Proposals for commercial air service open Wednesday

Cape Girardeau Regional Airport manager Bruce Loy expects plenty of competition for subsidized commercial passenger service when proposals are opened Wednesday by the U.S. Department of Transportation.

Loy said Thursday he's been contacted by five or six airlines seeking information about the airport, which has seen passenger numbers dwindle from a high of almost 8,000 in 2006 to just 404 from Jan. 1 through July 31.

Those low passenger counts, just about two per day, have pushed the per-passenger subsidy rate up to the point that, by at least one calculation, Cape Girardeau is the sixth most expensive city for the taxpayer-supported Essential Air Service program.

The control tower and terminal building at Cape Girardeau Regional Airport in Cape Girardeau, Mo., is seen in this photo taken, Wednesday, March 25, 2009. (AP Photo/Jeff Roberson)

A recent Associated Press report had the cost per passenger pegged at $1,986, sixth-highest in the nation, and attributed the figure to the Senate Appropriations Committee. The U.S. Department of Transportation, which chooses the carriers for the more than 100 small cities in the Essential Air Service program, calculates the per-passenger subsidy at $1,315 for the 12 months ending May 31.

"Obviously this is well over the $200 limit," said Bill Mosley, a spokesman for the U.S. Department of Transportation. "We're monitoring the service and expect the community and carrier to work together to bring that figure down."

Several factors have combined to make Cape Girardeau's service an expensive proposition. In 2006, RegionsAir was the carrier, receiving $1.15 million to support passenger service that included four daily flights to St. Louis. RegionsAir was shut down by the Federal Aviation Administration and the city was without service for most of 2007 until Big Sky Airlines began flying in November of that year. But just a month later, Big Sky shut down as well, citing escalating losses due to high fuel prices.

Big Sky to Great Lakes

Great Lakes won an emergency contract in February 2008, promising three flights daily to St. Louis. But the airline didn't begin operations until May 2008 and has never provided more than two flights per day. Of 166 scheduled flights from May 1 to July 31, 23 were canceled because no passenger was scheduled to fly from or to St. Louis on that round trip.

The service disruptions made people use other means to reach major airports. And the timing of Great Lakes' flights, which depart from Cape Girardeau too late to make good morning connections in St. Louis, also discourage use, Loy said.

"We have to get another carrier," Loy said. "Great Lakes never has performed or held up their part of the original proposal. That doesn't particularly mean they aren't a good airline, they just haven't done anything."

A message left with Great Lakes CEO Chuck Hoffman at the airline's headquarters in Cheyenne, Wyo., was not returned.

The subsidy figures don't include the city's cost of stationing a city policeman at the airport for 20 minutes before and 20 minutes after the arrival of each flight. The city also pays the salaries to staff the control tower. Federal taxpayers pick up the tab for Transportation Security Administration screeners, another cost that is not included in the per-passenger subsidy numbers.

Great Lakes was slated to receive almost $1.5 million annually to provide the local service. The subsidies are paid out on a per-flight basis, so the total actually being paid is lower because not every promised flight has been provided, Mosley said.

The subsidy to provide service to Cape Girardeau was less than $300,000 in 1998, according to figures available at the transporation department website.

The level of subsidy for the entire program is raising questions in Congress. The Cape Girardeau figure in particular concerns U.S. Sen. Kit Bond, R-Mo. and a member of the Senate Appropriations Committee.

"That's outrageous," Bond said when asked his opinion through a spokeswoman. "Reliable air service is essential to the people and businesses in rural Missouri, and I hope the new contractor will be a big improvement for Cape Girardeau."

Making a choice

In the proposals due Wednesday, airlines will decide if they want to provide service only to Cape Girardeau or to provide service to all six cities being offered. Cape Girardeau's contract is linked to Decatur, Ill., Marion-Herrin, Ill., Quincy, Ill., Burlington, Iowa, and Fort Leonard Wood, Mo.

The best proposal, Loy said, would either take local passengers to St. Louis at times when large numbers of connecting flights are available or to a busy hub airport like Memphis, Tenn., or Chicago.

"It is always my preference that we at least have an option," Loy said.

After the proposals are made public, the Airport Advisory Board and the Cape Girardeau City Council will recommend a carrier. The Transportation Department will make the final choice.

rkeller@semissourian.com

388-3642

Pertinent address:

Cape Girardeau Regional Airport, Cape Girardeau, Mo.