferee from the Concessionaire as shall have
entered into the Deed of Accession to the Airport Expansion Fund
Agreement;

"Current Rate of Exchange" means the spot market weighted average
selling rate of exchange for United States dollars published by the
Bank of Jamaica-

(a) on the last business day of the week for which payment has
been computed under the Airline Payment Arrangements in
respect of the airport improvement fee payable; or

(b) in other cases the said rate of exchange for the business day
preceding the date on which payment is to be made;

"departing passenger" means a person using the Sangster International
~ i $ o k for the purpose of travel from Jamaica;

[The inclusion o f this pnge is authorized by L.N. 33AlZWSI

THE AIRPORlS (ECONOMIC REGULATION) (EXPANSION FUND) AIRPORT
IMPROVEMENTFEE (SANGSTER INTERNATIONAL AIRPORlJ ORDER, 2003

"Expansion Account" means the Sangster International Airport
Expansion Account established pursuant to paragraph 5.

"major international airport" means the Norman Manley international
Airport and the Sangster International Airport;

"operator" means in relation to an aircraft, the person who at the
relevant time has the management of the aircraft;

"Relevant Account Bank" means the bank in which the Expansion
Account is held.

3.-(1) An airport improvement fee of five dollars in the lawful currency
of the United States of America shall be payable in relation to every
departing passenger-

(a) embarking on an international flight (commercial or non-
commercial) at a major international airport;

(b) embarking on an international flight (commercial or non-
commercial) at a major international airport to connect at another
major international airport, using airside facilities only;

(c) arriving on a domestic flight at a major international airport, who
then embarks on an international flight and has not paid such a
fee under paragraph (a) or (b),

and shall be for the account of the first major international airport of
embarkation.

(2) The airport improvement fee shall be-

(a) collected, on behalf of the Government in respect of airline
tickets sold, written or issued by the operator of an aircraft for an
international flight to depart from a major international airport;

(b) remitted in full to the Government by that operator in accordance
with the provisions of the Airline Payment Arrangements and, for
the purposes of this sub-paragraph, the amount of the fee may be
remitted in the lawful currency of the United States of America,
or the equivalent amount in Jamaican currency converted at the
current rate of exchange;

(c) paid within fifteen days by that operator and, if any fees, or any
part thereof are not paid within this period, the same shall incur
interest at the most recently published six-month treasury bill
average yield rate for Jamaica, compounded monthly until the
date of payment.

[The ~nclus~on ofthis page is authorized by L N 33Ai20051

THE AIRPORTS (ECONOMIC REGULATION) (EXPANSION F W D ) AIRPORT
IMPROVEMENT FEE (SANGSTER NTERNA TIONAL AIRPOR lJ ORDER. 2003

(3) The airport improvement fee may be paid by a passenger
referred to in paragraph (1) in the lawful currency of the United States of
America or the equivalent amount in Jamaican currency converted at the spot
market weighted average selling rate of exchange for United States dollars
published by the Bank of Jamaica in respect of the last business day
immediately preceding the date on which the airline ticket is issued, sold or
written, whichever is earliest.

0 4. The airport improvement fee shall not be payable by-
(a) children under the age of 2 years;

(b) airline crew (cockpit or cabin) on duty;

(c ) in transit passengers, being persons arriving in Jamaica on an
aircraft, who-

(i) use airside services only;

(ii) land in Jamaica from an aircraft which is landed on an airfield
involuntarily by unforeseen circumstances.

5.-(1) An account to be called the Sangster International Airport
Expansion Account shall be established at such bank or banks as the Minister
may approve.

(2) The operator shall have the responsibility to collect any airport
improvement fee not collected in accordance with paragraph 3(2)(a) and he
shall-

(a) collect such fee in the lawful currency of the United States of
America; and

(b) remit such fee within fifteen days to the airport operator.

(3) The airport operator shall forthwith lodge the fee remitted under
paragraph 2(b) to the Expansion Account.

(4) All sums collected by way of airport improvement fee shall be
paid into the Expansion Account.

