Order 2012-4-31

Served: April 26, 2012

UNITED STATES OF AMERICA

DEPARTMENT OF TRANSPORTATION

OFFICE OF THE SECRETARY

WASHINGTON, D.C.

Issued by the Department of Transportation

on the 26th day of April, 2012

Essential Air Service at

LARAMIE, WYOMING

WORLAND, WYOMING

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

DOCKET DOT-OST-1997-2958

DOCKET DOT-OST-1997-2981

 

ORDER REQUESTING PROPOSALS

Summary

By this Order, the Department is requesting proposals from airlines interested in providing 

Essential Air Service (EAS) at Laramie and Worland, Wyoming, for a new term beginning 

October 1, 2012, with or without subsidy. Proposals are due by June 5, 2012. (See 

Appendix A for a map.)

Background

By Order 2010-8-10, August 18, 2010, the Department selected Great Lakes Aviation, Ltd., 

operating as both a United Airlines and Frontier Airlines code share partner (Great Lakes), to 

provide EAS at Laramie and Worland using 19-passenger Beechcraft 1900 aircraft to Denver 

International Airport (Denver). Great Lakes provides Laramie with 19 weekly nonstop round 

trips for an annual subsidy of $1,181,572, and Worland with 12 weekly one-stop round trips 

over a Worland-Cheyenne-Denver or Worland-Laramie-Denver routing for an annual subsidy 

of $1,770,336.

Request for Proposals

Air carriers should file their proposals no later than June 5, 2012. After that date, our staff will 

docket the proposals, thereby making them public, and shortly afterwards will provide a 
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summary of the proposals to the communities and ask them for their final comments. We will 

give full consideration to all proposals filed in a timely manner. 

Interested airlines should prepare their proposals with every expectation that their initial 

proposal will also be their final and only proposal. We retain the discretion to negotiate 

proposals with airlines when we deem it desirable. We also retain the discretion to reject 

outright all unreasonable or unrealistic proposals and solicit a new round of proposals.

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

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

www.regulations.gov, each page should be formatted to be viewed online.

We are here providing interested airlines with basic information to serve as guidance when they 

prepare their proposals, but we will not prescribe an exact format. We expect proposals to 

adequately describe the service being proposed and the annual amount of subsidy being 

requested. The 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 affected 

community and the Department.1

Airlines are also welcome to propose more than one option, if they choose. They need not limit 

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

possibilities -- different hubs, frequency or length of contract, for example -- with subsidy 

requirements that remain competitive. However, airlines should be very clear as to whether a 

specific community’s proposal is on a stand-alone basis, or whether it is part of a larger, 

inseparable package with other communities. The community and airlines are encouraged to 

work together in advance of the due date for proposals to craft a service pattern that is desirable 

to the community and meets the operational needs of the airlines.

Proposals should provide sufficient capacity to accommodate historical levels of traffic. In 

order to assist carriers in developing traffic and revenue projections for their proposals, we 

have provided a summary of historical passengers in Appendix B. During year ended 

December 31, 2011, Laramie had 16,505 origin and destination passengers, an average of 26 

enplanements a day, while Worland had 6,193 origin and destination passengers, an average of 

10 enplanements a day. We expect service levels that are comparable with what the 

communities currently receive, with service to Denver, or any large or medium hub that offers 

access to the national air transportation system utilizing twin-engine aircraft. With specific 

respect to Laramie, the Department expects proposals of 2 round trips each weekday and 

weekend using 30-passenger or larger aircraft, 3 round trips each weekday and weekend using 

15-passenger or larger aircraft, and 4 or 5 round trips a day with 8- or 9-seat aircraft. With 

 1 In selecting a carrier to provide subsidized EAS, 49 U.S.C. 41733(c)(1) directs us to consider four factors: 

(1) service reliability; (2) contractual and marketing arrangements with a larger air carrier at the hub; (3) interline 

arrangements with a larger air carrier at the hub; and (4) community views. In addition, the Consolidated 

Appropriations Act, 2008, Public Law 110-161, provides that when selecting an air 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 air carriers should also be aware that our general provisions 

governing EAS 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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respect to Worland, the Department expects proposals for 2 round trips on weekdays and 

weekends using aircraft with 15 or more seats, or 3 or 4 round trips a day with 8- or 9-seat 

aircraft. Should the communities agree to single-engine aircraft, in effect waiving their right to 

twin-engine aircraft, we would consider the waiver to apply only for the length of the term of 

the air carrier-selection at hand, i.e., we would not assume that the communities would waive 

their rights for all time.2 As always, we will formally solicit the communites’ views on any 

service options we receive before making a long-term air carrier selection decision.

