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OST-2001-8731 - EAS at Burlington, IA

http://www.brlairport.com/ - Southeast Iowa Regional Airport


EAS Docket



Essential Air Service at Burlington, Iowa

OST-2001-8731 January 18, 2001 90-Day Notice of Intent to Terminate Essential Air Service at Burlington, IA 90-Day Notice to Terminate EAS
    Service List  

At the time of the filing of this notice both Corporate Airlines, inc. (flying as Trans World Express), and Great Lakes Aviation, LTD. (flying as United Express) are providing scheduled air service at Burlington, Iowa. However, Great Lakes Aviation is scheduled to suspend its service to Chicago effective February 15, 2001.

Traffic results have been significantly below the levels needed, and as a result the revenues generated from the flights have not covered the costs of providing the service.

By:  Charles Howell, 615.223.5644



OST-01-8731 February 14, 2001 Objection of Southeast Iowa Regional Airport 90-Day Notice to Terminate EAS

By:  Southeast Iowa Regional Airport, Sharon Leeper



OST-01-8731 February 16, 2001 Objection of the City of Burlington 90-Day Notice to Terminate EAS

By:  City of Burlington, Timothy Scott

OST-01-8731 February 16, 2001 Objection of the Iowa Department of Transportation 90-Day Notice to Terminate EAS

By:  Iowa Department of Transportation, Mark Wandro



Order 01-3-6
OST-01-8731
Issued March 6, 2001
Served March 6, 2001
Order Prohibiting Suspension of Service and Requesting Proposals for Replacement Service 90-Day Notice to Terminate EAS

By:  Randall Bennett



OST-01-8731 April 20, 2001 Re:  Subsidy Calculation for Burlington, IA 90-Day Notice to Terminate EAS

By:  Corporate Airlines

OST-01-8731 April 20, 2001 Re:  Subsidy Calculation for Burlington, IA 90-Day Notice to Terminate EAS

By:  Corporate Airlines



OST-01-8731 May 10, 2001 Re:  Subsidy Calculation for Burlington, IA (3 Roundtrips) 90-Day Notice to Terminate EAS

By:  Corporate Airlines

OST-01-8731 May 10, 2001 Re:  Subsidy Calculation for Burlington, IA (4 Roundtrips) 90-Day Notice to Terminate EAS

By:  Corporate Airlines



Order 01-5-17
OST-01-8731
Issued May 15, 2001
Served May 18, 2001
Order Extending Service Obligation 90-Day Notice to Terminate EAS

On January 18, 2001, Corporate Airlines, Inc., d/b/a Trans World Express (Corporate), filed a 90-day notice of its intent to suspend its subsidy-free scheduled service at Burlington, effective April 17, 2001. By Order 2001-3-6, March 6, 2001, the Department prohibited Corporate from suspending service at Burlington for an initial 30-day period, through May 16, 2001, and stated that we would issue subsequent 30-day hold-in orders until we could secure replacement service. That order also requested proposals from carriers interested in providing replacement service Corporate is the only carrier providing scheduled air service at Burlington.

Corporate Airlines was the only carrier to submit a proposal and we are currently negotiating service and subsidy levels with the carrier. However, it is anlikely this case will be completed before the end of the current hold-in period. Thus, as required by 49 U.S.C. 41734, we are extending Corporate's service obligation for an additional 30-day period.

By:  Randall Bennett



Order 01-6-6
OST-01-8731
Issued June 12, 2001
Served June 15, 2001
Order Extending Service Obligation 90-Day Notice to Terminate EAS at Burlington, Iowa

By: Randall Bennett



Order 01-6-16
OST-01-8731
Issued June 20, 2001
Served June 25, 2001
Order Selecting Carrier and Setting Final Rate 90-Day Notice to Terminate EAS at Burlington, Iowa
    Attachments:  Map, Subsidy Calculation, EAS to be Provided  

By:  Susan McDermott



Order 2003-5-7
OST-01-8731 - Burlington, IA
OST-96-1559 - Cape Girardeau / Ft. Leonard Wood, MO
OST-96-1167 - Cape Girardeau / Ft. Leonard Wood, MO
OST-97-2515 - Kirksville, MO
OST-00-7857 - Jackson, TN
OST-00-7881 - Marion, IL
OST-00-7855 - Owensboro, KY

Issued May 6, 2003 | Served May 9, 2003

Order Setting Final Rates

We have made adjustments to the rates consistent with the framework established by Order 2002-2-13, namely, that we would make up for revenue reductions to the extent that they fell below those forecast in the final subsidy rates in effect on September 11, and insurance increases directly attributable to the September 11 attacks. Even though Corporate's revenue fell after September 11, only at Cape Girardeau and Kirksville did they fall below those forecast in the subsidy rate, and we adjusted those rates accordingly. At all seven communities, the only other adjustments we made were for increased hull and liability insurance (other than general and administrative and return elements which are set as a percentage of expenses).

By: Read C. Van de Water



Order 2003-5-12
OST-01-8731
- Burlington, IA
OST-96-1559 - Cape Girardeau / Ft. Leonard Wood, MO
OST-96-1167 - Cape Girardeau / Ft. Leonard Wood, MO
OST-97-2515 - Kirksville, MO
OST-00-7857 - Jackson, TN
OST-00-7881 - Marion, IL
OST-00-7855 - Owensboro, KY
OST-03-14492 - Quincy, IL

Issued May 9, 2003 | Served May 14, 2003

Order Setting Final Rates | Word

As discussed in Order 2002-2-13, the Department authorized emergency EAS payments to all subsidized carriers because of the losses suffered by them in the face of generally lower revenue and higher costs after the terrorist attacks of September 11, 2001, combined with the fact that the EAS carriers are paid on a pre-agreed, fixed rate per flight. Recently, Order 2003-5-7, issued May 6, 2003, set final rates for seven of the above communities (all except Quincy) from October 1, 2001, until the respective ends of the various contracts. This Order sets final rates that go into effect at the expiration of those contracts, and will remain in effect until further Department action while we process the various carrier selection proceedings for all the communities.

By: Read C. Van de Water



Order 2004-12-13
OST-01-8731 - EAS at Burlington, IA
OST-96-1559 - EAS at Cape Girardeau, MO
OST-96-1167 - EAS at Ft. Leonard Wood, MO
OST-97-2515 - EAS at Kirksville, MO
OST-00-7857 - EAS at Jackson, TN
OST-00-7881 - EAS at Marion/Herrin, IL
OST-00-7855 - EAS at Owensboro, KY

Issued and Served December 22, 2004

Order requesting Proposals, and Order to Show Cause Tentatively Termination Subsidy Eligibility and Allowing Suspension of Service | Word

By this order, the Department is requesting interested persons to show cause why we should not terminate the essential air service subsidy eligibility of Kirksville, Missouri, and allow Corporate Airlines, Inc., d/b/a American Connection, to suspend its subsidized service. The Department is also requesting proposals from carriers interested in providing EAS at the other communities identified above for new two-year periods. Proposals to provide subsidized EAS at each of the above communities, as well as objections to the Department’s tentative decision to terminate the subsidy eligibility of Kirksville, are due within 30 days of the service date of this order.

With the end of the current rate term approaching, we conducted a review of the communities' traffic results in anticipation of requesting carrier proposals for a new rate term beginning at the end of their current two-year terms. During calendar year 2003, Burlington averaged 24.0 enplanements a day, Cape Girardeau 23.7, Ft. Leonard Wood 20.0, Jackson 14.0, Marion/Herrin 34.6, Owensboro 17.6, and Kirksville 7.1. The Department is prohibited from subsidizing service at communities where the subsidy amounts to more than $200 per passenger, unless they are more than 210 highway miles from the nearest large or medium hub.' Based on the 2003 traffic level of 4,428 passengers and the current subsidy rate of $968,249, Kirksville's subsidy per passenger is $218.67 and, thus, exceeds the $200-per-passenger ceiling.

We request that any carriers interested in providing essential air service at any or all of the communities, including Kirksville, and with or without subsidy, file their proposals within 30 days of the service date of this order. With respect to each community, we expect proposals consisting of service, at a minimum, with two‑pilot, twin‑engine aircraft with at least 15 passenger seats, and offering two or three one‑stop or nonstop round trips each weekday and each weekend period to St. Louis or any other suitable hub such as Kansas City or Memphis.

