Proposal of Concord Regional Airport • Concord, North Carolina • July 2013

APPLICATION UNDER 

SMALL COMMUNITY AIR SERVICE DEVELOPMENT PROGRAM

DOCKET DOT-OST-2013-0120

SUMMARY INFORMATION

A. PROVIDE THE LEGAL SPONSOR AND ITS DUN AND BRADSTREET (D&B) DATA UNIVERSAL NUMBERING SYSTEM (DUNS)

NUMBER, INCLUDING +4, EMPLOYEE IDENTIFICATION NUMBER (EIN) OR TAX ID.

Legal Sponsor Name: 

City of Concord, North Carolina

DUNS Number:

079067484

EIN/Tax ID:

56-6001207

B. LIST THE NAME OF THE COMMUNITY OR CONSORTIUM OF COMMUNITIES APPLYING:

1. CITY OF CONCORD, NORTH CAROLINA

C. PROVIDE THE FULL AIRPORT NAME AND 3-LETTER IATA AIRPORT CODE FOR THE APPLICANT(S) AIRPORT(S) (ONLY 

PROVIDE CODES FOR THE AIRPORT(S) THAT ARE ACTUALLY SEEKING SERVICE).

1. Concord Regional Airport (JQF)
Proposal of Concord Regional Airport • Concord, North Carolina • July 2013

D. LIST THE 2-DIGIT CONGRESSIONAL DISTRICT CODE APPLICABLE TO THE SPONSORING ORGANIZATION, AND IF A 

CONSORTIUM, TO EACH PARTICIPATING COMMUNITY.

1. NC-08

E. APPLICANT INFORMATION: (CHECK ALL THAT APPLY)

Not a Consortium Interstate Consortium Intrastate Consortium

Community now receives subsidized Essential Air Service

Community (or Consortium member) previously received a Small Community Air Service 

Development Program Grant

If previous recipient: Year of grant(s): 

F. PUBLIC/PRIVATE PARTNERSHIPS: (LIST ORGANIZATION NAMES)

PUBLIC PRIVATE

1. Concord Regional Airport 1. Cabarrus County CVB

2. City of Concord 2. Cabarrus Regional Chamber

3. Cabarrus County 3. Cabarrus Economic Development Corp.

G. PROJECT PROPOSAL: (CHECK ALL THAT APPLY)

Marketing Upgrade Aircraft New Route

Travel Bank Service Restoration Subsidy

Surface Transportation Regional Service Revenue Guarantee

Launch New Carrier Start-up Cost Offset First Service

Study Secure Additional Service Other (explain below)

H. EXISTING LANDING AIDS AT LOCAL AIRPORT:

Full ILS Outer/Middle Marker Published Instrument Approach

Localizer Other (specify)

X
Proposal of Concord Regional Airport • Concord, North Carolina • July 2013

I. PROJECT COST: DO NOT ENTER TEXT IN SHADED AREA

LINE DESCRIPTION SUB TOTAL TOTAL AMOUNT

1 Federal amount requested $250,000

2 State cash financial contribution $0

Local cash financial contribution

3a Airport cash funds $0

3b Non-airport cash funds $100,000

3 Total local cash funds (3a + 3b) $100,000

4 TOTAL CASH FUNDING (1+2+3) $350,000

In-Kind contribution

5a Airport In-Kind contribution** Various

5b Other In-Kind contribution** Various

5 TOTAL IN-KIND CONTRIBUTION 

(5a + 5b) Various

6 TOTAL PROJECT COST (4+5) $350,000

J. IN-KIND CONTRIBUTIONS**

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

describe the source(s) of fund(s) and the value ($) of each.

The Airport will waive terminal rent and landing fees for two years; local media companies will 

offer discounts on advertising; partner airlines will offer free tickets for giveaways.
Proposal of Concord Regional Airport • Concord, North Carolina • July 2013

K. IS THIS APPLICATION SUBJECT TO REVIEW BY STATE UNDER EXECUTIVE ORDER 12372 PROCESS?

a. This application was made available to the state under the Executive Order 12372 

Process for review on (date) _____________.

