OST-1996-1899
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OST-1996-1899
http://www.cityofprescott.net/visitors/airport/ - Prescott Municipal Airport
http://www.kingmanairportauthority.com/ - Kingman Airport
Order 1997-11-9 | OST-1996-1899 | OST-1996-1900 | OST-1996-1901 | OST-1996-1902 | OST-1996-1903 | Issued November 6, 1997 | Served November 13, 1997
Order Revising Service Levels and Subsidy Rates
By this order the Department of Transportation is authorizing increased service levels and subsidy rates for the subsidized essential air service provided by Mesa Air Group at the six communities listed above beginning when the increased service is implemented (but no earlier than October 1, 1997) through September 30, 1998.
Exhibit A: Map | Exhibit B: Calculation of Compensation Requirement | Exhibit C: EAS Service | Exhibit D: Historical Traffic
By: Charles Hunnicutt
| Order 98-12-26 OST-96-1899 OST-96-1901 OST-96-1902 OST-96-1903 |
Issued December 22, 1998 Served December 24, 1998 |
 Order to Show Cause |
Essential Air Service - Kingman & Prescott, AZ; Alamogordo/Hollman AFB & Silver City/Hurley/Deming, NM - Mesa Airlines |
| Appendix A: Map of the States of Arizona and New Mexico | |||
| Appendix B: Historical Origin-Destination Passenger Traffic and Average Daily Enplanements | |||
| Appendix C: Mesa Air Group Provision of Basic Essential Air Searvice at Kingman and Prescott, AZ | |||
| Appendix D: Basic EAS to Be Provided | |||
| Appendix E: Service List |
The Department directs all interested persons to show cause within 20 days from the date of service of this order why it should not reselect Mesa Air Group to provide basic essential air service at Kingman and Prescott, Arizona, and Alamogordo/Holloman Air Force Base, Clovis, and Silver City/Hurley/Deming, New Mexico, as described in Appendix D to this order, for the period of October 1, 1998, through September 30, 2000;
By: Charles Hunnicutt
| OST-96-1899 | January 14, 1999 | Proposal of Northeast Aviation Acquisition to
Provide EAS |
EAS |
| Exhibit |
Northeast Aviation Acquisition Corp. proposes to provide essential air service for a two year period, as detailed below. We have developed our proposals after discussing the respective communities' needs with their representatives. Our service proposals will utilize Fairchild-Dornier 19-seat aircraft, initially operated through Fairchild's Merlin Express wet-lease program. We would be prepared to begin an orderly transition from the incumbent carrier immediately upon acceptance of our proposals. Our plans would be to commence operations within 90 days of acceptance of our proposals. We have signed a Letter of Intent to acquire an existing carrier, that is currently operating under Part 135 of the DOT Regulations. We expect to conclude this transaction within 60 days, and to then take the necessary steps to transition to Part 121. During this transition phase eve w~11 utilize the services of Fairchild's Merlin Express operations, a carrier operating with Part 121 authority, that has been found fit, willing and able" under the applicable regulations. Should we be unable to complete the acquisition, we would prepare a new entrant application.
By: A Douglas Gumula, 215-643-3095
| Order 99-9-17 OST-96-1899 OST-96-1901 OST-96-1902 OST-96-1903 |
September 27, 1999 | Final Order | EAS at Kingman and Prescott, Arizona; Alamogordo/Holloman Air Force Base, New Mexico; Clovis, New Mexico; Silver City/Hurley/Deming, New Mexico |
Final Order 99-9-17 is making final the tentative selection originally proposed in show-cause Order 98-12-26, December 22, 1998, of Mesa Air Group to provide basic essential air service with subsidy support at Kingman and Prescott, Arizona
By: Bradley Mims
| Order 01-5-18 OST-96-1899 OST-96-1901 OST-96-1902 OST-96-1903 |
Issued May 15, 2001 Served May 18, 2001 |
Order To Show Cause | Kingman and Prescott, AZ; Alamogordo/Hollman AFB and Silver City/Hurley/Deming, NM |
| Appendixes: Map, O&D Traffic, EAS to be Provided | |||
| Service List |
We have tentatively decided to reselect Mesa to provide essential air service at the five Arizona and New Mexico points for another two-year period. We have reviewed the service and traffic history for these communities and find that the service proposed is reasonable. We also tentatively find that Mesa's proposed subsidy rates are reasonable.
As is our customary procedure, we contacted Mesa when the end of the selection period at the five points was approaching and requested that, if the carrier found that subsidy was necessary for its continued service at the communities, it submit a proposal to the Department. Mesa responded by submitting and negotiating with us a proposal to continue to provide the current service levels (all with 19-passenger Beech 1900 aircraft): 18 one-stop or nonstop Kingman-Phoenix and 18 nonstop Prescott-Phoenix round trips each week for $1,083,003 per year; 18 nonstop Alamogordo-Albuquerque round trips each week for $923,789 annually; 18 nonstop Clovis-Albuquerque round trips each week for $1,118,197 annually; and 18 nonstop Silver City-Albuquerque round trips each week for $935,667 annually.
