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Augus t 24 . 201 0 Th e Honorabl e Ra

yLaHoo d Secretary . Unite d State s Departmen t o fTransportatio n 120 0 NewJerse yAv e S E Washingto n D.C . SecretaryLaHood . Thi s lette rsupport s th e applicatio n o fth e ne wSt . Georg e Airpor t fo ra gran t i n th e 201 0 Smal l Communit yAi rServic e Developmen t Program . Th e Cit yo fSt . Georg e institute d a progra m tr i attrac t nev / ai rservic e i n 2008 . Part o fthi s progra m include d requestin g a gran t unde rth e Smal l Communit yAi rServic e Developmen t Progra m t o hel p payfo rmarketin g studie s an d a n airlin e recruitin g program . I n 2009 , th e Cit yo f St . Georg e receive d a gran t unde rth e Sma D Communit yAi rServic e Developmen t Progra m t o fun d th e ai rservic e marke t studie s an d recrui t ai rservice . Thi s worl t ha s bee n successfu l wit h airline s nov

/ intereste d i n providin g servic e t o th e ne wairpor t I n orde rt o star t ne wai rservic e a t St . George , th e airline s hav e tol d th e communit ytha t the y nee d a n incentiv e progra m tha t v/ll l indud s a revenu e guarante e an d fund s fo rmarketing . T o mee t thi s request , th e Cit yo fS t Georg e an d th e ne wS t Georg e Regiona l Airpor t ar e requestin g a n additiona l gran t o f$550,00 0 wit h a loca l contributio n an d ticket purchas e progra m o f $300,00 0 a

s a n incentiv e fo rne wai rservic e a t ou rne wAirpor t Currently , th e Airpor t has nonsto p servic e b ySkyWest t o Sal t Lak e Citywit h 5 0 sea t EMB-12 0 aircraf t Recen t stude s sho wtha t overal l passenge rdeman d fo rSt . Georg e i s quit e larg e bu t ove r80 % o fth e passenger s i n th e St . Georg e marke t are a ar e usin g ottie rairports . Ther e I s a stron g loca l demandfo rai rservic e t o Lo s Angeles , Denver , Phoenix , San Francisco an d Dallas . Th e communit yleaders hav e bee n activel yrecruitin g ai rservic e fo rth e ne wairpor t an d hav e ha d meeting s an d discussion s wit h a numbe ro fregiona l an d nationa l ai rcarriers . SkyWest Airline s has expresse d th e mos t interes t a t thi s tim e an d coul d provid e nonsto p servic e wit h regiona l je t aircraf t t o Los Angeles . SkyWest has requeste d a n incentiv e packag e tha t include s a revenu e guarantee , loca l advertisin g an d mariceting , a pre-purchas e ticke t progra m b y tocal businesses , an d a n inboun d tou rprogram . Th e initia l servic e v/oul d includ e on e dail yroun d tri p fGgh t betwee n S t Georg e an d Lo s Angele s wit h 5 0 sea t CRJ-20 0 aircraf t Th e ne wnonsto p servic e t o an d fro m Los Angele s woii d b e a grea t hel p i n ou reffor t t o attrac t mor e touris m t o th e S t Georg e are a I t wil l als o mak e St . Georg e mor e accessibl e t o th e internationa l marke t Zio n Nationa l Par k i s a popula rdestinatio n fo rth e Asia n marke t Californi a i s on e o fou rto p market s fo rvisitatio n t o S t Georg e a s we n a s Zio n Nationa l Park . I t I s a marke t tha t w e advertis e i n regularty- talkin g abou t direc t ai rservic e wi n enhanc e ou rmessage . Thaa k yo u fo ryou rattentio n t o thi s importan t reques t I sincerel yendors e th e appfication . fei?5



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### Proposal of

th e Cit y of St . Georg e an dSt . Georg e Airport Pag e 6ORRIN.G . HATC H /iJfA H Ctax rO f GTJil T

fiur..j:;t : i»7 J 224-52S 1 ' IIXHK? ) 724-?IM 9

TAX ; (?02 I 774.6:13 ) WASHINGTON . DC 20510-440 2 AugiKs t 27 , 201 0 ""