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

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

L. IS THE APPLICANT DELINQUENT ON ANY FEDERAL DEBT? (IF “YES”, PROVIDE EXPLANATION)

No Yes (explain) 

_____________________________________________________________________________________________
Proposal of Concord Regional Airport • Concord, North Carolina • July 2013 1

TABLE OF CONTENTS

Legal Sponsor 1

Introductory Letter of Support 2

Introduction 3

The Concord/North Charlotte Air Service Market 4

Unique Catchment Area 4

Regional Fare Increases 6

Air Service Needs and Deficiencies in Concord 8

Average Fares 8

Cost of Travel per Mile 9

Regional Load Factors 10

Capacity Allocation: Connecting vs. Local 10

Strategic Plan for Scheduled Air Service 12

New Target Markets 12

Project Timeline 15

Public/Private Partnership 16

Letters of Support 18

Conclusion 20

LEGAL SPONSOR

The Concord Regional Airport is the legal sponsor responsible for administering the proposed air 

service development program. The Airport is a government agency, owned and operated by 

the City of Concord.

City of Concord, North Carolina

26 Union Street, South

Concord, North Carolina 28025

Rick Cloutier, Aviation Director

(704) 920-5913

cloutier@concordnc.gov

Section Page Number
Proposal of Concord Regional Airport • Concord, North Carolina • July 2013 2

INTRODUCTORY LETTER OF SUPPORT
Proposal of Concord Regional Airport • Concord, North Carolina • July 2013 3

INTRODUCTION

Concord, North Carolina, lies to the northeast of downtown Charlotte, at the center of an area 

of Charlotte’s northern suburbs with the highest median household income in the State. 

Concord Regional Airport serves its unique catchment area, which is home to 667,000 people, 

through private and charter aviation. The Airport has never had scheduled air service. But 

today, the local economy demands better access to the national transportation system.

The market is changing. With a large hub, dominated by a single airline, the cost of air travel in 

Charlotte has steadily climbed. Charlotte now ranks as the most expense airline hub on the East 

Coast. The average fare at Charlotte has risen by 29% over the last four years to an average of 

22-cents per mile. Travelers in and out of Charlotte 

pay, on average, 33% more for access to air service 

than their counterparts in other cities in the 

Southeast.

The Airport has put together a strategic air service 

development plan to bring additional competition 

to the region and to help lower fares. Adding 

network carrier service to Concord is unlikely to stimulate the market and developed new 

passengers. But adding low cost less-than-daily service at Concord will help stimulate traffic with 

fares much lower than those at Charlotte. It will also provide a type of service that is not 

currently offered within a two hour drive of Concord.

The Airport has already met with prospective airlines. Those airlines have expressed interest in 

launching service as soon as winter of 2013 – 2014. Each of the prospective carriers expressed a 

need for marketing support to help educate the community about the new service. The Airport 

and its public and private partners have developed $100,000 in funding to this end, but with the 

high cost of media in the Charlotte market, the local funding will not be enough for wide 

outreach. The Airport is seeking $250,000 in federal Small Community Air Service Development 

(SCASD) Grant funding to support its marketing effort. New service to Concord will not only 

support local businesses, families, and economic development, it will also help connect the 1.5 

million tourists who visit Cabarrus County each year, “Where racing lives.” This service is critical 

to the growth of the tourist economy of a large section of North Carolina.

“New service to Concord will not 

only support local businesses... it 

will also help connect the 1.5 

million tourists who visit each year 

to Cabarrus County...”
Proposal of Concord Regional Airport • Concord, North Carolina • July 2013 4

THE CONCORD/NORTH CHARLOTTE AIR SERVICE MARKET

The Regional Economy and Air Service Environment

Several decades ago, Concord, North Carolina, was a small town about 20 minutes north of 

Charlotte – mostly a “bedroom community” – and a small one, at that. Today, Concord is the 

center of world motorsports 

as the headquarters of 

NASCAR and most of its 

teams. It is a center for 

biotech and banking. As 

Charlotte has grown to one 

of the top 20 largest metro 

areas in the country, 

Concord, itself, has seen 

unparalleled growth.

