Proposal for the Small 

Community Air Service 

Development Program

Docket DOT-OST-2011-0119

Legal Sponsor:

Niagara County Department of 

Economic Development

DUNS Number:

0675238860000

EIN#:

16-6002564

Congressional District Code:

26

August 1, 2011 
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Table of Contents

Executive Summary 3

Niagara Falls International Airport Project Proposal

A. Description of the Community’s Existing Air Service 5

B. Synopsis of the Community’s Historical Service 9

C. Community’s Air Service Development Efforts Over the Past Five Years 10

D. Description of the Community’s Air Service Needs and Deficiencies 13

E. Strategic Plan for Meeting Needs Under the Small Community Air Program 15

F. Description of Public/Private Entity 18

G. Description of Funding Necessary for Implementation of the Project 20

H. How Community will Ensure its Own Funding Contributions Spent per Proposal 22

I. How Community will Monitor Progress of the Grant Project 23

J. Community Plans to Continue Project if not Self-sustaining After Grant Expires 24

K. Legal Sponsor Responsibility for Administering the Program 25

L. Conclusion 26

Exhibits

Summary Information

Appendix C (Summary Information)

Appendix D (Application Checklist)

Letters of Support
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Executive Summary

The City of Niagara Falls, New York, located on the eastern banks of the Niagara River on the 

Niagara escarpment, is one of the State's first and best-known destinations. Almost 22 million 

come to the Niagara Region every year to get the best, up-close experience of the Falls in the 

historic Niagara Reservation Park (now Niagara Falls State Park). The Niagara Falls International 

Airport (NFIA) (IATA: IAG – ICAO: KIAG – FAA LID: IAG) is a joint civil-military public-use airport 

located four miles east of the central business district of Niagara Falls, in Niagara County, New 

York. Owned and operated by the Niagara Frontier Transportation Authority (NFTA), the 

airport shares its runways with the Niagara Falls Air Reserve Station.

The NFIA is within one day's driving distance of major eastern and Midwestern United States 

and southern Canada markets. The aggregate population of this market area exceeds 100 

million.

From 1980 to 1984, commercial airline service was available at the NFIA via Air Niagara, a postderegulation airline with service to Newark Airport. Empire Airlines also served the airport at 

one time, with service to Syracuse. Kiwi International briefly served the airport in 1998. In 

March 2007, Direct Air began direct non-stop airline service to Myrtle Beach. In September 

2009, Niagara Frontier Transportation Authority completed construction of a new NFIA terminal

complex to better service existing air service and is intended as an incentive to return 

scheduled regional, domestic, and international passenger service to the airport. In October 

2010, Spirit Airlines announced service to Fort Lauderdale and Myrtle Beach. In November 

2010, Vision Airlines announced service to Destin/Fort Walton Beach, FL and Miami, FL (MIA).

Today, The NFIA Stakeholders Group (Stakeholder Group) consists of members from the public 

and private sectors located in both Erie and Niagara Counties, New York. The Stakeholders are 

lead by the Niagara County Department of Economic Development (NCDED). Realizing the 

need for a more unified partnership to accomplish the goals of growing the airport through 

community involvement, the Stakeholders Group will further support the air service 

development efforts of the Niagara Frontier Transportation Authority (NFTA) and their 

promotion of the NFIA. This Stakeholder Group operates independently from the NFTA and its

incentive program. The NCDED will serve as the legal sponsor for this US Department of 

Transportation (USDOT) – Small Community Air Service Development Program Grant (SCASDP). 

The Project Director will be responsible for the strategic planning, implementation of program 

management, invoicing and reporting to the community on behalf the use of federal and nonfederal funds applied towards the project. 

The objective of the Stakeholders Group is to support the NFTA and their efforts to increase air 

service development that encompasses a variety of activities with the ultimate goal of 
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retaining/attracting existing air services or improving air access and capacity in order to develop 

the economy of the community and region. 

The Stakeholders Group is seeking a grant from the USDOT for $275,000 to be used for two 

purposes:

1. Broaden the community’s awareness of the economic and social benefits of the NFIA and 

marketing the NFIA to potential air carrier services 

2. Augment costs in support of the NFTA’s financial incentives for air carrier services as 

revenue guarantees. The community and Stakeholder Group will continue to support 

marketing incentives provided by the NFTA

The NCDED understands the payment reimbursement guidelines of this SCASDP Grant. 