By: Karan Bhatia



January 31, 2005

Proposal of Great Lakes Aviation - Burlington, IA



OST-96-1167 - EAS at Ft. Leonard Wood, MO
OST-00-7855 - EAS at Owensboro, KY
OST-00-7857 - EAS at Jackson, TN
OST-00-7881 - EAS at Marion/Herrin, IL
OST-01-8731 - EAS at Burlington, IA
OST-96-1559 - EAS at Cape Girardeau, MO
OST-97-2515 - EAS at Kirksville, MO


February 9, 2005

Re: Request for Comments from The Honorable Cliff Hammock, Mayor of The City of Waynesville

I would like to update you on the essential air service situation at Ft. Leonard Wood and give you an opportunity to submit any comments if you wish. As you know, by Order 2004-12-13, December 29, 2004, the Department solicited proposals from all interested air carriers to provide service at Ft. Leonard Wood and six other communities in Iowa, Illinois, Kentucky, and Tennessee. In response to that order, we received a total of 42 proposal options from five carriers - Corporate Airlines, Inc. d/b/a American Connection, Great Lakes Aviation, Ltd., Mesa Air Group d/b/a Air Midwest, Mesaba Aviation d/b/a Northwest Airlink, and Multi-Aero, Inc. d/b/a Air Choice One, Inc. Please note that while Corporate, Great Lakes, and Air Midwest submitted a number of service options, each of their options represents an indivisible package that cannot be separated on a community by community basis. Also, some carriers submitted options involving fewer than six communities. For example, Mesaba submitted a proposal for just Jackson, Tennessee. While we would normally write up a brief summary of all the proposals, it is not practical in this case given the number of options. While we would normally write up a brief summary of all the proposals, it is not practical in this case given the number of options.

By: Dennis DeVany


February 9, 2005

Re: Request for Comments from Tim Bradshaw, Owensboro-Daviess County Regional Airport Airport Manager

By: Dennis DeVany


February 9, 2005

Re: Request for Comments from The Honorable Robert Butler, Mayor of The City of Marion, IL

By: Dennis DeVany


February 9, 2005

Re: Request for Comments from Gary Chick, Waynesville Regional Airport Airport Manager

By: Dennis DeVany


February 9, 2005

Re: Request for Comments from The Honorable Mike Edwards, Mayor of Burlington, IA

By: Dennis DeVany


February 9, 2005

Re: Request for Comments from The Honorable Charles Farmer, Mayor of The City of Jackson, TN

By: Dennis DeVany


February 9, 2005

Re: Request for Comments from Mayor Jerry Gist, Madison County Courthouse

By: Dennis DeVany


February 9, 2005

Re: Request for Comments from The Honorable Rodney Hendrix, Jackson-Madison County Airport Authority

By: Dennis DeVany


February 9, 2005

Re: Request for Comments from Douglas Kimmel, Williamson County Airport Authority Airport Manager

By: Dennis DeVany


February 9, 2005

Re: Request for Comments from The Honorable Jay Knudtson, Mayor of Cape Girardeau, MO

By: Dennis DeVany


February 9, 2005

Re: Request for Comments from Sharon Leeper, Southeast Iowa Regional Airport Airport Manager

By: Dennis DeVany


February 9, 2005

Re: Request for Comments from Bruce Loy, Cape Girardeau Regional Airport Airport Manager

By: Dennis DeVany


February 9, 2005

Re: Request for Comments from The Honorable Debbie Masten, Mayor of The City of Kirksville, MO

By: Dennis DeVany


February 9, 2005

Re: Request for Comments from The Honorable Waymond Morris, Mayor of The City of Owensboro, KY

By: Dennis DeVany


February 9, 2005

Re: Request for Comments from Brian Morrissey, Ft. Leonard Director of Logistics

By: Dennis DeVany


February 9, 2005

Re: Request for Comments from The Honorable Victor Ritter, Mayor of The City of Herrin, IL

By: Dennis DeVany


February 9, 2005

Re: Request for Comments from Jody Sayer, Kirksville, Regional Airport Airport Supervisor

By: Dennis DeVany



OST-01-8731 - Burlington, IA
OST-96-1559 - Cape Girardeau / Ft. Leonard Wood, MO
OST-96-1167 - Cape Girardeau / Ft. Leonard Wood, MO
OST-97-2515 - Kirksville, MO
OST-00-7857 - Jackson, TN
OST-00-7881 - Marion, IL
OST-00-7855 - Owensboro, KY


February 15, 2005

Re: Southeast Iowa Regional Airport Letter Requesting Extension of Deadline

By: Sharon Leeper


February 16, 2005

Re: Letter Extending Deadline for Filing Community Comments

At the request of the Southeast Iowa Regional Airport Authority, as well as of several other communities, we are extending the deadline for filing community comments for the carrier selection case in the above-listed dockets from February 25, 2005, to March 15, 2005.

By: Dennis DeVany



March 6, 2005

Comments of Sharon Scholl-Nabulsi

By: Sharon Scholl-Nabulsi



OST-01-8731 - EAS at Burlington, IA
OST-96-1559 - EAS at Cape Girardeau, MO
OST-96-1167 - EAS at Ft. Leonard Wood, MO
OST-97-2515 - EAS at Kirksville, MO
OST-00-7857 - EAS at Jackson, TN
OST-00-7881 - EAS at Marion/Herrin, IL
OST-00-7855 - EAS at Owensboro, KY

March 9, 2005

Re: Extension of Time to File Community Comments

The Airport Manager of Cape Girardeau, Missouri, has requested a second extension, from March 15, until March 25, to file the community's comments in response to our letter of February 9, 2005. The extension is necessary because of an unforeseen scheduling conflict involving the Cape Girardeau's City Council meeting, scheduled for March 21, and a meeting of the community's Airport Advisory Board that was scheduled to review the various carrier proposals and make a carrier‑selection recommendation to the Cape Girardeau City Council.

This is to advise all parties that we have decided to grant the requested extension to file community comments. Community comments must now be filed no later than March 25, 2005.

By: EAS & Domestic Analysis Division, Dennis DeVany



March 7, 2005

Re: Jennifer Lanham Letter in Support of Mesa Air

By: Jennifer Lanham



March 8, 2005

Re: Comments of Teresa Sargent

By: Teresa Sargent



March 14, 2005

Re: Randy Wineard and Carol Brokaw Letters in Support of Mesa

By: Randy Wineard and Carol Brokaw



March 15, 2005

Re: Southeast Iowa Regional Planning Commission Letter in Support of Mesa Airlines

By: Mike Norris


March 16, 2005

Re: TriOak Foods Letter in Support of Mesa Airlines

By: Randall Pflum



March 18, 2005

Re: City of West Burlington Letter in Support of Mesa

By: Hans Trousil, Mayor


March 17, 2005

Re: Grow Greater Burlington Letter in Support of Mesa Airlines

By: Dennis Hinkle, 319-208-0050, dhinkle@growburlington.com


March 17, 2005

Re: Robert McCulley Letter in Support of Mesa Airlines

By: Robert McCulley


March 17, 2005

Re: Deb Mulch Letter in Support of Mesa Airlines

By: Deb Mulch



March 19, 2005

Re: Letter in Support of American Connection's Service

By: Ken Klein, diverklein@yahoo.com



March 21, 2005

Re: Bonnie Wagenbach Letter in Support of American Airlines

By: Bonnie Wagenbach


March 23, 2005

Re: Steve Staebell and Cathy Howell Letter in Support of Mesa Airlines

By: Steve Staebell and Cathy Howell



March 10, 2005

Re: Comments of Avis Rent a Car System

By: Marcie Gaylord


March 11, 2005

Re: Comments of F&M Bank & Trust

By: Joe Skelley


March 15, 2005

Re: Comments of Jerry Jochims

By: Jerry Jochims


March 22, 2005

Re: Comments of Southwest Iowa Regional Airport

Following the community presentations, we began receiving many comments from the community that makes it obvious that service to St. Louis is not working. Chicago has always been a popular destination for our community/region. The proposal from Mesa for Chicago Midway and Kansas City service is attractive to many. We would favor a Mesa proposal for 3-daily non-stop service to Chicago Midway and 1-daily one-stop service to Kansas City. Many businesses in the region transact business in Chicago and Kansas City. Chicago is also a very attractive connection point for many, and Midway offers a quick and efficient transfer to and from O'Hare for our international travelers.

