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Updated: Tuesday, April 1, 2008 10:29 AM

OST-2006-23671 - Small Community Air Service - Order Soliciting Community Grant Proposals

OST-2002-11590 - 2002 Small Community Air Service Development Program
OST-2003-15065 - 2003 Small Community Air Service Development Program
OST-2004-17343 - 2004 Small Community Air Service Development Program
OST-2005-20127 - 2005 Small Community Air Service Development Program
OST-2007-27370 - 2007 Small Community Air Service Development Program
OST-2008-0100 - 2008 Small Community Air Service Development Program

Letters in Support

Small Community Air Service Development Program

Order 2006-1-13

Issued and Served January 20, 2006

Order Soliciting Community Grant Proposals - Bookmarked | As Published in FR February 2, 2006

By this order, the Department invites proposals from communities and/or consortia of communities interested in obtaining a federal grant under the Small Community Air Service Development Program to address air service and airfare problems in their communities. Proposals should be submitted in the above-referenced docket no later than April 7, 2006.

Communities that are eligible to participate in the grant program are those communities that are served by an airport that was not larger than a small hub airport for calendar year 1997 and had insufficient air service or unreasonably high airfares. Communities that do not currently have commercial air service are also eligible, but where they seek grant funds to secure air service under the grant program they must have met or be able to meet in a reasonable period all necessary requirements of the Federal Aviation Administration for the type of service involved in their grant proposals.

By: Michael Reynolds

Order 2006-8-8

Issued and Served August 10, 2006

Order Awarding Grants - Bookmarked

By this order, the Department awards financial grants for fiscal year 2006 under the Small Community Air Service Development Program to the communities listed in Appendix A to implement the air service initiatives proposed in their grant applications. These grant awards benefit 28 communities in 22 states. Award recipients must execute a grant agreement with the Department before they can begin to spend funds under the grants awarded by this order.

  • Eight of the grant awards are made to communities experiencing higher-than-average air fares, including Fairbanks, AK; Cedar Rapids, IA; Garden City/Dodge City/Liberal, KS; Grand Forks, ND; Jamestown/Devils Lake, ND; Harrisburg, PA; Longview, TX; and Lynchburg, VA.
  • Four awards go to communities - Tuscaloosa, AL; Palmdale, CA; Gary, IN; and Gallup, NM - seeking either their first air service or to restore service previously lost.
  • Four awards go to communities - Melbourne, FL; Brunswick, GA; Grand Forks, ND; and North Bend, OR - seeking service by a second air carrier.
  • Nine grant awards will be given to communities seeking access to additional city-pair markets. These communities include Fairbanks, AK; Chico, CA; Montrose, CO; Springfield, IL; Jackson, MS; Kalispell, MT; Toledo, OH; Abilene, TX; and Lynchburg, VA.
  • Six awards will be given to communities seeking to conduct marketing programs to promote increased use of local air services. These communities include Cedar Rapids, 1A; Garden City/Dodge/Liberal, KS; Monroe, LA; Jamestown/Devils Lake, ND; Jamestown, NY; and Longview, TX. Garden City/Dodge City/Liberal and Jamestown/Devils Lake now receive subsidized air service under the EAS program and expect to use their grants to reduce the need for their EAS subsidies.

By: Michael Reynolds

Applications Arranged by State

Alabama | Alaska | Arkansas | California | Colorado | Connecticut | Florida | Georgia | Illinois | Indiana | Iowa | Kansas | Kentucky | Louisiana | Maine | Massachsetts | Michigan | Minnesota | Mississippi | Missouri | Montana | Nebraska | New Mexico | New York | North Carolina | North Dakota | Ohio | Oregon | Pennsylvania | South Carolina | South Dakota | Tennessee | Texas | Utah | Virginia | Washington | West Virginia


April 7, 2006

Proposal of Huntsville International Airport - Huntsville, Alabama - Bookmarked

United Airlines has been examining the Huntsville market for non-stop service to Denver, CO. They will provide west connections and enhance our international connections as well. This new non-stop would provide service to one of our top business and leisure destinations and create a more competitive environment, west bound, thus increasing our capacity and creating more fare parody. Denver will experience growth over the coming years due to the jobs being moved here with BRAC.

The goal of this program is to stimulate new demand at Huntsville International Airport so that the carriers in our market would be encouraged to increase capacity, add new non-stop destinations, utilize larger equipment and provide more competitive fares. This would meet the objectives of the Small Community Air Service Development Program.

If we can stimulate our passengers to fill the seats with more non-stops, then the airlines will add more capacity, thus growing our market and improving our community's air service. If the airlines add more seats and better fares, passengers will get off the road, keeping the cycle going. This cycle includes more service - more people flying - better fares and so on. If we are able to increase our non-stop service options, this could enhance our ability to grow and possibly impact the long term viability of our market.



April 6, 2006

Proposal of the Tuscaloosa Regional Airport - Tuscaloosa, Alabama - Bookmarked

Tuscaloosa is not a sparsely populated rural area. To the contrary, Tuscaloosa is now part of the global economy. The region served by TCL hosts a vibrant employment base anchored by manufacturing facilities and significant foreign investment. The centerpiece of this economic base is the Mercedes Benz assembly plant, producing over 140,000 vehicles annually that are sold domestically as well as exported around the world. While the region has enjoyed a major resurgence in recent years, the lack of scheduled service cuts the community off from the air transportation system and threatens future economic development efforts. Today, without question Tuscaloosa can support the re-establishment of scheduled air service. Tomorrow, it will be essential to the competitiveness of the region. Unfortunately, airlines are reticent to expand in their existing markets, let alone enter one that has been un-served for most of a decade. For this reason, the community asks that the Department approve this application.

The Tuscaloosa region lacks air service not because of local economic conditions, but instead because of changes in the structure and risk appetite of the airline industry.

Upon approval of this grant proposal, the Airport will approach Delta regarding a two round trip service pattern to Atlanta, using 50-seat regional jet aircraft.

By: Tuscaloosa Regional Airport, Wayne Cameron



April 12, 2006

Proposal of the Fairbanks International Airport - Fairbanks, Alaska - Bookmarked

In Alaska, all air service is essential. Unlike any other part of the United States, airplanes and airlines are a daily and required part of life, not a just a convenience for making business or vacation travel faster.

Fairbanks is the gateway to the world for virtually all of the interior of the State. At least six communities, served by commuter carriers, as well as others, served by private and business aircraft, are wholly dependent on Fairbanks international for access and egress. Today, most of that traffic must travel through Anchorage, and then on to other points in the nation.

Without question, there is sufficient demand, both in local originating traffic as well as inbound-generated passengers, to support additional service to the Lower 48, particularly to a strong hub operation. But, as the Department knows, the geographic location of Fairbanks means any such routing involves substantial block time flying from virtually any point in the Lower 48. That means heavy risk and investment on the part of the airline.

Therefore, the Fairbanks International Airport and the Fairbanks Convention and Visitors Bureau are requesting a grant in the amount of $500,000 to recruit and establish seasonal summer service to Denver. Both United and Frontier operate strong connecting hubs at Denver International, and analyses by the Airport indicate clearly that the service can be self-supporting if operated by either carrier. In fact, ten of the top 20 reported O&D markets from FAI are served by both of these airlines via DEN.

By: Fairbanks International Airport



April 6, 2006

Proposal of the City of Russellville, Arkansas - Bookmarked

The city’s local airport, Russellville Regional Airport is currently without public charter air service linking it to the National Air Transportation System. As such, any federal grant funds received will be utilized to create and support air service development efforts, specifically air taxi operations, at RUE. The effective catchment area for the Russellville Regional Airport is approximately 145,000 people.

The purpose of the proposed air taxi operation is to enable low-fare ($700/hour, Year 1) air transportation service at the Russellville Regional Airport. This service will be based on the utilization of a new classification of aircraft, the Very Light Jet. Such a program was not possible in the past due to high hourly operating costs of the aircraft involved. However, because of their affordable purchase price and low direct operating costs, VLJ aircraft are now a key enabler of this suggested program.

This type of service, which generally focuses on short to mid-range regional travel typically involved with business/corporate operations, is fast becoming a more viable and popular alternative to flying commercially. In many instances, it is also the best air service option for many small, under-utilized airports that could not otherwise support nor attract scheduled airline service.

By: Mayor Raye Turner, 479-968-2098, raye.turner@russellvillearkansas.org



April 7, 2006

Proposal of the City of Chico, California - Bookmarked

Residents of our region have long been without adequate air services. The City of Chico has recently completed detailed research of Chico’s air travel market, and found that over 90% of Chico air travelers are using airports other than CIC. Clearly, the community receives insufficient flight frequency and seat capacity, which does not meet demonstrated demand. Furthermore, airfares for Chico services are higher than those available at surrounding airports. As a result, economic development in the region has suffered, air travel has been depressed, and many passengers have been forced to use Sacramento International Airport, a four-hour round trip drive away.

At present, only one scheduled route is in operation at Chico Airport: CIC-SFO. As San Francisco is a large hub for United Airlines, this service provides the benefit of connecting Chico to the entire United/Star Alliance network. However, while SFO accounts for 100% of Chico seat capacity, the San Francisco market represents only 2% of the Chico area air travel demand. Therefore, 98% of passengers flying from Chico are required to make a connection to get to their final destination. As a result, the vast majority of air travelers drive to Sacramento to take a non-stop flight.

It is not suggested that the San Francisco route be dropped in favor of another route. Clearly, United is able to operate this route precisely because it can combine passengers traveling to/from a number of different destinations at SFO. However, it is believed that at least one additional non-stop route can be offered from Chico without compromising the viability of United’s existing CIC-SFO operation.

With air travel demand to/from Southern California of over 87,000 passengers per year, it is felt that a non-stop Chico-Los Angeles route can be financially viable.

By: Dave Burland


EAS at Chico: OST-1998-3517

April 7, 2006

Proposal of Palmdale Regional Airport - Palmdale, California - Bookmarked

The City of Palmdale is requesting a $900,000 grant to initiate 50-seat regional jet service at Palmdale Regional Airport, by developing a revenue guarantee program to support the initial phase (first 12 months) of air service. This revenue guarantee program will be designed to attract non-stop service to the hub of a major U.S. airline in the Western U.S., by minimizing the initial business risk that a carrier will face in entering a new market, rather than simply subsidizing air service that is unlikely to be self-sufficient. Thus, the revenue guarantee will be a short-term program tailored to “jumpstart” the new regional jet service by mitigating an airline’s risk.

A secondary goal to which any grants funds will be dedicated is the promotion of new regional jet service at PMD, to develop awareness within the local community that PMD is again open for business once an air carrier agrees to serve the market. Inasmuch as PMD has lacked consistent scheduled commercial air service since 1998, air travellers within the local community have changed their behavior during the past 8 years, relying on three other Southern California airports (Los Angeles, Burbank and LA/Ontario airports) that are located within a 2 hour drive. The promotion of new jet service at PMD will be designed to change air traveller behavior, by increasing awareness of the service and highlighting its effectiveness, reliability and staying power.