The NCDED and Stakeholders Group believe that additional air service will benefit leisure 

travelers, the regional business community and residents of the region throughout the entire 

year. Additional flight services with non-stop destinations domestic and international 

destinations will provide additional travel options to millions of residents that reside within a 

short drive of the NFIA and entire Northeast Region of the United States. These additional air 

services will promote this regions industry of tourism during the peak and off-peak seasons. 

The new potential services and expansion of NFIA existing carriers will further increase the 

visitation to the Niagara Region that will promote and benefit the business community that 

depends greatly on tourism for its business. 
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A. Description of the Community’s Existing Air Service

Commercial Airlines 

NFIA currently has three airlines in operations, Direct Air and Tours, Spirit Airlines and Vision 

Airlines (Vision Airlines to resume operations in 11/2011). In March 2007, Direct Air began 

airline service to Myrtle Beach. In September 2009, a new state-of-the-art, 69,430 sqft terminal 

complex was completed to better service existing air services and is intended to be an incentive 

to return scheduled regional, domestic and international passenger service to the airport. In 

October 2010, Spirit Airlines announced service to Fort Lauderdale and Myrtle Beach. In 

November 2010, Vision Airlines announced service to Destin/Fort Walton Beach, FL and Miami, 

FL (MIA).

Terminal

The NFIA is located within a region composed of eight counties in Western New York State on 

the boarder of the Niagara Peninsula of Ontario, Canada. The region is served by four 

international bridges connecting the U.S. and Canada and two train crossings. NFIA is centrally 

located for distribution to/from major population centers throughout this region.

The NFIA terminal building contains facilities to handle domestic and international scheduled 

air carrier and charter flights. The 69,430 square foot terminal contains:

 Passenger loading bridge designed to handle a Boeing 747

 Ability to turn a B-747 International Flight in 90 minutes

 Eight check-in counters, plus electronic check-in positions and curbside check-in 

facilities

 Security lanes with fully functional TSA facilities

 Expedited processing for both international and domestic flights

 State-of-the-art Customs & Immigration facilities 

 Over 1500 parking spots (with additional land for expansion)

 Free Wi-Fi 

Hangars

NFIA encompasses just west of the terminal building a general aviation itinerant apron, Fixed 

Based Operator building and hangar, airport administration building and service vehicle garage. 

The second general aviation is located west of the main terminal. This area contains hangars 

and tie downs for based aircraft and aviation organizations. Presently, there are eight 

conventional hangers, 14 “nested” T-hangers, 60 tie downs and 17 conventional hangar 

buildings of various sizes on site. All aircraft hangars in this area are privately owned and 

constructed over paved apron area. Above ground storage holds 30,000 gallon jet fuel capacity 

(currently being extended to 48,000 gallons) and 10,000 AVGAS, as well as storage for diesel 

fuel and gasoline for airport ground vehicles. 
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Runway

NFIA airfield system consists of three runways, 10L/28R (9,829 long by 150 ft wide), 06/24 (and 

10R/28L, and 13 associated taxiways. The maximum take off distance for 10L/28R is 10,829 ft.

Parking

Parking on site at the NFIA is easily accessible and a short convenient walking distance to the 

terminal. Parking rates are $5 per day with a maximum weekly rate of $25. There are 

designated parking spaces that allow for up to two hours of free parking accommodating "meet 

and greet" patrons.

The Niagara Region includes the major metropolitan areas of New York and Central Ontario
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NFIA Provides Airlines with an Unconstrained and Uncongested 

Operating Environment:

• Full capability runways

• 9,825 foot main (10L – 28R) (10,895 foot takeoff length)

• 5,188 foot crosswind (6 – 24)

• 3,973 foot general aviation parallel (10R – 28L)

• ATC Tower (0700 – 2300)(BUF tower controls other times)

• Cleveland ATC is uncongested (not New York City or Toronto ATC)

• No noise restrictions or curfews

• Ample aircraft parking, loading and unloading areas

• Full service 24-hour FBO

• U.S. Customs 24-hour service (on call from U.S. – Canada border three miles away)

• Warehouse facilities on site

• Foreign Trade Zone #34 (183 acres adjacent to IAG, with two 50,000 sq. ft. buildings)

The NFIA is positioned to replicate the larger airport service experience by penetrating the 

