--

Dun & Bradstreet DUNS Number: 799069245

Tax Identification Number: 38-6004869 

Two-Digit Congressional District Code: 01

Sawyer International Airport

Serving Marquette County and Michigan's Upper Peninsula

Proposal under the Small Community Air Service Development Program

Docket DOT-OST-2011-0119
 

 

Sawyer International Airport; Marquette, Michigan

Proposal Under the Small Community Air Service Development Program; Docket DOT-OST-2011-0119

2

TABLE OF CONTENTS

INTRODUCTORY LETTER .................................................................................................................... 4

EXECUTIVE SUMMARY ........................................................................................................................ 5

AIR SERVICE OVERVIEW..................................................................................................................... 6

Catchment Area and Alternate Airports ................................................................................................................. 6

Marquette's Existing Air Service ............................................................................................................................ 7

AIR SERVCE DEVELOPMENT NEEDS AND DEFICIENCIES............................................................... 9

Capacity Trend and Discontinued Service............................................................................................................. 9

Domestic and International Traffic Trends ...........................................................................................................10

The Relationship Between Capacity, Domestic Traffic and Domestic Fares ......................................................12

STRATEGIC PLAN .............................................................................................................................. 13

Proposed Use of SCASD Funding.......................................................................................................................13

Goal......................................................................................................................................................................13

Current Marquette-Lansing Air Service - Schedule .............................................................................................13

Current Marquette-Lansing Air Service - Fares ...................................................................................................14

Historical Marquette-Lansing Traffic and Average Fares ....................................................................................15

Grant Amendments/Alternate Strategies .............................................................................................................16

PROJECT IMPLEMENTATION, MONITORING AND FUNDING.......................................................... 17

Public / Private Partnerships ................................................................................................................................17

Sources and Allocations of Project Funding ........................................................................................................17

Project Timeline ...................................................................................................................................................18

Continuation of Project Activities beyond the Grant Timeline..............................................................................19

SUCCESS METRICS, LEGAL SPONSOR AND FINANCIAL CONTROL ............................................ 20

Success Metrics ...................................................................................................................................................20

Legal Sponsor......................................................................................................................................................20

Financial Controls ................................................................................................................................................20

AIR CARRIER LETTERS OF SUPPORT ............................................................................................. 21

APPENDIX A: REQUIRED SUMMARY INFORMATION ..................................................................... 23

A. Applicant Information....................................................................................................................................23

B. Public/Private Partnerships ..........................................................................................................................23

C. Project Proposal ...........................................................................................................................................24

D. Existing Landing Aids at Local Airport ..........................................................................................................24

E. Project Cost ..................................................................................................................................................24
 

 

Sawyer International Airport; Marquette, Michigan

Proposal Under the Small Community Air Service Development Program; Docket DOT-OST-2011-0119

3

F. In-Kind Contributions** .................................................................................................................................24

G. Is this application subject to review by state under Executive Order 12372 Process? ................................25

H. Is this applicant delinquent on any federal debt? .........................................................................................25

APPENDIX B: LETTERS OF SUPPORT............................................................................................. 26
 

 

Sawyer International Airport; Marquette, Michigan

Proposal Under the Small Community Air Service Development Program; Docket DOT-OST-2011-0119

4

INTRODUCTORY LETTER
 

 

Sawyer International Airport; Marquette, Michigan

Proposal Under the Small Community Air Service Development Program; Docket DOT-OST-2011-0119

5

EXECUTIVE SUMMARY

Sawyer International Airport, which serves as the primary airport for Marquette, Michigan and a large portion of 

Michigan's Upper Peninsula, is requesting a Small Community Air Service Development (SCASD) Grant in the 

amount of $250,000. SCASD funding would be supplemented with community and airport funding totaling 

$76,000 in cash and in-kind funding valued at $257,658 to provide a minimum revenue guarantee for air service 

between Marquette and Lansing. The total value of the proposed program is $583,568, including all sources of 

cash and in-kind contributions.