[The inclusio~l of this page is aulhorized by L.N. 33A120051

AIRPORTS (ECONOMIC REGULdTION)

THE AIRPORTS (FCONOMIC REGULATION) ACT

NOTICE
(under section 8)

@fade by the Civil Aviation Authority on the 12th day of May, 2003) LN. 5112003

1. This Notice may be cited as the Airports (Jbnomic Regulation)
(Charges and Fees) Notice, 2003.

2. An application by an approved airport operator for the permission to
levy charges shall be made in the form prescribed in Paxt I of the First zedule
Schedule and shall contain the particulars listed in Part I1 of that Schedule.

3. An application shall be accompanied by the fee prescribed in the
Second Schedule. Second

Schedule.

FJRST SCHEDULE

Port I
(Regulation 2)

F m No. 1
THE AIRPORTS (ECONOMIC REGULATION) ACT

APPLICATION FOR F'ERMISSION TO LEVY AIRPORT CHARGES

1. Name and address of the airport to which permission is to relate.

2. Name, position and telephone and extension number of the person who can be
contacted about this application

3. Details of the airport operator:

Name

Address of Registered Office

Telephone No.

Company Registration No. or other status

Address of principal ofice in Jamaica
(if different from above).

4. (a) The names of the shareholdem of the airport operator, the class and number of
shares held (save that individual shareholding of less than ten percent of the total
number of shares, need not be disclosed) and details of any loans by shareholders
to the company.

(b ) If the airport operator is not a company, the legal a t u s of the airport operator
and the name of the owner(s) of the beneficial interest therein and the extent of
such interest.

[The inclusion of this page is aulhorizcd by L.N. 331\12005]

THE AIRPORTS (ECONOMIC REGULATION) (CHARGES AND EFES) NOTICE, 2003

FNST SCHEDULE, contd.

5. If the airport operator is not the airport owner details of any contractual or other
arrangement with the owner under which the airport is to be operated.

6. Details of the airport owner (if different 6om 3):

Name

Address of Registered Office

Telephone No.

Address of principal office in Jamaica
(if different fiom above).

7. (a) Names of beneficial shareholders in the company owning the airport, the number
of each class of shares held (only individual shareholding of ten percent or more
shares in any class need be shown) and details of any loans by shareholders to the
company.

(6) In case the airport owner is not a company the legal status of the airport owner
and the name of the owner(s) of the beneficial interest therein and the extent of
such interest.

8. If airport owner is not the airport operator and is a subsidiary of another company, the
name and address of-

(a) the parent company;

(6) the Ultimate Holding Company;

(c) any other subsidiaries of the parent company of the Ultimate Holding Company.

9. If the airport owner is not the airport operator, the names and addresses of any
subsidiaries of the airport owner.

10. Names and addresses of the Registered Offices of any associated companies of the
auport operator.

The applicant should state whether any of the associated companies are engaged in
either "relevant activities" or "operational activities" as defmed in section 2(1) of the
Act.

11. Names of any other airports managed by the airport operator, owned by the same
person or owned by members of the same group of companies.

12. Names and positions of principal executive officers of the airport operator.

13. The application should be accompanied by the following:

(i) A copy of the airport operators Business Plan inclusive of any Capital Expansion
Programme, the proposed finding of the programme and the Passenger Forecast.

(ii) Details of the proposed Performance Standards and Target to be achieved by the
Airport Operator in all areas of its operations.

(iii) Details of each airport charge levied at the time of the application and details of
the proposed changes to those charges.

(iv) Copies of any contractual or other arrangement with the owner of the airport
under which the airport is to be operated.

(v) A copy of any concession agreement, leases, management contracl or other
contractual documents under which the airpoll is to be operated should be
attached.

