# P ROPOSAL 

# U NDER 

# T HE



# S MALL 

# C OMMUNITY 

# A IR 

# S ERVICE 

# D EVELOPMENT 

# P ROGRAM



# F ROM



# T HE 

# C ITY 

# O F 

# B ATON 

# R OUGE 

# /P ARISH OF 

# E AST 

# B ATON 

# R OUGE



# , L OUISIANA



# ,

T O 

# S UPPORT 

# T HE 

# S TART 

# O F 

# N EW 

# A IR 

# S ERVICE



# A T 

# B ATON 

# R OUGE 

# M ETROPOLITAN 

# A IRPORT



# D OCKET 

# OST

- 2011

- 0119

DUNS N UMBER 

# 120

- 250

- 345

C ONGRESSIONAL 

# D ISTRICT 

# N UMBER 

# 6

# T ABLE 

# O F 

# C ONTENTS

I. Summary Information

II. Introduction

III. Eligibility for the Small Community Air Service Development Program

IV. The Baton Rouge Community

V. Air Service Issues in Baton Rouge

VI. Air Service Development Initiatives in Baton Rouge

Appendices

A. Current Air Service in Baton Rouge

B. Top 25 Destinations from Baton Rouge

### SMALL COMMUNITY AIR SERVICE DEVELOPMENT PROGRAM

DOCKET OST

- 2011

- 0119

I. SUMMARY INFORMATION

DUNS Number 120

- 250

- 345

A. A PPLICANT 

### I NFORMATION 

### : ( CHECK ALL THAT APPLY 

### )

 Not a Consortium Interstate Consortium Intrastate Consortium

Community now receives EAS subsidy

Community (or Consortium member) previously received a Smal l Community Grant

If previous recipient: Date of grant: ___________

Expiration of grant:_________________

Point of Contact:

Community Name Baton Rouge, Louisiana Phone: (225) 355

- 0333

Address1 Greater Baton Rouge Airport District Fax: (225) 355

- 2334

Address2 Ryan Terminal Building

– Suite 300,

9430 Jackie Cochran Drive Email: amarino@brgov.com

City, State Zipcode Baton Rouge, Loui siana70807 County: Parish of East Baton

Rouge

Point of Contact: Mr. Anthony J. Marino, Director of Aviation



### B. Public/Private Partnerships: (List Organization Names)

Public

1

. City of Baton Rouge

2 . Baton Rouge Metropolitan Airport

### C. P ROJECT 

### P ROPOSAL 

### : ( CHECK ALL THAT APPLY 

### )

 Marketing 

###  Upgrade Aircraft 

###  New Route



###  Personnel 

###  Increase Frequency 

###  Low Fare Service



###  Travel Bank 

###  Service Restoration 

###  Surface Transportation



###  Subsidy 

###  Regional Service Other (specify)



###  Revenue Guarantee 

###  Launch New Carrier



###  Start Up Cost Offset 

###  First Service



###  Study 

###  Secure Additional Carrier



### D. E XISTING 

### L ANDING 

### A IDS AT 

### L OCAL 

### A IRPORT 

### :

 Full ILS 

###  Outer/Middle Marker 

###  Published Instrument Approach



###  Localizer 

###  Other (specify) VASI, MALSR, PAPI, NBD, GPS, VOR/DM



### E . PROJECT COST:

1. Federal Amount Requested: $340,000

2. Total In

- Kind Contribution (Airport): $6 8,000

3. Total Project Cost: $408,000

Airport Description of In

- kind:

Advertising landing fees, crew overnight hotel offset (if applicable)

F. Enplanements (last five calendar years to the extent applicable)

2006 534,709 2009 356,140

2007 491,836 2010 390,847

2008 433,135

G. Is This Application Subject To Review By State Under Executive Order 13272 Process?

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

H. Is The Applicant Delinquent On Any Federal Debt?

 No

### Summary Statement

Our proposal is designed to deliver significant benefits to the Baton Rouge market, specifically the

business, educational, and state/ federal sectors that rely heavily on commercial air service. Our plans

include realistic new route pursuits to the Washington Metro Area. In order to obtain lower fares, more

competition and nons top flights to the top metro market destination without nonstop service, the Airport

will seek: 1) Nonstop service by United/Continental Airlines to Washington Dulles International