Niagara Region market with long haul – leisure services. 
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Airline landing fees at NFIA (IAG) are 7%

of those charged at YYZ

Airport Rate per

000 lbs. MTOW B 737-800 B 767-300ER A330-200

155,500 MTOW 380,000 MTOW 513,700 MTOW

IAG $ .90 $ 140 $ 342 $462

JFK $ 6.25 $ 972 $ 2,375 $ 3,211

YYZ $ 12.33 $ 1,917 $ 4,685 $ 6,334

Source: Niagara Frontier Transportation Authority, Port Authority of New York and New Jersey, 

Greater Toronto Airport Authority; MTOW = Maximum Take Off Weight; Amounts in US$ 

(August 2010 rates)

NFIA (IAG) charges and fees are simple, limited and very low

Fee/Charge NFIA (IGA)

Landing Fee $.90 per 000 lbs MGLW

Passenger Screening Fee $ .75 per pax 

$ 75 per flight minimum

Terminal Rent (Optional) $ 10 per sq ft
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B. NFIA Historical Services

Aviation in Niagara Falls has a proud history, dating to 1928 and the establishment of the cityowned Niagara Falls International Airport. Those four crushed stone runways, paved a place for 

the airport. The first terminal opened in 1935. Bell Aerospace set up operations adjacent to 

the runway, where they would develop the world’s first commercial helicopter and first 

supersonic plane.

World War II moved the airport into an active military phase, which continues today. The 

United States Army Air Forces established a base in the Falls, operating the facility throughout 

the war. The military added and extended runways, constructed a control tower, added high 

intensity lights, and an instrument landing system. The base was eventually converted to an Air 

Reserve Base and became the upstate home of the New York Air National Guard. With the 

establishment of the U.S. Air Force in 1947, a U.S. Air Force Reserve Unit took up residence. In 

1959, the main runway was extended to over 9,000 feet in order to accommodate the new, 

more demanding military aircraft.

In 1965 U.S. Customs approved the Niagara Falls Airport for international flights. In 1970 the 

City of Niagara Falls sold the airport to its current owner, the Niagara Frontier Transportation 

Authority. In 2003, the NFTA lengthen the runway again, to 2,994 meters (9,825 feet, with a 

maximum take off distance available of 10,825 feet), making it one of the longest in New York 

State and enabling the NFIA to accommodate the largest aircraft in the air today. It serves as a 

occasional stop off carriers flying the Antonov An-124, one of the world’s largest planes.
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C. Community’s Air Service Development Efforts Over the Past Five 

Years

The NFTA has significantly increased its efforts to promote and market the NFIA over the last 

several years. The goal of the Stakeholders Group is to develop means and resources that will 

assist the NFTA in the marketing of the new NFIA terminal and all of its amenities to 

prospective airlines, educate the local community of the NFIA’s significance to the region and 

promote the available properties adjacent to the terminal for potential developers. The NFIA is 

owned and operated by the NFTA; the public authority responsible for the public transportation 

oversight of Erie and Niagara counties in the State of New York. The NFTA oversees a number 

of subsidiaries that include the NFIA. 

The state-of-the-art $31.5 million terminal at the NFIA opened for business in December 2009. 

The new terminal was a major component of an overall $42.5 million airport improvement 

project. For the past few decades, the NFIA had been hindered by a lack of passenger boarding 

bridges and adequate terminal facilities. The 69,430 sq ft facility is three times the size of the 

former terminal, with a second story that includes two large gates with passenger boarding 

bridges. The two gates on the ground level are designed for ground loading operations.

With the new terminal, the NFTA is in a better position to attract additional air service, both 

scheduled and charter. In the first 12 months since the new terminal opened, the airport 

experienced an expanded flight schedule on Direct Air, which has been flying from NFIA since 

2007. Additionally, two new airlines started service at NFIA; Spirit Airlines and Vision Airlines 

commenced flights from the airport in winter 2010. NFIA has both seasonal and year-round 

flights to several key leisure destinations, including Myrtle Beach, South Carolina, and Punta 

Gorda, Fort Lauderdale, West Palm Beach, Melbourne, Destin, and Lakeland, Florida. The 

estimated economic impact of the air service at NFIA in 2010 was $20 -$30 million. 

Construction impact of the new terminal project exceeded $90 million.