[The inclusion of this page is aulhoriled by L.N. 33N20051

THE AIRPORTS (ECONOMIC REGULATION) (CHARGESAND FEES) NOTICE, 2003

I hereby catify that to the best of my knowledge and belief the foregoing information
is correct and that no relevant information has been withheld

................................................................................................... Signature:
Signatory's Name
(BLOCK LETTERS) .....................................................................................
On behalf of ................................................................................................
Position .....................................................................................................
Date ..............................................
This form should be returned to: The Civil Aviation Authority

4 Winchester Road, Kingston 10
P.O. Box 8998, C.S.O. Kingston
Jamaica. W.I.

Part Il

Every application for a pmission to levy charges shall include the following
particulars-

the name and address of the airport for which permission is sought;

the name, company registration number and address of the registered office and the
principal office in Jamaica of the applicant;

the names of the shareholders of the applicant, the class and number of shares held
(save that individual shareholdings of less than ten percent of the total number of
shares need not be disclosed) and details of any loans by shareholders to the company;

if the applicant is not the owner of the airport details of any contractual or other
arrangements with the owner under which the airport is to be operated;

the name, company registration number and address of the registered office and the
principal ofice in Jamaica (if different ftom the registered ofice) of the owner of the
airport;

in respect of a company owning the airport, the names of its shareholders, and the
class and number of shares held (save that individual shareholdings of less than ten
percent of the total number of shares need not be disclosed) and details of any loans by
shareholders of the company;

if a company owning the airport is not the applicant and is a subsidiary of another
company, the name and address of the parent company and of any ultimate holding
company and of any other subsidiaries of the parent company or ultimate holding
company;

if a company owning the airport is not the applicant, the names and addresses of any
subsidiary companies of the owner of the airport;

the names and addresses of the registered offices of any associated companies of the
operator of the airport, showing in respect of each whether it is engaged in "relevant
activities" or "operational activities" as defined in section 2 of the Civil Aviation Act,
the names of any other airports managed by the applicant, or which are owned either
by the same person or by members of the same group of companies,

the names and positions of the principal executive officers of the airport opetator; and

such additional information as the Authority may reasonably require for the discharge
of its duties in relation to the application.

THE AIRPORTS (ECONOMIC REGULATION) (CHARGES AND FEES) NOTICE, 2003

(Paragraph 3)

- The airport operator shall on making an application to the Authority for a
Permission to Levy Charges pay a fee of US$10,000.00 in respect of each
scheduled Airport.

- The fees to be paid are specified in the lawfbl currency of the United States of
America and may be paid in that currency or in the equivalent amount of the
lawfiil currency of Jamaica.

[The inclusion of thie pngc ia aulhorid by L.N. 3JAI200Sj

AIRPORTS (ECONOMIC REGULATION)

THE AIRPORTS (ECONOMIC REGULATION) ACT

REGULATIONS
(under section 21)

THE AIRPORTS (ECONOMIC REGULATION) (EXPANSION FUND) (SANGSTER
INTERNATIONAL IRPORT) REGULATIONS, 2003

(Made by the Minister on the 21st day of January, 2003) L N ~ ~ 2 0 0 3

1. These Regulations may be cited as the Airports (Economic
Regulation) (Expansion Fund) (Sangster International Arrport) Regulations,
2003.

2.-(1) In these Regulations-

"Advance Works" means those works or services forming part of the
Phase 1A Works, which have been completed by or on behalf of
the Airports Authority as is defined in the Arrport Expansion
Agreement;

"Airport Expansion Fund Agreement" means such agreement as is
entered into by the Airports Authority, MBJ Airports Limited, the
Government of Jamaica, the Security Agent and the relevant
account bank as approved by the Minister;

"Approved Construction Contract" has the meaning given to it in the
Airport Expansion Fund Agreement;

"Approved Contractor" has the meaning given to it in the Auport
Expansion Fund Agreement;

"Airport Improvement Fee" means the fee imposed on departing
passengers in accordance with the Arrports (Economic
Regulation) (Expansion Fund) Aqor t Improvement Fee
(Sangster International Auport) Order, 2003;

"Concession Agreement" means the Agreement dated 20th December,
2002 as (amended from time to time) entered into between the
Airports Authority and the Concessionaire in relation to the
operation and development of the Sangster International Arrport
or such authorized transferee from the Concessionaire as shall
have entered into a Deed of Accession to the Airport Expansion
Fund Agreement;

