# Proposal under the Small Community Air

Service Development Program

Docket DOT

- OST

- 2011

- 0119

Charles M. Schulz

- Sonoma County Airport

Sponsor: County of Sonoma

Charles M. Schulz

– Sonoma County Airport

DUNS Number: 145551 912

Congressional District Code: CA

- 006

Contact: Mr. Jon Stout, CAE, AAE

Airport Manager

Charles M. Schulz

– Sonoma County Airport

2290 Airport Boulevard

Santa Rosa, CA 95403

(707) 565

- 7243

(707) 542

- 5303 Fax

jon.stout@sonoma

- county.org

Due Date: August 2, 2011

Santa RosaSmall Community Air Service Development Program Page I

Charles M. Schulz

– Sonoma County Airport Proposal A PPENDIX C

SMALL COMMUNITY AIR SERVICE DEVELOPMENT PROGRAM

DOCKET OST

- 2011

- 0119

SUMMARY INFORMATION

All applicants must submit this information with their pr oposal, along with a completed form SF

424 on http://www.grants.gov

A. APPLICANT INFORMATION: (CHECK ALL THAT APPLY)

Not a Consortium Interstate Consortium Intrastate Consortium

Community n ow receives EAS subsidy

Community previously received a Small Community Grant in 2004. Grant was

extended in 2007 and completed on March 31, 2008.

B. PUBLIC/PRIVATE PARTNERSHIP

Public: Private:

1. County of Sonoma 1. Redwood Credit Union

2. Sonoma County Tourism Bureau 2. North Bay Business Journal

3. Mendocino County Lodging Assoc 3. North Bay Biz Magazine

4. Santa Rosa Chamber of Commerce 4. Frontier Airlines

5. Santa Rosa Convention and Visitors Bureau

C. PROJECT PROPOSAL

Project Proposal: (Check All That Apply)

X Marketing Upgrade Aircraft X New Rout e

_X_

____ Surface Trans. Regional Service

_ X

_ Revenue Guarantee Travel Bank Service Restoration

___ Subsidy

X

Study Launch New Carrier Start

- up Cost Offset

____ First Service

X Secure Additional Service _X__ Other (explain below)

Lower fares X

XSmall Community Air Service Development Program Page II

Charles M. Schulz

– Sonoma County Airport Proposal D. EXISTING LANDING AIDS AT LOCAL AIRPORT:

X Full ILS X Outer/Middle Marker X Published Instrument Approac h

X Localizer Other (Specify) _____________

E. PROJECT COST:

Description Sub Total Total

1. Federal Amount Requested: $650,000

2. State cash financial contribution 0

Local Cash Financi al Contribution

3a. Airport cash funds: 35,000

3b. Non

- Airport cash funds:

3. Total local cash funds: 165,000

4. TOTAL CASH FUNDING $850,000 200,000

In

- Kind contribution

5a. Airport In

- Kind contribution 35 ,000

5b. Other In

- Kind contribution

5. TOTAL IN

- KIND CONTRIBUTION 6 25,000

6. TOTAL PROJECT COST $1, 510 ,000 $ 6 60 ,00

F. IN

- KIND CONTRIBUTIONS

1. Airport Fees (Landing, RON, Terminal ) $ 35 ,000

2. Barter Advertising 125,000

3. Travel Bank

Total $6 60 ,000 5 00,000

G. IS THIS APPLICATION SUBJECT TO REVIEW BY STATE UNDER EXECUTIVE ORDER

PROCESS?

a. This application was made available to the State under Executive Orde r 12372

Process for review on _______________.

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 THE APPLICANT DELINQUENT ON ANY FEDERAL DEBT?

No Yes (explain) _________________________ x

xSmall Community Air Service Development Program Page III

Charles M. Schulz

– Sonoma County Airport Proposal SONOMA COUNTY AIRPORT MARKET AREASmall Community Air Service Dev elopment Program TOC i

Charles M. Schulz

– Sonoma County Airport Proposal 

### Table of Contents

Summary of Community Proposal 1

Previous Grant 1

New Grant Proposal 2

Our Community Team 2

Our Airport 3

Our Plan is C onsistent with DOT Priorities 3

Unique Circumstances 4

Air Service Background 4

The Charles M. Schulz

- S onoma County Airport (STS) 4

Air Service History 4

United Express Service 5

American Eagle Service 6

Reno Air Service 6

Horizon Air Service 6

Current Air Service 6

Sonoma County Community Profile 7

Market Analysis 9

Economi c Indicators 9

Comparison to Similar Markets 9

Unique Air Trave l Factors of the Market Area 10

Local Market Demand 10

High Air Fares 11

Action Plan 12

Action Plan Elements 12

Marketing Program 12

Marketing and Media Selection 12

Fee Waivers 13

Advance Ticket Sales Program (Travel Bank) 13

Revenue Guarantee 14

Total Incentive Package 14

Innova tive Marketing Pr ogram 15

Economic Stimulus 15

Performance Measurement and Schedule 16

Performance Mea surement 16

Schedule 16

Community Support 17

Sonoma County Tourism Bureau

– Service Launch Marketing Plan 17

Assurances 22

Airline Letter s of Support 23

Political Letters of Support 2 6

Business Letters of Support 33Small Community Air Service Development Program Page 1

Charles M. Schulz

– Sonoma County Airport Proposal 

### PROPOSAL OF SONOMA COUNTY AND SONOMA COUNTY AIRPORT

Summary of Proposal

The County of Sonoma and the Charles M. Schulz

- Sonoma County Airport ( Airport/ STS) are

seeking a grant to support the establishment of new air service to Denver International Airport

(DEN) in Denver, Colora do by Frontier Airlines. Initial service will be summer seasonal service

with one round trip flight per day using the Embraer E

- 190 jet aircraft

. Currently, there is no air

service to a hub airport to the east and the local Sonoma County traveler must ei ther connect

through one of the west coast airports or drive to another airport in the San Francisco Bay Area

to initiate their journey. Current fares for connections from STS via other hub airports on the

west coast (LAX, LAS, PDX, SEA) are approximately 60% higher than fares at other airports in

the San Francisco Bay Area (Bay Area) . Driving to another airport i n the region is time

consuming (upwards of three hours each way) and expensive. New nonstop service at STS to

D EN is the best solution to meet air travel needs.

The County of Sonoma and the Charles M. Schulz

- Sonoma County Airport are requesting a

grant of $6 50 ,000, with a local cash contribution of $ 20 0 ,000

, an in kind contribution of

$ 1 60,0 00 plus a $ 5 00,000 commitment for pre

- purchased tick et sales for a t otal incentive

package of $ 1

, 5 10,000

. With the receipt of the Small Community Air Service Development

grant funds, our airline assistance package will have sufficient resources to provide a strong

marketing program for the new air service and provide a revenue guarantee for the airline during

the initial months of operation.

Previous Grant

The Sonoma County Community and the Airport received a grant under the Small Community

Air Service Development program in 2004. The grant was $635,000 and was intended to

support new air service between STS and Los Angeles International Airport (LAX) with revenue

guarantees and marketing assistance . STS had been without any scheduled passenger air service

since October of 2001 and the Small Community Ai r Service Development grant allowed the

Community and the Airport to develop a strong incentive package to attract new air service. The

Community and the Airport made a local contribution of $987,879 in cash, in kind, and pre

purchased tickets, for a tota l incentive package of $1,622,879.

