# APPLICATION UNDER

THE SMALL COMMUNITY AIR SERVICE

DEVELOPMENT PROGRAM (Small Community Program or SCASDP) Docket No. DOT-OST-2014-0113

NATIONS INVESTMENT CO /HIGH SIERRA AIRLINES, OCEAN HELICOPTER, FIRST IN FLIGHT & MINERAL COUNTY – NEVADA CONSORTIUM

Legal Sponsor 

# : Mineral County Economic Development Authority - NV

DUNS Number: 929947182



# U.S. Congressional District: NV 02**Page 2 of 19**

**U.S. DOT - SMALL COMMUNITY AIR SERVICE DEVELOPMENT PROGRAM / Docket DOT-OST-2014-0113 APPLICATION SUBM**  **ISSION NV-HIGH SIERRA AIR CONSORTIUM**  TABLE OF CONTENTS

I. Background

II. Summary Overview

III. SCASDP Selection Suitability

IV. Funds Requested & Use of Funds

V. Project Concept, Strategy & Process Framework

VI. HSA Service / Origins & Destinations (Abbreviat ed Prelim)

VII. Branding & Marketing: SAMPLE Proprietary Tacti cs (Abbreviated Prelim)

SEPARATE COVERSHEET: Appendix B**Page 3 of 19**

**U.S. DOT - SMALL COMMUNITY AIR SERVICE DEVELOPMENT PROGRAM / Docket DOT-OST-2014-0113 APPLICATION SUBM**  **ISSION NV-HIGH SIERRA AIR CONSORTIUM**  I. BACKGROUND The Small Community Program was established by the Wendell H. Ford Aviation Investment and Reform Act for the 21st Century (P.L. 106-181) and reauthorized by the Vision 100-Century of Aviation Reauthorization Act (P.L. 108-176). The pr ogram is designed to provide financial assistance to small communities to help them enhance their air service. The United States Department of Transportation (“DOT”) through Docket DOT-OST-2012- 0069 provides this assistance in the form of monetary grants that are disbursed on a reimbursabl e basis. Authorization for this program is codified at 49 U.S.C. § 41743. The Small Community Air Servi ce Development Program (“SCASDP”) is authorized to receive appropriations under 49 U.S.C .§ 41743(e)(2), as amended. Appropriations are provided for this program for award in FY 2014 purs uant to the FAA Modernization and Reform Act of 2012 (P.L. 112-95)(FAA 2012). Appropriations are provided for this program for award selection in FY 2014 pursuant to FAA 2012 and the FY 2014 Approp riations Act (Pub. L. No. 113-76). The Department has up to $7 million available for FY 20 14 grant awards to carry out this program. There is no limit on the amount of individual awards, and th e amounts awarded will vary depending upon the features and merits of the selected proposals. In p ast years, the Department’s individual grant sizes have ranged from $20,000 to nearly $1.6 million.

II. OVERVIEW Mineral County-Nevada, with its County-seat of Hawt horne, is comprised of small communities that meet the statutory criteria (49 U.S.C.§ 41743) for eligibility. The Hawthorne Airport, publicly-owned by Mineral County, that serves these small communit ies has not achieved small hub airport status and has no regular commercial air carrier service. The Airport serves a Community demonstrating geographic diversity and the unique circumstances t hat highlight the need for, feasibility of and the economic promise in grant assistance from the SCASD P.

Although Hawthorne Airport and the towns comprising the communities of Mineral County did not and currently does not have commercial air service, they had officially partnered by Board Resolution with Nations Investment Company (“NIC”) for solicit ation of the SCASDP DOT-OST-2012-0069 Grant. NIC had conceptualized and commenced establ ishment of a Nevada Entity, HIGH SIERRA AIRLINES (“HSA”), as a Nevada regional airline almo st two years ago in collaboration with the Mineral County Economic Development Authority (“MCE DA”), the town of Hawthorne and specific businesses in the County. NIC had determined HSA wo uld be hubbed primarily out of Hawthorne Airport.

The Consortium found out in Mid-August of 2012 that although its submission was exactly what was envisioned by the spirit and objective of the SCASD P Grant, the absence of having a FAA Part 119 or 121 Certification was the crucial condition of the assessment that resulted in their decision to not award the 2012 submission. As a response to the deb rief and further examination of the prospective business request arising from companies located or considering to locate in the Mineral County, data suggested that there would be value in providing an other alternative layer with a fixed wing aviation, coupling a helicopter component. Correspondingly, N IC sought and found a collaborator, OCEAN HELICOPTER (OHI), who is FAA Part 119 Certified, op erating both helicopter and fixed-wing service as well as having an affiliated company, FI RST IN FLIGHT (FIF) that provides maintenance**Page 4 of 19**

**U.S. DOT - SMALL COMMUNITY AIR SERVICE DEVELOPMENT PROGRAM / Docket DOT-OST-2014-0113 APPLICATION SUBM**  **ISSION NV-HIGH SIERRA AIR CONSORTIUM**  and repair (MRO) services out of the same Municipal Airport in New Jersey. As well, the original Origination & Destination Strategy has been enhance d with the layering of helicopter service in the region. The Consortium now meets all Departmental r equirements for air service certification in its current location and would simply seek to file the required certifications to establish operations in Hawthorne.