"Commencement Date" means the 15th day of February, 2003;
"Concessionaire" means MBJ Arrports Limited a company

incorporated under the Companies Act;

[The inclusion ofthis page is authorized by L N 33AiZOOSJ

THE AIRPORTS (ECONOMIC REGULATION) (EXPANSION FUND) (SANGSTER
INTERNATIONAL AIRPORT) REGULATIONS. 2003

"Expansion Account" means the account established under the Arrports
(Economic Regulation) (Expansion Fund) Arrport Improvement
Fee (Sangster International Arrport) Order, 2003;

"Joint Account" means an account held in the names of the
Government and the Security Agent in accordance with the
Airport Expansion Fund Agreement;

"Security Agent" means the person appointed by the Minister under the
Airport Expansion Fund Agreement;

"Senior Debt Funding Agreements" means any loan or facility
agreement comprised within the Permitted Funding Documents
approved by the Airports Authority under the Concession

a
Agreement.

(2) References in these Regulations to the "Advance Works" "Phase
1 Works" "Phase 1A Works" "Phase 1B Works" or "Phase 2 Works", or "the
Works" are references to those works, respectively, as described in the
Concession Agreement.

3. Expenses or charges incurred in collecting the Airport Improvement
Fee, and establishing and managing the Expansion Account and the Joint
Account shall be deducted from the amounts collected and deposited to the
Expansion Account, in accordance with such arrangements as the Minister
may approve from time to time.

4. Subject to the provisions of these Regulations, the moneys standing to
the credit of the Expansion Account-

(a) shall, with the Minister's approval, be available to make
payments under approved Senior Debt Funding Agreements to
the extent that loans under those Agreements are applied-

(i) to direct payment by or on behalf of the Concessionaire to the
Approved Contractor in respect of the Phase 1A Works or the
Phase 1B Works;

(ii) to direct payment by or on behalf of the Concessionaire to the
Approved Contractor in respect of the Phase 2 Works;

(iii) to the financing of expenditure by the Concessionaire in
connection with the Advance Works d e r the Concession
Agreement;

0
(b) may, with the Minister's approval, be used to make payments

directly to an Approved Contractor in respect of Phase 1A Works
or Phase 1B Works or Phase 2 Works under an Approved
Construction Contract, if the following conditions are satisfied-

[The inclusion of this page is authorized by L N 33A/2005]

THE AIRPORTS (ECONOMIC REGULATION) (EXPANSION FUND) (SANGSTm
INTERNATIONAL AIRPORT) REGULATIONS, 22003

(i) the direct payments are made in discharge of unpaid moneys
properly due and payable under the Approved Construction
Contract for the relevant Phase 1A Works, Phase 1B Works or
Phase 2 Works; and

(ii) the Security Agent authorizes the direct payment to the
Approved Contractor against monthly certificates for the
Works approved by the independent engineer of the lenders
appointed under the Permitted Funding Documents;

(c) may be used to make other capital improvements at Sangster
International Airport, as the Minister may approve from time to
time.

5.-(1) Subject to paragraphs (2), (3) and (4) funds may be transferred at
monthly intervals from the Expansion Account to the Joint Account and the
aggregate amount of such funds shall not exceed-

(a) the principal amount advanced under the approved Senior Debt
Funding Agreements for the capital expenditure of a project
approved by the Minister and actually incurred from time to time
and interest accrued thereon; and

(h) any approved expenditure referred to in regulation 4 (h).

(2) The Security Agent shall authorize disbursements from the Joint
Account in respect of payments under paragraphs 4(a), (h) and (c) in
accordance with the provisions for such payments in the Airport Expansion
Fund Agreement.

(3) The Security Agent shall not authorize the release of funds for
prepayments or accelerated payments under the Senior Debt Funding
Agreements or in circumdanccs where the lenders freeze or otherwise restrict
transfers from the Concessionaire's accounts except as provided in the
Airport Expansion Fund Agreement unless arrangements satisfactory to the
Minister have been made.

(4) Transfers to and disbursements from the Joint Account shall be
suspended upon termination of the Concession Agreement and otherwise as
provided in the Airport Expansion Fund Agreement.