No nonstop service is available from any airport on Michigan's Upper Peninsula to the State Capital in Lansing, 

and a significant amount of Upper Peninsula business is conducted in Lansing as the seat of the state's 

government and home to Michigan State University. Currently, travelers using commercial air service must 

connect in Detroit or Minneapolis/St. Paul when traveling between the Upper Peninsula and Lansing. Other 

options include the use of private aircraft, an air taxi or driving to Lansing. The drive to Lansing is 396 miles and 

is typically a seven hour trip in good weather conditions.

In 2010, Marquette's airline capacity was down 17.2% since it peaked in 2006 largely because Midwest Airlines 

discontinued service to Milwaukee in 2007. Capacity is expected to be down even further in 2011 and 2012 as 

American Eagle discontinues two of the three of the flights it has operated at Marquette for the last six years. As 

capacity declined, traffic has also declined. Since 2006, combined domestic and international traffic was down 

19.0% in 2010 versus the peak in 2006.

Domestic traffic accounts for 93% of the traffic in Marquette, and the average domestic fare was relatively high in 

2010 at $191 in each direction. Marquettes's average domestic fare was 21.6% higher than the average domestic 

one-way fare of $157 for the average Lower 48 airport in 2010. 

Although connecting service is available on Delta between Marquette and Lansing, the elasped travel time can be 

up to five-and-half hours, and only two departure time options are available for travel from Lansing to Marquette 

(four options are available from Marquette to Lansing). The average Marquette-Lansing one-way fare was an 

eye-popping $305, or $610 roundtrip, in 2010 and analysis of fares currently publishied in the market indicates 

fares are still high, with a complex structure of advance purchase and minimum stay requirements. New nonstop 

service in Marquette-Lansing market would stimulate traffic in the market by redirecting travelers who would have 

otherwise driven between Marquette and Lansing or not traveled in the first place given the time and expense 

required to make the trip today.
 

 

Sawyer International Airport; Marquette, Michigan

Proposal Under the Small Community Air Service Development Program; Docket DOT-OST-2011-0119

6

AIR SERVICE OVERVIEW

Catchment Area and Alternate Airports

Sawyer International Airport, on Michigan's Upper Peninsula, is relatively isolated and serves as the primary 

airport for a large portion of the Upper Peninsula. 55,629 people live within a 30-minute drive of the airport, 

74,909 people live within a 60-minute drive of the airport, and 102,886 people live within a 90-minute drive of the 

airport.

There are five other airports on the Upper Peninsula. The closest alternate airport is located in Escanaba, a 60

mile drive from Sawyer; other airports are located in Houghton (CMX), Iron Mountain (IMT), Ironwood (IWD) and 

Sault Ste. Marie (CIU). Sawyer International Airport carried 51.2% of the domestic traffic among the airports on 

the Upper Peninsula; the airport in Houghton carried 20% of the traffic, and each of the other airports carried less 

than 15% of the traffic. Sawyer has more airline capacity than any of the other airports.

Exhibit 1: 30, 60 and 90-Minute Drive Times from Sawyer International Airport and the locations of other Upper Peninsula 

Airports with Commercial Air Service (except Sault Ste. Marie)
 

 

Sawyer International Airport; Marquette, Michigan

Proposal Under the Small Community Air Service Development Program; Docket DOT-OST-2011-0119

7

Marquette's Existing Air Service

Both American and Delta operate service using regional jets at Sawyer International Airport. Delta serves its 

hubs in both Detroit and Minneapolis/St. Paul, but the Minneapolis/St. Paul service is seasonal and is scheduled 

to be discontinued in September and be reinstated in April. American operates one roundtrip to its hub at Chicago 

O'Hare. No other airlines operate at Sawyer.

Exhibit 2: Current Routes Operated at Sawyer International Airport

This Section Continued on Next Page
 

 

Sawyer International Airport; Marquette, Michigan

Proposal Under the Small Community Air Service Development Program; Docket DOT-OST-2011-0119

8

The number of departures per day, average seats per departure and seats per day by market and by carrier 

scheduled at Sawyer International Airport in August 2010 and August 2011 are displayed in Exhibit 3. Delta will 

operate approximately 80% of Sawyer's capacity in August 2011 with slightly more than 2 daily departures per 

day, on average, to Detroit and two daily flights to Minneapolis/St. Paul; however, the Minneapolis service is 

seasonal. Delta will not operate the Minneapolis service between September and April. 