After spending two years of m arket development and recruitment , the Community and STS w ere

able to get a commitment from Horizon Air lines (Horizon) to provide nonstop service. The

market development included the hiring of two consulting firms to develop air traffic studies to

define the passenger market and to develop a marketing plan to support new air service.

On March 22, 2007, Horizon launched service to LAX with the Dash 8 Q

- 400 aircraft operating

two flights per day. Horizon also started service to Seattle International Airport (SEA) with one

daily flight even though this flight was not covered under the revenue guarantee program of the

grant. During the first six months of service, Horizon averaged an 81% load factor at STS to

LAX and SEA . In fact , the service was so successful the airline added a third flight to LAX andSmall Community Air Service Development Program Page 2

Charles M. Schulz

– Sonoma County Airport Proposal new service to Portland (PDX) at the end of October 2007 . In April 2 008, Horizon discontinued

the third flight to LAX and started service be tween STS and Las Vegas (LAS)

.

New Grant Proposal

The partnership of the Community, the Airport, and the Airline worked so well under the Small

Community Air Service Development Program in 2004 that the Community and the Airport are

again submitting a pr oposal for another grant to support a new project to provide air service to

D EN

. The air service north and south on the West Coast has been successful, but local business

and tourism interest s still need access to markets to the e ast of California . There is limited

connecting service to markets to the East through the four cities currently served by Horizon

from STS

, however, the fares are very high and the connections from Horizo n to other airlines is

inconvenient, time consuming and very d ifficult at so me airports.

Frontier Airlines is interested in providing air service between STS and D EN if the Airport can

provide an incentive package similar to the previous package provided to Horizon . The Airline

has indicated that it could start summer seasonal se rvice with one daily round trip flight with 99

seat E

- 190 aircraft in 201 2 . Surveys and leakage studies developed by Sabre Airline Solutions

indicate a strong passenger demand with 94.3 passengers per day each way for service to D EN

and that D EN is an est ablished airport hub with connecti o n s to points in the middle of the

country, the east, the southwest , southeast and Mexico

. Frontier Airlines has air service to

almost all of STS’s top markets and thi s combination of airline and airport will utilize the current

Airport and Horizon partnership model

.

The Community and the Airport recognizes that the program that was developed to attract the

service to LAX will similarly attract customers for new air service to D EN . The Airport will

continue to work with the Community sector, both private and public, in developing a

promotional strategy and marketing program to support the new air service. To support this new

project, the sponsor s of this grant are seeking $6 50 ,000 in Federal fu nds that will be matched

wi th $ 200 ,000 in cash by the local community, $ 1 2 5, 0 00 of in

- kind marketing support , Airport

fee waivers of $35,000 and the businesses in the local community will commit to $ 5 00,000 in

pre

- purchased tickets. This will create a t otal incentive package of $ 1

, 5 10

, 0 00 ; demonstrating

sufficient support for the new air service through Frontier Airlines

.

Our Community Team

The Sonoma County Board of Supervisors created an Airline Attraction Committee in 2004 to

help re

- establish airl ine service at our Airport. T his committee is a significant public

– private

partnership. It includes business leaders, Chamber of Commerce representatives, higher

education institutions, community groups, and constituents at large from the five county

catchment area . The County has ret ained experienced professionals to develop the technical and

market information needed to validate our market’s strength and demand. This Committee

worked with Horizon in starting service to LAX and expansion of air service to SEA, PDX, and

LAS.Small Community Air Service Development Program Page 3

Charles M. Schulz

– Sonoma County Airport Proposal The Airlin e Attraction Committee is composed of business leaders, educational institutions,

association representatives, medical representatives, community organizations and residents.

The Committee Membership is as follows:

AIRLINE ATTRACTION COMMITTEE MEMBERSHIP

Member Representing

Mike McGuire Sonoma County Board of Supervisors

Michael Merrill Merrill, Arnone & Jones, LLP

Hal Beck Hal Beck & Associates

Ken Clark North Bay Business Journal

Anthony Geraldi Airport Express

Jonathan Coe Santa Rosa Chamber of Commerce

Cynthia Murray North Bay Leadership Council

Merritt Sher Hotel Healdsburg

Larry Wasem Airport Business Center

Ben Stone Sonoma County Economic Development

Mark Crabb So noma County Tourism Bureau

Cindy Butner Santa Rosa Press Democrat

Dan Condron Sonoma State University

Scott Schnieder Mendocino County Lodging Association

Richard Strom Mendocino County Tourism

Alan Stess Marketing Executive

David Gouin City o f Santa Rosa

Michael Fish Fish, Snell, PC, Marin

Christa Johnson Town of Windsor

Mike Kennett Sonoma County Lodging Association

Don Test Sonoma County Economic Development

Jeff Weber Agilent Technologies

Our Airport

The Airport meets all FAA r equirements for the new service to DEN

. The success of the

Horizon service is moving the Airport to a full modernization of the Airport with a lengthened

runway, new taxi

- ways, new lighting, a n updated terminal and a new parking lot. T erminal

improvements were completed in September 2010 allowing for additional space for airlines and

customers

. T he Airport can conveniently handle the current service of Horizon and proposed

new service by Frontier Airlines to D EN

.

Our Plan Is Consistent With DOT Prioritie s

New service to DEN is consistent with the priorities established by the Secretary of

Transportation. The new air service will not detract from the current air service as this new

service will connect to an eastern hub, while the current service concentr ates on airports on the

west coast. The addition of this new service will help create a stronger awareness of the Airport

through additional destinations and a second airline . The Community and the Airport will work

with Frontier to promote reasonable fa res that are competitive with other Bay Area Airports by

offering an incentive package to advertise the new service, provide a revenue guarantee, and

establish a pre

- purchase ticket bank.Small Community Air Service Development Program Page 4

Charles M. Schulz

– Sonoma County Airport Proposal The proposed D EN service will benefit local businesses, higher educa tion institutions, the

general public, and especially the tourism industry during this economic recession because it

provides a direct connection to the east and will make it easier for visitors from the east to come

directly into Sonoma County. It will a lso provide an excellent alternative to the difficult and

highly congested two

- hour average drive on the Highway 101 corridor to either San Francisco

International Airport ( SFO ) o r Oakland International Airport (OAK)

.

Unique Circumstances

The U.S. Highwa y 101 corridor between Sonoma County and the Bay Area currently provides

the regions only practical means of access to other airports that have service. Trips to the Bay

Area airports are costly in terms of pollution, congestion and dollars. These trips, c an take a

minimum of three hours at most peak times of the day because of increased highway congestion.

It is much worse for persons living in communities that are beyond the A irport to the north and

east.



### Air Service Background

The Charles M. Schulz

– S onoma County Airport (STS)

The Airport meets all FAA requirements for regional jet service we are seeking and is the

primary commercial service a irport serving the North Coast r egion of California. Th e region

includes Sonoma, Mendocino, Lake, Napa , southe rn Humboldt, and Marin Counties. T he

population o f the Airport catchment area is over 1, 1 00,000 residents. Sonoma County has

traditionally provided the best and only practical link to the n ational t ransportation s ystem for the

residents of the many small , rural communities throughout the North Coast region . The

economies of the region continue to grow. Population is increasing, retail sales are up, and new

companies are moving into the area and demand for airline service continues to be high.