Airport, or 2) Nonstop service by US Airways to Ronald Reagan Washington Na tional Airport. The

Airport requests $340,000 in Federal funding which will be matched with 20% local funding. While the

proposed routes are projected to be profitable in the long term, they may sustain temporary losses during

years 1

- 2 until traffic lev els mature. SCASDP funding combined with the Airport match will be utilized

to cover landing fees and new destination advertising while the route develops. The projected long

- term

profitability assures that the SCASDP will provide lasting benefits for Gr eater Baton Rouge and the

traveling public after the program is finished.

P ROJECT G OAL : P ROJECT IS INTENDED T O ADDRESS PROBLEMS I NVOLVING ( CHECK ALL THAT APPLY )



###  High Fares 

###  Insufficient Air Service 

###  Unique Airport Circumstance



###  Access to National Transportation System Needed 

###  Other (specify) Traffic Leakage

A IR S ERVICE D EVELOPMENT Z ONE : ( CHECK BOX IF INTERES TED IN DESIGNATION )

L OCAL A IRPORT I NFORMATION : ( WHERE SERVICE WOULD BE PROVIDED )

Airport Name: Baton Rouge Metropolitan Airport

Airport City: City of Baton Rouge/Parish of East Baton Rouge

Airport State: Louisiana

Airport Code: BTR

L OCAL A IRPORT C LASSIFICATION : ( BASED ON MOST RECENT FAA ENPLANEMENT DATA )

Non Hub 

###  Small Hub Medium Hub Other



### E XISTING 

### S ERVICE 

### : ( CHECK ALL THAT APPLY 

### )

 Jet service 

###  Low Fare Service 

###  Turboprop 

###  No Existing Service

A IR C ARRIER ( S ) S ERVING A IRPORT :



### Air Carriers

1. Delta Connection

2. Continental Express

3. American Eagle

4. US Airways Express

C URRENT F LIGHT I NFORMATION : (A PPENDIX A INCLUDES FLIGHT SCHE DULE )

Number of daily nonstop roundtrip flights per destination: Atlanta (8 roundtrips), Houston (9 roundtrips), Dallas/Fort

Worth (8 roundtrips), Memphis (2 roundtrips), Charlotte (3

roundtrips)

## P ROPOSAL 

## U NDER THE 

## S MALL 

## C OMMUNITY 

## A IR 

## S ERVICE 

## D EVELOPMENT 

## P ROGRAM



## F

OR 

## B ATON 

## R OUGE 

## M ETROPOLITAN 

## A IRPORT 

## (BTR)

II. Introdu ction

The Greater Baton Rouge Airport District (“District”) respectfully submits this application for participation in the Departme nt

of Transportation’s Small Community Air Service Development Program. Participation in the Program will help the airport

fulfill its mandate for the economic development of Greater Baton Rouge, through providing the community with lower fares,

stronger competition and nonstop access to the top metro market destination from Baton Rouge without nonstop service:

Washington, D.C . The economic development role, and the District’s basis for participating in the Program, is clearly stated

in the airport’s mission statement:

The mission of the Baton Rouge Airport is to serve as a catalyst for economic prosperity in the Greater

Bato n Rouge Area by providing airport facilities and services that are recognized for excellence in

safety, customer convenience and financial efficiency.

This document summarizes how an award to Baton Rouge will generate benefits to the immediate community, the State of

Louisiana, and the Baton Rouge Metropolitan Airport.. Through using these expanded DOT resources as an air service

catalyst rather than a temporary form of assistance, the airport will inves t in a project providing benefits well into the future.



### Ill. Eligibility For The Small Community Air Service Development Program

In calendar year 2010, 390,847 passengers boarded aircraft at Baton Rouge Metropolitan Airport. According to the FAA’s

Air Carrier Activity Information System (ACAIS), a database that contains revenue passenger boarding and all

- cargo data to

support the FAA's Airport Improvement Program (AIP) apportionment formula calculations , national enplanements totaled

711,264,076 passengers in calendar year 2010 . The corresponding C Y 2010 activity level for Baton Rouge was 390,847

passengers, or 0.055% of the national total. According to the FAA’s airport classification criteria, the Baton Rouge

Metropolitan Airport is considere d to be a “small hub” airport. The airport is therefore eligible to participate in the Program.