By: City of Palmdale


EAS at Palmdale: OST-2005-23350

April 6, 2006

Proposal of the San Luis Obispo County Regional Airport - San Luis Obispo, California - Bookmarked

The primary impediment to continued air service growth is the lack of available seats and competitive one-stop service to markets located east of California. While America West Express provides much demanded three times daily service to Phoenix and a late night service to Las Vegas there are not enough available seats east-bound to meet the demands of the community. Service to both San Francisco and Los Angeles is regional in nature and primarily serves the cities located on the west coast. The lack of competitive service to the vast majority of the country also tends to inflate ticket prices and contributes to the 42.0% leakage rate the airport experiences, even though the nearest competitive service is in Santa Barbara and the nearest low-fare service is in Burbank, 3 1/2 hours south.

San Luis Obispo county Airport is convinced that Delta Air Lines service via Salt Lake City will ease the leakage and result in more people using the local airport. The Airport is convinced that this service will prove to stand as a viable market for Salt Lake City in the long-term. However, one of the main reasons the Airport has applied for this grant is that the present length of the runway is questionable for a fully loaded regional jet headed to Salt Lake City on some of the hotter days of the year. The Airport is hoping that Delta will want to begin service in the fall of 2006, before the runway extension project is complete. Part of this grant will be used as a revenue guarantee for Delta for those days when the heat may not allow Delta to carry a full load of passengers, fuel, baggage, etc. The revenue guarantee would insure Delta that they would not incur a penalty by beginning service this fall, rather than waiting an entire year for the runway to be completed. At the end of this project there is no doubt that the service will be self sustaining, thereby limiting the need for a grant past the first twelve months.

By: Klaasje Nairne


April 3, 2006

Proposal of the Stockton Metropolitan Airport - Stockton, California - Bookmarked

The Stockton Metropolitan Airport, which serves a catchment area of over 1.2 million people, has been without air service since late 2003, when America West discontinued its regional jet service to Phoenix. Since that time, most travelers have been forced to drive to nearby airports, trips which could take over three hours in gridlock-like traffic conditions.

The Airport has an ongoing public-private partnership with six other organizations which fully support this program to reinstate service to Stockton. This application requests $200,000 from the Department to fund a comprehensive marketing plan as part of a $550,000 program to attract new service to LAX. The Airport has been very aggressive in pursuing this new service and has been successful in securing the support of Horizon Air for this grant application.

By: Barry Rodinella



March 31, 2006

Application of Eagle County Airport, Colorado - Bookmarked

Interstate 70 creates a regional tie between Denver and the western slope communities. During high-season tourism months the interstate is clogged with traffic, often doubling the driving time from Denver to Summit County. Exhausting studies over several years have yet to reveal an economically sensible solution to this problem. An increase of seats into EGE would help offset the Interstate congestion by removing these travelers from the congested portions of the I-70 corridor. This is not a total solution for I-70 congestion, but serves at least as a part of the solution.

The Eagle County Airport offers winter air-service with six major air carriers: American, Continental, Delta, Northwest, United, and US Airways. Summer service is provided to Chicago, Dallas, and Denver, and winter service to fourteen major cities. During short shoulder season periods, EGE continues to function as a year-round commercial airport with at least three daily flights to Denver.

By: Eagle County


April 7, 2006

Proposal of Lamar, Colorado - Bookmarked

Southeastern Colorado Air Service will provide special, on-demand service as PART 135 air carrier between Lamar, Colorado and Denver International Airport in Denver, Colorado with stops in La Junta, Colorado.

The airline will initially operate a five-seat Piper Seneca aircraft four days per week between Lamar-La Junta and DJA, flying initially on Monday, Tuesday, Thursday, and Friday. The air service intends to initially offer a $79.00 unrestricted one-way fare for all customers. Surveys developed as part of the Strategic Business Plan and the Marketing Plan for Lamar have shown that the typical air traveler wants to fly to DIA to connect with other airlines in order to conduct business in metropolitan areas throughout the U.S. and the world. Based on their flying experience, investigations, and calculations SECAS feels confident that they can provide a first class, passenger-friendly operation on their proposed Lamar-La Junta-Denver route. If the program is successful, the air service plans to add flight frequency and operate larger aircraft with a passenger load of eight or nine seats. (ie. Piper Chieftain or Cessna Caravan). During the term of the grant the fares will increase 5 to 10 percent annually to keep up with cost and be on it's way to self sufficiency.

Currently, the only air service for Southeastern Colorado is provided by SECAS from the Lamar Municipal Airport. This airport is the only commercial airport for Southeastern Colorado. The service area for the airport includes the six-county area of Prowers, Baca, Kiowa, Bent, Otero, and Crowley serving a potential population of 70,200 people. The largest concentrations of people live in the cities of Lamar and La Junta and account for 55% of the total air service market in Lamar.

By: Southeast Colorado Resource Convention & Development, Inc.


EAS at Lamar: OST-1995-934

April 7, 2006

Proposal of Las Animas County, Colorado - Bookmarked

Southeastern Colorado Air Service will provide special, on-demand service as PART 135 air carrier between Trinidad, Colorado and Denver International Airport in Denver, Colorado.

The airline will initially operate a five-seat Piper Seneca aircraft four days per week between Trinidad and DIA, flying initially on Monday, Tuesday, Thursday, and Friday. The air service intends to initially offer a $79.00 unrestricted one-way fare for all customers. If the program is successful, the air service plans to add flight frequency and operate larger aircraft with a passenger load of eight or nine seats. (ie. Piper Chieftain or Cessna Caravan). During the term of the grant the fares will increase 5 to 10 percent annually to keep up with cost and be on its way to self sufficiency.

Currently, there is no air service for Las Animas County. Since 1951 when Continental Airlines offered service there has not been commercial air service.

By: Southeast Colorado Resource Convention & Development, Inc.


April 6, 2006

Proposal of Pueblo, Colorado - Bookmarked

Our proposal seeks to improve three facets of air service: (a) schedule improvements to take better advantage of connections on code-sharing partners, Frontier Airlines and United Airlines; (b) an additional Great Lakes Aviation flight to/from Denver International Airport supported with a revenue guarantee; and (c) an innovative marketing strategy to increase use of Pueblo Memorial Airport.

By: David Galli


EAS at Pueblo: OST-1997-2953, OST-1999-6589

March 27, 2006

Application of Telluride/Montrose Regional Air Organization, Colorado - Bookmarked

Montrose Regional Airport in conjunction with the Telluride/Montrose Regional Air Organization is applying for the Small Community Air Service Development Program grant for $450,000. The community match will be $100,000. This money will be used to increase summer service to the Montrose Regional Airport.

The Montrose Regional Airport has unique air service needs. This airport sees the greatest amount of travelers during the winter because many ski at Telluride. In the summer seasons; however, the flight frequencies are decreased to the Denver and Houston destinations. The demand for summer service has greatly increased over the past few years. The airport has not been able to attract a sufficient increase in seats to meet this demand increase without a revenue guarantee program. Even with the revenue guarantees, the Airport has still not met the total increase in demand.

By: Scott Brownlee

EAS at Montrose: OST-1998-3500



April 6, 2006

Proposal of the Tweed New Haven Regional Airport - New Haven, Connecticut - Bookmarked

Currently, Tweed New Haven's only access to the national air transportation network is through Philadelphia, PA. This service is provided by one carrier US Airways. While the community is appreciative of US Airways service over the years, it is not appropriate that the million-plus population of Southern Connecticut receive air service from only one carrier. In fact, there is not another comparably sized metro region in the nation that has such limited air service.

Limited service and high fares at Tweed New Haven Airport force over 90% of local air travelers to drive to alternate airports. Higher usage of Tweed will help reduce the strain these passengers place on state highways and allow the Southern Connecticut region to attract and retain even greater activity among bioscience and high technology companies - key business clusters which depend on quality local air service for future economic growth.

To address this situation, New Haven business and community leaders joined forces in 2004 to attract new air service to Tweed. Spearheaded by Yale University, a private sector consortium agreed to participate in a $1.6 million revenue guarantee to secure Delta Connection regional jet service. This community-based partnership entered into a joint venture with Delta to shoulder the carrier's risk of entering a new market.

By: Robert Santy


EAS at New Haven: OST-1997-2915


April 7, 2006

Proposal of the City of Melbourne Airport Authority - Melbourne, Florida - Bookmarked

The project goal is to develop a plan to attract an additional airline in order to promote competition and offer additional air service to our local community. The plan to accomplish this goal is to add nonstop service, increasing connecting options and decreasing overall travel time. The plan proposes to initiate US Airways service from MLB to Charlotte-Douglas International Airport with 70-seat regional jet aircraft.

To improve air service options at MLB and to meet the travel needs of the community, the proposed plan adds three daily round trip flights between MLB and CLT operated by US Airways. Nonstop service to Charlotte will provide an additional destination with connections that will create competition with Delta’s flights to Hartsfield-Jackson Atlanta International Airport and add additional seats to and from MLB. The nonstop service will be supported by a two-part plan that includes advertising/promotion and airline startup support.

US Airways management supports the plan. For purposes of this analysis, it is assumed that US Airways will implement nonstop service to Charlotte by April 1, 2007. However the actual service start date is dependent on aircraft availability. With a tentative service start date of April 1, 2007, the proposed plan will be completed by July 30, 2008. It is estimated that the nonstop service to Charlotte will serve 52,920 enplaned and deplaned passengers per year.

By: Richard Ennis


EAS at Melbourne: OST-2002-13794

April 4, 2006

Proposal of Naples Municipal Airport - Naples, Florida - Bookmarked

The Naples Municipal Airport has served as a primary or reliever service airport for more than 50 years and is located in one of the nation’s fastest growing communities. Yet it has lost air service twice since 2003 and is currently served by only one year-round regional and one seasonal niche carrier. We strongly feel the Small Community Air Service Development Program was designed for communities such as Naples in order to enable us to be responsive to the growing air transportation needs of the local community and to mitigate the challenges small communities face in attracting reliable air service.

Our primary goal is to establish and maintain consistent and convenient scheduled air service for our community that is readily accessible and reasonably priced for all citizens.

The FLY NAPLES TEAM successfully negotiated an agreement with Delta Connection/Atlantic Southeast Airlines in June 2004, to bring the first interstate major hub regional jet service to the Naples-Marco Island MSA.

The airline agreement is scheduled to end in November 2006. The Authority and the FLY NAPLES TEAM recognize the importance of maintaining reliable, convenient air service as an economic, safety and quality of life issue in one of the nation’s top five fastest-growing communities.

By: City of Naples Airport Authority, Theodore Soliday, 239-643-0733


February 23, 2006

Proposal of the Pensacola Regional Airport - Pensacola, Florida - Bookmarked

Pensacola Regional Airport is served by a few major carriers including Delta, Northwest, and United, or partners/subsidiaries thereof. The vast majority of flights depart Pensacola Regional for Atlanta Hartsfield Jackson International, which serves as the primary connection hub for these communities’ passengers before heading onto final destinations throughout the country. The price charged by these few carriers of the short flight to Atlanta is unnaturally high due to Pensacola Regional’s reliance on Atlanta Hartsfield Jackson as its hub of choice. Because of this situation, these few major air carriers are able to charge travelers a far greater rate than a standard 40 minute connecting flight. This ultimately causes the people of this growing, but relatively poor area to pay more than others on airfare to and from Pensacola Regional.