This Application is structured using a Public Priva te Partnership (“3P) framework where Mineral County is the Public Partner and Mineral County Eco nomic Development Authority a private nonprofit is the designated Legal Sponsor for administering t he Program. NIC, OHI and FIF are the Private Partners operating under the HAS banner. The SCASDP provides for a 3P framework so as to establish a Consortium for partnering in the submission. Unli ke the previous efforts to operate a viable rural regional airline in Nevada, HSA will operate on the premise of a comprehensive business model that enables access to the un- and under-utilized assets of these rural communities versus dependency on the appropriation of a governmental air service pas senger subsidy for small communities (i.e. Essentia l Air Service – EAS) programs. Aforementioned airline s like Great Lakes Airlines terminated operations once they were forced to operate like an unsubsidiz ed airline, shutting down their air service as of March 31, 2013. The per passenger subsidy to exceed ed $1,500 and correspondingly Great Lakes Airlines dropped flights from Merced and Visalia al ong with closing their Las Vegas terminal. HSA’s Business Model is predicated on HSA being the Logis tical Access Catalyst for Rural Nevada. In this role, HSA would function as the enabler of commerce (e.g., people, goods and services) to these Communities and redefine aspects of movement for bu siness to these locations where rubber-tire access is the predominant mode for transportation n ow.

III. SCASDP SELECTION ELIGIBILITY & SUITABILITY Eligible applicants are small communities that meet the following statutory criteria under 49 U.S.C. § 41743: The Hawthorne Airport is serving a community that is not larger than a small hub airport and has no air carrier service. Moreover, the Airport serving the community presents geographic diversity and unique circumstances that demonstrate the need for, and feasibility of, grant assistance from the Small Community Program.

SCASDP grants are to be awarded based on the two ca tegories of selection criteria: Priority Selection Criteria and Secondary Selection Criteria. In this Application, the Consortium meets several of the Priority Selection Criteria. The Private Partner of the Consortium will provide the majority of the capital from investment and financing sources other than airport revenue sources. Local funding will be restricted to in-kind contributions in the portf olio of finance and funding but cash is not require d for the Project.

Priority Selection Criteria As stated earlier, the Consortium has established a 3P to explicitly structure and facilitate air carr ier service to the public. The process directly struct ures the decision-making event to be mutually examined and reviewed, with the determination of re sults being intended to stimulate and foster commerce. MCEDA and the Mineral County Commission a long with its Hawthorne Airport will carry the duties of policy and related approval advocacy in the Partnership. They will actively participate in the implementation of the Project and provide criti cal guidance as well as insight in decision-making to**Page 5 of 19**

**U.S. DOT - SMALL COMMUNITY AIR SERVICE DEVELOPMENT PROGRAM / Docket DOT-OST-2014-0113 APPLICATION SUBM**  **ISSION NV-HIGH SIERRA AIR CONSORTIUM**  NIC as to what aspects of the Business Plan best en able economic sustainability in the County and peer counties in NV along with leading advocacy.

The Comprehensive Business Plan (“CBP”) is premised on stimulating and sustaining material benefits to a broad segment of the traveling public that are present now and are desired to be pursued. This includes business, educational institutions, and ot her enterprises, whose access to Hawthorne / Minera l County / Rural NV is limited relative to the nation al air transportation system. The CBP developed fo r HSA with recommendations by MCEDA is conceived usin g a hub and spoke structure between other NV rural airports in the Origins & Destinations (“O &D”) architecture (see Section VI.). In this way, the Project provides critical benefits relevant to the community. Air service would offer new and additional access to other rural connecting hub air ports. This air service would be provided at cruci al travel times for both business and leisure traveler s that would help obviate the need to drive long distances. In this way, Mineral County removes the impediment of logistical access that has historically stifled the selection of Hawthorne and other rural communities as sites for new operation s or convenience for tourism.

The Project has a well-defined plan and reasonable timetable for use of the grant funds. Since extensive preliminary survey research has bee n performed, much of the timetable has been compressed for various studies. This is true for t he various marketing and promotion of the airport, community, carrier (HSA) and destination(s). Moreov er, the strategy enables existing assets in Mineral County and multiple other counties / communities to be repurposed and exploited. The cooperation between the other rural airports and Hawthorne in c onjunction with HSA’s O&D schedule is designed to stimulate all related communities.

Secondary Selection Criteria The CBP conceived by the Consortium is innovative i n design and content. The Project creates a wellspring of new and creative solutions to the transpo rtation issues facing the rural communities in NV. These underlying tactics (see SECTION VII.) include : resurrection of rail lines presently dormant; explicit packaging of intermodal or regional soluti ons to connect passengers to the community’s ground services as well as attractions (i.e., cost- effective inter/intra city passenger bus service, marketing of intermodal surface transportation opti ons also available to air travelers or projects tha t have a positive impact on travel and tourism); util izes existing businesses while encouraging others; and is integrated so as to serve as a template for the other rural communities that have identified themselves as supporters. The breath of broad comm unity participation and support in all the Counties is palpable (see Letters of Support) at a diverse l evel of government along with various industries.

The geographic location of Hawthorne bears out the challenges of the present lack of reliable regular air service to this and other communities like it. The challenges in accessing larger centers of air service without low-fare service alternatives exten ds travel time and diminishes convenience. The impact on the profile of the population and level o f business activity is indisputable. The absence of air service has a crucial consideration in not being se lected for numerous businesses moving into Hawthorne. HWY 95 Redevelopment Agency has adopted sectors: Defense; Agriculture; Tourism and Renewable Energy, as NV’s major growth sectors iden tified by the Governors new economic development strategy for the State, MCEDA adopted i t for their county and Hwy 95 RDA for the**Page 6 of 19**

**U.S. DOT - SMALL COMMUNITY AIR SERVICE DEVELOPMENT PROGRAM / Docket DOT-OST-2014-0113 APPLICATION SUBM**  **ISSION NV-HIGH SIERRA AIR CONSORTIUM**  region. The current Mining exploration, renewable e nergy projects and defense contractors have voiced the obstacles to expansion arising from havi ng only a drive option.

