APPLICATION UNDER 

SMALL COMMUNITY AIR SERVICE DEVELOPMENT PROGRAM

DOCKET DOT-OST-2013-0120

SUMMARY INFORMATION

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: City of Mobile

DUNS Number: 010396687-0000

EIN/Tax ID: 63-6001318

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

1. AIR SERVICE DEVELOPMENT TASK FORCE 

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. Mobile Regional Airport MOB 2.

3. 4.

1
D. LIST THE 2-DIGIT CONGRESSIONAL DISTRICT CODE APPLICABLE TO THE SPONSORING 

ORGANIZATION, AND IF A CONSORTIUM, TO EACH PARTICIPATING COMMUNITY.

1. AL-001 2.

3. 4.

E. APPLICANT INFORMATION: (CHECK ALL THAT APPLY)

Not a Consortium Interstate Consortium Intrastate Consortium

Community now receives subsidized Essential Air Service

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

Service Development Program Grant

If previous recipient: Year of grant(s): 2002

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

PUBLIC PRIVATE

1. N/A 1. N/A

2. 2.

3. 3.

4. 4.

5. 5.

G. PROJECT PROPOSAL: (CHECK ALL THAT APPLY)

Marketing Upgrade Aircraft New Route

Travel Bank Service Restoration Subsidy

Surface Transportation Regional Service Revenue Guarantee

Launch New Carrier Start-up Cost Offset First Service

Study Secure Additional Service Other (explain below)

H. EXISTING LANDING AIDS AT LOCAL AIRPORT:

Full ILS Outer/Middle Marker Published Instrument Approach

2

X

X

X

X
Localizer Other (specify)

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

LINE DESCRIPTION SUB TOTAL TOTAL AMOUNT

1 Federal amount requested 710,000

2 State cash financial contribution 0

Local cash financial contribution

3a Airport cash funds 0

3b Non-airport cash funds 0

3 Total local cash funds (3a + 3b) 0

4 TOTAL CASH FUNDING (1+2+3) 710,000

In-Kind contribution

5a Airport In-Kind contribution** 200,000

5b Other In-Kind contribution** 900,000

5 TOTAL IN-KIND CONTRIBUTION 

(5a + 5b)

1,100,000

6 TOTAL PROJECT COST (4+5) 1,810,000

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.

MOB will abate landing fees up to $100,000 over two years.

Local hotels will provide cost savings to airline crews and the Coastal Alabama Partnership will fund a research and 

branding effort.

3
K. IS THIS APPLICATION SUBJECT TO REVIEW BY 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 APPLICANT DELINQUENT ON ANY FEDERAL DEBT? (IF “YES”, PROVIDE 

EXPLANATION)

No Yes (explain) 

______________________________________________________________________________

______________________________________________________________________________

4

X

X
Proposal Under the Small Community 

Air Service Development Program 

Docket DOT-OST-2013-0120

An Effort of the Air Service Development Task Force to 

Increase Connectivity in the Gulf Coast Region

Legal Sponsor - City of Mobile

DUNs Number for City of Mobile: 010396687-0000

Congressional District AL-001
I. Introduction

Mobile currently has 25 daily non-stop flights to 5 destinations aboard United 

Airlines, Delta Air Lines, American Airlines and US Airways. 

Mobile’s largest domestic markets are business markets and include: New York, 

Washington DC, Houston, Atlanta and Dallas.

Mobile had the 13th highest domestic fares in 2012 with an average one-way fare 

of $240.65 among airports with over 250 passengers per day each way.

According to the Mobile Bay Convention and Visitors Bureau, the number one 

reason Mobile Bay loses convention business is due to high fares and lack of 

non-stop routes. 

Even among benchmark cities, fares are higher than average as indicated in the 

chart below.