American will operate the remaining 20% of the capacity with a nonstop flight to Chicago six days a week and a

onestop flight to Chicago via Traverse City one day a week. American's capacity at Sawyer will be down 61.2% in 

August 2011 versus August 2010. In August 2010, American operated onestop service to Chicago six days a 

week via Green Bay and Traverse City, but the service via Green Bay has been discontinued, and the service via 

Traverse City will operate only one day a week in August 2011 and is scheduled to be discontinued entirely in 

September.

Exhibit 3: Departures per Day*, Seats per Departure and Seats per Day by Market and Carrier at Sawyer International Airport 

in August 2011 versus August 2010

Carrier Destination

Departures 

per Day *

Seats per 

Departure

Seats per 

Day

Departures 

per Day *

Seats per 

Departure

Seats per 

Day

Seat 

Change

American Chicago 1 50 50 6/7 50 44 -12.9%

Green Bay ** 6/7 50 44 -100.0%

Traverse City ** 6/7 50 44 1/7 50 10 -77.8%

Total 2 5/7 50 137 1 50 53 -61.2%

DL Detroit 2 4/7 50 126 2 3/7 50 121 -3.8%

Minneapolis 2 50 100 2 50 97 -3.2%

Total 4 4/7 50 226 4 2/7 50 218 -3.6%

Grand Total 7 2/7 50 363 5 3/7 50 271 -25.3%

** American service to Green Bay and Traverse City is scheduled as single-plane onestop service to/from Chicago.

August 2010 August 2011

* The number of departures per day is displayed in increments of sevenths (because there are seven days in a 

week). "2 3/7" is read as two flights seven days a week with a third flight operated three of the seven days in a 

week. 
 

 

Sawyer International Airport; Marquette, Michigan

Proposal Under the Small Community Air Service Development Program; Docket DOT-OST-2011-0119

9

AIR SERVCE DEVELOPMENT NEEDS AND DEFICIENCIES

Capacity Trend and Discontinued Service

Marquette's capacity peaked in 2006 at 342 seats per day each way and declined to a 10-year low of 257 seats 

per day each way in 2009. The decline began toward the end of 2007 when Midwest Airlines discontinued 

service to Milwaukee. Capacity continued to trend down into 2008 and 2009 as both Delta/Northwest and 

American reduced capacity, but increased in 2010 as both carriers added capacity and generated a total of 283 

seats per day each way. Between 2006 and 2010, capacity declined 17.2%.

Capacity is expected to decline even further in the 2011 and in 2012 because American Eagle will discontinue two 

of the three flights it has operated at Marquette since 2005. The two flights American Eagle will drop were 

operated via Green Bay and Traverse City to Chicago. American Eagle is discontinuing the service because a 

scope clause issue does not allow airlines operating with American code (AA) to operate point-to-point flights 

(flight segments that do not begin or end at an American hub) if the airline is not a wholly-owned subsidiary of 

AMR corporation. The change to American's schedule will result in the loss of approximately 100 seats in each 

direction per day at Marquette and equate to a reduction of about one-fourth of Marquette's total capacity.

Exhibit 4: Sawyer International Airport Seats per Day Each Way by Carrier – 2001-2010 (T-100 data)

-

3 6 3 5

4 0

107

133 128

139

128

111

121

242 244

194

142

153

166 164 162

146

163

1 2

5 1 5 2 5 3 4 8

3 6

278

292 285

301

338 342 339

290

257

283

0

50

100

150

200

250

300

350

400

2001 2002 2003 2004 2005 2006 2007 2008 2009 2010

Seats per Day Each Way

American Delta/Northwest Midwest All Carriers
 

 

Sawyer International Airport; Marquette, Michigan

Proposal Under the Small Community Air Service Development Program; Docket DOT-OST-2011-0119

10

Domestic and International Traffic Trends

Marquette's traffic peaked in 2006 with 124,600 domestic origin and destination (O&D) passengers and 7,900 

international O&D passengers. In 2010, domestic traffic was down 19.8% from the 2006 level, and international 

traffic was down 7.2% over the same period; total traffic was down 19.0%. Both domestic and international traffic 

rebounded slightly from 2009 to 2010.