6.-(1) The collection of the Airport Improvement Fee, the Expansion
Account and the Joint Account shall be subject to an audit on an annual basis
at the cost of the Concessionaire on or around each anniversary date of the
Commencement Date.

(2) The audit shall be carried out by an independent firm of auditors
appointed by the Concessionaire and approved by the Minister and shall
include the following-

['lhc mcluswn of thir pap,: i, author~zed I,y I. N JlAl2005]

(a) the collection of thc Airport Improvcmcnt Fee;

( h ) the deposit of thc Airport Improvcmcnt FCC in thc Expansion
Account;

(c) thc transfers from thc Expansion Account to thc Joint Account;
and

(4 disburscmcnts from lhc Joint Account.
7.-(1) The Auditor-Gcncral shall bc cntitlcd to audit the Expansion

Account and the Joint Account.

(2) For the purposes of paragraph (I) , the Auditor-General shall be
granted h l l rights of access to the Expansion Account and the Joint Account
and all related or comccted accounts, reports, documents and transactions.

[The inclusion of thin p s ~ e i authorized by L.N. 33N200Sj

THE AIRPORTS (ECONOMIC REGULATION) ACT

REGULATIONS
(under section 21)

w a d e by the Minister on the 2nd day of December, 2003) L.N.
(30th September, 20031

1. These Regulations may be cited as the Airports (Economic
Regulation) (Licence) Regulations, 2003.

2. In these Regulations-

"aircraft" means any man-made device for aerial navigation within the
atmosphcre and includes aeroplanes, helicopters and balloons;

"airport operator" mcans any person approvcd by the Minister to cany
on operations at a major intcrnational airport pursuant to section 4
of the Airports (Economic Regulation) Act;

"airside facilities" means facilities used by connecting passengers to
international flights without k i n g landcd in Jamaica;

"commercial flight" means a scheduled or non-scheduled flight
available to the public for the carriage of passengers. cargo, or
mail for rcmuneration or hirc and includcs pilot training flights
and aerial flights;

"domestic flight" mcans a flight, other than an intcmtional flight,
which movcs bctwccn points within domcstic boundaries;

"intemtional flight" means a flight which-

(a) lands in Jamaica, coming from a placc outsidc of Jamaica:

(b) takes off from Jamaica and goes to a place outsidc of Jamaica;
or

(c) being part of an air service to or from a placc outsidc of
Jamaica. takes off from an airport or acrodromc in Jamaica and
lands at another airport or acrodrome in Jamaica;

"landing charges" means the landing charges authorized by the Civil
Aviation Authority pursuant to thc liccncc;

"licence" mcans the permission to lcvy charges granted by thc Civil
Aviation Authority pursuant to section 8 of the Airports
(Economic Regulation) Act:

"major international airport" mcans thc Sangstcr International Airport
and the Norman Manley Intemtional Airport;

(The mclur~on of lhns page a nuthw~zed by L N JJAl20051

THE AIRPORTS (ECONOhfIC RMiIJ1,ATION) (IJCEINCE) RKGCJ1,A TIONS. 2003

"operator7' means, in relation to an aircraft, the person who at the
relevant time has the management of the aircraft;

"parking charges" means the parking charges authorized by the Civil
Aviation Authority pursuant to the licence;

"passenger loading bridge" means a mechanically operated adjustable
ramp used to provide direct access between an aircraft and
terminal buildings or ground transport vehicles;

"passengers loading bridge charges" means the passenger loading
bridge charges authorized by the Civil Aviation Authority
pursuant to the licence;

"passenger service charges" means the passengers service charges
authorized by the Civil Aviation Authority pursuant to the
licence;

"security charges" means the security charges authorized by the Civil
Aviation Authority pursuant to the licence;

"US Dollars" means the lawful currency of the United States of
America;

"visiting non-commercial flight" means a flight by a visiting non-
commercial aircraft;

"visiting non-commercial aircraft" means a flight by an air& that is
not locally registered and that is not for commercial, industrial or
other lucrative purposes;

"weight of aircraft" means the maximum permissible take-off weight
specified in the certificate of air-worthiness or other prescribed
document in respect of any aircraft.