The long term solution to unnaturally high airfare from Pensacola Regional is through greater competition and less reliance on Atlanta Hartsfield as a connection hub. Until this occurs there is an answer which would alleviate undue financial pressure on these communities. Near term competition provided by FAR part 135 air taxi services would relieve the stress caused by overpriced connecting flights. Furthermore, it would create for travelers, the cost benefit to connect at a variety hubs, giving the community the option to fly across the country without paying inordinate costs to fly aboard major carriers to Atlanta. The differential cost associated with FAR part 135 activity provides consumers with a much less expensive mode of flight compared to part 1 19 scheduled operations provided by large airlines. Simply put, air taxi service in and out of Pensacola Regional benefits the community through guaranteed lower ticket price compared to large airlines on short flights (less than one hour) used to connect to large hubs.

Paloma Air Group was founded by two US Naval Aviators who wished to provide people with an alternative to common FAR part 119 air carrier service. Noting major air carriers numerous limitations in servicing exact needs of their clients including flights with multiple stopovers, penalties for changing in destination, and high priced connection flights for service from local airports to hubs. Where major carriers are limited by rigid business models and impersonal service, Paloma Air Group provides flexibility by offering air taxi service in which passengers specific needs are sated without the high costs associated with general aviation. Specifically, Paloma efficiently will provide passengers a lower cost alternative to fly to major hubs in the south from Pensacola and its surrounding communities.

By: Pensacola Regional Airport


April 6, 2006

Proposal of the Sarasota Bradenton International Airport - Sarasota, Florida - Bookmarked

SRQ was a grateful recipient of a 2003 grant under the Small Community Air Service Development Program. The Airport successfully recruited AirTran service to Atlanta, which immediately began to recapture some leakage and bring a measure of pricing discipline to the market.

Leakage to Tampa has not materially been recaptured. Analyses by the Airport show that the re-bound in capacity and enplanements at SRQ has mainly accommodated part of the huge growth in passenger demand resulting from the region's booming economy and in-migration of population.

This grant is intended to be used in a highly focused marketing and advertising program aimed at recapturing specific strata of passenger leakage. Local trip origination within the SRQ service area is much lower than at other airports in the region, indicating that substantial percentages of the current leakage is local and, therefore, addressable.

The goal of the program made possible by this grant is to recapture a substantial percentage of the current leakage to Tampa. The Airport believes that this will be a catalyst to encourage incumbent carriers to increase capacity, thereby starting a "servo effect" process, where increased capacity will bring lower fares, and more passengers.

The Airport is requesting $200,000 for a period of one year to accomplish these goals. This will be matched by $60,000 in hard funding by the Airport and community.

By: Frederick Piccolo



April 7, 2006

Proposal of Brunswick Golden Isles Air Service Partnership - Brunswick, Georgia - Bookmarked

Air service at Brunswick Golden Isles Airport does not meet the needs of our community. For more than 15 years, air service has been limited to service by one carrier (Delta Air Lines) to one destination (Atlanta). Inadequate capacity and high fares in many BQK markets have resulted in the majority of air travellers to and from Brunswick and the Golden Isles deciding to use lower-fare services and greater service options available at Jacksonville and Savannah.

This situation has become much worse as Delta Air Lines (using Atlantic Southeast Airlines) has reduced service between BQK and ATL to three roundtrips daily. At the same time, average fares to and from BQK have jumped 28%. The result, not surprisingly, has been a sharp decline in boardings at BQK, and more travellers opting to make the drive to Jacksonville or Savannah for air service.

This is the fourth application that the Partnership has made under the Departments Small Community Air Service Program. Each time we have refined our application to reflect our service and need situation. We now find ourselves in the most precarious air service situation ever, even as our air travel market is growing. Current developments in the airline industry, both in terms of risk and opportunity, require that the Partnership actively initiate the Brunswick Golden Isles Air Service Initiative. The resources requested through the Departments grant program are essential to this effort.

By: Steven Brian



April 4, 2006

Proposal of Greater Peoria Regional Airport - Peoria, Illinois - Bookmarked

Airlines that the region long relied upon have vanished, as have many other carriers which could have replaced the lost service. The airlines that continue to serve Central Illinois have, for the most part, substantially altered their operations over the past several years, reducing destinations served and capacity. In 2006, Peoria will see capacity reduced year-over-year by 20%, despite high load factors and record enplanements. Peoria has experienced a reduction and elimination of flights to Dallas/Ft.Worth, Atlanta, Chicago and Orlando. Peoria has lost access entirely to St. Louis, long a traditional connecting airport, as American shrinks its operations. Chicago O'Hare is overcapacity. The operations restrictions at ORD are likely to remain in place for the immediate future, possibly until 2008. Other airlines serving Peoria are struggling from the repercussions of bankruptcy, shrinking their regional fleets and realigning their operations.

Flying out of Peoria is expensive. Peoria travelers pay premiums of up to 140% over Chicago travelers and 75% over nearby airports. The lower fares offered in these markets due to an increased level of competition are drawing passengers away from the Greater Peoria Regional Airport Peoria seeks to reap the benefits of increased competition. Additional flights to additional destinations and lower airfares will stimulate demand from the Greater Peoria Regional Airport. Past air service improvements in Peoria have done both. Our proposal intends to attract both these critical elements.

By: Peoria


April 4, 2006

Proposal of the Quincy Regional Airport - Quincy, Illinois - Bookmarked

Quincy Regional Airport has entered into an agreement with RegionsAir to provide a maintenance base for A and B checks for RegionsAIr’s Jetstream 32 aircraft. Quincy Regional Airport, in conjunction with Baldwin Developers LLC is installing the hanger door with the intention of being able to accommodate larger 30-seat Saab 340 aircraft as well. In support of that goal, Quincy has determined that working with RegionsAir to swap out one of RegionsAir’s flights to/from St. Louis will help bring in additional capacity to the market in terms of seats, and additional work to the community in terms of a variety of aircraft serving the market and available for maintenance at Quincy’s new facility at the Baldwin Field Business Park.

The short-term goal is to increase enplanements back above the 10,000 level experienced for so many years prior to 2003. The availability of additional seats in the market, covered with revenue guarantee funds from this grant for RegionsAir will allow RegionsAir and American Airlines to price the market more competitively in the future.

Quincy also feels that these changes, as well as the continued service provided by American Airlines at St. Louis needs to be communicated to the community of Quincy as well as the larger catchment area. Therefore, Quincy is proposing setting aside some funds to advertise and otherwise promote the services available at the Quincy Regional Airport.

By: Mark Hanna


EAS at Quincy: OST-1999-5931, OST-2002-13934, OST-2003-14492

April 6, 2006

Proposal of Rock Island County, Illinois - Quad City International Airport - Bookmarked

The Quad City International Airport is pleased to submit the attached application for the Small Community Air Service Development Program. The funds that are being requested are to support the Airport's Station Services Program, a new business model which enables more profitable air service to the QCIA. The program will help recruit new service by assuming station costs and lowering barriers to entry at the QCIA.

Air service is the key to economic development of Eastern Iowa and Western Illinois and the QCIA has been very successful with increasing passenger loads and securing access to additional hubs. However, this region is lacking connections to the west, and America West Airlines has been targeted to provide the service levels and fare structure needed to make the routes profitable. America West has indicated that due to the costs associated with opening a new station, their decision to serve the Quad Cities would be influenced if the Airport Services Program was in place.

By: Bruce Carter


April 7, 2006

Proposal of the Abraham Lincoln Capital Airport - Springfield, Illinois - Bookmarked

The Airport proposes to capitalize on the new demand for visitor traffic at the Abraham Lincoln Presidential Library and Museum by instituting an aggressive regional and coordinated international advertising campaign to entice people to travel to Springfield via the local Airport. This will support all airlines serving the airport, whether existing or new.

In combination with US DOT Small Community Grant Funds, the Springfield Airport Authority will offer revenue guarantees in conjunction with an aggressive local and cooperative advertising program to United Airlines to entice them to offer at least once and potentially twice daily non-stop service between Springfield and Washington Dulles using 50-seat regional jet aircraft.

The first departing flight is proposed to be timed to leave late enough to be available to residents of the entire downstate Illinois region surrounding Springfield. The second departure is timed to offer connections to late afternoon international departures at Dulles. The first arriving flight is timed to connect with inbound arrivals to Dulles, while the late evening return flight leaves late enough to offer the ability to go from central Illinois to Washington and back in the same day. Flights are also staggered at Springfield to continue to take advantage of the Chicago O’Hare hub. Should one flight be offered to start, Springfield will ask United to provide the RON service.

By: Eric Frankl


EAS at Springfield: OST-2006-23930


April 7, 2006

Proposal of the Fort Wayne-Allen County Airport Authority - Fort Wayne, Indiana - Bookmarked

Fort Wayne International Airport, which is operated by the Fort Wayne-Allen County Airport Authority, qualifies for and is in need of grant assistance to support an initiative aimed at increasing passenger traffic. This initiative is designed to make FWA more competitive to other area airports, by offering incentives that will reduce passenger related costs to the airlines currently providing service at Fort Wayne International and will help to reduce "leakage" to other airports in the region.

There are six competing airports within a 125 mile distance from Fort Wayne. Of these airports five enjoy some level of service from a low cost carrier, but the most significant beneficiary of the current traffic diversion is Indianapolis, due mainly to the lower fares and non stop flights that are offered, which forces residents of our community to drive four hours for affordable air fares.

The success of this program will depend to a large degree on marketing the airport to the true local area passenger, and is the basis for Fort Wayne International's request.

By: Torrance Richardson


April 7, 2006

Request of Fort Wayne, Indiana for Confidential Treatment

Please treat the enclosed information relating to a Grant Request by the Fort Wayne-Allen County Airport Authority as CONFIDENTIAL.

By: Torrance Richardson

April 7, 2006

Proposal of the Gary/Chicago International Airport Authority - Gary, Indiana - Bookmarked

Aside from the pressing need for air service that provides access for Northwest Indiana, the location, facilities, and ground access at Gary/Chicago represent an immediate capacity solution that is fully compatible with any future region-wide airport capacity plans.

Therefore, the Airport Authority and the City of Gary are requesting a grant in the amount of $600,000 that will be combined with a local cash contribution of $400,000. The total of $1.0 million dollars will be used to establish and incubate Delta Air Lines service to its global hub at Atlanta.

By: Paul Karas



April 3, 2006

Proposal of the Southeast Iowa Regional Airport - Burlington, Iowa - Bookmarked

The Southeast Iowa Regional Airport proposes to use Small Community Air Service development funds to enhance the current Essential Air Service funding received to subsidize commercial air service at BRL. The SCAS funds will be used to complete the following activities: update a regional market study; increase regional marketing and advertising for commercial flight opportunities; and implement a passenger incentive program that will direct fare incentives at passengers, not airlines.