The Airpo rt is a full service a irport. Its existing passenger terminal has one airline and has space

to accommodate up to a total of three airlines, and currently has four rental car companies and a

full service restaurant. Convenient, reasonably

- priced automobile parking is available on

Airport. The Airport is seven miles northwest of downtown Santa Rosa and is owned and

operated by the County of Sonoma. The primary runway at the Airport is 5,115 feet long and

150 feet wide. The Airport is currently working to e xtend the runway to 6,000 feet , which is

anticipated to be completed in the summer of 2013 . Tenants and vendors at the Airport provide a

full range of aviation services including fuel service, student instruction, charter flights, aircraft

and engine repa ir, and aircraft storage.

Air Service History

Sonoma County has had scheduled air service since the late 1940’ s. Prior to the Airline

Deregulation Act of 1978, the Airport had frequent service to SFO and Sacramento (SMF).

Hughes Air West and its predece ssor, Pacific Airlines provided the service with forty

- four seat

F

- 27 turbo prop aircraft. Special jet charter flights were operated by Hughes Air West with DC

9 aircraft and by Air California with B

- 737 aircraft.Small Community Air Service Development Program Page 5

Charles M. Schulz

– Sonoma County Airport Proposal In the early 1980’ s, West Air Commuter be gan serving SFO , Eureka (AC V ), Chico (CIC), and

SMF from the Airport using eight seat Cessna 402 aircraft. The Airport lost its scheduled

passenger air service shortly after September 11 , 2001 , due to internal issue at United Express

. The Airport impleme nted an air service development program and recruiting effort and was able

to attract Horizon to provide service to LAX . Th e Small Community Air Service Development

Program grant funded that successful effort. In 20 11

, Horizon has carried 97,638 passenger s

through June . This figure is up 1 4.6 % over the same period in 2010

. To date, since service

resumed in March 2007, Horizon has carried a total of 786,221 passengers in and out of the

Airport.

SONOMA COUNTY AIRPORT PASSENGER HISTORY

United Express Ser vice

In 1985, West Air upgraded its fleet to 19 seat and 30 seat regional aircraft and signed a

marketing agreement with United Airlines to become United Express. Initially United Express

provided service to SFO . In 1989, West Air inaugurated pure jet s ervice at the Airport using

BAe

- 146 aircraft. Four round trip flights to Los Angeles (LAX) were provided. The jet service

was popular with the local travelers and total enplaned passengers reached a high in 1991 of just

over 100,000 . West Air stopped it s Bae

- 146 service in 1992 after a dispute with United Airlines.

In the spring of 1999, United Airlines terminated its agreement with Mesa Airlines, which had

acquired West Air in 1998. United signed a new agreement with SkyWest Airlines to operate as

its regional partner. Service was provided connecting to United Airlines flights in SFO. SkyWest

Airlines operated the STS

- SFO route with 30 seat turbo prop aircraft.

At Sonoma County’s request, SkyWest Airlines inaugurated non

- stop service to L AX in th e

spring of 1999. The new service to LAX resulted in an increase of total passengers from 3 7

, 986

in 1998, to 46,800 in 1999, and to 74,172 in 2000. Despite strong passenger demand and

excellent response to the new air service, United Airlines ordered Sky West to terminate all

service at STS in October, 2001. The decision by United Airlines in 2001 to abandon our very

strong market was based on internal airline policy factors. It did not reflect any lack of

confidence in our market or the effects of 9/11

.Small Community Air Service Development Program Page 6

Charles M. Schulz

– Sonoma County Airport Proposal American Eagle Service

In 1989, American Eagle, the regional airline of American Airlines, began serving the American

Airlines hub at San Jose (SJC). The Sonoma County community responded positively through

increased ridership and bookings to this incre ase in service. American Eagle service was

terminated in mid 1993 when American Airlines abandoned its SJC hub and withdrew American

Eagle from Bay Area markets.

Reno Air Service

In September 1994, Phoenix Leasing Corporation dba Reno Air Express bega n service from STS

to SJC using a Jetstream (J31) aircraft. In March 1995, during negotiations to add one round trip

daily to Reno, Reno Air requested early termination of their agreement due to internal company

changes.

Horizon Air Service

In March 200 7, Horizon Air began nonstop service from STS to LAX and SEA. This service was

a result of the recruiting program funded by the Small Community Air Service Development

Program. Horizon started service with 74 seat Dash 8 Q

- 400 aircraft flying two daily ro und trip

flights between STS and LAX and one daily round trip flight between STS and SEA . This new

air service was a signific ant success. For the first six months the load factor was over 80% every

month during the first six months of the launch period

. Horizon added a third flight to LAX in

October 2007 and also added new service to PDX the same month . By the end of the year, the

Airport had five flights per day and had averaged a load factor of 77% for the year or 398

passengers daily

.

In the first quarter of 2008, Horizon found that the load factor on the third LAX flight was not at

the level as the other flights. Horizon changed the flight from LAX to LAS

. In additional for the

summer of 2008 Horizon added a second flight to SEA for a total of si x daily flights. Horizon

averaged a 73% load factor for all flights. Horizon has indicated that they are extremely happy

with the results of the air service at STS and the efforts by the local community to support the

airline. The local community includes representatives from Mendocino, Napa and Sonoma

Counties including governmental, business and tourism interests. Discussions are underway

with Horizon regarding service to other airports on the West Coast such as San Diego (SAN)

.

Current Air Service

As of August 1, 20 11

, the Airport had five flight departures per day: Two nonstop flights to

LAX , one nonstop flight and one one

- stop flight to SEA

, one nonstop flight to PDX , and one

nonstop flight to LAS . All service is provided with Dash 8 Q

- 400 aircraf t. The economic

impact from Horizon’s five daily flights results in a direct and indirect economic impact of just

over $112 million per year and contributed an estimated 414 jobs with in the community.

Horizon is pleased with the investment opportunities at STS and continue s its operations as listed

below:Small Community Air Service Development Program Page 7

Charles M. Schulz

– Sonoma County Airport Proposal STS AIR SERVICE

– AUGUST 1, 2011

Market Airline Depart Arrive Stops Frequency

STS

- LAX Horizon 6:35 am 8:05 am 0 Daily

Horizon 4:10 pm 5:44 pm 0 Daily

LAX

- STS Horizon 8:40 am 10 : 10 a m 0 Daily

Horizon 6:40 pm 8:10 pm 0 Daily

STS

- SEA Horizon 10:40 am 12:5 0 pm 0 Daily

Horizon 5:15 pm 8 :20 pm 1 Daily

SEA

- STS Horizon 9:00 am 12:04 pm 1 Daily

Horizon 1:3 0 pm 3: 4 0 pm 0 Daily

STS

- PDX Horizon 5 : 15 pm 7:00 pm 0 Daily

PDX

- STS Horizon 10:20 am 12:04 pm 0 Daily

STS

- LAS Horizon 12:34 pm 2:18 pm 0 Daily

LAS

- STS Horizon 2:53 pm 4:4 5 pm 0 Daily



### Sonoma County Community Profile

The Sonoma County Community is a growing, diverse area that needs and depends upon airline

service to connect its catchment area popula tion of over 1,100,000 residents to the nation’s air

trans portation system and to assist others who serve and visit the area from throughout the

United States and abroad. When Sonoma County submitted a proposal for a grant in 2004, the

A irport area was one of the largest market areas in the United States without commercial

passenger air service.

