1

Proposal Under the 

Small Community Air Service 

Development Program 

DOCKET DOT-OST-2014-0133 

Submitted By: 

City of Shreveport 

Shreveport Airport Authority 

DUNS #966608952 

Fourth Congressional District 

July 2014
2

Prepared By: 

Shreveport Airport Authority 

5103 Hollywood Avenue, Suite 300 

Shreveport, LA 71109 

Contact: 

Bryant L. Francis, C.M., Director of Airports 

Email: bryant.francis@shreveportla.gov 

Mark Crawford, Marketing and Public Relations 

Manager 

Email: mark.crawford@shreveportla.gov

NOTE: 

This document is prepared for the use of the United States of America 

Department of Transportation and the Shreveport Airport Authority for 

the Small Community Air Service Development Program. The data 

contained herein was obtained from sources deemed reliable as of 

July 30, 2014.
3

Table of Contents 

 Page 

1. Appendix B 4 

2. Executive Summary 9 

-Proposal Objective 9 

-Current Air Service Deficiencies 9 

-A Viable Solution 10 

-Proven Success with New Approach & Purpose 11 

 -Shreveport: Economic Growth Requires Improved Access 12 

 -Growing Population Base 12 

-Port of Shreveport-Bossier 13 

 -Elio Motors 13 

 -Computer Science Corporation 14 

-Barksdale Air Force Base 14 

 -Local Medical Industry 14 

4. Economic Outlook 15 

5. Service Decline at Shreveport Regional 16 

-Passenger Activity 16 

-Passenger Leakage 17 

-Shreveport’s Largest True Markets 18 

 -Airlines and Nonstop Markets 20 

 -Route Maps 21 

 -Current Needs 22 

-Strategic Plan to Meet Needs of SCASDP 23 

-Program Assurances 24 

6. Conclusion 24 
4

APPLICATION UNDER 

SMALL COMMUNITY AIR SERVICE DEVELOPMENT PROGRAM 

DOCKET DOT-OST-2014-0133 

SUMMARY INFORMATION1

All applicants must submit this Summary Information schedule, as the application coversheet, a completed 

standard form SF424 and the full application proposal on www.grants.gov. 

For your preparation convenience, this Summary Information schedule is located at 

http://www.dot.gov/policy/aviation-policy/small-community-rural-air-service/SCASDP

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: Shreveport Airport Authority 

Name of Signatory Party for Legal Sponsor: Shreveport Airport Authority 

DUNS Number: 9666089520000 

EIN/Tax ID: 72-6001326 

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

1. SHREVEPORT AIRPORT AUTHORITY

2.____________________________________________________ 

3.____________________________________________________ 

4.____________________________________________________ 

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. Shreveport Regional Airport-SHV 2. 

3. 4. 

DOES THE AIRPORT SEEKING SERVICE HOLD AN AIRPORT OPERATING CERTIFICATE ISSUED BY 

THE FEDERAL AVIATION ADMINISTRATION UNDER 14 CFR PART 139? (IF “NO”, PLEASE 

EXPLAIN WHETHER THE AIRPORT INTENDS TO APPLY FOR A CERTIFICATE OR WHETHER AN 

APPLICATION UNDER PART 139 IS PENDING.) 

Yes No (explain)

_____________________________________________________________________________________________

_______________________________________________________________ 

 

1 Note that the Summary Information does not count against the 20-page limit of the SCASDP application. 
5

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

A CONSORTIUM, TO EACH PARTICIPATING COMMUNITY.

1. LA-04 2. 

3. 4. 

E. APPLICANT INFORMATION: (CHECK ALL THAT APPLY) 

Not a Consortium Interstate Consortium Intrastate Consortium 

Community currently receives subsidized Essential Air Service 

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

Service Development Program Grant 

If previous recipient: Provide year of grant(s): 2003, 2009 ; and, the text of the grant 

agreement section(s) setting forth the scope of the grant project: 

2003--Attract Northwest Airlink to provide new nonstop regional jet service between Shreveport 

and Detroit or other airlines for routes to destinations not now available from Shreveport. 

2009—Provide money for marketing and promotion of upgraded service (on aircraft capable of 

seating more than 100 passengers per flight) on selected (peak) American Eagle flights to 

Dallas/Fort Worth (DFW). 

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

PUBLIC PRIVATE 

1. Shreveport Regional Airport 1. Ark-La-Tex Regional Air Service Alliance 

2. 2. TownSquare Media 

3. 3. The Forum News 

4. 4. Lamar Outdoor 

5. 5. 