The passenger incentive program will provide direct discounts off fares that initiate to/from BRL for annual first time customers and repeat customers. While it is important to incent repeat customers, it is also important to recapture customers no longer using BRL.

By: Sharon Leeper


EAS at Burlington: OST-2000-8325, OST-2001-8731

April 6, 2006

Proposal of The City of Cedar Rapids, Iowa - Bookmarked

The Eastern Iowa Airport finds itself under-served and overpriced to South and Southeastern markets. With an airport catchment area of almost 430,000, air service to the South and Southeast is essential. The goals of this project are to improve air service to a broad section of the Cedar Rapids' community traveling to the South and Southeastern United States, reduce the need to drive to alternate airports to access acceptable air service and competitive fares to these markets, and provide better overall access to the national air transportation system. To involve our community in this important initiative, The Cedar Rapids Airport Commission, the Cedar Rapids Area Chamber of Commerce, and Gazette Communications have formed a public‑private partnership in support of this application.

This initiative is a top priority of the Cedar Rapids community, and it is one that can be realized. Both Trans States Airlines and Delta Air Lines have partnered with us on this effort and support the program detailed in the attached application.

By: Dann Mann, d.mann@eiairport.org


April 5, 2006

Proposal of the Dubuque Regional Airport - Dubuque, Iowa - Bookmarked

In reviewing the enclosed application you will note the Dubuque Regional Airport has lost two airlines within recent years, United Express to Chicago O’Hare and Northwest Airlink to Minneapolis. This has left the tri-state region with a serious lack of air connectivity to several regions of the United States, as well as international travel.

Our community has devised a plan to strengthen our air service. Our goal is to expand service through an additional hub while maintaining the air service we have with American Eagle Airlines at Chicago O’Hare.

A one-hub destination does not provide the business traveler with options if the carrier cancels due to mechanical, weather or other reasons. This creates reluctance from business traveler, which relies heavily on, on-time business meetings. In essence, missing a business meeting is not good business. With the departure of Northwest Airlink, the community is limited to the west coast and Pacific Rim destinations and connections. Even though you can fly virtually anywhere on American’s system, the Chicago hub is primarily an east coast destination and a European connection. In short, to satisfy the business traveler, they need options; in today’s reality the best solution to our air service challenges is to have additional hub access.

By: Teri Goodmann


EAS at Dubuque: OST-2001-10130, OST-2001-10170, OST-2003-14517


April 6, 2006

Proposal of the Southwest Kansas Regional Air Service Consortium - Dodge City, Garden City and Liberal, Kansas - Bookmarked

The Consortium was created because all three communities recognize the vital nature of preserving their existing air service and working to improve its viability. The communities have banded together to analyze their common air service needs and deficiencies and formulate strategies to address them. In this regard, this application is intended to achieve intra-relational goals for Southwest Kansas. It is not, as the Department has cautioned, simply three separate applications bundled together.

Based on this key finding of massive local traffic demand leakage, the Consortium sees a significant need to develop and deploy an extensive air service marketing and promotion program. The focus of this program will be to re-introduce current local air service to Southwest Kansas residents and businesses. The program will be aggressive, multi layered, and of an extended duration.

The Consortium and its community members are requesting $150,000 for a two-year period for the purpose of developing and implementing an aggressive and extended program of marketing and promotion of the air services at the three Southwest Kansas Airports. Each of the three Consortium members will contribute $15,000 in matching cash, for a total community match of $45,000 and a total Grant funding of $195,000.

By: George Speake


EAS at Dodge City: OST-1996-1898, OST-1998-3502
EAS at Garden City: OST-1996-1953, OST-1998-3503
EAS at Liberal: OST-1998-3498

April 6, 2006

Proposal of the City of Wichita, Kansas - Bookmarked

As a vital component of Wichita’s efforts to maintain its economic viability, nonstop air service to the West Coast and the Pacific Northwestern United States is critical. This type of affordable and competitive service to this key business region is currently lacking and as a result, Wichita and South Central Kansas have a distinct competitive and economic disadvantage.

The proposal seeks to improve air service to and from the Wichita and South Central Kansas region by requesting marketing assistance, and start-up cost relief for three daily regional jet flights to new destination hubs in the western United States served by Alaska Airlines/Horizon, US Airways, United Airlines, Delta Air Lines, Frontier, JetBlue, Midwest Airlines, and Allegiant Airlines.

By: Victor White



April 7, 2006

Proposal of the Big Sandy Area Development District - Kentucky - Bookmarked

Please accept the attached proposal from the Big Sandy Area Development District on behalf of a consortium of communities in the Big Sandy Region, including communities in the counties of Floyd, Pike, Johnson, Martin, and Magoffin for funds to conduct a feasibility study under the Small Community Air Service Development Program. The Big Sandy Area Development District requests funds in the amount of $90,000 for a study to determine if air service may be economically feasible for the region at the Big Sandy Regional Airport. The Big Sandy Area Development District, a quasi-governmental agency and a private partner, will offer support in the amount of $10,000. The total project is estimated to cost $100,000.

By: Sandy Runyon



April 6, 2006

Proposal of the Monroe Regional Airport - Monroe, Louisiana - Bookmarked

Delta closed its Dallas/Ft. Worth hub in January 2005, ending decades of service between Monroe and the Dallas/Fort Worth Metroplex. More damaging was the loss of the connectivity the Delta hub offered to points in the Western United States.

The Community has been in contact with American/American Eagle, which has expressed interest in implementing service to the AA hub at DFW. The Airport would note that the Monroe-DFW market is one that is proven, and that the Community will support the service. However, to recruit the new service in the current airline environment, some level of incentives will be necessary.

American has made it clear that it seeks some level of risk-offset to enter the Monroe market. Further, they have strongly indicated that they prefer this to be in the form of addressing the costs of opening a new station, instead of revenue guarantees. This is certainly understandable, in that the MLU-DFW market is one that has been proven to be economic, and the main risk to American would be the out-of-pocket costs for establishing a station.

By: Monroe Regional Airport, Cleve Norrell


EAS at Monroe: OST-2005-20454

April 7, 2006

Re: Monroe Regional Airport - Monroe, LA - Correted Copies of Appendix B

Enclosed please find three corrected copies of APPENDIX B. An error was made on the total cost of project line, the decimal was misplaced causing it to read $4000,000,00 instead of $400,000.00. I would appreciate very much if you would replace the sheet with the error with the enclosed corrected copies. Thank you so much for your help.

By: Cleve Norrell

April 5, 2005

Proposal of the Shreveport Airport Authority - Shreveport, Louisiana - Bookmarked

The Shreveport Airport Authority has been honored in working with the Department of Transportation since 2002 in the Small Community Air Service Development Program. The Department's assistance in 2003 and 2004 was instrumental in the highly successful start-up service of Northwest Airlines Regional Jets from Shreveport to Detroit, and more recently, the upgrade of Northwest Airlines service to Memphis.

However, changes that have continued to plaque the airline industry since 2001 have significantly affected the region served by Shreveport Regional Airport. Reductions in service in 2004 by U.S. Airways and again in 2005 by Delta Air Lines have created the need for additional flights and connections to cities in the Southeastern United States.

The Shreveport Airport Authority's goal is to receive Department of Transportation funding through the Small Community Air Service Grant program. These funds will be used primarily to attract new service to Orlando Sanford Airport on Allegiant Air.

By: Roy Miller



April 7, 2006

Proposal of the City of Augusta State Airport - Augusta, Maine - Bookmarked

The City envisions embarking upon an aggressive marketing campaign and making the facility a central part of its development efforts. It is quite clear that without a stable connection to the rest of the world, Augusta as a location for business expansion and relocation will simply not be a consideration.

There is one primary goal of the Augusta State Airport; to increase the amount of travelers utilizing the existing scheduled air service. However, there are perhaps several smaller goals, that if met, will lead to the accomplishment of the primary goal of this project.

These goals are as follows:

  1. To My identify the existing scheduled air service traveler and what decision points they consider when choosing where they fly out of.
  2. Educate existing and potential customers on the ‘true cost’ of accessing low cost carriers located at regional hubs.
  3. Educate travel agents in the catchment area as to the ‘true cost’ of utilizing Augusta’s scheduled air service provider.
  4. Emphasize Augusta State Airport as a partner for ‘destination’ locations within the region.

The City of Augusta is requesting $100,000 from the Small Community Air Service Development Program to implement this proposal.

By: City of Augusta



April 6, 2006

Proposal of the Nantucket Memorial Airport - Nantucket, Massachusetts - Bookmarked

Nantucket Memorial Airport is pleased to submit this proposal on behalf of the Town and Island of Nantucket, Massachusetts to obtain $225,000 under the Small Community Air Service Development Program. The federal grant would be matched by an aggregate contribution of $25,000 from the Nantucket Memorial Airport. The funds would be used to implement an Air Service Evaluation Study to determine the feasibility of establishing a year round higher capacity aircraft service on the Nantucket - Boston and the Nantucket - Providence routes now served by nine-seat Cessna 402 aircraft.

By: Alfred Peterson



April 4, 2006

Application of Bishop International Airport, Flint, Michigan - Bookmarked

The Airport and the community are requesting a grant in the mount of $400,000 to be applied to a carefully-designed program that combines risk-offsets and an aggressive marketing support program to assure success in the new nonstop market.

The Airport is targeting Delta Air Lines as the primary service provider. This carrier system has indicated a strategy to increase feed into its New York/JFK hub. The primary objective of this grant - nonstop service to New York - will be met by this service. However, on a corollary level, the increasing global nature of the business base in the region service area will benefit from the international connectivity that the Delta/JFK hub offers.

The Continental Airlines hub at Newark/Liberty International also offers similar benefits, and should negotiations with Delta not be productive, the Airport will approach this carrier.

By: FNT, Jim Rice, 810-235-6560, jrice@bishopairport.org


April 6, 2006

Proposal of the Cherry Capital Airport - Traverse City, Michigan - Bookmarked

Traverse City suffers from lack of consistent year-round air service. While summer-seasonal air service has historically been strong, the levels of off summer service have not kept pace with the growing fall, winter, and spring air travel demand in the region.

The intent of this grant application is to attract permanent, year-round jet service to the Delta Air Lines hub at Cincinnati/Northern Kentucky International Airport. This new service will help stabilize the market’s current off summer air service and meet growing air travel demand during that period. This is essential to the continued growth of Traverse City’s year round business and leisure economy, which is developing to supplement the region’s traditional summer tourism industry.

By: Cherry Capital Airport, Stephen Cassens


April 5, 2006

Proposal of Gogebic/Iron County Airport - Ironwood, Michigan - Bookmarked | Word

The Gogebic/Iron County Airport Board is submitting this proposal to the Small Community Air Service Development Program in order to offer the incumbent carrier (Midwest Connect) a financial incentive to add an additional direct flight to Milwaukee daily.