### IV. The Baton Rouge Community

Baton Rouge is the capital and second largest city in Louisiana, serving as the center of a 9

- Parish Economic Region.

Based on the most recent census data, the Baton Rouge Metropolitan Statistical Area has a population of 802,484, making it

the 64th largest urban area in the U.S.

While government is the top employer, the Baton Rouge area is also a major industrial, petrochemical , biomedical and port

center (9th largest in the country). Exxon Mobil operates the 2nd largest refinery in North America

, employing over 10,000

and anchoring Baton Rouge’s status as one of the largest petrochemical hubs in the world . Other petrochemical companies

with major production facilities in the Baton Rouge area include Dow Chemical, Dupont, BASF, Honeywell, Shell, DSM

Copolymer and Novartis. A number of Fortune 1000 companies are headquartered in Baton Rouge, including Fortune 500

companies The S haw Group and Albemarle Corporation.

Baton Rouge also has a burgeoning Health Care Industry, playing host to statewide hospital systems, world

- renowned

biomedical research centers, and specialty surgical centers. As a center for higher education, Baton R ouge is home to

Louisiana State University (LSU), Southern University, Baton Rouge Community College and our Lady of the Lake College,

### serving a combined enrollment of over 50,000 students. The universities anchor a growing high technology community.

Cons truction has begun on the Louisiana Digital Media Center, which will be the new home of Electronic Art's (EA) North

American Testing Center.



### V. Air Service Issues In Baton Rouge

In 2010, Baton Rouge Metropolitan Airport (BTR) enplaned over 390,000 passengers and deplaned over 387,000. The

airport serves as a vital gateway to Greater Baton Rouge, with a catchment area population exceeding 1.6 million people.

However, the level of airline service, particularly in terms of seating capacity and nonstop destinations, is below what would

be expected for a market of this size.

Catchment Area for the Baton Rouge Metropolitan Airport



### Because of its location on the northern periphery of Greater Baton Rouge, the airport is especially well positioned to serve

the south

- central and southwestern areas of Louisiana and adjacent areas of Mississippi. It offers them an attractive

alternative to the more distant airport in New Orleans.

The Baton Rouge Metro Airport is a critical economic engine for the region, and will play an important role in the area's

growth. The quality of the community's airline service will be a key factor in the private sector growth.

Current BTR Air Service

The Baton Rouge Metro Airport is currently served by four network carriers

-- American Eagle, Continental Express, Delta

Connection and US Airways Express

-- to five major connecting hubs. All flights are oper ated with regional jets with the

### exception of Continental Express BTR to Houston (IAH) flights, which utilizes the Bombardier Q400 turbo prop on three ( 3

) of

its nine (9) daily flights. The current weekday flight frequencies are as follows:



## BTR: NONSTOPS TO 5 NETWORK CARRIER HUBS

ROUTE CARRIER AIRCRAFT DAILY FREQUENCY

DFW AA ERD 8

IAH CO ERJ/DH4 9

ATL DL CRJ/CR7 8

MEM DL CRJ 2

CLT US CRJ 3



# BTR Current Nonstop Services Map

**Source: July 2011 OAG** 

# Baton Rouge (BTR) Atlanta, GA (ATL)

Houston, TX (IAH) Memphis, TN (MEM) Charlotte, NC (CLT)

Dallas/Ft. Worth, TX (DFW)

### BTR Airline Share at Airport

In &

Outbound 

### 2010Q2 to 2011Q1 Airport: BTR

Carrier Psgr PDEW % Psgr Originating Gross OW

Fare Net OW

Fare Net Rev. % Net.