Other Carrier Requirements

The Department is responsible for implementing various Federal statutes governing lobbying 

activities, drug-free workplaces and nondiscrimination.3 Consequently, all airlines receiving 

Federal subsidy to support EAS must certify that they are in compliance with Department 

regulations regarding drug-free workplaces and nondiscrimination, and those airlines 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. All airlines that plan to submit 

proposals involving subsidy should submit the required certifications along with their 

proposals. Interested airlines 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. The Department is prohibited from paying subsidy to airlines that 

do not submit these documents.4

Community and State Comments

Civic officials are welcome to submit comments on the proposals at any time. As noted earlier, 

we will provide a summary of the proposals to the civic parties and ask them to submit their 

final comments shortly after June 5, 2012, the due date for 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 airlines interested in providing Essential Air Service at Laramie and/or

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

June 5, 2012. The proposals should be emailed to: EAS@dot.gov with the title “Proposal to 

Provide Essential Air Service at Laramie and/or Worland, Wyoming;”5

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

 2 Previously, most EAS communities were entitled to service with 15-seat or larger aircraft. However, in the 

Department’s FY2012 appropriation (Consolidated and Further Continuing Appropriations Act, P.L. 112-55, 

November 18, 2011), Congress repealed the 15-seat guarantee, although most communities are still entitled to 

service with twin-engine aircraft.

3 The regulations applicable to these areas are: (1) 49 CFR Part 20 – New restrictions on lobbying; (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 (nonprocurement) and government-wide requirements for drug-free workplace (grants).

4 The certifications are also available on the web at http://ostpxweb.dot.gov/aviation/index.html.

5 Questions regarding filings in response to this Order should be directed to Michael Martin at 202-366-6494, or 

via email at michael.f.martin@dot.gov.
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3. The Department will serve a copy of this Order on the Mayors and Airport Managers of 

Laramie and Worland, Wyoming, Great Lakes Aviation, Ltd., the Wyoming Department of 

Transportation, and the service list for these Dockets.

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

Aviation Economic 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 online at

www.regulations.gov
Appendix A

Area Map
Appendix B

Page 1 of 2

Historical Origin-Destination Plane Traffic1

Laramie, Wyoming

Quarter Year Deplanements Enplanements Total Traffic

Average Daily 

Passengers

1 2009 1,942 1,877 3,819 25

2 2009 1,816 1,835 3,651 23

3 2009 2,206 2,231 4,437 28

4 2009 2,436 2,717 5,153 33

Annual 

Totals 8,400 8,660 17,060 27

1 2010 1,954 1,860 3,814 25

2 2010 1,994 1,915 3,909 25

3 2010 2,167 2,321 4,488 28

4 2010 2,646 2,886 5,532 35

Annual 

Totals 8,761 8,982 17,743 28

1 2011 1,887 1,763 3,650 24

2 2011 1,904 1,850 3,754 24

3 2011 2,111 2,187 4,298 27

4 2011 2,163 2,640 4,803 30

Annual 

Totals 8,065 8,440 16,505 26

 1 Source: USDOT Bureau of Transportation Statistics, TransStats Intermodal Database, Schedule T-100.
APPENDIX B

Page 2 of 2

Historical Origin-Destination Plane Traffic1

Worland, Wyoming

Quarter Year Deplanements Enplanements Total Traffic

Average Daily 

Passengers

1 2009 628 614 1,242 8

2 2009 657 590 1,247 8

3 2009 741 773 1,514 10

4 2009 715 673 1,388 9

Annual 

Totals 2,741 2,650 5,391 9

1 2010 624 622 1,246 8

2 2010 701 671 1,372 9

3 2010 676 707 1,383 9

4 2010 750 734 1,484 9

Annual 

Totals 2,751 2,734 5,485 9

1 2011 584 592 1,176 8

2 2011 822 746 1,568 10

3 2011 885 914 1,799 11

4 2011 832 818 1,650 10

Annual 

Totals 3,123 3,070 6,193 10

 1 Source: USDOT Bureau of Transportation Statistics, TransStats Intermodal Database, Schedule T-100.
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.

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.

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 Government 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.

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

under this Order.