Since this is a 3P, HSA is committed to the rural c ommunities’ ongoing economic success, and bases its CBP on enabling the movement of people, materia ls and services that will support the growth of these small communities. The Consortium sees a pote ntial for selective adjunctive financial support over the life of the grant award but not beyond its expiration. The grant amount requested reflects about 25% of the related total funds to be used for the Assessment, Validation and Regulatory compliance steps in the cue-up to Phase One of air service operations (see SECTION V. & VI.).

Letters of Intent from various airline planning dep artments are in preparation with pre-existing globally recognized aviation industry firms as well as intermodal surface transportation providers at the ready on behalf participating in the Project wi th NIC. These “Best of Breed” collaborators specifically intend to participate as collaborators where requested in their respective areas of exper tise in conjunction with the delivery of new air service along with the related surface transportation serv ice in support of HSA’s service. The CBP is self-susta ining after the grant award window expires and job propagating into the foreseeable future. Preliminar y analysis of the relevant target markets initially evaluated, were the underlying basis of NIC’s deter mination to pursue the Project with MCEDA along with the other rural communities staggered in Phase s.
The vast portion of Project funds (federal, state a nd in-kind local) are to be used for the developmen t and implementation of verifying and formalizing act ivities. The proposed as well as pre-existing marketing plans were examined in context of invigor ating and repurposing the County’s profile of unand under-utilized assets. These funds and/ or in-k ind services will cover the preparation of administrative materials for physical operation to commence and support canvassing of the surrounding communities as well as connecting rural counties / communities by HSA’s air service that has been preliminarily crafted.

IV. FUNDS REQUESTED & USE OF FUNDS The Consortium is seeking $500,000 in federal fundi ng through the SCASDP Grant for the Project. The Community’s total contributions to the Project that includes in-kind contributions from the airpor t, the County and in-kind contributions from the commu nity are projected to be $25,000. There are no cash contributions from the County and member commu nities. As well, the Hawthorne Airport will not be contributing cash from revenues because ther e are no related operations presently for such contributions from which to be drawn. There are no cash contributions from other community sources, and no cash contributions from the state and/or loc al government projected at the time of this submission.

Types of contributions

. For the purposing of this Application, by definitio n the contributions represent a new financial commitment or new financial resourc es devoted to supporting new air service. Various service issues here before not a consideration for the Hawthorne Airport will be addressed. This will include but not be limited to developing and sustai ning patronage of the new air service at the Airpor t. It has been agreed that the contributions will be l imited to substantively the following types:**Page 7 of 19**

**U.S. DOT - SMALL COMMUNITY AIR SERVICE DEVELOPMENT PROGRAM / Docket DOT-OST-2014-0113 APPLICATION SUBM**  **ISSION NV-HIGH SIERRA AIR CONSORTIUM**  • In-kind contributions from the airport

. This can include such items as waivers of landing f ees, terminal rents, fuel fees, and/or vehicle parking f ees.

• In-kind contributions from the community. This can include such items as donated advertising from media outlets, catering services for inaugural events, or in-kind trading, such as advertising in exchange for free air travel. Travel banks and travel commitments/pledges are considered to be in-kind contributions, as are redu ced fares offered by airlines.

Since NIC has committed to being the new air servic e provider through its subsidiary, HSA, it was mutually agreed that the Public Partner along with the various communities would not be called upon to make local contributions in cash at this junctur e. This is not to preclude future cash contributio ns to be considered, but the circumstances would be drive n by verifiable economic results with demonstrated business expansion / job creation that would justify such action by business and the like

. Travel banks and travel commitments/pledges as well as pre-sell arrangements are anticipated as part of the cooperating business development strategies. NIC intends to continue to pursue other funding and financing options from all governmental sources

.

V. PROJECT CONCEPT, STRATEGY & PROCESS FRAMEWORK 

### HIGH SIERRA REGIONAL AIRLINE Project The creation of a Regional airline headquartered in Nevada that has one of its primary hubs in Hawthorne, NV – Mineral County, to be named “HIGH S IERRA AIR”. Unlike all the previous efforts to operate a viable regional airline in Nevada, HIG H SIERRA AIR (“HSA”) will operate on the premise of a comprehensive business model and not o n the appropriation of governmental passenger subsidy for rural airlines presently at risk for te rmination. HSA’s Business Model is predicated on HSA being the Logistical Access Catalyst for Rural Nevada. In this role, HSA would function as the enabler of commerce to locations and the redefined movement for people along with goods and services to locations where rubber tire access is t he primary mode for transportation.
Preliminary HSA Origins & Destinations (“O&D”) sche dules incorporate many Nevada rural airports into profitable integrated business and tourism cir cuits. The initial business assessment review inclu des Hawthorne, Tonopah, Minden, Elko, Ely, West Wendove r and Laughlin through three NV hubs. Las Vegas, Reno/Tahoe and out of state feeder routes fr om major population areas (e.g., Los Angeles, Hollywood/Burbank, San Diego, San Jose, Vancouver B C. etc.) are part of the initial and subsequent roll-out plans.
The next Stage will entail an evaluation / assessme nt Site Review to investigate as well as preliminarily formalize collaborative agreements fo r commitment to HSA’s Concept. The Site Tour is anticipated to include briefings with key stakehold ers, a physical walk-through of relevant facilities
, initial face-face interviews of key business owners / various governmental agencies / airport administrative groups and follow-up meetings debrie fs so as to validate and verify the reconnaissance. The compiled results of the Site Tour will provide for the necessary first-hand details to complete th e Strategic Implementation Plan (“SIP”).
A finalized dynamic Vision will prepared for presen tation from the data / information collection gathered from the various airports, areas businesse s and local tourism components crucial to the success of Comprehensive Business Plan (“CBP”). The central theme for HSA is the catalyzing and**Page 8 of 19**