NFIA is undergoing major infrastructure improvements, helping it move into areas other than 

its traditional role in the past as an airport used primarily as a general aviation airport. NFIA is 

also home to a United States Air Force installation. The improvements are a joint effort 

between the Air Force, the Federal Aviation Administration (FAA), the New York State 

Department of Transportation (NYSDOT), and the NFTA. In the past decade, the length of the 

airport’s main runway (28R/10L) was extended to more than 10,000 feet, which can 

accommodate any size military or commercial aircraft. In summer 2011, the airport’s largest 

secondary runway (6/24) will undergo significant improvements related to the runway’s Safety 

Area. In summer 2012, the airport’s main runway (28R/10L) is slated to receive a new mill and 

overlay.
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The NCDED has spearheaded efforts with the assistance from local public and private 

stakeholders to help the NFTA’s promotion of the new state-of-the-art passenger terminal. 

Local stakeholders associated with this NFIA marketing initiative include: 

Niagara Frontier Transportation Authority (Advisory Role Only)

Niagara County

City of Niagara Falls

Niagara USA Chamber

Niagara County Industrial Development Agency

 Niagara Tourism and Convention Corporation

 Hotel/Motel Association

 Seneca Niagara Casino & Hotel

 Fashion Outlets – Niagara USA and representatives from the Small Business community

 New York State Senate and Assembly

 Niagara Falls Bridge Commission

 Empire State Development Corporation 

 Buffalo Niagara Enterprise

The mission statement of the NFIA Stakeholder Group is: 

To unite stakeholders from the business, government, hospitality, tourism and other 

interested parties to explore, devise and develop processes and procedures that will 

support and advance the development of air services at the Niagara Falls International 

Airport.

In addition to securing funding for the promotion of the commercial traffic at the NFIA, during 

the construction of the main terminal, the NCDED secured funding, through the local New York 

State Legislative delegation, for adjacent landscape improvement and security upgrades to the 

terminal. Funding was secured through the state delegation for improvements to the existing 

air cargo ramp infrastructure by adding a surface consistent with the industry norm for air 

cargo operations at United States airports, which will enable cargo aircraft at NFIA to land and 

taxi to cargo warehouse areas for loading and unloading. 

Representatives from the Niagara Tourism and Convention Corporation (NTCC), Niagara 

County’s official Tourism Promotion Agency as designated by I Love New York, have conducted 

research in collaboration with the NFTA and Niagara University, to provide accurate and 

methodical information needed when marketing the NFIA to potential airlines. 
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Currently the Stakeholders Group are working to create a 501-c-3 not-for-profit that will 

advance the marketing initiatives of the community. This Stakeholder Group will further work 

to provide assistance to the NFTA’s marketing initiatives that include:

 Identify and solicit funding for ongoing marketing & revenue guarantee initiatives

 Provide supplemental community incentives and financial resources to airlines in order 

to mitigate air carrier costs

 Provide incentives and help to offset the costs associated with recruitment of additional 

full service fixed based operators
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D. Community’s Air Service Needs and Deficiencies

The NFIA is located in one of the largest tourist destinations in the world. More than ten 

million people reside within a 125-mile radius of the NFIA. The community marketing and 

awareness goals of the NFIA will target this large market. The Niagara Region is a growing 

market of millions of US and Canadian consumers. US-based air services effectively penetrate 

the Canada market.

The Stakeholders have worked to gain a share of the airline market and believe that their 

community is at a disadvantage given that the Buffalo International Airport and other larger 

international airports such as Toronto Pearson Airport (Canada) are within proximity to the 

NFIA. The NFIA has added more direct flights that include international destinations and 

contingent upon additional funding will continue to promote and meet with air carriers who are 

seriously considering operations at the NFIA. The NFIA’s major deficiencies are the need for 

additional community marketing dollars and funds to provide to potential air carriers to 

mitigate operating costs for air service operations. The community is aware that incoming 

carriers require that their operation costs be most cost effective when taking a chance in a new 

destination airport market. 

The NFTA operates both the NFIA and the Buffalo Niagara International Airport. The 

Stakeholder strongly believes that more resources in the form of grant funding and community 

donations (including in-kind) need to be dedicated towards the marketing and revenue 

guarantees of the NFIA. The Stakeholders have formed a solid group of community partners 

willing to assist the NFTA and provide community based incentives that include in-kind 

contributions and cash incentives in order to demonstrate the community’s dedication and 

importance of attracting new air carriers to the Niagara Falls Community and Western New 

York Region. Provided, the increased amounts of inbound traffic from Southern Ontario, 

Canada, additional services are needed to support the airport’s growth. 

