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# V o ck^- f o^r

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1 / lllV . i US
. Deportmen t O

f Transportatio n Offic e o f th e Secretar

y o f Transportatio n 120 0 Ne wJerseyAvenue , S E Washington , D C 2059 0

Th e Honorabl e Kell y Schellon g Apri l 21 , 201 0 Mayor , Crescen t

City 37 7 J . Stree t Crescen t City , C A 9553 1 Dear Mayo r Schellong : A s yo u know , SkyWes t

Airlines , Inc. , d/b/ aUnite dExpres s (SkyWest ) provide s subsidize dai r servic e unde r

th e essentia l ai r

servic e (EAS ) progra ma t Crescen t City , California . B y Orde r 2010-3-22 , th e Departmen t requeste d"bes t

an dfinal " proposal s t o serv e Crescen t City , an dSkyWes t

wa s th e onl y carrie r

t o apply . Th e Department' s curren t contrac t withSkyWes t call s fo r a n annua l subsid y o f

$1,136,89 6 t o provid e Crescen t Cit y withtwelv e nonsto p roun d trip s pe r wee k t o San Francisc o an dsi x one-sto p roun dtrip s pe r wee k t o Sacrament o with30

- seat Brasili aaircraft , an dexpire s Jul y 31 . My purpos e i n writin g i s t o informyo u o f th e result s of

th e carrier' s servic e an dsubsid y proposa l before w e submi t

arecommendatio n o n th e carrier-selectio n issu e t o th e Assistan t Secretary for Aviatio n an dInternationa l Affair s for decision . Sinc e ther e ar e n o othe r option s before th e Departmen t

a t thi s time , yo u nee dno t

respon dt o thi s letter . However , w e wante dt o giv e you th e opportunity t o submi t

an y comment s i

f yo u wish . Copie s o f

th e carrier' s full proposa l may b e accesse donlin e throug hth e Department' s Docket s Managemen t Syste ma

t http://www.regulations.gov / b y enterin g "DOT-OS T 1997-2649 " i n th e "ente r Keywor do r

ID " field , s o w e wil l onl y summariz e it here . SkyWes t

proposes t o provid e fourtee n nonsto p roun d trip s pe r week t o Sa n Francisc o for

$1,781,88 8 annual subsidy . In othe r words , SkyWes t

woul d dro p th e si x one-sto p roun dtrip s t o Sacrament o bu t ad dtw o additional nonsto p roun dtrip s t o Sa n Francisco . Th e contrac t woul db e effectiv e fro mAugus t 1 , 2010 , throug hJul y 31 , 2012 . A s w e note di n th e reques t

fo r proposals , th e Sacrament o flight s average donl y four passenger s pe r flight , wherea s th e San Francisc o servic e average s abou t fifteen . Pleas e not e tha t

th e average passenge r

fare show n in th e carrier' s proposa l doe s no t necessaril y reflec t th e average loca l fare s passenger s woul dpay , but , rather , it reflect s th e prorate dportio n of th e tota l ticke t

price , e.g. , th e Crescen t

City - San Francisc o portio n of aCrescen t

City - San Francisc o - Chicag o ticke t that th e carrie r

woul drealize . Also , th e fare show n i s ne t of certai n charge s suc ha s federal transportatio n security fees , excis e o r ticke t taxes , an dpassenge r

facility charges . O f

course , carrier s hav e th e discretio n t o charg e fare s the y deemappropriate , an dth e passenge r fare s presente dhav e bee n develope dfor subsid y rat e computatio n purpose s only . Base do n th e cos t

elements incorporate di n th e carrier' s computatio n summaries , acarrie r woul d hav e t o realiz e passenge r fare s comparabl e t o th e average s show n i n it s proposa l i n orde r t o achiev e break-eve n o r

profitabl e operation s eve n withsubsidy .- 2 -

Whil e SkyWes t

di dno t includ e afligh t

schedul e i n it s origina l proposal , i t subsequentl y provide dth e schedul e below. ' Yo u shoul dals o not e tha t thi s schedul e i s illustrativ e only , an d th e carrie r

ma y mak e schedul e change s t o reflec t changin g conditions , e.g. , t o bette r mee t shiftin g connectin g ban k

time s a t th e hub . Th e Departmen t expect s subsidize dai r

carrier s t o maintai n well-time dan dwell-space dflight s i n orde r t o ensur e full compensation . W e kno w thi s matte r

i s importan t

t o yo u an dw e wil l ac t

a s quickl y a s possibl e upo n receip t o f you r letter . I n orde r

t o expedit e th e case , pleas e submi t you r comment s b y emai l t o EAS@dot.go v b y May 3 . I f yo u hav e an y question s o r d o not wis ht o submi t

formal comments , pleas e contac t Kevi n Adam s at

(202 ) 366-1047 . Sincerely ,

%^ - 

## P:i ^ Qn£^^^,^V ^ 9 ^ Denni s J . DeVan y Chief , Essentia l Ai r

Servic e Divisio n Offic e o f Aviatio n Analysi s

cc : Airport

Manager , SkyWes t

' SkyWest' s tentativ e dail y schedul e i s a s follows : CE C SF O SF O CE C 9:0 0 10:3 5 11:4 1 13:1 4 14:2 6 16:0 0 16:1 9 17:4 5