Economic growth in Sonoma County has increased by 20% since 1990 and has outpaced

California nearly every year during that period of time. This is due to the County having a

growing concentration of high

- tech industries t hat have benefited from strong business

investment and export growth in the first half of the decade. Also, the agriculture, wine, and

tourism industries performed well through the recession and showed large growth during the

later part of the 1990’s. Th e County has had a net inflow of migrants that have supported the

growth in business. Domestic migrants come primarily from within the state. The most recent

survey indicates that almost 50% of the domestic migrants moved from other Bay Area

communities a nd Sacramento to Sonoma County.

The Sonoma County community has also been impacted by the economic recession that has been

felt nationwide. Local leaders see the tourism industry a s a focal point to bring revenue and new

jobs in to the community. The S onoma County Tourism Bureau set up offices and advertising

activities nationwide to attract touris m to Sonoma County

. The Sonoma County Tourism BureauSmall Community Air Service Development Program Page 8

Charles M. Schulz

– Sonoma County Airport Proposal seeks air service from D EN as a strategic travel gateway to mark ets to the East

, Canada and

Mexico.

The business market is strong and diverse in Sonoma County. Community leaders will continue

to support existing employers while attracting new businesses that will contribute to the

economic well being of the area. The major employers have indicated a strong interest in service

to Denver with connections to beyond markets. The key employers are:

Company Employees Industry

Agilent Technologies 2,600 Communications

Kaiser Permanente 2,500 Health Care

Santa Rosa Junior Col lege 2,360 Education

St. Joseph Health System 2,300 Health Care

Lucas Films 1,820 Entertainment

Sonoma State University 1,800 Education

Firemans Fund Insurance 1,700 Financial

Medtronic 1,400 Technology

Optical Coating Labs 1,300 Technology

Beringer Blass Wine 1,200 Agriculture

Santa Rosa is ranked sixth nationally as the best places for business in the Forbes/Milken survey.

The quality of life in Sonoma County and the North Coast are consistently ranked very high.

This has resulted in an influx of new residents and businesses wishing to take advantage of the

varied geography and small town atmosphere. Affordable housing has been improving due to

higher incomes and lower interest rates. Air quality has consistently improved since 1990.

It’s important to note that a uto transportation on Highway 101, the north

- south artery for the

catchment area , increases every year making the 65 to 75 mile commut e time longer and harder

for businesses to ship goods. This is espec ially a challenge for travelers using SFO and OAK

because it can result in ground travel times to these airports to over three hours for the 65 to 75

mile distance . The lack of sufficient air service from STS to markets to the east is also a

deterrent to growth in business and tourism.

Sonoma County is an ideal place to both live and work. With this combination and our excellent

quality of life, strong tourism and business climate, Sonoma County is an ideal match for air

service. Air service by Horizo n at STS to LAX

, SEA, P DX , and LAS has been very successful

and it is projected that additional flights to other markets will also be very successful. The

addition of service to Denver by Frontier will be utilized by the local business market and

provide a strong stimulus for tourism spending in the Sonoma County market area and is being

supported by the whole community.Small Community Air Service Development Program Page 9

Charles M. Schulz

– Sonoma County Airport Proposal 

### Market Analysis

Economic Indicators

In 2010 , the Airport market catchment area had a popu lation of approximately 1,144,700

reside nts with 443,700 households. Total retail sales for the Airport market was approximately

$4 3,118 per household. The effective buying income for the Airport market area was $70,178

per household, one of the highest in the nation. Approximately 50% of the area households have

an annual buying income in excess of $50,000. Over 1/3 of our market area is considered rural in

nature.

The economic indicators for the Airport market area are higher than the average for the State of

California where the retail sal es average $42,675 per household, buying income averages

$57,795 per household, and 42.5% of the total households have buying incomes in excess of

$50,000. The total Bay Area market has a population of 7.3 million with the Airport catchment

area comprisin g 15% of the total.

The largest concentration of population is in the cities of Santa Rosa, Rohnert Park, Petaluma,

a nd Novato. These four cities represent over 300,000 people. These cities are all located to the

south of the Airport and are required to use Highway 101 to access the Airport. Normal

commuter traffic flow is to the south during commute times in the morning and to the north in

the late afternoon. As a result, the airline passengers in these cities access the Airport well

.

Comparison to Similar Market Areas

When the Airport market area is compared to other similar m etropolitan market areas in

California , the Sonoma County community is not getting all of the air service that its population

and economic buying power can sup port. The avera ge size of the markets listed below is

683,000 people, approximately 4 0% less than the service area for Sonoma County. Retail sales

and income per household for the other airport market areas lags behind Sonoma County. Yet,

the daily flight average of the se markets is 26.5 flights compared to 5 flights for STS

.

COMPARISON TO SIMILAR MARKETS

STS FAT BFL MRY SBA

Populati on 1,144,700 1,078,500 821,700 417,120 415,380

Population over 25 69.1% 59.2% 59.2% 61.7% 62.1%

Households over

$50,000 income 49.5% 36.7% 37.2% 47.7% 48.4%

Retail Sales/Hshld. $43,118 $39,525 $40,482 $46,516 $43,433

Income/Hshld. $70,178 $51,306 $50,205 $63,247 $67,451

Buying Power Index .4413 .2 530 .2185 .1256 .1418

Daily Flights 5 41 15 18 32

Without knowing more, it is tempting to suggest that the Airport does not have the frequent air

service because of its close proximity to the SFO and OAK . T he proximity to these airports isSmall Community Air Service Development Program Page 10

Charles M. Schulz

– Sonoma County Airport Proposal deceiving not only based on road mileage, but also in terms of travel time. All of the airports

listed above except for Fresno are within 100 miles of a major airport and have about the same

driving time as STS to a major airport even though we are only 65 to 75 miles from a major

airport

.

Unique Air Travel Factors of the Market Area

For service to and from DEN

, most of the Airport market area air passengers are driving to

OAK

, SFO , or the SMF to catch nonstop flights. Although these airports look close on a map,

the travel time from some of our market a reas averages from three to five hours of driving time.

To catch morning flights to DEN, customers are driving to one of these three airports the evening

before and stay ing at a hotel for the night in order to guarantee not missing their morning flights.

Local Market Demand

An analysis of passenger bookings was developed by Sabre Airline Solutions for the tw elve

months ending November 2009 . T he analysis came up with 3, 962 outbound passenger bookings

per day from residents of the Airport catchment area. This equates to 1,446,0 00 outbound

passengers and 2,892,000 local round trip passengers.

The southern California market served by five airports was the numbe r one ove rall destination

with 562,000 annual origin and destination passengers. Passengers in the STS

- D EN market were

estimated at 137,600. Passengers to D EN and beyond to other Frontier Airlines markets were

estimated by the Sabre Study to be 1,727,700 on an an nual basis.