Benchmark City (by PDEW) Average One-Way Fare Passengers Per Day Each Way

Rapid City, SD, US $235.41 613

Bismarck, ND, US $239.87 615

Fayetteville, NC, US $225.48 640

Charleston, WV, US $209.08 647

Green Bay, WI, US $250.78 655

Mobile, AL, US $240.65 668

Augusta, GA, US $202.12 674

Shreveport, LA, US $240.87 684

Fort Wayne, IN, US $205.45 687

Jackson Hole, WY, US $252.73 687

Peoria, IL, US $188.67 694
I. Introduction

Historically the greater Gulf Coast Region has suffered from high fares and a lack of domestic and international 

connectivity. This lack of connectivity has increased over the last 10 years (chart below) as airlines cut service in 

smaller markets which lead to fewer seats and thus passengers utilizing Mobile Regional Airport. Only very recently 

has Mobile Regional Airport begun to experience an increase in aircraft seats and passengers. Even so, the Mobile 

Regional Airport, and the region it represents, remains substantially underserved.

After extensive surveying, 4 non-stop destinations were chosen as key areas that lacked adequate connectivity: 

Washington DC - BWI, Chicago, Nashville and St. Louis.

0

88

175

263

350

2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012

0

275

550

825

1,100

922 816 792 817 866 799 777 739 747 742 778 751

$207 $188 $192 $201 $216

$247 $252 $272

$243

$287 $283 $300

Average One-Way Fare

Passengers Per Day Each Way

Average Fare Passengers per Day
I. Introduction

In 2007 the Mobile Airport Authority reached out to the greater Gulf Coast community and asked for help with this 

problem. The result? 

A strong and committed group of 70 businesses, organizations and non-profits joined together to create an Air Service 

Development Task Force. This Task Force is lead by the Mobile Area Chamber of Commerce and works to achieve 3 

goals:

Retain existing air service

Grow existing air service

Secure new air service

Recently this group was successful in securing new air service on United Airlines to Chicago O’Hare and enhancing 

current service on Delta Air Lines to Atlanta (larger jets).

The Air Service Task Force (ASTF) is lead by the Site Director of Airbus locally, and two years ago was further 

organized into four committees: Market, Affinity/Integration, Risk Mitigation, and Regional Brand Development. 

Community leaders were assigned to lead these 4 committees and deal with all aspects of attracting and, more 

importantly, retaining air service in our region. 

The committees meet regularly and work on a comprehensive set of deliverables. The ASTF believes that the 

deliverables, once complete, will provide an airline the necessary risk mitigation and support for new air service.
I. Introduction

Sample of Air Service Task Force Member Companies/Organizations:

Airbus Americas Engineering, Inc.

Austal USA

Baldwin County Economic Development Alliance

City of Mobile

Congressman Jo Bonner

CPSI

Hancock Bank

Merrill Lynch/The Whiting Group

MLK Avenue Redevelopment Corporation

Mobile Airport Authority

Mobile Area Chamber of Commerce

Mobile Bay Convention & Visitors Bureau

Mobile County Commission

Page & Jones Inc.

Press-Register

Renaissance Mobile Riverview Plaza Hotel

Scotch & Gulf Lumber LLC

SH Enterprises, Inc.

White-Spunner Construction Inc.
I. Introduction (Market Study)

One committee deliverable, and the foundation of the 

project moving forward, was to better understand our 

diverse region and the opportunities within. To do this 

the ASTF commissioned Campbell/Hill Aviation 

Consultancy to conduct a detailed Market Study. 

The findings of the Market Study again show how the 

region, served by MOB, remains critically underserved.

There are 4.8 million people, 2.2 million households 

within the Gulf Region that runs from New Orleans 

(MSY) to Panama City (ECP), the area covered by this 

analysis. In 2012, 2.38 million trips by commercial air 

carrier originated from this area. 

Mobile (MOB) has 15% of the population and 15% of 

the households within the Gulf Region, but captured 

only 6% of trips in 2012 (graphic next page).

Only 52% of originating passengers from the region 

closest to MOB use MOB airport.

Note: Based on 2 hour drives around each 

gulf airport as outer bounds. Then the areas 

are subdivided by closest drive time. For 

example, the red area is the area within 2 

hours that is closest to MOB.

