Proposal of Watertown International Airport • Dexter, NY • July 2014 APPLICATION UNDER
SMALL COMMUNITY AIR SERVICE DEVELOPMENT PROGRAM

DOCKET DOT

- OST

- 2014

- 01 1 3

SUMMARY INFORMATION

A. P ROVIDE THE LEGAL SPO NSOR AND ITS DUN AND BRADSTREET (D&B) DATA UNIVERSAL NUMBE RING SYSTEM (DUNS)

NUMBER , INCLUDING +4, EMPLOYEE IDENTIFICAT ION NUMBER (EIN) OR TAX ID

. Legal Sponsor Name: Watertown International Airport Name of Signatory Party for Legal Sponsor: Grant Sussey

– Airport Manager
DUNS Number:
077308039 EIN/Tax ID:
15

- 6000457

B. L IST THE N AME OF THE COMMUNITY OR CONSORTIUM OF COM MUNITIES APPLYING : 1._ D EXTER , NY

_

C. P ROVIDE THE FULL AIRP ORT NAME AND 3

- L ETTER IATA A IRPORT C ODE FOR THE APPLICANT ( S ) AIRPORT ( S ) (O NLY

PROVIDE CODES FOR TH E AIRPORT ( S ) THAT ARE ACTUALLY SE EKING SERVICE ).
1. Watertown International Airport (ART )

D OES THE AIRPORT SEEK ING SERVICE HOLD AN AIRPORT OPERATING CE RTIFICATE ISSUED BY THE F EDERAL A VIATION A DMINISTRATION UNDER 14 CFR P AR T 139? (I F “ NO ,” PLEASE EXPLAIN WHETH ER THE AIRPORT INTEN DS TO APPLY FOR A CERTIFICATE OR WHETH ER AN APPLICATION UN DER P ART 139 IS PENDING .)

Yes No (explain) 

### XProposal of Watertown International Airport • Dexter, NY • July 2014

D. L IST THE 2

- DIGIT CONGRESSIONAL DISTRICT CODE APPLIC ABLE TO THE SPONSORI NG ORGANIZATION , AND IF A

CONSORTIUM , TO EACH PARTICIPATIN G COMMUNITY

. 1. NY

- 21

E. A PPLICANT I NFORMATION : (C HECK A LL T HAT A PPLY )

Not a Consortium Interstate Consortium Intrastate Consortium Community now receives subsidized Essential Air Service Community (or Consortium member) previously received a Small Community A ir Service Development Program Grant
If previous recipient: Provide Year of grant(s):

a nd, the te x t of the Grant agreement section(s) setting forth the scope of the grant project:

F. P UBLIC /P RIVATE P ARTNERSHIPS : (L IST O RGANIZATION NAMES )
PUBLIC PRIVATE
1. Watertown International Airport 1. Greater Watertown, North Country Chamber
of Commerce
2

. Jefferson County, NY 2. Thousand Islands Regional Tourism Development Corporation

G. P ROJECT P ROPOSAL : 1. G RANT G OALS : ( CHECK ALL THAT APPLY )
Launch New Carrier Secure Additional Service Upgrade Aircraft
First Service New Route Service Restoration Regional Service Surface Transportation Professional Services Other (explain below) Create an official Marketing and Advertising Plan and Implement to promote the Airport in Conjunction with Airport services

. 

### X

X

XProposal of Watertown International Airport • Dexter, NY • July 2014 2

. F INANCIAL T OOLS T O B E U SED : ( CHECK ALL THAT APPLY )

Marketing (including Advertising): promotion of the air service to the public
Start

- Up Cost Offset: offsetting expenses to assist an air service provider in setting up a new station and starting new service (for example, ticket counter reconfiguration)
Revenue Gu arantee: an agreement with an air service provider setting forth a minimum guaranteed profit margin, a portion of which is eligible for reimbursement by the community
Recruitment of Air Carrier: air service development activities to recruit new air service, including expenses for airport marketers to meet with air service providers to make the
case for new air service
Fee Waivers: waiver of airport fees, such as landing fees, to encourage new air service;
counted as in

- kind contributions only Ground Handling Fee: reimbursement of expenses for passenger, cabin, and ramp (below wing) services provided by third party ground handlers
Travel Bank: travel pledges, or deposited monetary funds, from participating parties for the purchase of air travel on an air carrier, with define d procedures for the subsequent

use of the pledges or the deposited funds; counted as in

- kind contributions only
Other (explain below)

