## NORTHER N MAIN E REGIONA L AIRPOML . 3 OPtRATi O [5- 8 P \2 : 5 0

February? , 201 2
Denni s J . DeVany , Chie f Essentia l Ai r Servic e Divisio n Offic e o f Aviatio n Analysi s Unite dState s Departmen t

o f Transportatio n 40 0 Sevent

h Street , S.W. , Roo m6417 1 Washington , D.C . 2059 0 Dea r Mr . DeVany : Th e Presqu e Isl e Cit

y Counci l ha s reviewe dth e tw o remainin g proposal s t o provid e ai r servic e to th e Northe mMain e Regional Airport . Base don th e informatio n availabl e t o the min th e attache dmem o an dth e tw o proposal s provide db y Ai r Choic e On e andPeninsul aAirways , th e Presqu e Isl e Cit

y Counci l recommend s Peninsul aAirway s o f Anchorage , Alask afo

r th e nex t tw o yea r contrac t cycle . Th e Cit y o f Presqu e Isl e an dth e Northe mMain e Regiona l Airpor t withdra w there reques t

fo r a n extensio n to th e commen t

period . Pleas e fee l free t o giv e m e acal l a

t 764-255 0 if

yo u hav e any questions . Bes t Regards , Scot t Wardwel l Airpor t Directo r Northe mMain e Regional Airpor t

65 0 Airport Drive , Suit e 11 , Presqu e Isle , M E 0476 9 Phone : 207-764-255 0 • FAX : 207-764-255 1 www.FlyPresquelsle.co m

# City o f (Presqu e Isle , Main e HieOHice d Airpor t Directo r Scot t E . Wardwel ! Emai L scottvr@flt)pre9queisle.co m 

## MEMORANDU

M TO : FROM : DATE : RE : CityCounc aJJ U ^ 1 li .

Scot t Wardwell , Airpor

t Directo r '^h'JllTrU/^^^^!^^^^ Febitiary6 , 201 2 Selectio n o f

Essentia l Ai r

Servic e Carrie r

Resolutio n Th e Airpor

t Departmen t

andth e Airpor

t Advisor y Committe e hav e conclude dthei r revie w o f al l thre e proposal s submitte dt o th e Unite dState s Departmen t o f Transportatio n t o provid e ai r servic e t o th e Northe mMain e Regional Airport for th e nex t tw o years . Bot

h th e Airpor

t Departmen t

an dth e Advisor

y Committe e hav e mad e ever y attemp t t o encourag e additiona

l bidders . I n addition , th e Federal Delegation , Airpor t Department

an dAdvisor

y Committe e hav e met wit h Peninsul aAir

in a n attemp t t o further enhanc e thei r

proposal . Base do n th e informatio n availabl e a s o f

today , both th e Airpor

t Departmen t

an dth e Airpor

t Advisor y Conmiitte e recommen dtha t

Peninsul aAirway s o f

Anchorage , Ala ^ b e awarde dth e contract . Th e Airpor

t Advisor y Committe e andth e Airport Departmen t

embrac e th e ultimat e goal s o f th e Sovereig n Ai r

proposal . Sovereign' s proposal include dje t servic e an dareturn t o unsubsidize d operation s after

tw o years . Thes e alon g wit h competitiv e pricin g clearl y ar e what th e busines s conmiunit y i n th e regio n i s lookin g for . Ou r marke t researc h clearl y show s tha t all o f thes e goal s ar e feasibl e wit

h awillin g airlin e partner . However , Sovereig n Air' s proposal wa s flawe di n tha t th e airlin e i s no t

currentl y certifie dt o operat e a s aschedule dai r carrier . Eve n afte

r discussion s wit h Sovereign , th e Airpor

t Departmen t

continue s t o b e ver

y concerne dabou t

th e prospect s o f th e company bein g abl e t o begi n servic e in atimel y fashion . Ai r Choic e On e di dno t

meet an y o f th e criteri ause di n th e selectio n process . Th e aircraf t propose dwa s les s tha n 1 5 seats . I n addition , thei r proposal di dno t

provid e direc t

servic e t o a mediumo r

larg e hub . Servic e woul db e directl y t o Portland , Maine . Whil e th e Portlan dJetpor t ha s made significan t

stride s in improvin g thei r ai r service , it

stil l doe s no t

provid e th e connectivit

y o f aBosto n Loga

n o r asimila r larg e hub . Th e Peninsul aAirway s prc^osa l was attractiv e i n severa l areas . Th e firs t

i s tha t it offeredth e SAA B 34 0 aircraf

t whic h Colga

n currentl y serve s th e marke t with . I t als o plan s t o provid e non sto p servic e directl y t o Bosto n an dwit h th e sam e frequenc y a s Colgan . I n addition , Peninsul a Airway' s winte r

operational experienc e i s see n a s abi g improvement ove r th e current

carrier resultin g i n bette r

on-tim e andfligh

t cancellatio n performance . However , i t i s no t anticipate d tha t acod e share wit

h amajor carrie r wil l b e available . I n addition , w e d o no t se e th e kin do f pric e competitivenes s in thei r proposal necessar

y t o significantly stimulat e additional ridership. T o b e sure , ther e wil l b e som e traveller s whic h wil l se e far e reduction s bu t

other s wil l se e
n Secon dStree t Presqu

e Isk , M E 0

4 769-24S 9 207.764.44S 5 <Fa3i207.764.250 1increases . Whil e th e SAAB 34 0 i s preferre dove r asmaller aircraft , i t

i s no t aregional je t

whic h i s necessar

y t o mak e servic e directl y t o a

n airlin e hub feasible . Whil e no t everythin g w e ha

d hope dfor , overal l th e Peninsul aAirway s proposal i s th e bes t o f th e thre e proposals . RESOLVE : B E I T RESOLVE D b y an dseconde dh v tha t th e Cit y Counci l recommend s tha t th e Unite dState s Departmen t o f Transportatio n selec t

Peninsul a Airway s o f

Anchorage , Alask at o provid e ai r servic e t o th e Northe mMain e Regiona l Airpor t fo r th e nex t tw o yea r contrac t cycle .