GULF COAST REGION 
I. Introduction (Market Study)

 = 10 Bookings

PAX USING ALL AIRPORTS IN SHARE OF PASSENGERS USING CLOSEST AIRPORT

REGION BY WHERE THEY LIVE
I. Introduction

The preliminary results of Campbell-Hill’s Study are complete. Mobile passengers are being forced to drive to 

neighboring airports.

Among Gulf Coast Airports (New Orleans, Gulfport, Mobile, Pensacola, Fort Walton, Panama City), Mobile had the 

highest aggregate income, population and number of households but the lowest seat capacity.

Clearly, Mobile is underserved and has a critical need to attract additional air service.

As the Air Service Task Force continues to meet with airlines, one resounding question is asked again and again.

Who are you?

This question, unanswered, will discourage airlines from adding new air service at MOB. Airlines want to know how to 

market the Mobile region as a destination to their passengers.

We aim to answer that question.
II. Strategic Plan

The Air Service Task Force intends to use Small Community Air Service Development Grant funds to purchase media 

for an aggressive social media and traditional media branding campaign.

This campaign would be offered with the launch of new air service in conjunction with: 

Hotel Accommodations Package

Mobile Regional Airport Abatement Package/Participation in Station Services Program

Brand Advertising (with airlines name included in content funded by the grant).

We are asking the Department of Transportation for $710,000 for air service marketing efforts. 
II. Strategic Plan

The Air Service Development Task Force (ASTF) has completed a substantial amount of work that distinguishes our 

community from other applicants. We are not asking for funds for a stand-alone project. The media buys are part of a 

detailed plan.

Here is an overview of what our committees have undertaken to make new air service a reality:

Risk Mitigation Committee: Goal - creatively determine how to best mitigate risks using the region’s diverse assets.

An accommodations package including free/discounted room nights for airline staff has already been finalized. 

This package is worth $500,000 in potential savings over 1 year.

The Coastal Alabama Partnership, a private entity, has applied for a BP-Coastal Recovery grant to fund the 

ASTF’s Market Study and part of the regional branding initiative. The award is pending.

Fee abatements totaling no more than $100,000 from the Mobile Airport Authority will be available each year for 2 

years.

Market Committee: Goal - redefine the new regional market and the market surrounding destination cities.

Campbell-Hill Aviation Group, LLC, a Washington, DC based aviation consulting firm was selected to conduct a 

study that outlined MOB’s true market as well as the true market for destination cities. 
II. Strategic Plan

Brand Development Committee: Goal - determine the true identity and brand that best defines our region and 

determine ways to creatively market that brand.

The Coastal Alabama Partnership is developing a regional brand that will be the umbrella that all the region’s 

organizations (business and leisure) can embrace. The Coastal Alabama Partnership will fund this effort.

Affinity/Integration Committee: Goal - to build a strong partnership/family between target airlines and the Region and 

for airline recruitment efforts to promote goodwill in the community and build brand loyalty.

This group has identified over 200 of the region’s main influencers and is devising a plan to reach-out to this 

group and include them in our efforts moving forward.

A critical task ahead for the Air Service Task Force is to develop funding for the airline service launch social and 

traditional media campaign. Once the Campbell-Hill Market Study is complete (August 2013), the Coastal Alabama 

Partnership expects to begin the brand collaboration process. 

After that the Air Service Task Force needs to fund the traditional and social media buys.
II. Strategic Plan

PROJECTED ANNUAL PAID MEDIA ALLOCATION: 

Digital/Online - $70,000

Search Engine Marketing Campaign - $10,000

Banner Campaign - $60,000

Print - $75,000

Press-Register (1/4 page vertical, Sunday w/color) - $2,500/ insertion (24 insertions = $60,000

Mobile Bay Monthly (1/2 page, 4/c, 6X rate) - $1,550/ insertion (6 insertions = $9,200)

Business View (full page 6 x = $1,000/insertion - less 20% discount = $6,000 - $1,200 = $4,800) 

Outdoor / Directional Locators - $125,000

Airport Blvd. - $2,500/mo. ($30,000/yr.)