But Concord is a unique 

community – and not solely a 

satellite to Charlotte. The 

Concord economy is the 

third largest in the State of 

North Carolina – after 

Charlotte and Raleigh-Durham. Its unique catchment 

area is home to 667,484 people to the northeast of 

downtown Charlotte (see Map 1). A surprising 33% of the 

Charlotte metro area’s population, and 30% of its 

economic activity, is closer to the Concord Regional 

Airport than to Charlotte Douglas International Airport.

The households with the highest income level in south 

central North Carolina are clustered around Concord. 

While the Charlotte Metropolitan Statistical Area (MSA) 

had a median household income of $50,671 in 2012, the 

Concord median household income was $69,126, or 36% 

MAP 1: Concord Regional Airport Catchment Area

Source: Sixel Consulting Group, 2011 US Census Estimates

MAP 2: Median Household Income by Census Tract

Source: US Department of Commerce, 2012
Proposal of Concord Regional Airport • Concord, North Carolina • July 2013 5

higher than Charlotte (see Map 2 on previous page). The average Concord household made 

$18,455 more in 2012 than the average Charlotte household. Spending power is stronger in and 

around Concord, mainly due to the large number of high 

paying “white collar” jobs, and the large number of highpaying NASCAR-affiliated jobs.

The Concord economy is also driven by tourism. More 

than 1.5 million people come to Concord each year for 

events at the Charlotte Motor Speedway. The facility 

seats 140,000 people at 15 main events, and a number of 

smaller events. The Speedway is just a mile and a half 

from the Concord Regional Airport terminal, which is just 

across Interstate 85 (see Map 3). Concord is working hard 

with its partners to grow inbound tourism. Air service at 

Concord Regional Airport will be a key to that growth.

The importance of the local airport to the regional 

Concord economy has become more apparent in the 

last decade. Concord Regional Airport has never seen scheduled air service, but it does see a 

large number of charters handling, primarily, NASCAR travel needs. Since 2006, passengers using 

these charters have grown from just under one passenger per day each way (PDEW) to an 

average of 55 PDEW (see Figure 

1). In 2012, Concord Regional 

Airport saw more than 40,000 

airline passengers on scheduled 

charter flights – primarily Boeing 

737s. To this point in 2013, it 

seems a certainty that 

passengers will eclipse the 2012 

record. There is clearly local 

demand for air service that is

being met by charters. This 

demand could be more effectively met with scheduled air service. 

MAP 3: Charlotte Motor Speedway

Source: Google Maps, July 2013

FIGURE 1: O&D Passengers on Charters at Concord Regional Airport

Source: US DOT OD1A, Calendar Year 2000 – Calendar Year 2012
Proposal of Concord Regional Airport • Concord, North Carolina • July 2013 6

The overall Charlotte market, meanwhile, has stagnated due to rapidly increasing fares. Of 

major airline hub markets in the country, Charlotte has some of the highest average fares, and 

they figure to increase further following the expected merger of Charlotte hub carrier US Airways 

and American Airlines. Since 2009, the average Charlotte fare has risen by 29%, or an average 

of $52 each way, to $230 each way (see Figure 2).

At the same time, Charlotte’s passenger growth has slowed. Since 2009, the market has only 

grown by 11% (see Figure 2). Compare that to the passenger growth from 2004 to 2007, when 

the market added 49% more passengers, or an 

average of 4.429 additional passengers per day 

each way. Also of note, during that period fares 

declined by 6%. Concord Regional Airport has the 

opportunity, through new service, to bring overall 

fares in the region down, and to re-stimulate 

passengers that have been suppressed out of the 

market.

Service in the greater Charlotte market is geared 

toward origin and destination business travel. This is 

evidenced by Charlotte’s top 25 passenger markets 

(see Figure 3). Seven of the top ten markets are 

business travel destinations, including New 

York/Newark, which generates an average of 674 

passengers per day each way as of 2012; Boston, 

which generates an average of 268 PDEW; and 

FIGURE 2: O&D Passengers and Average One Way Fares at Charlotte Douglas International Airport

Source: US DOT OD1A, Calendar Year 2004 – Calendar Year 2012

FIGURE 3: Top 25 O&D Passenger Markets at CLT 

Source: US DOT OD1A, Calendar Year 2012
Proposal of Concord Regional Airport • Concord, North Carolina • July 2013 7

Chicago, which generates an average of 222 PDEW. Business markets tend to support higher 

average fares than leisure markets, as business travelers are less fare sensitive than leisure 

travelers, which helps to explain why 

Charlotte fares have been rising so rapidly.

