# Santa Maria Public Airport Santa Maria, California

Legal sponsor: Santa Maria Public Airport District
DUNS: 085917870 Congressional District Code: CA-23

Contact: Chris Hastert General Manager
3217 Terminal Drive Santa Maria, CA 93455 Phone: (805) 922-1726 Fax: (805) 922-0677 chastert@santamariaairport.com 

# P ROPOSAL UNDER THE 

# S MALL 

# C OMMUNITY


# A IR 

# S ERVICE 

# D EVELOPMENT 

# P ROGRAM

D OCKET 

## #: DOT-OST-2010-0124

### Prepared by 

# T ABLE OF 

# C ONTENTS

P AGE



### Summary Information ............................... ............................. 1 Proposal Highlights ............................... ................................. 2

Higher Than Average Fares .........................

................................................... .. 2 Community Cost Contribution .......................

.................................................. 2 Public-Private Partnership.........................

................................................... ..... 2 Material Benefits .................................

................................................... ......... 2 Use of Funds in a Timely Fashion ..................

................................................... 2



### Air Service Environment ........................... ............................. 3

Airport Catchment Area ............................

................................................... ... 3 Business Community ................................

................................................... .... 4 Educational Institutions ..........................

................................................... ...... 4 Tourism ...........................................

................................................... ............. 5 

### Air Service – Existing and Historical ............. ......................... 6

Existing Air Service ..............................

................................................... ......... 6 Historical Air Service ............................

................................................... ......... 6



### Air Service Needs and Deficiencies ................ ....................... 10

Major Origin/Destination Markets Not Served Adequat ely .............................. 10 Higher than Average Fares..........................

................................................... 11 

### Strategic Plan – Air Service ...................... ............................ 12

Project Goals .....................................

................................................... ......... 12 Proposed Air Service ..............................

................................................... ..... 12 Airline Participation .............................

................................................... ....... 12 Detailed Market Analysis ..........................

................................................... .. 13 Alternate Plan ....................................

................................................... ........ 14 Previous Grant Recipient - New Project and Goals .. ........................................ 14 

### Strategic Plan – Implementation and Funding ....... ............... 15

Public-Private Partnership.........................

................................................... ... 15 Incentive and Support Plan ........................

................................................... . 15 Project Continuation and Sustainability ........... ............................................... 18 Strategic Plan Funding ............................

................................................... .... 18 

### Schedule and Monitoring ........................... .......................... 19

Schedule and Milestones ...........................

................................................... . 19 Monitoring Program ................................

................................................... ... 20 

### Appendix A. Airline and Community Support ......... .............. 21 Appendix B. Detailed Market Analysis .............. .................... 31

# 1 

# S UMMARY 

# I NFORMATION

A. Applicant Information: (Check all that apply)

X Not a Consortium Interstate

Consortium Intrastate

Consortium Community now receives EAS subsidy

X Community (or Consortium member) previously received a Small Community Grant If previous recipient, date of grant: June 26, 2002 Expiration date of grant: March 12, 2005

B. Public/Private Partnerships: (List organization names) Public Private
1. Santa Maria Public Airport District 1. Santa Maria Valley Chamber of Commerce and Visitor &
Convention Bureau 2. Santa Maria Valley Economic Development Commission

C. Project Proposal: (Check all that apply)
X Marketing Regional Service
Personnel Launch New Carrier
Travel Bank First Service

Surface Transportation Secure Additional
Carrier

X Revenue Guarantee X New Route Start Up Cost Offset Low Fare Service Study Subsidy Upgrade Aircraft Other (specify):

__________ Increase Frequency
Service Restoration

D. Existing Landing Aids at Local Airport:

X Full ILS X Published Instrument Approach

X Localizer X Outer/Middle Marker

X Other (specify): VOR and GPS Approaches E. Project Cost:
1. Federal amount requested : $ 490,000
2. State cash financial contribution: $ 0 3. Local cash financial contribution...
3a . Airport cash funds: $ 4 5 ,000 3b. Non

- airport cash funds: $ 13 0,000 3c. Total local cash funds (3a.+3b.) $ 175 ,000 4. TOTAL CASH FUNDING (1.+ 2.+3c.) $ 665 ,000 5. Local funds contributed from already

existing programs or projects included in line 3c. amount: $0 6. Local funds contributed from new commitments or new resources included in line 3c. amount: $175,000 7. Airport In

- Kind contribution: (fee waivers) $55,000 8. Other In

- Kind contribution: (marketing) $ 10,000
9. TOTAL IN

- KIND CONTRIBUTION (7.+8.): $ 6 5 ,000 10. TOTAL PROJECT COST (4.+9.): $ 730 ,000

F. Enplanements:
2000 43,110 2005 35,748
2001 32,479 2006 47,620
2002 30,522 2007 51,308
2003 32,708 200 8 52,737
2004 36,380 2009 58,142

G. Is this application subject to review by State under Executive Order 12372 process? a. This application was made available to the State 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 State for review. c. Program is not covered by E.O. 12372.

H. Is the Applicant delinquent on any Federal debt? (if “yes”, provide explanation)
No Yes (explain) X

X

### T HIS SECTION CONTAINS 

### : •

• Project goals

• Description of the Strategic
Plan



### • Highlights of the grant application



# 2 

# P ROPOSAL 

# H IGHLIGHTS

his Small Community Air Service Development Program grant application for the Santa Maria Public Airpo rt meets the criteria of Docket DOT-OST-2010-0124. Santa Ma ria Public Airport District, the legal sponsor, is requesting $490,000 in federal assistance to implement a $730, 000 air service initiative. The project goal is to obtain nonstop service to a major airline’s hub that is located ea st of Santa Maria. The Strategic Plan, SkyWest Air lines/United Express Denver service, will achieve the project’s goal.



### H IGHER 

### T HAN 

### A VERAGE 

### F ARES

Santa Maria is underserved and overpriced, particul arly
to eastbound markets. With air service connections to the east limited to United Express Los Angeles serv ice, the options for traveling east are inconvenient and expensive. Santa Maria’s largest eastbound markets pay a significantly higher average fare than other nearby regional airports causing diversion from the local airport. On average, Santa Maria’s airfares (exclud ing Allegiant Air’s Las Vegas fares) exceed California and national averages by more than 85 percent.



### C OMMUNITY 

### C OST 

### C ONTRIBUTION

To support this air service initiative, the Santa M aria Public Airport District and community will fund 33 percent of the proposed $730,000 Strategic Plan. N onairport revenue sources will fund 20 percent ($130, 000) of the $665,000 cash requirement. This is a strong commitment by the local community to acquire new
eastbound hub service.



