Proposal under the Small Community 

Air Service Development Program For 

County of Ventura - Oxnard Airport 

Docket DOT-OST-2010-0124 

Sponsor: County of Ventura – Oxnard Airport 

 

DUNS Number: 066691122 

Congressional District Code: CA-023

Contact: Mr. Todd McNamee, AAE 

 Director of Airports 

 County of Ventura 

 555 Airport Way 

 Camarillo, CA 93010 

 (805) 388-4200 

 todd.mcnamee@ventura.org

Due Date: August 27, 2010 

Small Community Air Service Development Program 

County of Ventura – Oxnard Airport Proposal
APPENDIX B 

Page 1 

Order: 2010-7-16 

Docket DOT-OST-2010-0124 

SMALL COMMUNITY AIR SERVICE DEVELOPMENT PROGRAM 

DOCKET OST-2010-0124 

SUMMARY INFORMATION

All applicants must submit this information with their proposal, along with a completed form SF424 on http://www.grants.gov

A. APPLICANT INFORMATION: (CHECK ALL THAT APPLY) 

 Not a Consortium Interstate Consortium Intrastate Consortium 

 Community now receives EAS subsidy 

 

X 

 Community previously received a Small Community Grant in 2004. 

B. PUBLIC/PRIVATE PARTNERSHIP 

Public: Private:

1. County of Ventura 1. Economic Development Corporation of Oxnard

2. Oxnard Airport Authority 2. Oxnard Chamber of Commerce 

3. City of Oxnard 3. Oxnard Convention and Visitors Bureau 

4. City of Ventura 4. Ventura Chamber of Commerce 

5. Congresswoman Lois Capps 5. Ventura Visitors and Convention Bureau 

6. Assemblyman Pedro Nava 6. Gold Coast Broadcasting 

7. California Senator Fran Pavley 7. KCLU Radio 

C. PROJECT PROPOSAL 

Project Proposal: (Check All That Apply) 

 X Marketing Upgrade Aircraft X New Route 

 Personnel Increase Frequency X Lower Fares 

 X Travel Bank X Service Restoration ___ Subsidy 

___ Surface Transport X Regional Service ___ Other (Specify) 

 X Revenue Guarantee X Launch New Carrier 

___ Start Up Cost Offset First Competitive Service 

 Study Secure Additional Carrier 

Small Community Air Service Development Program ii 

Ventura County-Oxnard Airport Proposal
D. EXISTING LANDING AIDS AT LOCAL AIRPORT: 

 X Full ILS X Outer/Middle Marker X Published Instrument Approach 

 X Localizer X Other (Specify) _GPS__

E. PROJECT COST: 

 1. Federal Amount Requested: $520,000 

 2. State cash financial contribution 0 

 3. Local Cash Financial Contribution: 

 3a. Airport cash funds: 50,000 

 3b. Non-Airport cash funds: 50,000

 3c, Total local cash funds: 100,000 

 4. TOTAL CASH FUNDING $620,000 

5. Local funds contributed from already existing 

Programs or projects included in line 3c 

6. Local funds contributed from new commitments 100,000 

or new resources included in line 3c. 

7. Airport In-kind contribution: 

7a. Advertising 50,000 

7b. Airport Landing Fees and Rents 90,000 

8. Other In-kind contribution: 

8a. Travel Bank Ticket Program 250,000

9. TOTAL IN-KIND CONTRIBUTION $390,000

10. TOTAL PROJECT COST $1,010,000 

F. ENPLANEMENTS: 

 2000 33,999 2005 22,865 

 2001 34,696 2006 23,717 

 2002 22,829 2007 21,473 

 2003 21,889 2008 16,036 

 2004 23,836 2009 11,959 

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

 PROCESS? Program is not covered by E.O. 12372. 

H. IS THE APPLICANT DELINQUENT ON ANY FEDERAL DEBT? No 

 

 

Small Community Air Service Development Program iii 

Ventura County-Oxnard Airport Proposal
Small Community Air Service Development Program iv 

Ventura County-Oxnard Airport Proposal

Table of Contents 

Subject Page

Key Letters of Support 1 

Introduction 6 

Primary Objectives 7 

Executive Summary 7 

General Information 10 

 Our Community Team 10 

 Our Airport 10 

 Plan is Consistent with DOT Priorities 11 

 Unique Circumstances 11 

Air Service and Passenger Data 11 

 History 11 

 Recently Terminated Service 12 

 High Airfares 13 

 Top Markets for Oxnard Airport 13 

 True Passengers 14 

 Passenger Forecast 15 

 Flight Forecast and Schedule 16 

 Connecting Opportunities at SJC 17 

 Proposed Fares 17 

 Estimated Profitability 18 

Ventura County Community Profile 18 

 Economic Data 19 

 Comparison to Similar Markets 21 

Action Plan 22 

 Plan Elements 22 

 Marketing Program 22 

 Advertising and Media Selection 22 

 Waiver of Airport Fees 23 

 Advance Ticket Sales Program 23 

 Revenue Guarantees for Horizon 23 

 Total Incentive Package 24 

 Economic Stimulus 24 

Performance Measurement and Schedule 25 

 Measurement 25 

 Schedule 25 

 Community Support 25 

DOT Requirements 26 

 Financial Controls 26 

 Return on Investment 26 

 DOT Exit Strategy 27 

 Alternate Plan 27 

 Assurances 27 

 Air Service Survey 28 

 Additional Letters of Support 36





PROPOSAL OF VENTURA COUNTY/OXNARD AIRPORT 

Introduction 

The County of Ventura is seeking a Small Community Air Service Development 

Program grant to address the loss of air service at Oxnard Airport. The Oxnard Airport 

has had continuous air service since 1946 and on June 8, 2010, United Express 

terminated its service leaving Oxnard Airport with no scheduled passenger air service. 

United Express operated 30 seat EMB-120 turbo prop aircraft between Oxnard and Los 

Angeles International Airport. 

Prior to this action by United and United Express, the County of Ventura had been 

actively recruiting new service to other hub airports in the West. Now with the 

termination of service by United Express, our need is more critical. Over the past seven 

months of this year, meetings and discussions have been held with American, American 

Eagle, Allegiant, Delta, Frontier, Horizon, Sky West, United, and US Airways. 

Reception by the airlines has been good, but all of the airlines are requesting an 

incentive package that includes a revenue guarantee, local marketing, and a reduction 

in airport fees. 

In order to create an attractive incentive package, the County of Ventura and Oxnard 

Airport will need a grant of $520,000 from the Department of Transportation under the 

Small Community program. These funds will be match with $240,000 of local cash and 

in-kind funding and a travel bank program of $250,000 resulting in a total incentive 

package of $1,010,000. 

