Order: 2010-3-3 

Served: March 3, 2010 

.ji^^^b . UNITED STATES OF AMERICA 

DEPARTMENT OF TRANSPORTATION 

OFFICE OF THE SECRETARY 

^^^•^ ^ WASHINGTON, D.C. 

Issued by the Department of Transportation 

on the 3"* day of March, 2010 

Essential Air Service at 

PRESQUE ISLE, MAINE 

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

Docket DOT-OST-2000-8012 

ORDER REQUESTING PROPOSALS 

Summary 

By this order, the Department is requesting proposals from carriers interested in providing 

essential air service (EAS) at Presque Isle, Maine, for the two-year period beginning 

June 1,2010, with or without subsidy. Proposals are due by March 26, 2010. (See 

Appendix A for a map.) 

Background 

By Order 2008-2-53, the Department selected Colgan Au: Inc., operating as 

US Airways Express (Colgan), to provide the community 19 weekly nonstop round trips to 

Boston, at an annual subsidy of $2,643,588, for the two-year period from June 1, 2008, 

through May 31, 2010. 

Request for Proposals 

As the end of the current contract approaches on May 31, we are here requesting proposals 

for a new two-year period beginning June 1. Interested carriers should prepare their 

proposals with every expectation that their initial proposals will represent Xhexx final and 

only proposals. However, we retain the discretion to negotiate proposals with carriers 

when we deem it desirable; in such cases, of course, we will give all applicants the same 

opportunity. We also retain the discretion to reject outright all unreasonable or unrealistic 
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proposals and resolicit a new round of proposals. However, we anticipate that negotiation 

or rejection will remain only occasional exceptions to the rule. 

We are here providing interested carriers with some basic information to assist them as 

they prepare their proposals, but we will not prescribe a precise format for then: 

preparation. We expect proposals to adequately describe the service being proposed and 

the annual amount of subsidy being requested. Applicants can make their own judgments 

as to the level of detail they wish to present; however, they might want to include proposed 

schedules, as well as supporting data for their subsidy requests, such as projected block 

hours, revenues, and expenses. We strongly encourage clear, well-documented proposals 

that will facilitate their evaluation by the conmiunity and the Department.' 

With specific respect to Presque Isle, we expect proposals consisting of two daily nonstop 

roimd trips (14 round trips a week) using 34-seat or larger aircraft, or four daily round trips 

(24 round trips a week) using 19-seat aircraft to Boston's Logan International Airport or 

another suitable hub airport with airline cormections to the national air transportation 

system. 

We encourage proposals that meet those requirements in an efficient manner. Carriers are 

also welcome to propose more than one service option, if they choose; they need not limit 

themselves to those requirements if they envision other, potentially more attractive service 

possibilities ~ different hubs, for example ~ with subsidy requirements that remain 

competitive. 

New Filing Procedures 

Carrier proposals should be submitted to the Department with all materials merged into a 

single document. In addition, because the document will be published on Regulations.gov, 

each page should be formatted to be viewed online. 

Historical Traffic 

In order to assist prospective applicants in making traffic and revenue forecasts, we have 

included historical passenger data from 2005 through October 31, 2009, in Appendix B. 

' In selecting a carrier to provide subsidized essential air service, 49 U.S.C. 41733(c)(1) directs us to consider 

four factors: (1) scheduled service reliability; (2) contractual and marketing arrangements with a larger carrier 

to ensure service beyond the hub; (3) interline arrangements that the applicant has made with a larger carrier 

at the hub; and (4) community views, giving substantial weight to the views of the elected officials 

representing the users. In addition, the Consolidated Appropriations Act, 2008, Public Law 110-161, 

provides that when selecting a carrier to provide EAS, the Department may consider the relative subsidy 

requirements, thus codifying a factor that we have considered since the inception of the program. Interested 

carriers should also be aware that our general provisions governing essential air service will be included in 

the selection order as part of our authorization of subsidy for the selected service. Appendix C of this order 

contains those general provisions. 
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Other Carrier Requirements 

