Te Anau Airport-Waiau has begun the process of winding down from aerodrome operations to private use only and then eventual decommission.
But the Fiordland Aero Club says it is being "coerced" into moving from the Waiau strip to the new Manapouri Aerodrome.
The Civil Aviation Authority received notification from Southland District Council (SDC) of a proposal to deactivate the 726m-long grass-stripped aerodrome from April 9.
The Manapouri Aerodrome, featuring 1594m-long and 969m-long runways, will be renamed Te Anau-Manapouri on the same day but will retain its location indicator, NZMO.
Club president Murray Hagen said members were split 50-50 between staying at Waiau and moving to Manapouri.
"It's probably financially better off for us to shift but the council has given all the service building sites to a consortium called MGJV. Unfortunately no-one else can do a commercial building because of the monopoly.
"We would like to see the council helping the aero club much more financially so a solution can be worked, whether it would be a private consortium buying 100 acres (40ha) of the Waiau strip or council being a lot more proactive in getting us financially viable and established at the Manapouri strip."
SDC services and assets group manager Cameron McIntosh said the notification was an interim step.
Council's intention was to sell the Waiau site later this year.
"Over time the council has developed the Manapouri aerodrome by extending the field runway, building a cross-wind runway and building a new terminal building with the intention of consolidating air operations at the new site."
Mr McIntosh said the advantages of the $7.1 million airport at Manapouri, which opened almost a year ago, included more options for all-weather flying, the provision of both fuels used by aviation, and a more scenic gateway to the area.