Ventura County is located north of the Los Angeles metropolitan area and has a large 

population of over 820,000 people. In terms of population, it is now the largest 

unserved airport market in the United States. Ventura County had a study developed 

in 2009 to determine the true size of the air passenger market for Ventura County. The 

Study reviewed the entire Los Angeles metropolitan market and found that over 900,000 

airline passengers from Ventura County were using other airports due to poor service 

and extremely high fares at Oxnard Airport. 

In 2008, passengers in the top 15 Oxnard Airport markets paid an average fare that was 

74.4% higher than fares at LAX to the same 15 markets and 69.7% higher than fares at 

Burbank Airport to the same 15 markets. When compared to Palm Springs and 

Carlsbad, other commuter type markets in southern California, the fares to the major 

domestic markets at Oxnard Airport were 62% higher than Palm Springs Airport and 

125% higher than Carlsbad/Palomar Airport. 

Even though Ventura County looks close to Burbank and LAX on a map, the drive time 

to these two airports is unpredictable and can be extraordinarily long. It is quite 

common that passengers from Ventura County traveling on early morning flights at 

Burbank or LAX spend the night before at a hotel near one of these airports. Oxnard 

Small Community Air Service Development Program 6 

Ventura County-Oxnard Airport Proposal
Airport is very convenient to the Ventura County population and is a wonderful 

alternative to the congested freeways in the Los Angeles area. 

Primary Objectives of this Proposal 

Objectives for the Program: 

• Connect Oxnard Airport back into the National Transportation System 

• Replace the departed United Express high fare commuter operation to LAX with 

better service and lower fares by Horizon Air to SJC 

• Provide air service to the San Francisco Bay Area, Sacramento, and to the 

Pacific Northwest 

• Connect at a convenient airport (SJC) to over thirty other markets 

• Save local passengers from having to drive to Burbank or LAX 

• Use this as a stepping stone to recruit additional airlines to other hub airports 

Means to Achieve Objectives: 

• Continue discussions with Horizon Air about entering the OXR-SJC market 

• Develop risk mitigation and incentive package to meet airline needs 

• Work towards launch of service to San Jose with beyond service to Sacramento 

and Portland, and connecting service to other SJC markets in the next 12 to 24 

months 

Course of Action to Support Means: 

• Provide start-up cost and revenue guarantee for airline 

• Initiate Marketing Plan to support new service 

• Develop local Ventura County ad campaign to publicize new air service 

• Contract with local businesses to join travel bank and make ticket commitments 

• Work with airline in publishing government and military fares to capture large 

government and military market in Ventura County 

• Provide local sales and promotions support for Horizon Air 

Executive Summary 

Oxnard Airport is situated along the coast in Ventura County. Geographically, it is 

located halfway between Los Angeles and Santa Barbara near the famous Pacific 

Coast Highway (US 101). The Oxnard Airport serves a primary market of 820,000 

people in Ventura County and is convenient to residents in southern Santa Barbara 

County and the Malibu area of Los Angeles County. The total market area is close to 

one million residents. 

Small Community Air Service Development Program 7 

Ventura County-Oxnard Airport Proposal
Oxnard Airport has had continuous air service since 1946 until June 8, 2010 when 

United Express terminated its commuter service to LAX. The current situation is not 

acceptable to the residents of Ventura County. The Ventura County community is a 

growing, diverse area that needs airline service to connect its populace to the nation’s 

air transportation system and to assist others who serve and visit the area from 

throughout the United States and abroad. 

Economic growth in Ventura County has shown a strong increase over the past ten 

years and has outpaced California nearly every year during that period of time. This is 

due to the County having an influx of businesses from Los Angeles County moving to 

Ventura County to improve the “quality of life”. The County has had a net inflow of 

migrants from other southern California counties that have supported the growth in 

business and the businesses in the County. 

Oxnard Airport Catchment Area 

Since 1998, the population has increased 11.6% and the number of households has 

increased by 13.7%. The greatest economic impact has been the growth in Retail 

Sales. Ventura County has seen Retail Sales increase by almost 150% during this 

period. The business market is strong and diverse in Ventura County. Community 

leaders will continue to support existing employers while attracting new businesses that 

will contribute to the well being of the area. 

The U.S. Military, especially the Navy, plays a big role in the economy of Ventura 

County and for passenger demand at the Oxnard Airport. The Naval Air Weapons 

Station, Point Mugu, operates and maintains station facilities and provides support 

services for the Naval Air Warfare Center, Weapons Division and assigned tenants and 

activities. These services include air terminal, air traffic control, firefighting and crash 

crews, and an outlying landing facility at San Nicolas Island. 

Small Community Air Service Development Program 8 

Ventura County-Oxnard Airport Proposal
Local passenger use of Oxnard Airport has been declining over the past eight years. In 

2001, the Oxnard Airport accounted for 68,000 total passengers. By 2009, the total 

passengers had decreased to 24,800 passengers. This was due to a reduction in the 

number of flights from 56 flights per week to 21 flights per week and a drastic increase 

in the fares to the key connecting markets. Oxnard Airport has the highest average fare 

in southern California. A Study of Passenger Bookings for Ventura County for 2009 

showed that over 900,000 Ventura County area passengers used air service at other 

airports. The poor air service and the high fares were responsible for a passenger 

leakage and diversion of 97.5%, one of the highest in the nation. 

OXNARD AIRPORT PASSENGERS 

 Enplaned Deplaned Total 

 Year Passengers Passengers Passengers 

2000 33,999 32,095 66,094 

2001 34,696 33,326 68,022 

2002 22,829 21,544 44,373 

2003 21,889 20,290 42,179 

2004 23,836 22,778 46,614 

2005 22,865 21,307 44,172 

2006 23,717 21,568 45,285 

2007 21,473 20,928 42,401 

2008 16,036 15,968 32,004 

2009 11,959 12,865 24,824

Passengers at Oxnard Airport have declined by 40%. This is due to an increase in 

airfares and a reduction of service. The average fare for the top fifteen markets has 

increased by 44% and the average number of weekly seats has declined 60% during 

this ten year period. 

The management for Ventura County Department of Airports has been actively seeking 

new air service over the past 12 months. This activity has included having a consulting 

firm develop a Passenger Forecast and Air Service Analysis for Oxnard Airport. 

Booking data from this analysis indicated that the air passenger market was very large 

and there was a strong demand for service to hub airports in the West. Airline 

presentation packages were developed and discussions were held with American 

Airlines, American Eagle, Allegiant, Aaron Air, Delta, Frontier, Horizon, Sky West, 

United, US Airways, and Viscount. 

