From: Muldoon, Albert (OST)
To: "hardman@cablemo.net" ; "manager@flyflw.com" ; "gsanders@saintrobert.com" ; "darlene.f.battle.civ@mail.mil" ; Deberry, William L CIV (US)
Cc: Schlemmer, Kevin (OST) ; Andrew Bonney ; Multi Aero, Shane Storz (Shane@multiaero.com) ; "Cindy Stork" ; Multi Aero, Darnea (Darnea@multiaero.com) Subject: EAS at Fort Leonard Wood, MO - Request for Comments - Due September 18, 2014
Date: Thursday, August 14, 2014 9:53:08 AM
Attachments: Proposal to Provide Essential Air Service at Fort Leonard Wood, Missouri, Docket DOT-OST-1996-1167 (Final 081314).pdf TBN EAS Proposal_13AUG14.pdf

All:
I would like to update you on the Essential Air Service (EAS) situation at Fort Leonard Wood, Missouri, and give you an opportunity to submit comments on the record before we submit a recommendation to the Assistant Secretary for Aviation and International Affairs. In anticipation of the current contract’s expiration on December 31, 2014, the Department issued Order 2014-7-1 (July 1, 2014) soliciting proposals from carriers to provide EAS at Fort Leonard Wood, MO, for a new contract period beginning January 1, 2015. In response to that Order, we received proposals from two carriers: Hyannis Air Service, Inc. dba Cape Air (Cape Air, the incumbent) and Multi-Aero Inc. dba Air Choice One (Air Choice One).
I have attached copies of the proposals to this email. The proposals can also be accessed online through the Federal Dockets Management System at www.regulations.gov by entering “DOT-OST-1996-1167” in the search box. For your convenience, I will briefly summarize the proposals below.
Cape Air proposes to maintain their existing service level at Fort Leonard Wood. It would provide four daily (28 weekly) nonstop round trips to Lambert-St. Louis International Airport (STL), utilizing twin-engine, nine passenger Cessna 402 aircraft. As is currently the case, Cape Air would also operate accompanying freight-only service to accommodate passenger luggage demand, when needed. Passenger service would be operated for an annual subsidy of $1,687,484 in the first year of a two-year contract, or $1,631,476 in the first year of a four-year contract, with a 4% annual escalation factor in both cases. Freighter service would be used only on an as-needed basis, with usage capped at 70% of passenger departures, subsidized at $586 per departure in the first year, also subject to a 4% annual escalation.

Air Choice One also submitted a proposal for Fort Leonard Wood. Air Choice One would also provide four daily (28 weekly) nonstop round trips to STL. Air Choice One would utilize single-engine, nine passenger Cessna Grand Caravan aircraft. For this service, the carrier would require an annual subsidy of $2,177,417 for a two year contract.

Please review each proposal and submit any comments you may have as soon as possible, but no later than September 18, 2014. We will carefully consider your comments before we submit a recommendation to the Assistant Secretary for a decision.
Please send your comments via email to EAS@dot.gov

. If you have any questions, please feel free to contact me at albert.muldoon@dot.gov or (202) 366-1058.
Regards, A.J.

A.J. Muldoon Office of Aviation AnalysisU.S. Department of Transportation albert.muldoon@dot.gov (202) 366-1058