Midwest Connect provides only two inbound/outbound flights Monday through Saturday and Sunday only one inbound/outbound flight to the Gogebic/Iron County Airport. Currently all flights are direct to Milwaukee, they make a brief stop in Rhinelander, Wisconsin, where additional passengers are boarded. With this additional leg added to Ironwood's flight, there is direct competition for all available seats traveling to Milwaukee. This restricts our traveling public to the availability of all fares on this flight.

We believe that if the passenger enplanements do not increase significantly at the Gogebic/Iron County Airport, we are in danger of losing our essential air service, which could possibly lead to discontinuation of commercial airline service. This, in turn, would affect our airport funding to continue updating and maintaining the facilities. The rippling effect of this loss could have an extremely damaging effect on local businesses that rely on the airport’s ability to provide dependable year-round access to the nation’s air transportation network.

By: Gogebic/Iron County Airport, Duane DuRay

OST-1996-1266 - EAS at Ironwood
OST-1997-3153 - EAS at Ironwood



April 5, 2005

Proposal of the Duluth International Airport - Duluth, Minnesota - Bookmarked

While Duluth is just two years removed from receiving a $1 million grant that reintroduced Chicago O’Hare service via American Eagle, it should be noted that American left Duluth with revenue guarantee funds still available and at a time when load factors had exceeded expectations and profitability had been achieved. American’s decision to pull service to Duluth occurred in part as a result of a negotiation between FAA and United and American to voluntarily remove some flights at O’Hare to reduce congestion. The grant, however, has been used to bolster advertising for the airport in the region and the new service provided by Allegiant Airlines, which has been supported by the community. Another result of the grant was the decision by Northwest Airlines to institute service to Detroit, which is still in service today.

Chicago O’Hare service has been and continues to be the key for competitive service in Duluth. A pattern of three daily flights to Chicago, well-timed for maximum connections and availability of international markets will best serve the community. Duluth is convinced that United’s success versus Northwest in other regional markets (i.e. Fargo, Sioux Falls) will provide more success for United in Duluth than even that experienced by American.

Duluth International Airport has proposed new non-stop service to Chicago O’Hare and Denver on United Airlines (dba United Express). The Duluth-Superior area and all of northeastern Minnesota and northern Wisconsin lacks competitive service. New flights on United Express would provide competition to Duluth’s single network carrier – Northwest Airlines - in numerous domestic and international city-pairs. The effect would be competition, bringing fares down and increasing enplanements.

By: Brian Ryks


April 7, 2006

Proposal of the Chisholm-Hibbing Airport - Ely, Minnesota - Bookmarked

Since 2003, Chisholm-Hibbing Enplanement numbers show a rising trend. This trend can also be reflected in the number of tourists visiting Ely, Minnesota. Listed as one of the top 50 tourist destinations by the National Geographic Society and Midwest Living magazine calls Ely one of the “15 Best Wilderness Getaways,” Ely is a prime tourist attraction in northern Minnesota.

However, after September 11, 2001, air travel ceased to Ely and air travelers were forced to drive from Minneapolis, Duluth or Hibbing airports. Adding a shuttle service from the Chisholm-Hibbing Airport would increase tourism to Ely and, in turn, increase enplanement numbers and revenues for the Chisholm-Hibbing Airport.

Our proposal asks for your support and to underwrite the launch of a daily passenger shuttle between the Chisholm-Hibbing Airport and Ely, Minnesota.

By: Dave Danielson



April 4, 2006

Application of Jackson-Evers International Airport, Mississippi - Bookmarked

Jackson Municipal Airport Authority requests a grant to support and incubate nonstop service to the New York Metro area, which is the most pressing air service deficiency facing not only Jackson, but also the State of Mississippi. Continental Airlines has expressed interest in pursuing this market, should a risk-offsetting mechanism be made available.

Furthermore, other than Delaware, Mississippi is the only state east of the Mississippi River that has absolutely no nonstop flights to the New York Metro area. Virtually all other emerging industrial centers in the South - such as Montgomery, Greenville-Spartanburg, Charleston, and Greensboro, have the advantage of significant nonstop service to New York. This puts Jackson at a competitive disadvantage, one which the grant requested herein will address.

By: Jackson Municipal Airport Authority



April 6, 2006

Proposal of the City of Columbia, Missouri - Bookmarked

Central Missouri is an underserved and overpriced market with serious air service deficiencies. In recent years, air service has been cut in half. With the announcement by Trans States Airlines that they are eliminating service to Columbia Regional Airport, the area is at risk of losing all commercial air service. As it is, the current level of air service at Columbia Regional Airport does not satisfy area needs. An estimated 87 percent of air travelers are already using Lambert-St. Louis International Airport or Kansas City International Airport to access the national air transportation system. Compared to other similar sized communities, Central Missouri is vastly underserved with service by only one air carrier to one nonstop destination. The lack of competition in the market led to higher than average airfares contributing to the high diversion of air travelers. Central Missouri must achieve service in size and range appropriate aircraft to at least one major airline hub in order to mitigate their air service issues.

The situation with Trans States Airlines has placed air service to Central Missouri in jeopardy. These communities are at risk of losing existing valuable air service. The City of Columbia representing the Central Missouri communities proposes to provide incentives to an airline via the Action Plan to secure service to a major hub.

By: Columbia Regional Airport, Kathy Frerking


EAS at Columbia: OST-2006-23931

April 6, 2006

Proposal of the City of Kirksville, Missouri - Bookmarked

The goal is to increase ridership via a third Kirksville-STL round trip to the American Airlines hub at St. Louis Lambert International Airport. This effort will be supported by a focused marketing and advertising program. This proposed additional round trip would be in addition to, and supportive of, the existing EAS service now provided to St. Louis by Regions Air. We believe that this grant will result in a pattern of service that will give the community better access to the national air transportation system, and measurably increase ridership on what would be three daily departures. In this proposal, The City of Kirksville and The Kirksville Regional Airport are requesting $350,000 in grant funds. The City will contribute $50,000 in local funds for total cash funding of $400,000. In addition, we will assemble a significant package of in-kind contributions, primarily to support advertising and marketing efforts.

By: Steven Bell


EAS at Kirksville: OST-1997-2515


April 3, 2006

Proposal of the Glacier Park International Airport - Kalispell, Montana - Bookmarked

Origin-destination traffic continues to set records in both the traditional peak summer season (July through September) and in the traditional shoulder season as well (October through June). In addition, the records transcend both domestic and international passengers also, as both categories are at all-time highs. However, because of the traditional seasonality of the area’s market, carriers have not been able to effectively service either season, keeping the number of available seats lower than demand would warrant with the goal of “smoothing” the seasonality. This is not entirely the fault of the airlines, as it is difficult to adequately serve markets with large seasonal peaks as in Kalispell. However, it leads to the situation presently encountered at Glacier Park International Airport in that only one airline, Delta Air Lines, provides year round non-stop service to a hub airport. Both Northwest Airlines and Horizon Airlines serve the market on a one-stop basis through the non-peak season, while America West (US Airways) serves the market only during the summer. That being said, the community is confident that Glacier Park International Airport can be a profitable market for United Airlines year round.

The seasonal demands for air service in the Flathead Valley make the prospect of adequate air service through all seasons difficult, leading some airlines to argue that the market cannot be profitably served year round. That risk matrix is why Glacier Park International Airport is requesting this grant. With financial support in hand and by timing the market entry correctly and with the right product / fleet mix for the season, Glacier Park International Airport is confident that United Airlines will be successful in the long term.

By: Michael Daigle



March 30, 2006

Western Nebraska Regional Airport Proposal - Bookmarked

Western Nebraska Regional Airport is committed to serving the flying public. Realizing the mission in providing cost-effective products is difficult, if not impossible, without grant money to market the airport in the proper manner. Challenges that WNRA face are a lack of funds to aggressively market the airport to reduce the high cost of air fares and improve negative perception of the public.

One carrier services Western Nebraska Regional Airport, Great Lakes Aviation with flights to and from Denver, Colorado. Although Western Nebraska Regional Airport is located in the panhandle of Nebraska which is considered the hub of the Panhandle, it is still 3 hours or more from Denver International Airport. Potential passengers are willing to drive these distances to pay lower fares. According to Clarus Corporation data, 42.1 % of those surveyed who were unlikely/very unlikely to fly from WNRA quoted cost of fares too high as rationale to drive the distance to Denver and fly out from Denver International Airport rather than originate flights from WNRA. Using 2005 boarding numbers, that translates into a loss of 4,234 potential passengers. Enplanements for 2005 exceeded the 10,000 mark to ensure Federal funding.

By: Scotts Bluff County

Scottsbluff Essential Air Service: OST-1997-2955, OST-2003-14535


New Mexico

April 6, 2006

Proposal of the City of Gallup, New Mexico - Bookmarked

While Gallup is a stable community with a potential air service market of approximately 100,000, it has a unique set of transportation challenges that include rural isolation and dependence on inbound visitors for basic services. These challenges represent an obstacle to economic growth and development in Gallup, and underscore a need for connectivity with the national air transportation system.

Gallup previously was provided scheduled service under the Essential Air Service program, but the City lost its eligibility when the "hub" was switched from Phoenix to Albuquerque and passenger volumes declined to point where the per-passenger subsidy exceeded $200. The City believes that Albuquerque service did not meet the market-based needs of the Gallup region, including a lack of local traffic demand and beyond connectivity.

Conversely, the City believes that reestablishment of nonstop service to Phoenix will be met with widespread community support and patronage, and that through the allocation of funds as outlined in this proposal air service in the Gallup market can be reinvigorated to the point of sustained viability.

By: George Kozeliski


EAS at Gallup: OST-1998-4706

April 7, 2006

Proposal of the Southeast New Mexico Air Service Coalition - Roswell, New Mexico - Bookmarked

The current air service into ROW is not sufficient to meet the needs of the regional communities. It is time consuming, lacks connectivity to other airlines, and has no transfer of checked luggage. The high price of airfares puts Southeast New Mexico at an economic disadvantage compared with other parts of New Mexico and the surrounding states. This proposal is to expand air service from ROW to Dallas and Houston, TX. This new air program will allow Southeast New Mexico to improve the economic climate so desperately needed for current and future business activity in the region.

The Coalition plans to use Federal, State, and Local funds to encourage new service between Roswell and major hub cities through a minimum revenue guarantee contract with an airline willing to provide the service. A minimum revenue guarantee, along with a sophisticated and targeted locally funded marketing plan, will be necessary to entice a carrier to enter this market. The guarantee and local marketing of the program will reduce the risk to the carrier during the startup phase of the service.

By: Bob Donnell


New York

April 6, 2006

Proposal of the Greater Binghamton Airport - Binghamton, New York - Bookmarked

The Airport and its Partners respectfully request a grant in the amount of $200,000 to implement a comprehensive market awareness program within the primary service area of the Airport. The community will provide local matching funds of $100,000, for total program funding of $300,000.

The goals of this program are:

  • Increase the awareness of available air service and fares at BGM within the airport's core catchment area; and
  • Reduce traffic leakage to neighboring airports (primarily Syracuse and Albany, and to a lesser degree Wilkes-Barre/Scranton) by highlighting the conveniences associated with travel to/from BGM.