Of these airlines, Horizon Air showed the greatest interest in serving Oxnard Airport with 

nonstop service to San Jose and having the flights continue on to the Pacific Northwest 

and Sacramento. Additional discussions have been held recently with Horizon Air and 

they requested that Ventura County/Oxnard Airport develop an incentive package that 

will reduce their risk of entering a new market. Horizon is requesting funds for flight 

guarantees, advertising and marketing, and airport landing fee and terminal rental fee 

waivers for the first year. They also want the local community to step up and establish a 

Small Community Air Service Development Program 9 

Ventura County-Oxnard Airport Proposal
travel bank program and commit to the pre-purchase of tickets on Horizon to support 

the new route. 

To meet this request, Ventura County/Oxnard Airport is requesting a grant of $520,000 

from the Department of Transportation to be matched with $100,000 in cash, $50,000 in 

barter advertising, $90,000 in airport fee waivers, and an initial travel bank of $250,000. 

The total incentive package for the first year is $1,010,000. 

General Information for the Proposal 

Our Community Team 

The Director of Airports is working with various businesses, local government 

departments, the Oxnard, Camarillo, and Ventura Chambers of Commerce, the Oxnard 

Economic Development Corporation, the Oxnard and Ventura Visitors Bureau, and the 

U.S. Navy in developing a public-private partnership to provide community support for 

the development of better air service. 

Our Airport 

The Oxnard Airport has had scheduled passenger air service for over sixty years. The 

passenger terminal can accommodate three airlines. The Airport meets FAA Part 139 

requirements. Passenger screening is currently provided by TSA. The Airport meets all 

FAA avionics requirements. It can easily handle the EMB-120 service on its 5,963 foot 

runway. In order to accommodate regional jets, the displaced landing threshold will be 

relocated 924 feet to the east providing 5,500 feet of landing distance. The County of 

Ventura is currently conducting the NEPA/CEQA environment review to relocate the 

displaced threshold under a FAA Airport Improvement grant. 

Small Community Air Service Development Program 10 

Ventura County-Oxnard Airport Proposal
Our Plan Is Consistent With DOT Priorities 

This project to attract new air service with lower airfares at Oxnard Airport is consistent 

with the priorities established by the Secretary of Transportation. The Plan to have 

Horizon Air operate the 76 seat Q-400 aircraft with two daily round trip flights between 

Oxnard and San Jose with fares competitive to Burbank and LAX is an excellent 

opportunity for Oxnard Airport and the residents of Ventura County. This air service will 

allow Oxnard Airport to again have access to the National Transportation System. 

This project will benefit local businesses, higher education institutions, the general 

public, and the U.S. Navy. It will also provide an excellent alternative to the difficult and 

highly congested two-hour average drive on the Highway 101 to either the Burbank 

Airport or Los Angeles International Airport. 

Unique Circumstances 

The major highway connecting Ventura County to Los Angeles International Airport and 

Burbank Airport is U.S. Highway 101 or commonly referred to as the Ventura Freeway. 

The intersection of the Ventura Freeway with the San Diego Freeway (I-405) is the 

heaviest traffic point in the United States and this is the access route for Ventura County 

residents to LAX. Trips to LAX and Burbank Airport are costly in terms of pollution, 

congestion and dollars. These trips, take two to two and one half hours at most peak 

times of the day because of highway congestion. The alternate to U.S. Highway 101 is 

State Route 1. This is a very scenic route that takes the traveler along the Pacific 

Ocean through various neighborhoods and cities including Malibu and Santa Monica. 

This route is slow and very congested in the summer and on weekends. 

Air Service and Passengers at Oxnard Airport 

History 

Oxnard Airport had scheduled air service from 1946 to June 8, 2010. Prior to the Airline 

Deregulation Act of 1978, the Oxnard Airport had service up the coast to San Francisco 

(SFO) and Sacramento (SMF) and service to Los Angeles International Airport (LAX). 

Hughes Air West operated forty-four seat F-27 turbo prop aircraft. In the late seventies, 

the air service was provided by Golden West Airlines operating 19 seat DHC-6 Twin 

Otter aircraft to Los Angeles International Airport and to San Diego. The airline 

upgraded to DHC-7 aircraft in 1981. Golden West Airlines ceased operations in April of 

1984 due to a labor dispute. 

In 1984, West Air Commuter began serving Oxnard Airport to Los Angeles International 

Airport as United Express. The airline operated 19 seat Embraer Banderante aircraft. 

West Air upgraded the fleet to 30 seat EMB-120 aircraft and sold out to Mesa Airlines in 

Small Community Air Service Development Program 11 

Ventura County-Oxnard Airport Proposal
the late 1980’s. Oxnard Airport has had air service over the past twenty years by 

American Eagle, America West Express, and a couple of start up commuter airlines. 

Air service has been limited at Oxnard Airport over the years due to the location of 

Oxnard High School at the east end of the runway and having a runway that was 

artificially limited for landing due to its displaced threshold. The High School closed its 

doors about 10 years ago and built a new facility in another location distant from the 

airport. The landing limit on the airport runway is being eliminated at the current time. 

The Airport is working with the FAA to extend the threshold 950 feet to the East giving 

the Airport 5,953 feet for take off and 5,533 feet for landing. This will eliminate any 

weight penalties for any of the regional jets. The Horizon Air Q-400 aircraft can easily 

operate at Oxnard Airport without the airport runway upgrades. 

HISTORICAL AIR SERVICE AT OXNARD AIRPORT 

Year Airline Aircraft Flights/Wk. Seats/Wk. 

 2000 UA* EM-120 42 1,260 

 2001 UA* EM-120 35 1,050 

 2001 HP* DCH-8 14 420 

 2002 UA* EM-120 34 1,020 

 2003 UA* EM-120 35 1,050 

 2004 UA* EM-120 35 1,050 

 2005 UA* EM-120 34 1,020 

 2006 UA* EM-120 31 930 

 2007 UA* EM-120 26 780 

 2008 UA* EM-120 25 750 

 2009 UA* EM-120 25 750 

2010 UA* EM-120 21 630 

Source: Official Airline Guide, summer editions 

Recently Terminated Air Service 

United Express operated by Sky West Airlines has been operating at Oxnard for a 

number of years. The airline operated 30 seat EMB-120 aircraft between Oxnard and 

LAX. This service provided online connecting passengers to United Airlines and 

interline passengers to the other airlines at LAX. As part of their overall agreement with 

Sky West to operate as United Express, United Airlines was paying Sky West a flight 

guarantee for each flight flown between Oxnard and LAX and Sky West received a 

bonus for on time performance and other operational factors. 

