A PROPOSAL TO THE

DEPARTMENT OF TRANSPORTATION

OFFICE OF THE SECRETARY

WASHINGTON, D.C

Community Proposal

Southeast New Mexico Air Service Coalition

City of Roswell, New Mexico

DUNS # 06-412-1205

A PROPOSAL UNDER THE

SMALL COMMUNITY AIR SERVICE DOCKET DOT-OST-2012-0069

DEVELOPMENT PROGRAM

Under 49-U.S.C. 41743 et seq.

Mr. Robert Donnell

Roswell-Chaves County Economic Development Corporation

PO Box 849

Roswell, NM 88202-0849

(575) 622-1975

INTRODUCTION AND SUMMARY

The Southeast New Mexico Air Service Coalition consists of local governments and business 

organizations located in Roswell, Carlsbad, and Artesia, in Chaves County and Eddy County. 

The Coalition is a public/private Coalition and has developed a strong business relationship with 

American Airlines because of the ongoing Dallas/Ft Worth air service contract signed in 2007. 

The Coalition is submitting this proposal under the Small Community Air Service Program for 

marketing cost for the American Eagle non-stop service from ROW to DFW. 

The Coalition has developed superior marketing and sales program that has been very effective 

in driving demand for seats. The group has worked with American Airlines for over 4.5 years 

coordinating fares sale opportunities, revenue management, promotions and coop advertising to 

fine tune the program. The Coalition has developed a website designed to be used by the 

business community in the service area. This website contains downloadable versions of logos, 

schedules, and information to be used in individual business, marketing four-wall marketing (see 

marketing plan outline for more details). The site allows for the coordination of the marketing of 

Coalition, expands the local and visitor data base while communicating to potential passengers in 

a cost effective manner. 
Southeastern New Mexico Air Service Coalition Catchment Area

The Coalition looks forward to marketing the current DFW program and believes that this 

application meets the criteria and spirit of the Small Community Air Service Development 

Program.

Please send correspondence regarding this application to:

Mr. Robert Donnell

Roswell-Chaves County Economic Development Corporation

Southeast New Mexico Air Service Coalition

PO Box 849

Roswell, NM 88202-0849

On behalf of the Coalition, I urge your speedy approval of our request.

City of Roswell, NM

Del Jurney

Mayor City of Roswell
Table of Contents

1. Proposal details & overview..................................................................

a. Airport

b. Project sponsor

c. Summary of proposal

d. Project description

2. Coalition members and background .......................................................

3. Overview of the service area.................................................................

4. Air service history and Milestones....................................................

5. Program Timeline.............................................................................

a. Action plan

b. Milestones

c. Monitoring program

d. Project sustainability

6. Marketing outline.............................................................................

Exhibit A: List of companies in the encatchment area

Exhibit B: Marketing Plan Outline

Exhibit C: Marketing Budget 
1. Proposal details & overview

a. Airport

Roswell International Air Center

P.O. Drawer 1838

Roswell, NM 88202-1838

Roswell International Air Center (RIAC) began its history as Walker Air Force Base, one of the 

largest installations operated by the United States Air Force Strategic Air Command. Upon the 

closure of the base in 1967, the City of Roswell focused their efforts on building Roswell 

International Air Center as a local and regional industrial and commercial aviation center.

RIAC recently amended its name to emphasize its global objectives. The RIAC is home to a 

dynamic and important business cluster. Businesses range from homeland security to bus 

manufacturing. The following is a partial list of services offered by the major tenants: 

municipal airport, aircraft maintenance/repair, aircraft storage, aircraft painting, wire harness 

design and manufacturing, fiberglass molding, homeland security, international law enforcement

training, bus manufacturing, manufacturing of industrial tubing, youth training, physical 

rehabilitation, and higher education provided by Eastern New Mexico University-Roswell. 

The Air Center charges only nominal landing fees, has unrestricted landing slots, is not 

congested, and has unobstructed approaches. It has a full service Air Traffic Control tower, 

approach control, on-site firefighting department, and a F.A.R. 145 approved maintenance 

facility. Runway 3/21 is 2.5 miles long and has pavement strength of 100,000 lbs. single, 

200,000 lbs. T, and 400,000 lbs. S.T. Runway 17/35 is 10,000 feet long has pavement strength 

of 77 lbs. single, 104 lbs. T, and 132 lbs. S.T.