G. PROJECT PROPOSAL:

 1. GRANT GOALS: (CHECK ALL THAT APPLY) 

 Launch New Carrier Secure Additional Service Upgrade Aircraft 

 First Service New Route Service Restoration 

 Regional Service Surface Transportation Professional Services2

Other (explain below)

 

2 “Professional Services” involve a community contracting with a firm to produce a product such as a marketing 

plan, study, air carrier proposal, etc. 
6

2. FINANCIAL TOOLS TO BE USED: (CHECK ALL THAT APPLY) 

Marketing (including Advertising): promotion of the air service to the public 

Start-up Cost Offset: offsetting expenses to assist an air service provider in setting up a 

new station and starting new service (for example, ticket counter reconfiguration) 

Revenue Guarantee: an agreement with an air service provider setting forth a minimum 

guaranteed profit margin, a portion of which is eligible for reimbursement by the 

community 

Recruitment of Air Carrier: air service development activities to recruit new air service, 

including expenses for airport marketers to meet with air service providers to make the 

case for new air service 

Fee Waivers: waiver of airport fees, such as landing fees, to encourage new air service; 

counted as in-kind contributions only 

Ground Handling Fee: reimbursement of expenses for passenger, cabin, and ramp (below 

wing) services provided by third party ground handlers 

Travel Bank: travel pledges, or deposited monetary funds, from participating parties for 

the purchase of air travel on an air carrier, with defined procedures for the subsequent use 

of the pledges or the deposited funds; counted as in-kind contributions only 

Other (explain below) 

______________________________________________________________________________ 

______________________________________________________________________________ 

H. EXISTING LANDING AIDS AT LOCAL AIRPORT: 

Full ILS Outer/Middle Marker Published Instrument Approach 

Localizer Other -- GPS Approach 
7

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

LINE DESCRIPTION SUB TOTAL TOTAL AMOUNT

1 Federal amount requested 500,000 

2 State cash financial contribution 

Local cash financial contribution 

 3a Airport cash funds 200,000 

 3b Non-airport cash funds

3 Total local cash funds (3a + 3b) 200,000 

4 TOTAL CASH FUNDING (1+2+3) 700,000 

In-Kind contribution 

 5a Airport In-Kind contribution**

 5b Other In-Kind contribution** 50,000 

5 TOTAL IN-KIND CONTRIBUTION 

(5a + 5b) 

 50,000 

6 TOTAL PROJECT COST (4+5) 750,000 

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. 

TownSquare Media - $25,000 in radio advertising 

The Forum News - $15,000 in print advertising 

Lamar Outdoor - $10,000 in billboard advertising 

K. IS THIS APPLICATION SUBJECT TO REVIEW BY AN AFFECTED 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 LEAD APPLICANT OR ANY CO-APPLICANTS DELINQUENT ON ANY FEDERAL DEBT?

(IF “YES”, PROVIDE EXPLANATION) 

No Yes (explain) 
8

_____________________________________________________________________________________________

_______________________________________________________________ 

APPLICATION CHECKLIST 

INCLUDED? ITEM

For Immediate Action

Y Determine Eligibility

Y New Grants.gov users must register with www.grants.gov.

Existing Grants.gov users must verify existing www.grants.gov account has not expired 

and the Authorized Organization Representative (AOR) is current.

For Submission by 5:00 PM EDT on July 31, 2014

N Communities with active SCASDP grants: notify DOT/X50 of intent to terminate 

existing grant in order to be eligible for selection in FY2014 

Y Complete Application for Federal Domestic Assistance (SF424) via www.grants.gov

Y Summary Information schedule complete and used as cover sheet (see Appendix B)

Y Application of up to 20 one-sided pages (excluding any letters from the 

community or an air carrier showing support for the application), to include:

Y  A description of the community’s air service needs or deficiencies.

Y  A strategic plan for meeting those needs under the Small Community Program.

Y  A detailed description of the funding necessary for implementation of the 

community's project.

Y  An explanation of how the proposed project differs from any previous projects 

for which the community received SCASDP funds (if applicable).

Y  Designation of a legal sponsor responsible for administering the program.

Y  A motion for confidential treatment (if applicable) – see Appendix D below.
9

Executive Summary 

Proposal Objective

The Shreveport Airport Authority (SAA), operator of Shreveport Regional Airport (SHV), 

respectfully submits its application for a grant under the Small Community Air Service 

Development Program (SCASD) in the amount of $500,000. This grant funding would be 

matched by $250,000 in local and airport funding, waived airport fees, and advertising via local 

media outlets, making for a total grant of $750,000. 

This application is based on an analysis of current air service, utilization of that service, and 

opportunities for growing air service at SHV. The City of Shreveport and surrounding 

communities suffer from deficiencies in Shreveport Regional Airport’s current service pattern. 

There is a need to expand air service to the Upper Midwest and East Coast and with grant 

funding as proposed here, efforts to enhance nonstop air service options may be realized. 

The modest grant funding request is entirely consistent with the purpose of the Grant Program 

and, when combined with local funds, will enable Shreveport Regional Airport to serve as the 

true regional airport that it once was and can become again. Any success garnered from the 

grant funding made possible through this program will have a significant and positive local 

economic impact and improve access to the national air transportation system. 