By: Susan McDermott
Order 2003-5-25
OST-96-1899 - Kingman and Prescott, Arizona
OST-96-1901 - Alamogordo/Holloman AFB, New Mexico
OST-96-1902 - Clovis, New Mexico
OST-96-1903 - Silver City/Hurley/Deming, New Mexico
Issued May 23, 2003 | Served May 29, 2003
Order Setting Interim Subsidy Rates | Word
By Order 2001-5-18, May 15, 2001, the Department selected Mesa Airlines to provide subsidized essential air service at Kingman, Prescott, Alamogordo/Holloman Air Force Base, Clovis and Silver City/Hurley/Deming through March 31, 2003. Those rates have expired without our having established new rates as yet. Consequently, it is necessary for us to extend the expired rates as interim rates, subject to retroactive adjustment, in order to ensure that Mesa will continued to be paid for its services until the we can establish new final rates, retroactive to April 1, 2003. The new final rates may be higher, lower or the same as the interim rates we are extending here.
The Department extends as interim rates the recently expired subsidy rates for the essential air services operated by Mesa Airlines, Inc., d/b/a US Airways Express, at the five communities, until new final rates can be established.
By: Randall Bennett
OST-1996-1899 - EAS at Kingman and Prescott, AZ
OST-1997-2694 - EAS at Page, AZ
OST-1998-4409 - EAS at Show Low, AZ
Request of Arizona Department of Transportation for a delay in setting new subsidy rates
The Arizona Department of Transportation Aeronautics Division, working in coordination witlthe communities of Kingman, Page, Prescott, and Show Low, is currently preparing a proposal undo} the Small Community Air Service Development Pilot Program. This consortium of the four (4) communities and ADOT will be proposing some novel ideas which include the State serving as the sponsor and contractor for a single carrier to serve these four communities. In this capacity, the State would solicit, select, monitor, and pay the single carrier for its services with funds from the EAS and SCASDPP programs. It is my understanding that three of our four Essential Air Service communities currently have expired contracts.
ADOT, on behalf of these communities, is requesting that DOT delay issuance of any new contracts for these four communities until a final decision is made regarding the consortium's SCASDPP proposal. If the consortium is successful in the award of a SCASDPP grant for its proposal, a solicitation will be made in coordination with DOT officials for a carrier to serve the four communities.
By: Gary Adams
Order 2003-6-30
OST-97-2694 - EAS at Page, AZ
OST-98-4409 - EAS at Show Low, AZ
OST-96-1899 - EAS at Kingman and Prescott, AZ
Issued June 20, 2003 | Served June 25, 2003
The Department defers setting new, two-year subsidy rates for Page, Show Low, Prescott and Kingman, Arizona, at the request of the State of Arizona Department of Transportation. There is currently an ongoing carrier selection case for Page, and two communities in Utah -- Moab and Vernal. Five applicant carriers have submitted service/subsidy proposals, and some include service patterns that integrate service at Page with one or both of the Utah communities. We direct the staff to contact all applicants in that case and advise them of our decision here to delay action on Page, as well as the other three Arizona communities. We will work with them and allow them to amend their existing proposals to exclude service to Page so that we can continue to process the carrier selection cases for Vernal and Moab.
By: Micheal Reynolds
Order 2003-8-31
OST-1996-1899 - EAS at Kingman and Prescott, AZ
Issued and Served August 29, 2003
The Department sets the final subsidy rate for Air Midwest, for the provision of essential air service at Kingman and Prescott, Arizona, as described in Appendices C-i and C-2, to be payable as follows: for each calendar month during which essential air service is provided, the amount of compensation shall be subject to the weekly ceiling and shall be determined by multiplying the subsidy-eligible flights completed during the month to and from Phoenix by $445.28 and $409.53
By: Michael Reynolds
OST-97-2694 - EAS at Page, AZ
OST-98-4409 - EAS at Show Low, AZ
OST-96-1899 - EAS at Kingman and Prescott, AZ
October 25, 2004
By: Air Midwest
October 25, 2004
Proposal of Arizona Express Airlines
By: Arizona Express
October 25, 2004
Proposal of Great Lakes Aviation
OST-97-2694 - EAS at Page, AZ
OST-98-4409 - EAS at Show Low, AZ
OST-96-1899 - EAS at Kingman and Prescott, AZ
November 4, 2004
Proposal of Air Midwest to Provide EAS
By: Air Midwest
October 22, 2004
Re: Letter confirming Vote of the Selection Committee
The selection committee voted, eight to three, to recommend on behalf of the Arizona Department of Transportation, Aeronautics Division, award of the subject solicitation for EAS Service for Kingman, Page, Prescott and Show Low Airports to Great Lakes Aviation Ltd. The recommended option is 3a of Great Lakes Aviation's Best and Final offer.
By: Mary Rogers
November 2, 2004
This letter is in regards to the ADOT recommendation in response to RFP T04-48-00040. Specifically, I am writing about the recommendation to replace America West Airlines service to and from Prescott AZ with Great Lakes Aviation. My reason for writing about the ADOT recommendation is to express a contrary view.
First, my destination when flying from Prescott is not Phoenix. GLA has no connecting capability with any inter-state flights. This means that I must consider each trip I make as two independent trips. I live in Prescott but travel to other parts of our country at least twice a month.
Second, with AWA, I can check in, receive all my boarding passes, check my luggage to its final destination (within the US or internationally) and clear security one time only. If GLA were to replace AWA in providing service to Prescott, all the above capabilities I currently enjoy would not be possible. GWA has no connecting flight capability.
Third, if I and others can no longer consider Prescott airport in our travel plans, the airport will become useless for travelers such as myself. Airport expansion will not be necessary. I would expect that the services which currently exist will wither away due to lack of commercial enterprise to support them. This will ultimately harm the continuing prosperity of the City of Prescott itself.
Fourth, returning to Prescott from flights within the US or internationally will necessarily be made by ground transportation if GLA is selected. This is a wasteful use of time and fuel. The national goal is to become more efficient in our travel modes. Reverting back to a '60's mentality is not in the best interest of myself, Prescott or the United States.