Exhibit 5: Sawyer International Airport Domestic and International Annual Origin and Destination Passengers – 2001-2010 

(DB1B data)

This Section Continued on Next Page

0

20,000

40,000

60,000

80,000

100,000

120,000

140,000

2001 2002 2003 2004 2005 2006 2007 2008 2009 2010

99,530 95,810 95,860

108,760

117,260

124,600 121,930

101,090 96,980 99,960

4,810 

4,970 5,060 

5,080 

6,660 

7,900 

6,890 

7,530 

6,690 

7,330 

Annual O&D Passengers

Annual Domestic O&D Annual International O&D
 

 

Sawyer International Airport; Marquette, Michigan

Proposal Under the Small Community Air Service Development Program; Docket DOT-OST-2011-0119

11

Converted to passengers per day each way (PDEW), Marquette generated 137 domestic PDEW in 2010 and 10.0

international PDEW. At 137 domestic PDEW, domestic traffic was essentially at its 2003/2004 level. When traffic 

was at its peak in 2006, Marquette generated 171 domestic and 10.8 international PDEW. 

Exhibit 6: Sawyer International Airport Domestic and International Passengers per Day Each Way (PDEW) – 2001-2010 

(DB1B data)

0

20

40

60

80

100

120

140

160

180

200

2001 2002 2003 2004 2005 2006 2007 2008 2009 2010

136 131 131

149

161

171 167

138 133 137

6.6

6.8 6.9

6.9

9.1

10.8 9.4

10.3

9.2 10.0

Passengers per Day Each Way (PDEW)

Domestic PDEW International PDEW
 

 

Sawyer International Airport; Marquette, Michigan

Proposal Under the Small Community Air Service Development Program; Docket DOT-OST-2011-0119

12

The Relationship Between Capacity, Domestic Traffic and Domestic Fares

The relationship between Marquette's capacity, domestic traffic and average domestic one-way fare is illustrated 

in Exhibit 7. Like the domestic traffic, Marquette's capacity peaked in 2006 and traffic trended down as capacity 

declined. The average domestic fare peaked in 2008 at $214 as airlines raised fares to cover record fuel prices 

and declined in 2009 as the cost of oil declined and the U.S. entered the recession. Traffic recovered slightly in 

2010 versus 2009, even as the average domestic fare increased to $191 each way. Although Marquette's 

average domestic fare was below its 2008 peak in 2010, the 2010 fare was still the second highest over the last 

ten years.

Exhibit 7: Sawyer International Airport Seats per Day Each Way, Passengers per Day Each Way (PDEW) and Average 

Domestic One-Way Fare – 2001-2010 (DB1B data and T-100 data)

278

291 285

302

337 342 339

290

257

283

136 131 131

149

161

171 167

138 133 137

$160 $157 $158 $159 $164

$173

$181

$214

$182

$191

$0

$50

$100

$150

$200

$250

0

50

100

150

200

250

300

350

400

2001 2002 2003 2004 2005 2006 2007 2008 2009 2010

Average Domestic One-Way Fare

Seats and Passengers per Day Each Way

Seats per Day Each Way Domestic PDEW Average Domestic One-Way Fare
 

 

Sawyer International Airport; Marquette, Michigan

Proposal Under the Small Community Air Service Development Program; Docket DOT-OST-2011-0119

13

STRATEGIC PLAN

Proposed Use of SCASD Funding

Sawyer International Airport is requesting SCASD funding of $250,000 to supplement locally-generated cash 

funding and in-kind incentives to provide a minimum revenue gaurantee for service between Marquette and the 

State Capital in Lansing. There is currently no air service between the Michigan's Upper Peninsula and Lansing. 

Goal

The goal of the proposed service is to begin nonstop service from Marquette to Lansing to provide business 

travelers with more convenient access to the state capital at fares lower than current fares offered via connecting 

service to Lansing.

Current Marquette-Lansing Air Service - Schedule

Although it is possible to fly between Marquette and Lansing today, only Delta operates single carrier service, and 

a connection is required in Detroit. The average elapsed travel time with a connection via Detroit is approximately 

three-and-half hours in either direction. Based on Delta's September 2011 schedules, two connections are 

available per day in each direction. Schedules for travel from Marquette to Lansing and return in early September

are illustrated in Exhibit 8. 