H. E XISTING L ANDING A IDS AT L OCAL A IRPORT : Full ILS Outer/Middle Marker Published Instrument Approach
Localizer Other (specify) 

### X

X X

XProposal of Watertown International Airport • Dexter, NY • July 2014

I. P ROJECT C OST : D O NOT ENTER TEXT IN SHADED AREA
L INE D ESCRIPTION S UB T OTAL T OTAL A MOUNT
1 Federal amount requested $2 5 0,000
2 State cash financial contribution $0
Local cash financial contribution
3a Airport cash funds $25,000
3b Non

- airport cash funds $ 50,000
3 Total local cash funds ( 3a + 3b ) $ 75 ,000
4 TOTAL CASH FUNDING ( 1+2+3 ) $ 325 ,000
In

- Kind contribution
5a Airport In

- Kind contribution** $0
5b Other In

- Kind contribution** $0
5 TOTAL IN

- KIND CONTRIBUTION ( 5a + 5b ) $0
6 TOTAL PROJECT COST ( 4+5 ) $ 325 ,000

J. IN

- KIND CONTRIBUTIONS** For funds in lines 5a (Airport In

- Kind contribution) and 5b (Other In

- Kind contribution), please describe the source(s) of fund(s) and the value ($) of each.

K. I S T HIS A PPLICATION S UBJECT T O R EVIEW B Y AN AFFECTED S TATE U NDER E XECUTIVE O RDER 12372 P ROCESS ?

a. This application was made available to the S tate under the Executive Order 12372 Process for review on (date) _____________.
b. Program is subject to E.O. 12372, but has not been selected by the S tate for review.

c. Program is not covered by E.O. 12372.

L. I S T HE L EAD A PPLICANT OR ANY C O - A PPLICANTS D ELINQUENT O N A NY F EDERAL D EBT ? (I F “Y ES ”, P ROVIDE
E XPLANATION )
No Yes (explain)

_____________________________________________________________________________________________Proposal of Watertown International Airport • Dexter, NY • July 2014 

## 1

TABLE OF CONT

ENTS

LEGAL SPONSOR 1

INTRODUCTORY LETTER 2
EXECUTIVE SUMMARY 3
OVERVIEW OF WATERTOW N INTERNATIONAL AIRP ORT AIR SERVICE 4
CURRENT SERVICE 5
EAS HISTORY 6
AIR SERVICE DEVELOPMENT EFFORTS AND MARKETIN G 7
AIRFARES IN WATERTOWN REGION 8
PER CAPITA CAPACITY 11
MARKETING EFFORTS 12
STRATEGIC PLAN TO IM PROVE AIR SERVICE TH ROUGH MARKETING 1 4
PUBLIC/PRIVATE PARTN ERSHIP 16
PREVIOUS SMALL COMMU NITY DEVELOPMENT GRA NT 17
CONCLUSION 1 8 

## LEG

LEGAL SPONSOR

The Watertown International Airport is the legal sponsor responsible for administering the proposed air service development program. The Airport is a government agency, operated by Jefferson County, NY

.

Watertown International Airport 22529 Airport Drive, Box 1 Dexter, NY 13634 Grant W. Sussey , Airport Manager (315) 786

- 6002 gsussey@co.jefferson.ny.usProposal of Watertown International Airport • Dexter, NY • July 2014 

## 2

INTRODUCTORY LETTERProposal of Watertown International Airport • Dexter, NY • July 2014 

## 3

EXECUTIVE SUMMARY

The Watertown International Airport is seeking a federal Small Community Air Service Development (SCASD) Grant for the development of a strategic marketing plan to promote,
market

, and advertise the benefits of supporting the local community airport. The Airport is requesting $25 0,000 in federal funds matched with local fu nds of $ 75 ,000 to aid in this project.
The Watertown International Airport currently has limited EAS air service through American/US Airways at this time. The primary goal is to expand their current customer base through an aggressive marketing an d community outreach plan which showcases the benefits of the Airport

. Watertown International Airport, up until this point, has not requested federal aid through the SCASD Grant. The air service climate has changed dramatically over the last several years and the Airport finds itself in an environment where improving the marketing capability of the Airport is essential to long term growth and eventual exit from the EAS program.

