COUNCIL HOPES TEXAS-BASED AIRLINE WILL EXPAND TO CAPE

City officials are hoping the U.S. Department of Transportation (DOT) will approve a proposal by a Texas-based airline to expand air service in Cape Girardeau to include flights to Memphis, Tenn.

Currently, Trans World Express airlines the city's sole commercial carrier provides service between Cape Girardeau and St. Louis.

But TWE's filing last fall for a DOT subsidy, opened the door for other airlines seeking to operate in Cape Girardeau with the federal subsidy.

The Airport Advisory Board has recommended the Cape Girardeau City Council ask the DOT to approve a proposal from Lone Star Airlines of Fort Worth, Texas that would provide air service to St. Louis and Memphis, via Jonesboro, Ark.

The council will consider the proposal when it meets tonight.

Public Works Director Doug Leslie said Sunday he's hopeful the DOT will approve the recommendation.

"Our feeling is that the best opportunity for the city is to have two destinations," he said. "We feel the DOT has listened to us.

"We've met with them in Washington and (Airport Manager Mark Seesing) has kept in close telephone contact, and they seem interested in hearing what's best for the city."

Leslie said there's no way to predict whether the DOT will approve Lone Star's request. But he said he thinks a good case can be made for the proposal.

Cape Girardeau qualifies for the DOT's Essential Air Service (EAS) program, which means an airline must service the airport. A federal subsidy is available for those airlines that struggle financially to maintain air service to EAS airports.

"The objective of the program is to provide a subsidy for three years so the airline can become self sufficient on those routes," Leslie said.

"We've already made the point to the DOT that two destination hubs is very important to getting us self-sufficient within three years."

Leslie said Jonesboro also is an EAS airport, which might weigh in Lone Star's favor. He said Jonesboro's airport now has air service to Memphis only.

"They're really in the same boat we are with St. Louis in the sense that they're too close to Memphis," Leslie said. "They could benefit from a link to St. Louis as we could with service to Memphis.

"We feel that might weigh in our favor to kind of counter-balance the additional cost."

In its application for the DOT subsidy, TWE proposed two air service options: current service continued with a subsidy of $206,248 or week day round trips increased from three to four with a subsidy of $345,546.

Lone Star proposed similar service to St. Louis with a subsidy of $484,622.

Leslie admitted that at $584,572, the Lone Star proposal recommended by the Airport Board seeks substantially more federal funding then either of TWE's options.

"Obviously, if they're looking at it from a purely cost standpoint, they're going to go with the current service," said Leslie. "But it's a situation where we're trying to propose what we feel meets the objectives of the program and what's best for Cape Girardeau."

Leslie said that if Lone Star were awarded the subsidy, it wouldn't necessarily mean TWE would pull out of Cape Girardeau.

In a letter to the city council Leslie said that TWE has improved its reliability in the past year. "It is hoped that this trend will continue and that both carriers could operate effectively if Lone Star is selected by the DOT for the EAS subsidy," he wrote.

Leslie said Sunday TWE boardings this year are quite a bit higher than at this time last year. He said he hopes the airport could support both airlines.

"We've had no indication from TWE one way or the other, but I hope with their increased boardings, if that trend continues, that they would want to continue service here," he said.