Current Air Service Deficiencies

Airline scheduling and fleet changes due to the challenges faced by airlines struggling with high 

oil costs has reduced air service levels at SHV. The combination of a struggling national 

economy and higher airline fuel costs have resulted in insufficient capacity and price competition 

for travelers to and from the area the airport serves. Specifically, SHV and the community have 

suffered from the following changes in airline service: 

 American Airlines reduced capacity at SHV beginning in January 2012 by switching 

from ATR aircraft with 66 seats to all regional jet service. American primarily flies E135 

and E140 aircraft with 37 and 44 seats, respectively, with only a few daily flights on the 

50-seat E145 regional jets.

 Delta Air Lines discontinued nonstop service to its Memphis hub at the end of August 

2013, which reduced nonstop markets from seven to six. Now, there are no hub options 

for travelers destined for or originating from the Upper Midwest and East Coast. 

 Due to airline mergers & acquisitions, SHV has lost its connection to hubs such as 

Detroit, Cincinnati, and now Memphis. 

The net result of these service reductions is that the Shreveport community, which is highly 

dependent on air service access in support of both its burgeoning leisure and business economic 

bases, is now at risk of seeing growth suppressed due to lack of air service access. 
10

A Viable Solution

If awarded the grant, the Shreveport Airport Authority’s goal is to work with existing and 

potential new entrant carriers to attract and recruit new Upper Midwest or East Coast nonstop 

service. The Airport and community have identified several route options for this potential new 

service: 

 Chicago – Connect SHV directly to Chicago, which would greatly increase the number 

of cities which can be reached with one stop from SHV. This service would most likely 

be operated by American or United, both of which have long-established major hubs at 

Chicago O’Hare, and have extensive international service through one of the country’s 

primary air gateways. However, ultra low-cost operators Spirit and Frontier also serve 

the Chicago market and may be candidates. 

 Washington D.C. – Recruit new air service to Washington Dulles or Washington 

National. Dulles is a large East Coast hub airport for United and new nonstop service 

from Shreveport would open up enormous new connectivity for the community, 

especially given the number of military personnel traveling from Barksdale Air Force 

Base to Washington D.C. American now offers more capacity at Washington National 

than any other airline, and there is the potential to both serve local O&D passengers as 

well as those accessing connect markets served from National. 

 Charlotte – Recruit new hub air service to Charlotte. Charlotte is now a major American 

hub, following its recent merger with US Airways. Nonstop service from Shreveport 

would dramatically improve air service options to/from the East Coast, as Delta’s 

existing Atlanta (ATL) service already operates at very high load factors coupled with 

strong yields, which demonstrates the potential success for added capacity to another 

East Coast hub without jeopardizing the success of ATL service. 

 Minneapolis – Recruit new hub service to Minneapolis/St. Paul (MSP). Delta, which 

operates a major hub at MSP, would be the most likely candidate to operate this service, 

as it would offer a multitude of connect opportunities for the Shreveport traveler and 

complement Delta’s existing service to Atlanta, serving an entirely different region and 

many markets which are not offered from Atlanta. 

 Detroit -- Recruit new hub service to Detroit (DTW), which was previously operated by 

Northwest Airlines. Following its merger with Northwest, Delta has continued to 

operate a major hub in Detroit, and offers service to a number of unique markets which 

are not served directly by its Atlanta hub. Currently, Delta is the No. 1 carrier at SHV as 

determined by total annual passengers. However, all of its service operates via ATL. 

 While Shreveport Regional Airport does have leakage to surrounding airports, which was 

most recently evaluated in December 2013 by Sixel Consulting Group, it is poised to 

grow significantly. This is due to future regionalization and the superior geographic 

location of the airport itself, in addition to a strengthening local and diversifying 

economy. With airlines accelerating the phase-out of smaller regional jet aircraft of 50-

seats or less, small markets will increasingly have to support larger aircraft to maintain 

service. Those which cannot are likely to lose some or all of the service currently 

operating. Several communities in the Pacific Northwest are prime examples of this 

potential, as they lost some or all service with Horizon Air as the airline transitioned 

from 37-seat turboprop to 70+ seat turboprop aircraft several years ago. Being in the 

geographic center of a region with five (5) other non-hub airports (Texarkana, 
11

Longview, Tyler, Monroe, Alexandria) with scheduled service within a 120-mile radius 

of SHV, Shreveport is by far the busiest and will be able to support larger planes and 

additional flights. The infrastructure is already in place and the terminal facility can 

accommodate significantly more passengers, flights, and ground transportation activity. 

With superior interstate systems connecting SHV to the region, and with enhanced 

service and increased seat capacity, the potential exists to far surpass existing passenger 

levels utilizing our terminal landside & airside facilities. 

Proven Success with New Approach & Purpose 

The approach the SAA will employ will be similar to past successful SCASD grant proposals. 