Earlier this year, United Airlines changed this relationship and no longer guaranteed the 

flights flown by Sky West on this route. Sky West could continue to operate the route 

on a pro-rate basis with United Airlines sharing the revenue on a set formula with Sky 

West absorbing all of the operating expenses. According to Sky West, this arrangement 

was not economically feasible and the airline decided to terminate service on this route. 

Small Community Air Service Development Program 12 

Ventura County-Oxnard Airport Proposal
Discussions and a meeting has been held with Sky West regarding new regional jet 

service between Oxnard and San Francisco and between Oxnard and Las Vegas. Sky 

West indicated that their goal was to terminate the EMB-120 from the United Express 

operation and greatly reduce their operations as United Express on the West Coast. On 

August 3, 2010, it was announced that Sky West was moving ahead to acquire Express 

Jet Holdings. This will certainly detract Sky West from any expansion in markets like 

Oxnard for a period of time. 

High Airfares

As mentioned earlier, the Ventura County air travelers are paying very high fares to use 

the air service at Oxnard Airport. These high airfares have pushed air travelers to drive 

to either Burbank Airport or Los Angeles International Airport to originate their flights. In 

2000, the average airfares for the top fifteen Oxnard Airport passenger markets were 

19% higher than the combined average for Burbank and LAX to the same fifteen 

markets. By 2008, the average airfares for the top fifteen Oxnard Airport passenger 

markets were 72% higher than the combined average for Burbank and LAX to the same 

fifteen markets. The average airfares for the top fifteen Oxnard markets have increased 

44% at Oxnard Airport since 2000 while the average airfares at LAX have increased 

5.7% and the average fares at Burbank have decreased 6.0%. 

This situation will change with the implementation of air service by Horizon Air to San 

Jose. Horizon Air has indicated that its fares will be very competitive with the Burbank 

and LAX fares to San Jose and beyond to the Pacific Northwest. This has been the 

case for Horizon Air in other California markets. 

COMPARISON OF AVERAGE FARES FOR TOP 15 OXNARD MARKETS 

 OXR Greater 

Year Oxnard Los Angeles Burbank than LAX/BUR

 2000 $166.28 $130.03 $150.41 19.5% 

 2004 $173.09 $108.75 $114.84 54.9% 

 2009 $239.87 $137.57 $141.38 72.0%

Top Markets for Oxnard Airport 

There were 24,824 total passengers in 2009 for Oxnard Airport. The top fifteen markets 

accounted for 53.4% of the total market. Even though all of the flights are to Los 

Angeles International Airport, only 2.0% of the passengers were OXR-LAX passengers. 

98% of the passengers are connecting to and from other markets. The U.S. Navy, other 

military service organizations, and various military contractors are the major travelers for 

the market. Many of the top markets are military and government oriented – 

Small Community Air Service Development Program 13 

Ventura County-Oxnard Airport Proposal
Washington D.C., San Francisco, Seattle, Norfolk, Honolulu, Colorado Springs, 

Sacramento, and San Jose. Listed below are the top markets for Oxnard Airport in 

2009. 

TOP PASSENGER MARKETS FOR OXNARD AIRPORT - 2009 

 Market Passengers

 San Francisco 2,190 

 Washington D.C. 1,610 

 Denver 1,610 

 Chicago 1,390 

 Seattle/Tacoma 1,020 

 Tucson 800 

 Las Vegas 730 

 Norfolk 580 

 Colorado Springs 580 

 Phoenix 580 

 Honolulu 510 

 New York City 510 

 Sacramento 440 

 Portland 365 

 San Jose 365

 Total 13,280 

 

True Passengers for Ventura County 

It was obvious that the low frequency of flights and high fares were causing the Ventura 

County air traveler to fly out of airports other than Oxnard Airport. In the Summer of 

2009, Ventura County Department of Airports retained a consultant to analyze the 

passenger bookings for the residents of Ventura County. All Ventura County air 

passengers for the twelve months ending June 30, 2009 that used other airports in the 

Los Angeles metropolitan area were calculated. The bookings exceeded 900,000 for 

this 12 month period. The total outbound and return passengers resulting from these 

bookings are estimated to be 1.8 million. Assuming that the Ventura County 

passengers are equal to 50% of the total market, then we are looking at a true 

passenger market over 3.6 million annually. 

Small Community Air Service Development Program 14 

Ventura County-Oxnard Airport Proposal
TOP PASSENGER BOOKING MARKETS 

FOR VENTURA COUNTY – 2009 

 Market Via LAX Via Bur Total

 New York JFK 17,198 2,362 19,560 

 Las Vegas 11,752 6,180 17,932 

 San Francisco 14,037 1,136 15,173 

 Dallas/Ft. Worth 9,364 3,458 12,822 

 Chicago – ORD 12,024 377 12,401 

 Denver 10,712 1,066 11,778 

 Seattle/Tacoma 7,513 2,104 9,617 

 Phoenix 5,346 3,512 8,858 

 Orlando 8,376 397 8,773 

 Atlanta 8,192 321 8,513 

 San Jose 4,131 4,182 8,313 

 Newark 6,721 755 7,476 

 Oakland 2,800 4,580 7,380 

 Washington DC 6,593 401 6,994 

 Portland 3,194 3,378 6,572

 Total 162,162 

 

Source: MIDT outbound passenger bookings for Ventura County zip codes 

The true passenger bookings for the top 15 markets are 162,162. When adjusted for 

these passengers to return to Ventura County and to include visitors to Ventura County, 

then the total O&D passenger total is approximately 650,000. This compares quite 

favorably to the 24,000 passengers that used Oxnard Airport in 2009. There is a very 

large passenger market and it needs air service.

Passenger Forecast for Horizon Air Service 

The San Francisco Bay Area and the Pacific Northwest markets of Seattle and Portland 

are in the top 15 passenger booking markets for Ventura County. The three San 

Francisco Bay Area airports account for 30,866 outbound passenger bookings during 

the survey period. This equates to 123,500 origin and destination passengers on an 

annual basis. The Seattle and Portland markets accounted for 16,189 outbound 

passenger bookings during the survey period. This equates to 64,750 origin and 

destination passengers. The total for the San Francisco Bay Area and the two Pacific 

Northwest markets is 188,250 origin and destination passengers. 