As previously mentioned, the average 

Charlotte one way fare for 2012 was $230 

(see Figure 4). In markets where fares are 

below $200 each way, it is almost solely due 

to the short distance of the route from 

Charlotte. The New York/Newark fare, for 

example, averaged $149 each way in 2012, 

which works out to a yield of 28-cents per 

mile – much higher than the regional 

average yield of 17-cents per mile. Even on 

short-haul flights, Charlotte’s fares are much 

higher on a mileage basis than other markets 

up and down the East Coast.

Concord catchment area passengers are 

forced, almost exclusively, to use Charlotte as 

their primary airport, with no current local 

scheduled service. Concord passengers are 

being suppressed by high fares at Charlotte. These passengers would be best served by local air 

service, at Concord Regional Airport, rather than an additional competitor at Charlotte. 

FIGURE 4: Average One Way Fares in Top 25 Markets at CLT 

Source: US DOT OD1A, Calendar Year 2012
Proposal of Concord Regional Airport • Concord, North Carolina • July 2013 8

AIR SERVICE NEEDS AND DEFICIENCIES IN CONCORD

Despite the fact that Concord lies just north of the Charlotte metro area, which is served by a 

large US Airways hub, there are a number of deficiencies in air service for Concord-area 

travelers. The biggest challenges to air service 

access in Concord include high average fares 

that continue to climb, the high cost of travel 

on a seat-mile basis – with high fares in even 

short-haul markets, high load factors on current 

service that suppress travel during peak times, 

and the fact that Charlotte’s hub carrier 

actually provides more access to connecting 

passengers than it does to local origin and 

destination traffic at Charlotte Douglas 

International Airport.

Of all southeast region airports in 2012, 

Charlotte has the third highest average fare at 

$220 each way (see Figure 5). Only 

Washington Dulles and Savannah had higher 

fares in 2012. The regional average fare for the 

period was $190 each way, a full $30 less than the Charlotte average. Charlotte area 

passengers paid an average premium of 16% over the regional average for access to 

scheduled air service. As the vast majority of Concord 

Regional Airport catchment area passengers use 

Charlotte’s airport, due to the lack of scheduled 

service in Concord, these high fares suppress travel to 

and from Concord.

As Charlotte is a major hub airport for US Airways, 

especially for domestic connecting passengers, it is also 

important to analyze it against its peers. Among East 

Coast airports that operate as hubs for one or more 

carriers, Charlotte had the fourth highest domestic 

FIGURE 5: Average One Way Fares in Southeast Markets

Source: US DOT OD1A, Calendar Year 2012

FIGURE 6: Average Domestic Fares at East Coast Hubs

Source: US DOT OD1A, Calendar Year 2012
Proposal of Concord Regional Airport • Concord, North Carolina • July 2013 9

average fare in 2012, at $196 each way (see Figure 6 on previous page). The average for these 

hub airports was $188 each way in the same period, with Charlotte’s average 4% above the East 

Coast hub average. Only three of the large northeast corridor airports had higher average fares 

in 2012 – Washington Dulles (a United hub), New 

York/Newark (a United hub), and New York Kennedy (a 

hub for Delta and JetBlue).

Average fares do not accurately tell the whole story as 

they do not take into account the distance flown. 

Passengers traveling to and from the Charlotte area, 

including Concord, tend to be flying on shorter-haul trips 

than passengers traveling to and from other hub airports 

in the east. Passengers into and out of Charlotte pay 

more, per mile, for their fares than those traveling in and 

out of any other airport in the east.

An analysis of the same East Coast hub airports shows the average cost of a trip, per mile flown, 

also known as the average yield per passenger mile, is 22-cents at Charlotte Douglas 

International – the airport most used by Concord area passengers (see Figure 7). This is higher 

than any other East Coast hub airport in 2012, 

and 33% higher than the average East Coast

hub yield of 16.5-cents per passenger mile. The 

three hubs that had higher average fares than 

Charlotte in 2012 – Dulles, Newark, and New 

York Kennedy – all had fares that cost much less 

per mile than Charlotte. The Dulles yield was 

12% below the Charlotte yield, while the Newark 

yield was 22% lower, and the New York Kennedy 

yield was 40% lower than Charlotte in 2012. All 

three airports were actually less expensive than 

Charlotte when length of trip is taken into 

account.