The Airport serves a large catchment area in New York State, including the Thousand Islands, and Ottawa, Ontario, Canada . The region is home to

more than two million people within a 90 minute
drive. Watertown International Airport currently has just one scheduled non

- stop route to Philadelphia International Airport. For August 2014 the capacity has increased by 21%

, and for the year

ended 2013

, passenger enplanements improv ed by 16% year

- over

- year

. The 2013 load factor for Watertown International Airport ended the year at 7 0.7 %. These metrics are n ew record highs for the Airport. Yet the high average fares and limited flight schedule has hampered Watertown’s ability to serve the region properly.

As previously mentioned

, t he Watertown International Airport has one carrier offering non

- stop
service to Philadelphia as of July 201 4 . Due to the lack of travel options, the majority of the
Watertown catchment area passengers use alternate airports in the region. A meager 3.1 % of area passengers currently use Watertown Regional A irport

– based on the 2013 calendar year leakage analysis recently completed

. 

## “Of the two million people within a
90 minute drive, the Airport only captures 3.1% of those potential

passengers.”Proposal of Watertown International Airport • Dexter, NY • July 2014 

## 4

The Airport has assembled a coalition of local businesses to assist with the SCASD project by providing matching dollars and outreach assistance within the community to ensure that current air service is supported and the Airport’s attributes known

.



## OVERVIEW OF THE WATERTOWN AIR SERVICE ’

The Watertown International Airport (Map 1), serving Jefferson County, NY , the Thousand Islands and the north country of NY State and parts of Ontario, Canada, i s the main airport within the
catchment area b etween Syracuse, NY and Ottawa, Ontario, Canada. Watertown
Int ernational Airport current ly has twice

- daily nonstop service to Philadelphia via American Airlines / US Airways. As th e only airport in its immediate region with regional jet service

, the Airport plays a vital rol e in connecting dozens of communities to the national air transportation system via the Philadelphia International Airport

.

The airport’s
catchment area, the area from which
it dr aws passengers, extends from Ottawa, Ontario to
the north and to the
south towards Syracuse . The area
within the 90 minute
dark

- blue line is
home to 2,185,394 people (Map 1)

. 

### MAP 1: Watertown International Airport Catchment Area Source: Sixel Consulting GroupProposal of Watertown International Airport • Dexter, NY • July 2014 

## 5

As of July 201 4, the Airport is served solely by American/US Airways with twice

- daily non

- stop service to Philadelphia (PHL). The non

- stop service to Philadelphia (Map 2) began May 8, 2014.
America n Airlines prior to that date offered scheduled service via the ir Chicago O’Hare (ORD) HUB complex

.

As of August 2014, due to larger equipment this year,
Watertown International Airport (ART) will offer 30.8 %
additional seats than offered at the same time last year (Figure 1). American/US Airways total scheduled departures are up 15 .1 %
year

- to

- year. T he Watertown International Airport
scheduled air service has changed from Chicago O’Hare (ORD) last year to Philadelphia (PHL) this year.

In an effort to maintain a position of strategic awareness with the airlines, and track seat availability in the market, the Watertown International Airport maintains an outstanding relationship with Sixel Consulting Group as their partner in air service development efforts. The Airport has retained Sixel Consulting Group and work s with them to ensure the Philadelphia route continues to be viable as well as communicate with any other charter or potential low cost carrier option. Sixel Consulting Group did assist the Airport this year with a complete leakage study and analysis

. 

### DATE CARRIER DEPT ARR FREQUENCY CAPACITY Aug

- 13 AA ART ORD 53 2,332 Aug

- 14 US ART PHL 61 3,050 Y/Y CHG (%) 15.1 30.8 FIGURE 1 : Scheduled Service at Waterto wn International Airport, 8/13 vs. 8/14 Source: Sixel Consulting Group; OAG Schedule Data, July 2014 MAP 2 : Current Service at Watertown International Airport Source: Sixel Consulting Group; OAG Schedule Data, July 2014Proposal of Watertown International Airport • Dexter, NY • July 2014 

## 6

Essential Air Service History

Over the previous decade the Airport received several different air carrier variations serving the community to various non

- stop destinations through the EAS program

. However, the 2011 bid cycles saw American Airlines as the successful airline for the Watertown International Airport EAS program. In November 2011, American Airlines inaugurated regional jet non

- stop service to Chicago O’Hare. The American Airlines twice daily service to Chicago O’Hare had been operated with a 44

- seat regional jet. Since assuming the EAS program for Watertown International Airport

, American has improved total enplanements and increased load factors.