By: John Hoy
November 23, 2004
Re: Residents of Prescott, AZ Letters Against Great Lakes Aviation
By: Various Residents
November 24, 2004
Re: Letter from EAS Division to Mayor of Kingman, AZ
By: Essential Air Service Division, Dennis DeVany
November 24, 2004
Re: Letter from EAS Division to Mayor of Prescott, AZ
By: Essential Air Service Division, Dennis DeVany
OST-97-2694 - EAS at Page, AZ
OST-98-4409 - EAS at Show Low, AZ
OST-96-1899 - EAS at Kingman and Prescott, AZ
November 19, 2004
Re: Letter in Support of Mesa Airlines by Karen Rizk
By: Karen Rizk
November 20, 2004
Re: Letter in Support of Mesa Airlines by James Griset
By: James Griset
December 3, 2004
Save the Prescott Airport - No to Great Lakes Aviation - Multiple Submitters
By: Multiple Submitters
OST-97-2694 - EAS at Page, AZ
OST-98-4409 - EAS at Show Low, AZ
OST-96-1899 - EAS at Kingman and Prescott, AZ
December 1, 2004
Re: MI Windows and Doors Letter in Opposition to Change from Mesa Airlines to Great Lakes Aviation
By: David Maurer
December 6, 2004
Re: Comments of the City of Sierra Vista
By: Thomas Hessler, Mayor
OST-97-2694 - EAS at Page, AZ
OST-98-4409 - EAS at Show Low, AZ
OST-96-1899 - EAS at Kingman and Prescott, AZ
December 14, 2004
Re: Extension of Deadline for Filing Community Comments
At the request of the City of Kingman, we are extending the deadline for filing community comments for the carrier selection case in the above-listed dockets from December 15, 2004, to December 23, 2004.
By: Dennis DeVany
December 2, 2004
Re: Summit Bank Letter in Support of Mesa Airlines
By: Michael Keller
December 2, 2004
Re: The City of Prescott Letter in Support of Mesa Airlines
By: Jane Bristol, Economic Development Coordinator
December 4, 2004
Re: The City of Prescott Letter in Support of Mesa Airlines
By: Rowle Simmons, Mayor
December 5, 2004
Re: SuperiorRadiology Letter in Against the Proposal of Great Lakes
By: Kenneth Keller
December 14, 2004
Re: Visual Pathways Letter in Support of Mesa Airlines
By: Gary Buck
OST-96-1899 - EAS at Kingman and Prescott, AZ
OST-97-2694 - EAS at Page, AZ
OST-98-4409 - EAS at Show Low, AZ
December 2, 2004
Re: City of Page Council Communication
By: Bo Thomas
December 2, 2004
Re: Exsil Letter in Support of Mesa Airlines
By: Jerry Winters
December 6, 2004
Re: Prescott Resort Letter in Support of Mesa Airlines
By: Mic Fenech
December 15, 2004
Re: Change in The City of Show Low's Recommendation
By: Rick Femau, Mayor
December 16, 2004
Re: Letter Against the Proposal of Great Lakes Aviation
By: Louise Hummel
December 16, 2004
Re: Letter Against the Proposal of Great Lakes Aviation
By: Estelle Hummel
December 6, 2004
Re: Prescott Transit Authority Letter in Support of Great Lakes Aviation
By: Stephen Silverhale
OST-96-1899 - EAS at Kingman and Prescott, AZ
OST-97-2694 - EAS at Page, AZ
OST-98-4409 - EAS at Show Low, AZ
December 20, 2004
Re: Comments of Monica Gates, Mayor of Kingman, in Support of Great Lakes Aviation
By: Monica Gates
December 23, 2004
Re: Ivy Steel & Wire Letter in Support of Mesa Airlines
By: Mark Stojevich
December 28, 2004
Re: Kingman Area Chamber of Commerce Letter in Support of Mesa Airlines
By: Beverly Liles
December 29, 2004
Re: Prescott Valley Economic Development Foundation Letter in Support of Mesa Airlines
By: Gary Marks
December 29, 2004
Re: All Points Travel Letter in Support of Mesa Airlines
By: Gary Marks
OST-97-2694 - EAS at Page, AZ
OST-98-4409 - EAS at Show Low, AZ
OST-96-1899 - EAS at Kingman and Prescott, AZ
January 4, 2005
Comments of Prescott Transit Authority and Executive Transportation Services
If we make a switch to a non-affiliated airline we will be going backward not forward. Back to the days of Golden Pacific Airlines, the poor service, poor connections and the ensuing mess of its bankruptcy. They still owe me money which I could ill afford to lose at the time. I know by first hand that the administration does support competition but it does not support changing horses in midstream or substituting a known entity with a proven track record for an unknown. In this economic climate we can not afford such a gamble.
I herewith rescind my previous letter suggesting that Great Lake Aviation LTD be given an opportunity as I was misinformed of the intent.
By: Steve Silvernale
December 17, 2004
Re: C & D Collectible Letter in Support of Mesa Airlines
By: Dick Harlow
January 4, 2005
By: Steve Silvernale
December 27, 2004
Re: Stephen Woody Letter in Support of Mesa-America West Codeshare
By: Stephen Woody
January 24, 2005
Re: Ben Gangloff Letter against Great Lakes Aviation
Please reject the proposal to award air service to Great Lakes Aviation in Kingman, Arizona. As a frequent traveler, I was appalled and dismayed to see this action taken without any public input. It is ridiculous to think that this would benefit the public. Currently, one is able to fly to Phoenix, and by virtue of the codeshare agreement with America West Airlines connect to many cities by direct flight. What is proposed would require multiple stops, and eliminate the benefit of flying from Kingman. This will result in a decline of passengers and lead to the loss of an important airport. Our area is growing, so this loss would have a negative impact on further growth.
