Order: 2014-4-5

Served: April 3, 2014

UNITED STATES OF AMERICA

DEPARTMENT OF TRANSPORTATION

OFFICE OF THE SECRETARY

WASHINGTON, D.C.

Issued by the Department of Transportation

on the 3rd of April, 2014

ORDER REQUESTING PROPOSALS

Summary

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

Essential Air Service (EAS) at Laramie and/or Worland, Wyoming, for a new contract period

beginning October 1, 2014, with or without subsidy. (See Appendix A for a map). Air 

carriers should file their proposals no later than May 9, 2014.

Background

By Order 2012-8-8 (August 3, 2012), the Department selected SkyWest Airlines, operating as 

United Express (SkyWest), to provide EAS at Laramie for a two-year term ending 

September 30, 2014 at an annual subsidy rate of $1,635,346. Under that Order, SkyWest 

provides Laramie with 14 nonstop round trips per week to Denver International Airport 

(Denver) using 30-passenger Embraer 120 Brasilia (EMB120) aircraft.

By the same Order, the Department re-selected Great Lakes Aviation, Ltd., operating as both a 

United Airlines and Frontier Airlines code-share (Great Lakes), at Worland to provide 12 onestop round trips per week using 19-passenger Beechcraft 1900 aircraft for an annual subsidy 

of $1,987,148, also for a two-year period from October 1, 2012, through September 30, 2014.1

The complete public file for EAS at both communities may be accessed online through the 

Federal Dockets Management System at www.regulations.gov by entering each community’s

respective docket number in the “Search for Rules, Comments, Adjudications, or Supporting 

Documents” field.

 1 SkyWest’s contract term was originally set to start on October 1, 2012; however, the airline did not begin full 

EAS at the community until November 4, 2012. Nevertheless, the Department decided to keep the original 

contract end of September 30, 2014.

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
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Request for Proposals

As the end of the current contract approaches, the Department is requesting proposals from air 

carriers interested in providing EAS at Laramie and/or Worland, with subsidy support if 

necessary, for a new contract period beginning October 1, 2014. Carriers should file their 

proposals no later than May 9, 2014. Staff will then docket the proposals, thereby making 

them public. Shortly afterwards, we will provide a summary of the proposals to the 

community and ask them to submit their final comments. We will give full consideration to 

all proposals that are timely filed.2

Interested air carriers should prepare their proposals with every expectation that their initial 

proposals will represent their 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 proposals and re-solicit a new round of proposals. However, 

negotiation and rejection are only occasional exceptions to the rule.

We are here providing interested carriers with some basic information to serve as guidance 

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

proposals. Air 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 

www.regulations.gov, each page should be formatted to be viewed online. 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, we recommend they include information concerning proposed 

schedules and projected block hours. In addition, applicants are urged to provide financial 

data supporting their subsidy requests, including information on their projected expenses and 

revenues. We strongly encourage clear, well-documented proposals that will facilitate their 

evaluation by the affected communities and the Department.3

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

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

 2 Carriers should not expect the Department to accept late filings. In cases where a carrier proposes to provide 

EAS without subsidy and we determine that basic EAS, as required by 49 U.S.C. § 41732, can be reliably 

provided without such compensation, we typically will not proceed with the carrier-selection case. Instead, we 

simply rely on that carrier’s subsidy-free service as proposed.

3 In selecting a carrier to provide subsidized EAS for an eligible place not in Alaska, 49 U.S.C. § 41733(c)(1) 

directs us to consider five factors: (a) service reliability; (b) contractual and marketing arrangements with a 

larger carrier at the hub; (c) interline arrangements with a larger carrier at the hub; (d) community views, giving 

substantial weight to the views of the elected officials representing the users; and (e) whether the carrier has 

included a plan in its proposal to market its service to the community. In addition, the Consolidated 

Appropriations Act, 2014, Public Law No. 113-76, 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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have provided a summary of historical passengers in Appendix B. During the year ended 

December 31, 2013, Laramie averaged 38 passenger enplanements per day and Worland 

averaged 9 passenger enplanements per day.4 The Department expects proposals that are

consistent with what the communities currently receive, with service to a large- or mediumhub airport, such as Denver, that provides numerous connecting opportunities to the national 

air transportation system. With specific respect to Laramie, the Department expects proposals 

of 2 round trips each weekday and weekend using 30-passenger or larger aircraft (12 per 

week) or 3 round trips each weekday and weekend using 15-passenger or larger aircraft (18 

per week). If smaller aircraft (8- or 9-seat) are contemplated, additional frequencies will be 

considered. With respect to Worland, the Department expects proposals for two round trips 

on weekdays and weekends (12 per week). Again, if 8/9-seat aircraft are contemplated, 

additional frequencies will be considered. Air carriers are also welcome to propose more than 

one service option, if they choose. They also need not limit themselves to these requirements 

if they envision other, potentially more attractive service possibilities -- different hubs or 

length of contract, for example -- with subsidy requirements that remain competitive.

Community Comments

The communities and State are welcome to submit comments at any time. We encourage 

prospective applicants to contact the communities before they submit their proposals so that 

they can tailor them to the communities’ needs, as they will not be able to amend them after 

the due date. As noted earlier, we will provide a summary of the proposals to the civic parties 

shortly after the deadline for carrier proposals, and ask them to submit their final comments.