**U.S. DOT - SMALL COMMUNITY AIR SERVICE DEVELOPMENT PROGRAM / Docket DOT-OST-2014-0113 APPLICATION SUBM**  **ISSION NV-HIGH SIERRA AIR CONSORTIUM**  enabling of regional economic assets so as to spur economic development and in so doing provide a diverse profile of passengers demanding service in the related rural Nevada Counties. The fact is tha t not only would the rural Counties benefit from this traffic but Las Vegas through its McCarran Airport would reap economic gains as well. Besides the inc reased employment directly resulting from HSA’s three hubs, ancillary job opportunities would gener ate at each airport in support of the passenger flo w and integrated strategies for both business and tou rist demand.
The CBP will be tempered explicitly by regional eco nomic development agendas and initiatives in conjunction with County as well as Town objectives for renewed growth for their various constituent Communities. If the ultimate objective of job creat ion and economic growth is to have a desire for permanence, then stability relative to the attribut e of logistical access needs to be attained in a sustaining manner. Corresponding, strategic partne rships that are devised explicitly versus implicitl y will best suit all interested who would be seeking to leverage the presence of HSA. The integration and coordination of related economic development ob jectives is believed to be the prescribed methodology to secure the results desired by all st akeholders and those invested in Nevada’s vitality.
From an operational perspective, a bankable and on- going successful CBP requires thorough investigation and confirmation of critical business assumptions. There are a many components that make-up the operating aspects for the CBP. These c omponents include variable operating costs listed:

Operating Costs % of Operating Expenses

Fuel 29.4

Labor 21.4
Aircraft Rents and Ownership 6.3
Non-aircraft Rents and Ownership 4.4

Professional Services 7.9
Food and Beverage 1.3

Landing Fees 1.8

Maintenance Material 1.7

Aircraft Insurance 0.1

Non-Aircraft Insurance 0.4
Passenger Commissions 1.1

Communications 0.9
Advertising and Promotion 0.7
Utilities and Office Supplies 0.6
Transport related 14.3
Other Operating 7.6**Page 9 of 19**

**U.S. DOT - SMALL COMMUNITY AIR SERVICE DEVELOPMENT PROGRAM / Docket DOT-OST-2014-0113 APPLICATION SUBM**  **ISSION NV-HIGH SIERRA AIR CONSORTIUM**  The capital cost of the HSA project is initially es timated between $32-40 million, with a revolving-li ne of credit of approximately $12 million. The prelimi nary proposed schedule Build-Out over two years will be through leased aircraft acquisitions to ser vice the expanding Nevada Hubs. This Build-Out wil l be re-examined and refined as a result of the plann ed Site Tour.

As currently structured, the aircraft required in c onjunction with the present PHASE #1 and PHASE #2 of the Build-Out are as follows:

PHASE #1 – FIXED WING 1. Q300 - 48 seats 2. CRJ-900 - 66 seats 3. CRJ-900 - 66 seats 4. B757-200 - 162 seats 5. CRJ 900 - 66 seats 6. Q300 - 48 seats 7. B757-200 - 162 seats 8. Q300 - spare

PHASE #2 9. B757-200 - 162 seats 10. B757-200 - 162 seats 11. B757-200 –162 seats 12. CRJ-900 –66 seats 13. CRJ-900 –66 seats 14. CRJ-900 –66 seats 15. CRJ-900 –66 seats 16. CRJ-900 –66 seats 17. CRJ-900 –66 seats 18. B757-200 – 162 seats 19. CRJ-900 –66 seats

PHASE #1- HELICOPTER 1. Robinson 44 – 3 seats 2. Bell 412 – 14 seats

HSA Employment / Job Creation It is anticipated that the HSA Aircraft Fleet when built out over 2 years will have 19 aircraft rangin g from B757-200 down to Bombardier Q300 based at vari ous Nevada locations. Although they vary, depending on the final schedule architecture and fl eet mix, the ideal ratio of employees to aircraft i s 1: 130 - 170. This would generate over 1,000 jobs if t he airline is hubbed, based and headquartered in Nevada as planned. Specifically, there will be a vi able mix of skilled and unskilled jobs, with many o f these jobs being well paying skilled and/or profess ional occupations. Additionally, the MRO is anticipated to stimulate private aircraft traffic a nd the need for skilled aircraft mechanic staff.**Page 10 of 19**

**U.S. DOT - SMALL COMMUNITY AIR SERVICE DEVELOPMENT PROGRAM / Docket DOT-OST-2014-0113 APPLICATION SUBM**  **ISSION NV-HIGH SIERRA AIR CONSORTIUM**  VI. HSA SERVICE / ORIGINS & DESTINATIONS (Abbreviat ed Prelim)