We propose to combine Grant funds through the Small Community Air Service Development 

Grant Program with airport and locally-provided funds to implement an incentive package that 

can be presented to existing carriers in the market, as well as those not yet serving the market. 

The Shreveport Airport Authority used a $500,000 Grant previously awarded under the Program 

to support the inauguration of Northwest Airlink CRJ-200 service to Detroit in May 2004. This 

service was highly successful. Northwest was so pleased with its overall performance in 

Shreveport that it increased capacity on its Memphis service from CRJ-200 aircraft to ARJ-85 

aircraft in May 2005 until January 2006 when the aircraft were taken out of service due to high 

operational costs. The service ended in 2008 amid the deepening nationwide recession, which 

included airlines eliminating many routes which overflew other hubs. In this case, Detroit was 

discontinued while Memphis service was retained. 

Additionally, the Shreveport Airport Authority was awarded a $100,000 grant in 2009 for 

marketing of larger jet service on American Airlines to Dallas. Unfortunately, after three years of 

working with American to use the grant, the airline was unable to schedule the required type of 

aircraft in our market. Therefore, implementation of the grant award funds was not successful 

and the grant expired at the end of 2012. 

The Shreveport Airport Authority was able to successfully use an airport incentive package to 

recruit nonstop service to Denver with United Airlines in 2012, the culmination of a 5-year 

effort. Today, this service is performing incredibly well, with high load factors and strong 

yields. It is an excellent example of how the SHV market responds to enhanced service to a new 

hub which offers many unique connect opportunities. If successful in our efforts to secure a 

2014 SCASD Grant, a similar approach would be used to recruit service to one of the five cities 

mentioned in the previous section. 

In order to initiate Denver service, SHV partnered with the Ark-La-Tex Regional Air Service 

Alliance (RASA), a 501(c)4 organization. RASA is a non-profit comprised of political and 

business leaders serving governments and organizations in Northwest Louisiana. RASA’s Board 

of Directors represents the organizations that provide funding to it. The organization and its 

funding sources are completely separate from the Shreveport Airport Authority and it receives no 

funding from the airport. RASA provided approximately $225,000 in funding, through local 

donations, to United Airlines for risk abatement related to the launch of Denver service.
12

Shreveport: Economic Growth Requires Improved Access

Shreveport and Bossier City are located in the Northwest corner of Louisiana, and comprise the 

major commercial center for a tri-state area that encompasses portions of Louisiana, Texas, and 

Arkansas. This area is commonly referred to as the Ark-La-Tex Region. 

Growing Population Base

The Shreveport/Bossier City community’s metropolitan statistical area (MSA) accounts for a 

population base of approximately 470,000 residents (60-minute drive time), an increase of over 

30,000 in the last decade. Shreveport Regional Airport is the air gateway to a total population of 

more than 800,000 within 90-minutes and 1.9 million are accessible by a 120-minute drive or 

less. 

The region the airport serves continues to enjoy a thriving economy due to the stability of several 

key employers which are increasingly conducting business on a national and global basis, and 

the ongoing impact of the oil & energy industry. 
13

Port of Shreveport-Bossier

An example of the need for additional Upper Midwest or East Coast connectivity is the Port of 

Shreveport-Bossier, which is also expanding. 

In fall 2012, Germany-based Benteler Steel/Tube Co. announced a $900-million, two-phase 

facility that will include both a seamless steel tube mill and a steel mill. The project occupies 330 

acres at The Port of Caddo-Bossier, where Benteler is creating 675 new direct jobs paying an 

average annual salary of $50,000, plus benefits. The project will have a huge impact on 

Northwest Louisiana. 

It is estimated that the large-scale two-phase project will lead to the creation of approximately 

1,540 new indirect jobs, resulting in a total of more than 2,200 new, permanent jobs in the area. 

During the term of Benteler's contract with the state, which runs through 2035, estimates indicate 

that the project will result in total new earnings of $2.7 billion (approximately $150 million per 

year at full employment) in Northwest Louisiana and a total, cumulative economic impact of 

$16.2 billion in the region. With corporate offices in Germany, company executives and facility 

management and support staff will be traveling between Shreveport and Germany on a routine 

basis. New East Coast or Upper Midwest service would offer additional single-connection 

options when making the regular trip between SHV and Benteler’s home office. 

In 2012, Ronpak, a leading manufacturer of custom printed paper bags, packages and food wraps 

based in New Jersey, opened its new 155,000-square-foot manufacturing facility at the Port of 

Caddo-Bossier. The company announced in July of 2011 its intent to build a $16.8 million 

manufacturing facility, which now serves as the company's new corporate headquarters. By 

2018, Ronpak will employ 275 people in Shreveport with an average annual salary of more than 

$40,500, plus benefits. Once the facility is fully open, those direct jobs also will result in 783 

new indirect jobs, leading to a total of more than 1,000 new jobs for North Louisiana. Ronpak 

will maintain a manufacturing facility in New Jersey and company executives will be traveling 

between Shreveport and New Jersey. Again, service to a new Upper Midwest or East Coast hub 

would create additional connectivity at SHV for this growing U.S. business. 