- COMMIITEES : riHAHc n .MJDlClAn v HtALIH . EDUCAriOfJ . LABOII . Af.' U PlltlSlOH S INIELI.IOENC E AOINC . JUIN I CUMUII'lE b O N TAXATIO N Th e Honorabl e Ra y LaHoo d Secretar y Unite d State s Departmen t o f Transportatio n 120 0 Ne w Jerse y Ave . S E Washingto nD.C . Dea r Secretar y LaHood ; I writ e toda y t o indicat e m y suppor t fo r th e applicatio no f

th e no w St . Geortj c iVIunicipa l Airpor t

fo r agran t i n th e 201 0 Smal l Communit y Ai r Servic e Developmen t Program . Th e St . Georg e Airpor t ha s see nadro p i n flight s an dseat s ove r th e pas t

seve n year s du e t o a ninadequat e an doutdate dairport . Airline s i n th e regio nwer e switchin g t o Regiona l Jet s an dth e restricte doperation s n t th e ol dSt . Georg e kep t th e airline s fro m sei-vin g Souther nUtah . I nJanuar y o f

2011 , th e cit y o f

St . Georg e wil l b e openin g ano w airpor t wit hth e abilit y t o handl e almos t al l je t aircraft . I norde r

t o star t ne w ai r

servic e a t

St . George , th e airline s hav e tol dth e communit y tha t the y nee da n incentiv e pi-ogra mtha t wil l includ e a revenu e guarantee , fund s fo r marketing , an dairpor t fe e waivers . Currently , th e Airpor t ha s nonsto p sei-vic e b y Sk y Wes t t o Sal t Lak e Cit y wit h3 0 sea t EMB-12 0 aircraft . Recen t studie s sho w tha t

overal l passenge r

deman dfo r

St . Georg e i s quit e larg e bu t

ove r 80 % o f th e passenger s i nth e St . Georg e marke t are aar e usin g othe r aiiports . Ther e i s astron g loca l deman dfo r ai r sei-vic e t o IJO S Angeles , Denver , Phoenix , Sa nFrancisco , an dDallas . Th e communit y leader s hav e bee nactivel y recruitin g ai r servic e fo r th e ne w airpor t

an dhav e ha dmeeting s an ddiscussion s wit hAmerican , America n Eagle , Delta , Frontier , Horizon , Sk y West , Southwest , United , an dU S Airways . Sk y Wes t

Airline s ha s expresse dth e mos t interes t

a t thi s tim e an dcoul dprovid e nonsto p sen'ic e wit hregiona l je t aircraf t t o Sal t Lak e Cit y an dIJO S Angele s i n 2011 . Sk y Wes t ha s requeste da n incentiv e packag e tha t include s arevenu e guarantee , airpor t fe e waivers , loca l advertisin g an dmarketing , an dapre-purcha.i e ticke t progra mb y loca l businesses . Th e initia l servic e woul dinclud e fou r dail y roun dtri p flight s betwee nSt . Guoi-g e an dSal t

Lak e Cit y an don e dail y ixiun dtri p fligh t betwee nSt . Georg e an dI/o s Angele s wit h.5 0 sea t

CRJ-20 0 aircraft . Thi s i s amajo r upgrad e fro mcurrun t ai r servic e t o Sui t Lak e Cit y an dwil l b e ne w ai r servic e t o Lo s Angeles .

I I SAI Tl-Mi - CiT vOf f ICE ; Q (^nov o OFIJCE : U D ? Fcdcin l nuiUjm j m Soui h S;iit a Stiec t •Sil l IJloCitr.u r8-113 3 IIIIIIPV.-L - (U0l)ti74.43I3 } 5 1 Soull i linlvcritiyAvumt o Suil o 32 0 Pi(wo . uratco c riiinKYs : (6i}1l3/^-'fSI t FKK : (3C1 | 374-500 5 r " | Oc,olt i OrFH:c ; 100 0 F < il<^ni l BuihEJi u 37 4 2I4 h 5li« l (i()il« n UF<O I TiiihHj;^ : tauuaa-ni o FAJ C i&oiiao-i-iso: ! D .CciiA.l i C.IT X PrFiCF : J l n . Mali i Sii.:u l Suit 9 11 7 C«'b i City . U l 8477 0 Itiin-ofv ; 143^, 1 Kr.-ei3r . I\- : M3& I 588-214 7 Q ST . GFQ.TM; ^ .OFTITE ; )S u Tii U latK;ii)3ili i Siat o 1 4 Ul . Oet]iu< \

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### Proposa l o fth e Cit yo fSt . Georg e an d S t Georg e Airpor t 