### P UBLIC 

### -P RIVATE 

### P ARTNERSHIP

The Santa Maria Public Airport District, Santa Mari a Valley Chamber of Commerce and Visitor & Convention Bureau and Santa Maria Valley Economic Development Commission have formed a public-private partnership

. This partnership has been successful in past air se rvice
efforts and is dedicated to the success of this ini tiative. 

### M ATERIAL 

### B ENEFITS

Nonstop eastbound air service will benefit a broad segment of the traveling public, including business

, education institutions and other enterprises. With in a 60-minute drive, approximately 400,000 people resid e in the area expanding to almost 700,000 within a 12 0- minute drive. Importantly, Vandenberg Air Force Ba se and its’ associated aerospace contractors employ ov er 8,600 people and has a high demand for Denver servi ce because of its’ many aerospace partners that are located in and around Denver. The growing populati on of North Santa Barbara County, the US aerospace industry and many businesses in the region desperat ely need the proposed service. Denver has been the are a’s number one market outside of California for many years. There is no other service improvement that would mean as much to the region as nonstop service

to Denver.



### U SE OF 

### F UNDS IN A 

### T IMELY 

### F ASHION

All of the elements are in place to ensure the time ly use of grant funds. A market analysis has been complet ed for SkyWest/United service to Denver (refer to Appendix

B ). Preliminary discussions with SkyWest/United hav e already taken place, and SkyWest has provided a let ter of support (

Appendix A ). It is reasonable to expect that this service could be implemented in the spring/sum mer of 2011. 

# T

# 3 T HIS SECTION CONTAINS 

### : Description of the Santa Maria community in relation to air service
to demonstrate the benefit of the Strategic Plan to a broad segment of the traveling public. 

# A IR 

# S ERVICE 

# E NVIRONMENT

he Santa Maria Public Airport is in need of air ser vice expansion. Vandenberg Air Force Base’s proxim ity to Santa Maria Public Airport and the solid and growing busi ness and population base in the Santa Maria area is driving local demand for air service improvements. This se ction reflects the broad segment of the traveling p ublic, including businesses, educational institutions and other enterprises that will benefit from the propos ed Strategic Plan.



### A IRPORT 

### C ATCHMENT 

### A REA

The Santa Maria Public Airport is located on the Ce ntral Coast of California in the city of Santa Mari a. The Airport is located in northern Santa Barbara County, about 35 miles south of the city of San Luis Obispo, 70 mile s north of the city of Santa Barbara and 170 miles north of Los Angeles . The airport’s catchment area, shown in Exhibit 3.1 , has a population of almost 225,000. Within a 60-minute d rive from the Airport the population is almost 400, 000 and expands to 700,000 within 120 minutes.

Over the next 20 years, Santa Barbara County is forecasted to grow by 11 percent. The fastest growing city in Santa Barbara County, the All America City of Santa Maria, stands at the center of that growth. Santa Maria is the growth region of the
Central California Coast. In the last 10 years, Santa Maria’s population grew over 20 percent. Santa Maria’s scenic terrain, moderate climate and quality of life have fueled the dramatic migration of new residents and businesses seeking affordable locations in California. Additionally, growth has been boosted by Santa Maria’s proximity to and the increased activity at Vandenberg Air Force Base, the West Coast home of the National Aeronautics and Space Administration’s (NASA) space program. 

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EXHIBIT 3.1 AIRPORT CATCHMENT AREA

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# 4 B USINESS 

### C OMMUNITY

Like other California communities, Santa Maria has evolved from an agricultural background to a diversified ec onomy that includes aerospace/military, education, medical, te chnology and service sectors. What was once a slow-paced fa rming community is now a dynamic regional center. The San ta Maria Valley has a burgeoning agricultural industry, as w ell as connections with aerospace due to its proximity to Vandenberg Air Force Base. Other significant manuf acturing includes wire and cable production, medical manufac turing, high-tech communications, dental products manufactu ring and a myriad of other industrial products. Table 3.1 provides a list of top employers in the Santa Maria area.

Agriculture is the number one industry in the Santa Maria Valley, and new technologies are emerging. The Win dset Farms project, which features the first hydroponic farmin g in the region, will have four large, 32-acre greenhouses, 5.7 million square feet in total. The project will create over 240 jobs. This will open the door for further technological advanc ements in agriculture and create new business opportunities i n Santa
Maria.

With over 1,300 employees, Marian Medical Center is one of the largest employers in the Santa Maria Valley. Ma rian Medical Center’s 216,000 square foot, 188-room hospital exp ansion will open additional opportunities for medical related b usinesses, service and medical products. A number of companies in Santa Maria specialize in manufacturing medical and health products. The expansion is projected to be completed in

2011.

Vandenberg Air Force Base and the influence of the California Space Authority present the ideal anchor for companies specializing in space technologies. The California Space Center is a 500,000 square-foot project on 7 1 acres currently in the planning phase that will benefit all aspects of economic development in the entire region. At pre sent, Vandenberg Air Force Base and its’ associated aerospace contra ctors play an important role in the region’s econom ic engine collectively employing over 8,600 people. Because Vandenberg is the West Coast home of the US space p rogram, there are a number of aerospace firms including Lockheed Martin, Boeing, C& D Aerospace and InDyne located e ither on the base or in the community. Significantly, the Air F orce Base along with its aerospace contractors have direct links with sister companies and/or other aerospace contractors that are located in the Denver/Colorado Springs ar ea.



### E DUCATIONAL 

### I NSTITUTIONS

Santa Maria is home to the campus of Allan Hancock Community College. The College serves all of northe rn Santa Barbara County and parts of San Luis Obispo and Ven tura counties at campuses in Santa Maria, Lompoc, S olvang and Vandenberg Air Force Base. Over 1,300 courses are o ffered in over 100 fields of study via nine academi c departments. Allan Hancock Community College, with nearly 1,000 employees, is one of the five largest employers in northern Santa TABLE 3.1 INSTITUTIONS
EMPLOYER INDUSTRY

Vandenberg Air Force Base Defense and Aerospace Santa Maria School District Public Education Marian Medical Center Health Care Allan Hancock College Public Education City of Santa Maria Public Administration Orcutt Union School District Public Education Betteravia Farms Agriculture C&D Zodiac Aerospace Manufacturing Den-Mat Corporation Manufacturing VTC Nonprofit Source: Santa Maria Chamber of Commerce and Visitor & Convention Bureau

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# 5 Barbara County. The Santa Maria area also has seve ral university extension programs including: Chapma n University Academic Centers, La Verne University and Embry-Rid dle Aeronautical University.