Rev. Nonstop

Yield Ticket

Yield Efficiency

AA 184,399 252.6 25.42% 49.4 % $220.89 $189.54 $33,580,861 25.03% 21.43¢ 19.04¢ 88.84%

CO 196,979 269.8 27.15% 56.3 % $245.93 $210.12 $39,746,780 29.63% 19.44¢ 16.49¢ 84.82%

DL 287,097 393.3 39.57% 52.9 % $220.28 $186.96 $50,741,911 37.82% 22.63¢ 19.69¢ 87.02%

US 57,020 78.1 7.86% 46.3 % $215.99 $183.26 $10,093,341 7.52% 20.62¢ 17.87¢ 86.69%

Total 725,495 993.8 100.00% 52.4 % $227.10 $193.65 $134,162,893 100.00% 21.15¢ 18.34¢ 86.71%



### While the valued existing flights provide important access to the nearest hubs, the airport and the community believe that

nonstop service to Washington would be a major addition to more fully meet the needs of Louisiana’s capital . The

connecting opportunities would provide more efficient schedules to many Mid

- Atlantic and Northeast destinations, and in the

case of United//Continental, important international cities via that carrier’s hub at Washington Dulles.

Further, the limited services prevent the Greater Baton Rouge community from realizing the full value of its investment in th e

airport, and constrain the growth of its business and tourism sectors. These shortcomings led to declining enplanements for

three consecutive years from 2007 to 2009. Despite an increase in population and a robust economic base, enplaned traffic

fell 37.4 percent during that period.

The addition of US Airways service to Charlotte in June of 2010 helped reverse the thre e

-

year decline in enplanements.

Despite the new competition, each BTR carrier experienced passenger growth in 2010. More competition resulted in more

seating capacity and better availability of all fare classes for BTR passengers

.Enplaned Passen gers in Baton Rouge, 2010Q1

-- 2011Q1

Source: DataMiner



### The airport is well supported by the community, and stakeholders have a uniformly positive attitude about its importance.

However, residents and visitors sometimes feel compelled, for economic reason s, to access Baton Rouge through other

airports, particularly the larger airport in New Orleans. The airport’s research has identified several factors contributing to

the weak traffic including:

Fare Differentials and Traffic Leakage to New Orleans

Passenger "leakage" to New Orleans (MSY) has been a significant factor inhibiting the passenger growth at BTR. The

widespread presence of low

- cost carriers serving MSY has prompted the legacy carriers to lower their fares, resulting in

published fares tha t are sometimes significantly lower than those available from BTR. Based on a recent leakage study,

BTR loses 45% of its passenger base to other airports, primarily MSY.

Air service at Baton Rouge was reduced in terms of both the number of flights and to tal seat capacity between 2007 and

2009, increasing passenger leakage and causing enplanements to drop precipitously. The significant presence of

Southwest at MSY as the number one carrier in the market (over twice the shar e of the 2nd largest competitor ) is a major

reason for the BTR leakage. The Southwest presence

, combined with other low

- cost carriers at MSY, has prompted the

legacy carriers to lower their fares, resulting in published fares that are sometimes significantly lower than those availabl e

f rom BTR.

While securing low

- cost carrier service that would impact multiple top markets would have the most significant impact on

reducing Baton Rouge fares, it is also the most challenging option. Because the largest low

- cost carriers are reticent to

serve two nearby markets, BTR's proximity to MSY adversely affects its prospects

. However, additional network carrier

competition, particularly through new nonstop service to a top O&D market, can also reduce passenger leakage.

The start of US Airways ’ Charlotte hub service from BTR in June 2010 exemplifies this. The new flights created more

competition, added more seating capacity (including more discount seats), and prompted competitors to offer more

aggressive pricing. All of these factors helped r everse the three

- year decline in enplanements, resulting in a nearly 10%

increase in 2010. Despite the impact of another competitor in the market, the other BTR carriers experienced year

- over

year passenger growth as well. Simply s ecuring more air servic e at BTR , whether from legacy, incumbent or new

- entrant

carriers, can clearly facilitate passenger growth at BTR.