Based on the Sabre booking data, over 70% of the airline passengers are using SFO to originate

trips. Nine airlines account for 90 % of the total passenger booking from the Airport market area.

United, Alaska, Southwest and American accounted for 65% of the passenger bookings from the

Airport market area. With the heavy use of SFO , the customers are paying a higher fare for the

convenience of using a preferred carrier or n onstop service and the region is subjected to

additional pollution and c ongestion.

CHOICE OF AIRPORT FOR STS AREA PASSENGERSSmall Community Air Service Development Program Page 11

Charles M. Schulz

– Sonoma County Airport Proposal The Sabre Study presented the passenger bookings from the Global Distribution System for the

total Airport catchment area for a twelve

- month period. Over 1,051 daily passengers from the

markets listed below will benefit from new air service to D EN by Frontier Airlines. Th is equates

to a total outbound market from STS of 384,000 passengers per year.

TOP STS DESTINATIONS FROM SABRE STUDY

Market PDEW Market

LAX* 240.4 EWR 69.9 PDEW

GDL 163.8 SNA 68.7

JFK 157.8 PHX 62.2

SEA* 143.7 HNL 61.9

MSP 135.3 LHR 60.5

LAS* 113.8 BUR 60.0

ORD 112.7 MEX 57.2

DEN 94.3 OGG 57.0

SAN 85.7 DFW 54.9

BOS 81.5 MLM 53.0

IAD 81.1 ATL 50.1

PDX* 75.4 PHL 47.8

KOA 70.1 MCO 43 .8

* Current Markets Served Sourc e: Sabre MIDT data YE Nov. 2009

High Air Fares

At the pr esent time, pass engers flying from STS to DEN and points east a re making connections

at LAX, LAS, PDX, or SEA airports

. In 20 10, the average fare from the Airport was 84.4%

higher than the average fare from SFO and 60.5% higher to the top fifteen markets to the east

than the fares from SFO

.

STS HAS MUCH HIGHER FARES THAN SFO

TO KEY MARKETS IN THE EAST

STS Average SFO Average % STS higher

Market Fare Fare

Denver $236 $128 84.4% than SFO

Atlanta 248 213 16.4%

Boston 437 225 94.2%

Dallas 306 220 39.1%

Chicago (ORD) 256 218 17.4%

Houston 416 249 67.1%

Kansas City 281 170 65.3%

Minneapolis 323 216 49.5%

Newark 387 274 41.2%

New York (JFK) 505 255 98.0%

Omaha 349 147 137.4%

Orlando 354 207 71.0%

St. Louis 276 197 40.1%Small Community Air Service Development Program Page 12

Charles M. Schulz

– Sonoma County Airport Proposal Washington (DCA) 312 184 69.6%

Washington (IAD) 368 243

Average $337 $210 60.5% 51.4%

Source: DOT O&D and Fare data, YE 2010

Frontier Airlines is a low cost carrier (LCC) and a low fare carrier. If Frontier Airlines initiates

fares similar to what they have in other west coast markets, then STS should have very

competitive f ares with SFO to the same markets. This should eliminate the fare disparity for

STS and help eliminate leakage to SFO and other airports

.



### Action Plan

Action Plan Elements

The goal of the Action Plan is to address issues associated with the proposed air service that are

critical to the long

- term success of that service. In this regard, this action plan will address three

areas for the Airport: (1) marketing, promotion, and support of new air service; (2) fee waivers

by the Airport during the start

- up ph ase; and (3) revenue guarantees for initial air service.

Marketing Program

The success of the Airports 2007 Small Community Air Service Development P rogram grant

was due to the vibrant marketing and advertising program that was developed by the Airport a nd

Horizon. For this new project, the Airport is allocating $475,000 to advertising and marketing.

If we include advanced ticket sales, then the marketing, advertising, public relations, and pre

- sale

tickets account for $975,000 or 65% of the total proje ct.

The advertising, promotions, and public relations program are all part of the marketing p lan to

support new air service. The target market for Sonoma County air service is a combination of

local busine ss, leisure travel, and visitor to the Sonoma Cou nty market area. The marketing

campaign will include advertising, promotions, and public relations in the five county region

served by STS to introduce and promote the new air service.

Sonoma County’s marketing campaign is to concentrate promoting the new service in its five

county region. Partner Frontier Airlines will concentrate its marketing and advertising funds to

inform, attract and give notice of its entrance into the D EN market

. The overall marketing

campaign will focus on : (1) the traveler ; ( 2 ) the travel agent ; ( 3 ) the c orporate travel

coordinator; (4 ) the business associations , and (5) social media

. The campaign will strategically

utiliz e media outlets including: radio, new spaper, magazine, direct mail, I nternet

, and billboards

.

Marketing and Media Selection

The market in the Airport market area can best be reached by using local newspaper, radio,

billboards , direct mail, trade publications, and online advertising via the I nternet. Upon review

of the local medium for the market, the foll owing is recommended.Small Community Air Service Development Program Page 13

Charles M. Schulz

– Sonoma County Airport Proposal SELECTED MEDIA FOR NEW AIR SERVICE

Media Type Media Selected Location

Newspaper Press Democrat Santa Rosa

Daily Journal Ukiah

Valley Register Napa

Independent Journal Marin

Radio KSRO 1350 am News

- Talk

KJZY 93.7 fm Jazz

KRSH 95.9 fm Rock

KFGY 92.9 fm Country

KWNE 94.5 fm Contemporary

This media plan results in a very diverse program for promoting the new air service. The cash

budget is estimated to be $350,000 with an additional in kind budget of $125,000 for a total of

$475,000 . The plan will include advertising and marketing at least ninety days prior to the start

of service continuing for six months after the start of air service.

ESTIMATED MARKETI NG EXPENDITURES FOR NEW AIR SERVICE

Cash In Kind

Advertising Total

Newspaper/Magazine $100,000 $50,000 $150,000

Radio 60,000 45,000 105,000

Outdoor (Billboards) 65,000 10,000 7 5,000

Production 15,000 10,000 25,000

Internet 15,000 10,000 25,000

Direct Mail 25,000 25,000

Public Relations 35,000 35,000

Outside Marketing Services 35,000

Total $ 350,000 $125,000 $475,000 35,000

Fee Waivers

Included in the incentive package being offered to Frontier Airlines is the waiver of landing fees

for flights arriving from D EN for the first year of operation. At current rates, this is $165.39 per

land ing for the E

- 190 aircraft

, or approximately $ 30,200 per year. In addition, the Airport will be

waiving terminal fees ($3,500) and RON fees ($1,300) for total fee waivers of $35,000.

Advance Ticket Sales Program (Travel Bank)

The final local incentive be ing offered for the new air service is a commitment to sell $ 5 00,000

of tickets in advance. The Santa Rosa Chamber of Commerce in association with the Redwood

Credit Union developed a Travel Bank program for Horizon and will do the same for Frontier

Airli nes . The Redwood Credit Union will accept deposits and issue debit cards that can be used

for travel on Frontier Airlines . Based on the previous program, it is estimated that approximatelySmall Community Air Service Development Program Page 14

Charles M. Schulz

– Sonoma County Airport Proposal $500,000 of tickets for service on Frontier Airlines will be purch ased by various individual and

corporate accounts.