Elio Motors

Elio Motors will occupy one-third of the 

former General Motors plant’s three 

million square foot site and will produce 

three-wheeled vehicles capable of 

attaining over 80 highway miles per 

gallon and over 60 MPG in the city. The 

company says it expects to begin 

commercial vehicle production in mid2015, with significant hiring at the 

Shreveport facility to begin by the 

second quarter of 2015 and full 

employment to be reached in late 2016. 

Elio is expected to employ 1,500 people when it reaches full production. The two-seat vehicle 
14

averages 65 miles per gallon of gas and will sell for $6,800. Suppliers and other manufacturing 

or distribution companies may occupy all or a portion of the remaining two million square feet 

and represent the potential of hundreds of additional jobs fueling the employment base once Elio 

Motors is in vehicle production mode. 

Computer Science Corporation

Computer Science Corporation (CSC) announced in February 2014 it will establish a 116,000 

square-foot, "next generation technology center" that will bring 800 new direct jobs by 2017 

with an average salary of $50,000 plus benefits, and another 805 indirect jobs for a total of more 

than 1,600 new jobs in northwest Louisiana. 

According to Louisiana Economic Development (LED), CSC will become an anchor tenant of a 

3,000-acre research park being developed by the Cyber Innovation Center, a non-profit research 

corporation, located in Bossier City, LA. The site was selected among a field of 133 potential 

locations nationwide. CSC, based in the Washington D.C. area, will have a need for improved 

air access to its home office as well as overall enhanced connectivity for its workforce, as its 

business is global with divisions and projects located worldwide. 

Barksdale Air Force Base

Further growth is occurring at Barksdale Air Force Base in Bossier City. The base employs 

approximately 10,000 area residents directly and is home to most of the nation’s B-52 strategic 

bomber fleet. Military personnel from Barksdale are deployed throughout the world and often 

utilize scheduled commercial air service provided at SHV. With many of them traveling 

internationally, additional hub connections to and from Shreveport are vital. Further, Global 

Strike Command is based in Bossier City and many staff members travel weekly or monthly to 

Washington D.C. Adding an Upper Midwest or East Coast hub would allow for better 

connectivity to the Nation’s Capital. 

Local Medical Industry

Greater Shreveport has fast become a regional hub for health care and a nationally recognized 

medical community and a growing biomedical industry with the Biomedical Research Institute. 

More than 13,000 people are employed in the medical industry in Northwest Louisiana. A 

consortium of providers and researchers from the renowned University Health Level 1 Trauma 

Center, the LSU Medical School, Overton Brooks VA Medical Center, Willis-Knighton Health 

System, the CHRISTUS Schumpert Health System, and the Shriner’s Hospital are working to 

meet the medical needs of tomorrow and to keep the community at the forefront of health care 

advances. The health care industry in Shreveport will continue to expand as outlying areas 

relinquish more services which cannot be justified due to increasing costs.
15

Economic Outlook 

The economic outlook for Shreveport is one of growth from many directions. The 

planned I-49 extension from Shreveport to Texarkana, Arkansas, is nearing completion 

and will create major traffic flow through Northwest Louisiana, with new sections 

already open. I-69 is expected to cross through Northwest Louisiana on its way from 

Memphis to Houston, also opening up the region to more traffic flow and improved road 

accessibility. 

National retailers continue to negotiate for development space in Shreveport, as a result 

of shopping patterns that bring regional consumers from as much as two hours’ drive 

time. National grocer Whole Foods recently announced its intention to open a store in 

Shreveport in 2015. 

The Shreveport-Bossier City economy is becoming even more regional as interstate 

systems expand, retail trade options expand, and healthcare services expand, not to 

mention tourism opportunities such as gaming available at the area’s seven casinos, and 

horse racing at Louisiana Downs, along with the expansive Shreveport Convention 

Center and adjoining Hilton Hotel. 

This growth in infrastructure now must be matched by expansion in air service access. 

Unfortunately, due to current and foreseen airline strategies, the majority of this growth 

will not come without offering incentives, as there are other expansion points where 

growth is long-established and highly visible to airline planners. The Shreveport Airport 

Authority has repeatedly found that airlines generally require incentives and new service 

marketing support to minimize the financial risks associated with the initial launch of a 

new route. Airline interest exists in expanding service at SHV, but it will likely require 

risk sharing in some form. 
16

Service Declines at Shreveport Regional Airport 

Shreveport Regional Airport is classified as a Non-Hub airport by the FAA for calendar 

year 2014. Due to airline industry related shifts, enplanements have varied greatly in any 

given year since 1990. These levels have ranged from 250,524 to nearly 400,000. The 

airport is currently served by four airlines operating primarily regional jet aircraft. In July 

2014, the airport had 21 peak daily departures to four hub airports and two leisure 

destinations. This compares to 41 daily departures just prior to the September 11, 2001 

terrorist attacks. July 2014 total seat capacity is down nearly 5% year-over-year. 