2. Project Sponsor

The official sponsor of this application is the City of Roswell, NM.

3. Historical and Current Background of Roswell Air Service

Currently Roswell is served by American Eagle for non-stop flights to Dallas/Ft Worth, using an 

Embraer 145 aircraft with 50 seats three times per day except on Saturdays, when the service is 

reduced to twice a day. The program has been a great success and as of December 2011 the 

overall load factor has been 64% with an average one-way fare of $118. There have been 

169,777 passengers fly on the service and millions of dollars have been generated in the 

community and at the airport since the start of the service in September 2007. Numerous 

corporations have decided to open new offices or expand operations in the region because of the 

convenience of having air access to a major hub. 
4. Summary and Description of the Proposal

Currently the Coalition has raised $256,000 in financial commitments for marketing of the 

current ROW-DFW service from the private sector, local city and state governments. The flights 

use Embraer Regional Jets with either 44 or 50 and operate six days a week with three flights per 

day and two flights a day on Saturdays. All the US DOT funds will be matched 50/50 and spent 

on marketing of the program. An outline of the marketing plan is located in Exhibit A. The 

Coalition requests $200,000 from the Small Community Air Service Development program 

which will be spent over a two year period. The City of Roswell, as sponsor of the proposal, will 

be responsible for the management of the funds and will work with the Roswell-Chaves County

Economic Development Corporation to execute the marketing and advertising plan. 

The chart below details the commitments from each supporting organization. 

 Percentage Amount Organization

78% $ 200,000 State of New Mexico

8% $ 21,000 City of Roswell

14% $ 35,000 Private Sector 

100.00% $ 256,000 Total Support

The Roswell airport has offered $21,000 annually in savings to American Eagle including no 

cost for landing fees, equipment and counter space lease for the service. There have been more

in-kind contributions from community media organizations, foundations and service 

organizations to support the service. 

5. Coalition Members and Background

The Roswell-Chaves County Economic Development Corporation, the Carlsbad Department of 

Development, and the Greater Artesia Economic Development Corporation (which together 

represent 3,380 businesses in the area) are committed to marketing these flights and working 

with local governments and industries to ensure a concise, consistent, and coordinated effort to 

fill the additional seats. The Coalition was formed almost eight year ago to address the 

deficiency in air service in the region and was successful in securing ROW-DFW non-stop 

service on American Airlines. 
6. Deficiency of Participation out of ROW

Air Service out of Southeast New Mexico was scarce prior to American Eagle Airlines providing 

daily jet service via ROW-DFW in 2007. The only other option for travelers at that time was to 

drive to area airports ranging from 150 miles to 200 miles dependent upon the airport and city

one is driving from. 

Now with Hobbs, NM receiving daily jet service, it is critical to have the appropriate funding 

available to market the ROW-DFW route to maintain and increase the traveler participation. The 

load factor critical to the ROW-DFW route is maintaining 62% or higher. With recent 

reductions in our marketing budget, we have cut back significantly on marketing the service in 

those areas and have seen the load factors decrease since the start of the Hobbs service. 

Marketing in the Artesia, Carlsbad and Eddy County area is critical to the success of the ROWDFW service.

7. Overview of the service area

The area encompassed by the Coalition has over 113,000 residents and supports a wellestablished tourist industry. More visitors are accessing Southeastern New Mexico via DFWROW service related to horse racing, second homeownership in the Ruidoso region, Carlsbad 

Caverns and the lure of alien space travel. 

Economic diversification is an expressed goal of community leaders throughout Southeastern 

New Mexico. We are rural communities and our objectives reach far beyond the typical Ag 

related industries. The Federal Law Enforcement Training Center (FLETC) in Artesia trains 

over five thousand (5,000) Federal employees each year at their advanced training center in 

Artesia, New Mexico. The International Law Enforcement Academy (ILEA) in Roswell trains 

in excess of six hundred (600) international police officers each year at their new US Department 

of State funded training center and MISTIC, a private homeland security training company, 

trains Federal employees as well as private citizens at their properties throughout our region. 