### T OURISM

Santa Maria’s backdrop of coastline and wine countr y provide unlimited year-round recreation and leisure opportunities. Tourism is a significant industry d ue to Santa
Maria’s central location between the Sierra Madres
Mountains and Pacific Ocean and the wide selection of Central Coast activities. Wineries provide a large amount of revenue for the region, both in wine production and through tourism. The Santa Maria Wine Trail is very popul ar among visitors. Other attractions include:

• Pismo Beach

• Hearst Castle

• Foxen Canyon Wine Trail

• Solvang

• La Purisima Mission

• Guadalupe-Nipomo Dunes Complex

# 6 T HIS SECTION CONTAINS 

### :

• Description of existing air
service

• Synopsis of historical air service



### • Description of air service development efforts 

# A IR 

# S ERVICE


# – E XISTING

AND 

# H ISTORICAL

his following is a current and historical look at a ir service at Santa Maria Public Airport. Carriers providing service, service frequency, nonstop destinations offered and airfares are shown. Also included in the following section is a discussion of past air service development efforts and extenuating factors that have affected air service.



### E XISTING 

### A IR 

### S ERVICE

Santa Maria Public Airport has nonstop service to L as Vegas International Airport on Allegiant Air and Los Ange les International Airport on United Express ( Table 4.1 ). Allegiant provides three weekly departures with the 150-seat MD-80 narrow-body jet. United Express, operated by SkyWest Airlines, provides an average of four daily departu res (only three on Saturday) with the 30-seat Embra er 120 turboprop aircraft. The only anticipated change in Santa Mar ia’s schedule over the next 12 months is the additi on of a fourth flight on Saturday to Los Angeles in November 2010 increas ing weekly departures to 28 to Los Angeles.

TABLE 4.1 EXISTING AIR SERVICE NONSTOP DESTINATION MARKETING CARRIER AIRCRAFT WEEKLY DEPARTURES WEEKLY

SEATS
Las Vegas, NV Allegiant Air MD

- 80 (150-seat jet) 3 450

Los Angeles, CA United Express EMB

- 120 (30-seat turboprop) 27 810

Total 30 1,260

Source: apgDat, August 2010



### H ISTORICAL 

### A IR 

### S ERVICE

Historically, Santa Maria Public Airport has suppor ted service to a variety of hubs/destinations inclu ding: Las Vegas, Los Angeles, Oxnard, Paso Robles, San Francisco, San Lu is Obispo and Santa Barbara. The following summari zes the historical air service situation including: destinations, traf fic levels, service providers and airfares. Extenu ating factors that have
affected air service over time is also reviewed. 

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# 7 Destinations, Service Providers and Traffic

Levels

During the last five years departures have declined while available seats peaked in 2008 then began to declin e in 2009.
Exhibit 4.1 provides a summary of annual departures, seats and enplanements from 2005 through 2009. During th e fiveyear period, departures peaked in 2005 before Unite d Express reduced departures. However, with the addition of Allegiant service to Phoenix-Mesa and Las Vegas, seats peaked in 2008. Enplanements continued to improve over the five-yea r period in response to Allegiant’s service.

EXHIBIT 4.1 DEPARTURES, SEATS, AND ENPLANEMENTS

Table 4.2 provides additional detail on average scheduled we ekly departures and seats from 2001 through 2010 by destination and carrier. United Express provided n onstop Los Angeles service over the entire 10-year period; however, departures decreased from a high in 2001 of 50 per week to only 27 per week in 2010. During the 10-ye ar period, Allegiant began service to Las Vegas in 2006 and ha s continued to do so with three departures per week . In 2007/2008, Allegiant also provided nonstop service to Phoenix/ Mesa but pulled the service in 2008. Historically, Santa Maria Public Airport has not had the benefit of eastbound hub se rvice flown by a mainline carrier. Las Vegas, NV

TABLE 4.2 HISTORICAL DESTINATIONS AND SERVICE PROVI DERS

DESTINATION AIRLINE ITEM AVERAGE SCHEDULED WEEKLY DEPARTURES/SEATS

2001 2002 2003 2004 2005 2006 2007 2008 2009 2010

Las Vegas, NV Allegiant Air Dept 3 3 3 3 3
Seats 431 450 488 450 438

Los Angeles, CA United Express Dept 50 40 41 41 41 34 34 33 27 27

Seats 1,500 1,200 1,230 1,230 1,230 1,010 1,020 978 803 815

Phoenix, AZ (AZA) Allegiant Air Dept 2 2
Seats 300 300 Average weekly departures 50 40 41 41 41 36 37 37 30 30 Average weekly seats 1,500 1,200 1,230 1,230 1,230 1,298 1,520 1,590 1,253 1,253

Source: apgDat 0 19,000 38,000 57,000 76,000 95,000

0 500 1,000 1,500 2,000 2,500

2005 2006 2007 2008 2009Enplanements/SeatsDepartures

Calendar year

Scheduled Departures Enplanements Scheduled Seats

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# 8 Airfares

Over the last five years, Santa Maria Public Airport’s average fares have far exceeded Santa Barbara, San Luis Obispo, the state of California, the West region and national

averages as Table 4.3 shows. In 2009, Santa Maria’s average fare (excluding the impact of Allegiant’s low Las Vegas fares) were as much as 91 percent higher than the West region’s average fare, 31 percent higher than San Luis Obispo and 53 percent higher than Santa Barbara. While Allegiant’s presence in the Santa M aria market dramatically improved fares to/from Las Vegas, their top origin and destination market, other options are ne eded in the Santa Maria marketplace to bring fares more in line with other airports regionally and nationally.



### Extenuating Factors that have Affected Air Service

Air service at Santa Maria Public Airport has been affected by the close proximity of other commercial air service airports. Santa Barbara Municipal Airport is approximately 70 miles away, a nd San Luis Obispo County Airport is approximately 35 miles away. The larger Santa Barbara catchment area population resulted in more service at that airport while airports serving the smaller Santa Ma ria and San Luis Obispo catchment areas competed vigorously for air service for their air travelers. The result is both airports having limi ted north/south service, but neither airport has service to either of the hu bs at Salt Lake City or

Denver.

