Order: 2010-3-32

Served: March 31, 2010

UNITED STATES OF AMERICA 

DEPARTMENT OF TRANSPORTATION 

OFFICE OF THE SECRETARY 

WASHINGTON, D.C. 

Issued by the Department of Transportation

on the 26th of March, 2010

Essential Air Service at

PLATTSBURGH, NEW YORK

SARANAC LAKE/LAKE PLACID, NEW YORK

under 49 U.S.C. 41731 et seq.

Docket DOT-OST-2003-14783

Docket DOT-OST-2000-8025

ERRATUM

By this order, the Department is clarifying Order 2010-3-27. The Department will pay Hyannis 

Air Service, Inc., d/b/a Cape Air, to provide three daily round trips (21 a week): (a) at 

Plattsburgh, New York, from March 1 until Colgan Air inaugurates full essential air service; and 

(b) from March 1 through February 28, 2014, at Saranac Lake/Lake Placid, New York. Cape 

Air’s annual subsidy rates, subsidies per flight, and weekly ceilings at the two communities 

remain unchanged; however, the corrected summaries of scheduled service are included in

Appendix A.

The narrative of Appendix C of Order 2010-3-27 was internally inconsistent with the subsidy 

calculations as to the number of round trips the Department would subsidize at each community -

- either 18 or 21 per week. However, all the subsidy calculations were correctly premised upon a 

continuation of its historical 21 round trips a week.

This order is issued under authority delegated in 14 CFR 385.12 (k)(4).

ACCORDINGLY,

1. The Department corrects the summaries of scheduled service for Hyannis Air Service, Inc., 

d/b/a Cape Air, for the provision of essential air service at Plattsburgh and Saranac Lake/Lake 

Placid, New York, as described in Appendix A;
- 2 -

2. These dockets will remain open until further order of the Department; and

3. Docket Operations will serve copies of this order on the parties listed in Appendix B.

Persons entitled to petition the Department for review of this order under the Department’s 

Regulations, 14 CFR 385.50, must file such petitions within ten (10) days after the date of 

service of this order.

This order will be effective immediately, and the filing of a petition for review shall not preclude 

its effectiveness.

By:

TODD M. HOMAN

 Director

Office of Aviation Analysis

(SEAL)

An electronic version of this document is available on the World Wide Web at

www.regulations.gov
Appendix A 

Page 1 of 2

Hyannis Air Service, Inc. d/ b/ a Cape Air 

Essential Air Service to be Provided at Saranac Lake/ Lake Placid, New York 

Effective Period: March 1, 2010, through February 28, 2014.

Scheduled Service: 21 nonstop round trips to Boston each week

Aircraft type: Cessna 402, 9 seats

Annual compensation: $1,366,538

Rate per Eligible Flight: $6431

Weekly Ceiling: $27,0062

Note: The carrier understands that it may forfeit its compensation for any flights that it does not operate in 

conformance with the terms and stipulations of the rate order, including the service plans outlined in the order and 

any other significant elements of the required service, without prior approval. The carrier understands that an 

aircraft take-off and landing at its scheduled destination constitutes a completed flight; absent an explanation 

supporting subsidy eligibility for a flight that has not been completed, such as certain weather cancellations, only 

completed flights are considered eligible for subsidy. In addition, if the carrier does not schedule or operate its 

flights in full conformance with the order for a significant period, it may jeopardize its entire subsidy claim for the 

period in question. If the carrier contemplates any such changes beyond the scope of the order during the applicable 

period of these rates, it must first notify the Office of Aviation Analysis in writing and receive written approval from 

the Department to be ensured of full compensation. Should circumstances warrant, the Department may locate and 

select a replacement carrier to provide service on these routes. The carrier must complete all flights that can be 

safely operated; flights that overfly points for lack of traffic will not be compensated. In determining whether 

subsidy payment for a deviating flight should be adjusted or disallowed, the Department will consider the extent to 

which the goals of the program are met and the extent of access to the national air transportation system provided to 

the community.

If the Department unilaterally, either partially or complete, terminates or reduces payments for service or changes 

service requirements at a specific location provided for under this order, then, at the end of the period for which the 

Department does make payments in the stipulated amounts or at the stipulated service levels, the carrier may cease 

to provide service to that specific location without regard to any requirement for notice of such cessation. Those 

adjustments in the levels of subsidy and/or service that are mutually agreed to in writing by the Department and 

carrier do not constitute a total or partial reduction or cessation of payment.

