# pcrr-osr - 2.0D 3 -1 5 la, ^

Froni : Swanson
. Bria n (OST ) ^' ' To : "fbo.iwdgichaiteintemet.com" : "thowenSS-jaJhotmail.com" : "aiiDOtt^deltacountvmi.org " "ai l QorHadfitarniintvmi.orn' : 'brinkermiamirhi<ian.t>nv' : . "buichellfflicitvofiionwood.oro" ; "fotmhousebigichaitenntefnet.com" : 'ochevesgiescanaba.OfQ " Cc : 'aea t Lakes , Chuc k Howeir ; "Zacharv
. Kare n R" : "Va n de rBe)en
. Atexandet" : ''fci727" : 'Jo n Payne" : Devany
. Denni s fOST i Subject : Sotcittn g Comment s o n EA 5 bid s a t ESC , IMT , IW D an d MB L Date : Tuesday , Marc h 30 , 201 0 3:05:2 4 P M AU : I woul dlik e t o updat e yo u o n th e Essentia l Ai r Servic e (EAS ) situatio n at : Escanab a (ESC) , Iro n Mountain/Kingsfor d(IMT) , Ironwood/Ashlan d(IWD) , an dManistee/Ludingto n (MBL) , an dgiv e yo u an opportunit y t o submi t comment s i

f yo u wish
. In anticipatio n o f

th e en dof

Mesaba' s an dGrea t

Lakes ' curren t

contracts , th e Departmen t

issue dOrde r

2010-2-1 8 o n Februar y 19 , 2010 , synchronizin g th e contrac t en d date s (t o Augus t

31 ) a t th e four communitie s an dsolicitin g proposal s fro mal l intereste dai r carrier s t o provid e EA S a t any o r al l o f th e communities , for

ane w two-yea r

term . In respons e t o tha t

order , w e receive dproposal s from : th e incumben t carrier s (Mesab aan dGreat Lakes) , Charte r

Ai r Transpor t

an dSovereig n Air
. W e hav e directe deac hcarrie r t o serv e it s proposa l o n you . Copie s o f th e proposal s may als o b e accesse donlin e throug hth e Federa l Docke t Managemen t

Syste mat : http://www.regulations.gov , b y doin g asimpl e searc ho n b y doin g asearc ho n Dockets : DOT-OST-2003-1512 8 (ESC) , DOT-OST-1999-517 5 (IMT) , DOT-OST-1996-126 6 (IWD) , and/o r DOT-OST-1996-171 1 (MBL)
. Fo r you r convenience , eac hcarrier' s proposa l i s briefl y summarize dbelow
. A s summarize di n th e tabl e below , Mesaba , d/b/ aDelt aConnection , submitte dathree

servic e optio n proposal , utilizin g 34-passenge r Saab 34 0 aircraft , t o provid e EA S a t IM T an d ES C only
. Option s 1 an d2 can b e combine dfor a n annua l subsid y rat e o f

approximatel y $4.485M
.

### Optio n # 1 2 3 

### Community

ES C IM T ES C an dIM T 

### Weekly roun d

trip s 1 4 (nonstop ) 1 4 (nonstop ) 2 1 (one-sto p & nonstop ) 

### Hu

b Serve d Detroi t Minneapoli s Detroi t an d Minneapoli s 

### Annual

Subsid y Requiremen t $2,31 0 M $2,17 6 M $4,18 1 M Great Lake s submitte dafour-community packag e bi d{al l o r nothing ) for

servic e t o Milwauke e (wher e it

wil l utiliz e it s code-shar e agreemen t withFrontie r

Airlines ) with19

- passenge r Beec h1900 D aircraft
. It s propose dservic e level s for eac hcommunit y an dannua l subsid y requiremen t

ar e summarize dbelo w 

### Community ES C IM T IW D MB L 

### Weeld

y roun dtrip s 1 8 1 8 1 4 1 4 

### Annual Subsid y Requiremen t Servic e patter n note s n o restriction s uplin e n o restriction s uplin e one-sto p authority ove r

IMT , ES C o r Rhinelander , Wisconsin
. n o restriction s uplin e

$6,47 1 M Charte r Ai r Transport

submitte daproposa l withseve n options
. Eac hoptio n stand s o n it s ow n an dcan b e combine dwithothe r option s utilizin g additiona l aircraft
. It s propose d servic e level s for

eac hcommunit y an darmual subsid y requirement s ar e summarize dbelow
. 