Small Community Air Service Development Program 15 

Ventura County-Oxnard Airport Proposal
PASSENGER FORECAST FOR HORIZON AIR SERVICE 

IN THE OXNARD – SAN JOSE MARKET 

 Outbound Annual Horizon Horizon 

Market Passengers/Day Passengers Share Passengers

 OXR-SJC 22.77 33,250 80% 26,600 

 OXR-SFO 41.56 60,690 40% 24,200 

OXR-OAK 20.20 29,520 40% 11,800

 Total Bay Area 123,460 62,600 

 OXR-PDX 18.00 26,290 25% 6,500 

OXR-SMF 13.70 20,000 25% 5,000 

 OXR-SEA 26.34 38,470 25% 9,600 

 OXR-GEG 3.60 5,250 25% 1,300

 Total Beyond Markets 90,010 22,400 

Grand Total All Markets 213,470 85,000 

This forecast shows that the passengers flown by Horizon Air will be less than 40% of 

the total market. This is a reasonable market share. Also, the base data for this 

forecast is the MIDT booked passenger data and does not include passengers who may 

have gone online and booked directly with any of the airlines. This could be a 

significant number and will only increase the amount of passengers who could use the 

new air service. 

Flight Forecast and Flight Schedule for Horizon Air 

Based on the above forecast of passengers, it is estimated that Horizon Air could 

provide two daily nonstop flights with 76 seat Q-400 aircraft between Oxnard Airport and 

San Jose International Airport. The load factor is estimated to be 75.7%. 

 Forecast Daily Annual Load 

Market Passengers Aircraft Flights Seats Factor

 OXR-SJC 85,000 Q-400 2 RT 110,960 76.6% 

The nonstop distance between Oxnard Airport and San Jose International Airport is 268 

miles. Based on Horizon Air flights with the Q-400 in markets of similar distance, it is 

estimated that the block time for a Q-400 flight between Oxnard and San Jose will be 

1:15. Since traffic patterns in California favor an early morning flight from the south to 

the north, it is recommended that Horizon Air operate the following pattern and flight 

schedule: 

FLIGHT PATTERN FOR HORIZON 

Oxnard – San Jose – Sacramento 1 Daily Round Trip Flight 

Oxnard – San Jose – Portland 1 Daily Round Trip Flight 

Small Community Air Service Development Program 16 

Ventura County-Oxnard Airport Proposal
The proposed flight schedule will provide for one stop flights between Oxnard and 

Portland and between Oxnard and Sacramento. The departure and arrival times at San 

Jose will allow for connections to Alaska and Horizon flights to Boise, Portland, Seattle, 

and Spokane. 

PROPOSED FLIGHT SCHEDULE FOR HORIZON 

Market Depart Arrive Aircraft Stops

 Oxnard-San Jose 7:00 am 8:15 am Q-400 0 

 2:00 pm 3:15 pm Q-400 0 

 San Jose-Oxnard 12:10 pm 1:25 pm Q-400 0 

 6:55 pm 8:10 pm Q-400 0 

 Oxnard-Sacramento 7:00 am 9:25 am Q-400 1 

 Sacramento-Oxnard 5:40 pm 8:10 pm Q-400 1 

 Oxnard-Portland 2:00 pm 6:30 pm Q-400 1 

 Portland-Oxnard 9:30 am 1:25 pm Q-400 1 

Connecting Opportunities at San Jose 

The new Horizon Air service to San Jose will definitely help Ventura County passenger 

get connected to the National Air Transport System. The proposed flight schedule 

connects to other airline flights at SJC to 23 nonstop markets and includes the following 

airports: Atlanta, Austin, Baltimore, Boise, Boston, Chicago O’Hare, Chicago Midway, 

Dallas/Ft. Worth, Denver, Honolulu, Houston, Kahului, Kona, Las Vegas, Minneapolis, 

New York City Kennedy, Phoenix, Portland, Reno, Sacramento, Salt Lake City, Seattle, 

and Spokane. 

Proposed Fares for Oxnard 

Horizon Air has told us that their fares in the new Oxnard markets will be comparable

to the fares at Burbank Airport and Los Angeles International Airport to the same 

markets. This will be very beneficial for the Ventura County market since they have 

been paying extremely high fares with the United Express air service. 

Small Community Air Service Development Program 17 

Ventura County-Oxnard Airport Proposal
COMPARISON OF AVERAGE FARES - 2009 

 Market OXR BUR LAX

 San Jose $120.15 $85.50 $85.47 

 Portland 177.82 136.82 138.80 

 Sacramento 148.18 88.74 90.63 

 Seattle 191.14 116.42 105.79 

On the average, the Oxnard fares with United Express in 2009 were 50% higher than 

the fares at Burbank and LAX. The lower Horizon fares will be very attractive to the 

Ventura County traveler. 

Estimated Profitability for Horizon Air 

Horizon Air has told us that based on their current cost, the total expense for a one way 

flight between Oxnard and San Jose is $4,400 per flight. Based on this expense and 

based on an average one way fare of $85.50 per passenger, the airline will need 75,134 

passengers to breakeven for two daily round trip flights. This equates to a 67.7% load 

factor. 

One of the key factors of this proposal is that the air service by Horizon Air can be 

profitable after the initial operating losses in the first year. Listed below is an operating 

forecast for Horizon Air for the second year of operation. The amount requested by 

applicant in this application will cover the initial losses until the airline reaches 

breakeven. 

REVENUE AND EXPENSE FORECAST FOR HORIZON AIR 

 Passenger Forecast 85,000 

 Average Fare $85.50 

 Passenger Revenue $7,267,500 

 Other Revenue 145,350

 Total Revenue $7,412,850 

Number of Daily Flights 2 RT 

 Number of Annual Flights 1,460 

 Cost per Flight $4,400

 Total Expense $6,424,000 

 Estimated Operating Profit $ 988,850 

 Operating Margin 13.4% 

 

Ventura County Community Profile

The Ventura County market is now the largest market in the United States without 

passenger air service. The Ventura County community is a growing and diverse area 

that needs airline service to connect to the nation’s air transport system. Economic 

Small Community Air Service Development Program 18 

Ventura County-Oxnard Airport Proposal
growth in Ventura County shown a strong increase over the past ten years and has 

outpaced California in every year during this time. 

ECONOMIC GROWTH IN VENTURA COUNTY 

 1998 2008 Growth

Population 735,300 820,710 11.6% 

Households 233,600 265,550 13.7% 

Retail Sales (mil) $6,282 $15,631 148.9% 

Buying Income (mil) $12,383 $20,238 63.4% 

Retail Sales/Household $26,894 $58,877 119.0% 

Income/Household $53,012 $76,226 43.8% 

Population over 25 63.6% 63.5% 

Household with Income 

Over $50,000 44.7% 60.1% 

In 2008, Ventura County had a population of 820,700 with 265,550 households. Total 

retail sales for the County are $15.6 billion or approximately $58,866 per household, 

one of the highest for the State. The effective buying income for the County is over $20 

billion or $78,470 per household, one of the highest in the nation. Over 60% of the area 

households have an annual buying income in excess of $50,000. 

