Order: 2014-3-12

Served: March 19, 2014

 

UNITED STATES OF AMERICA

DEPARTMENT OF TRANSPORTATION

OFFICE OF THE SECRETARY

WASHINGTON, D.C.

Issued by the Department of Transportation

on the 19th of March, 2014

Essential Air Service at

BRADFORD, PENNSYLVANIA

DUBOIS, PENNSYLVANIA

FRANKLIN/OIL CITY, PENNSYLVANIA

JAMESTOWN, NEW YORK

PARKERSBURG, WEST VIRGINIA/

 MARIETTA, OHIO

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

 Docket DOT-OST-2003-14528

 Docket DOT-OST-2004-17617

 Docket DOT-OST-1997-2523

 Docket DOT-OST-2003-14950

 Docket DOT-OST-2005-20734

ORDER PROHIBITING TERMINTATION OF SERVICE

AND REQUESTING PROPOSALS

Summary

By this Order, the Department prohibits Silver Airways Corp. (“Silver”), from terminating 

service at Bradford, DuBois, and Franklin/Oil City (“Franklin”), Pennsylvania; Jamestown, New 

York; and Parkersburg, West Virginia/Marietta, Ohio (“Parkersburg”), for 30 days beyond the 

end of the air carrier’s 90-day notice period, i.e. June 14, 2014. We are also requesting proposals 

from air carriers interested in providing Essential Air Service (“EAS”) at Bradford, DuBois, 

Franklin, Jamestown, and/or Parkersburg. (See Appendix A for a map). Proposals are due April 

17, 2014. 

Background

By Order 2012-9-23 (September 27, 2012), the Department selected Silver to provide subsidized 

EAS at Bradford, DuBois, Franklin, Jamestown, and Parkersburg, for a combined annual subsidy 

of $10,348,117 ($1,940,272 for Bradford, $2,587,029 for DuBois, $1,293,515 for Franklin, 

$1,940,272 for Jamestown, and $2,587,029 for Parkersburg), from October 1, 2012, through 

September 30, 2014. Silver operates its service with 19-passenger Beech 1900D aircraft to 

Cleveland Hopkins International Airport (CLE) under a code-share agreement with United 

Airlines.
2

On February 14, 2014, Silver filed a 90-day notice of its intention to terminate scheduled air 

service at Bradford, DuBois, Franklin, Jamestown, and Parkersburg, effective May 15, 2014. In 

that notice, Silver explains it is no longer able to provide subsidized service to these cities due to 

multiple factors. Among those factors are increased costs associated with the new Federal 

regulatory requirements in which an air transport pilot certification is required as well as new 

flight and duty limitation and rest rules for flight crew members, the impact of the recent 

nationwide pilot shortage, disappointing traffic results in some of these cities, the announced 

regional flight reductions by partner United Airlines at its hub at CLE , and the added costs of 

operating an aircraft fleet type that is being retired, the Beech 1900D. Because Silver’s 

termination would mean that the communities would not have scheduled air service that they are 

entitled to under the EAS program, the Department must initiate a new carrier-selection process. 

We note that 49 U.S.C. § 41731(a)(1)(B) provides that communities enplaning fewer than ten 

passengers per day based on traffic for the year ended September 30, 2013, are not eligible for 

EAS support, barring a waiver from the Secretary. The Department is working towards 

implementation of that provision, and we anticipate addressing that matter in the near future, 

which could affect some, but likely not all of these five communities. In the meantime, the 

communities will soon be without their required EAS. As developments on the ten enplanement 

provision proceed, we will keep potential applicants and the communities fully informed and will 

take appropriate action. 

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

Federal Dockets Management System at: www.regulations.gov by entering “DOT-OST-2003-

14528” for Bradford; “DOT-OST-2004-17617” for DuBois; “DOT-OST-1997-2523” for 

Franklin; “Docket DOT-OST-2003-14950” for Jamestown; “Docket DOT-OST-2005-20734”

for Parkersburg in the “Search for Rules, Comments, Adjudications, or Supporting Documents”

field.