Revenue Guarantee

Frontier Airlines requested an incentive program that includes a revenue guarantee to offset

initial operating l osses. Based on the analysis by our consultants, a $ 5 00,000 revenue guar antee

should be sufficient to support the n ew air service. It is estimated that one daily flight between

STS and DEN will generate 79 passengers per flight or 4,7 00 passengers per month . Based on

actual average fares for SFO

- D EN in 2010 , it is estimated that the average one

- way fare will be

$140 for STS

- DEN (after start up promotions) . This equates to passenger revenue of $ 11,060

per flight or $665,000 per month

.

It is assumed that there will be a ramp up of passengers during the start up period. Load factors

are estimated to be 60% for the first month and increasing to 80% by the fifth month. It should

be noted that the lowest load factor that Horizon experienced at STS was in the start of the LAS

service and this load factor was 63%. Load factors to LAX and SEA exceeded 80% during the

start up period. It is also assumed that the average fares will be lower in the first few months as a

motivator for air travel reaching the month average of $140 in the sixth month. The expense

forecast is based on th e Frontier Airlines cost for the Frontier E

- 190 aircraft as reported in form

41 with the U.S. Department of Transportation for the first quarter of 2011.

ESTIMATED REVENUE GUARANTEE TO COVER INTIAL OPERATING LOSSES FOR

SERVICE FROM SONOMA COUNTY TO DENV ER

Month Passengers Revenue Block Hrs. Expense

One 3,564 $356,400 150 $600,000 ($243,600) Profit/(Loss)

Two 3,860 $424,600 150 $600,000 ($175,400)

Three 4,160 $499,200 150 $600,000 ($100,800)

Four 4,455 $579,1 50 150 $600,000

Sub Total 16,039 $1,859,350 600 $2,400,000 ($540,650) ($ 20,850)

Five 4,750 $640,000 150 $600,000

Total 20,789 $2,499,350 750 $3,000,000 ($500,650) $40,000

Total Revenue Guarantee ($500,000)

Total Incentive Package

Combining the Small Community Air Service Development Program grant and local

participation with business and tourism interests , the County of Sonoma will be able to offer a

very complete package with which to entice new service. The combined incentive package will

create an extremely strong marketing component, flight guarantee program, and a strong

public/private partnership. With the federal assistance the total incentive package that would be

offered to Frontier will be $1,5 1 0 ,000. Total Federal participation requested is $650,000 with

the community providing $8 60 ,000. It is estimated that $325,000 of the incentive package from

the sponsors and $150,000 of the Federal funds will be spent on advertising and marketing the

new air service for a total of $475,000. The local community will contribute 23.5 % of the total

cash for the incentive package.Small Community Air Service Development Program Page 15

Charles M. Schulz

– Sonoma County Airport Proposal SUMMARY OF INCENTIVE PACKAGE FOR NEW AIR SERVICE

Federal L ocal Total

Flight Guarantee $500,000 $500,000

Marketing and Advertising 150,000 325,000 475,000

Airport Fees Waived 35 ,000 35 ,000

Pre

- purchased tickets 500,000

Total $650,000 $8 60 ,000 $1,5 1 0,000 200,000

Innovative Marketing Programs

In the 2007 S mall Community Air Service Development Program gran t, Sonoma County and

Horizon initiated innovative marketing and sales pro grams. This included featuring Sonoma

County wines on all Horizon flights, offering trips to the wine country on Los Angeles radio

stations , providing free shipment of wine purchases on Horizon flights departing STS , and

providing same plane service betwe en the Pacific Northwest and LAX and LAS

.

For the new STS

- DEN route, it is proposed that the airline and the community establish a “Fly

Sonoma County Airport, Shop in the Wine Country” program. This would be a joint program

sponsored by the Tourism Burea u, Santa Rosa Convention and Visitors Bureau, local Chamber

of Commerce, the airline and the local newspaper s . The airline would provide free trips as prizes

for a shop in Sonoma County sweepstakes and the merchants and the local media would support

the n ew air service. This would be unique and give STS an advantage over other airports in the

region.



### Economic Stimulus

The proposed new air service will act as an economic stimulus and generate new re venue for the

community and the Airport. The new servic e will bring passengers from D EN and points

beyond and will make a n economic impact to the Sonoma County market area during this

recessionary period and in the future . It is estimated that the new Frontier Airlines flight will

deplane approximately 29,000 passengers in Sonoma County. A ppr oximately half will be new

visitors (14,500) to Sonoma County. Based on recent surveys developed by the Sonoma County

Tourism Bureau for average stay and average expenditure, the new service is projected to

contribute $ 13 .2 million to the local economy.

VISITOR EXPENDITURES FOR NEW AIR SERVICE

Estimated Visitors 14,5 00

Estimated Visitor Days in the area 54 ,000

Average Daily Expenditure $245

New Visitor Expenditures $ 13,230 ,000

The new air service is expected to create 82 new jobs at the A irport and in the local hospitality

and tourism industry. Based on indust ry averages for staffing and wages, i t is estimated that the

new air service will create an annual payroll increase of $3.7 million.Small Community Air Service Development Program Page 16

Charles M. Schulz

– Sonoma County Airport Proposal 

### Performance Measurement and Schedule

Performance Measurement

The incentive package as outlined in this application focuse s on the Sonoma County market area.

The marketing, advertising and promotional campaign presented will develop awareness and

engage passengers for the new airline service. Passenger response will be measured by the

res ervations volume at the airline and b y the passengers emplaned at the Airport.

The performance of the proposed air service will be tracked on a monthly and quarterly basis.

This tracking will measure the number of passengers using the new air service and monitor the

airline revenue and rela ted incentive requirements.

Monthly. The airline will provide flight segments flown, on

- board passengers and

gross revenue data. This data will be compared to the forecast projections to

measure the performance of the program.

Quarterly. The Sponsor will aggregate the year to date flight data, passenger statistics

and gross revenue date. The goal is for the passengers carried and the gross

revenue to exceed the projections by the sixth month.

By accepting the inc entive package as outlined, Frontier Airlines will be requested to agree to

accept the incentive package and the joint marketing campaign for a period of not less than

twelve months. This is sufficient time to establish th e new service. During this twelve

- month

period we w ill work with Fr ontier Airlines , and will closely course correct and adjust to achieve

sustainable operations. After the twelve month period closes , the Community and the Airport

will continue to work with Frontier in supporting its air service , as was successfully don e with

Horizon

.

Schedule

T he Airport will employ the following proposed timeline based on the grant award within

eighteen months of acceptance and a timely closeout :

PROPOSED TIMELINE

Item Time Frame Estimated Date

Submission of Grant Proposal August 2, 2011

Execution of Grant Agreements December 2011

Airline Negotiations two months January

- February 2012

Marketing Program

Commencement 90 days p rior to Service March 2012

Completion 1 yr. after start of service

Start of Serv ice June 2012Small Community Air Service Development Program Page 17

Charles M. Schulz

– Sonoma County Airport Proposal 

### Community Support

As outlined and described above, the Board of Supervisors has created an Airline Attraction

Committee to aid in our recruitment efforts. This Committee is designed to facilitate and foster a

public/private part nership for the attraction and retention of air service to the County. The

purpose of this Committee is as follows:

**•** The mission of the Sonoma County Airport Airline Attraction Committee is to

assist Sonoma County with the attraction of air service to the County by acting

as a sounding board for business and community interest, to facilitate business

and community support for advance ticket purchases and to assist with local

marketing.