Year Total Passengers Variance 

2004 576,450 5.5% 

2005 623,430 8.1% 

2006 597,600 -4.1% 

2007 584,710 -2.2% 

2008 529,840 -9.4% 

2009 467,040 -11.9% 

2010 460,160 -1.5% 

2011 507,040 10.2% 

2012 531,980 4.9% 

2013 553,431 4% 

Source: Sixel Consulting Group 

This indicates a better utilization of reduced capacity, which is necessary in today’s 

economic environment, and with fares which have risen sharply. With more capacity 

coupled with airfare more competitive to those offered at surrounding airports, SHV’s 

passenger traffic could grow significantly. 

Passenger Activity

In recent years, as indicated by the table showing historical passenger activity, revenue 

passenger traffic has been on the increase. Through June, 2014, total passenger traffic 

has increased by 8.6%, or roughly 24,000 more passengers than during the same period in 

2013. This strong surge in traffic comes as seat capacity continues a steady decline. 

Monthly load factors have surpassed 90% more than once this year. This leads to the 

distinct possibility that SHV’s leakage rate is, in fact, increasing due to such high load 

factors through a combination of rising passenger levels and declining seat availability. 

The following table depicts the projected total seats by carrier in 2013 vs 2014, and an 

overall expected decline of 4.5% year-over-year. 

Calendar Year Actual 2013 vs. Calendar Year 2014 Projected Outbound Seats by Carrier 

2013 Carrier Total 2014 Carrier Total 2013 vs 2014 Carrier % Change 

 AA 134,884 AA 123,360 AA -8.5

 DL 133,700 DL 126,815 DL -5.1

 G4 29,880 G4 26,228 G4 -12.2

 UA 88,940 UA 93,413 UA 5

 

2013 

Total 387,404 

2014 

Total 369,816 Total -4.5
17

If current trends continue, SHV will serve more than 600,000 total passengers in 2014, 

with more than 300,000 enplanements, a level which has not been realized since 2006. In 

2006, however, the nonstop markets served and seats available were much greater than in 

2014. Without additional seat capacity, the market will become stagnant, forcing 

passengers who would have selected SHV to choose another surrounding airport simply 

because seats were not available and/or the limited remaining capacity was priced at an 

unattractive fare level. The next section analyzes this trend in greater detail, and offers a 

compelling look at Shreveport’s true air travel market size. 

Passenger Leakage

Given the relatively long drive time, Dallas airports capture a surprisingly large share of 

traffic generated in Shreveport’s catchment area. 

In the 12-month period ending in June 2013, there were approximately 1,560 passengers 

per day each way (PDEW) for the Shreveport market. Of those, 841.4 PDEW leaked to 

other airports, including 801.7 domestic PDEW and 39.8 international PDEW. This 

means only 718.6 PDEW actually flew from Shreveport Regional Airport, which 

includes 661.4 domestic and 57.3 international passengers. Nearly 55% of the true 

Shreveport air travel market is leaked to other airports as far away as the Dallas/Ft. Worth 

Metroplex, Houston, and New Orleans. Just 46% of the true air travel market is retained, 

based on this in-depth analysis completed by Sixel Consulting Group in December, 2013. 

More than 1/3 of the leakage is to Dallas/Ft.Worth & Dallas Love Field, due to the 

plethora of nonstop flights offered and heavy competition at those airports which serve a 

metropolitan area of more than seven million. This is mentioned merely to state that, in 

efforts to increase the retention rate at SHV, it is highly unlikely that any level of success 

will jeopardize the air service at these airports where the lion’s share of local leaked 

traffic is currently traveling into and out of. 
18

Shreveport's Largest True Markets

All five cities specified in this application for consideration of nonstop service are 

included in the following table of the Top 30 Largest True Markets. Of particular note is 

Denver, a market which had no nonstop service until August 28, 2012, which has become 

the #2 largest true market at Shreveport. Certainly, the retention levels have increased 

due to nonstop service being implemented, though the leakage rate in this market remains 

high, indicating an opportunity for additional seats. The Washington D.C. region is #7 

and with approximately 45% leakage, Chicago is #8 and with approximately 59% 

leakage, Detroit is #16 and with approximately 62% leakage, Minneapolis/St. Paul is #20 

and with approximately 63% leakage, and Charlotte is #26 and with approximately 62% 