By: Ben Gangloff
January 24, 2005
Re: Gano Love Letter against Great Lakes Aviation (Form Letter)
I am writing to ask you NOT to accept the ADOT Recommendation for Award to Great Lakes Aviation Ltd. for Request for Proposal T04-48-00040 which contains USDOT's EAS Solicitation for Kingman, Page, Prescott and Show Low Airports. Kingman is a growing and thriving community and this recommendation will stunt the growth of the area and make traveling to and from the Kingman community harder. America West Airline operated by Mesa Airlines presently flies 3 flights a day in and 3 flights a day out of the Kingman Airport.
Great Lakes Aviation's codeshare with United Airlines and Frontier Airlines will not help this community. We will be giving up access to 49% of the flights out of Phoenix with America West in return for access to less than 5% America West serves 90 markets non‑stop from Phoenix. United Airlines and Frontier Airlines combined serve 7. Rather than fly from Kingman most passengers will opt to drive to Las Vegas instead. The loss of the America West codeshare jeopardizes Kingman's future in the Essential AF Service prcgram.
By: Gano Love
January 24, 2005
Re: Ray Segerman Letter against Great Lakes Aviation (Form Letter)
By: Ray Segerman
Order 2005-3-16
OST-97-2694 - EAS at Page, AZ
OST-98-4409 - EAS at Show Low, AZ
OST-96-1899 - EAS at Kingman and Prescott, AZ
Issued March 9, 2005 | Served March 14, 2005
Order Selecting Carriers and Establishing Subsidy Rates
By this order, the Department is selecting Great Lakes Aviation, Ltd. to provide essential air service at all four Communities captioned above for a new two-year period, at a combined first-year subsidy of $3,840,959, and a combined second-year subsidy of $3,854,958. Great Lakes’ service consists of three round trips routed Kingman-Prescott-Phoenix-Prescott-Kingman each weekday and each weekend period, three nonstop round trips between Page and Phoenix each weekday and four over the weekend period, and two nonstop round trips between Show Low and Phoenix each day, all provided with 19-seat Beech 19OOD aircraft.
By: Karan Bhatia
OST-1996-1899 - EAS at Kingman and Prescott, AZ
OST-1997-2694 - EAS at Page, AZ
OST-1998-4409 - EAS at Show Low, AZ
June 8, 2005
Correspondence to Congressman Renzi
As we state in the order, our decision in this case was difficult based on the very large number of service options presented, and the differing views in some cases, between the State and the communities regarding which carrier should be selected for each community. In addition, there was no combination of service options that would have satisfied all four communities, and the Department, therefore, was faced with making an informed decision that would not be favored by all interested parties.
For instance, selecting Air Midwest to continue providing service at Prescott (which was Prescott's recommendation) would have gone against the recommendation of the City of Kingman by requiring the selection of Air Midwest at Kingman, and neither of the other two applicants presented a service option for Kingman only. In view of this situation, the Department determined that it was appropriate to make its decision based upon which option or combination of options had the most State and local support, was cost effective and provided all of the communities with quality access to their hub destinations.
By: Norman Mineta
OST-1996-1899 - Kingman and Prescott, Arizona
OST-1997-2694 - Page, Arizona
OST-1998-4409 - Show Low, Arizona
July 25, 2005
Letter from Karan Bhatia to Senator Jon Kyl
Thank you for your letter regarding the carrier selection case for air service at Prescott, Arizona, under the U. S. Department of Transportation's Essential Air Service program. You forwarded to the Department a letter from your constituent Mr. David Brandman, objecting to the Department's decision in this case and urging you to see if this decision could be reversed, at least as it applies to Prescott. As you know, by Order 2005-3-16, issued March 9, 2005 (copy enclosed), the Department selected Great Lakes Airlines to provide EAS at Prescott, Show Low, Kingman and Page for a two-year period. That selection has resulted in a change in the air carrier serving the Prescott airport.
April 22, 2005
Letter of John Solomon Supporting Mesa Airlines
This letter is to express my great disappointment concerning the recent notification of the award of an Essential Air Service contract to Great Lakes Airlines for air service to Prescott, Arizona. The award of this contract will have some very unpleasant and unexpected consequences for our community.
Because of the growth and success of Mesa Airlines, the City of Prescott was considering building a new, desperately needed Airport Terminal building. That proposal has now been halted. Based upon the Great Lakes Airlines passenger projections and the lack of interline agreements, there is no point in trying to build a new terminal building, because there will be no Airline passengers left at the end of the Great Lakes contract period. Barclay, I am wondering if those responsible for reviewing the proposals took these factors into consideration when making their recommendations to award the agreement to Great Lakes Airlines, or whether the bottom line price was the determining factor. There are clearly some unintended consequences at work here.
Mr. Secretary, as a resident of Prescott and an occasional passenger, I would respectfully ask that you please check into this matter to see what, if anything, can be done to keep this travesty from occurring. The loss of Mesa Airlines to this community will set the Airport back for many years to come, former airline passengers will be relegated to ground transportation alternatives and air service, as we once knew it in our community, will be a thing of the past.