Charlotte’s yield per passenger mile is far above 

the national average and ranks as the highest in 

FIGURE 7: Average Yield at East Coast Hubs

Source: US DOT OD1A, Calendar Year 2012

FIGURE 8: Average Yield per Passenger Mile in the Southeast

Source: US DOT OD1A, Calendar Year 2012
Proposal of Concord Regional Airport • Concord, North Carolina • July 2013 10

the entire southeast region for 2012. While the average passenger in the Southeast paid 16.8-

cents per mile flown in 2012, the average Charlotte area passenger, including those flying to 

and from Concord, paid an average of 22-cents per mile flown (see Figure 8 on previous page). 

On a 1,000 mile flight, the average southeast region passenger would have paid $168 in 2012. 

The average Concord area passenger would have paid $220 – or 31% more – on the very same 

flight. This illustrates the true fare differential between the Charlotte area and the rest of the 

Southeast, and is a compelling reason to believe service at an alternate airport in the region 

could see success 

and help to bring 

fares down.

Despite high fares, 

passengers fill an 

extremely high 

percentage of available airline seats at Charlotte Douglas Airport. In 2012, almost 83% of all 

seats were filled with revenue passengers. Load factors peaked in June and July of 2012 over 

86% (see Figure 9). Over the last three years, the lowest load factor month at Charlotte was still 

above 75% - January of 2010. Load factors have not dipped below 80% since the beginning of 

2011.

With the highest fare per mile flown in the region, it 

seems difficult to believe demand for air service is 

strong enough to fill that percentage of available seats. 

While Charlotte demand, including demand in the 

Concord area, is robust, it is not strong enough to 

generate all the passengers required to fill those 

available seats. Many of the passengers using service 

at Charlotte Douglas Airport are just connecting 

through the facility on their way to their ultimate destination.

An analysis of 2012 passenger traffic at Charlotte shows that more than half of all passengers 

using the Airport were on connecting itineraries. Of the 18.85 million domestic passengers that 

flew to or through Charlotte’s main airport, just 48.4% were traveling to or from Charlotte, with 

51.6% connecting to another flight (see Figure 10). While 9.2 million domestic origin and 

FIGURE 9: Load Factor at Charlotte Douglas International Airport

Source: US DOT T100, January 2010 – January 2013

FIGURE 10: Passenger Breakdown at Charlotte

Source: US DOT T100 and OD1A, Calendar Year 2012
Proposal of Concord Regional Airport • Concord, North Carolina • July 2013 11

destination passengers used Charlotte Douglas Airport, another 9.7 million merely connected 

through the Airport.

In some cases, due to the local pricing at Charlotte, it appears the main hub carrier actually 

suppresses local traffic, including Concord passengers, in favor of carrying flow traffic – or 

passengers making connections at Charlotte. Charlotte acts as that carrier’s major north-south 

hub on the East Coast, and is vital in its competitiveness against other large eastern hubs. Local 

Charlotte pricing supports the theory that local passengers are being suppressed in favor of 

connect passengers. Service at Concord would help to recapture some of the local passengers 

that have been priced out of the market.
Proposal of Concord Regional Airport • Concord, North Carolina • July 2013 12

STRATEGIC PLAN FOR SCHEDULED AIR SERVICE

In developing a strategic plan for air service at Concord Regional Airport, it is important to 

understand service at Charlotte’s airport, and to ensure the service being sought in Concord 

does not duplicate what is already available in the region. Charlotte is a large legacy carrier 

hub. Legacy carrier service at Concord would likely be unsuccessful in competing against the 

sheer breadth of service in Charlotte. Charlotte is missing a significant low cost carrier presence. 

Concord’s niche is to become the low cost and low fare airport for the region, re-stimulating 

passengers by bringing down the highest fares, per mile, on the East Coast.