Funds are not currently available for performance under this order beyond September 30, 2010. The Department’s 

obligation for performance under this order beyond September 30, 2010, is subject to the availability of appropriated 

funds from which payment for services can be made. No legal liability on the part of the Government for any 

payment may arise for performance under this order beyond September 30, 2010, until funds are made available to 

the Department for performance. If funds are not made available for performance beyond September 30, 2010, the 

Department will provide notice in writing to the carrier.

Subsidy contracts are subject to, and incorporate by reference, relevant statutes and Department regulations, as they 

may be amended from time to time. However, any such statutes, regulations, or amendments thereto shall not 

operate to controvert the foregoing paragraph.

All claims for payment must be submitted within 60 days of the last day of service provided under this order.

 1 Annual compensation of $1,366,538, divided by 2,124 annual departures (6 daily flights x 365 days x 

97% completion).

2 42 arrivals and departures per week multiplied by $654 per flight.
Appendix A 

Page 2 of 2 

Hyannis Air Service, Inc. d/ b/ a Cape Air 

Essential Air Service to be Provided at Plattsburgh, New York 

Effective Period: March 1, 2010, until Colgan inaugurates full EAS.

Scheduled Service: 21 nonstop round trips to Boston each week

Aircraft type: Cessna 402, 9 seats

Annual compensation: $1,334,262

Rate per Eligible Flight: $6283

Weekly Ceiling: $26,3764

Note: The carrier understands that it may forfeit its compensation for any flights that it does not operate in 

conformance with the terms and stipulations of the rate order, including the service plans outlined in the order and 

any other significant elements of the required service, without prior approval. The carrier understands that an 

aircraft take-off and landing at its scheduled destination constitutes a completed flight; absent an explanation 

supporting subsidy eligibility for a flight that has not been completed, such as certain weather cancellations, only 

completed flights are considered eligible for subsidy. In addition, if the carrier does not schedule or operate its 

flights in full conformance with the order for a significant period, it may jeopardize its entire subsidy claim for the 

period in question. If the carrier contemplates any such changes beyond the scope of the order during the applicable 

period of these rates, it must first notify the Office of Aviation Analysis in writing and receive written approval from 

the Department to be ensured of full compensation. Should circumstances warrant, the Department may locate and 

select a replacement carrier to provide service on these routes. The carrier must complete all flights that can be 

safely operated; flights that overfly points for lack of traffic will not be compensated. In determining whether 

subsidy payment for a deviating flight should be adjusted or disallowed, the Department will consider the extent to 

which the goals of the program are met and the extent of access to the national air transportation system provided to 

the community.

If the Department unilaterally, either partially or complete, terminates or reduces payments for service or changes 

service requirements at a specific location provided for under this order, then, at the end of the period for which the 

Department does make payments in the stipulated amounts or at the stipulated service levels, the carrier may cease 

to provide service to that specific location without regard to any requirement for notice of such cessation. Those 

adjustments in the levels of subsidy and/or service that are mutually agreed to in writing by the Department and 

carrier do not constitute a total or partial reduction or cessation of payment.

Funds are not currently available for performance under this order beyond September 30, 2010. The Department’s 

obligation for performance under this order beyond September 30, 2010, is subject to the availability of appropriated 

funds from which payment for services can be made. No legal liability on the part of the Government for any 

payment may arise for performance under this order beyond September 30, 2010, until funds are made available to 

the Department for performance. If funds are not made available for performance beyond September 30, 2010, the 

Department will provide notice in writing to the carrier.

Subsidy contracts are subject to, and incorporate by reference, relevant statutes and Department regulations, as they 

may be amended from time to time. However, any such statutes, regulations, or amendments thereto shall not 

operate to controvert the foregoing paragraph.

All claims for payment must be submitted within 60 days of the last day of service provided under this order.

 3 Annual compensation of $1,334,262, divided by 2,124 annual departures (6 daily flights x 365 days x 

97% completion).

4 42 arrivals and departures per week multiplied by $628 per flight.
Appendix B 

SERVICE LIST

Mr. Andrew Bonney

Hyannis Air Service

660 Barnstable Road

Hyannis, Massachusetts 02601

Mr. Ross Dubarry

Airport Manager

Adirondack Regional Airport

96 Airport Road

Saranac Lake, New York 12983

Mr. Rodney Brown

Interim Airport Manager

Plattsburgh International Airport

42 Airport Lane, Suite 201

Plattsburgh, New York 12903