Start Up Phase

HIGH SIERRA EXPRESS Q 400 Sat Sun Mon Tue Wed Thu Fri Bonanza 46 LAS 0800 d LAS 0800 d LAS 0800 d LAS 0800 d LAS 0800 d L AS 0800 d LAS 0800 d Family 24 BTY 0830 a BTY 0830 a BTY 0830 a BTY 0830 a BTY 0830 a B TY 0830 a BTY 0830 a TTL 70 BTY 0900 d BTY 0900 d BTY 0900 d BTY 0900 d BTY 0900 d B TY 0900 d BTY 0900 d HTH0930 a HTH0930 a HTH0930 a HTH0930 a HTH0930 a HTH093 0 a HTH0930 a naut. miles

block time HTH1000 d HTH1000 d HTH1000 d HTH1000 d HTH1000 d HTH100 0 d HTH1000 d LAS-BTY 92 0.5 RNO 1045 a RNO 1045 a RNO 1045 a RNO 1045 a RNO 1045 a R NO 1045 a RNO 1045 a EKO-ENV 101 0.25 ELY-ENV 93 0.25 RNO 1130 d RNO 1130 d RNO 1130 d RNO 1130 d RNO 1130 d R NO 1130 d RNO 1130 d RNO-EKO 199 0.5 HTH1145 a HTH1145 a HTH1145 a HTH1145 a HTH1145 a HTH114 5 a HTH1145 a ELY-LAS 194 0.5 HTH 1215 d HTH 1215 d HTH 1215 d HTH 1215 d HTH 1215 d H TH 1215 d HTH 1215 d BTY-HTH 134 0.5 BTY 1230 a BTY 1230 a BTY 1230 a BTY 1230 a BTY 1230 a B TY 1230 a BTY 1230 a HTH-RNO 78 0.25 BTY 1300 d BTY 1300 d BTY 1300 d BTY 1300 d BTY 1300 d B TY 1300 d BTY 1300 d RNO-FLX 47 0.25 LAS 1330 a LAS 1330 a LAS 1330 a LAS 1330 a LAS 1330 a L AS 1330 a LAS 1330 a FLX-EKO 158 0.5 LAS 1545 d LAS 1545 d LAS 1545 d LAS 1545 d LAS 1545 d L AS 1545 d LAS 1545 d BTY 1615 a BTY 1615 a BTY 1615 a BTY 1615 a BTY 1615 a B TY 1615 a BTY 1615 a BTY 1645 d BTY 1645 d BTY 1645 d BTY 1645 d BTY 1645 d B TY 1645 d BTY 1645 d HTH 1715 a HTH 1715 a HTH 1715 a HTH 1715 a HTH 1715 a H TH 1715 a HTH 1715 a HTH 1745 d HTH 1745 d HTH 1745 d HTH 1745 d HTH 1745 d H TH 1745 d HTH 1745 d RNO - Reno NV/Tahoe RNO 1800 a RNO 1800 a RNO 1800 a RNO 1800 a RNO 1800 a R NO 1800 a RNO 1800 a

RNO 1815d RNO 1815d RNO 1815d RNO 1815d RNO 1815d RNO 18 15d RNO 1815d HTH 1830 a HTH 1830 a HTH 1830 a HTH 1830 a HTH 1830 a H TH 1830 a HTH 1830 a HTH 1850 d HTH 1850 d HTH 1850 d HTH 1850 d HTH 1850 d H TH 1850 d HTH 1850 d BTY 1905 a BTY 1905 a BTY 1905 a BTY 1905 a BTY 1905 a B TY 1905 a BTY 1905 a BTY 1925 d BTY 1925 d BTY 1925 d BTY 1925 d BTY 1925 d B TY 1925 d BTY 1925 d LAS 1955 a LAS 1955 a LAS 1955 a LAS 1955 a LAS 1955 a L AS 1955 a LAS 1955 a Total block hours 5 5 5 5 5 5 5 Total naut. miles 1216 1216 1216 1216 1216 1216 1216 35 8512 9789 1.15 9789 1 $35,044 $3.58 $22,779 65% $57,822 BTY Beatty NV/Death Valley

Weekly block hours

weekly operating costs High Sierra Airlines

Seating Config

HTH- Hawthorne, NV/Yosemite

weekly naut miles weekly statute miles weekly gallons weekly fuel cost nonf uel operting cost

INTER- CONNECTING HELICOPTER SHUTTLES

Robinson R44 seating

config 3 Sat Sun Mon Tue Wed Thu Fri based in KRTS Reno/Stead aircraft aircraft aircraft aircraft aircraft aircra ft aircraft drop off drop off drop off drop off drop off drop off dro p off KRTS - Reno/Stead and pick up and pick up and pick up and pick up and pic k up and pick up and pick up

KRTS 0845d KRTS 0845d KRTS 0845d KRTS 0845d KRTS 0845d K RTS 0845d KRTS 0845d Silver Spring Silver Spring Silver Spring Silver Sprin g Silver Spring Silver Spring Silver Spring 0900/0915 0900/0915 0900/0915 0900/0915 0900/0915 0900/0 915 0900/0915 Fallon Fallon Fallon Fallon Fallon Fallon Fallon 0930/1000 0930/1000 0930/1000 0930/1000 0930/1000 0930/1 000 0930/1000 RNO 1030 a RNO 1030 a RNO 1030 a RNO 1030 a RNO 1030 a R NO 1030 a RNO 1030 a