By: John Solomon
Order 2007-3-17
OST-1996-1899 - Kingman and Prescott, Arizona
OST-1997-2694 - Page, Arizona
OST-1998-4409 - Show Low, Arizona
Issued March 20, 2007 | Served March 23, 2007
By this order, the Department is requesting all interested parties to show cause why we should not terminate the essential air service subsidy eligibility of Kingman, Arizona, and allow Great Lakes Aviation, Ltd., to suspend its subsidized service. The Department is also requesting proposals from carriers interested in providing essential air service at Prescott, Page, and Show Low, Arizona, for the two-year period beginning July 1, 2007, with or without subsidy. We will also entertain proposals to serve Kingman if they meet the criteria described later in this order. Proposals and/or objections are due within 30 days of the service date of this order.
With specific respect to Kingman and Prescott, we ask that carriers submit proposals for three nonstop or one-stop round trips a day to Phoenix with 15-seat or larger, pressured aircraft, with the requirement that the total annual subsidy for Kingman cannot exceed $941,400. (If Kingman is served in conjunction with one or more other community, we will allocate the subsidy on the same basis described above, i.e., based on the number of weekly frequencies.) For Page, we ask for proposals with three nonstop round trips per day. For Show Low, we ask for proposals with two nonstop round trips per day. In order to give the Department and the communities as broad an array of proposals as possible from which to choose, carriers are also welcome to prepare more than one service option; they need not limit themselves to these requirements if they envision other, potentially more attractive service possibilities, different hubs, for example, with subsidy requirements that remain competitive. In that regard, we note that Kingman from time to time has informally expressed interest in service to Las Vegas. As always, we will formally solicit the communities’ views on any service options we receive before making a long-term carrier selection decision.
By: Andrew Steinberg
OST-1996-1899 - Kingman and Prescott, Arizona
OST-1997-2694 - Page, Arizona
OST-1998-4409 - Show Low, Arizona
April 17, 2007
Objections of:
OST-1996-1899 - Kingman and Prescott, Arizona
OST-1997-2694 - Page, Arizona
OST-1998-4409 - Show Low, Arizona
April 23, 2007
Comments of Arizona Department of Transportation
The Arizona DOT respectfully requests the US DOT defer its tentative decision to terminate the EAS subsidy eligibility for Kingman, Arizona.
We understand the US DOT's established subsidy limit of $200 per passenger. We also understand the Department's determination that the existing service subsidy exceeds that limit. However, we believe that the next proposals for EAS service to Kingman may cause the per passenger subsidy to be less than $200. Therefore, we request that a decision about the termination of the subsidy be deferred until after a thorough analysis of the EAS proposals for Kingman for the two-year period beginning July 1, 2007.
By: Victor Mendez
April 23, 2007
Option 1 - Kingman & Prescott
Total Subsidy Request - $1,798,489
Pattern of Service -
Kingman - 2 One-Stop RTs to PHX and 1 Nonstop RT to LAS Each Service Day
Prescott - 2 Nonstop RTs to PHX and 1 One-Stop RT to LAS Each Service Day
Per Passenger Subsidy -
Kingman - $191.04
Prescott - $122.90
Option 2 - Show Low
Total Subsidy Request - $869,942
Pattern of Service
Show Low - 2 Nonstop RTs Sunday thru Friday; 1 Nonstop RT Saturday
Per Passenger Subsidy -
Show Low - $93.77
Option 3 - Page
Total Subsidy Request - $1,622,728
Pattern of Service
Page - 3 Nonstop Roundtrips each Service Day
Per Passenger Subsidy -
Page - $142.62
Option 4 - Prescott & Kingman
Total Subsidy Request - $1,874,844
Pattern of Service
Kingman - 3 One-Stop Roundtrips Each Service Day to PHX
Prescott - 3 Nonstop Roundtrips Each Service Day to PHX
Per Passenger Subsidy -
Kingman - $1 99.15
Prescott - $128.11
By: Mesa Air Group, Jeffrey Hartz
April 23, 2007
Proposals of Great Lakes Aviation
Service Point(s) Proposal # Hub(s) Served Round Trips Equipment Subsidy Requirement Passengers Forecast Average Fare Show Low 1 Phoenix 2 1900D $988,181 10,000 $82.02 Show Low 2 Phoenix 3 1900D $1,117,791 15,000 $75.82 Page 1 Phoenix 3 1900D $1,620,050 11,500 $106.75 Page 1 Phoenix/Denver or Las Vegas 3 1900D $1,497,556 12,750 $100.57 Kingman /Prescott 1 Phoenix 3 1900D $1,882,759 IGM - 5750
PRC - 9500$95.15
$86.99Kingman /Prescott 2 Phoenix/Las Vegas 3 1900D $1,777,711 IGM - 7500
PRC - 11,000$84.50
$70.70
By: Great Lakes, Michael Matthews, 307-432-7000
April 27, 2007
Requests for Community Comments of:
By: Dennis DeVany
OST-1996-1899 - Kingman and Prescott, Arizona
OST-1997-2694 - Page, Arizona
OST-1998-4409 - Show Low, Arizona
April 27, 2007
Requests for Community Comments of:
May 2, 2007
Support Letter of State Representative
By: Rep. Andy Tobin
May 15, 2007
Town of Chino Valley in Support of Mesa Airlines
In discussing the subject of preferred airlines for the Prescott, Arizona airport, we have received overwhelmingly strong support for Mesa Airlines, who held the contract prior to the current carrier, Great Lakes.
If Mesa Airlines were to receive the new contract we understand that there will be an increase in direct flights to Phoenix and Las Vegas.
