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Muldoon, Albert (OST)

From: Muldoon, Albert (OST)

Sent: Monday, November 17, 2014 4:14 PM

To: 'admin@gulkanacouncil.org'; 'manderson@ahtna.net'; Jason Hoke 

(jhoke@coppervalley.org); Rich Sewell (rich.sewell@alaska.gov); Weeks, Patrick N 

(DOT); Maggard, Roger K (DOT)

Cc: Copper Valley Air, Todd Hand (TodCVAS@cvinternet.net); 

ssimpson@majesticland.com; Reeve Air Alaska, Mike Reeve (mreeve@reevecorp.com); 

'Copper Valley Air Service'

Subject: Essential Air Service at Gulkana, May Creek, and McCarthy, Alaska - Request for 

Comments - Due December 9, 2014

Attachments: Copper Valley EAS Proposal.pdf; Reeve Air Alaska DOT-OST-1995-492 Gulkana EAS 

Proposal.pdf

All: 

I would like to update you on the Essential Air Service (EAS) situation at Gulkana, May Creek, and McCarthy, 

Alaska, and give you an opportunity to submit comments on the record before we submit a recommendation to 

the Assistant Secretary for Aviation and International Affairs. As you know, Ellis Air Taxi, Inc. dba Copper 

Valley Air Service (Copper Valley) is the current EAS provider at these communities, receiving a combined 

annual subsidy of $475,387 ($269,189 at Gulkana and $206,198 for both May Creek and McCarthy). Their 

current contract expires on January 31, 2015. In anticipation of that expiration, we issued Order 2014-10-3 

(October 9, 2014) soliciting proposals from carriers interested in providing EAS at these communities, for a 

new contract period beginning February 1, 2015. In response to our request, we received proposals from Copper 

Valley, the incumbent, and Reeve Air Alaska, LLC (Reeve). 

I have attached a copy of the proposals to this email. The proposals can also be accessed online through the 

Federal Dockets Management System at www.regulations.gov by entering DOT-OST-1995-492 in the search 

box. For your convenience, I will briefly summarize the proposal below. 

Copper Valley has proposed to maintain its existing level of service at the three communities. At Gulkana, it 

would provide two round trips per week to Anchorage, utilizing twin-engine Piper PA-31 aircraft with six 

passenger seats. Copper Valley may substitute a nine seat Cessna 441 when warranted by passenger 

demand. For its Gulkana service, Copper Valley would require an annual subsidy of $289,190. For May Creek 

and McCarthy, Copper Valley would provide two weekly round trips to Gulkana. During winter months, service 

would be provided on three passenger Cessna 185 aircraft. In summer, service would be on four passenger 

Cessna 206 aircraft. Copper Valley may substitute six passenger de Havilland DHC-2 Beaver when warranted 

by passenger demand. For its May Creek and McCarthy service, Copper Valley would require an annual 

subsidy of $256,847 

Reeve submitted a proposal only for Gulkana. Reeve would provide two weekly roundtrips to Anchorage 

utilizing twin-engine, seven passenger Piper PA-31 Navajo aircraft. For this service, Reeve would require an 

annual subsidy of $223,298. 

The schedules that the carrier has proposed are illustrative only, and they may make schedule changes to reflect 

changing conditions. The Department expects subsidized carriers to maintain well-timed and well-spaced 

flights in order to ensure full compensation. The Department requests that you review the proposals and submit 
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any comments you may have as soon as possible, but no later than December 9, 2014. We will carefully 

consider your comments before we submit a recommendation to the Assistant Secretary for a decision. 

Please send your comments via email to EAS@dot.gov or by fax to (202) 366-7638. If you have any questions, 

please feel free to contact A.J. Muldoon of my staff at albert.muldoon@dot.gov or (202) 366-1058.

Regards, 

Kevin D. Schlemmer 

Chief, EAS and Domestic Analysis, X-53 

U.S. Department of Transportation