3. Where reference is made in these Regulations to specified charges, the
reference shall be construed to mean such charges as are imposed by the
airport operator, subject at all times to the maximum limits authorized under
Condition B 1 of the licence.

4. Unless otherwise specified in these Regulations, all charges payable
under Condition B 1 of the licence shall be paid in US Dollars.

5.-(1) Subject to paragraph (3) the owner or operator of any visiting
noncommercial aircraft shall pay the landing and parking charges for
international arrivals calculated in accordance with the charges specified in
the licence for visiting non-commercial flights in respect of the first landing
of the aircraft in Jamaica at a major international airport.

(2) Where the first landing is not at a major international airport, the
landing charges for domestic arrivals shall be applicable.

(3) Where the aircraft has not departed from Jamaica, the landing
charges for domestic arrivals shall be applicable to all subsequent landings at
a major international airport.

--
[The inclusion oflhis page is uutho~~ized by L.N. 33AI2005l

THE AIRPORTS (ECONOMIC REGULATION/ (UCENCE) REGUL4 TIONS, 2203

6.-(1) In respect of airline tickets issued by the operator of an ahafl
for an international flight to depart from a major international airport, the
operator of that aircraft shall collect on behalf of the airport operator and
shall remit in 111 to the airport operator in accordance with arrangements
approved by the Minister from time to time and within the agreed period. the
specified passenger senice charges and security charges contained in the
licence.

(2) The passenger senice charges and the security charges for
international commercial flights shall apply and shall be for the account of d) the first airportfor-

(a) every passenger embarlung on an international commercial flight
at a major international airport: and

(b) every passenger embarking from a major international airport to
connect at another major international airport using airside
facilities only.

(3) Every passenger embarking on a visiting noncommercial flight
at a major international airport shall pay the passenger service charges and
the security charges for visiting noncommercial flights.

(4) Every passenger arriving on a domestic flight at a major
international airport who-

(a) embarks on an international flight: and

(b) has not paid the said charges under paragraph (2) above. shall pay
the passenger senice charges and the security charges for
international commercial flights.

(5) The domestic flight charges in respect of passenger senice
charges and security charges shall apply to every passenger arriving on an
international flight who then embarks on a domestic flight.

(6) The domestic flight charges shall be applicable to all passengers
embarking on a domestic flight at a major international airport.

7. All specified passenger senice and security charges payable by the
passenger in US dollars may instead be paid by the passenger in equivalent
Jamaican dollars converted at the spot market weighted average selling rate
of exchange published by the Bank of Jamaica in respect of the last business
day immediately preceding the date on which the airline ticket is issued.

%-(I) Lf, in relation to an aircraft. the owner or operator-

(a) has a registered office in Jamaica: or

(b) is ordinarily a resident in Jamaica and the aircraft is normally
based in Jamaica.

any charges payable by the owner or operator of that aircraft under Condition
B 1 of the licence in US dollars may instead be paid in Jamaican dollars at the
weighted average selling rate of exchange.

[The ~niluslun of l h ~ s page 1s nuthu~med by L N 334,30051

THE AIRPORTS (ECONOAfIC REGULATION) (LICENCE) REGUL4 TIONS. 2003

(2) Without prejudice to any rule of law relating to the payment
(under an order of a court) of a debt expressed in foreign currency, the
equivalent m Jamaican dollars of any specified charge under Condition B 1 of
the licence and interest. if any. thereon may be recovered in any court of
competent jurisdiction.

(3) For the purposes of Condition B1 of the licence, "the weighted
average selling rate of exchange7' means the spot market weighted average
selling rate of exchange published by the Bank of Jamaica-

(a) on the last business day of the month for which payment has been
computed. in respect of landing, parking and loading bridge
charges; and 0

(b) on the last business day of the week for which payment has been
computed, in respect of passenger service charges and security
charges.

(4) Nothing in Condition B1 of the licence shall prevent the alrport
operator from accepting payment of charges in any currency other than
Jamaican dollars or US dollars.