Exhibit 8: Delta Marquette-Lansing Flight Schedules and Elapsed Travel Times (Depart from Marquette on 

Friday, September 9, 2011; Return to Marquette on Friday, September 16, 2011)

Direction Depart Arrive

Elasped 

Time

Connect 

Hub

Marquette to Lansing 6:24 AM 9:50 AM 3:26 DTW

5:34 PM 8:58 PM 3:24 DTW

3:25

Lansing to Marquette 1:40 PM 5:03 PM 3:23 DTW

5:22 PM 9:04 PM 3:42 DTW

3:32

Average Elapsed Time

Average Elapsed Time
 

 

Sawyer International Airport; Marquette, Michigan

Proposal Under the Small Community Air Service Development Program; Docket DOT-OST-2011-0119

14

Current Marquette-Lansing Air Service - Fares

Airfares between Marquette and Lansing are high, especially for business travelers without a need to spend a 

weekend night in Lansing Exhibit 9 illustrates the Marquette-Lansing fare structure for outbound travel from 

Marquette in late August and a return in early September. The lowest fare is $338 roundtrip, but it requires a 21-

day advance purchase and a Sunday night stay. The lowest fare available without either a Saturday or Sunday 

night stay is $688 roundtrip, but this fare requires a 14-day advance purchase. The lowest fare with a 7-day 

advance purchase is $728, and the lowest fare available with no advance purchase requirement is $888. The 

$888 roundtrip fare equates to a fare of $1.54 per mile (the nonstop distance by air from Sawyer International 

Airport to Lansing Capital Region International Airport is 288 miles in each direction).

The high fares, minimum stay and advance purchase requirements are a function of an airline's preference to 

feed passengers from smaller communities, such as Marquette, to longer-haul flights to large cities at the hub 

operated with mainline aircraft and because relatively little competition exists between small cities (Delta is the 

only airline serving both Marquette and Lansing). An airline will sell tickets between small cities with a connection 

at a hub, such as Detroit or Minneapolis/St. Paul, but tickets are generally prohibitively expensive, and minimum 

stay and advance purchase requirements not suitable to business travelers.

Exhibit 9: Delta Marquette-Lansing Fare Structure (Depart from Marquette on Friday, September 9, 2011; Return 

to Marquette on Friday, September 16, 2011) Source: Expertflyer.com as of July 28, 2011
 

 

Sawyer International Airport; Marquette, Michigan

Proposal Under the Small Community Air Service Development Program; Docket DOT-OST-2011-0119

15

Historical Marquette-Lansing Traffic and Average Fares

Exhibit 10 illustrates the Marquette-Lansing market generated 7.9 passengers per Day Each Way in 1994 at an 

average one-way fare of $124. In the 16 years since 1994, traffic in the market has eroded to less than one 

PDEW in 2010 at an average one-way fare of $305, or $610 roundtrip. The introduction of nonstop MarquetteLansing service would likely stimulate traffic above the 1994 level because no airline has ever operated nonstop 

service in the market. Nonstop service would also likely drive the average fare down from its unprecedented 

2010 level to a likely level between $100 and $150 each way. 

Exhibit 10: Marquette-Lansing Passengers per Day Each Way (PDEW) and Average One-Way Fare – 1994 

through 2010 (DB1B Data)

7.9

6.7

7.1

5.8 5.8

5.5

4.4 4.3

2.6

2.2 2.4 2.4

1.5

1.2 1.1 1.2

0.4

$124 $124 $121 $120

$184

$139 $137 $139

$150 $142 $143 $144

$217 $214

$261

$230

$305

$0

$50

$100

$150

$200

$250

$300

$350

0

2

4

6

8

10

1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010

Average One-Way Fare

Passengers per Day Each Way (PDEW)

MQT-LAN PDEW MQT-LAN One-Way Fare
 

 

Sawyer International Airport; Marquette, Michigan

Proposal Under the Small Community Air Service Development Program; Docket DOT-OST-2011-0119

16

Grant Amendments/Alternate Strategies

Nonstop Marquette-Lansing service is the goal of the community's Small Community Air Service Development 

(SCASD) proposal. The community is proposing SCASD funding in the amount of for $250,000 that will be 

supplemented with $76,000 in cash from community-based business and economic development organizations to 

offer a minimum revenue guarantee to an airline for Lansing service. An additional $16,000 of in-kind 

contributions for marketing, promotion and advertising would supplement the cash incentives offered by the 

community, and the Airport would waive fees, estimated to be $241,658 over a two year period for the service.