Digital, Airport & McGregor- $3,800/mo. (highest weekly impressions = $46,000/yr.) 

Additional budget to include negotiation of boards placed around I-10/I-65 as well as key placements throughout the Gulf Coast. 

Radio - $140,000

6 Month Schedule / Four, 4-week flights / 2,000 GRPs - $140,000
II. Strategic Plan

PROJECTED ANNUAL PAID MEDIA ALLOCATION (CON’T):

 Television - $200,000

6 Month Rotation Flighted / 200 GRPs - $200,000

Cable - $70,000

6 Month Rotation / 250 spots - $70,000

Social Media: 

$2,500 per month = $30,000

Total: $710,000 

This represents an annual paid media allocation that will be spread from the beginning/middle of 2014 through 

2015.
III. Funding: Risk Mitigation 

Package

Hotel Accommodation Package

Value of Free Nights - $500,000/year for 1 year

Coastal Alabama Partnership Funds 

Research and Planning - $150,000

Creative (Brand Creation) - $250,000

Mobile Airport Authority

Abatement of fees (value) - $100,000/year for 2 years 

TOTAL VALUE OF AIR SERVICE TASK FORCE RISK MITIGATION PACKAGE - $1,100,000 
IV. Legal Sponsor

Legal Sponsor: City of Mobile, Alabama

Contact: Rebecca Christian, CPA, CGMA

Title: Accountant II

Department: City of Mobile, Accounting Dept.

Phone: (251) 208-7201 

Fax: (251) 208-7756 

E-Mail: christianr@cityofmobile.org

Mailing Address:

P.O. Box 1827

Mobile, AL 36633-1827
Case Study: 

ASTF - Partnership Success

In April 2013, United Airlines launched non-stop daily service from Mobile to Chicago-O’Hare. The Air Service Task 

Force joined together to attract and promote the service. 

Air Service Task Force members wrote letters of support.

A community event was held at the airport.

Advertising was spread by traditional means such as billboards, TV and by word of mouth and social media.

Air Service Task Force members continue to support that service and indications from United schedule planners are 

that the service is doing well and Mobile may have the opportunity for a second flight. They welcome dollars to 

continue the awareness effort.
V. Past Grant Award

A Small Community Air Service Development Grant was awarded to Mobile Regional Airport (MOB) in 2002 to fund 

MOB’s Station Services Program.

After September 11, 2001, MOB lost its United Airlines service. At that time, United also ground handled all US 

Airways flights. Mobile would have lost both carriers but created the Station Service Program and was able to retain 

US Airways flights to Charlotte. 

Station Services is a program where the airport owns, operates and equips an airline’s station thus lowering the 

barriers to entry for new or existing air service.

US Airways continues to participate in the Station Services Program.

Station Services was vital to attracting American Airlines to Mobile in 2005.

Station Services is offered to all airlines as part of the Airport's risk mitigation package.
VI. Letters of Support

In separate attachment.
31-315t RESOLUTION 2 13 

Sponsored by: Mayor Samuel L. Jones 

BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF MOBILE, 

ALABAMA, that the Mayor and the City Clerk be, and they hereby are, authorized and directed, 

for and on behalf of the City of Mobile, to take all actions necessary to apply for and administer 

a grant offered by the "Small Community Air Service Development Program," U. S. Department 

of Transportation. The grant application has been developed by the Air Service Development 

Task Force, a group of 70 businesses, organizations and non-profits, at no cost to the City. The 

local match will be provided through in kind contributions offered by the Mobile Regional 

Airport, the Coastal Alabama Partnership and cost savings from local hotels. The purpose of the 

grant program is to attract and grow air service to Mobile. 

Adopted: JUL 2 3 2013 

C:\Documents and Settings\ 18221Local Settings\Temporary Internet Files\OLK10\00029011.DOC 




Ar-ABAMA T^qfu*AUrHoRrrY

luly 26,2013

Department of Transportation

Office of Aviation Analysis

Office of Aviation and lnternational Affairs

1200 New Jersey Ave, SE

Washington DC 20590

Docket DOT-OST-20 I 3-0 I 20

Re: Letter supporting the Air Service Development Task Force's Small Community Air Service

Development Grant Application

To Whom It May Concern:

I am writing on behalf of the Alabama State Port Authority in support of the Mobile Area Chamber of

Commerce Air Service Development Task Force's Small Community Air Service Development Grant

Application.