9.-(1) Charges payable in respect of landmg, parking and passenger
loading bridge shall be computed nionthly and shall fall due and payable no
later than the fifteenth day after the date of the invoice.

(2) Charges payable in respect of passenger sewice and security
charges shall be computed weekly and shall fall due and payable no later than
the Nteenth day after the date of the invoice.

10. If any charges, or any part thereof due and payable are outstanding,
interest at the most recently published six-month treasury bill average yield
rate for Jamaica, compounded monthly, shall be incurred until the date of
payment.

11. Nothing in Condition B1 of the licence or in these Regulations shall
restrict the right of the airport operator to vary the terms of payment specified
herein.

12. Nothing in Condition B1 of the licence shall require the payment of
passenger service charges or security charges in respect of-

(a) airline crew (cockpit or cabin) on duty; or

(b) children under the age of two years.

13. The airport operator may, generally or in any particular case, waive-

(a) landing, parking or loading bridge charges or all three charges or
any part thereof;

(b) passenger s e ~ c e charges or security charges or both charges oi.
any portion thereof.

..
[The inclusion of this page is authorized by L N 33A120051

THE AIRPORTS (?TCONOMIC REGULA TION) @ICENCE) REGULATIONS, 2003

14.-(1) Subject to paragraph (2), nothing contained in Condition B1 of
the licence shall serve to prevent the Minister from granting exemptions to
any category of passenger or to waive any specified charges in Condition B1
of the licence or part thereof in special circumsQnces.

(2) The extent of a waiver under paragraph (1) does not materially
affect the economic viability of the airport operator.

[The inclusion of this page IS authorized by L.N. 33AlZOO5)

AIRPORTS (ECONOMIC REGULATION)

THE AIRPORTS (ECONOMIC REGULATION) ACT

REGULATIONS
(under section 21)

(Made by the Minister on the 2nd day of December, 2003) L.N.
[I st November, 20031 '42A2'2003

1. These Regulations may be cited as the Anports (Economic
Regulation) (Expansion Fund) (Norman Manley International Airport)
Regulations, 2003.

2.-(1) In these Regulations-

"Airport Expansion Fund Agreement" means the Agreement entered
into by the Anports Authority, NMIA Airports Limited, the
Government of Jamaica, the Security Agent and the Account
Bank approved by the Minister for the purpose of establishing the
special fund mentioned in section 6(5) of the Act;

"Airport Improvement Fee" means the fee imposed on departing
passengers in accordance with the Purports (Economic
Regulation) (Expansion Fund) Airport Improvement Fee
(Nonnan Manley International Auport) Order, 2003;

"Approved Construction Contract" has the meaning assigned to it
under the Airport Expansion Fund Agreement;

"Approved contractor" has the meaning assigned to it under the
Airport Expansion Fund Agreement;

"Commencement Date" means the 15th day of February, 2003;
"Concession Agreement" means the agreement entered into between

the Airports Authority and the Concessionaire, or such authorized
transferee from the Concessionaire as shall have entered into a
Deed of Accession to ihe Airport Expansion F d Agreement, in
relation to the operation and development of the Nonnan Manley
International Auport;

"Concessionaire" means NMIA Auports Limit& a limited liability
company incorporated under the Companies Act;

"Expansion Account'' means the relaant account established under the
Airports (Fmnomic Regulation) (Expansion F d ) Airport
Improvement Fee (Norman Manley International Airport) Order,
2003;

THE AIRPORlS (ECONOMIC REGULATION) (EXPANSION F W ) (NORMNMANLEY
EVTERNATIONAL AIRPORT) REGUUTIONS, 2003

"Joint Account" means an account held in the names of the
Government and the Security Agent in accordance with the
Airport Expansion Fund Agreement;

"Security Agent" means the person appointed as such by the Minister
under the Auport Expansion Fund Agreement;

"Senior Debt Funding Agreements" means any loan or facility
agreement comprised within the Permitted Funding Documents
approved by the Airports Authority under the Concession
Agreement.

