Order 2012

- 5

- 19 Served: May 23, 2012



### UNITED STATES OF AMERICA

DEPARTMENT OF TRANSPORTATION

OFFICE OF THE SECRETARY WASHINGTON, D.C.

Issued by the Department of Transportation

on the 23 rd day of May , 20 12

Essential Air Service at

PRESQUE ISLE /HOULTON , MAINE PLATTSBURGH, NEW YORK

Under 49 U.S.C. 41731 et seq

. DOCKET DOT

- OST

- 2000

- 8012

DOCKET DOT

- OST

- 2003

- 14783



### ORDER EXTENDING SERVICE OBLIGATION Summary

By this O rder, the Department of Transportation extends the Essential Air Service (EAS)

o bligation of Colgan Air, Inc., operating as US Airways Express (Colgan)

, at Presque Isle

, Maine, and Plattsburgh, New York, for an additional 30 days, through July 6

, 2012

, or until full replacement service has begun, whichever occurs first.

Background

By the three Orders listed in the chart, t he Department selected Colgan to prov ide subsidized

EAS at the communities summarized below:

Community Annual Subsidy Order Thru Hub Weekly

Round Trips Stops Aircraft

1. Bar Harbor $2,298,533 2010

- 9

- 28 10/31/12 BOS 14 0 Saab 340

2. Plattsburgh $2,117,101 2010

- 3

- 27 06/30/12 BOS 12 0 Saab 340

3 Presque Isle $2,812,853 2010

- 6

- 5 05/31/12 BOS 19 0 Saab 340

On September 9, 2011, Colgan filed a 90

- day notice with the Department o f its intent to

terminate its subsidized service at the above

- mentioned communities, effective

December 8, 2011. By Order 2011

- 11

- 26, issued November 22, 2011, the Department prohibited Colgan from suspending service through January 7, 2012, and requested proposals from carriers interested in providing replacement service.2

By Order 2012

- 3

- 2, March 2, 2012, the Department selected Peninsula Airways (PenAir) to provide EAS at Presque Isle and Plattsburgh, and Hyannis Air Service Inc., operating as Cape Air (Cape Air), to jointly provide EAS at Bar Harbor , in conjunction with PenAir during the peak summer season

. Since Cape Air inaugurate d service at Bar Ha rbor on April 15, 2012, Colgan is n o longer obligated to serve the community after that date

. PenAir has announced

that it plans to inaugurate service at both communities on June 14

, 2012

. However, the current

30

- day hold

- in, as established by Order 2012

- 5

- 1, only runs through June 6, 2012

. Therefore,

we will extend Colgan ’s service obligation at Plattsburgh and Presque Isle for an additional 30 days, or un til replacement service begins, whichever occurs first, i n acc ordance with 49 U.S.C. 41734(c).

This Order is is sued under authority delegated in 49 CFR 1.56a(f)

.

ACCORDINGLY,

1. We require Colgan Air, Inc. to provide the level of service at Presque Isle, Maine, and Plattsburgh, New York , as set forth in Order 2011

- 11

- 26 , for an additional 30

- day period through
July 6

, 2012 , or until PenAir begins service, whichever is first ; 1

2. We direct Colgan Air, Inc. to retain all books, records, and other source and summary documentation to support subsidy claims for payment, and to preserve and maintain such

documentation in a mann er that readily permits its audit and examination by representatives of the Department. Such documentation shall be retained for seven years from the service date of

this O rder or until the Department indicates that the records may be destroyed, whichever comes first. Copies of flight logs for aircraft sold or disposed of must be retained. The carrier may forfeit its compensation for any claim that is not sup ported under the terms of this O rder;

3. These Docket s will remain open until further order of the Department; and

4. We will serve copies of th is O rder on the Mayor s and Airport Managers of Presque Isle, Maine, and Plattsburgh, New York, and Colgan Air, Inc

.

By:

SUSAN L. KURLAN D Assistant Secretary for

Aviation and International Affairs

(SEAL)

An electronic version of th is document is available at www.regulations.gov

1 In accordance with 49 U.S.C. 41734(c), we will extend Colgan’s service obligation for successive 30

- day periods as necessary until replacement service actually begins.