By: Mayor, Karen Fann
May 15, 2007
Comments of Prescott City Council
On May 8, 2007 the Prescott City Council passed a resolution in support of Mesa Air Group for the EAS contract serving Prescott. The Council was unanimous in support of Option 2 with service to both Phoenix and Las Vegas as outlined in your letter of April 27th.
Both carriers that submitted proposals were invited to attend the council meeting on May 1, 2007 to make presentations and answer questions. Great Lakes Airlines declined the invitation. A representative from Mesa Air Group and several interested persons did speak during the meeting. There was significant public support for the service level discussed with Mesa Air Group at that meeting.
By: City of Prescott, Rick Severson
OST-1996-1899 - Kingman and Prescott, Arizona
OST-1997-2694 - Page, Arizona
OST-1998-4409 - Show Low, Arizona
May 16, 2007
Arizona State Representative in Support of Great Lakes | Word
Please consider this letter as my support of Great Lakes Airlines during your review of the Essential Air Service proposals.
As one of their customers, I have enjoyed the convenience of air travel to and from Phoenix. The reliability of their flights, the short flight times, and the ease of traveling on their airline has made my commuting back and forth from the Valley much easier and less stressful.
By: Jack Brown
OST-1996-1899 - Kingman and Prescott, Arizona
OST-1997-2694 - Page, Arizona
OST-1998-4409 - Show Low, Arizona
May 17, 2007
State Senator in Support of Great Lakes
Please consider this letter as my support of Great Lakes Airlines during your review of the Essential Air Service proposals. Many of the residents in the White Mountain area have enjoyed the convenience of air travel to and from Phoenix on Great Lakes Airlines. The reliability of their flights, the short flight times, and the ease of traveling on their airline has made commuting back and forth from the Valley much easier and less stressful.
By: Jake Flake
May 17, 2007
City of Show Low in Support of Great Lakes
As Great Lakes is the incumbent air carrier, the City of Show Low wishes to express our continued support for this airline. Great Lakes has a proven track record in this community and has built a solid customer base, including frequent and returning passengers.
Regardless of which airline your office chooses for our route, the City of Show Low will support the air carrier. Airline service is a much needed means of travel for this community and we appreciate the Department of Transportation's support of the EAS program in Show Low.
By: Mayor, Rick Fernau
May 21, 2007
Kingman Airport Authority in Support of Mesa Air
Great Lakes Aviatoin has served Kingman well over the last two years and we found them wonderful to work with. However, our community responses indicate a desire for service to Phoenix Sky Harbor Airport Terminal 4 for more convenient cross country connections and they want the option of connecting to flights at Las Vegas McCarran International Airport. Mesa Air Group is the only one of the two that currently has a gate at McCarran and meets the Phoenix service deisres of the community.
We, therefore, support Mesa Air Group's proposal to service our community with 12 weekly one-stop round trips to Phoenix (via Prescott) and 6 weekly nonstop round trips to Las Vegas McCarran International.
By: Kingman Airport Authority President, Jerry Hawkins, 928-757-2134
May 22, 2007
City of Kingman in Support of Mesa Air
The public comments received show that Great Lakes Aviation has served Kingman well over the last twoyears. However, our responses indicate a desire for service to Phoenix Sky Harbor Airport Terminal 4 for more convenient cross country connections znnd they want the option of connecting to flights at McCarran International Airport. Mesa Air Group is the only one of the two that currently has a gate at McCarran and meets the Phoenix service desires of our constituents.
The City of Kingman, therefore, supports Mesa Air Group's proposal to service our community with 12 weekly one-stop round trips to Phoenix (via Prescott) and 6 weekly nonstop round trips to Las Vegas McCarran International.
By: Mayor, Lester Byram
OST-1996-1899 - Kingman and Prescott, Arizona
OST-1997-2694 - Page, Arizona
May 25, 2007
The City of Page has received and reviewed your letter of April 27, 2007, regarding the above Docket. After due consideration by our Airport Advisory Board and our City Council at its May 24, 2007 meeting, the City Council unanimously recommends to USDOT to select Option 2 and award an EAS Contract to Great Lakes Airlines to serve Page, Arizona. Their proposal offers the most flexibility to increase passenger enplanements at the lowest EAS subsidy rate.
By: Mayor, William Justice, 928-645-8851
Order 2007-6-10
OST-1996-1899 - Kingman and Prescott, Arizona
OST-1997-2694 - Page, Arizona
OST-1998-4409 - Show Low, Arizona
Issued June 13, 2007 | Served June 18, 2007
Order Selecting Carrier, Setting Subsidy Rate and Terminating Show-Cause Proceeding
By this order, we are selecting Mesa Air Group, Inc. d/b/a Air Midwest to provide subsidized essential air service at Kingman and Prescott, Arizona, for two years, beginning when the carrier full service. Service will consist of three round trips a day (18 per week) with 19-seat Beech 1900D aircraft over a Kingman-Prescott-Phoenix or Prescott -Kingman-Las Vegas routing, at a total annual subsidy of $1,798,489 for both communities. Also by this order, the Department is terminating the show-cause proceeding tentatively terminating subsidy at Kingman because Air Midwest's proposal we are selecting is below the $200-per passenger statutory ceiling.
We are also selecting Great Lakes Aviation, Ltd. to provide subsidized EAS at Page and Show Low, Arizona, for two years, with the new contract term beginning when Air Midwest inaugurates service at Kingman and Prescott. The annual subsidy rates for Page and Show Low will be $1,497,556 and $988,181, respectively. Page will receive 19 weekly nonstop round trips to Phoenix with the option to provide one more frequency during peak times and one fewer during non peaks. One round trip a day may be substituted to either Las Vegas (nonstop) or Denver (one-stop) with no change in subsidy. Show Low will receive 14 nonstop round trips per week to Phoenix with 19-passenger Beechcraft 1900D aircraft.