Change % 

### The current passenger leakage has the following consequences:

### • The reduced air service that results tends to lead visitors to under

- e

stimate the economic importance and

dynamism of Baton Rouge;

• The traffic leakage causes DOT databases to systematically understate Baton Rouge’s “real” traffic. These

databases are extensively used by airline planners as they consider new routes to add to their system. The

anomaly therefore tends to discourage new service;

• The loss of traffic and service deprives the airport of landing, gate, PFC, concessions and other revenues; and

• The smaller number of passengers using the Baton Rouge airport discourage s both incumbent and new entrant

airlines from adding new service and increasing capacity.

Changing the feedback process in which traffic leakage frustrates new service, with the resulting air service deficiencies

encourag ing greater use of the New Orlean s airport, can be addressed with additional BTR competition.

Need For More Nonstop Service to Major Destinations:

The Washington Metro Area is the Largest BTR Destination Without Nonstop Service

This limited selection has forced passengers flying to an d from Baton Rouge to rely on a variety of intermediate hubs, which

significantly increases the journey time and creates opportunities for en

- route delays. Leakage rates are especially sensitive

to the availability of nonstop services from Baton Rouge. F or points served nonstop from New Orleans but not from Baton

Rouge, leakage rates can often exceed 100%. This is particularly problematic with a top BTR O&D market such as the

Washington metropolitan area.

To the extent that traffic leakage measures consumer dissatisfaction, nonstop services to new destinations will greatly

enhance the aggregate quality of service at Baton Rouge. For example, Charlotte, NC (CLT), was the 24 th 

### largest O&D

market for Baton Rouge at the end of the first quarter of 2010 prior to the beginning of the US Airways service. After the

June, 2010 start of the US Airways BTR

- CLT service, CLT had vaulted to the #4 spot on the BTR top O&D list for the six

months ended December 31, 2010.



### BTR TOP O&D MARKETS JUNE

DECEMBER 2010

R ank Market Psgr PDEW

1 DFW 34,271 93.1

2 ATL 21,453 58.3

3 IAH 10,891 29.6

4 CLT 10,238 27.8

5 ORD 10,177 27.7

6 SFO 9,909 26.9

7 LAX 9,130 24.8

8 DCA 8,957 24.3

9 LAS 7,895 21.5

10 PHL 7,479 20.3

Filter Totals 130,400 354.3

Totals 380,041 1,032.7

### As the state capital of Louisiana, Baton Rouge has a natural community of interest with the U.S. capital in Washington, DC.

High

- quality air service between Baton Rouge and Washington will benefit many Federal and State agencies and

employees. This capital

- to

- capital market has a large community of interest and a substantial base of high

- yield, year

- round

traffic. The benefits of improved Baton Rouge

- Washington service would be share d throughout Louisiana.

The strong corporate travel base represented in the Baton Rouge area will experience significant benefits, especially in time

savings provided though nonstop flights. In particular, the Fortune 1000 companies based in Baton Roug e have high

passenger volumes to Washington. This is also true for area universities such as LSU and Southern University.

Traffic statistics reflect the importance of the Baton Rouge

- Washington interaction. Washington is the third largest metro

marke t destination from Baton Rouge, and the largest still lacking nonstop service. The “raw” traffic totals, even exclusive of

leakage, indicate a significant market between Baton Rouge and Washington. Yet the Washington

- Baton Rouge market

receives no nonsto p service. This absence is especially conspicuous in light of the rapidly expanding links between

Washington and the capitals of most states.

Baton Rouge remains one of the few state capitals, and the largest east of the Mississippi still lacking such service.

Rectifying this situation is a priority for the airport’s air service development program.



### VI. Air Service Solutions at Baton Rouge

– The SCASDP Application

The Air Service Proposal

- Outline

Alternative 1: Primary Objective

– United//Continental to WashingtonDulles International Airport

• It would involve nonstop service to the important Washington destination, by far the largest metro market still

lacking nonstop service from Baton Rouge.

• The Washington route would provide conn ecting service to destinations in the northeast and mid

- Atlantic U.S.,

eastern Canada, Europe, Africa and the Middle East.

• It would serve the important capital

- to

- capital community of interest, benefiting both the immediate Baton Rouge

area and the state o f Louisiana at large.