By: Steve Lewis


March 15, 2005

Re: Comments of Southeast Iowa Regional Planning Commission

SEIRPC would like to lend its support to Mesa Airlines for service to Chicago Midway and Kansas City. SEIRPC recognizes that current service to St. Louis is limited and a change is needed in order to provide southeast Iowa with the best possible air service. Passenger enplanements have decreased annually since a connection to Chicago was lost. It is in the best interest of SEIRPC to advocate for the betterment of southeast Iowa and connections to Kansas City and Chicago provided by Mesa Airlines seem to be the best available option.

By: Ray Bradley, Jr.



March 31, 2005

Re: Iowa Department of Transportation Letter in Support of Mesa

Passenger boardings in Burlington have decreased by 55% since 2000. The change from TWA to American, and the drastic reduction in flights out of St. Louis has created a severe impact to the usefulness of the service to St. Louis from Burlington. We are very excited about the Mesa Airlines proposal and the positive impact it would have on passenger air service in Iowa. Re-establishing Chicago service would greatly benefit the economy in southeast Iowa.

We understand that the subsidy will be awarded as one package, to one carrier to cover service to Burlington and six other airports located in Missouri, Illinois, Kentucky, and Tennessee. However, the service that will be most beneficial to Burlington, may not be the same service that would benefit an airport in another state.

By: Iowa DOT, Michelle McEnany



Order 2005-6-14
OST-01-8731 - EAS at Burlington, IA
OST-96-1559 - EAS at Cape Girardeau, MO
OST-96-1167 - EAS at Ft. Leonard Wood, MO
OST-97-2515 - EAS at Kirksville, MO
OST-00-7857 - EAS at Jackson, TN
OST-00-7881 - EAS at Marion/Herrin, IL
OST-00-7855 - EAS at Owensboro, KY

Issued June 15, 2005 | Served June 20, 2005

Order Reselecting Carrier and Terminating Show-Cause Proceeding

By this order, the Department is reselecting RegionsAir, Inc. d/b/a American Connection, formerly known as Corporate Airlines (RegionsAir), to provide subsidized essential air service at each of the above communities for a new two-year period from June 1, 2005, through May 31, 2007, for a combined annual subsidy of $7,306,249. Also by this order, the Department is terminating the show-cause proceeding tentatively terminating subsidy at Kirksville, Missouri, as RegionsAir's selected proposal is below the $200-per-passenger cap.

This was a difficult decision based on the number of proposals presented and the fact that all of the applicants, with the exception of Multi-Aero, are current providers of EAS and have demonstrated their ability to provide reliable air service at other communities across the country. It is further complicated by the fact that the carriers' proposals cannot be broken apart. There is no combination of proposals that would provide each community with the service they support. This means we are faced with a decision that, by its very nature, must go against some of the communities' wishes. We also note that some support service options that would provide more service than they currently receive, and we are not in a position to subsidize increased service levels. The EAS program is designed to ensure that every eligible community receives a safety-net level of service that provides access to the national air transportation system, which may not be the level of service that communities would like to receive.

By: Karan Bhatia



July 12, 2005

Re: Response of Karan Bhatia

We received 37 proposals from five carriers in our recently concluded EAS carrier selection proceeding at Burlington and six other communities in the region. After reviewing all the proposals and the communities' comments, we selected the incumbent carrier, RegionsAir, d/b/a American Connection to provide EAS for a new two-year service period. Our selection process was guided by statutory criteria, such as each carrier's marketing, code-share, and interline relationships with larger carriers at the airports, as well as the overall subsidy costs. For your convenience, I am enclosing a copy of Order 2005-6-14, which sets out the Department's selection decision

By: Karan Bhatia



Order 2006-12-25
OST-2001-8731 - Burlington, IA
OST-1996-1559 - Cape Giradeau, MO
OST-1996-1167 - Ft. Leonard Wood, MO
OST-2000-7857 - Jackson, TN
OST-2000-7881 - Marion/Herrin, IL
OST-2000-7855 - Owensboro, KY

Issued December 27, 2006 | Served January 2, 2007

Order Requesting Proposals

Passenger traffic has increased slightly at each of the six communities compared to calendar year 2004 levels. Passenger enplanements for 2006 range from a high of 36 a day at Marion/Herrin to a low of 11 a day at Jackson, while the number of enplanements at Burlington, Cape Girardeau, and Ft. Leonard Wood each average about 24 a day, and at Owensboro, they average about 15 a day.

By: Todd Homan



OST-2001-8731 - EAS at Burlington, IA
OST-1996-1559 - EAS at Cape Girardeau, MO
OST-1996-1167 - EAS at Ft. Leonard Wood, MO
OST-2000-7857 - EAS at Jackson, TN
OST-2000-7881 - EAS at Marion/Herrin, IL
OST-2000-7855 - EAS at Owensboro, KY

January 30, 2007

Extension of Proposal Due Date

By Order 2006-12-25, December 27, 2006, the Department requested proposals from carriers interested in providing essential air service at any or all of the above communities no later than February 1, 2007. In an email dated January 29, Mesa Air Group, Inc. requested a one-week extension of the due date for filing proposals until February 8. Before responding to the carriier, we contacted each of the six communities listed above either by phone or email to learn whether they supported or did not support Mesa's request. Only one community opposed the extension. Thus, we are hereby granting Mesa's request and extending the due date for proposals from all interested carriers until February 8.

By: Mike Waters



OST-2001-8731 - EAS at Burlington, IA
OST-1996-1559 - EAS at Cape Girardeau, MO
OST-1996-1167 - EAS at Ft. Leonard Wood, MO
OST-2000-7857 - EAS at Jackson, TN
OST-2000-7881 - EAS at Marion/Herron, IL
OST-2000-7855 - EAS at Owensboro, KY


February 8, 2007

Proposals of Air Midwest - Bookmarked

Mesa's proposed options would contemplate service with a combination of hubs at Chicago Midway, Kansas City, Memphis, Nashville, and St. Louis.

Mesa proposes to operate all flights as a combination of Mesa Airlines, US Airways Express and Midwest Connect. All operations at Chicago Midway will be Mesa Airlines. Mesa plans on pursuing a primary codeshare relationship with American Airlines in both St Louis and Nashville if awarded service to those respective hubs as we assume the incumbent carrier will not serve these markets without subsidy. Option #2, with service to Memphis, is contingent upon receiving a Northwest Airlines codeshare, which we are currently pursuing. We have established an internal deadline of March 1 for this process and reserve the right to rescind this option should we be unable to come to terms with Northwest.

All operations proposed would utilize our modern fleet of Raytheon/Beechcraft B-1900D airliners. These aircraft offer a very comfortable 19-seat, pressurized cabin with two turboprop engines.

By: Mesa Airlines, Jeffrey Hartz


Feburary 8, 2007

Proposals of RegionsAir

RegionsAir is proposing 6 options that would offer a variety of services to continue operating the vital link to American Airlines’ hub city of St. Louis, Missouri. All flights will be sold and marketed as AmericanConnection utilizing 19 seat BAe Jetstream 32 turboprop aircraft. Flights will be timed to offer optimal connecting opportunities to American Airlines’ flights at St. Louis Lambert International Airport.

Unfortunately the company has had some operational issues in the past few months that have negatively impacted performance causing an increase in cancellations and delays. The primary problem was unexpected engine removals last summer and fall compounded with significantly higher fuel costs than anticipated in the current contracts. The company is addressing capital issues with funding from an outside investment group. The company’s Cleveland operation, which further strained resources, is ending this spring.

The company realizes that many passengers were impacted by recent and unexpected cancellations, it anticipates the capital infusion to allow a rapid return to the previous high standard. By early summer, RegionsAir will have sufficient Jetstream aircraft, to provide an optimal schedule including an operational spare aircraft to assure reliability.