RNO 1145 d RNO 1145 d RNO 1145 d RNO 1145 d RNO 1145 d R NO 1145 d RNO 1145 d Fallon Fallon Fallon Fallon Fallon Fallon Fallon 1200/1215 1200/1215 1200/1215 1200/1215 1200/1215 1200/1 215 1200/1215 Silver Spring Silver Spring Silver Spring Silver Sprin g Silver Spring Silver Spring Silver Spring 1230/1245 1230/1245 1230/1245 1230/1245 1230/1245 1230/1 245 1230/1245 KRTS 1300 a KRTS 1300 a KRTS 1300 a KRTS 1300 a KRTS 13 00 a KRTS 1300 a KRTS 1300 a aircraft aircraft aircraft aircraft aircraft aircra ft aircraft drop off drop off drop off drop off drop off drop off dro p off and pick up and pick up and pick up and pick up and pic k up and pick up and pick up

TTL Block time perating cost per hour $250 weekly op cost**Page 11 of 19**

**U.S. DOT - SMALL COMMUNITY AIR SERVICE DEVELOPMENT PROGRAM / Docket DOT-OST-2014-0113 APPLICATION SUBM**  **ISSION NV-HIGH SIERRA AIR CONSORTIUM**  INTER- CONNECTING HELICOPTER SHUTTLES

Robinson R44 seating

config 3 Sat Sun Mon Tue Wed Thu Fri based in KRTS Reno/Stead aircraft aircraft aircraft aircraft aircraft aircra ft aircraft drop off drop off drop off drop off drop off drop off dro p off KRTS - Reno/Stead and pick up and pick up and pick up and pick up and pic k up and pick up and pick up

KRTS 0845d KRTS 0845d KRTS 0845d KRTS 0845d KRTS 0845d K RTS 0845d KRTS 0845d Silver Spring Silver Spring Silver Spring Silver Sprin g Silver Spring Silver Spring Silver Spring 0900/0915 0900/0915 0900/0915 0900/0915 0900/0915 0900/0 915 0900/0915 Fallon Fallon Fallon Fallon Fallon Fallon Fallon 0930/1000 0930/1000 0930/1000 0930/1000 0930/1000 0930/1 000 0930/1000 RNO 1030 a RNO 1030 a RNO 1030 a RNO 1030 a RNO 1030 a R NO 1030 a RNO 1030 a

RNO 1145 d RNO 1145 d RNO 1145 d RNO 1145 d RNO 1145 d R NO 1145 d RNO 1145 d Fallon Fallon Fallon Fallon Fallon Fallon Fallon 1200/1215 1200/1215 1200/1215 1200/1215 1200/1215 1200/1 215 1200/1215 Silver Spring Silver Spring Silver Spring Silver Sprin g Silver Spring Silver Spring Silver Spring 1230/1245 1230/1245 1230/1245 1230/1245 1230/1245 1230/1 245 1230/1245 KRTS 1300 a KRTS 1300 a KRTS 1300 a KRTS 1300 a KRTS 13 00 a KRTS 1300 a KRTS 1300 a aircraft aircraft aircraft aircraft aircraft aircra ft aircraft drop off drop off drop off drop off drop off drop off dro p off and pick up and pick up and pick up and pick up and pic k up and pick up and pick up

TTL Block time perating cost per hour $250 weekly op cost TAHOE/CAPITAL EXPRESS

Q 400 Sat Sun Mon Tue Wed Thu Fri Bonanza 46 Family 24 LAS 0700 d LAS 0700 d LAS 0700 d LAS 0700 d LAS 0700 d L AS 0700 d LAS 0700 d TTL 70 CSN0745 a CSN0745 a CSN0745 a CSN0745 a CSN0745 a CSN074 5 a CSN0745 a

naut. miles

block time CSN 0815 d CSN 0815 d CSN 0815 d CSN 0815 d CSN 0815 d C SN 0815 d CSN 0815 d LAS-MEV 281 0.75 KRTS 0830a KRTS 0830a KRTS 0830a KRTS 0830a KRTS 0830a K RTS 0830a KRTS 0830a MEV-RNO 12 KRTS 0845d KRTS 0845d KRTS 0845d KRTS 0845d KRTS 0845d K RTS 0845d KRTS 0845d 18 LAS 0930 a LAS 0930 a LAS 0930 a LAS 0930 a LAS 0930 a L AS 0930 a LAS 0930 a

LAS 1000 d LAS 1000 d LAS 1000 d LAS 1000 d LAS 1000 d L AS 1000 d LAS 1000 d KRTS= Reno/Stead MEV 1045 a MEV 1045 a MEV 1045 a MEV 1045 a MEV 1045 a M EV 1045 a MEV 1045 a RNO Reno/Tahoe MEV 1115 d MEV 1115 d MEV 1115 d MEV 1115 d MEV 1115 d M EV 1115 d MEV 1115 d MEV- Minden Tahoe RNO 1130 a RNO 1130 a RNO 1130 a RNO 1130 a RNO 1130 a R NO 1130 a RNO 1130 a CSN -Carson City RNO 1130d RNO 1130d RNO 1130d RNO 1130d RNO 1130d RNO 11 30d RNO 1130d MEV 1145 a MEV 1145 a MEV 1145 a MEV 1145 a MEV 1145 a M EV 1145 a MEV 1145 a MEV 1215 d MEV 1215 d MEV 1215 d MEV 1215 d MEV 1215 d M EV 1215 d MEV 1215 d LAS 1300 a LAS 1300 a LAS 1300 a LAS 1300 a LAS 1300 a L AS 1300 a LAS 1300 a