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

State of California where the retail sales average is $48,213 per household, buying 

income averages $64,731 per household, and 47.9% of the total households have 

buying incomes in excess of $50,000. The table below compares economic data for 

Ventura County with Los Angeles County and Santa Barbara County. 

COMPARISON OF ECONOMIC DATA 

 Retail Buying % Hshlds. 

 County Population Households Sales/Hshld Income/Hshld over $50,000

 (000) (000) 

Ventura 820,700 265,550 $58,866 $78,470 60.1% 

Los Angeles 10,224,700 3,321,180 45,886 61,016 42.9% 

Santa Barbara 413,800 142,900 48,068 64,901 46.7% 

Source: Survey of Buying Power, 2008 

The Ventura County market has a much stronger economy than other markets in 

California that have frequent air service. Its retail sales, income, and households over 

$50,000 a year in income are far greater than the other markets. 

Small Community Air Service Development Program 19 

Ventura County-Oxnard Airport Proposal
ECONOMIC COMPARISON WITH OTHER CALIFORNIA MARKETS 

 Ventura Santa San Luis 

 County Fresno Monterey Barbara Obispo Bakersfield

Population 820,710 1,071,041 420,218 413,810 263,430 812,050 

Households 265,550 330,275 124,610 142,880 102,105 250,590 

Retail Sales (mil) $15,631 $14,263 $6,163 $6,869 $4,543 $11,986 

Buying Income (mil) $20,238 $16,289 $7,810 $9,274 $5,759 $12,034 

Retail Sales/Hshld. $58,877 $43,195 $49,462 $48,075 $44,539 $47,944 

Income/Hshld. $76,226 $49,310 $62,680 $64,907 $56,460 $48,136 

Population Over 25 63.5% 58.9% 61.1% 61.9% 66.2% 59.3% 

Hshlds over $50,000 60.1% 35.1% 47.5% 46.7% 43.1% 35.4% 

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

continue to support existing employers while attracting new businesses that will 

contribute to the economic well being of the area. 

MAJOR EMPLOYERS IN VENTURA COUNTY 

Organization Location Employees Industry

 US Navy Missile Base Pt. Mugu 11,800 Military 

 AMGEN Thousand Oaks 10,000 Manufacturing 

 County of Ventura Ventura 7,190 Government 

 Bank of America Simi Valley 5,700 Finance 

 Well Point Thousand Oaks 3,740 Finance 

 US Navy Sea Bee’s Port Hueneme 2,600 Military 

 Conejo School Dist. Thousand Oaks 2,450 Education 

 Vons Markets County Wide 2,400 Retail 

 Simi Valley Schools Simi Valley 2,370 Education 

 Baxter Bio Science Westlake Village 1,000 Medical 

 Farmers Insurance Simi Valley 1,000 Insurance 

 St. John's Med. Ctr. Oxnard 1,000 Medical 

 Premium Outlet Mall Camarillo 1,000 Retail 

 Calif. State Univ. Camarillo 2,000 Education 

Point Mugu is part of the Naval Air Warfare Center Weapons Division (NAWCWPNS), 

the Navy's full spectrum research, development, test evaluation, and in-service 

engineering center for weapons systems associated with air warfare (except for antisubmarine warfare systems), missiles and missile subsystems, aircraft weapons 

integration and assigned airborne electronic warfare systems. NAWCWPNS also 

maintains and operates the air, land, and sea Naval Western Test Range Complex 

(NWTRC). There are over 5,000 people employed or based at Pt. Mugu. 

Naval Construction Battalion Center Port Hueneme is the west coast homeport of the 

Navy’s Sea Bees. Port Hueneme, supports the training and mobilization requirements 

Small Community Air Service Development Program 20 

Ventura County-Oxnard Airport Proposal
for more than 2,600 active duty personnel. The CBC also operates a 1,600-acre 

(6.5 km2

) naval base. 

The 146th Airlift Wing (AW) of the California Air National Guard occupies 206 acres of 

fee-owned land adjacent to the Point Mugu Naval Air Station, an active duty Navy flying 

installation. The Channel Islands ANG Station is located 50 miles northwest of Los 

Angeles in Port Hueneme, California. The mission of the 146th AW is to provide global 

military airlift capability to a full spectrum of state and federal agencies. The unit 

currently flies the C-130 Hercules. The 146th AW occupies two administrative, nine 

industrial, and four services buildings totaling approximately 345,191 square feet with 

354 full-time personnel. A unit training drill is conducted once a month and results in a 

surge of up to a total of 1,204 personnel. 

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

excellent quality of life, strong business climate, great weather and wonderful beaches, 

Ventura County is an ideal match for air service. Air service by Horizon Air at Oxnard 

Airport to San Jose and beyond is projected to be successful and be supported by the 

whole community. 

 

Comparison of Air Service to Similar Market Areas

When the Oxnard Airport market area is compared to other markets that are near major 

metropolitan market areas in the west, it is clear that the Ventura County community is 

not getting the air service that its population and economic buying power can support. 

The average size of the eight markets listed below is 580,780 people. These metro 

markets average air service to ten cities. The average driving time to the closest major 

airport is 1.7 hours, well within the driving range from Oxnard Airport to either Burbank 

Airport or Los Angeles International Airport. 

COMPARISON OF AIR SERVICE TO SIMILAR MARKETS 

 Cities Nearest Driving 

Metro Area Population Served Airport Time

Ventura County 820,700 0 LAX 1.5 – 2.0 hrs. 

Colorado Springs 608,500 10 DEN 1.5 hrs. 

Monterey 420,200 5 SJC 1.5 hrs. 

Santa Barbara 413,800 9 LAX 2.0 hrs. 

Santa Rosa 476,500 4 SFO 1.5 hrs. 

Tucson 984,800 21 PHX 2.0 hrs. 

Average 580,800 10 1.7 hrs. 

Without knowing more, it is tempting to suggest that the Ventura County Airport does 

not have the frequent air service because of its proximity to the Burbank Airport and Los 

Angeles International Airport. The proximity to these airports is deceiving not only 

based on road mileage, but also in terms of travel time. They are quite far versus 

comparable situations. Some examples include the Eugene Airport which is close to 

the Portland International Airport; the Monterey Airport which is close to the San Jose 

Small Community Air Service Development Program 21 

Ventura County-Oxnard Airport Proposal
International Airport; the Santa Barbara Airport which is close to the Los Angeles 

International Airport and Burbank Airport; the Tucson Airport which is close to the 

Phoenix Airport. All of these airports support frequent air service with multiple airlines. 