By: RegionsAir



OST-2001-8731 - EAS at Burlington, IA
OST-1996-1559 - EAS at Cape Girardeau, MO
OST-1996-1167 - EAS at Ft. Leonard Wood, MO
OST-2000-7857 - EAS at Jackson, TN
OST-2000-7881 - EAS at Marion/Herrin, IL
OST-2000-7855 - EAS at Owensboro, KY


February 8, 2007

Proposals of Big Sky Airlines - Bookmarked

All flights will be operated with modern 19 passenger Beechcraft 1900D aircraft.

Community Proposal 1 Proposal 2 Proposal 3 Proposal 4
Burlington St. Louis Cincinnati St. Louis N/A
Cape Girardeau St. Louis Cincinnati N/A Cincinnati
Ft. Leonard Wood St. Louis Cincinnati St. Louis N/A
Jackson St. Louis Cincinnati N/A Cincinnati
Marion/Herrin St. Louis Cincinnati St. Louis N/A
Owensboro St. Louis Cincinnati N/A Cincinnati
Annual Subsidy $6,838,269 $8,356,955 $3,243,889 $3,247,440

Counsel: Big Sky, Fred deLeeuw, 406-247-3912, fred.deleeuw@bigskyair.com


February 8, 2007

Proposal of Great Lakes Aviation

Proposal Part Service Point(s) Hub(s) Served Round Trips Equipment Subsidy Requirement Passengers Forecast Average Fare
1 Burlington St. Louis 3 1900D $943,793 16,000 $79.00
2 Cape Girardeau St. Louis 3 1900D $949,956 16,500 $69.00
3 Ft. Leonard Wood St. Louis 3 1900D $519,858 17,500 $89.00
4 Jackson St. Louis 2 1900D $1,072,948 7500 $99.00
5 Marion/Herrin St. Louis 4 1900D $1,126,810 25,000 $59.00
6 Owensboro St. Louis 2 1900D $968,470 10,500 $77.00

Great Lakes will provide service at these Essential Air Service points in a similar fashion as is offered in Denver and utilize our interline agreements with all the major carriers, which will (enable connecting bag service through the St. Louis hub. In addition, we will endeavor to obtain code-sharing arrangements with major carriers serving the St. Louis market, to allow passengers in these EAS markets the seamless service, in which they are accustomed to, through St. Louis to the destinations served by our partners and prospective partners.

All proposals contemplate the use of 19 seat Beechcraft 1900D airliner equipment.

Counsel: Great Lakes, Michael Matthews, 307-432-7000


February 12, 2007

DOT Letters Requesting Community Comments of:

As you know, RegionsAir, Inc. d/b/a American Connection, serves your community, as well as five others, to St. Louis, and their contract expires on May 31, 2007. In anticipation of that, we issued Order 2006-12-25, December 27, 2006, soliciting proposals from carriers interested in providing subsidized service at all six communities in the region, for a new, two-year period, beginning June 1. In response to our request, we received proposals from RegionsAir, Inc. (6 options), Mesa Air Group d/b/a Air Midwest, Inc. (8 options), Big Sky Airlines, Inc. (4 options), and Great Lakes Aviation, Ltd. (6 options). While we would normally compose a brief summary of all of the proposals, that is not practical in this case given the number of options.

With specific respect to Marion/Herrin, we note that the community recently began to receive service to Chicago in addition to RegionsAir’s service to St. Louis under the Department’s essential air service program. For the present, we are willing to continue to subsidize service to St. Louis, or some other hub, in recognition of the joint state-and-local effort to build Marion/Herrin’s air service, and in view of the fact that Air Midwest’s service has just begun. We intend to defer our consideration of the implications of this new service on Marion/Herrin’s air service needs until we can assess the results of the new service.

My purpose in writing to you at this time is to request any final comments you might have on the proposals before we submit a carrier-selection recommendation to the Assistant Secretary for Aviation and International Affairs. We request that you review the proposal and submit any comments you may have as soon as possible, but in no case later than March 7.

By: Dennis DeVany



OST-01-8731 - Burlington, IA
OST-96-1559 - Cape Girardeau / Ft. Leonard Wood, MO
OST-96-1167 - Cape Girardeau / Ft. Leonard Wood, MO
OST-97-2515 - Kirksville, MO
OST-00-7857 - Jackson, TN
OST-00-7881 - Marion, IL
OST-00-7855 - Owensboro, KY

February 23, 2007

Re: Kansas City International Airport Support for Air Midwest Option 4 or 5

Air Midwest's proposals include a unique fare product which will offer low local fares that then become "add‑on" fares on connecting flights. This will stimulate local traffic to Kansas City. In addition to the convenient online options Air Midwest proposes with its mainline partners, EAS travelers will have the ability to connect with all major airlines using Air Midwest's convenient local fare "add‑on" product.

When compared to the other connecting hubs listed in the competing proposals, fares from Kansas City International Airport are substantially lower. Kansas City fares are 37 percent lower than Cincinnati, 29 percent lower than Memphis, and 9 percent lower than St. Louis. While the average fares at ChicagoMidway are compelling, travelers connecting in Chicago-Midway instead of Kansas City International Airport have fewer nonstop destinations and one third less marketing airlines to connect to.

By: Mark VanLoh



OST-2001-8731 - EAS at Burlington, IA
OST-1996-1559 - EAS at Cape Girardeau, MO
OST-1996-1167 - EAS at Ft. Leonard Wood, MO
OST-2000-7857 - EAS at Jackson, TN
OST-2000-7881 - EAS at Marion/Herrin, IL
OST-2000-7855 - EAS at Owensboro, KY

March 2, 2007

Statement of American Airlines

American Airlines, Inc. hereby states that it has signed a letter of intent with Great Lakes Aviation, Ltd. To operate American Connection‑branded service to from St. Louis in the event that Great Lakes Aviation is selected in this proceeding.

Counsel: American, Carl Nelson, 202-496-5647



OST-2001-8731 - EAS at Burlington, IA
OST-1996-1559 - EAS at Cape Girardeau, MO
OST-1996-1167 - EAS at Ft. Leonard Wood, MO
OST-2000-7857 - EAS at Jackson, TN
OST-2000-7881 - EAS at Marion/Herrin, IL
OST-2000-7855 - EAS at Owensboro, KY

March 2, 2007

Opposition of Great Lakes Aviation bid by RegionsAir

We feel that the Department should reject Great Lakes bid for the 6 markets currently served by RegionsAir to St. Louis.

Great Lakes submitted a bid that was $1,000,000 less than the current contract and over $800,000 less than their bid two years ago even though fuel costs have climbed dramatically during that time. Their bid is approximately $1,300,000 less than Big Sky’s and almost $2,000,000 less than Air Midwest both flying the same aircraft as Great Lakes and proposing essentially the same service.

We find this extremely disturbing in light of Great Lake’s communications to RegionsAir. During the first few days of February the Chairman of Great Lakes called us wanting to know if the sale of our airline had closed. He said that he was interested in our Saab certification but had little interest in St. Louis as they had determined that short haul flying under a prorate contract was not a very good business. He stated that their prime focus was in Milwaukee but they would probably make a token bid for St. Louis as they had 2 years previously.

Clearly Great Lakes has by far the lowest bid. However, we feel that Great Lakes in part submitted this extremely low bid as a means of preventing RegionsAir from completing a transaction to refinance the airline and put a competitor out of business.

By: RegionsAir, Douglas Caldwell



OST-2001-8731 - EAS at Burlington, IA
OST-1996-1559 - EAS at Cape Girardeau, MO
OST-1996-1167 - EAS at Ft. Leonard Wood, MO
OST-2000-7857 - EAS at Jackson, TN
OST-2000-7881 - EAS at Marion/Herrin, IL
OST-2000-7855 - EAS at Owensboro, KY

March 7, 2007

Statement of Delta Air Lines

Delta Air Lines, Inc. submits this statement in support of the submission of Big Sky Transportation Co. d/b/a Big Sky Airlines to the extent it proposes to provide essential air service between the above-referenced communities and Cincinnati, Ohio. Delta further hereby advises the Department that if one of Big Sky's Cincinnati proposals (either proposal 2 or proposal 4) is selected, Delta intends to codeshare with Big Sky on those EAS flights. A codeshare relationship with Big Sky would offer passengers from the affected EAS communities access to Delta's global transportation system.