LAS 1330 d LAS 1330 d LAS 1330 d LAS 1330 d LAS 1330 d L AS 1330 d LAS 1330 d MEV 1415 a MEV 1415 a MEV 1415 a MEV 1415 a MEV 1415 a M EV 1415 a MEV 1415 a MEV 1445 d MEV 1445 d MEV 1445 d MEV 1445 d MEV 1445 d M EV 1445 d MEV 1445 d LAS 1530 a LAS 1530 a LAS 1530 a LAS 1530 a LAS 1530 a L AS 1530 a LAS 1530 a

LAS 1600 d LAS 1600 d LAS 1600 d LAS 1600 d LAS 1600 d L AS 1600 d LAS 1600 d KRTS 1645 a KRTS 1645 a KRTS 1645 a KRTS 1645 a KRTS 16 45 a KRTS 1645 a KRTS 1645 a KRTS 1715 d KRTS 1715 d KRTS 1715 d KRTS 1715 d KRTS 17 15 d KRTS 1715 d KRTS 1715 d CNS 1730 a CNS 1730 a CNS 1730 a CNS 1730 a CNS 1730 a C NS 1730 a CNS 1730 a CNS 1745 d CNS 1745 d CNS 1745 d CNS 1745 d CNS 1745 d C NS 1745 d CNS 1745 d LAS 1830 a LAS 1830 a LAS 1830 a LAS 1830 a LAS 1830 a L AS 1830 a LAS 1830 a Seating Config**Page 12 of 19**

**U.S. DOT - SMALL COMMUNITY AIR SERVICE DEVELOPMENT PROGRAM / Docket DOT-OST-2014-0113 APPLICATION SUBM**  **ISSION NV-HIGH SIERRA AIR CONSORTIUM**  YELLOWSTONE TRAIL Q 400 Sat Sun Mon Tue Wed Thu Fri Bonanza 46 Family 24 LAS 0715 d LAS 0715 d LAS 0715 d LAS 0715 d LAS 0715 d L AS 0715 d LAS 0715 d TTL 70 ELY 0745 a ELY 0745 a ELY 0745 a ELY 0745 a ELY 0745 a E LY 0745 a ELY 0745 a ELY 0815 d ELY 0815 d ELY 0815 d ELY 0815 d ELY 0815 d E LY 0815 d ELY 0815 d naut. miles

block time ENV 0830 a ENV 0830 a ENV 0830 a ENV 0830 a ENV 0830 a E NV 0830 a ENV 0830 a

ENV 0900 d ENV 0900 d ENV 0900 d ENV 0900 d ENV 0900 d E NV 0900 d ENV 0900 d LAS-JAC 495 1.25 EKO 0915 a EKO 0915 a EKO 0915 a EKO 0915 a EKO 0915 a E KO 0915 a EKO 0915 a JAC-WYS 67 0.25 EKO 0945 d EKO 0945 d EKO 0945 d EKO 0945 d EKO 0945 d E KO 0945 d EKO 0945 d WYS-LAS 548 1.5 JAC 1030 a JAC 1030 a JAC 1030 a JAC 1030 a JAC 1030 a J AC 1030 a JAC 1030 a LAS-EKO 286 0.75 EKO-ENV 101 0.25 JAC 1100 d JAC 1100 d JAC 1100 d JAC 1100 d JAC 1100 d J AC 1100 d JAC 1100 d ELY-ENV 93 0.25 EKO 1145 a EKO 1145 a EKO 1145 a EKO 1145 a EKO 1145 a E KO 1145 a EKO 1145 a ELY-LAS 194 0.5 EKO 1230 a EKO 1230 a EKO 1230 a EKO 1230 a EKO 1230 a E KO 1230 a EKO 1230 a ELY-EKO 101 0.25 EKO 1300 d EKO 1300 d EKO 1300 d EKO 1300 d EKO 1300 d E KO 1300 d EKO 1300 d ENV 1330 a ENV 1330 a ENV 1330 a ENV 1330 a ENV 1330 a E NV 1330 a ENV 1330 a ENV 1400 d ENV 1400 d ENV 1400 d ENV 1400 d ENV 1400 d E NV 1400 d ENV 1400 d ELY 1415 a ELY 1415 a ELY 1415 a ELY 1415 a ELY 1415 a E LY 1415 a ELY 1415 a ELY 1445 d ELY 1445 d ELY 1445 d ELY 1445 d ELY 1445 d E LY 1445 d ELY 1445 d LAS 1515 a LAS 1515 a LAS 1515 a LAS 1515 a LAS 1515 a L AS 1515 a LAS 1515 a

LAS 1600 d LAS 1600 d LAS 1600 d LAS 1600 d LAS 1600 d L AS 1600 d LAS 1600 d JAC 1715 a JAC 1715 a JAC 1715 a JAC 1715 a JAC 1715 a J AC 1715 a JAC 1715 a LAS- Las Vegas, NV JAC 1745 d JAC 1745 d JAC 1745 d JAC 1745 d JAC 1745 d J AC 1745 d JAC 1745 d JAC- Jackson Hole WY WYS 1810 a WYS 1810 a WYS 1810 a WYS 1810 a WYS 1810 a W YS 1810 a WYS 1810 a WYS - West Yellowstone WYS 1830 d WYS 1830 d WYS 1830 d WYS 1830 d WYS 1830 d W YS 1830 d WYS 1830 d LAS2000 a LAS2000 a LAS2000 a LAS2000 a LAS2000 a LAS200 0 a LAS2000 a Seating Config GREAT BASIN

ELY- Ely, NV-Great Basin NP ENV- West Wendover, NV/Bonneville SF.