The Alabama State Port Authority is 85 years old and specializes in providing port facilities that support

business and industry throughout the State of Alabama and surrounding regions. We currently employ 25

people that fly approximately I l0 times per year.

Connectivity is vital to the success of my business and to the morale of my employees that frequently

travel. The Alabama State Port Authority is committed to utilizing the Mobile Regional Airport and all

the airlines serving the Mobile region whenever possible; however, the lack of non-stop service and high

fares often results in employees being forced to drive or fly from neighboring airports.

Additional connectivity would greatly increase my company's use of our local airport and the

productivity of my workforce.

As an active partner in our region's growth, I truly understand the role my company plays in the

fulfillment of our air service goals.

Thank you

Sincerely,

for your consideration.

JKL/dg

Alabama State PonAuthoriry . PO. Box 1588 . Mobilc, AL36633-1588 . www.asdd.com





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July 19,2013

er of Congress

Ms. Susan Kurland

Assistant Secretary for Aviation and International Affairs

U.S. Department of Transportation

Office of Aviation Analysis

1200 New Jersey Avenue, SE

Washington, DC 20590-0001

RE: DOT-OST-2013-0120

Dear Ms. Kurland:

I would like to take this opportunity to offer my support for the Mobile Area chamber

of commerce's Air service Development Task Force who is applying for funding through the

U.S. Department of rransportation's smal/ community Air service Development-Grant

Program.

For years, the lack of non-stop flights and high rates at the Mobile Regional Airport

have forced residents and businesses to drive to neighboring airports to utilize their airline

services. I commend the Mobile Area Chamber of Commerce for pursuing opportunities such

as this which will not only enhance travel options for the entire gulf coast region, but increase

city revenue and boost tourism. Therefore, I respectfully request that you give the Mobile

Area chamber of commerce's Air Service Development Task Force's application every

consideration.

If you feel that I may be of further assistance or can provide you with any additional

information, please don't hesitate to let me know.

With best regards, I am

JB:bj

2236 R^YB!RN HousE OFFcr SurLorNc

wAsr NcroN, OC 20515

t202) 225-4931

F^x \202) 225-0562

www house.gov/bonner

lr NoArr WaEF SrFEEr, SurrE r5290

MoBrLE, AL 36602

1251)690 2a11

F^x 1251)690-2815

ToLL FFEE: 1 800 288-USA1

201 Easr SEcr oN AvENU!

1251t 912 4545

FAx: 12511972 8546


July 26, 2013

Department of Transportation

Office of Aviation Analysis

Office of Aviation and International Affairs

1200 New Jersey Ave, SE

Washington, DC 20590

Docket DOT-OST-2013-0120

Re: Letter supporting the Air Service Development Task Force’s Small Community Air Service 

Development Grant Application 

To Whom It May Concern:

Please be advised that we, the undersigned Mobile County Commissioners, are in full support of the 

Small Community Air Service Development Grant Application sponsored by the Mobile Area Chamber of 

Commerce Air Service Development Task Force and request your utmost consideration of the grant 

proposal.

Connectivity is vital to economic development of the Mobile area in the ability to attract businesses and 

industry. The Mobile County Commission is committed to utilizing the Mobile Regional Airport and all 

the airlines serving the Mobile region whenever possible; however, the lack of non-stop service and high 

fares often results in citizens being forced to drive or fly from neighboring airports. 

Additional connectivity would greatly increase citizen use of the Mobile Regional Airport and improve 

the productivity of the Mobile workforce. 

Thank you for your consideration.

Sincerely,

Merceria Ludgood

President

District 1

Connie Hudson

Commissioner

District 2

Jerry Carl

Commissioner

District 3