The US Department of Energy WIPP (Waste Isolation Pilot Project) in Carlsbad, NM is 

mandated to store and dispose of transuranic mixed waste at their Carlsbad, NM underground 

site. Each of the named training facilities has extensive travel requirements. 

Oil and Gas recovery and production is a critical component of the Southeastern New Mexico 

regional economy. Independent fossil fuel recovery companies are situated throughout the 

Coalition’s catchment area. Holly Corporation, an independent petroleum refinery produces 

gasoline, diesel and jet fuels. Holly Corp. operates a seventy-five thousand (75,000) barrel per 

day refinery in Artesia, NM. Holly Corporation’s headquarters is located in Dallas, Texas and 
the Coalition anticipates that inbound business travelers supporting he Holly Corporation’s 

operation will fill a portion of the increased capacity.

Federal law enforcement employees receive training at the Artesia, New Mexico facility. The 

majority of the students and training staff participating in the FLETC program travel from all 

over the United States to the New Mexico site. 

The economic health of the Artesia area has for decades been dependent upon the oil and gas 

business. The major employers in this cluster includes Navajo Refining Company, Yates 

Corporation, Marbob Energy Corporation, Mack Energy Corporation and a host of other 

companies providing support to these businesses. This business sector provides the greatest 

number of jobs in the Greater Artesia Development Corporation area. 

The Carlsbad area economy has experienced major economic expansion as a result of the 

establishment of the U.S. Department of Energy’s Waste Isolation Pilot Plant (WIPP). The plant 

is located 26 miles east of the city of Carlsbad. The project has generated over 580 direct jobs,

with numerous technological spin-offs, by providing a national solution for disposing of 

transuranic waste in ancient salt beds 2,150 feet underground.

The Waste Isolation Pilot Project, potash mining and petroleum industries as well as tourism 

have created the need for direct air service to Southeastern New Mexico. Detailed throughout 

the Southeastern New Mexico Air Service application is the expressed need for affordable 

reliable air service. Many of our regional businesses are served by product and service providers 

located outside of our immediate areas. Timely and reliable transportation allowing for inperson collaboration is a necessity for them. 

The region is the seventh largest dairy producing region in the United States. The average 

number of producing cows at each of the forty-five (45) plus dairies is over 2,000 head per dairy

operation. Due to EPA and Food and Health Department regulations, travel by lab technicians, 

veterinarians, EPA and other governmental agencies is extensive into the region in order to assist 

our local dairy owners to maintain the high quality of products that they produce. Leprino 

Foods, Inc. and Select Milk Producers have built some of the world’s largest milk and cheese 

processing facilities in Chaves County. Over five hundred highly skilled full-time personnel 

work at these plants. The combined economic impact of the agricultural industry in Chaves 

County alone is over $900 million annually. Farmers and farm production personnel no longer 

‘stay down on the farm’ and travel is required to stay current on production methods and world 

agricultural production trends. 

Tourists from this world (and perhaps other worlds...) travel to Southeastern New Mexico to 

take in the beauty, weather, culture and the hospitality of this high plains desert region. Roswell, 
internationally know for its ‘out of this world’ visitors attracts over 500,000 earthly investigators 

annually to answer for themselves the ongoing question, “Did they really crash in Roswell”? 

Many other well known historical and scenically beautiful sites are situated throughout the entire 

southeastern region, including: Carlsbad Caverns National Park, Guadalupe Mountains National 

Park, Ruidoso/Lincoln National Forest, Sitting Bull Falls, Bottomless Lakes State Park, Bitter 

Lake National Wildlife Refuge numerous parks, zoos, and other outdoor recreational

opportunities. These sites attract millions of visitors to the region each year. Due to the lack of 

marketing in the larger metropolitan areas, air travel is unknown by the vast majority of tourists 

who visit this region annually.