Counsel: Hogan & Hartson, Robert Cohn, 202-637-4999, recohn@hhlaw.com



Letter in Support

Mary Eipert - Service to St. Louis - American Eagle



Order 2007-3-5
OST-2001-8731 - EAS at Burlington, IA
OST-1996-1559 - EAS at Cape Girardeau, MO
OST-1996-1167 - EAS at Ft. Leonard Wood, MO
OST-2000-7857 - EAS at Jackson, TN
OST-2000-7881 - EAS at Marion/Herrin, IL
OST-2000-7855 - EAS at Owensboro, KY

Issued March 9, 2007 | Served March 14, 2007

Order Selecting Carriers and Establishing Subsidy Rates

As the end of the two-year contract period was approaching, the Department issued Order 2006-12-25, December 27, 2006. requesting proposals for a new two-year period beginning June 1, 2007, with or without subsidy. In response to our request. we received proposals from four earners: the incumbent, Regions, Air Midwest Inc., a wholly owned subsidiary of Mesa Air Group, Inc., d/b/a US Airways Express (Air Midwest), Big Sky, and Great Lakes.

By this order, the Department is selecting Big Sky Transportation Co., d/b/a Big Sky Airlines, and Great Lakes Aviation, Ltd. to provide subsidized essential air service at the above communities for the two-year period from June 1, 2007, through May 31, 2009, using 19-seat Beech 1900D turboprop aircraft as follows: Big Sky at Cape Girardeau, Jackson, and Owensboro for a combined annual subsidy of $3,247,440: and Great Lakes at Burlington, Fort Leonard Wood, and Marion/Herrin for a combined annual subsidy of $2,590,461.

By: Andrew Steinberg



March 8, 2007

Email Message - Iowa Department of Transportation in Support of Mesa Airlines

Change is needed and we would respectfully request that you seriously consider the wishes of the Southeast Iowa Regional Airport Authority to accept the proposal from Mesa Airlines offering service through Kansas City and Chicago Midway.

We are very excited about the Mesa Airlines proposal and the positive impact it would have on passenger air service in southeast Iowa. Re-establishing Chicago service would greatly benefit the economy in southeast Iowa and Kansas City connections would serve the top destination markets of air travelers from that region.

By: Iowa DOT Office of Aviation, Michelle McEnany, 515-239-1659, michelle.mcenany@dot.iowa.gov



March 12, 2007

Comments of the Des Moines County Board of Supervisors

The Des Moines County Board of Supervisors strongly support Mesa Airlines serving the Southeast Iowa Regional Airport in Burlington, Iowa. Please encourage the Department of Transportation to approve the EAS proposal submitted by Mesa, Option 6, for Burlington service.

By: Chairman, Robert Beck, 319-753-8282



June 12, 2008

Re: DOT Memorandum

Great Lakes began EAS at BRL on October 7, 2007, with service consisting of one nonstop round trip a day [six NS RTs per week] to Kansas City International Airport and two round trips a day [12 NS RTs per week] to STL.

Our understanding is that Great Lakes has not billed for the MCI service. Great Lakes has now requested that the MCI flights be recognized as subsidy eligible. In that context, the Burlington Airport submitted a letter fully supporting the MCI service. We understand that Great Lakes will submit revised billings claiming subsidy for the MCI flights back to October 7, 2007, and ask that you recognize those flights as subsidy eligible.

If the Department unilaterally, either partially or completely, terminates or reduces payments for service or changes service requirements at a specific location provided for under this order, then, at the end of the period for which the Department does make payments in the agreed amounts or at the agreed service levels, the carrier may cease to provide service to that specific location without regard to any requirement for notice of such cessation. Those adjustments in the levels of subsidy and/or service that are mutually agreed to in writing by the parties to the agreement do not constitute a total or partial reduction or cessation of payment.

By: Dennis DeVany



June 2, 2008

Re: Southeast Iowa Regional Airport in Support of Great Lakes Transition to Kansas City

Having determined that improved service to Kansas City is very attractive for us, we formally request the DOT allow Great Lakes the transition from St. Louis service to Kansas City for the same subsidy rate as agreed in the DOT Order issued 2007-3-5.

By: Mary Beaird



Order 2009-7-9
OST-2000-7881 - Marion, IL
OST-2006-23929 - Decatur, IL
OST-2003-14492 - Quincy, IL
OST-2001-8731 - Burlington, IA
OST-1996-1559 - Cape Girardeau, MO
OST-1996-1167 - Fort Leonard Wood, MO

Issued and Served July 9, 2009

Order Requesting Proposals

By this order, the Department is requesting proposals from carriers interested in providing essential air service at any or all of the communities from November 1, 2009, through October 31, 2011, with or without subsidy, by August 12.

With respect to Decatur, Marion/Herrin, and Quincy, we expect proposals consisting of service with two-pilot, twin-engine aircraft with at least 15 passenger seats, and offering four round trips each weekday and weekend (24 total round trips per week) to a suitable hub airport (e.g. Chicago O’Hare, Dallas/Fort Worth, or Memphis, with numerous connecting opportunities to the national air transportation system. If aircraft larger than 30 seats are proposed, proposals should consist of three round trips each weekday and weekend (18 round trips per week). If aircraft with fewer than 15 passenger seats are contemplated, service patterns should consist of at least six round trips each weekday and weekend (36 total round trips per week).

With respect to Burlington, Cape Girardeau, and Fort Leonard Wood, we expect proposals consisting of service with two-pilot, twin-engine aircraft with at least 15 passenger seats, and offering three round trips each weekday and weekend (18 total round trips per week) to a suitable hub airport (e.g. Chicago O’Hare, Dallas/Fort Worth, or Memphis, with numerous connecting opportunities to the national air transportation system. If aircraft larger than 30 seats are proposed, proposals should consist of two round trips each weekday and weekend (12 round trips per week). If aircraft with fewer than 15 passenger seats are contemplated, service patterns should consist of at least four round trips each weekday and weekend (24 total round trips per week).

For all communities, if a proposal offering aircraft fewer than 15 seats is submitted and the community ultimately supports the service, in effect waiving their right to 15-seat or larger aircraft, we would consider the waiver to apply only to the two-year carrier-selection at hand, i.e. we would not assume that the community waives their rights for all time.

By: Todd Homan



OST-2000-7881 - Marion, IL
OST-2006-23929 - Decatur, IL
OST-2003-14492 - Quincy, IL
OST-2001-8731 - Burlington, IA
OST-1996-1167 - Fort Leonard Wood, MO

July 30, 2009

Re: Effective Period Clarification

By a series of orders (Order 2007-3-5, March 9, 2007, for Burlington Fort Leonard Wood, and Marion/Herrin, Order 2007-3-10, March 13, 2007, for Quincy, and Order 2007-4-12, April 10, 2007, for Decatur), the Department selected Great Lakes Aviation, Ltd. to provide subsidized Essential Air Service at the communities named above for a two-year period. By this memo, the Department is clarifying the effective period of service. Great Lakes inaugurated service to Burlington and Fort Leonard Wood on October 7, 2007, and to Decatur, Marion/Herrin, and Quincy on November 4, 2007.

Consistent with the two-year service period, in Order 2009-7-9, July 9,2009, we requested proposals for service at these communities for a new two-year period effective November 1, 2009. Therefore, the rate for the five communities listed above should reflect an expiration date of October 31, 2009.

By: Kevin Schlemmer



OST-2000-7881 - Marion, IL
OST-2006-23929 - Decatur, IL
OST-2003-14492 - Quincy, IL
OST-2001-8731 - Burlington, IA
OST-1996-1559 - Cape Girardeau, MO
OST-1996-1167 - Fort Leonard Wood, MO

August 11, 2009

Email Message - DOT Granting Extension for Proposals

We have decided to grant an extension for proposals was requested from Aviation Technologies, Inc. and Charter Air Transport. This extension applies to all six communities (Decatur, Marion/Herrin, Quincy, Burlington, Cape Girardeau, and Fort Leonard Wood).