The Department is responsible for implementing various Federal statutes governing 

lobbying activities, drug-free workplaces, and nondiscrimination. Consequently, all 

carriers receiving Federal subsidy for essential au: service must certify that they are in 

compliance with Department regulations regarding drug-free workplaces and 

nondiscrimination, and those carriers whose subsidies exceed $100,000 over the life of the 

rate term must also certify that they are in compliance with the regulations governing 

lobbying activities. Because the Department is prohibited from paying subsidy to carriers 

that do not submit these documents, all carriers that plan to submit proposals involving 

subsidy should be aware that the selected carrier will be expected to complete the required 

certifications. Interested carriers requiring more detailed information regarding these 

requirements as well as copies of the certifications should contact the Office of Aviation 

Analysis at (202) 366-5903.^ 

Community and State Comments 

The community and the state are welcome to submit comments at any time. We encourage 

prospective applicants to contact the commimity before they submit their proposals in order 

to tailor them to the community's needs. As noted earlier, we will provide a copy of the 

proposals to the civic parties and ask them to submit their final comments shortly after 

April 2, the deadline for filing carrier proposals. 

This order is issued under authority delegated in 49 CFR 1.56a(f) and re-delegated to the 

Director, Office of Aviation Analysis. 

ACCORDINGLY, 

1. We request that carriers interested in providing essential air service at Presque Isle, 

Maine, submit their proposals, with or without subsidy requests, no later than 

March 26, 2010. The proposals should be e-mailed to EAS@dot.gov, with the title: 

"Proposal to Provide Essential Air Service at Presque Isle, Maine, Docket OST-2000-

8012";* 

2. This docket will remain open until further order of the Department; and 

2 The regulations applicable to these areas are: (1) 49 CFR Part 20 ~ New restrictions on lobbymg; 

(2) 49 CFR Part 21 - Nondiscrimination in federally-assisted programs of the Department of Transportation -

- Effectuation of title VI of the Civil Rights Act of 1964; 49 CFR Part 27 - Nondiscrimination on the basis of 

disability in programs and activities receiving or benefiting from Federal financial assistance; and 

14 CFR Part 382 - Nondiscrimination on the basis of disability in air travel; and (3) 49 CFR Part 29 -

Government-wide debarment and suspension (non-procurement) and government-wide requirements for 

drug-free workplace (grants). 

3 The certifications are also available on the World Wide Web at http://ostpxweb.dot.gov/aviation/index.html. 

•* Questions regarding filings in response to this order may be directed to Michael Martin at (202) 366-6494, 

and proposals should be emailed to EAS@dot.gov, no later than March 26, 2010. 
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3. We will serve copies of this order on the Mayor of Presque Isle, the airport manager of 

the Presque Isle Airport, the Governor of Massachusetts, Colgan Air Inc., and the carriers 

listed in Appendix D. 

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

Regulations, 14 CFR Part 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 

http://www. resulations. sov 
Appendix A 

AREA MAP 

Presque Isle 
Historical Passenger Traffic at Presque Isle, Maine ^ 

Enplanements at Presque Isle 

1Q 

2Q 

3Q 

4Q 

Totals 

2005 

3,786 

3,937 

4,815 

3,529 

16,067 

2006 

3,878 

3,903 

4,641 

3.847 

16,269 

2007 

3,774 

4,058 

4,324 

3,433 

15,589 

2008 

3,239 

3,026 

3,721 

3,238 

13,224 

Year 

endina 

09/30/2009 

2,829 

3,236 

3,944 

.... 

13,247 

Deplanements at Presque Isle 

1Q 

2Q 

3Q 

4Q 

Totals 

2005 

3.658 

4,456 

4,589 

3.459 

16,162 

2006 

3,627 

4,406 

4,394 

3.684 

16,111 

2007 

3,714 

4,355 

4,235 

3.264 

15,568 

2008 

3,116 

3,371 

3,656 

3.120 

13,263 

Year 

endina 

09/30/2009 

2,786 

3,581 

3,942 

.... 

13,429 

Appendix B 

Total Origin and Destination 

Passengers 

10 

20 

30 

40 

Totals 

2005 

7,444 

8,393 

9,404 

6.988 

32,229 

2006 

7,505 

8,309 

9,035 

7.531 

2007 

7,488 

8,413 

8,559 

6.697 

2008 

6,355 

6,397 

7,377 

6.358 

32,229 32,380 31,157 26,487 

Year 

endina 

09/30/2009 

5,615 

6,817 

7,886 

26,676 

' Source: Department of Transportation, Bureau of Transportation Statistics, T-lOO Market data. 
Appendix C 

Example of General Terms and Conditions for Essential Air Service 

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 completely, 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 solicitation beyond [DATE]. The 

Department's obligation for performance under this solicitation beyond [DATE], is contingent 

upon the availability of appropriated funds from which payment for services can be made. No 

legal liability on the part of the Department for any payment may arise for performance under 

this order beyond [DATE], until funds are made available to the Department for performance. If 

funds are not made available for performance beyond [DATE], the carrier will receive notice in 

writing by the Department. 