The proximity of Vandenberg Air Force Base to Santa Maria Public Airport has proven to be a major generator of air t ravel much of which would be best served by air service to a major east bound hub. San Luis Obispo catchment area air travelers could be conven iently served by
Santa Maria service to an eastbound hub. Such serv ice would negate
the need for air travelers from the two smaller cat chment areas to drive
60 to 120 miles to Santa Barbara to access service to an eastbound hub.



### Past Air Service Development Efforts

The Santa Maria Public Airport District Board of Di rectors has been actively involved in air service d evelopment. Over the past five years, the Board of Directors has worked closely with the community on air service developme nt efforts and continues to do so. Since 2005, Santa Maria Public Airport has aggressively pursued new air service i ncluding:

• Delta Connection: Salt Lake City, two daily, CRJ- 200 (2005)

• United Express: Denver, one or two daily, CRJ-200 (2006)

• Frontier Jet Express: Denver, two daily, CRJ-700 ( 2007)

• United Express/SkyWest Airlines: Denver, one or two daily, CRJ-200 (2010) TABLE 4.3 AVERAGE ONE-WAY FARE PAID

AVERAGE FARE SMX % HIGHER 2005 2006 2007 2008 2009
Santa Maria $181 $209 $238 $295 $270
Santa Barbara $166 $185 $191 $195 $176 53% San Luis Obispo $167 $192 $195 $218 $206 31%
California $138 $151 $152 $159 $143 89% West Region $134 $145 $145 $156 $141 91%
US $137 $150 $149 $160 $145 87%
Source: Data Base Products, Inc.; excludes Allegian t Air

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# 9 For each of the above initiatives, detailed market analyses and meetings at the airline headquarters have been completed. Market studies such as route forecasts and retention/diversion analyses have als o regularly been conducted to keep the information
current for use in these initiatives. In addition to the above, air service workshops have been held in the community to continue to educate the community on local air service issues, challenges and options for the Santa Maria Public Airport. In 2008, a $7 million Terminal Expansion Project was completed to meet the needs of Santa Maria Public Airport passengers for the foreseeable future, with future growth options incorporated into the design.

In 2004 Santa Maria Public Airport District was one of 13 airports that formed the California Airports Coalition and received a Small Community Air Service Development Program grant to evaluate the unmet air service nee ds in California. This study evaluated the intrastate air service nee ds of these 13 communities as well as the primary t ravel demand of each community to non-California destinations. Importan tly, even though the study was completed in 2006/20 07 Denver surfaced as Santa Maria’s top non-California destin ation. This study focused the management at Santa Maria Public Airport on Denver and, as can be seen from the list of airline initiatives on the previous page, all o f Santa Maria’s airline initiatives have targeted either Denver or Salt Lak e City service.

This Small Community Air Service Development Progra m grant is the needed component to incentivize an a irline to take the risk and operate service to Denver, consistentl y Santa Maria’s number one non-California market.

# 10 T HIS SECTION CONTAINS 

### : Description of Santa Maria Public Airport’s air service needs and
deficiencies



# A IR 

# S ERVICE 

# N EEDS AND 

# D EFICIENCIES

he Santa Maria area is underserved and overpriced, particularly to destinations located east of Santa Maria.
The Air Service Needs and Deficiencies section identifies
the deficiencies in air service at Santa Maria Publ ic Airport and what air service improvements are needed to correct these
deficiencies. This section demonstrates that Santa Maria is underserved, and the average airfares in this commu nity are higher than other comparable communities.



### M AJOR 

### O RIGIN 

### /D ESTINATION 

### M ARKETS 

### N OT



### S ERVED 

### A DEQUATELY

Only 33 percent of Santa Maria Public Airport’s cat chment area passengers use the local airport. The existing air service to Los Angeles International Airport provides reaso nable convenience to north/south air travelers alon g the heavily traveled West Coast. However, limited frequency in eastbound Los Angeles nonstop markets and a relati vely limited number of eastbound destinations, particularly thos e where codeshare agreements exist, seriously reduc e the convenience of Los Angeles eastbound connecting opp ortunities. Dissatisfaction with Los Angeles conne cting routings is generally shown by lower retention percentages as i llustrated in Table 5.1 in the top 15 Denver and east markets. Importantly, Denver and Colorado Springs are the ar ea’s top two eastern origin and destination markets

.

TABLE 5.1 CATCHMENT AREA RETENTION AND DIVERSION OF PASSENGERS

TOP EASTERN MARKETS SMX RETENTION % DIVERSION %

SBA LAX OTHER Denver, CO 38 44 15 2 Colorado Springs, CO 74 17 7 3 Washington, DC (IAD) 63 16 15 6 Chicago, IL (ORD) 31 6 49 14 Orlando, FL 50 32 13 5 New York, NY (JFK) 21 17 54 8 Dallas, TX (DFW) 31 21 45 3 Houston, TX (IAH) 16 23 48 13 New Orleans, LA 29 33 31 7 San Antonio, TX 56 23 16 5 Boston, MA 48 32 16 4 Philadelphia, PA 43 15 40 2 Baltimore, MD 66 11 20 3 Nashville, TN 10 22 65 3 Atlanta, GA 33 26 30 11 Total Domestic 50 21 19 10 

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# 11 The most serious deficiency in Santa Maria’s servic e is the lack
of service to an eastbound hub such as Denver or Sa lt Lake City. Service improvements are badly needed by Van denberg Air Force Base and its’ associated aerospace contra ctors which
have extensive air travel to/from Denver and Colora do Springs.
Santa Maria service to an eastbound hub would also serve the adjacent San Luis Obispo community. Santa Barbara- Denver service has operated at annual load factors ranging from 83 to 89 percent for the 2006 through 2009 time periods m aking it hard to get a seat on those flights. Santa Maria s ervice to either Salt Lake City or Denver would alleviate the need for area travelers and those from San Luis Obispo to tr avel over 70 miles to Santa Barbara where seat availability is l imited or drive over 170 miles to Los Angeles.



### H IGHER THAN 

### A VERAGE 

### F ARES

High airfares combined with the lack of direct serv ice to an eastbound hub push air travelers to diver t to alternate airports
for service to Denver and east. Table 5.2 compares year ended March 31, 2010, Santa Maria av erage airfares with those of San Luis Obispo, Santa Barbara and Los Angeles i n the catchment area’s top 15 markets Denver and ea st.