### Pag e 4

### Th e new regiona l je t sen'ic e t o Sal t

Lake' " Cit

y wil l b o wel l receive dby ou r loca l busines s community sinc e Sal t Lak e City Intei-nationa l Airpor t i s th e primar y connectin g hub.fo r ou r community . Th e ne w nonsto p servic e t o an dfro mIx) s Angele s will mak e St . Georg e accessibl e t o th e internationa l market . Th e man y Nationa l Park s nea r Si . Georg e ar e majo r attraction s fo

r th e Asia ntouris t

marke t an dthi s ne w nonsto p flight shoul db e vei 7 popular . Than k you fo r you r attentio nto thi s importan t request . I ui-ge you r ful l consideratio nto th e City o f St . Georg e an dSt . Georg e Municipa l Airpor t applicatio n consisten t

withal l relevan t

rule s an dregulations .

Sincerely ,

Orri nG . Hatc h Unite dState s Senato r OGH : mcc

•*—-» ^ -'J-W - 

### Proposa l ofth e Cit

y of St . Georg e an dSt, Georg e Airpor t Pag e 5AI k I . I N n .s- i Augus t 25 . 201 0 Honorabl e Ra yLaHoo d Secretaryo fth e U.S . Departmen t o fTransportatio n 120 0 Ne wJerse yAve . S E Washingto n D.C . Dea rSecretaryLaHood ; Thi s lette ri s sen t t o yo u i n support o fth e proposa l an d applicatio n o fth e Cit yo fSt . Georg e an d St . Georg e Airpor t t o th e Departmen t o fTransportatio n fo ra gran t unde rth e Smal l Communit y Ai rServic e Developmen t Program . Th e Cit yo fSt . Georg e an d SkyWes t Airiines ar e workin g t o reinstitut e ai rservic e Ijetwee n St . Georg e an d Lo s Angele s internationa l Airport v^it h a CRJ-20 0 regiona l je t aircraft : SkyWes t previousl yserve d thi s marke t wit h EIVIB-12 0 aircraft.an d operate d a t a loss . Th e cos t o f operatin g th e sam e nunibe ro fseat s wit h the.CRJ-20 0 i s muc h less tha n th e ElvlB-12 0 an d i f passenge rlevel s an d fare s reac h acceptabi e levels , th e rout e wil l b e viable . A s wit h an yne w servic e ther e i s financia l risk . T o offse t thi s risk , th e Cit yo fSt . Georg e an d St . Georg e Airport i n coordinatio n wit h SkyWes t ar e workin g o n a pla n t o ensur e th e succes s o fth e service . Th e pla n include s a revenu e guarante e t o offse t initia l operatin g losses , a robus t loca l advertisin g an d marketin g progra m t o promot e th e ne wservic e a s wel l a s a pre-purchase d ticke t progra m b y loca l businesses , an d th e developmen t o fa h inboun d tou rprogram . Ake ypart o fth e developmen t o fth e St . George-Lo s Angele s marke t i s th e compilatio n o fa n incentiv e packag e b yth e Cityo fSt . Georg e an d th e St . Georg e Airport . Th e communit yi n St . Georg e ha s a growin g an d robus t economy . SkyWes t understand s tha t th e ke yt o ensurin g continue d economi cgrowt h an d developmen t i s throug h enhance d ai r servii:;e . T o tha t end , wit h th e cooperatio n o fal l th e partie s i n executin g th e pla n t o restor e Lo s Angele s servic e t o S t Georg e th e resul t wil l b e continue d growt h o fth e St . Georg e economy . Whil e w e ar e highl yoptimisti cabou t th e servic e give n th e volatil e natur e o fth e airlin e industry , SkyVVes t mus t reserv e th e righ t t o amen d it s support fo rth e propose d servic e a s dictate d b y circumstances . SkyWes t look s fon/vard t o workin g wit h th e U.S . Departmen t o fTransportatio n an d Cit yo fSt . Georg e o n thi s ai rservic e initiative . Pleas e contac t m e i fyo u hav e an yquestion s concernin g thi s lette ro fsupport an d an yspecific s abou t SkyVVes t Airlines . Sincerel yyours . ^,^^^=i'£r^'^^_—__ _ Michae l Thprhpso n Vic e President - Marke t Developmen t •*4- > Sciil h Ki\<- rRoi: J S I . UeiTge . l/t.il i SJ7'/ 0 •IJi.ttJ^JIKM l iiiiii'..»i'viri*i/.ri' m

Proposa l ofth e Cit yo fSt . Georg e an d St . Georg e Airpor t Pag e 3

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