It is likely that low cost service in Concord would begin with flights to a leisure destination, 

probably on a less-than-daily basis. With this in mind, the Airport has spent the last eight months 

developing market data and speaking, in person, with potential carriers. Those carriers have 

helped the Airport narrow down its service target list to four primary routes (see Map 4). Service 

will likely begin to an airport in Florida, with Orlando flights being the most likely. Las Vegas 

service is a longerterm target, but with 

high fares on the 

route and 

suppressed local 

passengers, it is likely 

it would be 

successful.

The Concord portion 

of the Charlotte 

area generates an 

estimated 30% of the 

region’s overall 

Orlando demand,

but high fares force 

many who live in 

Concord to drive to Orlando, instead of fly. The Charlotte – Orlando market has seen fares rise 

14% in the last four years, to an average of $136 each way (see Figure 11 on next page). While 

that fare sounds reasonable, the stage length of the flight needs to be taken into account. The 

MAP 4: Target Routes for Concord Regional Airport

Source: Concord Regional Airport, July 2013
Proposal of Concord Regional Airport • Concord, North Carolina • July 2013 13

$136 one way 

fare costs 29.1-

cents per mile –

almost double 

the southeast 

region average 

cost per mile of 

16.5-cents. With 

high fares, 

Charlotte –

Orlando passengers have been suppressed from their 2007 peak, losing an average of 27 

passengers per day each way (PDEW), or 7% of the total 2007 market size.

The Charlotte 

– Tampa/St. 

Petersburg 

market has 

been 

similarly 

suppressed. 

It has lost an 

average of 

45 PDEW since its 2007 peak, or 18% of all passengers (see Figure 12). At the same time, fares 

have increased by 27%, to an average of $188 each way - $40 more each way than in 2007. For 

a family of four traveling on vacation, the increase in Charlotte – Tampa/St. Petersburg fares 

puts an extra $320 on the vacation cost, which in many cases is enough to push the family of 

four to their car.

Fares between the 

Concord/Charlotte 

area and south 

Florida, which includes 

both Miami and Ft. 

Lauderdale, have risen 

29% since 2007. The 

FIGURE 11: O&D Passengers and Average One Way Fares, CLT – Orlando

Source: US DOT OD1A, Calendar Year 2004 – Calendar Year 2012

FIGURE 12: O&D Passengers and Average One Way Fares, CLT – Tampa/St. Pete

Source: US DOT OD1A, Calendar Year 2004 – Calendar Year 2012

FIGURE 13: O&D Passengers and Average One Way Fares, CLT – MIA+FLL

Source: US DOT OD1A, Calendar Year 2004 – Calendar Year 2012
Proposal of Concord Regional Airport • Concord, North Carolina • July 2013 14

2012 average fare was $188 each way, an increase of $41 each way in the last six years (see 

Figure 13 on previous page). At the same time, passengers have declined by an average of 129 

PDEW, or 25%, to just 379 PDEW in 2012. Interestingly, capacity between Charlotte and Miami/Ft. 

Lauderdale has been steady since 2007, as have load factors, in the mid-80s, which indicates 

more connecting passengers are using the service while fewer local origin and destination 

passengers board the flights.

A final example, 

the Charlotte –

Las Vegas 

market, shows 

the same 

passenger 

suppression as 

the Florida 

markets. Since its peak in 2007, the market has lost an average of 40 PDEW, or 12% of all its origin 

and destination passengers (see Figure 14). In the same period, fares have risen by an average 

of $43 each way, to $216 each way – an increase of 25%. On trips to Las Vegas, there is not the 

choice to drive that there would be to Florida. As passenger numbers decline on Charlotte – Las 

Vegas service the passengers are lost – they simply choose not to travel. Low cost service at 

Concord has the potential to re-capture these passengers who are no longer traveling at all.

After consultations with potential airlines, each of these markets – due to the high fares and 

passenger suppression at Charlotte – was carefully selected by Concord Regional Airport for 

potential new service. While, initially, this strategy will only help bring down fares and stimulate 

passengers in specific markets, over time it should help move the region from its perch atop the 

average fare chart.