If a grant is awarded for Marquette-Lansing service, and the community is not successful in its effort to recruit a 

carrier to operate the proposed Lansing service, the project sponsor would ask the Department to consider 

reallocation of the award funds for service to a leisure destination on a low-cost carrier such as Allegiant or Direct 

Air.

 
 

 

Sawyer International Airport; Marquette, Michigan

Proposal Under the Small Community Air Service Development Program; Docket DOT-OST-2011-0119

17

PROJECT IMPLEMENTATION, MONITORING AND FUNDING

Public / Private Partnerships

The County of Marquette, Michigan, is the owner and operator of Sawyer International Airport, and is the project 

sponsor. The County of Marquette is a public entity. The City of Marquette is the other public partner supporting 

this project.

In addition to the above public entities, several private entities are also supporting partners on this project, as 

follows: Lake Superior Community Partnership (Marquette's local area Chamber of Commerce), Gwinn-Sawyer 

Area Chamber of Commerce, Northern Michigan University, Bell Memorial Hospital, Marquette General Health 

System and Superior Health Partners, Marquette Country Convention and Visitors Bureau, WLUC-TV6 (Regional 

NBC Affiliate), ABC5&10 (Regional ABC Affiliate), FM-107 and AM-970 radio, The Marquette Monthly, and the 

Upper Peninsula Business Today.

Sources and Allocations of Project Funding

The total cost of the project is nearly $584,000 and includes the amounts of the requested grant, communityprovided cash and the value of in-kind airport incentives. The requested amount of the grant is $250,000, and 

community cash funding is $76,000. The community will provide 30.4 cents in cash for every dollar requested 

from the Department. 

The Airport's incentive program provides the ability to waive landing fees, aircraft parking/apron fees, terminal use 

fees, and aircraft hangar use fees. The total value of the in-kind incentives offered by the Airport is more than 

$241,000 over the two-year period of the proposed grant. In addition to the airport's in-kind incentives, partners in 

the community are pledging $16,000 of in-kind contributions, mainly for the marketing, advertising and promotion 

of the new service.

Exhibit 11: Sources and Types of Proposed Project Funding

Funding Source Grant Cash In-Kind Total

Department of Transportation $250,000 $250,000

Community $70,000 $16,000 $86,000

Airport $6,000 $241,658 $247,658

Total $250,000 $76,000 $257,658 $583,658
 

 

Sawyer International Airport; Marquette, Michigan

Proposal Under the Small Community Air Service Development Program; Docket DOT-OST-2011-0119

18

Project Timeline

Sawyer International Airport, and its air service development consulting firm, Sixel Consulting Group, have 

discussed the proposed air service with three airlines including Cape Air, SeaPort and Charter Air Transport. In 

addition, Superior Aviation, based in Iron Mountain, Michigan has also expressed interest in operating the 

proposed service with a nine-seat twin engine aircraft. Based on these discussions, Charter Air Transport and

Superior Aviation, appear to be the two firms most interested in operating the proposed service. Cape Air and 

SeaPort have each indicated they may be interested in operating the service, but could not begin the service 

within the next 12 months because neither airline anticipates having aircraft available to operate the service.

If Sawyer International Airport is awarded grant funding for its proposed service, discussions with each of the two 

carriers which have expressed interest in the service would continue. The Airport and its consulting firm will work 

with each of the carriers to determine which carrier can better meet the community's objectives for the proposed 

service. The Airport will work closely with the Department throughout the process to ensure any potential 

agreement meets the Department's objectives for the Small Community Air Service Development Program. Once 

a tentative agreement is made with a carrier and the Department's approval for the agreement seems likely, the 

Airport will provide a recommendation to the Marquette County Board of Commissioners to proceed with an 

agreement with the carrier and the Department.

The Airport and its community-based partners will work with the selected carriers to market the service both prior 

to its inauguration and after service begins during the grant period. The Airport will also work closely with the 

selected carrier to monitor the carrier's financial performance and work with the carrier to adjust marketing and 

advertising of the service accordingly. In addition, the Airport will work closely with Capital Region International 

Airport in Lansing to market the service to Lansing-originating travelers.