Action Plan 

Plan Elements 

The goal of the Action Plan is to address issues associated with the proposed new air 

service that are critical to the long-term success of that service. In this regard, this 

action plan will address three areas for Ventura County/Oxnard Airport: (1) marketing, 

promotion, and support of new air service; (2) fee waivers by the Airport during the 

start-up phase; and (3) revenue guarantees for initial air service. 

Marketing Program 

We believe that the success of a grant program is a strong marketing and advertising 

program. For this project, we are allocating $100,000 to advertising, marketing, and 

public relations. We have also included an advance purchase ticket program with a 

goal of $250,000 

The target audience for outbound service will be the business traveler. The most 

effective way to contact this customer is by targeting: (1) the traveler; (2) the travel 

agent; (3) the corporate travel coordinator; and (4) the business associations. All of 

these targets can be approached utilizing the same advertising media - radio, 

newspaper, magazine, direct mail, internet and billboards. 

Advertising and Media Selection 

The market in the Ventura County Airport market area can best be reached by using 

local newspaper, local radio, billboards, direct mail, trade publications, and online 

advertising via the internet. Upon review of the local medium for the market, the 

following is recommended. 

ESTIMATED ADVERTISING EXPENDITURES FOR NEW AIR SERVICE

 Cash In Kind Total

 Advertising 

 Newspaper/Magazine $ 25,000 $25,000 

 Radio 20,000 20,000 

 Outdoor 10,000 20,000 30,000 

 Production 10,000 10,000 

 Internet/direct mail 5,000 10,000 15,000

 Total $50,000 $50,000 $100,000 

Small Community Air Service Development Program 22 

Ventura County-Oxnard Airport Proposal
Waiver of Airport Fees 

An additional support program for new Horizon air service will be the waiver of landing 

fees, terminal rents, and common area fees for the first year of operation by the airline. 

The total amount is estimated to be $90,000. 

CALCULATION OF FEES WAIVED FOR HORIZON 

Landing Fees ($1.15 x 64.5 lbs gtow x 730 flts.) $54,147 

 Terminal Rents ($1.37 sq. ft. x 120 sq. ft. x 12 mo) 1,973 

 Office Space ($1.10 sq. ft. x 110 sq. ft. x 12 mo) 1,452 

 Baggage Make Up ($ .55 sq. ft. x 420 sq. ft. x 12 mo) 2,772 

 Overnight Parking ($1.15 x 64.5 lbs.gtwo x 365) 27,073 

 Other incidental 2,580

 Total Fees Waived $90,000 

As stated in their letter of support for this application, the Mineta San Jose International 

Airport has a program in place that will allow them to waive airport fees for this new 

service for a period of one year. 

Advance Ticket Sales Program 

Another requested program by Horizon Air is the advance ticket sales program or travel 

bank. The initial local incentive being offered for the new air service is a commitment to 

sell $250,000 of tickets in advance. The Chamber of Commerce will develop a program 

with a local credit union or bank to escrow and manage the travel bank. The credit 

union or bank will accept deposits and issue debit cards that can be used for travel on 

Horizon Air. 

Revenue Guarantee for Horizon 

Horizon Air has told the Director of Airports for Ventura County that they will need an 

incentive program that includes a revenue guarantee to offset initial operating losses. 

Based on the analysis of our consultants, it is believed that a $570,000 revenue 

guarantee sufficient to support new air service. It is estimated that the two daily flights 

between Oxnard and San Jose will generate 85,000 annual passengers. Based on 

actual average fares for 2009 for both Burbank and LAX to San Jose, it is estimated that 

the average one-way fare will be $86 (after start up promotions). 

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

Load factors for Horizon are estimated to be 50% for the first month and increasing to 

70% in the peak travel months. It should be noted that the lowest load factor that 

Horizon Air experienced at Sonoma County Airport was in the start of the Las Vegas 

service and this load factor was 63%. It is also assumed that the average fares will be 

lower in the first two months as a motivator for air travel. The cost per flight was 

provided by management of Horizon Air for the Oxnard-San Jose market. 

Small Community Air Service Development Program 23 

Ventura County-Oxnard Airport Proposal
ESTIMATED REVENUE GUARANTEE TO COVER INTIAL OPERATING LOSSES 

FOR SERVICE BETWEEN OXNARD TO SAN JOSE 

 Monthly Est. Avg. Cost/ Profit 

Month Flights Seats L.F. % Passengers Fare Revenue Flight Expense (Loss)

 April 120 9,120 50% 4,560 $76 $346,560 $4,400 $528,000 ($181,440) 

May 124 9,424 55% 5,184 $81 419,904 4,400 545,600 ($125,696) 

June 120 9,120 60% 5,472 $86 470,592 4,400 528,000 ($57,408) 

July 124 9,424 65% 6,124 $86 526,664 4,400 545,600 ($18,936) 

Aug. 124 9,424 70% 6,596 $86 567,256 4,400 545,600 $21,656 

Sept. 120 9,120 70% 6,384 $86 549,024 4,400 528,000 $21,024 

Oct. 124 9,424 65% 6,124 $86 526,664 4,400 545,600 ($18,936) 

Nov. 120 9,120 60% 5,472 $86 470,592 4,400 528,000 ($57,408) 

Dec. 124 9,424 70% 6,596 $86 567,256 4,400 545,600 $21,656 

Jan. 124 9,424 55% 5,184 $86 445,824 4,400 545,600 ($99,776) 

Feb. 112 8,512 60% 5,108 $86 439,288 4,400 492,800 ($53,512) 

March 124 9,424 65% 6,125 $86 526,750 4,400 545,600 ($18,850)

1st yr. total 1,460 110,960 68,929 $5,856,374 $6,424,000 ($567,626) 

Total Revenue Guarantee Needed $570,000 

Total Incentive Package 

Combining the Small Community Air Service Development Program grant and local 

participation, the Ventura County/Oxnard Airport will be able to offer a very complete 

incentive package for Horizon Air. 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 for Horizon Air will be $1,010,000. Total Federal participation 

requested is $520,000 with the community providing $490,000, almost half of the 

incentive package. The local community will contribute 48.5% of the total incentive 

package and 16 % of the total cash for the incentive package. 