**•** The Committee has three subcommittees working on business support for t icket

purchases, advertising support from local business and providing feedback for

County ideas. County staff assists this Committee where able and as requested.

**•** To assist the County in establishing a pre

- purchased ticket program, flight

guarantee, and advertising and marketing.

SONOMA COUNTY TOURISM BUREAU

- SERVICE LAUNCH MARKETING PLAN

Overview

For spring 2012, Frontier Airlines will begin service from DEN to STS. The new service opens

a critical in

- bound market for Sonoma County and has the poten tial to dramatically increase

overnights stays in the area. Further, the new air service will allow visitors from anywhere in the

world to get to Sonoma Country in just two flights. The following marketing plan outlines the

Sonoma County Tourism Bureau’s operational plans for increasing overnight visitation for DEN

as well as provides marketing incentives to Frontier Airlines and aid in the first year of service in

the launch of this air service.

Marketing Program Goals

Through the leveraging of new air service to Sonoma County, increase overnight lodging stays

originating from Southern California.

Timelines

The marketing program will roll

- out in October and November. Due to the holidays, efforts will

be aggressive in January, February and March of 20 12. Furthermore, some the programs and

methods listed below will be used after the launch to continue the momentum achieved prior to

service.Small Community Air Service Development Program Page 18

Charles M. Schulz

– Sonoma County Airport Proposal Market Investment Note

The SCTB will have access to and the ability to piggyback on various opportunities Fr ontier

Airlines is developing in the region. Frontier does have a heavy presence in DEN and

recommended SCTB efforts be focused in that market and select one stop markets that connect

through DEN to STS. The marketing plan was developed using this guidanc e.

Marketing Plan Actions

General Themes

The following key themes were developed as part of the plan:

1) Ease of getting to wine country and Sonoma County

2) Upscale destination with diverse features/activities

Advertising creative would also includ e elements (colors layout) of current creative to extend

general brand awareness and voice in the market place.

Collateral Material

Boarding Pass

Separate collateral will be important to differentiate Sonoma County’s new service from other

general desti nation information. Further, the collateral needs to be individualized for DEN and

add to the other Frontier Airlines serviced to STS.

The collateral developed will look similar to an airline boarding pass. On the boarding pass

important information

– s chedule and flight times, details of the aircraft and route schedule will

be provided to potential customers through direct mail and distribution through hospitality

partners.

Luggage Bag Tags /Other

To extend the voice of the destination, the SCTB will provide an array of giveaways including

but not limited to luggage tags and other promotional products to be developed. They would be

given away at events in DEN.

Website Development

Add to the Sonoma County Tourism Bureau homepage a landing page for th e DEN service and

booking engine. The site will act as a platform for users to receive information about special

events and promotions regarding the new service and will have a link to both Frontier Airlines

reservations and the larger SCTB site

– offerin g things to do, lodging and transportation. The

goal of the enhanced homepage and booking engine is to provide easy access and specific

information regarding the air service and SCTB unique marketing features and promotions.Small Community Air Service Development Program Page 19

Charles M. Schulz

– Sonoma County Airport Proposal Public Relations

Public rela tions will be a key component of the launch program. With limited media/advertising

funds, communicating the news about the new service through articles and news releases will be

important.

General Communications

**◊** SCTB will compile and distribute release s (beginning in October) to media in DEN as

well as other trade and media outlets. The distribution will include general media, travel

writers, travel editors, food writers, wine writers, freelancers and other appropriate

journalists. We’ll also work with travel writer associations to enhance coverage.

**◊** All SCTB press releases will now contain information about the new service as part of

the organization’s description.

Trips/Press Trips

**◊** In the first quarters of 2012, the SCTB is planning a familiarizatio n trip for media based

in DEN and select one stop connection markets through DEN to STS.

**◊** SCTB staff will travel to DEN in the first quarter of 2012 for face to face appointments

with media and other key contacts regarding the new service. These meetings may

supplement the FAM trip or provide key information for those not attending.

**◊** SCTB will bring a piece of Sonoma County to leave with each journalist, such as a bottle

of wine, small food items, a press kit, b

- roll video (for television stations), etc.

**◊** Incentive trips for the ARES Call Center Agents to sell the new service to visitors.

Targeted Media

Print Media

**◊** SCTB will pitch travel editors, food editors, wine writers, bloggers and top freelance

journalists in these markets.

**◊** A pre and post print me dia could include ads in key

. In addition we will target online ads

such as Facebook.

Online Media

**◊** SCTB will research and pitch the top online travel Web sites. Many of these sites now

include articles on destinations, and they should be reminded that So noma County is one

of the premier destinations in the country.Small Community Air Service Development Program Page 20

Charles M. Schulz

– Sonoma County Airport Proposal Inaugural Flight Plan

**◊** This is being handled by the Airport and the Chamber of Commerce. The Sonoma

County Tourism Bureau will coordinate Sonoma County wines aboard the inaugural

flight. Tar mac toasts and encourage key Sonoma County tourism officials to fly on the

Inaugural flight.

Media/Advertising

Print Advertising

**◊** Frontier Airlines currently referencing the upcoming service on the route map page of

their in

- flight magazine section that runs monthly.

**◊** Frontier Airlines will feature the availability of SCTB wine country vacation packages in

their in

- flight magazine as soon as they get the pricing loaded for the flights into STS

**◊** Investigate packaging with Wholesalers

– Creative Leisure for overnight packages to

Sonoma County. Incentive to book early Air line mile bonus.

**◊** "House" ad (no cost to SCTB) in Frontier Airlines magazine starting in October that

promotes the new routes.

**◊** SCTB featured Frontier Airlines advertisement in new SCT B Meeting Planners Guide.

Contests and special packages

**◊** Web Contest: Through the website, the SCTB could run a giveaway a month beginning

in January 2012. This will assist in developing a database and drive customers to the site.

**◊** On the SCTB website an d booking engine have special lodging and flight packages.

Sales

**◊** Soirée and Sales Blitz

o The SCTB sales team will execute sales blitzes in the DEN area. These events

will include meeting with key businesses and organizations and informing them

regarding t he new service. The number of blitzes will be determined by the sales

team. To provide attendees with a taste of Sonoma Country and a platform for

SCTB partners to meet potential customers.

**◊** Industry Event Sponsorships

The sales team will collaborate with travel industry organizations to sponsor key

events including lunches and receptions. The team will review opportunities in DEN.Small Community Air Service Development Program Page 21

Charles M. Schulz

– Sonoma County Airport Proposal Marketing Integration

**◊** The SCTB has developed several marketing programs over the past year. The SCTB will

integrate the F rontier Airlines message where applicable. New service collateral will be

distributed at these events. The programs include but are not limited to:

o Tradeshows and Business meetings

o Coordinate with the Sonoma County Vintners and Sonoma Wine Grape

Commissio n

Trade Shows

 Sales staff to participate in Travel trade shows in the DEN Area

Airport Literature Distribution

Airport Visitor information literature distribution rack for Frontier Airlines, Sonoma County

Tourism Bureau to supply information on the ar ea to the Airport for distribution.