Exhibit 12: Proposed Project Timeline (Assumes SCASD Awards Are Announced in Late September or October 2011)

Activity/Project Milestone Estimated Dates

SCASD Grant Award Announcement Late September/Early October 2011

Execute Grant Agreement with DOT October 2011

Negotiate Minimum Revenue Guarantee with Airline October-November 2011

Announce Service December 2011

Publish Schedule December 2011

Market and Advertise Service (Pre-Launch) January-March 2012

Monitor Advance Bookings January-March 2012

Adjust Marketing Plan Based on Advance Bookings January-March 2012

Begin Service Early April 2012

Market Route (Post-Launch) April 2012 and Beyond

Operate Service with MRG April 2012 - March 2014

Monitor Route Performance April 2012 - March 2014 and Beyond

Submit Grant Status Reports to DOT Quarterly 2Q 2012 - 1Q 2014
 

 

Sawyer International Airport; Marquette, Michigan

Proposal Under the Small Community Air Service Development Program; Docket DOT-OST-2011-0119

19

Continuation of Project Activities beyond the Grant Timeline

The Airport and its community-based partners in this project are certain sufficient demand exists for the proposed 

air service to connect Michigan's Upper Peninsula with the State Capital. If the proposed service is implemented, 

the airport will continue to work closely with the carrier operating the service to provide marketing, advertising and 

operational assistance, even after the grant period expires. 
 

 

Sawyer International Airport; Marquette, Michigan

Proposal Under the Small Community Air Service Development Program; Docket DOT-OST-2011-0119

20

SUCCESS METRICS, LEGAL SPONSOR AND FINANCIAL CONTROL

Success Metrics

The success of the project is defined as successfully launching the proposed service and the sustainability of the 

Marquette-Lansing market. The proposed SCASD funding will provide a financial "bridge" to the selected carrier 

until traffic in the market grows and reaches maturity beyond the start-up phase of operation. The Airport intends 

to work closely with the selected carrier to monitor traffic and revenue to continuously understand the financial 

performance of the market.

Legal Sponsor

The Marquette County Board of Commissioners is the legal sponsor responsible for administering the proposed 

program, and the Marquette County Board of Commissioners is a government entity.

County of Marquette

Sawyer International Airport

Keith D. Kaspari, MPA, C.M.

Airport Manager

125 G Avenue

Gwinn, MI 49841

906-346-3308 (office)

Financial Controls

As the sponsor, the Marquette County Board of Commissioners, will be the responsible parties for all fiscal 

matters and the Department's reporting requirements. As a public entity, the Department can be assured that 

proper financial controls are in place to guarantee that the Department’s Grant will be used in accordance with 

any subsequent agreement. The Marquette County Board of Commissioners understands that the Grant is a 

reimbursable grant, meaning the County is responsible for program expenditures and will submit invoices to the 

Department for reimbursement, based on a percentage of the total grant request.
 

 

Sawyer International Airport; Marquette, Michigan

Proposal Under the Small Community Air Service Development Program; Docket DOT-OST-2011-0119

21

AIR CARRIER LETTERS OF SUPPORT
 

 

Sawyer International Airport; Marquette, Michigan

Proposal Under the Small Community Air Service Development Program; Docket DOT-OST-2011-0119

22
 

 

Sawyer International Airport; Marquette, Michigan

Proposal Under the Small Community Air Service Development Program; Docket DOT-OST-2011-0119

23

APPENDIX A: REQUIRED SUMMARY INFORMATION

A. Applicant Information

 Not a Consortium

 Interstate Consortium

 Intrastate Consortium

 Community now receives EAS subsidy

 Community (or Consortium member) previously received a Small Community Grant

If previous recipient:

Date of Grant: ____________________

Expiration Date of Grant: ____________________

B. Public/Private Partnerships

Public

 County of Marquette

 City of Marquette

 City of Negaunee

 City of Ishpeming

Private

 Lake Superior Community Partnership

 Gwinn-Sawyer Area Chamber of Commerce

 Marquette Area Chamber of Commerce

 Marquette County Convention and Visitors Bureau

 Boreal Aviation

 WLUC TV-6

 KBUP/WBKP ABC 5 & 10

 WMQT FM 107 / AM 970

 Marquette Monthly

 Upper Peninsula Business Today (Monthly News Magazine)
 