Proposals for all six communities listed above are now due no later than Monday. August 17, 2009.

By: Kevin Schlemmer, 202-366-3176



OST-2000-7881 - Marion, IL
OST-2006-23929 - Decatur, IL
OST-2003-14492 - Quincy, IL
OST-2001-8731 - Burlington, IA
OST-1996-1559 - Cape Girardeau, MO
OST-1996-1167 - Fort Leonard Wood, MO


August 17, 2009

Service Proposals of Multi-Aero d/b/a Air Choice One

The attached proposals utilize a combination of Chicago's O'Hare airport as a connecting hub, St. Louis as a connecting hub and for the cities of Cape Girardeau, Fort Leonard Wood and in some cases Marion/Herrin a combination of St. Louis and Memphis as a hub.

As the department and the city constituencies are aware, until recently Chicago O'Hare has been a slot constrained airport. AIR CHOICE ONE has been in discussions with Chicago city airport officials; and is currently finalizing gate and ground handling arrangements at O'Hare and is confident that gate and ground handling will be in place by the time of a service award. It is also anticipated that interline ticketing and baggage agreements to facilitate passenger transfer will also be in place to augment the AIR CHOICE ONE proposal.

By: Air Choice One, Shane Storz


August 12, 2009

Re: Proposal of Gulfstream International Airlines

Gulfstream International Airlines hereby submits one, “all or nothing” option. We specify this restriction given the need for sufficient mass to logistically sustain an operation such as this.

The proposed service pattern (Option 1) features the weekly frequencies required by the RFP. That service would consist of four non-stop roundtrips each service day between St. Louis and Decatur, IL; Marion/Herrin, IL; and Quincy, IL. Additionally, we would operate three non-stop roundtrips each service day between St. Louis and Burlington, IA; Cape Girardeau, MO; and Ft. Leonard Wood, MO. Saturday and Sunday combined departures would equal one service day

By: Gulfstream, Mickey Bowman, 270-689-2180


OST-1996-1559 - Cape Girardeau, MO

August 12, 2009

Re: Proposal of SeaPort Airlines

SeaPort proposes options that provide for four direct round trips per day between Cape Girardeau and Memphis five days per week. This service level will offer more than enough inventory to provide for the historical traffic of the last several years, while keeping capacity “right-sized” and avoiding an unnecessary flooding of empty seats and resulting higher operating costs. In Memphis, SeaPort plans to use its own private terminal as a hub for this operation with inexpensive private parking. From this terminal we will provide complimentary shuttle van service to and from Memphis’ main terminal for those passengers needing to connect to, or returning from, more distant destinations.

We have outlined a schedule that provides four round trips, five days per week and two round trips, two days per week. This is a total of 48 segments per week. We believe that this frequency of direct service to a major hub with more flight choices will spur traffic back to where it was historically.

By: SeaPort, Rob McKinney, 971-340-1710


August 12, 2009

Re: DOT Granting Request for Extension of Proposal Submission Date

By Order 2009-7-9, July 9, 2009, we requested proposals from interested air carriers to serve Decatur, Marion/Herrin, and Quincy, Illinois, Burlington, Iowa, and Cape Girardeau and Fort Leonard Wood, Missouri, due by August 12. On August 11, Aviation Technologies, Inc. and Charter Air Transport requested an extension to submit proposals.

We are hereby granting that request. Proposals for all six communities listed above are now due no later than August 17, 2009.

By: Dennis DeVany



OST-2000-7881 - Marion, IL
OST-2006-23929 - Decatur, IL
OST-2003-14492 - Quincy, IL
OST-2001-8731 - Burlington, IA
OST-1996-1559 - Cape Girardeau, MO

August 17, 2009

Re: Proposal of Cape Air

Cape Air proposes service at per per-departure subsidy rates of:
UIN: $571; DEC: $621; CGI: $648; MWA: $601.

Cape Air has been successful in rebuilding commuter air service: since taking over Rutland, Vermont Vermont’s EAS in November 2007 Cape Air increased traffic by 146%.

The Cessna 402 is the workhorse of Cape Air Air’s fleet.

By: Cape Air, Andrew Bonney, 508-862-9719



OST-1996-1167 - Fort Leonard Wood, MO
OST-2001-8731 - Burlington, IA

August 17, 2009

Re: Proposal of Great Lakes Aviation

Proposal Part Service Point(s) Hub(s) Served Round Trips Equipment Subsidy Requirement Passengers Forecast Average Fare
1 Burlington Kansas City 3 1900D $1,997,602 7000 $98.72
2 Ft. Leonard Wood Kansas City or St. Louis 3 1900D $1,292,906 12,750 $107.02

By: Great Lakes, Michael Matthews, 307-432-7000



OST-2000-7881 - Marion, IL
OST-2006-23929 - Decatur, IL
OST-2003-14492 - Quincy, IL
OST-2001-8731 - Burlington, IA
OST-1996-1559 - Cape Girardeau, MO
OST-1996-1167 - Fort Leonard Wood, MO

September 14, 2009

Re: DOT Granting Extension of Comments Period

The Department requested community comments in response to carrier proposals for Essential Air Service at Decatur, Marion/Herrin, and Quincy, Illinois, Burlington, Iowa, Cape Girardeau and Fort Leonard Wood, Missouri, be submitted by Wednesday, September 16. On September 14, we received requests for an extension to submit comments from two communities (Burlington and Decatur).

We are hereby granting a one-week extension based on those requests. Comments on proposals for all six communities listed above are now due no later than Wednesday, September 23, 2009.

By: Dennis DeVany



September 15, 2009

Email Message - Burlington/West Burlington Area Chamber of Commerce in Support of Air Choice One

The Burlington/West Burlington Area Chamber of Commerce Board and the Grow Greater Burlington Board voted this morning to endorse the Air Choice One proposal for EAS supported air service at the Southeast Iowa Regional Airport. My impression from participating in the Chamber Board meeting and hearing about the Economic Development Board meeting is that the director's feel that we have to do something different than we are now doing. Having flights to both St. Louis and O'Hare may be the change that we need to begin the process of recapturing market share and providing meaningful service to our business and leisure travelers.

By: Greater Burlington Partnership, Dennis Hinkle, 319-208-0050



September 18, 2009

Re: City of West Burlington in Support of Air Choice One

The City of West Burlington is a member of the Southeast Iowa Regional Airport Authority and we support the recent decision by the board to recommend Air Choice One to provide service to our region.

By: Mayor Hans Trousil


September 18, 2009

Re: Southeast Regional Airport in Support of Air Choice One

The Southeast Iowa Regional Airport Authority Board members have reviewed the EAS proposals submitted by Great Lakes Aviation, Gulfstream International and Air Choice One. In a 3 - 2 vote, the Authority Board recommends the proposal of Air Choice One, option A-4. Option A-4 provides for 2 daily round trip flights to Chlcago-ORD and 2 daily round trip flights to St. Louis-STL. We believe it is the only option proposed by Air Choice One that will provide adequate service for Southeast Iowa Regional Airport.

By: Charlie Walsh


September 21, 2009

Re: Des Moines County Board of Supervisors in Support of Air Choice One

The Des Moines County Board of Supervisors has decided to endorses Air Choice One as the air carrier to serve the southeastern region of Iowa and the west central part of Illinois. We believe that the connection to Chicago and St. Louis airports is very important to business and recreational travelers when using the Southeast Iowa Regional Airport.

By: Chairman Jeff Heland



OST-2000-7881 - Marion, IL
OST-2006-23929 - Decatur, IL
OST-2003-14492 - Quincy, IL
OST-2001-8731 - Burlington, IA
OST-1996-1559 - Cape Girardeau, MO
OST-1996-1167 - Fort Leonard Wood, MO

August 11, 2009

Email Message - DOT Granting Extension for Proposals

We have decided to grant an extension for proposals was requested from Aviation Technologies, Inc. and Charter Air Transport. This extension applies to all six communities (Decatur, Marion/Herrin, Quincy, Burlington, Cape Girardeau and Fort Leonard Wood).