As of May 2014 the existing non

- stop service was revamped. With the impending merger
between American Airlines and US Airways the focus for Watertown International Airport scheduled service shifted from Chicago O’Ha re (ORD) to Philadelphia (PHL) . With the new Philadelphia service

, the regional jet aircraft capacity increased from 44 to 50 seat capacity. Currently

, the Airport is served by twice daily jet service to Philadelphia (PHL) on American
Airlines /US Airways operated by their r egional carrier, US Airways Express.

T otal passenger enplanements improve d considerab ly after America n Airlines inaugurated non

stop Chicago O’Hare service in late 2011

. This new service was the result of American Airlines ’
successful bid with the EAS contract. The average fare has remained relatively consistent over the past three years (Figure 2). The passengers per day each day (PDEW) are up 725% s ince
20 10

, boarding an average 56.1 PDEW s

.Proposal of Watertown International Airport • Dexter, NY • July 2014 

## 7

AIR SERVICE DEVEL O PMENT EFFORTS AND AIR SERVICE MARKETING
The majority of the top 25 origin and destination (O&D) markets for calendar year 2013 were airports in the mid

- west, mountain states and west coast (Figure 3) . This is primarily due to the
American Airlines network at Chi cago O’Hare. The traffic generally flowed east/west for the Watertown International Airport passengers . With the recent schedule change, American Airlines/US Airways now operates through their Philadelphia (PHL) HUB complex. Due to the high
demand for east coast destinations the 2014 post

- departure results for the top O&D destinations are expected to reflect mostly southeast and mid

- Atlantic markets. 

### FIGURE 2 : O&D Passengers and Average One Way Fares, Watertown Airport Source: US DOT OD1A, Calendar Year 2005

– Calendar Year 2013Proposal of Watertown International Airport • Dexter, NY • July 2014 

## 8

With just American/US Airways operating at
Watertown Internationa l Airport, the average

one

- way fare for the top 25 markets was $2 34 during 2013 (Figure 4 ). Due to limited connecting opportunities through just one

non

- stop destination , low fares to leisure
markets are limited. The Watertown
International Airport travelers pay a high average price for access to the national air transpor tation system due to a lack of competition and frequency

. 

### FIGURE 3: Top 25 O&D Passenger Markets at Watertown Airport Source: US DOT OD1A, Calendar Year 2012

FIGURE 4: Average One Way Fares at Top 25 Markets at ART Source: US DOT OD1A, Calendar Year 2013Proposal of Watertown International Airport • Dexter, NY • July 2014 

## 9

With the 12 months ended in April 2014, the Watertown International Airport market filled an average of 73.7% of its available seats. Load factors in the market are continuing to improve
and are now trending towards the mid to upper 70% range (Figure 5) . Th is trend can continue upward if the Airport solidifies the marketing strategy it desires to implement in the marketplace.

P eak summer demand

, winter holidays and s pring b reak travel periods help boost the
Watertown International Airport’s increased load factors during those strong travel times.

Although the passenger demand and improving load factors have been very positive for Watertown International Airport over the past two years

, a meager 3.1% of the Watertown catchment area passengers currently use the Watertown International Airport for the ir travel
needs. The recent improvements do indicate the opportunity to market and promote local

com munity support of the Airport. Based on the 2013 calendar year leakage analysis, only 56 of
the nearly 1,800 daily passengers that travel each way from the Watertown region actually use
Watertown International Airport (Figure 6) . The leakage study also indicated that the Watertown
market is ready for additional passenger support

, expanded air service and increase d capacity

. None of that can be realized without additional marketing efforts to attract ridership to ART. 

### FIGURE 5 : Average Passengers and Seats per Day Each Way, and Load Fa ctor at Watertown Airport Source: US DOT T100; January 2012

– April 2014Proposal of Watertown International Airport • Dexter, NY • July 2014 

## 10

An analysis of the average one

- way domestic fares in Upstate New York State markets indicates Watertown International Airport has the highest average fare throughout the region (Figure 7).
The one

- way average for Watertown International Airport for calendar year 2013 was $2 53

.