In its discussions with low cost carriers, Concord Regional Airport has learned they do not seek 

revenue guarantees in launching new service. Target carriers instead seek marketing support, to 

help mitigate the cost of educating local travelers about the new air service option. This Small 

Community Air Service Development (SCASD) Grant application seeks marketing funding to 

promote new service at Concord Regional Airport.

FIGURE 14: O&D Passengers and Average One Way Fares, CLT – Las Vegas

Source: US DOT OD1A, Calendar Year 2004 – Calendar Year 2012
Proposal of Concord Regional Airport • Concord, North Carolina • July 2013 15

The City of Concord and the Airport have spent much time meeting with leaders from local 

partners, including the Cabarrus County Convention and Visitors Bureau, the Cabarrus Regional 

Chamber of Commerce, and the Cabarrus Economic Development Corporation. The City and 

these organizations have pledged $100,000 in cash funding for this air service development 

project. With this local cash in hand, the Airport is seeking $250,000 in federal SCASD Grant 

funding, for a total project cost of $350,000. The local share of the total project is 29% of the 

funding needed.

All funding will be used for marketing and advertising of service – and only once new service has 

been secured. The Airport has reason to believe a new service announcement will come in the 

fall of 2013, with the project beginning before the end of this year. The funding amount is larger 

than some other airports’ previous requests for marketing support, but it reflects the relatively 

high cost of media placement in the Charlotte market.

The anticipated timeline for the 

project assumes a Grant would be 

awarded in September of 2013 (see 

Figure 15). If the Grant agreement 

with the DOT is finalized in October of 

2013, during the fall of 2013, the 

Airport will work to finalize an 

agreement for less-than-daily, low 

cost air service through the incentives offered under this program. As soon as that service is 

launched, the campaign, in support of that new service, will launch. The Airport anticipates 

closing the Grant by March of 2015, if not before.

Concord area travelers are faced with the highest fares, per mile, of all markets up and down 

the East Coast. While they have access to a wide array of business destinations at Charlotte 

Douglas International Airport, their access to low cost service has been diminished significantly in 

the last decade. Concord Regional Airport now has a role in scheduled service in its region, as it 

looks to develop a unique low cost alternate market for the 667,000 people who live in its 

immediate area. This Grant – the Airport’s first ever request under the SCASD Program – is the 

key to bringing low cost service to Concord.

FIGURE 15: Project Timeline

Source: Concord Regional Airport, July 2013

Activity/Project Milestone Estimated Date

SCASD Grant Award Announcement Sepetmber 2013

Executive Grant Agreement with DOT October 2013

Meet with Airlines to Recruit Route Fall 2013

Targeted Announcement Date for Service Fall 2013

Develop Creative/Launch Marketing Fall 2013

Targeted Start Date for Service Winter 2013 - 2014

Submit Grant Status Reports to DOT Quarterly Q4 2013 - Q1 2015

Close Grant March 2015
Proposal of Concord Regional Airport • Concord, North Carolina • July 2013 16

PUBLIC/PRIVATE PARTNERSHIP

This application for federal Small Community Air Service Development Grant funding is 

supported by a number of community partners who have pledged matching cash. The public 

partners include the Concord Regional Airport, the City of Concord, which owns and operates 

the Airport, and Cabarrus County, in which the Airport is located. The three major economic 

development and outreach organizations in the region are also partners in this application.

City of Concord

Concord, North Carolina, is likely best known as the home to the famous Charlotte Motor 

Speedway and NASCAR headquarters. But Concord is the second largest city in the Charlotte 

area, with a population just under 80,000. The City owns and operates Concord Regional 

Airport. It has made the decision, for the first time, to seek air service locally as fares continue to 

increase at Charlotte Douglas International Airport and as service for local residents declines.

Cabarrus County

Cabarrus County is home to approximately 175,000 residents located about 30 minutes 

northeast of Charlotte. The county’s business community is diverse with a mix of small and large 

organizations and industries ranging from bioscience, motorsports, tourism, retail, and 

manufacturing. While the County has no official oversight of Concord Regional Airport, it is a 

partner with the Airport due to the Airport’s role in developing the County’s economy.