TABLE 5.2 AIRFARE COMPARISON

MARKET AVERAGE FARE DIFFERENCE

SMX SBP SBA LAX SBP SBA LAX Denver, CO $195 $149 $196 $112 $46 ($0) $84 Colorado Springs, CO $307 $200 $251 $205 $107 $57 $102 Washington, DC (IAD) $317 $240 $198 $201 $77 $120 $116 Chicago, IL (ORD) $196 $217 $189 $186 ($21) $7 $10 Orlando, FL $384 $232 $241 $190 $152 $143 $194 New York, NY (JFK) $287 $247 $194 $243 $40 $92 $44 Dallas, TX (DFW) $273 $217 $195 $181 $56 $78 $92 Houston, TX (IAH) $332 $246 $213 $193 $86 $120 $140 New Orleans, LA $323 $2 42 $226 $196 $81 $97 $127 San Antonio, TX $304 $187 $191 $158 $118 $113 $146 Boston, MA $251 $207 $189 $178 $44 $61 $72 Philadelphia, PA $353 $228 $190 $225 $125 $163 $128 Baltimore, MD $391 $252 $209 $172 $139 $181 $218 Nashville, TN $338 $224 $186 $170 $114 $152 $168 Atlanta, GA $421 $262 $201 $188 $159 $220 $233 Source: Data Base Products, Inc.; Year Ended 3/31/1 0

Though this is a limited sample, it makes the case that Santa Maria’s fares in eastbound markets are o verpriced compared to adjacent airports. Service to an eastbound hub with improved routings, added capacity and the need to be competitive to avoid diversion to other airports wi ll result in lower fares.

# 12 T HIS SECTION CONTAINS 

### :

• Strategic Plan

• Alternate plan



### • Previous grant recipient with new project and goals 

# S TRATEGIC 

# P LAN


# – A IR 

# S ERVICE

his Strategic Plan section provides a detailed desc ription of the goals of the project and a primary a nd alternate plan for attaining those goals. This application reflec ts a new project with different goals from those de tailed in Santa Maria’s 2002 grant award.



### P ROJECT 

### G OALS

The following goals will be accomplished by the pro posed Strategic Plan:

• Secure air service to a major airline’s hub located east of Santa Maria Public Airport

• Mitigate the need to use alternate airports to acce ss adequate air service



### P ROPOSED 

### A IR 

### S ERVICE

The proposed Strategic Plan to meet the project’s g oals is: Santa MariaDenver service, one or two daily Canadair Regional Jet 200 roundtrips operated by SkyWest Airlines/United Express ( Exhibit 6.1 ). The effect of this plan on the project goals will be:

• Adding nonstop, regional jet service to United Airl ines’ Denver hub will provide the region with direct access to i ts’ number one eastern destination and improved connectivity to ma rkets located
east of Denver.

• Nonstop service to Denver will reduce the number of passengers that are now diverting to other airports to fly to Denver or traveling to destinations east of Denver.

• Added capacity will provide greater availability of “cheap seats” thereby reducing Santa Maria’s higher than average airfares. Lower airfares will influence passengers to use San ta Maria Public Airport that are now traveling to alternate airport s.



### A IRLINE 

### P ARTICIPATION

Over the past five years, members of the public-pri vate partnership have met with United Airlines, Del ta Air Lines and SkyWest Airlines regarding nonstop service to the h ubs at Denver and Salt Lake City. Recent discussio ns with SkyWest/United have been positive, and SkyWest’s le tter of support for this application is included in Appendix A

. Because this is a new market, SkyWest’s willingness to serve Santa Maria depends on Santa Maria’s publ ic-private partnership fulfilling its obligations and a grant award for this application. 

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EXHIBIT 6.1 ROUTE MAP

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## P L A N


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# 13 D ETAILED 

### M ARKET 

### A NALYSIS

A financial analysis and forecast has been complete d for SkyWest/United service to Denver International Airp ort. Key points of the analysis are described below and the full analysis
is included as Appendix B, Detailed Market Analysis

.

Projections were completed for a one and two roundt rip schedule on a 50-seat Canadair Regional Jet. The o perating and market assumptions are listed below:

• The Denver local market will be stimulated 50 percent for one roundtrip and 100 percent for two roundtrips. Connecting markets will be stimulated up to 10 percent for one roundtrip and 50 percent for two roundtrips depending on SkyWest/United’s ma rket share of existing passengers.

• SkyWest/United’s Santa Maria-Denver service will ca pture a share of the passengers now driving to an a lternate airport (i.e. San Luis Obispo, Santa Barbara, Los A ngeles International Airport).

• Diversion from SkyWest’s existing Santa Maria-Los A ngeles service was taken into consideration.

• SkyWest/United’s fully allocated operating costs be tween Santa Maria and Denver were estimated using a pgDat Form 41 data for SkyWest for year ended March 31, 2 010, adjusted by the manufacturer’s cost curve and SkyWest feedback.

• SkyWest will operate this service “at risk”.

Table 6.1 provides a summary of the SkyWest/United Denver ma rket analysis for one and two roundtrips per day on the 50-seat Canadair Regional Jet 200. Passenger proje ctions were based on a mature market (i.e., passeng er projections would be at 100 percent on the first day of service ). It is estimated that one roundtrip per day will generate $615,195 (15 percent margin) in segment profit for SkyWest. Two roundtrips per day are projected to generate $ 804,531 (10 percent margin) in segment profit for SkyWest. The Santa Maria-Denver route is forecast to be a stron g economic performer for both SkyWest and United after ramp-up is complete. With an estimated 31 percent fully a llocated system profit margin for one roundtrip and 29 percent for two roundtrips, t h i s m a r k e t w i l l b e s e l f

- s u s t a i n i n g

.

Although it is estimated that SkyWest will earn a profit after the Santa Maria-Denver market matures, SkyWest will not generate this amount of profit at start-up. New markets typically have losses during the first year of operation, hence the need for a revenue guarantee to temper the airline’s risk. Although the airline industry appears to be rebounding in 2010 it is not clear how strong the recovery will be or if it will last. To be sur e, the uncertainty of the future will play a part in the revenue guarantee negotiations with SkyWest. TABLE 6.1 SANTA MARIA-DENVER MARKET ANALYSIS

ITEM STATISTICAL

CATEGORY 1 ROUNDTRIP 2

ROUNDTRIPS 1 Available seats per departure 50 50
2 Segments per day 2 4
3 Onboard passengers 28,545 54,437
4 Load factor 78% 75%
5 Average fare all markets $268 $276
6 Segment 1 re venue $4,093,808 $7,761,756
7 Segment 1 cost $3,478,613 $6,957,225
8 Segment 1 profit margin $ $615,195 $804,531
9 Segment 1 profit margin % 15% 10%
10 System revenue $6,267,277 $12,312,614
11 System cost $4,326,266 $8,732,060
12 System pro fit/loss $1,941,011 $3,580,554
13 System margin 31% 29%
Source: Mead & Hunt, Inc.