By: Carl Beardsley


EAS at Binghamton: OST-2001-10102

April 4, 2006

Proposal of the Jamestown-Chautauqua County Airport - Jamestown, New York - Bookmarked

The County of Chautauqua, New York is pleased to submit this proposal to receive assistance in developing airline service in our region. Our proposal requestsfinancial assistance of $150,000 to market new airline service between Jamestown-Chautauqua County Airport and Cleveland-Hopkins International.

The overall project goal for Jamestown is to increase airline passenger enplanements at Jamestown-Chautauqua County Airport by promoting awareness of the new airline service that has been designated for our region. This includes stemming the current passenger leakage to Buffalo and Erie, PA. A side benefit of this goal is the retention of Primary Airport status and associated entitlement funding.

Sometime in July or August, Jamestown will be served by a new airline (RegionsAir) traveling to a new hub (Cleveland) with a new carrier (Continental). It is believed that service to Cleveland will increase the passenger usage of the Jamestown-Chautauqua County Airport, if enough local travelers are familiar with the proposed service. In this regard, we believe that it is essential to develop a marketing program to introduce this new service to our flying public.

By: George Spanos


EAS at Jamestown: OST-2003-14950

North Carolina

April 7, 2006

Proposal of North Carolina Department of Transportation on Behalf of 11 North Carolina Non-Hub Airports - Bookmarked

This grant application Consortium consists of Andrews-Murphy, Rutherford and Wilkes in the Mountains, Currituck, Dare, Edenton and Elizabeth City in the Northeast/Outer Banks area, Brunswick County on the Southeast coast, and Rocky Mount-Wilson, Duplin County and Sampson County in the Eastern Plains area of the state. These airports and communities recognize that, in today’s economy and business environment, in order for them to compete for new business and be attractive to companies and industries looking to relocate, they need better access to air service. None of these airports were classified as larger than a small hub in 1997, and none currently have any scheduled air service at the airport.

The importance of Aviation on North Carolina’s economy is considerable, and will continue to grow. In this day of instant communications, high technology and efficient transfer of electronic information, face-to-face meetings are still important when it comes to the final deal making. Airports play a pivotal role in attracting the companies that are looking for the quality of life your communities provide. By enabling these communities to help develop this new on-demand air service, their airports, as they help stimulate the local economy, attract new business, and provide a link to anywhere the community’s residents want to go, will truly be their highway to the rest of the world.



North Dakota

April 6, 2006

Proposal of Grand Forks Regional Airport Authority - Grand Forks, North Dakota - Bookmarked

The goals of this project are to improve air service to a broad section of the community, reduce the need to drive to Hector Field (Fargo, ND) and Minneapolis-St. Paul International Airport to access acceptable air service, and provide better overall access to the national air transportation system.

The unique plan proposed in this grant application incorporates reduced airline station costs and a marketing program combined as a comprehensive incentive package to reduce airline risk. This program will aid in attracting needed air service to Grand Forks. Over the long term, the program establishes an efficient, low cost, station services operation that will provide savings to all airlines serving Grand Forks through economies of scale.

Grand Forks is an underserved market with one commercial air carrier that is currently in bankruptcy and seeking cost reductions. In the last year, Northwest Airlines has reduced the number of daily flights to Grand Forks from six to five and has adjusted flight schedules that are now less appealing to the traveling public. The net result of having only one commercial air service provider is high airfares, no alternative service options for air travelers, and the need for westbound air travelers to endure a circuitous routing to reach their destinations. In short, the market is underserved, the quality of air service is deteriorating, airfares are going up, and increasing numbers of the region’s catchment area population are traveling to competing airports to board flights. It is the classic small community air service “death spiral” situation.

By: Steve Johnson, sjohnson@gfkairport.com


April 7, 2006

Proposal of the Jamestown Municipal Airport Authority and Devils Lake Municipal Airport Authority - Jamestown and Devils Lake, North Dakota - Bookmarked

The Devils Lake Municipal Airport Authority and Jamestown Municipal Airport Authority together as a consortium are requesting a grant from the 2006 Small Community Air Service Development Program. The total amount of the project is $130,000 of which the consortium is requesting $100,000 from the Department of Transportation.

Our goal is to stimulate sustainable, increased passenger usage of Jamestown Regional Airport and Devils Lake Municipal Airport by changing local perceptions pertaining to inadequate air service and high ticket prices through marketing. We intend to do this by marketing the services provided by our EAS airline and by the airports using a public awareness campaign in North Dakota.

Jamestown and Devils Lake each feature two round-trip flights to Minneapolis daily, Monday thru Friday, with one round-trip flight on Saturday and one on Sunday, connecting anywhere in the world. Currently Jamestown and Devils Lake have no direct flights to Minneapolis.



EAS at Jamestown and Devils Lake: OST-1997-2647, OST-1997-2785, OST-1999-6184

April 6, 2006

Proposal of The City of Williston, North Dakota - Bookmarked

Our plan proposes to stimulate sustainable, increased passenger usage of Sloulin Field International Airport by changing local perceptions pertaining to poor facilities, inadequate air service and high ticket prices. We will accomplish our goal through the accomplishment of the following air service development objectives:

  • Increase available seats with the addition of a third flight
  • Increase demand by reducing airfare rates
  • Implement an aggressive marketing program to sustain our efforts
  • Demonstrate the improved services afforded by our new terminal building

We have already made great progress toward our goal. First, an air service study provided by North Dakota Aeronautics Commission has been completed and was used as the basis for the objectives we set. Second, negotiations have been completed with Great Lakes Airlines for the additional flight and reduced fares.

By: City of Williston


EAS at Williston: OST-1999-5177

April 13, 2006

Correction to Grant Proposal of Williston, North Dakota

I am writing on behalf of the City of Williston, ND to make a correction to the Small Community Air Service Development Grant Proposal. Please find three copies of the updated Income Statement for the City of Williston, ND with this letter. This Income Statement is to replace the item that is currently in Exhibit D. The Income Statement that is currently there reflects 2006 through February 28th. The Income Statement in this packet reflects all of 2005.

By: Georgiann Sailer, 701-355, 8704, georgiann.sailer@kljeng.com


April 7, 2006

Proposal of the Akron-Canton Airport - Akron-Canton, Ohio - Bookmarked

Changes in the structure of the airline industry are now making it increasingly difficult for communities to address demonstrative, measurable, and pressing air service deficiencies. Air carriers, some in bankruptcy, are revisiting their long term strategies and re-structuring their fleets. In some cases, they are reducing capacity and retiring significant numbers of airliners, particularly the smaller units of jet capacity.

CAKs plan to address this set of air service deficiencies is two-fold. One is to attract - and retain - additional airlines that operate strong, west-focused connecting hubs. The second is to recapture traffic now driving to Cleveland, in order to build future capacity on existing carriers. This would tend to cause Delta, Northwest, and United to add more seats through their respective connecting hubs. The Airport believes that the size and value of this leakage will be of interest to air carriers, but it will take a concerted effort to convince them.

The Airport was successful in accomplishing the first steps in attracting new carriers to serve the West. Specifically, CAK recruited Frontier to implement two daily mainline round-trip flights to its Denver hub. In the longer term, for example, the Airport fully intends to be successful in gaining US Airways nonstops to that carrier’s Phoenix hub, as well as upgraded capacity on other airlines. However, to accomplish this, CAK must in the meantime implement programs to recapture westbound leakage now using Cleveland.

The Frontier service - which also represents CAK's only nonstop fights to Denver - is important to the region, and the community understands the need to assure this carrier’s success. Indeed, the Frontier service is a harbinger for additional westbound air service access, and its success is critical assuring that CAK’s future air service marketing efforts continue to bear fruit in recruiting new and additional west-oriented air service.

By: Fred Krum


EAS at Akron-Canton: OST-1999-6307

April 6, 2006

Proposal of the Toledo Express Airport - Toledo, Ohio - Bookmarked

As the major air gateway for a globally-focused industrial region of the nation, lack of convenient, cost-effective access to the commercial centers in the New York/New Jersey metropolitan region is a major air service deficiency.

This grant, combined with the resources of the Toledo community, is the key to attracting and retaining viable, profitable air service to the New York/New Jersey metro area. The Authority believes that it offers a strong economic case to the target airlines, and with the support of this grant will be successful in providing the consumers of Northwest Ohio and Southeast Michigan an alternative to the long drive to Detroit Metropolitan Airport.

By: Paul Toth



April 6, 2006

Proposal of The City of Klamath Falls, Oregon - Bookmarked

This is a unique application. It uses a single solution to address the air service issues of two under-served Oregon communities, Klamath Falls and North Bend‑Coos Bay. It ties two communities together in a‑manner that addresses their respective air service needs and, at the same time, provides an efficient and effective tandem operation for the air carrier. The proposed air service maximizes the utility of the aircraft, provides an integrated schedule that can be used directionally, and proves service to two communities with similar‑air service needs and deficiencies. Nine Klamath Falls and North Bend‑Coos Bay entities have formed a public‑private partnership for the purpose of accomplishing the project goal of improving air service to a broad section of the community, mitigating the need to drive long distances to access acceptable air service, arid provide better access to the national air transportation system.

SkyWest Airlines has partnered with us on this effort and supports the program detailed in the attached application.

By: Ann Crook, director@klamathfallsairport.com


EAS at Klamath Falls: OST-1997-2980

April 6, 2006

City of Klamath Falls, OR Motion for Confidential Treatment

The City of Klamath Falls, OR believes it is critical that confidential treatment, as requested herein, be accorded to this proposed air service information. The data that the City of Klamath Falls, OR seeks to protect contains valuable information about service that would impact businesses and travelers from throughout the community.

As the Department has recognized, the airline industry is extremely competitive, and potential marketing information concerning possible new markets and/or service is particularly sensitive. If released, this marketing information could provide valuable information about service that could offer competition to an existing carrier at a specific airport or one in a nearby market. Information as to potential new carriers and markets served at an airport could allow competitors to take steps to prevent the new service. Without the requirement to provide this information to the Department of Transportation to obtain program funding, the City of Klamath Falls, OR would not publicly disclose this information.

By: Ann Crook, director@klamathfallsairport.com

March 30, 2006

Proposal of the Newport Municipal & Astoria Regional Airports - Newport, Oregon - Bookmarked

The following proposal by the consortium of The Newport Airport, The Astoria Regional Airport and Cape Air Airlines accomplishes many goals. It brings much needed scheduled service to Astoria and Newport. It is structured so that Cape Air Airlines can offer affordable fares in order to stimulate demand and to offer more affordable fares benefiting all area travelers.

Although no scheduled airline service is currently available in the Oregon communities of Newport and Astoria, both communities have been persistently working to entice a reputable airline into resuming scheduled service to the Portland International Airport in order to provide access to the national air transportation system.

Also of interest, and important to note is that that as a result of Cape Air's interest in operating in Oregon, Big Sky Airlines has begun to demonstrate a higher level of interest in resuming operations at these two facilities.