The Roswell International Air Center is the focal point of industrial and manufacturing activity

in Chaves County, NM. A variety of businesses and support industries are located at the once 

Strategic Air Command airfield – Walker Air Force Base. In 1967 the base closed and the 

property became the responsibility of the City of Roswell. City leaders aggressively developed 

this asset by attracting businesses and strengthening the economy. Today, the Roswell 

International Air Center is home to: Dean Baldwin Painting, an aircraft painting company, 

contracting with major airlines and the military. Additional Roswell International Air Center 

tenants include: Millennium Transit Service, LLC, a bus manufacturing company providing 

buses for major metropolitan cities across the country; New Mexico Youth Challenge, New 

Mexico Department of Transportation, New Mexico Rehabilitation Center, Job Corps, 

International Law Enforcement Academy and Eastern New Mexico University – Roswell are 

other organization that make up the list of airport tenants. 

8. Air Service History and Milestones

Roswell had regular scheduled air service to DFW until September 2001. Business and leisure 

travelers have missed this service since its demise after the terrorist attacks of that month. In the 

past, the Coalition has discussed with several major and regional airlines the idea of increasing 

service to the region. In 2004, representatives from the Coalition attempted to enter into 

negotiations with two different airlines to provide service to Texas. These discussions proved 

educational and the delegation became more aware of the economic risks to the airlines 

associated with starting new service. The Coalition was unable to negotiate a deal until March 

2007 with American Eagle which included a minimum revenue guarantee. 

Milestones

a. May 2007 – American Eagle announces service, flights are loaded, and available 

for sale in the computer reservation systems.

b. 2007 – Announcement of service and local supported marketing starts.

c. September 2007 – Announcement of the US DOT awards.
d. September 2007 – Signing of contract between the City of Roswell and US DOT 

letter of commitment.

e. October 2007 – Launch of cooperative of the cooperative marketing program 

plan.

f. March 2008 – A third daily (except Saturday) DFW flight was added to the 

service

g. August 2008 – A fourth daily (except Saturday) DFW flight was added to the 

service

h. January 2009 – Flights reduced to three daily (except Saturday, two flights a day)

i. May 2009 – A contract with American Eagle was negotiated to bring non-stop 

service to LAX starting in August 2009

j. August 2009 – Four flights a week ROW-LAX flight service was added

k. April 2010 – A fourth flight daily (except Saturday) DFW flight was added to the 

air service

l. August 2010 – Flights reduced to three daily (except Saturday, two flights a day); 

ROW-LAX service discontinued

m. April 2011 – A fourth flight daily (except Saturday) DFW flight was added to the 

air service

n. November 2011 – Flights reduced to three daily (except Saturday, two flights a 

day)

9. Program Timeline

The Coalition is “shovel ready” and will have already implemented the marketing plan at the 

time the grant is awarded. The project has full regional and community support. There will be a 

few pieces of the marketing plan that will kick off July 1, 2012 while other media venues will be 

negotiated. If the Coalition is awarded a grant, the funds will be spent starting January 1, 2013

for the next 24 months. 

10. Monitoring program

The monitoring program will provide quarterly updates of the marketing plan, proof of 

advertising and paid invoices to the US DOT. 
Exhibit B

Marketing Plan Outline

Current Situation –

American Eagle is servicing the City of Roswell, Chaves County and Southeastern New Mexico 

with non-stop service from ROW to DFW. The flights use Embraer Regional Jets with either 44

or 50 seats. The service operates five days a week with three flight per day and two flights on 

Saturdays. 

Target Markets –

There are four retail target markets including the local leisure traveler, the local business traveler,

the inbound business travelers and the leisure visitors. The marketing plan is designed to cross 

communicate the Fly Roswell message to all travelers using retail advertising, four-wall 

marketing, public relations, sales promotions special events and community sponsorships. There 

are four trade target markets including non-profit organizations, governmental agencies, local 

businesses and inbound leisure travelers (Ruidoso and Carlsbad). The trade market 

organizations will be used as a communications vehicle to these organization’s employees, 

clients, related service companies and customers. One of the major keys is to have buy-in from

the General Manger, President or CEO of the organizations in the region. The Coalition will

provide these companies, at little or no cost, the marketing materials to be used to deliver the Fly

Roswell message.

Marketing Backbone - 

The marketing backbone is already in place for the ROW-DFW service. By developing the back 

of the house creative and design projects include collateral materials, placing advertising, database development, logo design, website design, longer term partnerships etc. 