leakage. 
19

9 4

8 7

4 11

8 8

6 10

7 11

9 9

17 1

9 9

10 9

7 12

3 17

9 13

9 14

9 15

5 27

13 20

16 19

15 20

6 30

4 32

17 24

23 20

29 24

33 26

37 22

8 57

28 39

21 66

69 23

0 10 20 30 40 50 60 70 80 90 100

LAS - 1

DEN - 2

LAX/SNA/ONT/BUR/LGB - 3

SAT - 4

MCO/SFB - 5

ATL - 6

DCA/IAD/BWI - 7

LGA/JFK/EWR - 8

ORD/MDW - 9

MAF - 10

MCI - 11

IAH/HOU - 12

SFO/OAK/SJC - 13

MIA/FLL/PBI - 14

STL - 15

DTW - 16

SEA - 17

PHX/AZA - 18

OKC - 19

MSP - 20

BOS - 21

PIT - 22

DFW/DAL - 23

PHL - 24

SLC - 25

CLT - 26

TPA/PIE - 27

ABQ - 28

SAN - 29

BNA - 30

Retained at SHV

Leaked from SHV

Passengers per Day Each Way (PDEW) in the 30 Largest True Markets at Shreveport 

Year-End Second Quarter 2013 

Market Share by Carrier of Shreveport Area Traffic

Year-End Second Quarter 2013

American 36.1%

Delta 22.0%

United 16.2%

hwest/AirTran 

12.4%

Allegiant 4.9%

US Airways 2.5%Spirit 2.2% Frontier 1.4% Virgin America 0.6% JetBlue 0.2%Others 1.4%

Airline PDEW

American 563.9 

Delta 342.6 

United 252.9 

Southwest/AirTran 194.1 

Allegiant 77.0 

US Airways 38.6 

Spirit 35.0 

Frontier 22.0 

Virgin America 9.3 

JetBlue 2.6 

Others 22.0 

Total 1,560 
20

Airlines and Nonstop Markets

The airport is currently served by four airlines offering the following nonstop routes: 

Airline Destination Daily Frequency 

Allegiant Las Vegas 2 round trips/week yearround / 4 round trips 

seasonally 

Allegiant Orlando 2 round trips/week 

seasonally 

American Airlines Dallas/Ft. Worth 7 round trips 

Delta Air Lines Atlanta 7 round trips 

United Airlines Houston 5 round trips 

United Airlines Denver 1 round trip 

Daily TOTAL 21 roundtrips/day in 

peak summer season 

As indicated by this outline of service, there is a dearth of access to the Upper Midwest 

and East Coast. On August 28, 2012, United Airlines inaugurated nonstop service to 

Denver. This is proving to be a success story for the SHV market, as the service has 

consistently improved and the once-daily flight is near capacity on most days. Service to 

Denver had never been attempted from SHV. The decision by United to open up 

unparalleled access to the Mountain West, West Coast, and Western Canada via Denver 

can be used as an example for what new service to an Upper Midwest or East Coast hub 

would do in growing the local market and providing improved access to the national 

transportation system. 

The following two route maps demonstrate the shift in, and decline of, nonstop hub 

service from SHV. In 2007, there was nonstop service to Cincinnati, Chicago, and 

Detroit, none of which exist today. Upper Midwest and East Coast access was excellent 

in 2007, thanks to the service offered to these hubs, but is virtually nonexistent today. 
21

SHV Route Map 2007

SHV Route Map as of July 2014
22

Current Needs

Analysis of the Shreveport market provides the following conclusions: 

 Service Providers: Shreveport now has a limited number of airlines providing 

service. 

 Lack of Hub Connectivity to the Upper Midwest and East Coast: The 

discontinuation of Delta Air Lines service to its Memphis hub delivered further 

strain to our market with limited airline service to the Upper Midwest and East 

Coast and no hub connections to the east beyond Atlanta, which Delta already 

operates at a high frequency with a correspondingly high load factor and strong 

yield. 

 Need for Additional Seats: Shreveport Regional Airport has limited capacity 

with service primarily aboard 50-seat regional jets. Larger jets being flown into 

new or existing markets would open up more capacity for the Shreveport region’s 

residents and visitors. 

 Strong travel demand: the 8.6% year-to-date growth in passenger traffic far 

outpaces the national average. As local passenger demand continues to increase, 

with a corresponding decrease in seat capacity, the potential to limit the natural 

growth of the market becomes much more likely to occur, beginning in 2015. 

The Shreveport Airport Authority is requesting $500,000 as part of this proposal to 

participate in the 2014 Small Community Air Service Development Program. If awarded, 

this grant will be complemented by a $250,000 community match program to help 

secure, initiate and market improved Upper Midwest or East Coast air service. 

Given Shreveport’s previous success with air service development fund-raising with the 

Ark-La-Tex Regional Air Service Alliance (RASA) for the successful Denver service, 

SHV believes the 50 percent community match to the SCASD grant amount requested is 

easily achievable. 

In addition to the Grant funding allocation, the Shreveport parties will offer the following 

“soft” funding support for the Grant, if applicable. 