The total annual subsidy for all four communities in this Order is $4,284,226 compared to the current rates of $3,854,958.
This case is fairly straightforward. Kingman and Prescott support the same Air Midwest proposal and Page and Show Low each support continued service by Great Lakes. Since the proposals are very close in subsidy amounts, we are selecting the proposals that the communities recommended.
We will set the two-year contract period for all four communities beginning when Air Midwest inaugurates full EAS at Kingman and Prescott, and ending on the last day of the 24th month thereafter so that all communities remain on the same cycle, and we can solicit bids for all four communities. In the meantime, Great Lakes will continue to provide service to Kingman and Prescott, as submitted in its bid, until Air Midwest begins service.
By: Michael Reynolds
August 9, 2007
DOT Memorandum Correcting Subsidy Rates
In Order 2007-6-10, June 13, 2007, there was an error in the subsidy rate per flight and weekly ceiling compensation rates for the interim period between the end of the previous contract (June 30, 2007) with Great Lakes and the date that Air Midwest begins service at Kingman and Prescott, Arizona. in Appendix D, page 2. The correct subsidy rate per flight calculations should read $511.62 and the weekly compensation ceiling should read $18,418.32. These rates are effective July 1, 2007. The scheduled service was also corrected to reflect the service Great Lakes is being compensated for.
By: Dennis DeVany
May 6, 2008
Notice of Air Midwest to Terminate EAS
Air Midwest, Inc. respectfully serves notice upon the Department of Transportation, in accordance with 14 C.F.R. §323.3 and 14 C.F.R. §323.4, of its intent to discontinue scheduled subsidized Essential Air Service over Kingman-Prescott-Phoenix and Prescott-Kingman-Las Vegas effective August 4, 2008.
The termination of service by Air Midwest will reduce air transportation at these two communities to a level below the essential air service determination set forth in Order 2007-6-10.
At present. Air Midwest is the sole provider of certificated scheduled air service at Kingman and Prescott, Arizona.
By: Mesa, Jeff Ryskamp
Issued and Served May 12, 2008
Order Prohibiting Termination of Service and Requesting Proposals | Word
By this order, the Department is (a) prohibiting Air Midwest, Inc., a wholly-owned subsidiary of Mesa Air Group, Inc. from terminating its subsidized service at Kingman and Prescott, Arizona, for 30 days beyond the end of its 90-day notice period, and (b) requesting long-term proposals from carriers interested in providing essential air service at either or both communities, with or without subsidy, by June 2, 2008.
With respect to Kingman and Prescott, we expect proposals consisting of service with 15-seat or larger aircraft to a suitable hub airport, such as Phoenix, Las Vegas, Los Angeles, or Salt Lake City, with airline connections to the national air transportation system. In that regard, we note that the community of Kingman has expressed some interest in service to Las Vegas over the years. Kingman also informed us that the current service, linked with Prescott has worked well. Service should consist of three nonstop or three one-stop round trips per day (18 per week), if 19-seat aircraft (or similar) are proposed, or two nonstop or two one-stop round trips (12 per week), if aircraft seating more than 19 passengers are proposed.
By: Michael Reynolds
May 14, 2008
Re: Service Termination of Air Midwest
Air Midwest reluctantly advises the Department that it has decided to discontinue all air carrier operations, liquidate its assets and surrender its FAA and DOT certificates. The service terminations will occur on the following schedule:
Air Midwest has no choice but to shutdown operations. Air Midwest has determined that it does not have the financial resources to continue air carrier operations. Air Midwest is in severe financial distress due to the fact that it has incurred significant and unrelenting losses over many years and has no prospect of future profitability, particular in light of current conditions, including record high fuel prices.
This decision should come as no surprise to the Department as Air Midwest previously advised the Department of its intention to withdraw its services beginning over a year ago with its first traunch of termination notices. In addition, representatives of Air Midwest met with Dennis DeVany on March 6, 2008 to advise that Air Midwest would shortly go out of business.
While the Department solicited proposals for subsidized replacement service at these points, to date replacement services have commenced at only six points-Cedar City, Moab, Vernal, Manhattan, Salina and Alamogordo. Over nine months ago the Department selected Great Lakes Aviation to provide subsidized essential air service at Merced, Visalia, and Ely, but inexplicably Great Lakes has not yet commenced its proposed service at those points.
Air Midwest's situation is similar to the situations involving Big Sky Airlines and Skyway Airlines, both of which terminated all of their air services earlier this year. On December 20, 2007, Big Sky announced its intent to terminate all service on January 7, 2008. Although the Department issued a hold-in Order and sought replacement carriers on an emergency basis, it recognized that Big Sky would not provide service during the hold-in period. See DOT Order 2007-12-20. Similarly, Skyway Airlines terminated all air service on April 5, 2008, after a long hold-in period and prior to the commencement of service by replacement carriers. As with Big Sky and Skyway, Air Midwest does not have the financial wherewithal to continue its air carrier operations.
Counsel: Hogan & Hartson, Robert Cohn, 202-637-4999, recohn@hhlaw.com
May 15, 2008
Re: Objection of The City of Prescott to Notice of Termination by Air Midwest
At present, Air Midwest is the sole provider of certificated scheduled air service at Prescott, Arizona. In Order 2007-6-10, June 18,2007, Air Midwest, with strong community support, was awarded a 24 month service agreement at an annual subsidy rate of $1,798,489 for a two year term that commenced October 1, 2007 providing 18 roundtrips per week on a routing of Kingman - Prescott - Phoenix or Prescott - Kingman - Las Vegas utilizing Beech 1900D aircraft.