Proposals for all six communities listed above are now due no later than Monday. August 17, 2009.

By: Kevin Schlemmer, 202-366-3176


Order 2009-10-13
OST-2000-7881 - Marion, IL
OST-2006-23929 - Decatur, IL
OST-2003-14492 - Quincy, IL
OST-2001-8731 - Burlington, IA
OST-1996-1559 - Cape Girardeau, MO
OST-1996-1167 - Fort Leonard Wood, MO

Issued and Served October 22, 2009

Order Selecting Carriers; Setting Final and Hold-In Rates

By this order, the Department is selecting Hyannis Air Service, Inc. d/b/a Cape Air to provide subsidized essential air service at Marion/Herrin, Quincy, and Cape Girardeau, for a two-year period beginning when Cape Air inaugurates full EAS at each of the three communities and ending at the close of the 24th month thereafter, at a combined annual subsidy rate of $5,469,768 ($2,053,783 for Marion/Herrin, $1,946,270 for Quincy, and $1,469,715 for Cape Girardeau). The Department is selecting Multi-Aero, Inc. d/b/a Air Choice One to provide subsidized EAS at Decatur, Illinois, and Burlington, Iowa, for a two-year period beginning when it inaugurates full EAS and ending at the close of the 24th month thereafter, at a combined annual subsidy of $5,253,644 ($3,082,403 for Decatur and $2,171,241 for Burlington). The Department is selecting Great Lakes Aviation, Ltd. to provide subsidized EAS at Fort Leonard Wood, Missouri, for the two-year period from November 1, 2009, through October 31, 2011, at an annual subsidy of $1,292,906.

However, if Air Choice One is unable to inaugurate service at Decatur by December 15, 2009 (with service to St. Louis), and service to Chicago O’Hare by January 15, 2010, utilizing 9-passenger Cessna Caravan aircraft, we would instead select Cape Air to provide EAS with subsidy support, for a two-year period beginning when Cape Air inaugurates service, at a total annual subsidy of $2,129,081.

By: Susan Kurland



OST-2003-14492 - Quincy, IL
OST-2000-7881 - Marion, IL
OST-2006-23929 - Decatur, IL
OST-1996-1559 - Cape Girardeau, MO
OST-1997-2515 - Kirksville, MO
OST-2001-8731 - Burlington, IA

May 4, 2011

Clarification After St. Louis Tornado Closures

On April 22, 2011, a tornado caused extensive damage to Lambert St. Louis International Airport. As a result, STL was closed from late evening on April 22 until April 24. Tenants with operations on Concourse C, including Cape Air, had to be relocated to other concourses at the airport, and as a result, Cape Air was unable to resume operations until April 26. Also due to the closure of STL, Air Choice One operated some its flights to/from the Spirit of St. Louis Airport.

Due to extensive flooding of the airfield at Cape Girardeau Regional Airport operations were suspended there until April 29.

It has been our policy, on a case-by-case basis, to pay the airline its usual subsidy rate when airports have been closed on the grounds that the circumstances are beyond the carriers' control and that there are only minimal cost savings to the carriers while they would lose all of the revenue. (The carriers would only save on fuel and a portion of maintenance because they would not be able to return aircraft to lessors or layoff personnel). Consistent with that precedent, we request that you to compensate Hyannis Air Service, Inc. d/b/a Cape Air and Multi-Aero, Inc. d/b/a Air Choice One for flights that could not be operated during the period of April 22-April 26 due to the STL airport closure or were operated to SUS.

Flights tolfrom the following subsidized communities are affected (April 22-April 26):

In addition, Cape Air's flights to/from Cape Girardeau are also eligible for compensation from April 26 through April 29.

So that you will know whether a cancellation was related to the airports' being closed, we have instructed Cape Air and Air Choice One to indicate "Airport Not Operating" on its monthly subsidy billings for flights that it could not completed for that reason, and have informed them that they will be fully compensated for such cancellations.

By: Dennis DeVany



Order 2011-9-9
OST-2006-23929
- Decatur, IL
OST-2001-8731 - Burlington, IA

Issued and Served September 14, 2011

Order Requesting Proposals

By this order, the Department is requesting proposals from carriers interested in providing essential air service at Burlington Iowa, and Decatur, Illinois, from February 1, 2012 through January 31, 2014, with or without subsidy, by October 11, 2011.

With respect to Burlington and Decatur, we expect proposals consisting of service with two-pilot, twin-engine aircraft with at least 15 passenger seats, and offering two round trips each weekday and weekend (12 total round trips per week) to a Chicago O’Hare, Memphis, Minneapolis/St. Paul, St. Louis, or another large or medium hub airport, offering numerous connecting opportunities to the national air transportation system. If aircraft with fewer than 15 passenger seats are contemplated, service patterns should consist of what each community is currently receiving. If such a proposal is submitted and the community ultimately supports the service, in effect waiving their right to 15-seat or larger aircraft, we would consider the waiver to apply only to the two-year carrier-selection at hand, i.e. we would not assume that the community waives their rights for all time.

By: Todd Homan



OST-2006-23929 - Decatur, IL
OST-2001-8731 - Burlington, IA

October 11, 2011

Proposals of Air Choice One

Burlington & Decatur - Combined Dual Hub Service - STL & ORD
Cessna Grand Caravan - BRL/36 round-trips per week + DEC/36 round-trips per week

By: Shane Storz, 866-435-9837



October 17, 2011

DOT Request for Community Comments:

Southeast Iowa Regional Airport Director

Cape Air proposes four daily nonstop round trips (24 per week) to Lambert-St. Louis Intemational Airport using 9-passenger Cessna 402 aircraft. The carrier expects to offer a code-shaie agreement with American Airlines. Cape Air proposes an armual subsidy of $1,395,035 for a two-year term, or an annual subsidy of $1,360,891 for a four-year term.

Air Choice One proposed seven options, each operating with 9-passenger Cessna Grand Caravan aircraft. Option 1 is two nonstop round trips each weekday and weekend (12 per week) to St. Louis and two nonstop round trips each weekday and weekend (12 per week) to Chicago O'Hare (die current sei-vice pattern) for an annual subsidy of $1,976,872 (two-year teim) or $1,917,566 (four-year tenn). Option 2 is two nonstop round trips each weekday and weekend (12 per week) to St. Louis and three nonstop round trips each weekday and weekend (18 per week) to Chicago O'Hare for an amiual subsidy of $2,492,613 (two-year temi) or $2,417,835 (four-year temi). Option 3 is three nonstop round trips each weekday and weekend (18 per week) to St. Louis and three nonstop round tiips each weekday and weekend to Chicago O'Hare (18 per week) for an annual subsidy of $2,779,519 (two-year temi) or $2,696,133 (four-year term). Option 4 is five nonstop round trips each weekday and weekend (30 per week) to St. Louis for an annual subsidy of $2,207,850 (two-year term) or $2,141,615 (four-year term). Option 5 is five nonstop round trips each weekday and weekend (30 per week) to Chicago O'Hare for an annual subsidy of $2,624,354 (two-year term) or $2,545,623 (four-year term). Option 6 is six nonstop round trips each weekday and weekend (36 per week) to Chicago O'Hare for an amiuai subsidy of $2,853,990 (two-year term) or $2,768,370 (four-year term). Option 7 is a package with Decatur, Illinois, that includes 36 weekly nonstop round trips for Burlington and Decatur (18 nonstop round trips to Chicago O'Hare and 18 nonstop round trips to St. Louis), for an annual subsidy of $5,220,901 (two-year term) or $5,168,692 (four-year term). Options 2, 3, 4, 5, 6, and 7 propose more service for Burlington than the Department solicited in its request for proposals.

We ask that you submit any comments you may have as soon as possible, but in any case no later than November 14, 2011.