Alternative 2: Primary Objective

– US Airways to Ronald Reagan Washington National Airport

• It would involve nonstop service to the important Washington destination, by far the largest metro market still

lacking nonstop service from Baton Rouge.

• It would provide nonstop service to the highest

- demand airport in the Washington area.

• The Washington route would provide connecting service to destinations in the northeast and mid

- Atlantic.

• It would serve the important capital

- to

- capital community of interest, benefiting both the immediate Baton Rouge

area and the state of Louisiana at large. Baton Rouge New Orleans Other Leakage

Destination City Metro Airport Int'l. Airport Airports Total Percentage

Washington, DC Area 18,736 26,795 5,476 51,008 172% Baton Rouge Primary Catchment Area Passengers

### The SCASDP Proposal

US Airways and United/Continental have both confirmed that Baton Rouge is am ong the markets that will be considered for

future Washington service, US Airways to Reagan Washington National Airport and United/Continental to Washington

Dulles International Airport . Since US Airways and United/ Continental already serve Baton Rouge, o ur prospects for

securing the service are much better than would be the case with a new entrant carrier.

While BTR is on the list of airports being considered for Washington service by both carriers, incentive funds will improve

Baton Rouge's prospects si gnificantly. The SCASD P funding

, combined with the Airport match described below, would

allow the Baton Rouge Metro Airport to:

1) Waive landing fees for the first two years of the service for the Washington flights, reducing the airline's costs and

fin

ancial risks during the route development period.

2) Provide $200,000 in advertising incentives

-- $100,000 each year

--

for the first two years of service, greatly improving the

opportunity for route profitability by ascertaining that awareness of the new s ervice is widespread not only within the Baton

Rouge Metro politan Airport catchment area but also throughout the Washington metro area which generates more

passengers to Baton Rouge than it receives from Baton Rouge

.

The initial schedule for either airlin e would likely consist of a service pattern of 1 or 2 daily nonstop roundtrips with regional

jet aircraft seating at least 50 passengers

.

How Baton Rouge Will Ensure that its Own Contribution is Spent in the Proposed Manner

The airport will maintain detailed records of the sources and uses of funds under this program and will submit reports to the

Department of Transportation as required. The airport has a budget for marketing and advertising that is subject to a regula r

audit. The airport will prod uce monthly or quarterly reports for the DOT.

How the Airport Will Measure the Effectiveness of its Program

The effectiveness of the program will be measured by:

 The ability of Baton Rouge Metropolitan Airport to attract new service that would not have otherwise been offered to

the community;

 The ability of the airport to retain the new services after the program has expired;

 The degree to which services started under the program experience additional growth in frequencies, capacities

and number of passengers served;

 The ability of the airport to retain its existing services, with no adverse impacts on the incumbents by the new

service;

 The degree to which the new services help narrow the average fare differentials between Baton Rouge and New

Orleans ; and

 The increase in traffic at the airport that results from the new service and the continued (and possibly expanded)

operations of the incumbents.

The airport will establish a monitoring program to measure the performance of the new service as well as that offered by the

incumbents. This program will rely on the enplaned

- deplaned statistics submitted by all scheduled airlines operating at the

airport. The growth in traffic will be compared to historical growth patterns, the growth at other airports i n the region,

especially New Orleans, and the growth of U.S. traffic overall.

### Fares will be monitored through regular comparisons between Baton Rouge and New Orleans. The airport will also use the

DOT’s origin

- destination survey to monitor average prices , which reflect the mixture of fare classes actually accommodated.

However, the inherent lag in receiving this information will force the airport to rely primarily on published fares. The air port

presently monitors fares from both Baton Rouge and New Orl eans by airline and by destination.

Upon expiration of the grant, the airport will continue to monitor the services obtained through the grant process, services

already operating, and any services which may be added in the future. The monitoring process will emphasize fares, seat

capacity, availability of nonstop services, traffic growth, and all other dimensions of the quality of service offered at a

community. This process is already in place at Baton Rouge Metropolitan Airport, and it has helped to id entify the need for

new services as discussed in this application.