We respectfully request that the USDOT ensure Air Midwest's continuation of service as specified in Order 2007-6-10 until a suitable replacement carrier can initiate compatible service to include service to Las Vegas McCarran airport and Terminal 4 at Phoenix Sky Harbor.
This suggested level of service has proven to be of essential need to the Prescott area communities as demonstrated in the drastic change in Prescott's revenue enplanements between that service provided by Great Lakes Airlines in August and September of 2007 (approximately 412 enplanements) and the first two months of service (October and November) by Air Midwest, as outlined in Order 2007-6-10, which had approximately 1,377 enplanements.
By: Jack Wilson
June 2, 2008
Proposal of Great Lakes Aviation
We are proposing non-stop service for both communities anticipating that passenger traffic will increase as the result of more seat availability; as compared to one stop service whereby seats are shared by both communities on any given flight.
Recent traffic data is suggesting that Kingman to Las Vegas would generate more passenger traffic than Kingman to Phoenix. Hence, the proposed hub change for Kingman.
By: Great Lakes, Michael Matthews, 307-432-7000
June 4, 2008
Requests for Community Comments of:
As you know, in response to Air Midwest's 90-day notice to terminate service, by Order 2008-5-13, May 12, 2008, the Department solicited proposals from all interested air carriers to provide service at Kingman, as well as at Prescott. In a subsequent development, Air Midwest ceased operations at Kingman as it moves toward shutting the entire airline down on June 30. At this stage, we would normally ask for your preferences for various carrier and service options. However, in response to that order, Great Lakes Aviation, Ltd. was the only carrier to submit a proposal. Nonetheless, we want to give you an opportunity to submit any final comments for the record that you may have before we submit a recommendation on the carrier-selection issue to the Assistant Secretary for Aviation and International Affairs.
Great Lakes has proposed two round trips on weekdays and weekends to Las Vegas using 19-passenger Beechcraft 1900 aircraft for an annual subsidy of $1,275,771.
Because there is currently a hiatus in service, we ask that you submit any comments you may have as soon as possible, but in any case no later than June 18, 2008.
By: Dennis DeVany
June 4, 2008
Kingman Airport Authority in Support of Great Lakes Aviation
Great Lakes Aviation has served Kingman well in the past. Enplanements were increasing during the last seven month period due to access to Las Vegas McCarran. We would anticipate this trend to continue with reliable service, even with the loss of service to Phoenix Sky Harbor.
We appreciated the proposal by Great Lakes Aviation to service our community with two daily round trips to Las Vegas McCarran Airport.
By: Dave French
June 5, 2008
Re: City of Kingman in Support of Great Lakes Aviation
In years past, before Air Midwest's service to Kingman, our region enjoyed very good service from Great Lakes. I have only good things to say about the operation and service from Great Lakes. I am in favor of their proposal and look forward to utilizing their services once again at the Kingman Airport.
By: Mayor John Salem
June 5, 2008
Re: City of Prescott in Support of Great Lakes Aviation
While we greatly appreciate Great Lakes' proposal, we would encourage them to consider flights to and from Las Vegas, NV. The previous EAS provider had flights to/from Las Vegas, and the passenger counts on those flights were growing at a steady pace. In addition, Las Vegas, through the United and Frontier Code share agreements, offers a greater opportunity for connections throughout the United States. We will work directly with Great Lakes to obtain this service.
Please award the Essential Air Service contract to Great Lakes Aviation, Ltd. and help us maintain and develop a viable air service alternative for regional transportation.
By: Mayor Jack Wilson
Issued and Served June 10, 2008
Order Selecting Carrier and Establishing Subsidy Rate
By this order, the Department is selecting Great Lakes Aviation, Ltd. to provide essential air service at Kingman and Prescott, Arizona, for a two-year period beginning when the carrier inaugurates full service at both communities at a combined annual subsidy of $2,898,490.
By Order 2007-6-10, June 13, 2007, we selected Air Midwest, Inc., a wholly owned subsidiary of Mesa Air Group, Inc., d/b/a US Airways Express to provide EAS at Kingman and Prescott for a two-year period beginning when it inaugurated service, which it did on October 1, 2007. On May 7, 2008, Air Midwest filed a 90-day notice of its intent to terminate its subsidized EAS at Kingman and Prescott, effective August 4, 2008. Air Midwest was providing three round trips a day (18 per week) over a Kingman–Prescott–Phoenix or Prescott–Kingman–Las Vegas routing with Beech 1900-D aircraft. In response to Air Midwest’s suspension notice, by Order 2008-5-13, issued May 12, 2008, we requested proposals for a new two-year contract, with proposals due June 2. On May 14, Air Midwest announced that it was shutting down operations in the west, including at Kingman and Prescott, on May 31 enroute to a total shutdown of the airline on June 30. In response to our request, we received a proposal from only one carrier, Great Lakes.
By: Michael Reynolds
June 5, 2008
Re: Arizona Department of Transportation Aeronautics Division in Support of Great Lakes Aviation
It is the opinion of the ADOT-Aeronautics Division that the continuation of scheduled air service at the Kingman Municipal Airport is critical. Since the unfortunate termination of that service by Air Midwest, we have shared with the Kingman Airport Authority a concern for scheduled service at the airport. Thus, we are wholly supportive of the service proposal submitted by Great Lakes Aviation, Ltd.
By: Barclay Dick
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