Niagara Falls is one of the world’s most visited destinations. Millions of people visit Niagara 

Falls each year from all around the world. There is a great need for additional air service to 

provide direct flights to destinations domestic and internationally. Additional funding is needed 

to support destination and marketing initiatives of the NFTA. The local stakeholders are poised 

to help grow the market and provide services to both airlines and tourists who visit the Niagara 

Falls Region. 

Provided the level of activities for business and leisure travelers, the Stakeholder Group

believes the NFIA is an underserved airport community that has all the potential to become a 

world class destination with unique opportunities. The Niagara Region attracts more than 22 

million visitors annually from throughout the world. This region encompasses North America’s 

second Largest Wine Region, World Renowned & Historic Architecture, Spectacular Nature 

Activities, A National Center for the Performing Arts (Broadway musicals, theatre, and 
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Philharmonic Orchestra, World Class Golf, Las Vegas Style Gaming and Entertainment and 

established world prominent higher educational and medical institutions. 

A grant from the USDOT-SCASDP will help provide additional resources to support the NFTA’s

overall marketing/promotion strategy that includes further promotion of the NFIA throughout 

the region’s business community which will further create awareness of the NFIA and will drive 

business opportunity and increase passengers/visitors to the region. The Stakeholder Group

needs to secure large amounts of funding in order to provide financial cash incentives in the 

form of revenue guarantees to incoming air carriers. In addition to the NFTA’s Incentive 

Program which has been created to promote public and industry awareness of NFIA and its 

facilities, the USDOT-SCASDP grant will provide the means necessary to increase air travel via 

marketing and in a supporting role help incent potential air carriers to the NFIA.
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E. Plan for Meeting Needs Under the Small Community Air Program

Specific Project Goals

The overall objective of the Stakeholder Group is to support the NFTA’s goals of increasing air 

service development that encompasses a variety of activities with the ultimate goal of 

retaining/attracting existing air service or improving air access and capacity in order to develop 

the economy of the community and region. The Stakeholder Group understands most airlines 

looking to invest within an airport and its surrounding community will now expect most 

communities to provide some type of incentives to help facilitate and offset their air service 

operations. The Stakeholders understand that when a commercial airline commits its services 

to a market this represents a large risk of financial assets. The overall objective of the 

Stakeholder Group provide additional resources in support of the NFTA’s ongoing marketing 

initiatives of the NFIA to attract additional airline carriers through offering incentives to provide 

financial risk mitigation and via marketing enterprises that increases community and business 

awareness by fostering direct community engagement that supports air service development 

marketing efforts. The NFIA Stakeholder Committee and the anticipated 501-c-3 will use 

several different performance measures to gauge the success of their objectives. 

Marketing the NFIA is vital to the expansion of this community and region of the country. The 

group realizes the potential for the NFIA and provided the regions tourism market, the airport is 

a valuable community resource and economic driver for the community. The Stakeholders will 

utilize their resources via the community marketing services of the local NTCC and the Aviation 

Business Development Department of the NFTA. The Stakeholders group will continue the 

successes of the current marketing plan that identifies and lists specific strategies that include 

but not limited to brochures, tours, print advertising, international marketing events, FAM 

Tours, press events, open houses, press releases, direct mailings and website development & 

updates. The Stakeholders will continue to capitalize on the community characteristics, 

community resources and geographic location to the North Eastern United States and Canada. 

One of the Airport’s greatest marketing assets is the low airport cost available to carriers, low 

taxes and fees on travel and free parking for passengers. Considering all the factors associated 

with the marketing plan, the Stakeholders will use funds to further leverage air service 

development services to the airport in addition to collaborating with the NFTA’s air service 

development incentives available to potential air carriers but that are limited to specific 

services and uses based on operations. The Stakeholders are working with all community

members to prioritize the marketing criteria working to determine what marketing strategies 

are successful and most beneficial to attracting additional air services. 

 
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Measuring Goals

The Stakeholders plan for measuring the effectiveness of the marketing plan will include the 

overall evaluation of how effective the marketing strategies are towards meeting the overall 

marketing objectives. Through the help of the NFTA, NTCC and other tourism based entities, 

using existing data research methods and statistical analyses and constant monitoring of 

passengers and surveys feedback will be reviewed to determine the effectiveness of the direct 

marketing strategies. Following the local and regional media stories as it relates to the success 

of the airport’s ongoing efforts, the Stakeholders will monitor general trade publications, 

general news stories, and the additional media coverage of the airport. 