Program Continuation and Disengagement

Baton Rouge Metropolitan Airport will structure any agreement with new airlines and incumb ents so that all cash payments

or payments

- in

- kind will cease by the end of the initial two

- year period of nonstop service to Washington. At this sunset

date, any remaining methods, provisions or processes will be folded in to the Airport’s continuing program for developing

new air service. Any unused Federa l funds would then be returned to the DO T.

Designation of Legal Sponsor

The legal sponsor of this application is:

City of Baton Rouge/Parish of East Baton Rouge

222 St. Louis Street, 3 rd 

### Floor

Baton Rouge, Louisiana70802

Phone: (225) 389

- 5100

Fax: (225) 389

- 5203

Mayor: The Honorable Melvin L. “Kip” Holden

Chief Administrative Officer: Mr. John Carpenter

Benefits of the Program

This Baton Rouge proposal will benefit the 1.6 million people living in Baton Rouge Metropolitan Airport’s c atchment area,

the region’s businesses, educational organizations, Federal facilities and the area’s visitors.

The District has estimated its “true” traffic base (including traffic leakage) at over 1 million passengers annually. The

additional capacity a nd improved services to key destinations should encourage incumbent airlines to lower their fares and

improve their services. This will benefit all passengers using the Baton Rouge Metropolitan Airport.

In addition to the specifically stated time savings benefits discussed above, the more significant impact lies in the general

economic benefits gained by the airport and the community. The following table outlines the benefits of this application:

### Baton Rouge appreciates the opportunity to potentially participate in the SCASD Program; a successful application would

represent our first SCASDP grant award. More importantly, it would greatly enhance our prospects for continuing our

recovery from the 37.4 percent decline in BTR enplanements exp erienced between 2007 and 2009.

The US Airways service from Baton Rouge to Charlotte clearly demonstrated that the market could support the service: The

US Airways load factor for BTR is above their system average; the other BTR carriers experienced year

- over

- year

passenger growth in 2010 despite the new competition; and the airport saw double digit passenger growth.

New nonstop service to Baton Rouge's top O&D market without nonstop flights would have a similar positive impact. 

### * Direct Airport Impact:

- Rents, landing fees, parking revenues, concessions, commissions

- Direct employment (airlines, car rentals, vendors, security)

- Support services (ARFF, airport & aircraft maintenance, related businesses)



### * Consumer and Community Impact:

- Greater travel choices, increased competition, fare & time savings

- Direct and indirect spending (hotels, restaurants, shopping, gaming, other visitor spending)

- Tourism, convention, business travel opportunities

- Overall economic activity (job creation, taxes, multiplier effect) 