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. 
Appendix D 

Scheduled Air Carriers. Contiguous US and Puerto Rico 

Air Greco, d/b/a Wings Air, Aaron Goerlich 

Air Greco, d/b/a Wings Air, Charles Mintz 

Air Greco, d/b/a Wings Air, Robert Rupard 

Air Sunshine, Mirmohammad Adili 

Air Wisconsin, Barbara Jones 

Alaska Airlines, Jeff Cole 

Alaska Airlines, Sandy Sinick 

Allegiant Air, Robert Ashscroft 

Alliance Air, Paul Berliner 

American Airlines, Carl Nelson 

American Eagle, Jeff Hartz 

Bemidji Aviation, Arlen Rinkenberger 

Bemidji Aviation, Cori Rude 

Cape Air, Andrew Bonney 

Cape Air, Dan Wolf 

Cape Air, J. Flaherty 

Caribbean Sun Airlines, John Rupert 

Colgan Air, Mike Colgan 

Colgan Air, Kevin Scott 

CommutAir, Andy Price 

CommulAir, Joel Raymond 

Continental, Bruce Keiner 

Continental, Dan Weiss 

Continental, Lorry Halloway 

Delta Air Lines Amy Martin 

Delta Air Lines, Jeff Morgan 

Delta Air Lines, Dan Shuman 

Delta Air Lines, Joe Esposito 

Delta Air Lines, Sascha Vanderbellen 

Delta, Karen Zachary 

Executive Airlines, Kate Soled 

Great Lakes Airlines, Chuck Howell 

Great Lakes Airlines, Doug Voss 

Great Lakes Airlines, Greg Stephens 

Gulfstream, Dave Hackett 

Gulfstream, Mickey Bowman 

Gulfstream, T. Cooper 

Homeland Security, Michael Duffy 

Homeland Security, Randy Webb 

Horizon Air, Dan Russo 

Horizon Air, Jennifer Thompson 

Horizon Air, Jeff Cole 

ICEPR, Luis Irizarry 

Island Air Charters, Linda House 

Jet Air, Daniel Wolford 

Kenmore Air, Tim Brooks 

Mesa Air Group, Jonathan Orastein 

Mesa Air Group, Michael Lotz 

Mesa Air Group, Mike Holcomb 

Mesaba, Max Shemesh 

Mesaba, John Spanjers 

Midwest Airlines, Anthony Intravia 

Midwest Airlines, David Reeve 

Midwest Airlines, Greg Aretakis 

MN Aviation, Jose Maldonado 

Multi Aero, Damea 

Multi Aero, Shane Storz 

NYDC, Henok Araya 

Northwest, Aaron Murray 

Northwest, Tim McDonald 

OST, Dennis DeVany, Renee Williams, 

OST, Kevin Adams, Brian Swanson 

Pacific Wings, Frank Ford 

Pacific Wings, Greg Kahlstorf 

Pinnacle Airlines, Joe Williams 

Pinnacle Airlines, Phil Reed 

Public Charters, Jim Gallagher 

Salmon Air, Dan Schroeder 

Salmon Air, JoAnn Wolters 

Scenic, Mary Schneider 

Scenic, Mitzi Daines 

Seabome Airlines, Wayne D'Amico 

SeaPort Airlines. Rob McKinney 

Shuttle America, Jerry Baisano 

SkyWest, Eric Christensen 

SkyWest, Michael Thompson 

Sovereign Air, Bob Kams 

Sovereign Air, Lois R. Barton 

Tradewind, Eric Zipkin 

Trans States, Bill Mishk 

Trans States, Gerry Wigmore 

United, Alicia Gabriel 

United, James Stames 

US Airways, Howard Kass 

US Airways, Jason Reisinger 

US Airways, Benjamin Slocum 

Vintage Props and Jets, Nate Vallier 

Wings of Alaska, Bob Jacobsen 

Wings of Alaska, Michelle Donohue