Research Summary - Pilotage Authorities' Board of Directors

• As part of the Pilotage Act Review

Ivo Krupka

December 2017

This report sets out four options for the governance of pilotage services in Canada to support the work of the Pilotage Act Review.

Option 1: Retain the current configuration of four pilotage authorities

Option 2: Reduce the number of pilotage authorities from four to three—or even two

Option 3: Create a Crown corporation consolidating the four authorities

Option 4: Create a not-for-profit corporation consolidating the four authorities.

The options are framed, described and assessed with consideration of key variables under two general aspects of governance:

1. Mandate and Structure of the organization(s) responsible for establishing, operating, maintaining, and administering pilotage services:
   1. Nature and scope of policy/regulation-making authority
   2. Number and structure of pilotage organizations
   3. Statutory foundation for the organization(s)

1. Composition and Operations of the Boards of Directors
   1. Size of the Board(s)
   2. Composition of the Board, including skills and background of Directors
   3. Board operating style and norms

The options are assessed against their utility in helping to design improved governance arrangements to achieve high levels of performance in five aspects of pilotage services:

• Safety and efficiency
• Quality of decision making
• Legitimacy in the eyes of stakeholders, Parliament and the public
• Potential to minimize real and perceived conflicts of interest in Board operations
• Capacity to contribute to national or regional transportation strategies