SUMMARY OF INCENTIVE PACKAGE FOR NEW AIR SERVICE 

 Federal Local Total

 Flight Guarantee $520,000 50,000 $570,000 

 Marketing and Advertising 100,000 100,000 

 Airport Fees Waived 90,000 90,000 

 Pre-purchased tickets 250,000 250,000

 Total $520,000 $490,000 $1,010,000 

Economic Stimulus 

A study developed for the Oxnard Airport indicated that the total economic benefits from 

the Airport totaled $80.2 million in 2008. Of this total air visitors spent $7.3 million in the 

airport service area. With the new Horizon Air service, there will be an upgrade in the 

aircraft type, lower airfares, and beyond service to key markets. The Oxnard Airport 

should see passenger levels greater than those in 2000 and 2001. It is estimated that 

Small Community Air Service Development Program 24 

Ventura County-Oxnard Airport Proposal
the new Horizon Air flights will generate over $12 million in visitor spending in the 

Ventura County area plus create numerous new jobs. 

Performance Measurement and Schedule 

Measurement 

The performance of the proposed air service development project will be tracked on a 

monthly and quarterly basis. This tracking will measure the number of passengers 

carried by Horizon and the average fare for each market. The Airport will monitor the 

number of flights being provided, the aircraft type, and the amount of revenue guarantee 

paid out each month. This measurement of performance will be done by meeting with 

Horizon, reviewing advance schedules in the Official Airline Guide, and reviewing 

advance tariffs on file with the Airline Tariff Publishers. 

Ninety days prior to the start of new air service to San Jose, the Airport will institute the 

marketing and advertising program. Daily and monthly load factors will be tracked to 

see the impact of the marketing program. If the passengers do not initially respond to 

the new air service, then the community will implement an additional marketing and 

advertising program to spike the market. 

Schedule 

It is the assumption of Ventura County/Oxnard Airport that the following schedule would 

be employed should the grant application be successful. Ventura County/Oxnard 

Airport commits to the completion of the grant, if awarded, within two years of 

acceptance and will diligently pursue an earlier closeout. The following timeline is 

proposed: 

PROPOSED TIMELINE 

 

Item Estimated Date 

 Execution of Grant Agreements December 2010 

 Consultant Selection February 2011 

 Meet with Ventura County Parties March 2011 

 Start Negotiations with Horizon Air April 2011 

 Start Air Service On or before April 2012 

Community Support 

The County and the Airport have created a public/private partnership to aid in our 

recruitment efforts. This public/private partnership is composed of business leaders, 

educational institutions, association representatives, medical representatives, 

Small Community Air Service Development Program 25 

Ventura County-Oxnard Airport Proposal
community organizations and residents. The leading organizations of the Partnership 

are as follows: 

 County of Ventura Department of Airports 

 Oxnard Airport 

 City of Oxnard 

 Economic Development Corporation of Oxnard 

 Oxnard Convention and Visitors Bureau 

 Oxnard Chamber of Commerce 

 City of Ventura 

 Ventura Visitors and Convention Bureau 

 Ventura Chamber of Commerce 

 United States Navy 

 Gold Coast Broadcasting 

 KCLU Radio 

DOT Requirements 

Financial Controls 

As the sponsor, Ventura County Department of Airports will be the responsible part for 

all fiscal matters and DOT reporting requirements. As a public entity the DOT can be 

assured that proper financial controls are in place to guarantee that this grant will be 

used in accordance with the agreement between the County and the DOT. Ventura 

County Department of Airports understands that the grant is a reimbursable grant and 

the County will be responsible for program expenditures and will submit invoices and 

contracts to the DOT for approval and reimbursement. 

Return on Investment 

Ventura County/Oxnard Airport has developed a cost effective and achievable strategy 

to recruit new air service that will fill the void in air service at Oxnard Airport. This 

proposal utilizes proven methods and techniques for forecasting and developing a 

successful marketing program. 

The Ventura County/Oxnard Airport is requesting $520,000 from the DOT and will 

contribute another $100,000 in cash. For this investment, the Oxnard Airport will again 

have air service with bigger aircraft going to a more popular market at lower fares. It is 

estimated that Horizon will achieve an operating profit of $988,000 in the second year of 

operation. Oxnard Airport will get $900,000 in fees from the airline and it is estimated 

that the community will attract over $12 million in visitor spending as a direct impact 

from the new air service. 

Small Community Air Service Development Program 26 

Ventura County-Oxnard Airport Proposal
DOT Exit Strategy 

The sponsor has developed this proposal as a one-time grant. The advertising and 

marketing will commence prior to the start of air service and continue for the first six 

months of air service. The revenue guarantee will be in place for the first 12 months. 

Based on the projections contained herein, Horizon will achieve a profit for the peak 

months in the first year and should experience a very profitable second year. This is 

very similar to the experience at Sonoma County Airport. 

If Horizon Air does not meet the forecast number and the losses are greater than 

expected, the community can either come up with additional funds on its own to 

supplement the revenue guarantee program or the airline may decide to terminate 

service. If this occurs, Ventura County/Oxnard Airport will go to the Alternative Plan. 

Alternate Plan 

If Horizon Air were to, due to unforeseen circumstances, not start air service or 

terminate air service at Oxnard Airport, then Ventura County/Oxnard Airport will meet 

again with Sky West regarding service to San Francisco, US Airways regarding service 

to Phoenix, Allegiant Air regarding service to Las Vegas and Phoenix, and Delta Air 

Lines regarding service to Salt Lake City. All four airlines expressed interest in service 

at Oxnard Airport but were not ready to make a commitment at this time. 

 

Assurances 

The County of Ventura and the Oxnard 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 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 provide 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. 

Small Community Air Service Development Program 27 

Ventura County-Oxnard Airport Proposal
Small Community Air Service Development Program 28 

Ventura County-Oxnard Airport Proposal

• 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 the 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 kept 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 reports as required pertaining to the 

project and activities. 

Air Service Survey 

The County of Ventura, with the help of the Oxnard, Camarillo, and Ventura Chambers 

of Commerce, conducted a survey of the business community to determine the support 

for the Horizon air service and use of the Oxnard airport, and other destinations of 

interest. The results of the survey were favorable. The survey confirmed the leakage 

problem with 92% of the respondents stating they use LAX or BUR instead of Oxnard, 

but 58% have used Oxnard at one time or another. Seventy percent of the respondents 

stated they travel to the San Francisco Bay area and 77% stated they would use the 

Horizon service from Oxnard to San Jose if it were implemented. And at least 11% 

of the 414 respondents stated they would participate in the Travel Bank program and it 

is anticipated that number would increase should a grant be awarded for this proposed 

program. Several other destinations were surveyed and all were ranked similar to San 

Jose which would suggest that if the Oxnard – San Jose service were implemented 

there would be demand for growth into other markets to serve additional destinations.