Post Launch Activities

 To place print media advertising the air service to Santa Rosa

 Direct Marketing

Promotional activities in conjunction with the Sonoma County Vintners Association and the

Sonoma County Wine Gr ape Commission.Small Community Air Service Development Program Page 22

Charles M. Schulz

– Sonoma County Airport Proposal 

### Assurances

The County of Sonoma and the Charles M. Schulz

– Sonoma County Airport (hereinafter

referred to as “Sponsor”) hereby provides the U.S. Department of Transportation with the

following assurances:

**•** The Sponsor will comply with all of the applicable Federal laws, regulations,

executive orders, policies, guidelines, and requirements as they relate to the

application, acceptance, and use of the Federal funds for this project.

**•** The Sponsor has the legal authority to apply for the Small Community Air Service

Development Pilot Program grant, and to finance and carry out the proposed project;

that a resolution, motion, or similar action has been duly adopted or passed as an

official act of the applicant’s governing body authorizing the filing of the application,

including all understanding and assurances contained herein, and directing and

authorizing the person identified as the official representative of the applicant to act

in connection with the application and to pr ovide such additional information as may

be required.

**•** The Sponsor has access to the funds available for that portion of the project costs,

which are not to be paid by the United States government. The Sponsor has sufficient

funds to assure operating and maintenance of items funded under the grant

agreement, which it will own or control.

**•** The Sponsor shall keep all project accounts and records which fully disclose the

amount and disposition by the recipient of the proceeds of the grant, the total cost of

t he project in connection with which the grant is given or used, and the amount or

nature of that portion of the cost of the project supplied by other sources, and such

other financial records pertinent to the project. The accounts and records shall be

kep t in accordance with an accounting system that will facilitate an effective audit in

accordance with the Single Audit Act of 1984.

**•** The Sponsor shall make available for the purpose of audit and examination, any

books, documents, papers, and records of the recipient that are pertinent to the grant.

**•** The Sponsor will execute the project in accordance with the approved program

narrative contained in the project application or with the modifications similarly

approved.

**•** The Sponsor will furnish such periodic re ports as required pertaining to the project

and activities.Small Community Air Service Development Program Page 23

Charles M. Schulz

– Sonoma County Airport Proposal 

## AIRLINE LETTER S OF SUPPORTSmall Community Air Service Development Program Page 24

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– Sonoma County Airport ProposalSmall Community Air Service Development Program Page 25

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– Sonoma County Airport ProposalSmall Community Air Service Development Program Page 26

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– Sonoma County Airport Proposal 

## POLITICAL LETTERS OF SUPPORTSmall Community Air Service Development Program Page 27

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– Sonoma County Airport ProposalSmall Community Air Service Development Program

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## BUSINESS LETTERS OF SUPPORT

Santa Rosa Chamber of Commerce

Santa Rosa Convention and Visitors Bureau

Agilent Technologies

Airport Business Center

American Medical Response

Best Western Wine Country Inn & Suites

Century 21

Courtyard Marriott

Exchange Bank

Fern Grove Cottages

Flamingo Conference Resort and Spa

Firma Design Group

FountainGrove inn

George Peterson Insurance Agency

HDP Enterprises, Inc.

Hilton Garden Inn

Hilton Sonoma Wine Country

Hyatt Vineyard Creek Hotel and Spa

Innovative Business Solutions

Jim Johnson & Associates, Inc.

Kaiser Permanente

Keegan & Coppin Company, Inc.

Leap Solutions

LeaseMark

Medtronic, Inc.

Melitta Station Inn

Merrill, Arnone & Jones, LLP NorthBay biz Magazine

North Bay Business Journal

North Bay Leadership Council

North Coast Bank

Pisenti & Brinker, LLP, Raymond Pounds

Pisenti & Brinker, LLP, William A. Robotham

Redwood Credit Union, President & CEO

Redwood Credit Union, EVP, Chief Operations Office

Santa Rosa Fire Fighters – Local 1401

Seniors, Inc.

Sheraton Sonoma County – Petaluma

Sonoma Bank

Sonoma State University, President

Sonoma State University, University Affairs

Sonoma State University, School of Business & Economics

Vantreo Insurance Brokerage

Vintners Inn

Brett Bradford, CPA

Christina z. Hollingsworth, CPA

Judy James – Republic Services

Gary Lentz

Lisa Osina

Jennifer Pickle

Kelly Pomus

Alan P. Stess

Donald R. Test

Nancy M. ThompsonSmall Community Air Service Development Program

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Charles M. Schulz – Sonoma County Airport Proposal Page 36 DOT-OST-2011-0119Small Community Air Service Development Program

Charles M. Schulz – Sonoma County Airport Proposal Page 37 DOT-OST-2011-0119Small Community Air Service Development Program

Charles M. Schulz – Sonoma County Airport Proposal Page 38 DOT-OST-2011-0119Small Community Air Service Development Program

Charles M. Schulz – Sonoma County Airport Proposal Page 39 DOT-OST-2011-0119Small Community Air Service Development Program

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Charles M. Schulz – Sonoma County Airport Proposal Page 41 DOT-OST-2011-0119Small Community Air Service Development Program

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Charles M. Schulz – Sonoma County Airport Proposal Page 43 DOT-OST-2011-0119Small Community Air Service Development Program

Charles M. Schulz – Sonoma County Airport Proposal Page 44Small Community Air Service Development Program

Charles M. Schulz – Sonoma County Airport Proposal Page 45 DOT

- OST

- 2011

- 0119Small Community Air Service Development Program

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Charles M. Schulz – Sonoma County Airport Proposal Page 64 North Coast BankSmall Community Air Service Development Program

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Charles M. Schulz – Sonoma County Airport Proposal Page 87 July 24, 2011

The Honorable Ray LaHood

Secretary of Transportation

U.S. Department of Transportation

400 Seventh Street, SW, Suite 10200

Washington, DC 20590

Subject: Docket DOT-OST-2011-0119

Dear Secretary LaHood:

I strongly support Sonoma County, California’s application for a Small Community Air

Service Development Program grant to help expand and improve airline service to the

Charles M. Schulz - Sonoma County Airport.

My observation is that the entire county and the surrounding area supports the efforts of

the Sonoma County Board of Supervisors and its partners (local employers, California

State University, community groups from all the surrounding counties, various airlines,

and others) to bring increased airline service to our airport. People I talk to in the

community are wanting to travel to an eastern hub like Denver. We are anxious to

extend our air travel options.

Local airline service has traditionally been the most convenient and practical way to

travel to other parts of the state and country to visit family, for business purposes, and

for leisure. It is also the best way for family members, tourists and people with business

in the area to get here. The highways are now very congested, and with the federal

budget situation there seems little hope of improving them. Increased airline service with

an additional destination like Denver would help solve the problem and would help ease

congestion on the areas highways and the San Francisco Bay Area airports.

We are confident that with your support, our unique and desirable communities will

continue to grow and prosper, by attracting more and more visitors, for both business

and pleasure. Please help us improve and expand airline service by awarding a Small

Community Air Service Development Program grant to Sonoma County.

Sincerely,

Alan P. Stess

Marketing Chair, Airline Attraction CommitteeSmall Community Air Service Development Program

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