YOSEMITE EASTERN SIERRA AND MONO LAKE

Bell 412 Seating

Config Sat Sun Mon Tue Wed Thu Fri Based in Hawthorne 14 HTH 1000 d HTH 1000 d HTH 1000 d HTH 1000 d HTH 1000 d H TH 1000 d HTH 1000 d YOS 1045 a YOS 1045 a YOS 1045 a YOS 1045 a YOS 1045 a Y OS 1045 a YOS 1045 a YOS 1100 d YOS 1100 d YOS 1100 d YOS 1100 d YOS 1100 d Y OS 1100 d YOS 1100 d HTH 1145 a HTH 1145 a HTH 1145 a HTH 1145 a HTH 1145 a H TH 1145 a HTH 1145 a

HTH - Hawthorne, NV HTH 1200 d HTH 1200 d HTH 1200 d HTH 1200 d HTH 1200 d H TH 1200 d HTH 1200 d YOS- YosemiteVillage Lee Vining Lee Vining Lee Vining Lee Vining Lee Vining L ee Vining Lee Vining Lee Vining/Mono Lake 1230/1245 1230/1245 1230/1245 1230/1245 1230/1245 1230/1 245 1230/1245 YOS 1315 a YOS 1315 a YOS 1315 a YOS 1315 a YOS 1315 a Y OS 1315 a YOS 1315 a

YOS 1330 d YOS 1330 d YOS 1330 d YOS 1330 d YOS 1330 d Y OS 1330 d YOS 1330 d HTH 1415 a HTH 1415 a HTH 1415 a HTH 1415 a HTH 1415 a H TH 1415 a HTH 1415 a

HTH 1430 HTH 1430 HTH 1430 HTH 1430 HTH 1430 HTH 1430 HTH 1430 YOS 1515 a YOS 1515 a YOS 1515 a YOS 1515 a YOS 1515 a Y OS 1515 a YOS 1515 a YOS 1530 d YOS 1530 d YOS 1530 d YOS 1530 d YOS 1530 d Y OS 1530 d YOS 1530 d Lee Vining Lee Vining Lee Vining Lee Vining Lee Vining L ee Vining Lee Vining 1600/1615 1600/1615 1600/1615 1600/1615 1600/1615 1600/1 615 1600/1615 HTH 1645 a HTH 1645 a HTH 1645 a HTH 1645 a HTH 1645 a H TH 1645 a HTH 1645 a

HTH 1730 d HTH 1730 d HTH 1730 d HTH 1730 d HTH 1730 d H TH 1730 d HTH 1730 d YOS 1815 a YOS 1815 a YOS 1815 a YOS 1815 a YOS 1815 a Y OS 1815 a YOS 1815 a YOS 1830 d YOS 1830 d YOS 1830 d YOS 1830 d YOS 1830 d Y OS 1830 d YOS 1830 d HTH 1915 a HTH 1915 a HTH 1915 a HTH 1915 a HTH 1915 a H TH 1915 a HTH 1915 a

perating cost per hour $1,700 weekly op cost TTL Block time**Page 13 of 19**

**U.S. DOT - SMALL COMMUNITY AIR SERVICE DEVELOPMENT PROGRAM / Docket DOT-OST-2014-0113 APPLICATION SUBM**  **ISSION NV-HIGH SIERRA AIR CONSORTIUM**  VII. BRANDING & MARKETING PROPRIETARY TACTICS**Page 14 of 19**

**U.S. DOT - SMALL COMMUNITY AIR SERVICE DEVELOPMENT PROGRAM / Docket DOT-OST-2014-0113 APPLICATION SUBM**  **ISSION NV-HIGH SIERRA AIR CONSORTIUM** **Page 15 of 19**

**U.S. DOT - SMALL COMMUNITY AIR SERVICE DEVELOPMENT PROGRAM / Docket DOT-OST-2014-0113 APPLICATION SUBM**  **ISSION NV-HIGH SIERRA AIR CONSORTIUM** **Page 16 of 19**

**U.S. DOT - SMALL COMMUNITY AIR SERVICE DEVELOPMENT PROGRAM / Docket DOT-OST-2014-0113 APPLICATION SUBM**  **ISSION NV-HIGH SIERRA AIR CONSORTIUM** **Page 17 of 19**

**U.S. DOT - SMALL COMMUNITY AIR SERVICE DEVELOPMENT PROGRAM / Docket DOT-OST-2014-0113 APPLICATION SUBM**  **ISSION NV-HIGH SIERRA AIR CONSORTIUM** **Page 18 of 19**

**U.S. DOT - SMALL COMMUNITY AIR SERVICE DEVELOPMENT PROGRAM / Docket DOT-OST-2014-0113 APPLICATION SUBM**  **ISSION NV-HIGH SIERRA AIR CONSORTIUM** **Page 19 of 19**

**U.S. DOT - SMALL COMMUNITY AIR SERVICE DEVELOPMENT PROGRAM / Docket DOT-OST-2014-0113 APPLICATION SUBM**  **ISSION NV-HIGH SIERRA AIR CONSORTIUM**