Hold-In

Silver’s proposed termination of service at Bradford, DuBois, Franklin, Jamestown, and 

Parkersburg would cause service levels to drop below the EAS guaranteed levels established by 

the Department. Thus, the Department must prohibit the air carrier from terminating such 

service at the end of its 90-day notice, i.e. May 15, 2014. We will require Silver to continue to 

maintain its current level of service at these five communities for successive 30-day periods until 

we have completed processing the air carrier-replacement case and the selected air carrier has 

actually started service.1

Request for Proposals2

In order to provide sufficient time to complete the carrier-selection process before Silver

terminates its service, we are hereby requesting proposals from air carriers interested in 

providing service at Bradford, DuBois, Franklin, Jamestown, and/or Parkersburg, with or 

 

1 In accordance with 49 U.S.C. 41734(c), we will extend Silver’s service obligation for successive 30-day periods as 

necessary until replacement service actually begins.

2 Applicants should be aware of the provisions of 49 U.S.C. § 41731(a)(1)(B), the ten enplanement rule, discussed 

above, when preparing their proposals. Staff will be available to answer any questions.
3

without subsidy support, for a new two-year period. Air carriers should file their proposals no 

later than April 17, 2014. After that date, our staff will docket proposals, thereby making them 

public, and direct each air carrier to serve a copy of its proposal on the civic parties and other 

applicants. Shortly thereafter, we will provide a summary of the proposals to community

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

proposals filed in a timely manner.

3

The Department expects proposals similar to what each community currently receives using 19 

seat aircraft.

Bradford 18 weekly nonstop or one-stop round trips 

DuBois 24 weekly nonstop or one-stop round trips

Franklin/Oil City 12 weekly nonstop or one-stop round trips

Jamestown 18 weekly nonstop or one-stop round trips 

Parkersburg/Marietta 24 weekly nonstop round trips 

For aircraft seating 30 or more passengers, we expect proposals of 12 to 14 round trips per 

week, if served on a nonstop basis to/from the hub. 

Alternatively, we will accept proposals consisting of additional frequencies if smaller aircraft 

(9-passenger) are contemplated. We encourage proposals that meet these guidelines in an 

efficient manner. 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.

We are here providing interested air 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. 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 encouraged 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 

community and the Department.4

 

3 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, required by 49 U.S.C. § 41732, can be reliably provided without 

such compensation, we typically do not proceed with the carrier-selection case. Instead, we simply rely on that 

carrier’s subsidy-free service as proposed.

4 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 and Further Continuing 
4

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.

Service and Traffic History

We have provided some historic traffic data for the communities in Appendix B. Traffic has 

decreased year over year. 

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

Community Comments

Civic officials and the states are welcome to submit comments at any time. We encourage 

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

tailor them to the community’s 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.

This Order is issued under authority delegated in 49 CFR Part 1.25a(b) and re-delegated to the 

Director, Office of Aviation Analysis.

 

Appropriations Act, 2012, Public Law No. 112-55, and continued by the Full-Year Continuing Appropriations Act, 

2013, Public Law No. 113-6, and the Continuing Appropriations Act, 2014, Public Law No. 113-46, 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. 

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 DrugFree 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. 
5

ACCORDINGLY,

1. We prohibit Silver Airways Corp. from suspending service at Bradford, DuBois, Franklin, 

Jamestown, and Parkersburg, at the end of the 90-day notice period, and require it to maintain its 

current level of service at the communities, as set forth in Appendix C, for an initial 30-day 

period through June 14, 2014, or until an air carrier capable of providing reliable EAS actually 

begins service, whichever is first;

2. We request that air carriers interested in providing EAS at Bradford, DuBois, Franklin, 

Jamestown, and/or Parkersburg, submit their proposal, with or without subsidy requests, no later 

than April 17, 2014. The proposal should be emailed to: EAS@dot.gov with the title “Proposal 

to Provide EAS at Bradford, DuBois, Franklin, Jamestown, and/or Parkersburg7”;

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 Bradford, DuBois, Franklin, Jamestown, 

and Parkersburg, the airport managers of Bradford Regional Airport, DuBois Regional Airport, 

Venango Regional Airport (Franklin/Oil City), Chautauqua County-Jamestown Airport and the 

Mid-Ohio Valley Regional Airport (Parkersburg/Marietta), and the service list for these dockets.