### Optio n #

1

2 

### Community

ES C MB L
IW D
IM T 

### Aircraf

t typ e (pa x seats ) - uplin e servic e Embraerl20(30)

- share dwit

hMB L Embraerl20(30)

- share dwit

hES C Embrae r 120(30)

- share dwit

hIM T Embrae r 120 (30)

- share dwit

hIW D 

### Weekl y roun dtrip s 1 8 (one-sto p an dnonstop ) 1 2 (one-sto p an dnonstop ) 1 2 (one-sto p an dnonstop ) 1 2 (one-sto p an dnonstop ) 

### Hu

b Serve d

Milwauke e 

### Annual

Subsid y Requiremen t $3,47 7 M

$3,17 3 M

### Optio n

# 3 4
5
6 7 

### Community

ES C MB L
MB L
IW D IM T 

### Aircraf

t typ e (pax seats ) Embrae r 120 (30 ) BA E 320 0 Jetstrea m (19 ) BA E 320 0 Jetstrea m (19 ) BA E 320 0 Jetstrea m (19 ) Embrae r 120 (30 ) 

### Weekl y

roun dtrip s 1 2 (nonstop ) 1 2 (nonstop ) 1 2 (nonstop ) 1 2 (nonstop ) 1 2 (nonstop ) 

### Hu

b Serve d

Milwauke e Chicag o - Midwa y
Milwauke e 

### Annual

Subsid y Requiremen t $2,25 4 M $1,74 6 M $1,89 9 M $1.918 M $2,25 4 M Sovereig n Air' s proposal , utilizin g I2-sea t Kin g Ai r 35 0 aircraf

t withservic e t o Chicago-O'Har e i s summarize di n th e tabl e below
.



### Community ES C MB L IW D IM T 

### Weekly roun dtrip s 2 8 (one-sto p an dnonstop )

2 8 (one-sto p an dnonstop )

2 8 (one-sto p an dnonstop )

2 8 (one-sto p an dnonstop ) 

### Annual

Subsid y Requiremen t $2,46 2 M
$2,14 7 M
Whil e Sovereig n Ai r

note s that

it s propose daircraf

t can accommodat e 15-seats , a s currentl y configured , it s aircraf t doe s no t mee t th e I5-or-more-passenger-sea t standar d require db y ou r

governin g statute s (4 9 U.S.C
. § 41732(b)(3 ) an d(b)(6) ) a t ESC , IWD , an d IMT
. I f th e communitie s indicat e thei r willingnes s t o waiv e thei r righ t t o receiv e EA S wit

h pressurize daircraf

t with1 5 o r

mor e passenge r

seats , w e wil l conside r

th e wavie r

t o appl y onl y t o th e ne w termunde r consideratio n a

t thi s time
. (I.e. , w e woul dnot assum e that

th e communitie s waiv e thei r

right s i n perpetuity. ) Further , Sovereig n Ai r doe s no t currentl y hav e th e requisit e operatin g authorit y fro meithe r th e Departmen t

o r th e Federa l Aviatio n Administratio n t o provid e schedule dai r service , althoug hit

ha s submitte dapplications
. Pleas e not e that

th e averag e passenge r

fare s show n i n eac hproposa l d o no t necessaril y reflec t th e average loca l fare passenger s woul dactuall y pay , but , rather , reflec t aprorate d portio n o f th e tota l ticke t

pric e (e.g. , th e ES C - Milwauke e portio n o f a n ES C - Milwauke e - Washingto n D.C
. ticket ) tha t th e subsidize dcarrie r

woul drealize
. Also , th e fare show n i s ne t of certai n charge s suc ha s Federa l transportatio n security fees , excis e o r ticke t taxes , an d Passenge r Facility Charges
. O f

course , carrier s hav e th e discretio n t o charg e fare s the y dee mappropriate , an dth e passenge r fare s presente di n thei r

proposal s hav e bee n develope dfor subsid y rat e computatio n purpose s only
. Base do n th e cos t element s incorporate din th e carriers ' computatio n summaries , th e carrier s woul dhav e t o realiz e passenge r fare s comparabl e t o th e average s show n i n thei r proposal s i n orde r

t o achiev e break-eve n o r profitabl e operation s withou t subsidy
. Yo u shoul dals o not e that th e carriers ' schedule s may chang e t o reflec t changin g condition s (e.g. , t o bette r mee t shiftin g connectin g ban k time s a t th e hub)
. Th e Departmen t doe s expec t

subsidize dai r

carrier s t o maintai n well-time dan dwell-space dflight s i n orde r t o ensur e full compensation
. W e reques t

tha t yo u submi t

an y comment s yo u ma y hav e a s soo n a s possible , bu t i n an y cas e n o late r

tha n Apri l 23 , 2010
. Pleas e sen dyou r comment s b y fa

x t o 202-366-763 8 o r

b y emai l t o bot hdennis.devanv@dot.go v an dbrian.swanson@dot.gov
. Ou r rule s requir e that yo u sen dyou r

comment s t o eac happlican t a s well
. I

f yo u hav e an y questions , o r nee dmor e tim e t o reply , pleas e fee l fre e t o contac t Bria n Swanso n of

my staf f a t 202-366-5392
. Sincerely ,

Denni s J
. DeVan y Chief , Essentia l Ai r

Servic e Division , X-5 3 Offic e o f Aviatio n Analysi s