Other major measurements of attaining our goals will be the financial and statistical feedback 

from the airport management as it relates to their operations and revenues. The greatest 

performance measures provided with airport expansion are the new flights to existing 

destinations. The number of enplanements, expansion of operations and/or new destinations 

from existing operating carriers. The Stakeholders will also measure its success by the number 

of increased flights by new and existing carriers, carriers willingness to expand trial runs and 

increase number of international flights. Another major indicator used to measure the success 

of the Stakeholder’s marketing agenda will be the overall contentment of the community 

participation and sense of entitlement of the airport. 

Revenue guarantees are another major incentive that the Stakeholder group intends to provide 

to potential air services. These forms of incentives will consist of both cash and in-kind from 

Stakeholders and the local business community. The Stakeholder Group intends to establish a

501-c-3 organization; this entity will be charged with generating revenue and in-kind 

contributions from corporations, tourism organizations and government entities at different 

levels. The NFTA currently provides incentives to new entrant air carriers and destination 

based incentives including airport fee waivers, and cooperative marketing funds. 

A great deal of in-kind contributions have and will be provided for the Stakeholders mission. 

The group has relied on in-house staff and local professional organizations to facilitate existing 

funding towards marketing and studying the needs to grow financially to secure additional 

funding for revenue guarantees. 

Determined to be Efficient

The NFTA and the community are aware of the risk mitigating factors associated with attracting 

additional services to the NFIA. The NCDED and Stakeholders will continue to work with the 

professional tourism, marketing and transportations services to promote and leverage 

additional air carrier services for air service development at the NFIA that benefits not only air 

passengers but the business community and entire region. 
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Timeline Activity

January 2010 –

June 2011: NFIA Stakeholders Committee meets regularly to develop

community support for overall airport marketing goals

August 2011: Apply for USDOT Federal Funding

September 2011: 501-C-3 to be established to help secure additional funding 

sources for the Stakeholder Group. Stakeholders will identify 

community-marketing initiatives and support the NTCC and the 

NFTA’s ongoing marketing agenda for the NFIA.

January 2012: Receive SCASDP Funding – continue support for the NFTA 

marketing agenda and increase Stakeholders community support 

through community awareness and marketing 

February 2012 –

December 2012: Continue to support the NTCC and the NFTA’s promotion of NFIA 

through community marketing initiatives and provide additional 

funding tools for the NFTA to assist in securing additional air 

carrier services. 

January 2013 –

March 2013: Legal Sponsor submits invoices to USDOT for SCASDP Grant.

April 2013: Project Close Out
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F. Description of Public/Private Entity

The Stakeholder Group will support the NFTA’s mission to successfully market the airport 

throughout the region and to air carrier services. The Stakeholders have declared its full 

support for a public/private partnership to help support the NFTA’s endeavors. 

The Stakeholders consists of members from the public and private community located in 

Niagara and Erie County, New York. Realizing the need for a more unified partnership to 

accomplish the goals of growing the airport through greater community involvement and 

entitlement, the Stakeholders are currently working with legal counsel to create a 501-c-3, notfor-profit entity that will be charged with identifying and establishing funding sources for the 

required services required for the NFIA marketing project. 

This entity will be created to leverage charitable donations, corporate and government funding 

to advance the mission statement of the Stakeholders. The anticipated 501-c-3 entity will have 

a Board of Directors consisting of elected and appointed government officials, lodging, tourism 

operators, marketing officials, transportation authorities (government), transportation 

operators (private businesses), economic development agencies, non-profits. The efforts to 

create this 501-c-3 organization are headed by the Niagara County Center for Economic 

Development. 

This anticipated entity will be formed October 2011. 
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How Partnerships Will Actively Participate in the NFIA Project: 

Public Partnerships

Niagara Frontier Transportation Authority 

(Advisory Role Only)

Owner/Operator of NFIA and Buffalo/Niagara 

International Airport and additional 

transportation services regionally, provides 

marketing for NFIA

NY State Senate & Assembly Provide potential funding opportunities, 

gather community & political support

Niagara County Center for Economic 

Development

Legal sponsor of the SCASDP Grant, facilitate 

monthly NFIA Stakeholder Marketing 

Committee meetings, provide funding 

opportunities

Empire State Development Corporation Assist with identifying potential funding 

opportunities, help utilize economic 

development resources 

City of Niagara Falls Provided anticipated funding for project, 

provides resources for marketing objectives

Niagara County Industrial Development 

Agency

Provide potential funding resources tax 

incentives for potential airport businesses 

Private Partnerships

Niagara USA Chamber Provide community outreach, marketing 

resources and networking

Niagara Tourism and Convention Corporation Official marketing entity for Niagara 

Falls/Niagara County, NY – provide in-kind 

marketing services and assist the NFTA with 

overall marketing agenda of the NFIA 

Buffalo Niagara Enterprise Provide in-kind regional marketing resources 
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G. Funding Necessary for Implementation of the Project