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:

SUSAN L. KURLAND

Assistant Secretary for

Aviation and International Affairs

(SEAL)

An electronic version of this document is available

online at http://www.regulations.gov. 

 

7 Questions regarding filings in response to this order should be directed to Michael Gormas at 202-366-1853, or via 

email at mail to:michael.gormas@dot.gov
Appendix A

AREA MAP

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

Page 1 of 3 

EAS Carrier Traffic at:

Bradford (BFD), Dubois (DUJ), Franklin/Oil City (FKL), Pennsylvania, Jamestown 

(JHW), New York, and Parkersburg (PKB), West Virginia/Marietta, Ohio1

Bradford, PA

Quarter Year Deplanements Enplanements

Total 

Traffic

1 2012 401 478 879

2 2012 555 535 1,090

3 2012 608 615 1,223

4 2012 536 599 1,135

Annual 

Totals 2,100 2,227 4,327

1 2013 463 402 865

2 2013 509 559 1,068

3 2013 611 613 1,224

4 2013 347 359 706

Annual 

Totals 1,930 1,933 3,863

DuBois, PA

Quarter Year Deplanements Enplanements

Total 

Traffic

1 2012 1,154 1,211 2,365

2 2012 1,310 1,316 2,626

3 2012 1,274 1,310 2,584

4 2012 1,260 1,220 2,480

Annual 

Totals 4,998 5,057 10,055

1 2013 1,022 1,104 2,126

2 2013 1,140 1,289 2,429

3 2013 1,313 1,445 2,758

4 2013 903 847 1,750

Annual 

Totals 4,378 4,685 9,063
Appendix B

Page 2 of 3 

Franklin/Oil City, PA

Quarter Year Deplanements Enplanements

Total 

Traffic

1 2012 268 283 551

2 2012 322 303 625

3 2012 341 376 717

4 2012 347 357 704

Annual 

Totals 1,278 1,319 2,597

1 2013 302 319 621

2 2013 577 323 900

3 2013 494 415 909

4 2013 232 279 511

Annual 

Totals 1,605 1,336 2,941

Jamestown, NY

Quarter Year Deplanements Enplanements

Total 

Traffic

1 2012 581 602 1,183

2 2012 799 761 1,560

3 2012 981 1020 2,001

4 2012 745 764 1,509

Annual 

Totals 3,106 3,147 6,253

1 2013 609 721 1,330

2 2013 923 647 1,570

3 2013 932 980 1,912

4 2013 555 592 1,147

Annual 

Totals 3,019 2,940 5,959
Appendix B

Page 3 of 3

Notes:

1. Source: Bureau of Transportation Statistics T-100 Market.

Parkersburg, WV/Marietta, OH

Quarter Year Deplanements Enplanements

Total 

Traffic

1 2012 1,500 1,523 3,023

2 2012 1,973 2,000 3,973

3 2012 2,173 2,093 4,266

4 2012 2,127 2,126 4,253

Annual 

Totals 7,773 7,742 15,515

1 2013 1,741 1,704 3,445

2 2013 2,124 2,255 4,379

3 2013 2,125 2,155 4,280

4 2013 1,378 1,373 2,751

Annual 

Totals 7,368 7,487 14,855
Appendix C

Essential Air Service to be Maintained at Bradford, DuBois, Franklin, Jamestown, and 

Parkersburg

Effective Period: June 14, 2014, until further Department action

Scheduled Service: 18 weekly nonstop or one-stop round trips to Bradford.

 24 weekly nonstop or one-stop round trips to DuBois

 12 weekly nonstop or one-stop round trips to Franklin

 18 weekly nonstop or one-stop round trips to Jamestown

 24 weekly nonstop round trips to Parkersburg

Aircraft: 19 seat Beech 1900D

 
Appendix D

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.