### FIGURE 7 : Average One Way Fare in Upstate New York Markets Source: US DOT OD1A, Calendar Year 2013 FIGURE 6 : Leakage Analysis and True Market Study

– Calendar Year 2013 Source: Sixel Consulting Group

– July 2014Proposal of Watertown International Airport • Dexter, NY • July 2014 

## 11

Watertown International Airport reported a load factor of 70.7% for calendar year 2013 (Figure
8 ). The post

- departure results are below the regional average within Upstate New York.

For markets in Upstate New York

, Watertown International Airport is one of the most underserved
in terms of available airline seats. An analysis of the Upstate New York markets shows that Watertown International Airport is the second most underserved, with an average of just 0.2 airline seats per capita in 2013 (Figure 9 ).



### FIGURE 9 : Seats per Capita in Upstate New York Markets; Sources: US DOT T100, Calendar Year 2013 2011 US Census FIGURE 8 : Upstate New York Markets Ranked by Load Factor Source: US DOT T100, Calendar Year 2013Proposal of Watertown International Airport • Dexter, NY • July 2014 

## 12

Subsequently, the Watertown market generates the fourth lowest number of passengers per capita in
the Upstate New York region , at an average of just 0.2 passengers in
201 3 (Figure 1 0 ). This figure, while disappointing is an entirely fixable problem; additional marketing and community outreach activities would enhance the airport’s brand and ultimately passenger enplanements.



### Marketing Efforts

The Watertown International Airport has made a concerted effort to engage in marketing activities since the acquisition of the Airport by Jefferson County in 2006. Leaders are consistently looking for ways for the Airport to act as a catalyst for economic development in the region. The Airport has worked closely over the years with Thousand Islands Tourism Council (TITC) to develop a reasonable marketing program in conjunction with budgetary constraints. TITC has gone so far as to sugg est marketing campaigns for implementation as they recognize not only the current economic value of the Airport, but the economic potential. However, quantifiable metrics to
track the effectiveness of the ads were never developed

. Ads were placed in vario us forms of
media without a full plan in place

. An example of one of the ads is included. 

### FIGURE 10 : Passengers per Capita Upstate New York Markets Sources: US DOT T100, Calendar Year 2014Proposal of Watertown International Airport • Dexter, NY • July 2014 

## 13

This constraint, as with other small communities, always bottlenecks at fundi ng and having personnel available to administer any program. The grant would seek to solve both constraints by providing funding for a strategic plan and the ability to utilize an outside firm to implement it. The average marketing budget at the Airport for the last three years ranged from $ 8,000 to $ 15,000

. The 2013 Marketing expenses are listed in the table below. They do not account for partnership marketing with TITC which provided additional marketing exposure. In addition , the airport has also worked closely with the American Airlines sales and government affairs departme nts to enhance corporate support and local awareness of air service in Watertown.

2013 LOCAL MARKETING EXPENSES
ORGANIZATIONS Thousand Island Privateers Poster Ad

- Ice Arena

- 2013 Season $750.00 SPECIALTY GWCC 2013 Membership Guide

- 1/2 Page Color $850.00 2013 Visitors Guide /Map

- 2"x3" Ad $215.00 Thousand Islands Tourism Council 2013 Travel Guide $1,040.00 BUSINESS PRINT NNY Business Magazine 1/2 page color

- May Issue

- Business $498.75 1/3 page color

- June Issue

- Tourism $380.00 1/6 page color

- November/Dec/January $825.00 NNY Living Magazine 1/3 Horizontal Ad

- Color $275.00 ONLINE ADS Watertown Daily Times Internet Holiday Ad

- 3 banner rotation $300.00 Television WWNY TV 7 43:15 Sec Spots

- Holiday Ad $1,480.00 Promotional Items Mugs $300.00 Activity Pads $340.50 Crayons $223.00 Notepads $680.00 TOTAL $8,157.25Proposal of Watertown International Airport • Dexter, NY • July 2014 

## 14

STRATEGIC PLAN TO IMPROVE AIR SERVICE THROUGH MARKETING

Watertown International Airport’s leakage

, to the other major metropolitan airports such as Syracuse and Rochester, is primarily due to competitive advantages by presenting additional airline choices and frequency to the customer. However, a concentrated marketing effort could help educate the passengers of the added costs they incur with utilizing a n alternate airport including fuel, dri ve time, and parking fees; all contributing to the overall expense of any flight. One huge advantage ART has over other airports is the ease of access to a major interstate ( IH

81) allowing for a free flow of potential Canadian passengers to utilize the airport for their travel needs without the complications others have via the roadway. Another strong point is the designation of ART as a “ Port of Entry ” for international travelers. There are strong competitive advantages with choosing to fly ART
, and the strategic plan which would be developed using the grant funds if awarded, would seek to showcase these and many other traits.