 

Sawyer International Airport; Marquette, Michigan

Proposal Under the Small Community Air Service Development Program; Docket DOT-OST-2011-0119

24

C. Project Proposal 

 Marketing Upgrade Aircraft New Route

 Travel Bank Service Restoration Subsidy

 Surface Transportation Regional Service Revenue Guarantee

 Launch New Carrier Start-up Cost Offset First Service

 Study Secure Additional Service Other (explain below)

Sawyer International Airport is requesting SCASD funding to provide a minimum revenue guarantee for an air 

carrier to operate service between Marquette and Lansing.

D. Existing Landing Aids at Local Airport

 Full ILS Outer/Middle Marker Published Instrument 

Approach

 Localizer Other (specify)

E. Project Cost

F. In-Kind Contributions**

For funds in lines 5a (Airport In-Kind contribution) and 5b (Other In-Kind contribution), please describe the 

source(s) of fund(s) for each.

(5a) Sawyer International Airport will waive landing fees, all passenger terminal and office space fees and 

aircraft storage fees totaling an estimated $120,829 per year for up to two years in exchange for air service 

between Marquette and Lansing (the two year value is $241,658). (5b) Five media outlets and the Marquette 

Line Description Sub Total Total Amount

1 Federal amount requested $250,000

2 State cash financial contribution $0

Local cash financial contribution

3a Airport cash funds $6,000

3b Non-airport cash funds $70,000

3 Total local cash funds (3a + 3b): $76,000

4 TOTAL CASH FUNDING (1 + 2 + 3): $326,000

In-Kind contribution

5a Airport in-kind contribution** $241,658

5b Other in-kind contribution** $16,000

5 TOTAL IN-KIND CONTRIBUTION (5a + 5b): $257,658

6 TOTAL PROJECT COST (4 + 5): $583,658
 

 

Sawyer International Airport; Marquette, Michigan

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Country Convention and Visitors Bureau have pledged marketing and advertising incentives valued at 

$16,000.

G. Is this application subject to review by state under Executive Order 12372 

Process?

 a. This application was made available to the State under the Executive Order 12372 Process for review 

on (date):

 b. Program is subject to E.O. 12372, but has not been selected by the State for review.

 c. Program is not covered by E.O. 12372

H. Is this applicant delinquent on any federal debt?

 No Yes (explain)
 

 

Sawyer International Airport; Marquette, Michigan

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APPENDIX B: LETTERS OF SUPPORT
 

 

Sawyer International Airport; Marquette, Michigan

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Sawyer International Airport; Marquette, Michigan

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Sawyer International Airport; Marquette, Michigan

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Sawyer International Airport; Marquette, Michigan

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Sawyer International Airport; Marquette, Michigan

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Sawyer International Airport; Marquette, Michigan

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Sawyer International Airport; Marquette, Michigan

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Sawyer International Airport; Marquette, Michigan

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Sawyer International Airport; Marquette, Michigan

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Sawyer International Airport; Marquette, Michigan

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Sawyer International Airport; Marquette, Michigan

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Sawyer International Airport; Marquette, Michigan

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Sawyer International Airport; Marquette, Michigan

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Sawyer International Airport; Marquette, Michigan

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Sawyer International Airport; Marquette, Michigan

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Sawyer International Airport; Marquette, Michigan

Proposal Under the Small Community Air Service Development Program; Docket DOT-OST-2011-0119

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Sawyer International Airport; Marquette, Michigan

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Sawyer International Airport; Marquette, Michigan

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Sawyer International Airport; Marquette, Michigan

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Sawyer International Airport; Marquette, Michigan

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Sawyer International Airport; Marquette, Michigan

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Sawyer International Airport; Marquette, Michigan

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Sawyer International Airport; Marquette, Michigan

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Sawyer International Airport; Marquette, Michigan

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Sawyer International Airport; Marquette, Michigan

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Sawyer International Airport; Marquette, Michigan

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Sawyer International Airport; Marquette, Michigan

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