 Landing Fee/Marketing Program: The Airport Authority provides a marketing 

program based upon airline landing fees for a minimum period of six months. The 

landing fees are allocated to a marketing program to reimburse the airline for 

advertising expenses. The estimated amount of this fund varies, depending upon 

frequency of flights and the aircraft used for the route.

 Rental Abatement: Contingent upon Airport Authority approval, a new entrant 

airline beginning new service may be eligible for rental abatement for terminal 

space, holdroom gates and aircraft apron parking for a period of up to one year. 
23

Strategic Plan to Meet Needs of Small Community Air Service Development Program

If successful in the awarding of the Small Community Air Service Development Program 

Grant, the SAA will continue its ongoing negotiations with airlines to develop service to 

Chicago, Charlotte, Washington DC, Minneapolis/St. Paul, or Detroit. These hubs 

specifically mentioned are the primary targets, as they offer the greatest potential for 

improved access to the national transportation system, and all are among the list of Top 

30 True Shreveport Markets. 

With increased passenger activity, airlines are more likely to consider the market for an 

increase in capacity, whether through additional frequency and/or utilizing larger aircraft. 

Marketing, advertising, and promotion have generally been on the decline within the 

airline industry. Therefore, it is imperative for a small market such as SHV to increase 

these efforts on its own. Airlines generally do not have sufficient funding to advertise in 

the Shreveport market. With the assistance of this grant award in the form of an airline 

revenue guarantee, the airport will utilize a portion of its own advertising & promotion 

funds to positively affect awareness of the new service, which will contribute to increased 

usage, attract additional capacity, and hopefully realize a continued reduction in average 

air fare. 

As it pertains to new or enhanced air service, the Airport Authority’s goal is to enter into 

an agreement with an airline that will provide long-term service which is profitable to the 

airline and self-sustaining within several months after service start-up. The service will 

be beneficial to the community by providing new or enhanced connectivity through a hub 

airport not currently served nonstop. If the new service is marketed properly beginning 

soon after announcement through the first several months of operation, it has a better 

chance of success. 

The target audience for this new service will be similar to the existing customer now 

utilizing Shreveport Regional Airport. An estimated 70 percent of the airport’s customer 

base is business travelers, which will also be a key target for the new hub service. In 

cooperation with the airline, a particular emphasis will be placed on marketing and 

promoting the new or improved air service to companies and individuals using 

Shreveport air service which may have a need to travel to that hub city or via that hub to 

reach other cities. This may be accomplished by utilizing our partnerships with the local 

Chambers of Commerce in both Shreveport and Bossier City to communicate with its 

business member organizations. 

The Airport Authority believes a reasonable timetable for the creation and 

implementation of the grant is as follows: 

 Awarding of SCASD grant: Fall 2014 

 Continued negotiations with air carriers: Winter/Spring 2015 

 Possible implementation of new service: Spring/Summer/Fall 2015 

 Grant close-out: Fall 2016
24

The Shreveport Airport Authority will act as the lead agent with the Department of 

Transportation staff in administration of the grant. The Shreveport Airport Authority’s 

Director of Airports is Bryant L. Francis, C.M.; with Deputy Director of Airports, Bill 

Cooksey, C.M.; and Marketing and Public Relations Manager Mark Crawford as the 

DOT’s contacts for this grant. Mr. Francis, Mr. Cooksey and Mr. Crawford can be 

reached at (318) 673-5370. 

Program Assurances

As the sponsor, the Shreveport Airport Authority of the City of Shreveport and its 

governing board will be the responsible parties for all fiscal matters and the Department's 

reporting requirements. The Shreveport Airport Authority is established as a public 

department of the City of Shreveport. As a public entity, the Department can be assured 

that proper financial controls are in place to guarantee that the Department’s Grant will 

be used in accordance with any subsequent agreement. The Shreveport Airport Authority 

understands that the grant is a reimbursable grant, meaning the Authority is responsible 

for program expenditures and will submit invoices to the Department for reimbursement, 

based on a percentage of the total grant request. 

Conclusion 

In summary, the Shreveport Airport Authority believes the provision of federal dollars to 

help obtain new service from Shreveport to the Upper Midwest and East Coast will 

benefit a number of cities in the tri-state area which our airport serves, as well as those 

residing in other regions with a need to travel to the Shreveport area by air. 

As Shreveport Regional Airport serves a wide catchment area, citizens and businesses in 

North Louisiana, East Texas, and Southwest Arkansas will all benefit from additional 

destinations of service as well as additional access to the national transportation system 

through new or enhanced air service. Businesses which are continuing to invest heavily 

into this region’s economy will provide a steady stream of customers who need to travel 

by air, whether for business or leisure purposes. 

The Shreveport Airport Authority will work with community organizations through the 

Ark-La-Tex Regional Air Service Alliance to ensure that any funding is wisely and 

appropriately spent and to ensure reporting procedures to the DOT are followed 

appropriately.