One fundamental key to any strategic marketing and community engagement program is the ongoing measurement of success or failure, which allows for course adjustments toward successful program elements and away from unsuccessful program elements. The core

e lements to the Watertown International Airport are listed below. They are not meant to be all
inclusive but define realistic goals for the Airport under the grant award.

 Developing a strategic marketing and media campaign plan

 Developing new creative ad s for TV/radio/print/outdoor/transit/web

 Developing an Air Service Community video as testimonial about the airport attributes for use in community/corporate outreach events

 Community Outreach (engaging the consumer via social media and public events to
d iscuss and promote ART)

 Public Rela tions and Earned Media outreach

 Corporate Travel Outreach (including meetings with top companies in the region ) to discuss airport air service offerings and identify opportunities for traffic re tention

 Work with marketing/sales teams at Airline partners to e nsure cross

- promotional efforts

 Identifying unique marketing and partnership opportunities

 Conduct second

- home research to better understan d where area residents vacationProposal of Watertown International Airport • Dexter, NY • July 2014 

## 15

Components of the Proposed Watertown International Airport Marketing Strate gy Plan and Advertising Program

Traditional Advertising and Marketing Methods: The strategic marketing and advertising plan will utilize a combination of traditional advertising and public relations methods paired with targeting online and new media methods

. The goal of the program will be to connect and re

connect with potential travelers while also increasing brand awaren ess within the region

. Components of the traditional advertising portion of the plan will include: Radio Advertising, TV Advertising, Out

- of

- Home (billboard advertising), and Local Online Advertising (local online news banner advertising)

. O n

- air/TV spe nd may be focused on premium placement such as weather and traffic sponsorships to ensure maximum value and the largest audience reach available. The airport will also work to develop brand specific television commercials which will be incorporated into th e on

- air placements and also used in on

- line pre

- roll elements of the media plan

. The inclusion of traditional media placement will allow the airport to support local media outlets while enhancing relationships with local media partners

. The described tr aditional advertising elements will be timed around specific program objectives including the incorporation of airline fare sales and specific efforts around Airport brand building and local

awareness

. Recommended media outlets will be determined once the advertising program is
finalized

.

New Media and Targeting Online Advertising Methods: The p lan will also include targeting online and new media advertising methods

. These efforts will incorporate a combination of: Advanced Keyword Targeting, Flight Pat h Advertising (targeted advertising on Online Travel Agencies), Search Engine Marketing and Social Media

. These advertising methods will be aimed at targeting the potential passenger when they are in the mindset to travel

. Targeting online advertising wil l help the airport to reach travelers by incorporating airport / travel related keywords paired with geographical and behavioral targeting

. When a geo

- targeted traveler searches for specific airport defined words they will be redirected to an airport rela ted ad while surfing on common news sites

. Recommended media outlets will be determined once the advertising program is finalized

.

Community Outreach and Corporate Support Program: An important component of the marketing p lan will be a community outreach and corporate support program

. The Airport would like to move forward on developing a full plan to identify major corporate travel patterns

.Proposal of Watertown International Airport • Dexter, NY • July 2014 

## 16

The program will work on developing a corporate travel program and reaching out to travel planners of co rporations to get more employees to fly from ART. The proposed program will attempt to identify the needs of corporate travelers and allow the airport

, in conjunction with airline partners, increase offerings to better accommodate high paying business cust omers

. The program will start with the identification of Travel Managers/Travel Contacts within top 50 corporations in the region

. The next step in the program will be to use relationship building
t actics and identify ways to encourage travel managers to modify travel policies so that all
travelers check ART first before booking from another airport

.

Funding Plan

– The Airport and its community partners propose a total Grant funding level of $325, 000. The DOT contribution would be $250,000 matched by $50,000 in local, non

- airport cash
funds from Thousand Islands Tourism Council. The remaining $25,000 is coming from the Airport itself. The Airport is committing cash funds available for yearly marke ting to assist in this endeavor enlarging the pool from which to draw

.