The need for air service in Newport and Astoria is understandable. The geographical constraints of the coastal range requires the citizens of these communities as well as the citizens of northwestern Oregon to travel in an automobile on a two lane state highway that requires more than 2 1/2 hours of driving time in order to access the national air transportation system in Portland, Oregon. This barrier to the national air transportation system clearly has a negative social and economic impact on the citizens and business owners in the communities of Newport and Astoria.

By: Dennis Reno and Ron Larsen



April 7, 2006

Proposal of the Lehigh Valley International Airport - Allentown, Pennsylvania - Bookmarked

The LNAA requests a $1,000,000 grant under the terms of The Small Community Air Service Development Program to secure new competitive air service. While the Lehigh Valley region needs and can support service to numerous destinations, the primary goal of this program includes additional or new service to Denver, Houston, Dallas, Minneapolis, St. Petersburg, Florida, Ft. Myers and Ft. Lauderdale. Based on our current understanding of our community’s air service needs and the current competitive state of airlines and their air service priorities, these destinations have been targeted for increased service.

The $1,000,000 grant request will be utilized to cover the new airline’s station start-up costs. In addition to supporting the new service with marketing funds in the first year of service, a continuing marketing support strategy, for the second year of the service will be funded by LNAA.

By: George Doughty


April 5, 2006

Proposal of the DuBois-Jefferson County Airport - DuBois, Pennsylvania - Bookmarked

The DuBois-Jefferson County Airport is served by a single carrier, US Airways Express, to a single hub - Pittsburgh International Airport. The DuBois-Jefferson County Airport is, and has been historically, served by small turboprop commercial aircraft. The Airport is currently served exclusively by Beechcraft 1900D turboprop aircraft. US Airways currently serves DuBois with 18 weekly roundtrips to Pittsburgh with an increase in the number to 25 scheduled for May of 2006. Connecting flights are available to numerous destinations from Pittsburgh through the Star Alliance of which US Airways is a member.

The DuBois-Jefferson County Airport needs help to stabilize and increase the number of passengers using the Airport's service to insure the long-term success of the not only Airport but also the surrounding region. Increasing the number of passengers would lead to an increase in service which addresses our main problem, the inadequate air service that is currently provided to the region.

As noted previously, the loss of businesses and company headquarters in the area correlates directly with the loss of service at the DuBois-Jefferson County Airport. More businesses that would use the Airport on a regular basis are needed in the area. This increase in business traffic would lead to an increase in the air service provided, as the airline would have to increase the service to meet the traveling public's needs. This would benefit all air travelers in the area, both the business and leisure traveler.

By: Robert Shaffer


EAS at DuBois: OST-2004-17617

April 6, 2006

Proposal of the Susquehanna Area Regional Airport Authority - Harrisburg, Pennsylvania - Bookmarked

In order to recapture traffic and begin to correct the competitive imbalance in the market area, Harrisburg needs fares that are competitive with those offered at both Philadelphia and Baltimore and expanded non stop service to key business destinations. While it is possible that an incumbent carrier such as US Airways would implement an aggressive pricing program once again at Harrisburg, it is more likely that a low cost carrier such as jetBlue or AirTran would provide the necessary increase in non stop service and consistently lower fares.

The fares and service these carriers could provide would have a twofold benefit to the Harrisburg market. On one hand, there would be a stimulatory effect in the marketplace, with the fares and service generating new passengers as well as recapturing passengers going to other airports. On the other, the presence of a low cost carrier would have a disciplining effect on fares charged by incumbent Harrisburg carriers. Note the decline in the average fare in Philadelphia with the increased presence of low cost carrier service in 2004 and 2005.

Harrisburg will work with the new entrant to minimize the start-up expenses it will incur. A series of attractive incentives have been identified, and will be put in place to keep the entry costs to a minimum. The funds from the small community service grant will be a key ingredient in funding these incentives.

By: Scott Miller


April 6, 2006

Proposal of the Altoona-Blair County Airport - Martinsburg, Pennsylvania - Bookmarked

A single carrier, US Airways Express, operated by Colgan Air, to the Washington Dulles International and the Pittsburgh International Airports, serves the Altoona-Blair County Airport. The Altoona-Blair County Airport is, and has been historically, served by small turboprop commercial aircraft. The Airport is currently served by Beechcraft 1900D turboprop aircraft to the Dulles International Airport and a Saab 340 to the Pittsburgh International Airport.

The greatest problem that the Altoona-Blair County Airport faces is passenger diversion. The statewide air passenger demand study completed by the Pennsylvania Bureau of Aviation in 2002 estimated that there are 110,000 annual commercial airline travelers who are associated with the Altoona-Blair County Airport's market. The actual number of passengers has declined despite the growing demand for airline travel in the area. The declining numbers are due to the diversion of passengers to more distant airports.

Passenger diversion to Baltimore-Washington International Airport has intensified with the low-fare services that are offered there. The Altoona-Blair County Airport also experiences diversion to University Park Airport in Pennsylvania, and even to Pittsburgh. All of these airports are located at varying distances from the Altoona-Blair County Airport, but all are attracting some portion of the demand that is associated with the counties making up the Airport's market area.

In the traveling public's mind, high fares and unreliable air service quickly became urban legends and now the Airport Authority is faced with the daunting task of convincing the traveling public to once again utilize the Altoona-Blair County Airport. The Airport needs help to stabilize and increase the number of passengers using the Airport's service to insure the long-term success of the Airport and the surrounding region.

By: Charles Pillar


April 7, 2006

Proposal of the Venango Regional Airport - Venango County, Pennsylvania - Bookmarked

The Venango Regional Airport hereby submits a proposal to the United States Department of Transportation to obtain grant funding for the sole purpose of communicating to our customer base the convenience and benefit of planning air travel from Franklin, Pennsylvania’s Venango Regional Airport. The air service provided by Air Midwest under the Essential Air Service subsidy is efficient and timely, although there are only two daily departures from the Franklin / Oil City Pennsylvania and the market area defined herein.

This area, once a major industrial force, has been the victim of corporate consolidation and relocation occurring during the past twelve years rendering severely negative impacts upon the economy as well as passenger enplanements. Economic recovery is now in its infancy and very fragile. Meaningful air service is critical to this effort. This grant funding is intended to increase passenger traffic to the point that subsequent negotiations with the Air Carrier could induce the modification of their flight schedule and reinstate early morning and late evening flights that are more beneficial to travelers.

By: Otho Bell


EAS at Oil City/Franklin: OST-1997-2523

April 7, 2006

Proposal of the Wilkes-Barre/Scranton International Airport - Wilkes-Barre/Scranton, Pennsylvania - Bookmarked

Air travelers using the Wilkes-Barre/Scranton International Airport pay among the highest fares of any similar sized airport in the country. AVP has aggressively recruited low cost airlines to enter its market for many years, but few carriers are willing to enter even AVP’s top O&D markets. This is in part because there are multiple airports served by low cost carriers that surround Wilkes-Barre/Scranton International Airport. As a result, AVP’s fares are not only high, but they are not competitive with the other airports. The lower fares at the surrounding airports are sufficient to lure passengers from Wilkes-Barre/Scranton International Airport to airports more than 100 miles away, but these airports are not close enough to genuinely offer convenient service.

The current trend is a continued increase in the AVP passenger market leaking to alternative airports and a serious imbalance in Pennsylvania’s airport system. With no air carriers operating in AVP’s top O&D markets, there is a significant gap between the demand for service and the level of service being provided. Past experience in these markets has proven they can be operated successfully and profitably, however, current carriers at AVP have chosen not to seek operating to those markets from AVP.

Three carriers - Allegiant Air, USA 3000, and CQ Air (a new start-up) - have expressed a keen interest in new low cost service at AVP.

By: Barry Centini


South Carolina

April 7, 2006

Proposal of The City of Myrtle Beach and Horry County - Myrtle Beach, South Carolina - Bookmarked

The Myrtle Beach Area Chamber of Commerce is the primary organization driving tourism in Horry County with a charge to fill 89,000 rooms. The room count has grown an average of 4.3% annually for the last 5 years, while visitation has remained essentially flat. Therefore, the average occupancy has declined.

As a family destination with a focus on the summer, it is not surprising that 95% of visitors arrive by car. The summer occupancy rates are quite high. However, the spring and fall shoulder seasons, which might be attractive to seniors and other adult groups, are lagging. Unlike families, these travelers have both the time and the financial ability to take more frequent and spontaneous vacations.

There is a pressing need now to build the visitors arriving by air in order to maintain the number of seats. 2005 growth in the number of seats resulted from Hooters Air and United Airlines adding flights from the Chicago area and Spirit Air adding a Washington, DC flight. However since then, Hooters Air cut its flights in the winter and announced there will be no more flights after April 2006. Spirit Air also cut their Washington, DC flight.

Since we don’t control the actions of the airlines, the destination has taken the initiative to build demand for airline seats over the last three years. With Small Community Air Service Development Grant funding of $500,000 and matching funds of $150,000, the plan is to increase advertising to build both the spring and fall shoulder season demand for flights.

By: Myrtle Beach


South Dakota

April 6, 2006

Proposal of the Sioux Falls Regional Airport - Sioux Falls, South Dakota - Bookmarked

Sioux Falls has some of the highest average airfares in the entire country, despite the newfound presence of America West and Allegiant Airlines. Traffic is dominated by two major airlines: Northwest, and United, with Delta, America West and Allegiant pulling minor shares of traffic. Both United and Northwest provide good connections to the eastern half of the United States through hubs in Minneapolis/St. Paul (Northwest) and Chicago (United). However, connections to the western part of the US, including all large West Coast destinations, are limited to flights through United’s Denver hub. Due to a lack of competition on these routes, fares are extremely high. These high fares have had the effect of deterring passengers from flying.

Officials at the Sioux Falls Regional Airport believe competition is needed from a “low-fare carrier” – initially one with service to the west. To support this growth program, the airport is requesting a one-time Federal Grant in the amount of $350,000. This will augment $35,000 in local cash, $35,717 in airport fee waivers and $44,895 in crew accommodation discounts.

Together this money, totaling $465,612, will be used to help recruit low-fare service to the Sioux Falls market. The airport has recruited Frontier Airlines to begin non-stop, low-fare service to its Denver hub. Airport management believe this new service could also have the effect of lowering fares on routes in the western US, and causing traffic to increase at the Sioux Falls Regional Airport.

By: Michael Marnach



April 5, 2006

Proposal of the Tri-Cities Airport Commission - Tri-Cities, Tennessee/Virginia - Bookmarked

Tri-Cities Regional Airport is a full-service commercial airport serving a 50-mile radius catchment area reaching into Tennessee, Virginia, Western North Carolina and parts of Kentucky. Airport staff has worked diligently to improve air service for the Tri-Cities region by focusing on gaining access to new hubs or nonstop service to popular destinations in its list of top 10 destinations. In 2005, the Airport had an excellent passenger year (up 13 percent) while benefiting from competitive fare initiatives. In the past three years, the Airport has been successful in adding Detroit service on Northwest Airlink and Orlando service on Delta Connection, and both have been enthusiastically accepted.