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## S E R V I C E



# 14 A LTERNATE 

### P LAN

If Santa Maria Public Airport fails to obtain SkyWe st/United service to Denver, the secondary target is Delta Ai r Lines’ service to Salt Lake City. Consistent with the int ent of the air service initiative proposed, Delta’s Salt Lake City hub fills the need for service to a hub airport located east of S anta Maria. A previous analysis of this option that was complet ed for a presentation to Delta planners indicated that the s ervice would perform well for Delta.



### P REVIOUS 

### G RANT 

### R ECIPIENT



### - N EW 

### P ROJECT

AND 

### G OALS

In 2002 the Santa Maria Public Airport District was awarded a Small Community Air Service Development Program grant. The 2002 grant goals included the following:

• Recruit jet service to areas not currently served

• Increase service from current carrier

• Attract a new carrier to stimulate competition thus creating competitive fares

• Increase community awareness with regard to recruit ing air carriers to the area

The US Department of Transportation’s portion of th e project budget, $217, 530, included a plan for partial funding of an air service marketing program and support for a leakage study.

The 2002 application’s goals targeted the improvement of overall air service at the airport through marketing, research and meeting with airlines. This 2010 application is focused on securing service to a major airline h ub whose location promotes the flow of passengers to markets east of Santa Maria. By adding high value service to the e ast passenger diversion will be reduced and the added capacity wi ll push airfares down further attracting travelers that are now using alternate airports. Also, the 2010 implementation plan is different from the 2002 application. This year ’s application plan includes a revenue guarantee, airport fee waivers and marketing program specifically supporting new s ervice to
eastern hubs/destinations.

In summary, the goals and plan associated with this 2010 grant application are di fferent from Santa Maria’s 2002 grant application/award. Accordingly, this application qualifies as a new project and meets the requiremen ts of the Small Community Air Service Development Program.

# 15 T HIS SECTION CONTAINS 

### :

• Public-private partnership

• Designation of a legal sponsor

• Funding



### • Sustainability of the project 

# S TRATEGIC 

# P LAN


# – I MPLEMENTATION AND 

# F UNDING

his section, Strategic Plan - Implementation and Funding , details the incentive and support plan required t o implement the Strategic Plan. A legal sponsor has been designated and a public-private partnership th at will actively participate in implementing the proposed p roject has been formed. Also, this section address es the selfsufficiency of the service and provides a descripti on of the community’s plan to continue the project if it is not selfsustaining after the grant funds are expended. A p roject budget and breakdown of the sources of funds is included.



### P UBLIC 

### -P RIVATE 

### P ARTNERSHIP

Santa Maria Public Airport District is the sponsor of this grant application. For the purpose of this application, Santa Maria Public Airport District, the Santa Maria Valley Cha mber of
Commerce and Visitors and Convention Bureau and the Santa Maria Valley Economic Development Commission have f ormed a public-private partnership (refer to community supp ort letters in Appendix A ). Collectively, this partnership is committed to completing the Strategic Plan outlined herein.

All partners in the public-private partnership will be involved in the execution of the Strategic Plan ( Table 7.1 ). Santa Maria Public Airport will execute all federal grant offer s, process
associated reimbursement requests, oversee grant administration, and manage the revenue guarantee. The Santa Maria Valley Chamber of Commerce and Visitors and Convention Bureau along with the Santa Maria Valley Economic Development Commission will assume responsibility f or the implementation and management of the marketing prog ram associated with the proposed service.



### I NCENTIVE AND 

### S UPPORT 

### P LAN

The public-private partnership proposes a community support package that has been tested and proved to be successful in acquiring airline service and generating new pas sengers. To reduce SkyWest Airlines/United Express ’ breakeven period and offset the economic risk during start-up, the p ublic-private partnership proposes the following in centives ( Exhibit

7.1 , next page):

• Revenue guarantee: reduce airline economic risk

• New service marketing campaign: create new service awareness for SkyWest/United

• Airport fee waivers: reduce airline start-up costs 

# T

TABLE 7.1 PUBLIC-PRIVATE PARTNER ROLES PUBLIC-PRIVATE PARTNER ROLE Santa Maria Public Airport

District Grant and revenue

guarantee administration Santa Maria Valley Chamber of Commerce and Visitors and Convention Bureau Coordination of the marketing program

Santa Maria Valley Economic Development Commission Coordination of the marketing program

## S E C T I O N 

## 7

. S T R A T E G I C 

## P L A N


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A T I O N A N D 

## F U N D I N G



# 16 Revenue Guarantee

To reduce airline risk and provide an incentive for SkyWest/United to provide nonstop service to Denver, this Strategi c Plan includes a revenue guarantee. Although pro forma projection s for new eastbound hub service are positive ( Appendix B ), service ramp-up and breakeven can take up to a year. It is anticip ated that SkyWest/United will require a $600,000 revenue guar antee to mitigate the risk of starting this new market. The exact terms of the revenue guarantee agreement are subject to furt her negotiations.



### Marketing Campaign

The success of the proposed service between Santa M aria and
Denver will live or die based on the success of the marketing program. Making the people aware of the new, nonsto p regional jet service to Denver and influencing the thousands of travelers that are now driving to alternate airports to use t he local airport is the key. It helps that the new service will hav e the United Express brand and United Express is already in the Santa Maria market, but this does not guarantee the success of the Denver service. The importance of an aggressive promotion campaign cannot be overemphasized.

Table 7.2 provides a breakdown of the marketing dollars to b e spent on maximizing passenger utilization of new fl ights between Santa Maria and Denver. This $50,000 campaign will be funded by non-airport funds through Santa Maria Valley Eco nomic Development Commission ($20,000 cash and $10,000 in -kind) and airport funds through the Santa Maria Public Ai rport District ($20,000 cash). The Santa Maria Valley Economic De velopment Commission and the Santa Maria Valley Chamber of Co mmerce and Visitors and Convention Bureau will be responsi ble for management and implementation of the marketing camp aign.

The marketing campaign will include a kick-off phas e utilizing public relations and social media, an on-going medi a campaign and a promotional event with a media partner approx imately three months after kick-off. The marketing campaign will be monitored and adjusted as necessary for maximum res ults.