Grant Implementation Timeline

– The Airport and its community partners anticipate prompt implementation upon Grant award. We anticipate full use of the Grant within an eighteen (18) month timeframe beginning first quarter of 2015 and completing the Grant f unding program by
the end of third quarter 2016. We believe this Program will measurably increase Airport enplanements and contribute to the eventual exit of ART from the EAS program in the future.

Activity/Project Milestone Estimated Date Grant Award L ate September 2014 Documents Fully Executed November 2014 Detailed Marketing Plan Development 1 st Quarter 2015 Creative for Marketing Campaigns Developed Late 1 st Qtr. /Early 2 nd Qtr. 2015 Execution of Marketing Plan 2 nd Quarter 2015 thru 3rd Quarter 2016 Grant Close out Submitted to DOT 4 th Quarter 2016



## PUBLIC PRIVATE PARTN ERSHIPS

Watertown International Airport has a number of entities that support the goal of improving air service through increased marketing activities. The Thousand Islands Regional Tourism Development Corporation is an advocate for additional marketing as evidenced by their contribution towards matching funds for the grant. For the past several years they have taken an
active role in assisting the Airport with marketing items including draf ting sample campaigns to
work from.Proposal of Watertown International Airport • Dexter, NY • July 2014 

## 17

Another staunch supporter of the application is the Greater Watertown, North Country Chamber. They too are financially contributing to the local match as a means of showing support. With 1,000 members, the Chamber repr esents the business interests of over 22,000 employees throughout Jefferson County and the region, and has representation from every business sector as well as government within its membership base. The Greater Watertown Chamber maintains a Visitor’s Cente r, and provides local and travel information to visitors, members, and the general public. Their support is a natural fit for the Airport.

Lastly, Jefferson County

, as the owner, operator of the Airport

, has a vested interest in the
continuation of marke ting. The correlation between marketing and increasing enplanements thereby increasing potential revenue is strong. They too desire an increase in economic growth and one way to accomplish this is to strengthen the A irport’s image within the public and private
sectors.



## PREVIOUS SMALL COMMUNITY AIR SERVICE GRANT
The Watertown International Airport has never received a Small Community Air Service Development grant. This 2014 Grant request is for marketing funding to promote th e airport and the air service it contains within the scope of allowable Grant fund usage for EAS cities. As previously mentioned, the grant would be utilized for promotion and strategic planning as it relates to advertising.Proposal of Watertown International Airport • Dexter, NY • July 2014 

## 18

CONCLUSION

The Watertown International Airport boasts a catchment area of over two million passengers
within a 90 minute drive of the A irport

, yet only retains 3 % of the catchment passengers . The remaining 97 % of the potential passengers utilize alternate airports in the region for a variety of

reasons. Currently Watertown International Airport offers daily nonstop flights to only Philadelphia via American/US Airways ; a strong network partner . T he existing service is limited with just two frequencies per day. Although loa d factors are continuing to improve the h igh local fares have
limited the total passenger enplanements at Watertown

. As potential customers look to alternate airports for their travel needs there is an excellent opportunity to market

, advertise and expand the knowledge of what Watertown International Airport has to offer.

At an average of $ 254 one

- way, Watertown International Airport has the highest one

- way fares
within the Upstate New York airports

. Coupled with limited frequency and few travel options

m eans the Airport has been unable to reach its full potential. To help improve the viability of
Watertown International A irport to the customer base, Airport marketing and advertising are the main targets for increased passenger improvements

.

Watertown Int ernational Airport’s application for the grant is supported by a group of community partners which have pledged their financial support and assistance. These partners
include tourism groups and the area chamber of commerce together with Jefferson County

. T he Watertown International Airport has never been a recipient of a Small Community Air Service Development Grant, but believes the award of the grant can change the environment in the region; it would allow the Airport to begin an aggressive, multi

- layere d campaign to retain and grow their passenger base

. An aggressive campaign would benefit the DOT by increasing enplanements an d ultimately reducing any future subsidy necessary in the market. It would be the intent for the grant to aid the Airport in the e ventual exiting of the EAS program. The Airport and the community partners urge the DOT to look upon th eir application favorably.