By: Dennis DeVany



October 27, 2011

Southeast Iowa Regional Airport in Support of Air Choice One

Ultimately, it is the Airport Authority’s goal to reach 10,000 enplanements and the best way to attain that goal is through Air Choice One’s Option #2, Dual Hub Service, using the Cessna Caravan with 30 total round trips per week. Although, Air Choice One’s Option #1 with 2 daily round trip flights to Chicago-ORD and 2 daily round trip flights to St. Louis-STL, with a slightly decreased schedule on the weekends for a total of 24-round trips per week is not as attractive to attaining our 10,000 passenger enplanements, it will serve us as an alternate option.

By: Charles Walsh



November 7, 2011

City of West Burlington in Support of Air Choice One

The City of West Burlington is a member of the Southeast Iowa Regional Airport Authority and we support the recent decision by the board to recommend Air Choice One to continue to provide service to our region.

Air Choice One has provided our community with more satisfactory service and we would like to keep them as our commercial carrier for an extended period. I urge you to accept Air Choice One's proposal and the Authority Board's recommendation to service Southeast Iowa. Maintaining a viable carrier to service the demands of established and future economic development is paramount to our region.

By: Mayor Hans Trousil



November 7, 2011

Support Letter of Senator Tom Harkin (D-IA)

I am writing to express my support for the Southeast Iowa Regional Airport's preferred choice to provide Essential Air Service to the Burlington area. They have recommended that USDOT select the proposal forwarded by the incumbent airline, Air Choice One.

By: Senator Tom Harkin



Order 2011-12-17
OST-2006-23929 - Decatur, IL
OST-2001-8731 - Burlington, IA

Issued and Served December 22, 2011

Order Re-Selecting Carrier

By this order, the Department is re-selecting Multi-Aero, Inc. d/b/a Air Choice One to provide essential air service at Burlington, Iowa and Decatur, Illinois, at a combined annual subsidy rate of $4,727,307 ($1,976,872 for Burlington and $2,750,435 for Decatur), for a one-year period from February 1, 2012, through January 31, 2013. This may be extended for an additional three years through January 31, 2016, if Air Choice One fully implements an electronic ticketing and baggage agreement with a major airline that operates a hub at Chicago O’Hare International Airport and/or Lambert-St. Louis International Airport.

By: Susan Kurland


 

Order 2012-12-23
OST-2001-8731 - Burlington, IA
OST-2006-23929 - Decatur, IL

Issued and Served December 31, 2012

Order Extending Service Period

By this order, the Department is extending the service period of Multi-Aero, Inc. d/b/a Air Choice One to provide Essential Air Service at Burlington, Iowa, and Decatur, Illinois, at a combined annual subsidy rate of $4,585,488 ($1,917,566 for Burlington and $2,667,922 for Decatur), for a three-year period from February 1, 2013, through January 31, 2016. The new rates for these three years is the four-year annual rate that the carrier proposed1 prior to its being selected in Order 2011-12-17, December 22, 2011. As outlined in that Order, the Department directed Air Choice One to establish an electronic ticketing and baggage agreement with a major airline with a hub operation at Chicago O’Hare International Airport or Lambert-St. Louis International Airport. The new agreement, which established this connectivity in several global distribution systems and online travel agency websites on December 2, 2012, meets the requirement in advance of the January 31, 2013, deadline that the Department set to accomplish those requirements

By: Susan Kurland


 

Order 2015-8-5
OST-2001-8731 - Burlington, IA
OST-2006-23929 - Decatur, IL

Issued and Served August 4, 2015

Order Requesting Propsals

By this Order, the United States Department of Transportation is requesting proposals from air carriers interested in providing Essential Air Service at Burlington, Iowa, and/or Decatur, Illinois, for a new contract period beginning February 1, 2016, with or without subsidy. Air carriers should file their proposals no later than September 3, 2015.

During the year ending first quarter 2015, Burlington averaged 21 enplanements per day and Decatur averaged 22 enplanements per day. Therefore, the Department expects proposals with 9-passenger aircraft to offer service levels consistent with what the communities currently receive. For air carriers proposing service with 19-passenger aircraft, the Department expects 3 round trips each day (21 per week). For larger aircraft (30 passenger seats or more), the Department expects 2 round trips each weekday and weekend (12 per week). Air carriers are also welcome to propose more than one service option, if they choose. They also need not limit themselves to these requirements if they envision other, potentially more attractive service possibilities -- different hubs or length of contract, for example -- with subsidy requirements that remain competitive.

By: Todd Homan


 

Order 2017-7-14
OST-2006-23929 - Decatur, IL
OST-2001-8731 - Burlington, IA

Issued and Served July 25, 2017

Order Requesting Proposals

By this Order, the United States Department of Transportation is requesting proposals from airlines interested in providing Essential Air Service at Decatur, Illinois and/or Burlington, Iowa, for a new contract term beginning February 1, 2018, with or without subsidy. Airlines should file their proposals no later than August 29, 2017.

The Department expects proposals that are consistent with what the community currently receives, namely 36 round trips per week at Decatur and 24 round trips per week at Burlington to a large- or medium-hub airport with 8- or 9-passenger aircraft. If larger aircraft are contemplated, the Department expects 12 to 14 round trips per week.

By: Todd Homan


 

OST-2001-8731 - Burlington
OST-2002-11859 - Decatur

August 28, 2017

Extension of Proposal Due Date

The Department received a request from Southern Airways Express to extend the due date for proposals at Burlington, Iowa and Decatur, Illinois. The Department will grant this request and proposals are now due on Tuesday, September 12, 2017. As a reminder, this is the same due date for proposals for the following communities:

By: Michael Martin, 202-366-6494Homan


 

OST-2006-23929 - Decatur, IL
OST-2001-8731 - Burlington, IA


September 12, 2017

Proposal of Air Choice One

24 weekly roundtrip Burlington-St. Louis (12); Burlington-Chicago (12)
Aircraft: Cessna Grand Caravan
Subsidy required: $2,439,963 (Years 1 and 2); $2,415,564 (Years 3 and 4)

By: Darnea Wood




September 12, 2017

Proposal of Cape Air

36 weekly roundtrip Decatur-Chicago (24); Decatur-St. Louis (12)
Aircraft: Cessna 402
Subsidy required: $2,915,273; $2,831,304 (4-Year Contract Discount)

24 weekly roundtrip Burlington-Chicago (12); Burlington-St. Louis (12)
Aircraft: Cessna 402
Subsidy required: $2,128,582; $2,067,273 (4-Year Contract Discount)

By: Andrew Bonney




September 12, 2017

Proposal of SkyWest Airlines

14 weekly roundtrip Decatur-Chicago
Aircraft: CRJ200
Subsidy required: $3,308,945

By: Greg Atkin


 

October 12, 2017

Southeast Iowa Regional Airport in Support of Air Choice One

After careful consideration of both proposals, we would respectfully request the USDOT, Office of the Secretary award a 4-year contract to Air Choice One to provide essential air service at Burlington, lA to St. Louis-Lambert and Chicago O'Hare airports with 24 round trips per week.

By: Charles Walsh


 

Order 2017-12-20
OST-2006-23929 - Decatur, IL
OST-2001-8731 - Burlington, IA

Issued and Served December 21, 2017

Order Selecting Airlines and Establishing Annual Subsidy Rates

By this Order, the United States Department of Transportation is 1) re-selecting Multi-Aero, Inc. d/b/a Air Choice One to provide Essential Air Service at Burlington, Iowa, for the four-year contract term from February 1, 2018, through January 31, 2022, and 2) selecting Hyannis Air Service, Inc. d/b/a Cape Air to provide EAS at Decatur, Illinois, for the two-year contract term from February 1, 2018, through January 31, 2020.

At Burlington, Air Choice One will provide 12 weekly nonstop round trips to Chicago O’Hare International Airport and 12 weekly nonstop round trips to St. Louis-Lambert International Airport (for a total of 24 weekly round trips) using 9-passenger Cessna Grand Caravan aircraft for an annual subsidy of $2,439,963 for years 1 and 2, and $2,415,564 for years 3 and 4.

At Decatur, Cape Air will provide 24 weekly nonstop round trips to ORD and 12 weekly nonstop round trips (for a total of 36 weekly round trips) using 9-passenger Cessna 402 aircraft. The annual subsidy is:

Year 1 $2,915,273
Year 2 $3,002,731

By: Susan McDermott

 

 

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