KICK-OFF PHASE

A social media campaign will help get the word out. S. Lombardi & Associates’ social media expert will set up and maintain social media accounts and be responsible f or gathering, networking and informing fans and fol lowers of the latest updates in air travel specials and new fligh ts out of Santa Maria Public Airport. The firm will work to create TABLE 7.2 MARKETING BUDGET

DESCRIPTION CASH INKIND TOTAL Kick-Off Phase Public relations $1,000 $0 $1,000 Social media $600 $0 $600

On-Going Media Television a irtime and commercial production $29,600 $0 $29,600

Targeted email campaign $2,000 $0 $2,000

Print media $2,000 $0 $2,000

Promotional Event Television airtime $4,800 $0 $4,800

Program Administration Santa Maria Valley Economic Development Commission $0 $10,000 $10,000

Total $40,000 $10,000 $50,000

Service initiation

SkyWest Airlines

Revenue guarantee Marketing

campaign

US DOT
Non-Airport Non-Airport Fee waivers

Airport EXHIBIT 7.1 INCENTIVE PLAN

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## 7

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# 17 awareness of the convenience of the Santa Maria Pub lic Airport and generate more traffic to its website and location. Public relations will also be utilized to help secure news coverage of th e announcement of new flights coming to Santa Maria. A professionall y organized news conference will be a key part of the initial public relations effort.

ON-GOING MEDIA

A six-month on-going media campaign is proposed wit h television advertising as the core. This campaign will start immediately following the press conference announcing the new flights. S anta Maria-based television stations KCOY (CBS) and KKFX (FOX) will be primary buys, with Comcast Cable (in Santa Maria, Lompoc and Sant a Ynez Valley areas) and San Luis Obispo-based KSBY-TV (NBC) as s econdary buys. The “Central Coast Now” package from KCOY/KKFX give s very good frequency for the money. This can be supplemented with targeted buys in News and other appropriate programming on KCOY/K KFX and KSBY. The budget of $29,600 will be spent on television a irtime and commercial production, spread over six months, with a higher proportion being spent near the kick-off.

A targeted email campaign will also be used and dir ected at persons likely to be higher income, freque nt fliers and/or skiers. For print media, small, targeted publicati ons such as the Pacific Coast Business Times which reaches business owners and managers who are likely to travel freque ntly and be decision makers for corporate travel wi ll be used. Chamber of Commerce publications will also be used to reach this target market.

PROMOTIONAL EVENT

Partnering with a media outlet for a contest will i nject some fun and energy into the campaign about t hree months after the kick-off. With easily-arranged support from pu blic and private entities in the Denver area and fr om SkyWest, a trip to the Denver area including airfare, accommodations a nd activities will be given away.



### Fee Waivers

The air service support program includes three fee waivers: landing fees, terminal fees and fuel flowa ge fees. The Airport will waive landing fees for the first 12 months of new service. Landing fees for the first 12 months are estimated at $20,000 assuming the use of the Canadair Regional J et with one roundtrip daily. An additional six mon ths of landing fees will be offered as part of the sustainability initiative following the one-year anniversary of se rvice. The landing fee waiver may vary depending on aircraft type used and the number of roundtrips offered.

The Airport will waive common use terminal fees for the first six months of service. These fees are e stimated at $15,000 for the first six months. Fuel flowage fees will a lso be waived for the first 12 months of service wo rth an estimated $20,000. An additional six months of terminal and fuel flowage fees will be offered as part of the su stainability initiative following the one-year anniversary of service.

# 18 P ROJECT 

### C ONTINUATION AND 

### S

Based on positive pro forma projections for SkyWest /United service to Denver, it is anticipated that n ew eastbound hub
service will be self- sustaining after the start lack of awareness in the community. The public if at the end of the first year of service the aver age load factor for the 12 Additionally, Santa Maria Public Airpo rt will abate landing, te savings of $35,000 for SkyWest. The public to the success of this project and understand the d ifficulties associated with profitably operating ne w air service.



### S TRATEGIC 

### P LAN 

### F UNDING

The public-priv ate partnership is requesting U of Transportation’s assistance in funding $490,000 of the Strategic Plan ( Exhibit 7.2

US Department of Transportation funding will be used t o partially fund the revenue guarantee. The balance of the revenue guarantee and all other elements including the marketing campaign, Strategic Plan monitoring, airline negotiations and airport fee waivers will be funded by the community. Table 7.3 provides the Strategic Plan budget by element and sources of funding. The Airport and community will fund 33 percent of the total proposed service program. Non- airport funding sources will provide 20 percent of the cash requirement and 19 funding for the total program including in

TABLE 7.3 STRATEGIC PLAN BUDGET

DESCRIPTION US DOT

CASH Airline incentive program: Marketing campaign Revenue guarantee $490,000 Fee waivers: Landing fees Terminal fees Fuel flowage fees Consultant fees: Airline negotiations Strategic Plan monitoring Total $490,000 Percent of total project 67% Percent of cash contribution 74% 

## S E C T I O N 

## 7

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## P L A N


## – I M P L E M E N



### S USTAINABILITY

Based on positive pro forma projections for SkyWest /United service to Denver, it is anticipated that n ew eastbound hub sustaining after the start -up period which can take up to a year. A leadi ng cause of service failure is lack of awareness in the community. The public -private partnership will fund an additional $3 0,000 marketing campaign if at the end of the first year of service the aver age load factor for the 12

- month period averaged less t rt will abate landing, te rminal and fuel flowage fees for an additional six months, a for SkyWest. The public

- private partnership and the Santa Maria business co mmunity are committ to the success of this project and understand the d ifficulties associated with profitably operating ne w air service.

ate partnership is requesting U S Department of Transportation’s assistance in funding 67 percent, or
Exhibit 7.2 ). Specifically, Department of Transportation funding will be used t o

guarantee. The balance of the revenue guarantee and all other elements including the

Strategic Plan monitoring, airline and airport fee waivers will be funded by the

provides the Strategic Plan budget by element and sources of funding. The Airport and percent of the total proposed air airport funding sources will provide

19 percent of the funding for the total program including in -kind services.