(2) References in these Regulations to the "Conmction Works" are
references to those works, respectively, as described in the Concession
Agreement.

3. Expenses or charges incurred in-
(a) collecting the Airport Improvement Fee; and

(b) establishing and managing the Expansion Account and the Joint
Account,

shall be deducted from the amounts collected and deposited to the Expansion
Account in accordance with such arrangements as the Minister may approve
from time to time.

4. Subject to the provisions of these Regulations, the moneys standmg to
the credit of the Expansion Account-

(a) shall, with the approval of the Minister, be available to make
payments under the Senior Debt Funding Agreements to the
extent that loans made under those Agreements are applied-

(i) to direct payment of the Approved Contractor in respect of
the Construction Works;

(ii) for direct payment by or on behalf of the Concessionaire
to the Approved Contractor in respect of the Construction
Works;

(b) may, with the approval of the Minister, be used to make payments
directly to an Approved Contractor in respect of the Construction
Works under an Approved Construction Contract, if the following
conditions are satisfied-

(i) the direct payments are made in discharge of unpaid
moneys properly due and payable under the Approved
Construction Contract for the relevant Construction Works;
and

(ii) the Security Agent authorizes the direct payment to the
Approved Contractor against certificates for the Works
approved by the independent engineer of the lenders
appointed under the Permitted Funding Documents;

[The inclusion ofthis page is authorized by L.N 33N2M)5]

THE AIRPORTS (ECONOMIC REGULATION) (EXPANSION FUND) (NORMAN MiNLEY
INTERNATIONAL AIRPORT) REGULATIONS, 2003

(c) may be used to make such other capital improvements at Norman
Manley International Airport as the Minister may, from time to
time, approve.

5.-(1) Subject to paragraphs (2), (3) and (4), funds may be transferred at
monthly intervals from the Expansion Account to the Joint Account and the
aggregate amount of such funds shall not exceed-

(a) the principal amount advanced under the Senior Debt Funding
Agreements for the capital expenditure of a project approved by
the Minister and actually incurred from time to time and interest
accrued thereon; and

(b) any approved expenditure referred to in regulation 4(b).

(2) The Security Agent shall authorize disbursement from the Joint
Account in respect of payments under paragraphs 4(a), (b) and (c) and in
accordance with the provisions for such payments in the Airport Expansion
Fund Agreement.

(3) Except as provided in the Airport Expansion Fund Agreement,
the Security Agent shall not authorize the release of funds-

(a) for prepayments or accelerated payments under the Senior Debt
Funding Agreements; or

(b) in circumstances where the lenders freeze or otherwise restrict
transfers from the Concessionaire's account,

unless arrangements satisfactory to the Minister have been made.

(4) Transfers to and disbursements from the Joint Account shall be
suspended upon termination of the Concession Agreement and otherwise as
provided in the Airport Expansion Fund Agreement.

6.-(1) The collection of the Airport Improvement Fee, the Expansion
Account and the Joint Account shall be subject to an audit on an annual basis,
at the cost of the Concessionaire, on or around each anniversary date of the
Commencement Date.

(2) The audit shall-

(a) be carried out by an independent firm of auditors appointed by
the Concessionaire and approved by the Minister; and

(b) include the following-

(i) the collection of the Airport Improvement Fee;

(ii) the deposit of the Auport Improvement Fee in the
Expansion Account;

[The inclusion of this page is authorized by L N 33A12005)

THE AJRPORTS (ECONOMIC REGULI TION) (EXPANSION FWD) ( N O W MANLEY
INTERNATIONAL AJRPORT) REGULATIONS, 2003

(iii) the transfers ffom the Expansion Account to the Joint
Accounc and

(iv) disbursements from the Joint Account.

7.-(1) The Auditor-General shall be entitled to audit the Expansion
Account and the Joint Account.

(2) For the purposes of paragraph (I), the Auditor-General shall be
granted full rights of access to the Expansion Account and the Joint Account
and all related or connected accounts, reports, documents and transactions.

(The inclusion of this page is authorized by L.N. 33N20051
Read Entire Law on www.moj.gov.jm