Cabarrus County Convention and Visitors Bureau

The Cabarrus County Convention and Visitors Bureau (CVB) is working to grow the travel industry 

to become the number one economic activity in the County. Visitors to the county are critical in 

sustaining the local economy. Domestic tourism in Cabarrus County generated an economic 

impact of $281 million in 2009, according to the North Carolina Department of Commerce 

Division of Tourism, Travel and Trade. As local businesses benefit, tourism generates tax revenues 

which equal savings for county residents. In 2009, state and local tax revenues from travel to 

Cabarrus County amounted to $21.8 million. This represents a tax savings of approximately $310 

for each household in Cabarrus County. Air service is the key to additional tourism growth, and 

the CVB will financially support efforts to bring visitors to Cabarrus County.
Proposal of Concord Regional Airport • Concord, North Carolina • July 2013 17

Cabarrus Economic Development Corporation

The Cabarrus Economic Development Corporation is the premier organization fostering 

economic growth in Concord and surrounding communities. Cabarrus County continues to be 

defined by its 20 percent annual population growth, low cost of living, diversified workforce, 

favorable climate, employment opportunities and reduced tax base. Here, you will find the 

reasons why Site Selection Magazine has named North Carolina the number one business 

climate for eight consecutive years. The economic development will be best supported through 

local air service.

Cabarrus Regional Chamber of Commerce

The Cabarrus Regional Chamber of Commerce has been serving businesses in Cabarrus County,

North Carolina, and the entire Charlotte region as a trusted advocate, excellent resource, and 

proactive catalyst for quality business and community service. The Chamber accomplishes this 

through programs focused on advocacy, economic development, events and direct services to 

its members. The Cabarrus Regional Chamber is a community leader in positive change, while 

fostering prosperity and building a stronger economic future. As the trusted voice for all 

Cabarrus County businesses, it works with education, government, and non-profits to address 

the region’s current and future needs. Its members are supporters of the effort to bring air 

service to Concord Regional Airport.
Proposal of Concord Regional Airport • Concord, North Carolina • July 2013 18

LETTERS OF SUPPORT
Proposal of Concord Regional Airport • Concord, North Carolina • July 2013 19
Proposal of Concord Regional Airport • Concord, North Carolina • July 2013 20

CONCLUSION

Concord is “where racing lives,” as the slogan says. It is the home to NASCAR, the Charlotte 

Motor Speedway, and 90% of the teams in racing. Racing is a huge economic driver in the 

region, generating more than $280 million per year in local impact and bringing in more than 1.5 

million tourists each year. Beyond racing, the Concord area is home to 667,000 people with jobs 

in dozens of high tech industries – from racing to biosciences to advanced manufacturing. All of 

the regional businesses are forced to rely on air service at Charlotte for connectivity to 

customers and markets.

Air service at Charlotte is dominated by a single hub carrier that operates more than 85% of the 

available seats in the market. Subsequently, fares per mile in Charlotte are the highest on the 

East Coast. The average Charlotte fare is 29% above the rest of the East Coast. On a 1,000 mile 

trip, the average Charlotte fare is $220, while the average 

East Coast passenger would pay just $168. High fares 

have suppressed passengers, and reduced inbound 

demand to tourist destinations, which surround Concord.

Seeing the impact of high fares, the City of Concord and 

its Airport, Concord Regional, are seeking scheduled air 

service for the first time. Concord is not seeking to 

duplicate service available at Charlotte, but to provide an alternate service through low cost 

less-than-daily carriers. This kind of service will be unique to the area and help provide fare relief 

to the East Coast’s most expensive market.

The Airport has already met with several airline targets so far in 2013. It is working with target 

airlines on a plan that could bring new service to the region by this coming winter. Target 

carriers have expressed the need for marketing support, to help spread the message of new 

service throughout the cities and towns surrounding Concord, so the Airport and its private 

partners have committed $100,000 to the effort.

Due to the expense of advertising in the large Charlotte media market, the local contribution will 

likely be too small, on its own, to make a major impact. For the first time, Concord Regional 

Airport is seeking federal assistance, in the form of a Small Community Air Service Development 

(SCASD) Grant of $250,000, to ensure low cost service is successful.

“Seeing the impact of high 

fares, the City of Concord 

and its Airport... are seeking 

scheduled service for the 

first time.”