Other Carrier Requirements

The Department is responsible for implementing various Federal statutes governing lobbying 

activities, drug-free workplaces, and nondiscrimination.5 Consequently, all carriers receiving 

Federal subsidy for EAS 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 contract 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 required to 

complete the required certifications. Interested carriers requiring more detailed information 

regarding these requirements should contact the Office of Aviation Analysis at 

(202) 366-5903.6

 4 Worland is exempt from 49 U.S.C. 41731(a)(1)(B), the 10-enplanement rule, due to the fact that it is more than 

175 miles from a large- or medium-hub airport. 

5 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; (3) 49 CFR Part 27 -- Nondiscrimination on the Basis of 

Disability in Programs and Activities Receiving or Benefiting from Federal Financial Assistance; (4) 

14 CFR Part 382 -- Nondiscrimination on the Basis of Disability in Air Travel; and (5) 49 CFR Part 29 --

Government-Wide Debarment and Suspension (Non-Procurement) and Government-Wide Requirements for 

Drug-Free Workplace (Grants).

6 The certifications are also available on the web at http://www.dot.gov/policy/aviation-policy/small-communityrural-air-service/essential-air-service. 
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This Order is issued under authority delegated in 49 CFR Part 1.25a(b) and re-delegated to the 

Director, Office of Aviation Analysis.

ACCORDINGLY,

1. We request that carriers interested in providing Essential Air Service at Laramie and/or

Worland, Wyoming, submit their proposals, with subsidy support if necessary, no later than 

May 9, 2014. The proposals should be e-mailed to: michael.f.martin@dot.gov with the title

“Proposal to Provide EAS at Laramie and/or Worland, Wyoming”;7

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

3. We will serve copies of this Order on the mayors of Laramie and Worland, the airport 

manager of Laramie Regional Airport, the airport manager of Worland Municipal Airport, the 

Wyoming Department of Transportation, and the service list for this docket.

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

Regulations, 14 CFR Part 385.31(a), must file such petitions within seven (7) 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. 

 7 Questions regarding filings in response to this Order may be directed to Michael Martin at (202) 366-6494 or

michael.f.martin@dot.gov. 
Appendix A

AREA MAP

Maps generated by the Great Circle Mapper - copyright © Karl L. Swartz.
Appendix B

Page 1 of 2

Laramie, Wyoming1

Quarter Year Deplanements Enplanements Total Traffic

Average Daily 

Passengers

1 2010 1,881 1,784 3,665 24

2 2010 1,992 1,913 3,905 25

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

4 2010 2,618 2,858 5,476 35

Annual 

Totals 8,658 8,876 17,534 28

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

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

3 2011 1,977 1,892 3,869 24

4 2011 1,784 1,973 3,757 24

Annual 

Totals 7,552 7,478 15,030 24

1 2012 1,723 1,590 3,313 22

2 2012 1,573 1,510 3,083 20

3 2012 1,738 1,680 3,418 22

4 2012 2,127 2,311 4,438 28

Annual 

Totals 7,161 7,091 14,252 23

1 2013 2,523 2,571 5,094 33

2 2013 2,875 3,004 5,879 38

3 2013 3,258 3,416 6,674 42

4 2013 3,022 3,411 6,433 41

Annual 

Totals 11,678 12,402 24,080 38

 1 Source: Bureau of Transportation Statistics; Schedule T-100
Appendix B

Page 2 of 2

Worland, Wyoming1

Quarter Year Deplanements Enplanements Total Traffic

Average Daily 

Passengers

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 2012 647 674 1,321 9

2 2012 777 716 1,493 10

3 2012 682 741 1,423 9

4 2012 655 664 1,319 8

Annual 

Totals 2,761 2,795 5,556 9

1 2013 542 543 1,085 7

2 2013 717 664 1,381 9

3 2013 891 913 1,804 11

4 2013 652 692 1,344 9

Annual 

Totals 2,802 2,812 5,614 9

 1 Source: Bureau of Transportation Statistics, 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 complete, terminates or reduces payments for 

service or changes service requirements at a specific location provided for under this Order, then, at 

the end of the period for which the Department does make payments in the stipulated amounts or at 

the stipulated service levels, the carrier may cease to provide service to that specific location 

without regard to any requirement for notice of such cessation. Those adjustments in the levels of 

subsidy and/or service that are mutually agreed to in writing by the Department and carrier do not 

constitute a total or partial reduction or cessation of payment.

Funds may not be available for performance under this Order beyond [DATE]. The Government’s 

obligation for performance under this Order beyond [DATE], is subject to the availability of 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 sufficient funds are not made available for 

performance beyond [DATE], the Department will provide notice in writing to the carrier.

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

regulations, as they may be amended from time to time. However, any such statutes, regulations, or 

amendments thereto shall not operate to controvert the foregoing paragraph.

All claims for payment, including any amended claims, must be submitted within 90 days of the last 

day of the month for which compensation is being claimed. For example, claims for service provided 

in July must be filed by October 31st; August claims must be submitted by November 30th, and so on.