However, due to rising fuel prices, airline bankruptcies and restructurings, seating capacity has reduced by 15 percent since January 2005 and passenger numbers have declined 10 percent year-to-date 2006. In spite of previous gains, TRI currently has nonstop service to only four of its top 10 destinations.

This proposal outlines an air service development initiative to improve the region's access to the national air transportation system by adding service to a connecting hub or other highly desired destination. In addition, it is designed to assist the Airport's efforts to reinstate frequency and seating capacity lost in the past year due to airline bankruptcies, reorganizations and high fuel prices.



EAS at Tri-Cities: OST-2001-10679


April 7, 2006

Proposal of the Abilene Regional Airport - Abilene, Texas - Bookmarked | Word

Abilene’s high average fare and proximity to four Texas airports served by low-fare carriers – primarily Southwest Airlines, but also AirTran and Frontier Airlines - has resulted in passenger leakage of 62%, more than 110,000 passengers annually.

Stimulating new passenger demand for Abilene, and re-capturing those 110,000 passengers who drive to neighboring airports to take advantage of the industry’s unprecedented low fares, will be our strategic plan’s largest challenge.

Providing a cost-competitive airline operating environment through the removal of obstacles to market pricing for fuel, and the provision of cost-efficient and subsidized ground handling services.

However, if Abilene fares are competitive and we can offer nonstop service to a Western U.S. hub, we believe that regional residents will choose Abilene over larger airports. Larger airports cannot match the ease of accessing our small clean airport, our customer service, the short security screening lines, and the additional benefit of flying home to ABI and avoiding a four-hour drive home.

By: City of Abilene


EAS at Abilene: OST-2005-20454

April 6, 2006

Proposal of Gregg County, Texas - Bookmarked

Prior to September 11, 2001, East Texas Regional Airport had five flights daily to Dallas/Ft. Worth by American Eagle Airlines. Immediately following September 11, 2001, our service was decreased to four flights and within one month was decreased again to three fights daily. Naturally, boardings decreased during that time and although they have gradually increased, we have not been able to reach the pre-9/11 numbers due to the number of flights that are now offered. With only three flights per day offered, it is extremely difficult for passengers to make adequate connections in DFW without a lengthy layover.

The requested funding of $225,000.00 plus the $25,000.00 cash match/in-kind budgeted over three years will primarily target television advertising. These funds will purchase approximately 250 advertising spots during prime viewing hours.

By: Bill Stoudt


EAS at Longview: OST-1999-5632

April 6, 2006

Proposal of the City of Killeen, Texas - Bookmarked

The City of Killeen and our adjoining neighbor, Fort Hood, are highly dependent upon air travel. Fort Hood, the largest military installation in the free world, moves soldiers, civilian employees and family members through our airport to locations worldwide. The increase in passenger service through developing an aggressive marketing plan will have a positive impact on both civilian and military travel. With the help of this grant and our own local resources, we can strive to meet the growing need to provide more flights to more desired destinations.

Major Objectives:

  • Develop and activate a successful campaign that markets the Killeen-Fort Hood Regional Airport, improved quality air service and customer convenience for the next fiscal year.
  • Stop passenger leakage through a successful aggressive marketing campaign to publicize and market Killeen's quality air service at a better dollar value by flying locally rather than driving 150 miles to Dallas/Fort Worth or 80 miles to the Austin Airport.
  • Increase passenger market and customer satisfaction by soliciting the airline industry to continue to develop more direct flights to other hubs connecting to more requested and popular destinations.

By: Mayor Maureen Jouett


EAS at Killeen: OST-2005-20454

April 5, 2006

Proposal of Victoria Regional Airport - Victoria, Texas - Bookmarked

Current air service at Victoria is provided by Colgan Air, operating as Continental Connection, to Houston Bush Intercontinental Airport. This service is supported at a subsidy rate of $417.16 per arrival/departure. In September 2005, service at VCT was reduced from three roundtrips each weekday (with reductions on Saturday and Sunday) to two daily roundtrips, the minimal level established by the Department of Transportation under the EAS order.

While the current service may meet the letter of the EAS order, the lack of a third round trip to the Continental hub at IAH makes the existing flights difficult for the local community, as well as inbound travelers, to use. This pattern allows limited connectivity with the rest of the air transportation system, and therefore represents a situation where the existing EAS-supported flights have seen declining ridership. As a result, the majority of passengers generated in the airport‘s service area now use other airports, particularly Austin and San Antonio.

The Airport and its community partners have joined together to request grant funding to incubate and make possible a third round-trip Continental Connection flight to Houston Bush Intercontinental, with the specific aim of restoring an evening arrival and morning departure.

By: Victoria Airport, Larry Blackwell

OST-2003-14604 - EAS at Victoria



April 6, 2006

Proposal of the Ogden-Hinckley Airport - Ogden, Utah - Bookmarked

The Ogden-Hinckley Airport catchment area comprised approximately 28% of the total extended Salt Lake City metro market and that passenger bookings for the area exceeded 2,100 one-way bookings per day. The primary markets were the hub airports at Chicago, Dallas, Denver, Las Vegas, Los Angeles, Phoenix, and San Francisco. The Sabre passenger projection showed that all of these markets could support jet air service and that there were eight airlines that should be considered target airlines for air service at Ogden-Hinckley Airport.

Meetings have been held with six of the target airlines. Of these six, Allegiant Airlines has expressed a strong interest in providing nonstop air service between Ogden and Las Vegas with MD-83 aircraft.

The Ogden market is very similar to the other markets that are served by Allegiant in both population and economic data. Allegiant also serves secondary airports near major metro markets. The market characteristics of Ogden meet the requirements of Allegiant Air but the airline would like the community to provide the airline with an incentive package to reduce the risk of starting new air service at Ogden. The airline has stated that funds to offset initial operating losses and funds to pay for marketing and advertising will be a “good incentive program”. The airline is not interested in a travel bank.

It is time for Ogden-Hinckley Airport to become an integral part of the air transport system for the Salt Lake City metro area much in the same way as Orange County, Burbank, and Ontario have done so in the Los Angeles area.

By: Ed Rich



April 6, 2006

Proposal of the Lynchburg Regional Airport - Lynchburg, VA - Bookmarked

The intent of the grant is to develop new airline service between the Lynchburg Regional Airport and an airline with a multi-directional connecting hub, preferably United at Washington Dulles that would link Lynchburg with major business destinations located in the Midwest and Northeastern United States. The addition of a northern hub destination would fill an existing void created when United Express terminated service following the events of September 11, 2001 and US Airways discontinued Pittsburgh service in 2004, while providing more convenient air service to many domestic and international cities to the north. Advancement of this service is vital to the continued economic growth of Lynchburg and Virginia's South Central Region.

As it currently stands, passenger travel between Lynchburg and all major business centers located in the Midwest and Northeastern United States remain dependent on the US Airways hub at Charlotte and the Delta hub at Atlanta.

By: Mark Courtney


EAS at Lynchburg: OST-2001-10791, OST-2004-17013

April 7, 2006

Proposal of the Newport News/Williamsburg International Airport - Newport News/Williamsburg, Virginia - Bookmarked

Seeks a grant of $900,000 to fund air service development partnership programs at Newport News! Williamsburg International Airport that will secure new nonstop jet service to major business and leisure markets to meet the needs of our region's travelers. This program will offer (1) revenue guarantees, and (2) cooperative marketing assistance to targeted air carriers willing to provide new service at NNWIA. Our Public and Private Partners stand ready to provide a substantial local investment in support of this air service program

By: James Evans


EAS at Newport News: OST-2001-10749

April 5, 2006

Proposal of the Tri-Cities Airport Commission - Tri-Cities, Tennessee/Virginia - Bookmarked

Tri-Cities Regional Airport is a full-service commercial airport serving a 50-mile radius catchment area reaching into Tennessee, Virginia, Western North Carolina and parts of Kentucky. Airport staff has worked diligently to improve air service for the Tri-Cities region by focusing on gaining access to new hubs or nonstop service to popular destinations in its list of top 10 destinations. In 2005, the Airport had an excellent passenger year (up 13 percent) while benefiting from competitive fare initiatives. In the past three years, the Airport has been successful in adding Detroit service on Northwest Airlink and Orlando service on Delta Connection, and both have been enthusiastically accepted.

However, due to rising fuel prices, airline bankruptcies and restructurings, seating capacity has reduced by 15 percent since January 2005 and passenger numbers have declined 10 percent year-to-date 2006. In spite of previous gains, TRI currently has nonstop service to only four of its top 10 destinations.

This proposal outlines an air service development initiative to improve the region's access to the national air transportation system by adding service to a connecting hub or other highly desired destination. In addition, it is designed to assist the Airport's efforts to reinstate frequency and seating capacity lost in the past year due to airline bankruptcies, reorganizations and high fuel prices.



EAS at Tri-Cities: OST-2001-10679


April 7, 2006

Proposal of Bellingham International Airport - Port of Bellingham, Washington - Bookmarked

With our airport marketing campaign we hope to demonstrate to the airline industry that BLI is the place to be. We are wanting to expand passenger air service from Bellingham to new destinations other than SeaTac and Las Vegas. Some of the targeted destinations include Salt Lake City, Phoenix, Reno, Palm Springs, and San Francisco, which would provide connections for east coast destinations. Our market and catchment analysis studies show that Bellingham International Airport experiences leakage of at least 74% to SeaTac and Vancouver International Airports. Allegiant Air’s success in Bellingham validates these findings and can now be used to attract new service from Bellingham. We have targeted Horizon, Allegiant, Delta, Western, and United/SkyWest airlines to provide this new service and destinations from BLI.

We have been meeting with these airlines for the past two years to determine the necessary steps that are needed to add new service from Bellingham to new hub airports. New service could be up and running as early as summer 2006, but in no case will it take longer than two years from the date of accepting funds through the Small Community Air Service Development Pilot Program.

By: Port of Bellingham


West Virginia

April 4, 2006

Proposal of Yeager Airport - Charleston, West Virginia - Bookmarked

The lack of nonstop service to the New York metropolitan area represents a major air service deficiency for the economy of Central West Virginia. Companies often include the quality and quantity of air service in their evaluation of possible site locations, this deficiency threatens the continued economic vitality of the region.

Unlike other regions of the nation, however, geographical issues make accessing the Northeast from smaller markets such as Charleston a unique air service challenge. Cities such as Charleston have strong O&D traffic to New York, but very limited generation of traffic beyond New York to other points. Even with the connecting hubs that are operated by Continental at Newark, and Delta at JFK, the coastal locations of these facilities limits true beyond-NYC connectivity to a very few places in Upstate New York and in New England, none of which have any significant traffic generation from Charleston. Therefore, unlike other major cities served out of Charleston, such as Chicago, Houston, and Detroit, the New York service must be able to survive primarily on O&D traffic, without any significant "flow" revenues to help subsidize the costs of the nonstop CRW-NYC segment.

It is for this reason that proposals for CRW-NYC are less attractive to an airline than many other expansion options. It is for this reason that the community is requesting a grant. These funds will "level the playing field" for CRW.

By: Central West Virginia Regional Airport Authority, Richard Atkinson, 304-334-8033


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