Communications Details

Advertising –

The funds will be used for a traditional advertising campaign; radio and newspaper etc. The 

radio and newspaper campaigns will be leveraged with sales promotions directing individuals to 

websites in order to increase the current database. The newspaper campaign needs to leverage 

the editorial and public relations opportunities. See Exhibit D for a complete advertising and 

marketing budget plan.
Four-wall marketingThe four-wall marketing plan information is being managed and displayed on the Fly Roswell 

business-to-business section of the website. This site includes up to date correct consistent 

schedule information, special fares, promotions, sponsorships, recommended text for emails and 

collateral material, logos, up-coming events, list of supporters and details of the program. The 

Roswell-Chaves County EDC will manage the site for the Coalition and will remain the single 

point to distribute the information. In addition to the website, there are numerous opportunities 

to deliver the Fly Roswell message via the members. This process will engage individuals to 

become ambassadors of the program. There is little or no additional hard cost for supporters to 

include the Fly Roswell message into their day-to-day business activities. Listed below are 

some opportunities to consider:

• Include a Fly Roswell message and logo on your web site.

• Integrate the Fly Roswell logo on your home page.

• In the directions or map tab – include the airport location.

• Provide details of air service available at ROW.

• Create links to Fly Roswell homepage.

• Include Fly Roswell message information in your newsletter and e-mail distribution list. 

• Train employees about air service available at ROW (companies, hotels and reservation 

centers). 

• Distribute collateral to guests at check-in and concierge desks. 

• Fly Roswell message included in bank statements, utility billings, letters to property 

owners, etc.

• Distribute collateral to guests at special events.

• Include Fly Roswell message with reservation confirmation (hard/electronic copy). 

• Place tabletop collateral in guest rooms, at front desk and in restaurant. 

• Include a Fly Roswell message on all e-mail signatures. 

• Include a Fly Roswell message in welcome binders. 

• Include a Fly Roswell message on community television. 

• Add a Fly Roswell message to your phone hold messages. 

• Affix a Fly Roswell sticker to envelopes or mailings. 

• Arrange for travel agencies to promote and support service.

• Other travel agencies incomplete thought
Public Relations –

The public relations program will have two media targets, first the local media outlets. This will 

leverage the advertising buys with public relations needs. The second media target will focus on 

areas outside of the state of New Mexico geared towards business and leisure. The positioning

of Fly Roswell is the “in thing” to do. It is the “the topic” of conversations at special events, 

clubs, social gatherings, business meetings etc. 

Trade Show and Chamber of Commerce –

The Coalition will develop business relationships with travel industry organizations, business 

clubs, trade associations and chamber of commerce in large metropolitan areas. These networks 

generate support in leisure and business travel and corporations looking for competitive labor 

when the cost of living is lower than the national average. 

Database Management -

The development of a trade and consumer email database leverages the communications budget

and creates a fast and inexpensive vehicle to send messages to a targeted group of air service 

supporters and consumers. Names and addresses can be collected via numerous opportunities,

including websites, promotions, contests, opt-in programs, hotel registration, convention/meeting 

events, special events, partnerships and purchase. Currently the Coalition has access to over 

6,000 name and email addresses that can be used to market the service.

Research -

The ROW airport has experience tremendous growth in the past years and we have conducted 

many surveys online and at the airport to make sure we are meeting the traveler’s needs. We 

have found that there are many in the encatchment are that are unaware of the service out of 

ROW, so it is critical that we continue to market the ROW-DFW service. The results allow the 

Coalition to understand more about needs of the target markets i.e. the purpose of the trips, local 

or visitor, length of the trips, prioritize the improvements of the facilities at the ROW airport and 

new additional air service. 
Exhibit C

Marketing Budget

Media Venue Description Budget

Television 2 stations (KOB, KBIM) $60,000.00

Radio 3 stations (KBIM, MTD, Majestic) 45,000.00

Billboards (SENM & Dallas) 48,000.00

Website/Design Graphmaster 18,000.00

Print magazines 60,000.00

Movie Theatre 3 theatres (Roswell, Carlsbad, Artesia) 30,000.00

Promotional/Tradeshows tradeshows/receptions; promotional items 50,000.00

Gift Cards gift cards for sponsorships/trades 24,000.00

Anniversary 5 year anniversary event 65,000.00

Total: $400,000.00

**proposed budget based on a 2 year period