TABLE 7.3 STRATEGIC PLAN BUDGET
FUNDING SOURCE

TOTAL AIRPORT NON-AIRPORT

CASH INKIND CASH INKIND

$20,000 $20,000 $10,000 $50,000 $110,000 $600,000

$20,000 $20,000 $15,000 $15,000 $20,000 $20,000

$10,000 $10,000 $15,000 $15,000 $490,000 $45,000 $55,000 $130,000 $10,000 $730,000

6% 8% 18% 1% 100% 7% N/A 20% N/A 100% Cash: US DOT 67% Cash: Airport 6% In-Kind:NonAirport 1% In-Kind:

Airport 8% EXHIBIT 7.2 CASH VS IN

- KIND FUNDING 

### N T A T I O N A N D 

## F U N D I N G

Based on positive pro forma projections for SkyWest /United service to Denver, it is anticipated that n ew eastbound hub ng cause of service failure is 0,000 marketing campaign month period averaged less t han 70 percent. and fuel flowage fees for an additional six months, a private partnership and the Santa Maria business co mmunity are committ ed to the success of this project and understand the d ifficulties associated with profitably operating ne w air service.

Cash: NonAirport 18% KIND FUNDING

# 19 T HIS SECTION CONTAINS 

### :

• Schedule and milestones for timely completion of the project



### • Monitoring program 

# S CHEDULE AND 

# M ONITORING

realistic timetable for implementation of the gran t project has been developed to achieve the project goals and ens ure the timely use of the grant funds. This section detail s the milestones and a monitoring program to track the pr ogress of the project.



### S CHEDULE AND 

### M ILESTONES

The following milestones are proposed to track the progress of this air
service initiative. A timeline follows on Exhibit 8.1 , next page.

• A i r l i n e n e g o t i a t i o n s : After the grant is awarded and agreement is signed, the public-private partnership will contact SkyWest Airlines/United Express and continue airlin e negotiations.

• M a r k e t i n g c a m p a i g n d e v e l o p m e n t / i n i t i a t i o n : While the airline agreement is being finalized, t he marketing campaign will be developed. The timing of the mark eting campaign is critical; ideally, marketing woul d begin 30 to 60 days prior to new service initiation. Dev elopment of the marketing campaign is dependent on the timing of SkyWest/United’s announcement and initiat ion of daily Denver service.

• S e r v i c e i n i t i a t i o n : The public-private partnership anticipates daily service to Denver would begin in spring/early summer of 2011 following successful negotiations wi th SkyWest/United. The remaining elements of the Strategic Plan depend on this date. The public-pri vate partnership understands the realities of the a irline industry; airline route planning and availability o f right-sized aircraft are critical to air service initiation and may delay the service start date.

• R e v e n u e g u a r a n t e e c o n t r a c t c o m p l e t i o n : The revenue guarantee will be calculated based on the terms of the agreement, typically at the end of the first ye ar of service. Assuming a June 2011 start date, th e revenue guarantee contract would expire May 2012. If the s ervice start date changes due to airline circumstan ces and/or equipment availability, the revenue guarantee contr act term will change accordingly.

• A l t e r n a t e p l a n : SkyWest/United service to Denver is the primary target of the Strategic Plan. If SkyWest/United does not show interest in starting s ervice by May 2011, then Delta Air Lines’ service t o Salt Lake City will be pursued. If neither air carrier has s hown interest in implementing the proposed service by December 31, 2011, the sponsor will propose an alternate pla n that meets the goals of this grant application. 

# A

## S E C T I O N 

## 8

. S C H E D U L E A N D 

## M O N I T O R I N G



# 20 The timeline proposed in Exhibit 8.1 is highly contingent on the timing of the grant award and successful airlin e agreement negotiations. If either is delayed, othe r elements on the timeline will be pushed back.



### M ONITORING 

### P ROGRAM

Monitoring new air service initiatives is critical to success. Given the turbulent state of the aviation industry, airline staff do not always have the time to monitor small markets on a regular basis as other initiatives often take priority. Given this, an aggressive and comprehensive monitor ing program is proposed for new Santa Maria-Denver serv ice. The monitoring program includes: service performanc e tracking, assessing the effectiveness of the market ing campaign and determining the impact of the service on retention of catchment area passengers at Santa Mar ia Public Airport. The Strategic Plan will be monitor ed as
follows:

• Available service performance indicators will be reviewed on a monthly basis. The indicators are dependent on availability of data reported by the airline to the US Department of Transportation and data reported to the Airport. It is anticipated th at the following indicators will be reviewed monthly: departures, available seats, enplaned passengers
and load factors.

• On a quarterly basis, average airfares will be compared and evaluated to prior quarters.
Published airfares will also be tracked via one of the Global Distribution/Computer Reservations Systems (GDS/CRS). Revenue per available seat mile will be reviewed and compared against other markets served by SkyWest/United at Denver.

• On an annual basis, an updated retention/diversion study will be completed to assess the impact of the service on retention of passengers at the local airport. EXHIBIT 8.1 PROPOSED TIMELINE

June1, 2011

May 30, 2012 End of first year of service; Revenue guarantee calculated Monthly/quarterly service performance monitoring January 1, 2011

February 28, 2011 December 31, 2010 Grant award
Continue airline negotiations

Finalize airline negotiations and marketing plan

United Express initiates daily DEN service April1, 2011 Marketing begins

# 21 T HIS SECTION CONTAINS 

### : Letters of support from the targetairline, members of the publicprivate partnership, the local business community, and state
government. 

# A PPENDIX 

# A. A IRLINE AND 

# C OMMUNITY 

# S UPPORT

ppendix A includes letters of support for the Santa Maria Pu blic Airport’s application to the US Department of Transportation for eastern hub service. Support le tters were submitted by S k y W e s t A i r l i n e s , participants in the public-private partnership, and members of the Sant a Maria community. The letters of support are incl uded on the following pages of this Appendix A and are listed below.



### A IRLINE SkyWest Airlines



### P UBLIC



### - PRIVATE PARTNERSHIP Santa Maria Economic Development Commission Santa Maria Valley Chamber of Commerce & Visitor & Convention Bureau



### G OVERNMENT City of Santa Maria – Mayor Larry Lavagnino



### B USINESS AND 

### C OMMUNITY 

### S UPPORT Diani Companies Hardy Diagnostics Quintron Systems, Inc.
Santa Maria Manufacturers Association Wilhite, David and Janet 

# A

# 31 T HIS SECTION CONTAINS 

### : An in-depth analysis evidencing familiarity with the target markets
and ultimate success of the proposed Strategic Plan

. 

# A PPENDIX 

# B. D ETAILED 

# M ARKET 

# A NALYSIS

onfidential submission of the Santa Maria Public Ai rport, Santa Maria, CA. 

# C