Federal Funding Required 

The NCDED as the legal sponsor is asking for a one-time grant of $500,000 to be spent over a 

two-year period, from 2011 -2012. The funds will be supplement the NFTA’s program goals 

that concentrate on the marketing and revenue guarantees portion of the NFIA Project as 

follows:

USDOT – SCASDP Grant Fund Uses 2011 2012/2013

Marketing $75,000 $75,000

Minimum Revenue Guarantees $175,000 $175,000

Total Contribution from Federal Grant $250,000 $250,000

*Depending on the project’s current status and unforeseen circumstances, if the allocated 

portion of funds towards either marketing or revenue guarantee is less then estimated, the 

NCDED would request to shift the unused funds to the portion of the project in need. Flexibility 

in shifting funds between the two initiatives will help further allow for the group’s overall 

success of the project. 

Project’s Funding Sources and Uses

Project Funding Sources Amount

NY State Senate & Assembly Grant $150,000

City of Niagara Falls Grant $50,000

USDOT – SCASDP Grant $500,000

Stakeholder In-Kind Contributions $150,000

Project Funding Sources Total $850,000
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Niagara County Department of Economic Development Page 21

State Funding

The NY State Senate and Assembly have secured funding to enhance the marketing 

opportunities of the NFIA. The NCDED continues to seek additional funding from the NY State 

Legislature Funds disbursed to date have been reimbursable funds. This funding has required a 

final report and detailed description of how the funds are spent and accounted. 

Local Funding

The City of Niagara Falls has dedicated $50,000 towards the NFTA’s marketing agenda. 

In-Kind Contributions from Community

All public & private companies and entities listed will participate heavily in supporting the 

NFTA’s marketing the airport to secure additional carriers and entice existing airlines to expand 

their inbound/outbound destinations. In addition to the Stakeholders providing in-kind 

contributions, members of the business community and greater region will put forth an 

advanced collaborative effort to provide additional in-kind resources to meet any new air 

carriers need to operate at the NFIA. 

Leveraging Additional Funding

The Stakeholder group is currently working with public and private entities to secure additional 

funding that will go towards the overall mission of supporting the existing NFTA’s marketing 

agenda. The group anticipates that upon award of the USDOT’s Federal Funding, additional 

community members will contribute to the ongoing NFIA marketing project. 
Proposal For the Small Community

Air Service Development Program

Docket DOT-OST-2011-0119

Niagara County Department of Economic Development Page 22

H. How Community will Ensure its Own Funding Contributions 

Spent per Proposal

The Program Director (staff from NCDED) will have responsibility for financial oversight and 

management of funding contributions and will also be responsible for reporting and invoicing to 

the USDOT-SCASDP as required. This includes preparing quarterly reports that address financial 

data, and noting detailed program achievements. As noted earlier, the NCDED will continue to 

administer the funding on behalf of the Stakeholders and until the 501-C-3; not-for-profit has 

been established. 

The Program Director will submit the quarterly status reports to USDOT. The NCDED will review

the reports and financial statements to ensure all funding contribution is spent as proposed.

The NFIA Stakeholder Executive Committee and proposed 501-c-3 entity will ensure that all 

existing funds and future funding from both public and private entities are spent accordingly 

and efficiently. Currently, the Stakeholders meet regularly to discuss ongoing operations and 

initiatives and determine their best use of existing funds and in-kind contributions. 

Marketing Use of Funding Contributions

The Stakeholders, local business community and marketing professionals will provide marketing 

resources as needed based upon the project’s timeline and funding. The Stakeholders will 

support and provide resources in support of the NFTA’s marketing agenda. Any contractual 

agreements entered into will be provided to the USDOT along with quarterly reports as to how 

the funds are being utilized for all intended marketing purposes. The NCDED will share all 

reports with the community, Stakeholders and marketing tourism groups to evaluate the 

results of the program.