# Economic Benefits of Airline Service

Baton Rouge Community and Business Leaders Forum

# A PPENDIX 

# A

C URRENT 

# A IR 

# S ERVICE 

# I N 

# B ATON 

# R OUG E

Airport: BTR

Origin Dest Flight

# Dep

Time Carrier Op

Carrier Aircraft Mon Tue Wed Thu Fri Sat Sun

BTR ATL

5210 6:27

AM DL EV CR7 X X X X X X X

5612 7:30

AM DL EV CRJ X X X X X X X

5518 8:55

AM DL EV CRJ X X X X X X X

5184 10:17

AM DL EV CRJ X X X X X X

5070 12:53

PM DL EV CRJ X X X X X X X

5091 2:16

PM DL EV CRJ X X X X X X X

4983 3:52

PM DL EV CRJ X X X X X X

5502 6:44

PM DL EV CRJ X X X X X X

BTR CLT

2564 7:20

AM US 16 CRJ X X X X X X X

2556 10:49

AM US 16 CRJ X X X X X

2573 6:20

PM US 16 CRJ X X X X X X

BTR DFW

3372 6:00

AM AA MQ ERD X X X X X X

3372 7:35

AM AA MQ ERD X

2925 8:45

AM AA MQ ERD X X X X X X

3266 10:20

AM AA MQ ERD X X X X X X X

2924 11:35

AM AA MQ ERD X X X X X X X

3287 1:50

PM AA MQ ERD X X X X X X X

2758 3:40

PM AA MQ ER3 X X X X X X X

2932 5:40

PM AA MQ ERD X X X X X X X3394 7:05

PM AA MQ ER3 X X X X X X

BTR IAH

3398 5:25

AM CO 9L DH4 X X X X X

2282 7:00

AM CO XE ERJ X X X X X X X

2978 8:04

AM CO XE ERJ X X

2978 8:05

AM CO XE ERJ X

2978 8:15

AM CO XE ERJ X X X X

3298 9:15

AM CO 9L DH4 X

2265 9:35

AM CO XE ERJ X X X X X X

2265 9:40

AM CO XE ERJ X

3281 10:30

AM CO 9L DH4 X

2323 10:50

AM CO XE ERJ X

3235 10:55

AM CO 9L DH4 X X X X X

2981 11:45

AM CO XE ERJ X X X X X X X

2691 1:25

PM CO XE ERJ X

2691 1:30

PM CO XE ERJ X X X X

2691 1:41

PM CO XE ERJ X

2777 2:30

PM CO XE ERJ X

2284 3:50

PM CO XE ERJ X X X X X

2284 3:56

PM CO XE ERJ X

2293 5:05

PM CO XE ERJ X X X X X X

BTR MEM

5274 6:15

AM DL EV CRJ X X X X X X X

5540 5:05

PM DL EV CRJ X X X X X X X

# A PPENDIX 

# B

T OP 

# 25 D ESTINATIONS 

# F ROM 

# B ATON 

# R OUGE



# Baton Rouge Primary Catchment Area Passenger Volumes

by Metro Destination (January to December 2010)

Rank Destination City Total Share by Airport

Baton Rouge

Airport Lafayette

Airport Alexandria

Airport Lake Charles

Airport New Orleans

Airport

1 Dallas/Fort Worth 65,198 63.9% 9.8% 0.4% 2.0% 23.9%

2 Atlanta 48,377 50.8% 15.3% 0.3% 0.0% 33.6%

3 Washington 29,481 39.6% 9.8% 0.1% 0.1% 50.4%

4 New York 28,333 37.7% 16.1% 0.4% 0.2% 45.7%

5 Chicago 25,986 35.4% 13.9% 0.1% 0.2% 50.5%

6 Houston 23,724 54.2% 16.7% 0.2% 0.8% 28.1%

7 Baltimore 21,527 32.8% 11.3% 0.3% 0.1% 55.5%

8 San Francisco 21,146 47.7% 14.0% 0.4% 0.2% 37.7%

9 Los Angeles 17,228 38.3% 18.8% 0.3% 0.1% 42.6%

10 Philadelphia 17,021 37.2% 9.8% 0.3% 0.1% 52.6%

11 Charlotte 16,618 43.9% 9.5% 0.0% 0.1% 46.4%

12 Las Vegas 16,238 34.7% 22.3% 0.3% 0.3% 42.5%

13 Boston 16,133 37.3% 13.9% 0.3% 0.1% 48.4%

14 Orlando 14,872 34.6% 20.3% 0.1% 0.1% 44.8%

15 Detroit 13,905 51.5% 8.4% 0.2% 0.1% 39.7%

16 Austin 13,399 55.3% 10.8% 0.4% 0.4% 33.1%

17 Phoenix 13,293 34.5% 15.7% 0.3% 0.2% 49.4%

18 Seattle 12,705 49.3% 14.9% 0.7% 0.1% 35.0%

19 Kansas City 12,018 54.7% 9.4% 0.2% 0.3% 35.4%

20 Minneapolis/St Paul 11,842 46.1% 10.7% 0.1% 0.1% 43.0%

21 Nashville 11,557 34.0% 21.2% 0.2% 0.4% 44.2%

22 San Diego 11,143 45.4% 19.6% 0.6% 0.4% 33.9%

23 Denver 11,037 34.0% 16.9% 0.1% 0.2% 48.8%

24 Raleigh/Durham 10,771 50.3% 11.3% 0.3% 0.3% 37.7%

25 Tampa 10,095 36.0% 19.6% 0.3% 0.2% 43.9%

Other 311,664 48.5% 15.3% 0.4% 0.3% 35.5%

Total 805,312 46.6% 14.4% 0.3% 0.4% 38.3%