Order 2010-3-1

Served: March 3, 2010

UNITED STATES OF AMERICA

DEPARTMENT OF TRANSPORTATION

OFFICE OF THE SECRETARY

WASHINGTON, D.C.

 

 Issued by the Department of Transportation

on the 3rd of March, 2010

ORDER APPROVING CHANGE IN OPERATING CARRIER

Summary

By this order, we are approving the request of Delta Air Lines, Inc., on behalf of Mesaba 

Aviation, Inc. d/b/a Delta Connection (“Mesaba”) and Pinnacle Airlines, Inc. d/b/a Delta 

Connection (“Pinnacle”) to allow Pinnacle to provide essential air service (EAS) at 

Columbia/Jefferson City, Missouri, in addition to Mesaba.

Background

By Order 2008-5-2, May 5, 2008, the Department selected Mesaba (d/b/a Northwest 

Airlink) to provide subsidized EAS at Columbia/Jefferson City for a two-year period 

beginning when Mesaba inaugurated service through the end of the 24th month thereafter. 

Columbia/Jefferson City’s service was to consist of 20 nonstop round trips per week to 

Memphis using 34-passenger Saab 340 aircraft, at an annual subsidy amount is 

$2,186,590. Mesaba inaugurated service to Columbia/Jefferson City on August 19, 2008. 

Since the date of the Order, Northwest Airlines, including Mesaba, a wholly-owned 

subsidiary, was acquired by Delta Air Lines, Inc. (“Delta”). Mesaba currently operates as 

Delta Connection.

Effective February 11, 2010, Pinnacle began operating one of three round trips each day 

in the Columbia/Jefferson City – Memphis market with 50-seat CRJ equipment. The 

remaining two round trips continue to be operated by Mesaba, using 34-seat Saab 340. 

Effective April 6, 2010, Pinnacle will operate all three round trips each day to Memphis 

utilizing 50-seat CRJ equipment.

Essential Air Service at

COLUMBIA/JEFFERSON CITY, MISSOURI

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

 Docket DOT-OST-2006-23931 
- 2 -

Proposal

In a February 24 letter, Delta requests the flexibility to use either Pinnacle or Mesaba as 

the Delta Connection carrier to meet the EAS obligation at Columbia/Jefferson City. It 

states that the community is very pleased with the enhanced regional jet service and it 

anticipates that Pinnacle will continue to provide this service on a going forward basis. 

Further, “Columbia has responded well to Delta Connection service, and the need for 

additional capacity together with the retirement of Saab 340 aircraft from Mesaba’s fleet 

prompted the change in operating carriers.”

Kathy Frerking, Manager of Columbia Regional Airport, enthusiastically supports the 

upgrade of flights to Memphis to regional jets.

Decision

We will approve the joint request of Mesaba and Pinnacle, allowing the change in 

operating carriers serving Columbia/Jefferson City’s EAS. Both carriers operate as Delta 

Connection and Delta coordinates schedules for both carriers. The number of flights of 

both carriers eligible for EAS subsidy will remain capped at 20 round trips per week, as 

outlined in Order 2008-5-2.

The weekly compensation ceiling and subsidy rate per flight amounts remain the same as 

issued in Order 2008-5-2 and detailed in Appendix C-7. That Appendix has been 

updated and is contained in this Order.

ACCORDINGLY,

1. We approve the change in operating carrier requested by Delta Air Lines, Inc. on 

behalf of Mesaba Aviation, Inc. d/b/a Delta Connection and Pinnacle Airlines, Inc. d/b/a 

Delta Connection to meet obligations under Order 2008-5-2 at Columbia/Jefferson City, 

Missouri;

2. This docket will remain open until further order of the Department; and
- 3 -

3. We will serve a copy of this order on the mayors of Columbia and Jefferson City, 

Missouri, the airport manager of Columbia Regional Airport, Mesaba Aviation, Inc., 

Pinnacle Airlines, Inc. and Delta Air Lines, Inc.

By:

SUSAN L. KURLAND

Assistant Secretary for Aviation

and International Affairs

(SEAL)

An electronic version of this document is available on the Internet at

http://www.regulations.gov
Appendix C-7

Mesaba Aviation, Inc. d/b/a Delta Connection and/or

Pinnacle Airlines, d/b/a Delta Connection

Essential Air Service To Be Provided at Columbia/Jefferson City, Missouri

Effective Period: February 1, 2010 through August 31, 2010

Scheduled Service: 20 nonstop round trips to Memphis each week. 

Aircraft type: Saab 340 (34 passenger seats) or CRJ200 (50 passenger seats).

Timing of flights: Flights must be well-timed and well-spaced in order to ensure full 

compensation.

Annual compensation: $2,186,590.

This rate assumes an annual completion factor of 97 percent. A compensation 

ceiling is to be applied per calendar week such that service above that ceiling in 

one week cannot make up for service shortfalls in another week.

Subsidy Rate per Flight: $1,083.541

Weekly Compensation Ceiling: $43,341.602

Note:

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 plan 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 this 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 assured 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 agreed amounts or at the agreed 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 parties to the agreement do not constitute a total or partial reduction or cessation of 

payment.

Funds are not presently available for performance under this Order beyond September 30, 2010. The 

Government's obligation for performance under this Order beyond September 30, 2010, 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

September 30, 2010, until funds are made available to the Department for performance. If funds are not 

made available for performance beyond September 30, 2010, 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.

 1 $2,186,590 divided by 2,018 annual departures (40 weekly flights x 52 weeks x 97 percent completion).

2 40 arrivals and departures per week multiplied by $1,083.54 per flight.