Accountability

Members of the Stakeholder group will participate heavily in sales and marketing efforts

for marketing promotions and enticement of the community. The NCDED, NTCC and 

Stakeholders will oversee the community marketing plans to ensure funds are spent as 

intended. The Program Director will invoice USDOT for its pro-rata share eligibility percent of 

the incurred marketing expense under the USDOT-SCASDP grant. 
Proposal For the Small Community

Air Service Development Program

Docket DOT-OST-2011-0119

Niagara County Department of Economic Development Page 23

I. How Community will Monitor Progress of the Grant Project

The NFIA’s important element for success is the continued marketing endeavors and securing 

additional funding resources for air carrier services in order to provide minimum revenue 

guarantee packages. The community will monitor and account for the success and use of funds

by referencing the Stakeholders proposed timeline over the next three years. 

The Program Director will have responsibility for the overall project plan and ensuring timelines

are on pace and accomplished. The NCDED, NTCC will have responsibility for the marketing 

activities and coordinating with community businesses; the NFTA has the responsibility for 

coordinating activities with respect to the airport setting up the appropriate meetings with 

potential airlines and air carrier services. 

The addition of air carrier services such as non-stop flights by new or existing carriers, 

additional domestic and international routes added, increased revenues and financial 

contributions and/or incentives to further the NTFA marketing project will be a critical gauge to 

monitor the success of the project. 

Critical Milestones to During the Life of the Grant:

1. Receive USDOT-SCASDP Grant funding – secure additional State/Local/Private Business 

Funding Sources

2. 4/2012 - Quarterly financial statements and updates from Program Director

3. 8/2012 - Quarterly financial statements and updates from Program Director

4. 12/2012 - Quarterly financial statements and updates from the Program Director

5. Public Presentation and Community Stakeholder Meeting to Provide NFIA Successes

6. Inventory of Project Sources and Uses

7. Final report to USDOT-SCASDP

8. Submit for USDOT-SCASDP Grant Reimbursement

In the unlikely event a milestone is missed, the NCDED or Stakeholders will determine how to 

modify according to projects status and circumstantial project needs. Any deviation from the 

projected timeline or critical milestones will be addressed and the USDOT-SCASDP will be 

notified. 
Proposal For the Small Community

Air Service Development Program

Docket DOT-OST-2011-0119

Niagara County Department of Economic Development Page 24

J. Community Plans to Continue Project if not Self-sustaining After 

Grant Expires

Prior to any notice of federal funding opportunities, it was the committed efforts by the NFTA

to market and promote the airport to existing airlines and travelers. The Stakeholder Group

will continue to rely on in-kind contributions along with funding awards to further support the 

NFTA’s promotion of the NFIA. 

In addition, the Stakeholder group will continue to augment the NFTA efforts to market and 

seek additional ways of mitigating air carriers’ costs. Additional public and private funding will 

be sought to further support the mission of incentivizing air service development at the NFIA. 
Proposal For the Small Community

Air Service Development Program

Docket DOT-OST-2011-0119

Niagara County Department of Economic Development Page 25

K. Legal Sponsor Responsibility for Administering the Program

Niagara County Department of Economic Development

The mission of the Niagara County Department of Economic Development is to: Provide high 

quality professional planning services to the municipalities, citizens and organizations of 

Niagara County; promote orderly growth and development through the dissemination of 

information, preparation of plans, projects and programs and provision of technical services.

The Department also promotes sustainable economic development in harmony with the natural

environment, creating and retaining jobs, expanding the tax base, and improving the quality of 

life for Niagara County residents under the direction of the Niagara County Manager and 

policies of the Niagara County Legislature.
Proposal For the Small Community

Air Service Development Program

Docket DOT-OST-2011-0119

Niagara County Department of Economic Development Page 26

L. Conclusion

Major developments have taken place at the NFIA over the last few years because the 

community understands the magnitude of having a fully operational international airport 

located within such close proximity of their residence, business or institution. 

The NCDED and Stakeholders listed understand the significance of securing additional funding 

to support the NFTA in their marketing agenda for this NFIA. NFIA is an attractive alternative to 

currently congested major North American International airports. The NFIA is ideally suited and 

strategically located to accommodate various types of aviation operations.

The close proximity of the airport to the Canada/USA border, its location just off a major 

highway, and its central location to the Canada and USA population base, offer great 

operational advantages. Given the community and regional support of the NFTA’s marketing 

mission, additional community funding sources are needed to support the promotion and 

marketing developments of the NFTA. With the financial assistance of the SCASDP grant, the 

Stakeholders can further help augment the costs and provide additional funding sources to the 

NFTA’s overall mission of growing the NFIA into a greater regional and community asset.